Contractor · Toronto, Ontario · Member since 2017 · 26 posts · 3 votes
Hello,
So I am a long time lurker, first time poster.
After about 3 years of learning I finally saved enough to jump in and buy my first house hack in Hamilton Ontario.
I close today (Sept 26th) and was hoping to have someone rent the basement for Oct 15th.
Just looking for some advice on how you experienced investors screen your tenants? It is especially important because I will be living above them.
Thanks so much in advance!
Rental Property Investor · Hamilton, Ontario · Member since 2016 · 285 posts · 181 votes
9y
@Zack Tremere I suggest posting this stuff in the Canada / Ontario forums. Our US friends are great and have strong & experienced skillsets but the area your investing will play a large part in terms of rules / regulations and strategies.
This Q was asked in a another thread, here was my response - I rent out several properties in Hamilton so i can relate first hand.
I use a few different screening processes. The first starts on kijiji. I ask a lot of question right off the hop. If they can't answer 4-5 questions clearly and legibly, there's no point in wasting anyone's time bringing them to the house.
I have this copied and ready to past for every inquiry on kijiji:
Thank you for your inquiry before we move forward a couple a questions:
What's your reason for moving? - (Did they have a fall out with prior landlord? Start a new job etc)
Are you currently working? - (Simple but important, a lot of people will be on ODSP, Ontario Works, etc.)
What is your budget for rent? - (This tells you is this near the top of their budget, near the bottom? etc)
How many people would this be for in total? - (you'd be blown away by the amount of people trying to cram 6 kids in a 2-bedroom, important Q to ask)
What date are you looking to start the lease? - (Does their start date even add up? Oh they need to rent too soon or a couple months from now? again no point wasting time).
Based on their answers to these Qs you use your personal comfort level to decide whether they get a viewing.
Bonus Point: Do you want no pets? Say Pets are allowed in the listing, let them open up about the 3 dogs and 4 cats they have, that way you have that information.
Specialist · Houston, TX · Member since 2015 · 1k+ posts · 1k+ votes
9y
I would be very clear of what your qualifications are for your property... most importantly STICK TO THEM... if you are not sure what is a good set of quals.. then maybe call a few rentals in your area and do some homework to see what the market bears. Anyone that inquires before you waste your time I would make sure they know what your qualifications are and see if they fit, if three are any red flags then you pass on that potential tenant
Rental Property Investor · Hamilton Township, NJ · Member since 2012 · 211 posts · 149 votes
9y
Hi @Zack Tremere I would highly recommend reading @Brandon Turner's book, The Book on Managing Rental Properties. It's a step by step guide for everything from advertising and screening to collecting rent and evictions.
Rental Property Investor · Hamilton, Ontario · Member since 2016 · 285 posts · 181 votes
9y
@Zack Tremere I suggest posting this stuff in the Canada / Ontario forums. Our US friends are great and have strong & experienced skillsets but the area your investing will play a large part in terms of rules / regulations and strategies.
This Q was asked in a another thread, here was my response - I rent out several properties in Hamilton so i can relate first hand.
I use a few different screening processes. The first starts on kijiji. I ask a lot of question right off the hop. If they can't answer 4-5 questions clearly and legibly, there's no point in wasting anyone's time bringing them to the house.
I have this copied and ready to past for every inquiry on kijiji:
Thank you for your inquiry before we move forward a couple a questions:
What's your reason for moving? - (Did they have a fall out with prior landlord? Start a new job etc)
Are you currently working? - (Simple but important, a lot of people will be on ODSP, Ontario Works, etc.)
What is your budget for rent? - (This tells you is this near the top of their budget, near the bottom? etc)
How many people would this be for in total? - (you'd be blown away by the amount of people trying to cram 6 kids in a 2-bedroom, important Q to ask)
What date are you looking to start the lease? - (Does their start date even add up? Oh they need to rent too soon or a couple months from now? again no point wasting time).
Based on their answers to these Qs you use your personal comfort level to decide whether they get a viewing.
Bonus Point: Do you want no pets? Say Pets are allowed in the listing, let them open up about the 3 dogs and 4 cats they have, that way you have that information.
Rental Property Investor · Calgary, AB · Member since 2017 · 31 posts · 10 votes
9y
How strict are the bylaws in Ontario for basement suites? I'm in Alberta, quite a lot of extras that have to be considered if going for a legal vs. non-conforming suite (currently midway through my own basement suite reno). With that said, many choose the latter...just curious what the situation is like in other parts of the country.
Investor · Hamilton, ON · Member since 2016 · 59 posts · 31 votes
9y
Jacob Perez is right - a lot of US advice does not apply. For example, you can't legally collect a damage deposit in Ontario.
I also filter heavily using kijiji. I tell people that job letter, income verification & credit checks will be done. That prevents a lot of people from even contacting me.
I also ask the same questions as Jacob, and it's incredible how the need to answer a handful of questions filters 70% of those who inquire.
Creditkarma is a simple website where anyone can get a credit check in minutes, and for free. No excuse not to require this anymore. A more thorough service is available for a reasonable fee (can be passed on to tenants) through naborly.com
You also need a solid lease, and a working knowledge of the Landlord & Tenants board procedures. Best tip for problem tenants...Act Fast. Time is not on your side as an Ontario landlord, so don't delay any steps in the process.
Good luck!