18 Steps to Rent Out Your Property

Decide first: cash flow or appreciation? Self-manage or hand off? Run two numbers — gross yield (annual rent ÷ price) and net yield (after property tax, insurance, condo fees, repairs, vacancy, and management). The Ontario reality: once signed, the Residential Tenancies Act (RTA, 2006) tilts heavily toward the tenant, so pricing and exit strategy must be set up front.

Source: Residential Tenancies Act, 2006 (Ontario).

Confirm three compliance lines first: (1) whether the condo declaration / bylaws restrict rentals or minimum terms; (2) switch your homeowner policy to landlord/rental insurance (owner-occupied policies usually don't cover tenants); (3) smoke and CO detectors, egress, and electrical meeting fire and property standards — the landlord is legally responsible for keeping the unit in a good state of repair.

Source: RTA repair duty; Condo Act, 1998; municipal fire/property-standards by-laws. House vs Condo responsibilities: see property management.

Anchor the starting rent to comparable rents in the area — this is your moment of maximum pricing freedom. Why: Ontario's annual guideline caps increases during a tenancy, not the starting rent, and turnover lets you re-price on a new lease. Getting the opening number right matters far more than trying to claw it back year by year.

Source: Government of Ontario, "Residential rent increases" (ontario.ca, 2026).

Get the unit to "move-in ready and safe" before listing: deep clean, fix known issues, test detectors and appliances, confirm HVAC works. A clean, safe unit attracts better tenants, supports higher rent, and reduces post-move-in repair disputes. Finish this before photos so the listing reflects reality.

List professional photos and an accurate description on MLS® / Realtor.ca, plus Chinese-community channels and social to widen reach. State clearly: rent, availability date, included utilities/furniture, parking, pet policy, and term. Broader exposure means more qualified applications and more room to screen.

Cluster showings to create healthy competition. If the unit is still tenanted, entry requires 24 hours' written notice (except emergencies). During showings, note whether applicants are punctual and serious — soft signals to pair with the hard screening that follows.

Source: RTA entry-notice rules (Landlord and Tenant Board).

Collect a consistent rental application: income proof, employment letter, references, ID, and credit authorization. Key compliance line: you may judge on income, credit, and references, but the Ontario Human Rights Code prohibits refusing based on race, ancestry, religion, sex, family status, receipt of public assistance, and more. Applying the same standard to everyone is the safest practice.

Source: Ontario Human Rights Code; RTA.

Screening is the landlord's core risk defense — once signed, removing a non-paying tenant means an LTB process that can take months. Verify three things: credit report (payment history), employment & income (can they reliably afford the rent), and references (prior-landlord feedback). Within Human Rights Code limits, apply one standard to every applicant.

Since April 30, 2018, most Ontario residential tenancies must use the Standard Lease (Form 2229E). The landlord must give the tenant a copy within 21 days of signing. Extra terms (pets, maintenance split) can go in the additional-terms section, but nothing may override the RTA — any conflicting clause is void.

Source: Government of Ontario, "A guide to the Standard Lease" (form 047-2229 / 2229E).

Ontario's deposit rules are stricter than many landlords assume — crossing the line is illegal:

Source: RTA, 2006; Landlord and Tenant Board. Interest rate = current guideline (2.1% in 2026).

On move-in day, do a move-in inspection: photograph the condition room by room (both parties keep copies), hand over keys, walk through utility/garbage setup, and confirm the tenant has insurance. This record is the key evidence later for distinguishing normal wear from tenant damage.

Set up reliable rent collection and bookkeeping. Increases must follow three hard rules:

Source: Government of Ontario, "Residential rent increases" (ontario.ca, 2026). Units first occupied after Nov 15, 2018 are exempt.

The landlord is legally responsible for keeping the unit in a good state of repair, regardless of what the lease says. Two absolute red lines: never shut off or interfere with vital services (heat, electricity, fuel, hot/cold water), and give 24 hours' written notice to enter (except emergencies). Breaches can be taken to the LTB with penalties.

Source: RTA, 2006; Landlord and Tenant Board.

A tenant ends the lease with Form N9 (Tenant's Notice to End the Tenancy) — for a monthly tenancy, typically 60 days' notice ending on the last day of a term. Both sides can also sign N11 (Agreement to End the Tenancy) to end early. On receipt, schedule a move-out inspection and compare to the move-in record.

Source: Landlord and Tenant Board (forms N9 / N11).

Landlord termination requires the right N form — notice days and compensation differ:

Source: Tribunals Ontario, "How a Landlord Can End a Tenancy" (LTB).

Key truth: only the LTB (and the enforcing Sheriff) can legally evict — changing locks, cutting utilities, or removing belongings yourself is illegal. Two steps: ① serve the correct N notice; ② if the tenant stays, file at the LTB (L1 for non-payment, L2 for other grounds), and the LTB decides after a hearing. Budget time — LTB scheduling often runs months.

Source: Tribunals Ontario, Landlord and Tenant Board (application & hearing process; forms L1 / L2).

Rental income is reportable to the CRA, with related expenses deductible (property tax, insurance, interest, repairs, management fees). Two often-missed points: Capital Cost Allowance (CCA) must be used carefully (it can affect the principal-residence exemption), and switching between personal use and rental is a change of use that can trigger a deemed disposition. Consult an accountant before the numbers get large.

Source: Canada Revenue Agency (rental income; change of use). Not tax advice.