by Blue Vesta 
A good screening process protects a rental property, but getting it wrong, even with good intentions, can create real legal exposure in Ontario. It’s not always clear what makes a screening criterion reasonable versus discriminatory, and it’s easy to cross the line without realizing it. This checklist covers what you need to collect and check, plus the parts of the process that have legal restrictions landlords need to know before putting up a listing.
A Tenant Screening Checklist Designed for Ontario Regulations
Start With a Complete Rental Application
Every applicant completes the same standard application form, providing their full legal name, current and past addresses, employment details, and contact details for references. This information forms the foundation of the rest of the screening process and helps inform the approval or denial decision.
Run a Credit Check, With Written Consent
A credit check provides a snapshot of payment history and existing debt load, but requires the applicant’s written permission to run. Ontario landlords can also obtain a credit reference or a full credit check as part of a legitimate screening process, but only with prior consent and documentation.
Verify Rent and Income, Not Source
Income verification should look at whether the applicant can reasonably afford the rent, often measured against a guideline of about 30% to 40% of gross income. The only relevant consideration is whether the applicant can pay, not where the income comes from. Under Ontario’s Human Rights Code, you can’t refuse a tenant based on where their income comes from, including government financial assistance. So, your screening criteria should be about affordability, not the source of income.
Contact Rental History and Employment References
A quick phone call to a current or past landlord and employer can help verify the information provided in the application. Ask about payment history, notice given when vacating, and general reliability. If possible, verify both employment and income with the employer.
Apply the Same Criteria to Every Applicant
A screening process stays compliant through consistency. Using one income threshold, one reference-checking process, and one credit standard for all applicants helps demonstrate consistent treatment and reduce the risk of allegations of unequal treatment. Even with good intentions, like waiving a credit check for one applicant because they seemed trustworthy in person, legal risk tends to creep in with a process that flexes case by case. It becomes hard to show every applicant was actually evaluated the same way.
Know What You Are Not Allowed to Ask
Ontario’s Human Rights Code prohibits refusing a rental applicant based on a protected ground, including race, ancestry, place of origin, religion, sex, age, sexual orientation, marital or family status, disability, and receipt of public assistance. Questions and criteria should be related to creditworthiness, rental history and ability to pay, and should not, directly or indirectly, relate to these protected categories.
A Few Records Worth Keeping on File
Beyond the screening steps, a few habits make the process defensible if it ever comes under scrutiny.
- Keep a copy of signed consent for credit and reference checks for each applicant.
- Document the basis for any denial, using the same criteria that are used for all applicants.
- Keep applications and screening notes for a reasonable period after the decision, in case a dispute comes up later.
Screen With Confidence, Backed by Blue Vesta’s Local Experience
The key to a good tenant screening process is consistency: the same application, the same verification steps, and the same standards for everyone, within the scope of Ontario’s Human Rights Code. Failing to follow a consistent screening process can create both practical and legal risks.
Blue Vesta uses its local expertise in the London, Ontario rental market for every screening decision, drawing on years of experience placing tenants in the city’s neighbourhoods while remaining compliant with Ontario’s rental rules. The same process applies to properties in Sault Ste. Marie too. Call Blue Vesta and get your screening done by people who know where the legal lines are drawn.
FAQs
Can I refuse a rental applicant because they are on social assistance?
No. Ontario’s Human Rights Code makes it illegal to deny a tenant because of their source of income, which includes government financial assistance. Screening should be based on the ability to pay, not where the money comes from.
What is a reasonable income-to-rent ratio to use?
A common rule of thumb is that rent should account for no more than 30-40% of an applicant’s gross income. Apply this uniformly to all applicants, and do not adjust it on a case-by-case basis.
Do I need written permission to run a credit check?
Yes. A credit check requires the applicant’s written consent, which you should document and keep with the application.
What if the applicant fails to provide the requested documents?
It is fair to require a complete application before proceeding, provided you apply the same condition to all applicants. An incomplete application can be a reasonable reason to stop the process, provided the same requirement is applied consistently to all applicants.
