How to Conduct a Tenant Background Check in Ontario (Without the Headaches)

Renting out your property in the GTA can be great—until you end up with a tenant who “forgets” to pay rent or treats your unit like a crash pad for their pet iguana. That’s why a thorough tenant background check is non-negotiable. It’s not about being picky—it’s about protecting your property and ensuring peace of mind.

Step 1: The Rental Application – Your First Line of Defense

Start with a detailed rental application to gather key information:

✔ Full legal name & contact details

✔ Employment history & proof of income

✔ Previous landlord references

✔ Consent for a background and credit check

🔹 Red flag alert: If a tenant hesitates to provide any of this information, think twice before proceeding.

Step 2: Verifying Employment & Income

A steady income means a better chance of on-time rent payments. Here’s how to verify employment:

✅ Request pay stubs or an employment letter.

✅ Call their employer to confirm job status & stability (without overstepping privacy laws).

✅ Ensure their income-to-rent ratio makes sense (generally, rent should be no more than 30-40% of their income).

Step 3: Running a Credit Check

A credit report gives insight into financial responsibility. Look for:

✔ Credit score (650+ is generally good)

✔ Debt levels & payment history

✔ Any outstanding collections or bankruptcies

🔹 How to get a credit report:

• Ask the tenant to provide one (from Equifax or TransUnion).

• Use a landlord-friendly service that pulls reports with the tenant’s consent.

Step 4: Checking Rental History & References

A quick chat with previous landlords can save you from future headaches. Ask:

• Did they pay rent on time?

• Any history of property damage?

• Would you rent to them again?

🔹 Pro Tip: Call the number independently. Some tenants might list a friend instead of an actual landlord.

Step 5: ID Verification & Final Checks

Before handing over the keys, confirm their identity to prevent fraud. Ask for:

✔ A government-issued ID (driver’s license, passport, etc.)

✔ A utility bill or bank statement with their name & address

✔ A signed rental agreement with all terms clearly stated

Final Thoughts

A thorough tenant background check can make or break your landlord experience. Skipping steps now can lead to bigger problems later. Take your time, ask the right questions, and only hand over the keys when you’re confident in your choice.

Because the only thing worse than a bad tenant? Having to evict one. 🚪🔑