Renting after selling your home: what to know

Renting after selling is a practical and increasingly common choice in Canada. Whether you're between purchases, relocating, or simply stepping back from ownership for a while, here's what to expect and how to prepare.

You'll Be Treated Like Any Other Rental Applicant

Owning a home previously doesn't automatically make you an attractive rental applicant. Landlords assess renters based on income, credit history, and rental references. If you've owned for many years, you may not have a recent landlord reference, which is worth anticipating.

Prepare a strong application package: recent proof of income or evidence of financial assets, a credit report, photo ID, and a brief introduction explaining your situation. Being a former homeowner with equity from a sale is a legitimate indicator of financial stability, and mentioning it in your introduction is appropriate.

Understand Your Rights as a Renter

If it's been a long time since you rented, provincial tenancy laws may have changed significantly. Familiarize yourself with the rules in your province before signing a lease, including your rights around rent increases, maintenance, privacy, and ending the tenancy.

Think About Lease Length

If you're between purchases and plan to buy again within a year, a fixed-term lease of 12 months may feel constraining. Look for month-to-month options or shorter fixed terms if flexibility is important. Be aware that shorter terms or month-to-month arrangements may come at a premium in competitive markets.

Budget for the Full Cost of Renting

As a former homeowner, you may not have budgeted for rent in a while. Factor in not just monthly rent but also:

• Tenant insurance
• Utilities if not included
• Parking
• Upfront costs including first and last month's rent deposit

Use a Verified Platform

Using a platform like liv.rent with verified landlords and digital lease signing makes it easy to find and secure a rental safely, whether you're moving across the city or across the country. Your entire rental history, lease documents, and communications are stored in one place throughout your tenancy.