The first investment most people make usually is renting out a property they buy or move out of. Its pretty simple, pay your mortgage with tenants rent. Sign a rental agreement and away you go. Most landlords are ignorant because there is much more to tenancy law. In Ontario the law tends to be skewed toward the people renting out your place. There are many laws in effect today because of landlords past evil. While some landlords today agree that many laws are not fair, these laws have come to pass to protect the tenant. In some cases the pendulum has swung too much in the other direction. Renters take advantage of the laws, exploiting them to the last letter. One thing that is for sure, renters know their rights today. With a few clicks, a renter can know every law and exploit you and your property. Do not fathom for one second that renters do not know their rights and how to use you and your property as they see fit.
Here are a few laws direct from Ontario’s tenants act that might make you scratch your head before investing in a property.
1. Even if you signed a lease with a “no pets” clause, if the pet is not a problem for anybody they can not enforce it; such no pets clauses are invalid under the law.
2 .Formerly even under the Tenant Protection Act, the landlord had to have a good reason to come in, such as to make necessary repairs, but now under the Residential Tenancies Act, they can claim it is just to do an No notice is necessary in cases of emergencies, if you give the landlord permission to do so, or in cases where a notice to terminate the lease (by either the tenant or landlord) has been given.
4. If your tenant is going to end your lease at the end date of that agreement and give 60 days notice of that, or are a month-to-month tenant and give 60 days notice, or a week-to-week renter and give 28 days notice, the you can not legally charge you any fees for not renewing your lease.
5. If you do not make repairs on a verbal request, then again after receiving a request in writing and if you do not make repairs in a reasonable time, then call your city Building Inspector to make an appointment for them to come out and look at the problem. If the inspector won’t come then ask to speak to their supervisor. Get a copy of the inspectors report to save for your records.
These are just a few remember they are always watching you if you are a landlord. Be sure to do your homework on a potential renter. Make sure you have all of your basis covered. Remember this is an investment!