How does it work

rfd911 wrote: ↑ Hey guys,
I'm currently renting a house. I want to rent out one room to someone else. Landlord is ok with it. It will be month to month. I have never done this before. Do I use the standard Ontario tenancy agreement? If so, what name should go under 'Landlord'? What are the other things I need to be aware of? Thanks

You can use the standard template, but it may not be to your advantage to do so. Because you're sharing the space, you're not governed by the RTA, which means if you don't like the roommate, as long as you follow the contract you agreed to, you can kick them out (as an example). The standard agreement will also be missing many things that are inherent in the agreement, since they're covered by the RTA. You can (and should) include things about no pets allowed, etc, which aren't allowed in an RTA governed agreement.

I'm sure if you google "roommate agreement template", you'll find a good selection of items to use as your base.

C

CNeufeld wrote: ↑ You can use the standard template, but it may not be to your advantage to do so. Because you're sharing the space, you're not governed by the RTA, which means if you don't like the roommate, as long as you follow the contract you agreed to, you can kick them out (as an example). The standard agreement will also be missing many things that are inherent in the agreement, since they're covered by the RTA. You can (and should) include things about no pets allowed, etc, which aren't allowed in an RTA governed agreement.

I'm sure if you google "roommate agreement template", you'll find a good selection of items to use as your base.

C

Thanks. Should I ask for all the regular checks like credit check, employment check, rental references etc? What about criminal check? Is there a rental application I should have them fill out? Also let's say 5 people apply and I pick one of them, do I have to let other 4 know why I didn't pick them?

rfd911 wrote: ↑ Thanks. Should I ask for all the regular checks like credit check, employment check, rental references etc? What about criminal check? Is there a rental application I should have them fill out? Also let's say 5 people apply and I pick one of them, do I have to let other 4 know why I didn't pick them?

You need to keep in mind that most of the checks (credit or criminal) are not free, and you shouldn’t trust anything someone gives you, as screenshots are easily faked. And references can also be faked, so proceed cautiously on that too. For example, giving a prospective landlord the name of one of your friends as a “roommate reference”.

It wouldn’t be a bad idea to have an “application” form, if nothing else, to keep all their information in one place. But that’s not the same as a rental/roommate agreement.

And no, don’t give anyone a reason why you declined them. It won’t help them, and it can only bite you in the ass if they don’t like it. If they ask, just tell them you went with someone else.

C

If you want to rent out a room, sign up for Toronto Home Zone on Facebook.

Follow their guidelines. I've had most of the good experience using that compared to Kijiji/FB when I looked for roommates before.

Create a standard roommate agreement with conditions you feel are fair, which you can just google. Like what CNeufield states, RTA does not government roommate agreements, therefore, you are free to add whatever conditions you want.

As for vetting roommates, you can ask for credit score and some proof of income, but when I looked for roommates I just vetted their personality and their "career" to judge whether or not they can pay the bills.

Personally, I focused on university students since they generally lay low and mind their own business (and I mind my own business).

rfd911 wrote: ↑ Hey guys,
I'm currently renting a house. I want to rent out one room to someone else. Landlord is ok with it. It will be month to month. I have never done this before. Do I use the standard Ontario tenancy agreement? If so, what name should go under 'Landlord'? What are the other things I need to be aware of? Thanks

You don't actually need your landlords permission, as the RTA gives you the right to have roommates/occupants living in the home with you regardless of what may be in your lease.

As for the agreement you have with the new roommate, as mentioned above it will not fall under the RTA so the roommate will not have any rights as a tenant under the RTA. It will fall under basic contract law, based on the agreement you sign with them. As such you want to make the contract very specific to avoid any surprises later on such as them suing you if they feel you evicted them unfairly.
You may want to consider terms like no smoking, no drugs, no pets, no overnight visitors or anyone staying more than X days, no noise after a certain time, no paying rent late, etc etc and put it in the agreement what happens and timing if the rules are violated. You may want to give a certain number of days then evict the roommate if they don't comply, or after a few strikes. Be specific.

In extreme situations you can do an immediate eviction, such as if the roommate threatens you or makes you feel unsafe. In this case, or if they refuse to abide by eviction due to some other reason, you may need to call the police to remove them as trespassers. There is no going to the LTB required.

I agree with the comment above about screening based on personality. You will have to live and share space with this person so getting along will be important. All the financial checks are good of course, but as eviction is much easier if they don't pay rent properly it's less concerning vs if they were a real tenant protected under the RTA.

If I rent to a student, what do I need to check if they are not employed? Do I check their parents' employment?

You can ask for more money upfront

rfd911 wrote: ↑ If I rent to a student, what do I need to check if they are not employed? Do I check their parents' employment?

If their parents aren’t on the lease, it doesn’t matter what their employment status is. So if the student has no source of income, you may want to require their parents to be included on the lease as a co-signer/guaranteer. Because they’re not covered by the RTA, you can ask for more money up front. Say, 3 months, even.

But honestly, I think you’re overthinking this. Because you don’t have to go through the LTB to evict, your biggest concern should be “Can I live with this person in my space?” Followed by making sure your lease agreement covers things like being able to boot them out (for example) 14 days after their rent is overdue. You don’t have a 9 month delay with multiple interventions by the LTB like a regular lease.

C

CNeufeld wrote: ↑ If their parents aren’t on the lease, it doesn’t matter what their employment status is. So if the student has no source of income, you may want to require their parents to be included on the lease as a co-signer/guaranteer. Because they’re not covered by the RTA, you can ask for more money up front. Say, 3 months, even.

But honestly, I think you’re overthinking this. Because you don’t have to go through the LTB to evict, your biggest concern should be “Can I live with this person in my space?” Followed by making sure your lease agreement covers things like being able to boot them out (for example) 14 days after their rent is overdue. You don’t have a 9 month delay with multiple interventions by the LTB like a regular lease.

C

Thanks! Yes you are right, I'm overthinking this because I have never done this before . I suck at putting together agreements. I have been googling for a template that covers everything.

Do I have to tell them I'm NOT the landlord?

rfd911 wrote: ↑ Thanks! Yes you are right, I'm overthinking this because I have never done this before . I suck at putting together agreements. I have been googling for a template that covers everything.

Do I have to tell them I'm NOT the landlord?

I don't know what the legal obligation is, to be honest. If you were the landlord, they still wouldn't be covered by the RTA, so you still wouldn't be obligated to provide a standard lease or anything else mandated in the RTA. But I think I would provide that information to them.

One other thing to keep in mind that since they're your "guest" (aka roommate) and not on the lease, you are responsible for their actions with respect to the landlord. If they drop a lit cigarette on the carpet (or burn the countertop, or any other damages), the landlord will be going after you, not them. If they cause a scene in the lobby and the condo board decides the unit needs to be cleared out, you're going out with them. If you suffered any financial losses due to their actions (like damages to the unit), you'd have to take them to small claims court to recover that if they chose not to pay.

C