More Toronto landlords are being offered a different kind of tenant: a company that leases the unit for a fixed term and pays a set rent every month. Done right, it's one of the most hands-off ways to rent a unit. Done badly, it can leave you with an empty unit, an unpaid bill and a lease you wish you'd read more carefully.
Here's a plain checklist of what to ask any company that wants to lease your unit, the red flags to watch for, and how BookedHosts answers each question.
The checklist: 10 questions to ask before you sign
1. Who exactly is the tenant on the lease?
The company itself should be the tenant on a written lease, not an individual or a vague "partner". You want to know exactly who owes you the rent.
2. Is the rent guaranteed in writing, even when the unit is empty?
The whole point is a fixed rent you can count on. The lease should say how much, when it's paid, and that it's owed whether the unit is occupied or not.
3. How long is the term, and what happens at the end?
Look for a clear term you choose up front, and clear terms for handing the unit back: what condition it comes back in, and who cleans and inspects it.
4. Who pays for furniture and setup?
Some companies expect the owner to furnish the unit. Find out who pays for furniture, styling and supplies, and who owns them when the lease ends.
5. What insurance do they carry?
Ask what their insurance covers and ask to see proof of it. It's also worth calling your own insurer so your policy matches how the unit will be used.
6. Who handles repairs and damage, and how fast?
Get it in writing: who fixes small repairs, who pays for damage, and how quickly problems get handled. You shouldn't be the one taking calls at 2am.
7. Who will actually stay in your unit?
Ask who the guests are, how they're screened, whether every stay is on a signed agreement, and what the house rules are. A clear no-party policy should be a given.
8. Does your building allow it?
If your unit is in a condo, your building's declaration and rules decide how it can be rented. A serious company will only take your unit if the building allows short-term rentals. You can check your building in our free Toronto condo STR checker.
9. What's their track record?
Ask how many properties they run, how long they've operated, and what guests say about their stays. A company that runs units well will be happy to show you.
10. Are there any fees?
If a company is renting your unit, you shouldn't be paying it. Ask directly whether there are any fees, commissions or charges taken out of your rent.
Red flags
- Rent that sounds too good to be true, with no explanation of how they'll pay it.
- Pressure to sign the same day, before you've seen the lease or had time to review it.
- No written lease, or a lease that leaves out the rent, the term or what happens at the end.
- No proof of insurance when you ask for it.
- Vague answers about who stays or how guests are screened.
- Fees for you, when they're the one renting your unit.
- Happy to take a unit in a building that doesn't allow it. That puts the risk on you.
Whoever you work with, it's always worth having the lease reviewed by your own lawyer before you sign.
How BookedHosts answers the checklist
With BookedHosts Guaranteed Rent, here's where we stand on each question:
- The tenant: BookedHosts becomes your tenant on one lease, with one signature.
- The rent: a fixed rent on the 1st of every month, occupied or not. It's often a little above what a typical long-term tenant would pay.
- The term: one to three years, chosen up front. You're never locked in past it, and the unit comes back professionally cleaned and inspected.
- Furniture and setup: we furnish and style the unit at our cost, not yours.
- Insurance: the unit is insured, and every stay is covered and documented.
- Repairs and damage: small repairs are handled without a call to you, and damage is ours to fix.
- Who stays: professionals, consultants on contract and relocating families, every stay on a signed agreement with a strict no-party policy.
- Your building: we only take condos in buildings that allow short-term rentals, and above-grade units only.
- Track record: we manage 90+ properties across the GTA, with a 4.87★ average guest rating.
- Fees: none. No fees and no commissions. We're renting your unit, not managing it.
Want the full picture first? Read Guaranteed Rent in Toronto: How It Works or how it compares with a long-term tenant.
See what your unit could qualify for
If you own a bright, above-grade unit in Toronto, see what your unit could qualify for. It takes about 60 seconds, and you'll get an answer either way.
