Renting in Canada — Step by Step
Your complete guide from arriving in Canada to signing your first lease. Click each step to expand.
All major Canadian banks offer Newcomer Banking packages you can open online before you land in Canada. This gives you a Canadian account to pay your first + last month's rent deposit.
- TD Bank – New to Canada package (open pre-arrival at td.com)
- RBC – Newcomer Banking (open pre-arrival at rbc.com)
- Scotiabank – StartRight program (free first year)
- Tangerine or EQ Bank – digital-only, good for savings
💡 Tip: Once your account is open, transfer your first + last month's rent so a certified cheque is ready when you find a place. This makes your application stronger.
A general Canadian guideline is to spend no more than 30% of gross monthly income on rent. Landlords typically require your gross income to be at least 3x the monthly rent.
💡 Tip: Durham (Oshawa, Ajax, Whitby, Pickering) is 20–30% cheaper than downtown Toronto and has excellent GO Train access. Many newcomers start there.
As a newcomer, you may have no Canadian credit history. This is the #1 concern landlords have. The solution is a strong financial trust package that replaces your credit score with evidence.
- Canadian employer offer letter — on company letterhead, signed, showing salary, title, start date, full-time permanent status. This is your anchor document.
- Passport (photo page copy)
- Work Permit / Visa copy
- Last 6 months bank statements (from your home country showing savings)
- Nova Credit report (converts your home country credit to Canadian format — novacredit.com)
- Home country credit report (e.g., Indian CIBIL score — 750+ is strong)
- Previous landlord reference letter (English or translated)
- 2 personal/professional references
In Ontario, tenant-side realtor services are typically free to the tenant. The landlord or listing brokerage pays the co-operating commission. You get expert help at no cost.
Your realtor will: find listings before they hit public sites, book and coordinate showings, prepare the rental application, draft and negotiate the Agreement to Lease, and guide you through signing the Standard Lease.
When you find a unit you want, your realtor prepares an Agreement to Lease (OREA Form 400) — this is your formal offer to the landlord. It includes rent, move-in date, lease term, and conditions.
Along with the ATL, you submit your full application package. The landlord reviews everything and either accepts, counters, or declines.
💡 Tip: Strong applications get accepted same-day. Weak packages (missing docs, no credit) get rejected. Building the package in Step 3 is the most important thing you can do.
Once your ATL offer is accepted, the landlord prepares the Ontario Standard Lease (Form 2229). This is the mandatory provincial tenancy contract — the ATL was just the offer stage.
- Review all terms carefully — rent amount, term, inclusions (utilities, parking, locker)
- Schedule A (additional terms) — read every clause, especially around pets, smoking, guests
- Pay first + last month's rent (certified cheque or bank transfer)
- Get your copy of the signed lease — you're entitled to it by law
Tenant (renter's) insurance covers your belongings if there's a fire, flood, or theft. It also covers your liability if you accidentally damage the unit. Most landlords require proof before handing over keys.
- Intact Insurance, Aviva, Square One — all offer newcomer-friendly policies online
- Cost: typically $15–25/month for $30,000 in coverage
- Can be purchased and activated same-day online — bring proof to key handover
Ontario's Residential Tenancies Act gives tenants strong protections. Here are the most important ones to know:
- Landlord must give 24-hour written notice before entering your unit (except emergencies)
- Rent can only increase once per year, and only by the provincial guideline amount (set each year)
- Landlord cannot lock you out or remove your belongings — illegal eviction carries heavy penalties
- If landlord doesn't provide Standard Lease within 21 days — you can withhold one month's rent
- Landlord must maintain the unit in a good state of repair — heating, plumbing, appliances
- Disputes go to the Landlord and Tenant Board (LTB) — not court — it's faster and tenant-friendly
Ready to Find Your First Canadian Home?
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Buying Your First Home in Canada
As a newcomer, you can buy property in Canada — even as a non-permanent resident. Here's how it works.
Canadian lenders (banks and mortgage brokers) can lend to newcomers — but requirements vary. You typically need a minimum 20–35% down payment as a newcomer buyer without established Canadian credit.
- Canadian employment income (minimum 3 months at new job)
- Proof of down payment — must show 90-day history of funds
- Work Permit with sufficient remaining validity
- RBC, TD, and Scotia all have specific Newcomer Mortgage programs
Budget for these closing costs on top of your purchase price and down payment:
Some government programs are available to newcomers who qualify as first-time buyers:
- First Home Savings Account (FHSA) — tax-free savings account for first home. Contribute up to $8,000/year, $40,000 lifetime. Available to Canadian tax residents including work permit holders.
- RRSP Home Buyers' Plan — withdraw up to $35,000 tax-free from RRSP for a first home purchase. Must repay over 15 years.
- First-Time Home Buyer's Tax Credit — $10,000 federal tax credit = up to $1,500 back on taxes.
- Toronto Land Transfer Tax Rebate — first-time buyers in Toronto can get up to $4,475 back.
The buying process in Ontario typically takes 30–90 days from accepted offer to closing (possession day).
- Sign Buyer Representation Agreement with your realtor (Form 300)
- View properties (in person or virtual tour)
- Submit offer (Agreement of Purchase & Sale — Form 100 or 101)
- Negotiate and go firm (conditions on financing + inspection typical)
- Lawyer handles title search, closing paperwork
- Closing day: funds transfer, you get keys
Thinking About Buying in Canada?
I'll walk you through every step — from checking your eligibility to finding the right property in your budget. Free consultation, no pressure.
Document Checklist
Check off documents as you gather them. This checklist is saved in your browser session.
📁 Rental Application Package
Building Your Canadian Credit Score
No Canadian credit history is the biggest hurdle for newcomers. Here's how to build it fast.
A secured credit card requires a deposit (e.g., $500) which becomes your credit limit. Use it for small monthly purchases and pay it off in full every month. This builds your score quickly.
- Scotiabank Value Visa — low annual fee, good for newcomers
- CIBC Secured Visa — easy approval for newcomers
- Capital One Guaranteed Mastercard — no credit check required
Nova Credit (novacredit.com) converts your home country credit score into a Canadian-readable format. Currently supports India (CIBIL), Mexico, Australia, UK, Germany, Brazil, Kenya, Nigeria, and others.
- Free for applicants to request their own report
- Accepted by major property management companies in Ontario
- Present alongside your application package for maximum impact
Frequently Asked Questions
The questions I get asked most by newcomer clients. Click any question to see the answer.
Newcomer Resources
Trusted links and services for newcomers to the Toronto & GTA area.
I Specialize in Newcomer Clients
No Canadian credit history? Pre-arrival search? Virtual showings? Work permit restrictions? I've done it all. Let's talk about your specific situation — free, no pressure.