Do you have permission to rent?
Before renting a townhome or condo in a Strata Corporation you need to be sure you have permission from strata to rent. Permission can be granted in many forms, depending on who you are renting to. Where can an owner find the information about renting their property?
The first place to look is the Strata Corporation bylaws. If the bylaws don’t have a rental restriction bylaw, you would allowed to rent the property. The Strata Property Act allows some Strata Corporations to have a rental restriction bylaw preventing an owner from renting without council permission. The act also has provisions allowing owners exceptions to rent to certain types of people even when the Strata Corporation has a rental restriction bylaw.
When a rental restriction bylaws is present, owners are permitted to rent to “family members” as described in the Strata Property Regulations. The regulations define “Family Members “ to include the immediate family of the owners. Immediate family being spouses, parents or children of one of the owners. These regulations exclude siblings, uncles and cousins as they are not “immediate family”. Strata Corporations may also grant permission to rent the unit to an owner who requests a hardship exemption.
Another place to look is the form J for your property. In January of 2010 the Strata Property Act was amended requiring the developer to identify a specific time on the Form J, “rental disclosure statement” stating when the unit’s rental period expires. Many properties built after 2010 have a time frame over 100 years for an allowable rental. The time frame on the form J limits the strata corporation from incorporating a rental restriction bylaws before that date.
What happens when an owner doesn’t have permission to rent their strata lot and is in violation of a rental restriction bylaw? The Strata Corporation is in a position to identify the owner as being in contravention of the bylaws. If found to be in violation, they may impose fines up to the amount of $500. It could be determined that each day the unit is rented there is a contravention and it could be considered a continuous contravention of the bylaw which allows for a fine every 7 days.
Before you rent your strata lot clarify with your Strata Corporation if you have or need permission to rent. Start by reviewing your bylaws to see if there is a rental restriction bylaw, then review the strata property act and regulations, review your form J which would have been provided with your purchase documents. Speak to a professional if you are unsure.
Need assistance managing your rental property? contact us for an evaluation of your needs.
Cartref Properties specialises in managing rental units located within Strata Corporations.
www.cartrefproperties.com
