Screening student tenants in Nova Scotia can feel overwhelming, but it doesn’t have to be. Here’s a quick guide to help you find reliable tenants while staying compliant with local laws:
- Understand the Market: Student leases are usually short-term (6-12 months), with risks like property damage or late payments.
- Follow the Law: Tenant screening must align with Nova Scotia’s Residential Tenancies Act, including consent for credit checks and fair application practices.
- Create a Strong Application: Use Nova Scotia's Standard Form of Lease (Form P) and collect personal, financial, and guarantor details tailored to students.
- Screen Effectively: Use alternative verification for students with no credit or rental history, like bank statements, student aid proof, or guarantor assessments.
- Check References: Speak with previous landlords, employers, or personal references to confirm reliability.
Quick Tips:
- For International Students: Verify student visas, passports, and financial documents.
- Avoid Application Fees: These are prohibited in Nova Scotia.
- Use a Scoring System: Evaluate applications fairly based on income, references, and academic status.
Following these steps ensures you protect your property while providing fair housing opportunities.
How To Prescreen Tenants: Landlord's Guide
Creating a Rental Application Form
A well-thought-out rental application is key to screening student tenants effectively. In Nova Scotia, it’s essential to ensure your application complies with both the Residential Tenancies Act and the Human Rights Act [3], while gathering the necessary details about potential renters.
Key Information to Include
Your rental application should align with Nova Scotia's Standard Form of Lease (Form P) [1]. This ensures all legally required information is collected. Here’s what to include:
| Category | Details to Collect |
|---|---|
| Personal Details | Full name, address, phone number, email |
| Employment | Employer, position, income |
| Financial | Bank details, monthly income |
| References | Previous landlords, character references |
| Emergency Contact | Name, relationship, phone number |
| Lease Details | Move-in date, lease term |
Don’t forget: Provide tenants with a copy of their lease within 10 days [2]. This is a legal requirement in Nova Scotia.
Student-Specific Sections
For student tenants, it’s helpful to include fields that address their unique circumstances. By building on the standard form, you can tailor your application to capture academic and guarantor information. For instance, Kirin Property Management, a company specializing in student rentals in Nova Scotia, suggests adding these sections:
-
Academic Information
Collect details such as:- University or college name
- Student ID number
- Expected graduation date
- Program of study
-
Guarantor Information
Since many student tenants require a guarantor [4], include fields for:- Guarantor's full name and contact details
- Relationship to the student
- Employment information
- Income verification
- Authorization for a credit check
-
Alternative Verification
For students without a rental history, consider requesting:
For international students, it’s important to gather additional details, such as:
- Student visa and passport information
- International banking details
- Bank statements covering the past 12 months [6]
Background and Credit Check Process
After a detailed rental application is submitted, background and credit checks help determine an applicant's financial and legal suitability. These checks should comply with legal requirements and include options for applicants with limited credit history.
Student Credit Check Methods
Students often lack extensive credit history, making traditional credit checks less effective. Data shows that individuals aged 18 to 24 have an average credit score of 692[9].
| Assessment Method | Required Documents | Notes |
|---|---|---|
| Standard Credit Check | Name, address, DOB | Tenant must be notified[8] |
| Student Loan Verification | Government loan documents | Suitable for students over 22[9] |
| Bank Statement Review | 12 months of statements | Shows consistent funds or income |
| Guarantor Assessment | Guarantor credit report | Evaluates financial risk through guarantor |
When reviewing credit, focus on payment history, current debt, length of credit history, and credit mix. For international students, additional documentation is often required.
International Student Verification
For international students, the evaluation process must be thorough while adhering to privacy laws, including the Personal Information Protection and Electronic Documents Act (PIPEDA)[10].
Key steps include:
-
Document Authentication
- Verify student visa status.
- Check passport details.
- Confirm enrollment with the educational institution.
- Review financial documentation from the applicant's home country.
-
Financial Verification
- Request international bank statements for the past 12 months and proof of ability to transfer funds.
- Assess credit history from the applicant’s home country, if available.
-
Privacy Compliance
- Obtain consent for collecting and using personal data.
- Use the information solely for screening purposes.
- Ensure tenant data is protected as required by law.
"They must obtain an individual's consent when they collect, use or disclose that person's personal information (except in limited, defined circumstances set out in the law.)" [10]
For both domestic and international students, criminal record checks are generally discouraged. Jeremy Jackson, president of the Investment Property Owners Association of Nova Scotia, highlights this:
"Landlords are allowed to ask for it, but I can tell you [in] my experience here at Killam, both on the apartment side and also on the manufactured home community side, it is not our practice to do the criminal records check." [7]
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Reference and Rental History Checks
After completing background and credit checks, it's time to assess tenant suitability through reference and rental history evaluations. This step is especially important for student applicants who may not have a traditional rental history.
Questions for Reference Checks
When speaking with previous landlords, employers, or personal references, ask specific questions to get a clear picture of the applicant. For landlords, focus on:
- Monthly rent: Was it paid on time?
- Property care: Did they maintain the property well?
- Behavior: Were there noise complaints or lease violations?
- Reason for leaving: Why did they move out?
Be cautious of red flags like unverifiable rental addresses, inconsistent rental history, or a landlord's reluctance to re-lease to the applicant.
For employer references, ask about:
- Employment status: Are they currently employed?
- Income: Does their monthly income support the rent?
- Job stability: How secure is their position?
- Punctuality: Are they reliable at work?
Personal references can provide insight into the applicant's character, lifestyle, and living habits.
"It can be challenging to find a place to rent with no rental history, but it's not impossible." [12]
These checks are particularly helpful for evaluating students or first-time renters who lack rental experience.
Evaluating New Renters
For applicants without rental history, consider alternative ways to assess their reliability:
Financial Records
- Bank statements showing consistent funds
- Income tax returns from the past three years
- Recent pay stubs from part-time jobs
- Proof of approved student loans
Character and Academic Proof
- Completion of the NSCC workbook and quiz [11]
- Proof of current enrollment in school
- References familiar with Nova Scotia rental practices [11]
- Verification letters from employers
"Normally, if you go talk with a real estate agent or property manager, they will be able to look at your work history and finances and help you get approved to get into a rental." [12]
To strengthen applications from first-time renters, you might also accept:
- Prepayment of three months' rent
- A co-signer, like a parent or guardian
- An additional security deposit (within legal limits)
- A written explanation of their future academic or housing plans
- Bank statements showing scholarship or loan deposits
Always verify reference contact details independently to ensure the information is accurate and avoid potential fraud.
Selecting Student Tenants
After gathering all necessary documentation and references, use a fair scoring system to evaluate potential tenants. This approach ensures every application is reviewed based on specific criteria.
Application Review System
A points-based system can help you assess applications objectively. Here's an example:
| Criteria | Points | Details |
|---|---|---|
| Income/Guarantor Strength | 40 | Credit score above 620 or income 3× rent |
| Academic Status | 20 | Enrollment verification, program length |
| References | 20 | Previous landlord or character references |
| Payment History | 20 | Bank statements showing payment reliability |
When evaluating applications, focus on:
- Financial Stability: Check the guarantor's credit score and income.
- Academic Commitment: Verify enrollment and program duration.
- Payment Options: Look for applicants willing to set up automatic payments.
"In the case of college students, credit checking the cosigner (usually a parent) is even more important than the student themselves." – Nathan Miller, Pro Member
Application Response Process
Once you've identified the top candidates through your scoring system, follow a clear response process:
- For Accepted Applications: Notify approved applicants within 24–48 hours. Provide detailed instructions for signing the lease and arrange the move-in date.
- For Declined Applications: Inform applicants promptly. If the decision is credit-related, include the credit bureau's contact details. Keep records of your selection criteria and decisions for future reference.
Keep in mind that Nova Scotia law prohibits charging application fees [14], and all decisions must comply with fair housing laws [13]. If this process feels overwhelming, professional property management services can simplify tenant screening while ensuring compliance with local regulations.
Conclusion
Screening tenants effectively means balancing risk management with fair housing practices. This approach not only protects your investment but also helps you find reliable student tenants.
Resources for Landlords in Nova Scotia
Here are some tools to make the screening process easier:
| Resource Type | What It Offers | Features Included |
|---|---|---|
| Property Management Services | Expert tenant screening | Credit checks, background checks, lease setup |
| Online Screening Platforms | Automated application tools | Digital forms, instant credit reports |
| Legal Documentation Tools | Help with compliance | Standardized forms, lease templates |
For example, Kirin Property Management (https://kiringrp.com) provides tenant screening backed by data and real-time reporting, ensuring both compliance and efficiency.
Managing Student Tenants
Once you've chosen the right tenants, managing them effectively is crucial for a hassle-free rental experience. Key steps include:
- Income Verification: Confirm that guarantors have an income 2-3 times the monthly rent [15].
- Record Keeping: Maintain thorough records of all screening processes.
- Clear Communication: Establish clear guidelines for rules and maintenance responsibilities.
Using professional services can make compliance and management much easier.
