The single most expensive decision a landlord makes isn’t the renovation or the rent price — it’s who gets the keys. A reliable tenant pays on time, treats your property well, and stays for years. The wrong one can cost thousands in unpaid rent, damage, and a drawn-out dispute. This guide walks Ottawa landlords through finding strong applicants and screening them in a way that’s both effective and fully compliant with Ontario law.
This article is general information, not legal advice. Screening in Ontario is governed by the Residential Tenancies Act, the Ontario Human Rights Code, and Regulation 290/98 — confirm specifics for your situation.
Start with a consistent, documented process
Before anything else, decide on your criteria and apply the same process to every applicant. This isn’t just good practice — consistency is your best legal defence. If a declined applicant ever files a Human Rights Tribunal complaint, identical forms and documented, criteria-based decisions are what protect you. Inconsistency is where landlords get into trouble.
Attract the right tenants from the start
Good screening begins with good marketing, because a clear, honest listing naturally filters for serious applicants. Professional photos, an accurate description, and broad exposure across rental sites and social platforms draw a larger, higher-quality pool. Our tenant placement service handles exactly this — market-rate pricing, professional photography, and wide advertising — and you can see how we present units on our available rentals page.
Use a standard rental application
Every applicant should complete the same written application form, with a signature and date that records their consent and the information provided. A good application collects legal name, current and previous addresses, employment and income details, references, and written consent for a credit check. Using a standard rental application keeps your process consistent and your records clean.
What you can legally ask for — and what you can’t
Ontario landlords may request, with consent, the following:
- Proof of income (pay stubs, employment letter, Notice of Assessment, bank statements)
- Credit report or credit references (written consent required)
- Rental history and previous-landlord references
- Employment confirmation
- Government-issued photo ID (shown in person — you shouldn’t retain copies)
Under the Ontario Human Rights Code, you cannot ask about or base a decision on race, ancestry, place of origin, ethnic origin, citizenship, creed, sex, sexual orientation, gender identity or expression, age, marital status, family status, disability, or receipt of public assistance. You also shouldn’t ask for a Social Insurance Number — it isn’t required to rent. And remember: in Ontario you may collect first and last month’s rent, but never a security or damage deposit.
The rent-to-income rule most landlords get wrong
This is the big one. It is illegal to apply a rent-to-income ratio — like the common “rent must be under 30% of income” cut-off — to automatically disqualify an applicant (except for subsidized housing). Income information can only be considered alongside credit references, credit checks, and rental history, never on its own unless nothing else is available. The goal is confirming the applicant can afford the rent, not screening people out with a math formula.
Equally important: a thin or absent credit history should not count against an applicant. Newcomers to Canada and first-time renters often have little credit on file. When that’s the case, weigh other factors — employment verification, references, or a guarantor (which you may only require if you require it of everyone).
How to evaluate an applicant fairly
Look at the whole picture rather than one data point:
- Credit: With written consent, request a report. As of late 2024, both Equifax and TransUnion treat rental credit checks as soft inquiries, so they don’t affect the applicant’s score. You can also accept a recent official report the applicant pulls themselves.
- Income and employment: Confirm stable income sufficient to cover rent — not the source of that income.
- Rental history: Call the previous landlord, not just the current one (a current landlord may give a glowing review to move a problem tenant along). Ask whether rent was paid on time and the unit kept in good condition.
- Patterns over incidents: One late payment or a short employment gap rarely tells the whole story. Look for consistent patterns.
Red flags worth a closer look
- An incomplete application or reluctance to provide consent
- References that are vague, overly polished, or hard to verify
- Pressure to skip screening or move in immediately
- Inconsistencies between the application and supporting documents
None of these is automatically disqualifying — they’re prompts to verify more carefully, consistently, and within the Code.
Then protect the placement with a solid lease
Once you’ve chosen a tenant, a compliant Ontario Standard Lease locks in the relationship on clear terms. Strong lease preparation and enforcement, paired with good tenant communication from day one, prevents most disputes before they start. For the bigger picture on your obligations, see our guide to landlord rights and responsibilities in Ontario.
When to hand screening to a professional
Screening is time-consuming and legally exacting, and a single misstep can create real liability. A property manager runs a consistent, Code-compliant process — standardized applications, proper consent, verified references, and documented decisions — so you place reliable tenants without the risk. Explore our full property management service and range of services, or contact us to get started.
Frequently asked questions
Can a landlord require income to be three times the rent in Ontario?
No. Applying a fixed rent-to-income ratio, such as a 30% cut-off, to automatically disqualify applicants is illegal in Ontario except for subsidized housing. Income can only be considered together with credit and rental history, to confirm the applicant can afford the rent.
Do I need a tenant’s consent to run a credit check?
Yes. Written consent is required before running a credit check. As of late 2024, Equifax and TransUnion treat rental credit checks as soft inquiries that don’t affect the applicant’s score.
Can I reject an applicant with no credit history?
A lack of credit or rental history should not count against an applicant. Consider other factors instead, such as employment verification, references, or a guarantor (only if you require one of all applicants).
What questions are illegal to ask on a rental application in Ontario?
You cannot ask about race, religion, age, sex, sexual orientation, gender identity, marital or family status, disability, citizenship, place of origin, or source of income. You also should not ask for a Social Insurance Number.
Can I charge a damage deposit to a new tenant?
No. Ontario only allows a last month’s rent deposit (plus first month’s rent). Security or damage deposits are not permitted.
