Renting a Condo : What You Should Know
Renting a Condo
With not many purpose-built apartments and row houses available, many in the rental market turn to condos. But there is not a plentiful supply of condos either.
Before renting a property, landlords and tenants should be familiar with the rules and regulations that govern how residential properties or units are rented in B.C.
Before renting your condominium or before becoming its occupant, make sure that you are well informed of these rules, which can be found in the Civil Code and in the declaration of co-ownership.
A situation where a landlord or tenant does not comply with the by-laws of the immovable can transform the rental into a very unpleasant experience.
Renting a property is not an easy task. You need to consider a plethora of factors. such as :
- the maintenance agreement
- Finding the right person is also very important
Pros and Cons of renting a condo :
there is no long-term commitment
if something breaks, and you aren’t responsible, a superintendent or landlord will usually arrange to replace or repair it
Get Rental (Landlord) Insurance
Regular homeowner insurance doesn’t cover rentals. You need special home insurance for a rental apartment.
buying or renting
Renting has often been recognized as less stressful than buying a condo unit. When you rent an apartment, you have to pay attention to expenses like renovation and maintenance. All these are the responsibilities of the landlord.
renting doesn’t put you in debt. When you buy a condo, you’re typically taking out a sizeable mortgage loan that you’ll pay back with interest over 15-30 years.
By the guidelines of The Canada Revenue Agency, you can deduct expenses related to your rental property in these categories: necessary expenses, improvements, depreciation (if any), the interest portion of the mortgage, maintenance fees, etc.
Can a landlord sell your property at the time of rent?
your condo owner could decide to sell up if you are only renting a condo. If this happens, you’ll need to vacate the building after a notice period.
Condo or apartment ?
Renting an apartment is most likely to cost you about $100- $300 less, compared to renting a condo unit. The true savings will differ depending on the region you are renting a space in.
The condo lifestyle gives you access to swimming pools, gyms, saunas, lounges. These are assets you may not be able to afford yourself.
Whether you buy or lease, remember that no more than one-third of your household income should go toward maintaining your monthly housing expenses.
Paying anything above one-third of your income on housing may compromise your quality of life.
Renting is generally cheaper than a mortgage, at least in the short term. If your household income isn’t high enough to afford a mortgage, then renting is typically a more affordable option.
It’s a common misconception that renting a condo is more expensive than renting an apartment.
Condos are often more cost efficient with flat utility fees and waived add-ons like HOA fees.
There’s no privacy, and even with an excellent sound-proofing, it’s unrealistic to have a completely sound-free home.
Furnished houses cost more to rent because everything is easily accessible.
There is a chance that an item might get broken or dented, and if that does happen, the renter is responsible.
Important note :
Renting is a fantastic option when you are looking to move to a new place. You get a great space to call home without being dragged down by all the responsibilities and costs of home ownership.
More Flexibility as to Where to Live
Renters can live practically anywhere, while homeowners are restricted to areas where they can afford to buy.
Although rents can be high in areas where home values are also high, renters can more readily find an affordable monthly payment than home buyers.
Enjoying a single, stable monthly payment
Generally, as a renter you can count on a predictable monthly rent, that may or may not include utilities. Owning a condo involves other monthly carrying costs besides your mortgage payment, like property taxes, condo fees, utilities and insurance.
Cons of Renting a Property
Could be forced to move on fairly short notice if the owner wants to sell
The Rent Could Increase
Another downside to renting is that the monthly rental payments can be renewed in about 6 months or a year from when you moved in. If you’re low on cash, this may mean taking on debt or giving up a property that you otherwise enjoyed.
(article 1956 Civil Code of Quebec) The landlord or tenant of a residence in low-rental housing cannot apply for the correction of rent or the changing of any condition explicitly mentioned in the lease except in accordance with the provisions specific to that type of lease.
The landlord cannot require payment of the rent by post-dated cheques. Indeed, such a stipulation provided for in the lease is ineffective and must be considered null and void.
the bottom line
Real estate brokers are aware of the specific issues that can affect condominiums. Don’t hesitate to ask a broker any questions you may have.
to see our Condo for sale and rent
to see our apartment for sale and rent
what’s a condominium ? pros and cons of condo
The most important differences between an apartment and a condo
see photos of a beautiful Property