As a landlord, it’s important to know the laws in Alberta before you rent out your property. The same goes for any tenant who rents out a property. You will want to know what your rights are as a tenant and a landlord.
This article will give you an overview of the most important laws to abide by.
Written or Verbal Agreement
Before a tenant moves in, they need to sign a residential tenancy agreement. This is basically the lease or rental contract that each party needs to abide by. This rental agreement or lease can either be written or verbal, but it is always better to have everything in writing in case one of the parties breaks any of the terms in the agreement.
If the contract is verbal, it will not go too far in court if anything were to occur. In Alberta, the lease or landlord-tenant agreement can be a fixed-term or periodic, as long as both parties agree with what they are signing.
A fixed-term agreement will begin on a certain day and will end on a certain day.
The tenant will have to move in on the day of the contract and will have to move out on the day the contract ends. The tenancy will end when the agreement date ends. No notice will be required for this.
Periodic Tenancy Agreement
A periodic tenancy agreement has an open-end date but a firm move-in date. The landlord or tenant can end this agreement by giving appropriate notice. There is no one periodic tenancy agreement, which means that this type of contract can go year-to-year, month-to-month, or week-to-week. It all depends on what each party agrees on.
Who Can & Cannot Stay on the Property?
It’s important to only allow tenants who are registered on the lease to stay at the property for a long period of time. The tenant cannot allow another person to live at the property they are paying rent for without discussing with their landlord.
It’s also for health and safety reasons. Depending on the situation and if the tenant has unauthorized tenants living at the property, the landlord has the authority to give that person notice to leave the property.
In most cases, landlords require a security deposit (often referred to as a damage deposit) from his or her tenants. This is to ensure that if there is any damage from the tenants that this deposit will help cover that.
A tenant should not pay more than one month’s rent as their damage or security deposit. It’s important to note that the landlord cannot increase the security deposit even if they increase the rent.
Landlords in Alberta must put the security or damage deposit in a trust fund within two days of collecting it.
Upon a move-out, the landlord must return the security or damage deposit in full if no rent or other costs are owed on the contract. Moreover, this is also the case if there is no damage that is done on the property, aside from normal wear and tear. Wear and tear on a rental property is deterioration that occurs over time by renting out the property. The tenant must make sure that the property is in good standards upon leaving and that it is also clean.
Responsibilities of Tenants & Landlords
As a tenant, you are responsible for:
- Paying your rent on time every month or whatever you and your landlord agreed on.
- Being considerate about other people living on the property if applicable and of the landlord’s rules.
- Must not do anything illegal on the property.
- Keep the rental property clean and in good standards according to the health and safety laws.
- Cannot operate a business from the property unless the landlord has given you permission.
- Move out on the agreed date in the lease terms.
- Abide by all the rules in the agreement between the landlord and tenant.
As a landlord, you are responsible for:
- Making sure the property is ready for the move-in-date for the tenant(s).
- Make sure the property is clean.
- Do not bother the tenant and give them appropriate notice if you need to visit the rental property.
- Make sure the property is livable throughout the whole period the tenant(s) are renting from you.
- Supply your tenants with a written notice of landlord within 7 days after they have moved in.
If you are a landlord and you think that you do not have the time to take on these responsibilities, a professional property management company can do them for you. Contact Real Canadian Property Management Solutions today!