Success at ORT

trevismcconaghy

Trevis McConaghy, REIA
REIN Member
Nov 11, 2012
71
69
18
42
Melfort, Sask
#1
If you are renting residential real estate, you will inevitably be taken to the Office of Residential Tenancies or take a tenant to the ORT. My advice to fellow investors is to be prepared for that day.
I have a strong understanding of the Tenancies Act applicable to where I invest, and as such follow it to the tee. It is essential that as an investor, you know the rules of the game and follow those rules.....
As I know the rules, I had a positive outcome when opening my email tonight from ORT.
'For the above reasons, it is ordered that the security deposit of X shall be paid to the Landlord....', the landlord being my rental company. 'I find that the Landlord has proven his claim against the security deposit..', 'The landlord has met his obligation under Section 8 of the Act.'
Simply put, understand and continually review your Act. It is worth your time in gold, literally, as my experience shows......
Not all ORT experiences have to be negative. Just play the game by the rules. Happy investing.
 

jay1214u

New Forum Member
Registered
Jul 16, 2015
15
3
3
54
#3
@trevismcconaghy
I am in Mississauga (GTA), Ontario and I was informed by the landlord and tenant board that taking advance deposit, equal to one month rent is not permitted in Mississauga and Toronto.
Your insight is appreciated.
Jay
 

stuartjmac

Real Estate Investment Advisor (REIA)
REIN Member
Nov 27, 2012
21
17
3
Ottawa
#4
@jay1214u
In Ontario, you are not allowed to demand a security deposit. You are permitted to demand first month and last month’s rent before giving the new tenant the keys (which is what we recommend strongly). After the tenant is in the unit, you can’t force them to provide last month’s rent deposit, so get it up front. You have to pay the tenant annual interest on the last months rent deposit, which is equal to the annual increase of rent. You are also allowed to ask tenants to pay you the increase on deposit to keep last month rent deposit equal to current rent. We advise our tenants that we will make life more convenient for them by paying their earned interest directly into their deposit that we hold so that they don’t get a little cheque and then have to send us a little cheque. We have never had a tenant complain about this “service” we offer.


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