How to Perform Tenant Background Checks

Practical Guidance on Tenant Background Checks in Ontario

Why Conduct Tenant Background Checks?

Before delving into the process, let’s understand why tenant background checks are essential. These checks help landlords and property managers assess the following:

• Financial Responsibility: With consent, consider credit checks and available credit references alongside income information and rental history. A credit report is not a complete picture of an applicant, and a lack of credit history is not negative history.
• Tenant’s Financial Situation: Consider available financial, rental and credit information together. Employment is not the only source of income: pensions, public assistance, student funding and other lawful income can be relevant. For ordinary market rentals, do not use rent-to-income ratios or minimum-income multiples as eligibility cutoffs.
• Rental history: Consider available references about rent payments and care of the unit. A lack of rental history is not bad history. If a previous landlord is unavailable or information is inconsistent, discuss clarification and alternative supporting information rather than automatically rejecting the applicant.

Introducing JDN Property Management

For properties we manage, JDN's screening considers information applicants provide and authorize, including:

• Credit checks: Run only with the applicant's consent, and considered alongside other information.
• Income Information: Consider lawful employment and non-employment income alongside available rental history, credit references and credit checks.
• Personal information: Collected for the rental application and handled under our privacy policy.

Individual Assessment and Accommodation

Assess applications individually using relevant, lawful tenancy criteria. Do not automatically require a guarantor because someone is a student, young, a newcomer, receives public assistance or has another protected status. Applicants can discuss alternative supporting information and accommodation needs. This article is general information, not a guarantee of compliance or legal advice.

Further reading: OHRC fair rental housing guidance and the OHRC policy on human rights and rental housing.