Professional local oversight for the tenant, the property and the underlying real-estate asset.

By Marco Momeni, Broker, RE/MAX Hallmark Realty                           

Your Toronto or GTA property should not become a second job - or a long-distance emergency - simply because you rent it out, move away or live in another country.

Our property management service gives you an experienced local point of contact for the tenant, the property and the decisions that connect the two. We can handle the day-to-day work while keeping you informed about rental positioning, property condition and the longer-term plan for the real estate.

Marco Momeni's team works with clients around the world who need reliable oversight of real estate in the GTA. Some clients own the property directly; in other cases, a parent or another family member owns or occupies the home and the client needs a trusted local professional to coordinate property-related matters. Past assignments have included clients based in Germany, Chicago, Miami, Los Angeles and the Middle East, with needs ranging from a one-year absence to multi-year oversight.

The goal is not to remove the owner from every decision. It is to remove the owner from every routine interruption while making the important decisions easier to see and control.

1. Who is Toronto and GTA property management for?

Professional property management is most useful when distance, time or day-to-day landlord responsibilities are making ownership harder than it needs to be.

It may be a practical fit if:

·      you own a rental condo, house or investment property in Toronto or the GTA;

·      you live outside Canada or outside the GTA;

·      you are relocating for work or family reasons for one or several years;

·      you became a landlord unexpectedly after moving, inheriting or keeping a former home;

·      you are an investor who wants oversight without personally managing every tenant request;

·      you live elsewhere and need local help overseeing a GTA property owned or occupied by a parent or another family member;

·      your property will be vacant and needs reliable local checks; or

·      you want the tenancy managed in a way that also considers the property's condition and future resale.

The owner still controls the major decisions. The management agreement establishes what can be handled routinely, what requires approval and what happens when a true emergency does not allow time for the normal process.

2. What is different about a Realtor-led property management service?

A Realtor-led service manages the tenancy while also considering rentability, property condition and the owner's eventual options to hold, improve, re-rent or sell.

That broader view matters when deciding:

·      how to position the property against competing rentals;

·      which repairs protect the asset and which upgrades are unlikely to add useful value;

·      whether a recurring maintenance call points to a larger building issue;

·      how lease timing fits with the owner's expected return or future sale; and

·      what preparation may be needed before the property is leased again or brought to market.

We do not see only a rent payment and a maintenance ticket. We look at the tenant, the physical property and the underlying real-estate asset.

3. What can your property management service include?

The service is tailored to the property and the owner's needs. A tenanted condominium, a detached house and a vacant home should not be managed with the same checklist.

Rental pricing and leasing

Reviewing comparable rentals, recommending a market position, coordinating marketing and showings, reviewing applications and arranging the lease and move-in process.

Tenant communication, rent collection and monitoring

Serving as the regular point of contact for routine questions, maintenance requests and access arrangements; coordinating rent collection and payment follow-up; and giving the owner a clear update when a decision or escalation is required.

Repairs, maintenance and emergencies

Clarifying the issue, arranging access, coordinating appropriate trades, obtaining estimates where practical, documenting the work and reporting back to the owner.

Condo, seasonal and vacant-property coordination

Communicating with condominium management; coordinating cleaners, landscaping, snow removal, HVAC service, winterization or exterior water shut-offs where appropriate; and arranging agreed condition checks for vacant or temporarily unoccupied homes.

Lease planning and owner reporting

Monitoring relevant dates, organizing records, reviewing lawful rent and renewal options, and providing concise reports so the owner understands what happened, what it cost and what needs attention next.

Insurance-incident coordination

When authorized, helping coordinate communication and access among the owner, tenant, condominium management, insurer or adjuster, restoration company and contractors. Coverage decisions remain with the insurer, and insurance advice remains with the owner's licensed insurance professional.

4. How do you determine the right asking rent?

The right asking rent is the price the current market can support for that specific property - not simply the highest number found online.

We review relevant leased and competing properties, location, condition, layout, parking, building quality, included features and timing. We also look at the cost of waiting.

For example, holding out for an extra $150 per month would add $1,800 over a full year. But one additional vacant month at $3,000 would cost more than that entire increase. The numbers will differ by property, but the decision should always compare the hoped-for rent with the risk and cost of vacancy.

Rental strategy should also fit the owner's plans. An owner returning in two years may value lease timing differently from a long-term investor who expects to hold and re-rent.

5. How are prospective tenants screened?

Tenant screening should use consistent, relevant and non-discriminatory criteria. It can reduce avoidable risk, but it cannot guarantee how any tenant will behave or pay in the future.

Depending on the application and the owner's instructions, the review may consider lawful information such as identity, rental history, credit information, references and income documentation.

Ontario's Human Rights Commission states that rental-housing decisions must be non-discriminatory. It permits landlords to consider income information, credit checks, credit references, rental history and guarantees, but income information must be assessed according to the applicable rules and alongside other available information. A lack of Canadian rental or credit history should not automatically be treated as negative history.

Source: Ontario Human Rights Commission - Identifying discrimination in rental housing

For most private residential tenancies entered into on or after April 30, 2018, Ontario's standard lease is required. The lease, condominium rules where applicable, key arrangements and move-in documentation should all be organized before possession.

Source: Government of Ontario - Guide to Ontario's standard lease

6. Will I still control repairs and important decisions?

Yes. A clear management agreement gives the owner control without requiring the owner to approve every routine action.

Before management begins, we establish:

·      the spending limit for routine repairs;

·      when estimates or advance approval are required;

·      what qualifies as an emergency;

·      who may act if the owner cannot be reached;

·      how often reports will be provided;

·      which expenses and documents will appear in the owner's records; and

·      which services require separate authorization or fees.

This is especially important for overseas owners. A burst pipe, failed furnace or time-sensitive condominium notice cannot wait while everyone tries to determine who is authorized to act.

7. How are repairs, emergencies and insurance incidents handled?

The first step is to understand what is happening, how urgent it is and who needs access. The next step is to coordinate the appropriate response and keep the owner informed according to the agreed approval process.

Good property management is not about making the maintenance message disappear. It is about solving the issue properly, documenting what was done and recognizing when a small problem may be warning of a larger one.

Ontario landlords remain responsible for keeping rental properties in a good state of repair and fit for habitation. Hiring a property manager helps administer that responsibility; it does not transfer the owner's legal obligations.

Source: Ontario Residential Tenancies Act, 2006 - section 20

For a water-loss, fire or other possible insurance matter, we can help coordinate communication and access when authorized. The insurer determines coverage, and the owner should rely on the insurer or insurance broker for insurance advice.

8. How often will my rental or vacant property be checked?

The right frequency depends on whether the property is occupied, vacant or undergoing active work. More visits are not automatically better.

For a vacant home, checks may be arranged weekly, monthly, seasonally or at another agreed interval based on the property's needs and the owner's insurance requirements. The owner should confirm all vacancy-related conditions directly with the insurer or insurance broker.

For an occupied rental, entry must have a lawful and reasonable purpose and follow Ontario's notice rules. The Landlord and Tenant Board explains that entry for repairs or a reasonable inspection generally requires at least 24 hours' written notice specifying the reason, date and a time between 8 a.m. and 8 p.m., except in situations where the law permits entry without that notice. It also cautions against unnecessary or unreasonable entry.

Source: Landlord and Tenant Board - The landlord's right of entry

That is why a weekly walkthrough may make sense for a vacant property or an active repair project, but not as a routine practice for an occupied home.

9. What changes when you manage a condo, house or vacant home?

Each property type has a different operating plan because the responsibilities, access issues and maintenance risks are different.

Condominiums

Condo management often requires more coordination with the building. Move procedures, elevator bookings, parking, keys or fobs, water shut-offs, contractor access, building notices and condominium rules can all affect the tenancy.

Freehold houses

A house usually places more responsibility on the owner for the exterior, roof, landscaping, snow, drainage, heating and cooling equipment, seasonal maintenance and a wider range of building components.

Vacant homes

A vacant home needs oversight focused on security, water, heat, exterior condition, seasonal maintenance, mail and insurer requirements. It is not simply a rental property without a tenant.

10. Can you manage my GTA property if I live outside Canada?

Yes. The service is designed to give overseas and out-of-town owners a reliable local contact who can respond, arrange access and explain what is happening without involving them in every minor issue.

At the beginning, we confirm:

·      your time zone and preferred communication method;

·      repair and emergency approval limits;

·      local and overseas emergency contacts;

·      inspection and reporting frequency;

·      the person authorized to act if you cannot be reached; and

·      the agreed scope of rent, expense and document administration.

One tax distinction is important: living outside Canada does not automatically mean the owner is a non-resident for Canadian income-tax purposes. If the owner is a Canadian non-resident for tax purposes and receives Canadian rental income, CRA withholding and reporting requirements may apply.

The Canada Revenue Agency states that the payer or agent, such as a property manager, generally must withhold 25% of gross rent paid or credited to a non-resident owner. If the CRA approves Form NR6, withholding may instead be calculated on net rental income. Owners should obtain Canadian tax advice and confirm in writing whether any withholding, remittance, NR4 or NR6 administration is included in the management service.

Source: Canada Revenue Agency - Rental income filing and reporting requirements for non-residents

11. What happens if I eventually want to sell?

A future sale is easier to plan when the person advising on the sale already understands the tenancy, lease dates, maintenance history, property condition and access requirements.

When the time comes, we can help you evaluate whether to:

·      continue renting;

·      complete selected repairs or improvements;

·      re-lease on a timeline that fits your plan;

·      sell with the tenant in place; or

·      prepare for a sale after lawful vacant possession becomes available.

A sale does not automatically end an Ontario tenancy, and vacant possession should never be promised without confirming the facts and the law. Legal advice should be obtained where notice, termination or a dispute may be involved.

The practical advantage is continuity. We are not starting from zero when you decide to sell.

12. How much does property management cost in Toronto and the GTA?

Our ongoing property management fees generally start at approximately 6% of monthly rent. The exact fee depends on the property, location, tenancy and level of service required.

The written proposal should make the inclusions clear. Depending on the assignment, separate fees or third-party costs may apply for:

·      finding and placing a new tenant;

·      lease preparation or specialized document work;

·      optional or unusually frequent property visits;

·      major renovation, restoration or insurance-project supervision;

·      legal, Landlord and Tenant Board or licensed-paralegal work;

·      contractors, materials and specialized service providers;

·      non-resident tax administration; or

·      property-specific travel or after-hours attendance.

The percentage is only one part of the comparison. Owners should also compare response procedures, reporting, repair controls, leasing capability, inspection practices and additional charges.

Property management is partly about convenience. It is also about reducing the chance that a missed leak, prolonged vacancy, unresolved tenant issue or neglected repair becomes a much more expensive problem.

Frequently Asked Questions About Property Management

Can you take over a property that already has a tenant?

Yes, subject to reviewing the existing lease, payment records, tenant communications, deposits or key records, outstanding maintenance issues and the authority being transferred to the manager.

Can you manage my home if I am away for only one or two years?

Yes. Temporary relocation is one of the main reasons owners use this service. The plan should be designed around your expected return and whether you intend to move back in, continue renting or eventually sell.

Can you help if my parent or another family member owns or occupies the property?

Yes, when the assignment is clearly authorized and limited to property-related responsibilities. We can coordinate maintenance, access, seasonal work, vacant-home checks and other agreed property matters. This is property oversight, not personal care, medical support or legal representation for the family member.

Will I be contacted about every repair?

Not unless that is what you want. Most owners establish a routine-repair limit and require approval for larger non-urgent expenses. Emergencies follow a separate response procedure.

Do you guarantee the tenant or the rent?

No. Consistent screening and management can reduce avoidable risk, but no property manager can honestly guarantee a tenant's future conduct, payment or the outcome of a legal proceeding.

Do you provide legal, tax or insurance advice?

No. We can coordinate information, documents, access and communication within the management assignment. Legal, tax, accounting and insurance advice must come from the appropriately qualified professional.

Do you manage every property throughout the GTA?

Service availability depends on the property's location, type, condition, occupancy and required level of management. The property should be reviewed before the scope and fee are confirmed.

Speak with Marco About Managing Your Property

Property management works best when expectations, authority and reporting are clear from the beginning.

Before management starts, we should understand:

·      the property and its present condition;

·      whether it is occupied, becoming vacant or preparing for rent;

·      where you live and how involved you want to remain;

·      the repair and emergency approval process;

·      the inspection and reporting schedule;

·      the services included in the fee; and

·      your longer-term plan for the property.

If you own a condo, house or investment property in Toronto or the GTA and want reliable local oversight, speak with Marco Momeni about the property and the level of management you need.

Marco Momeni

Broker, RE/MAX Hallmark Realty Ltd.

24 years of Toronto and GTA real-estate experience | $1B+ career sales

416.700.7070 | MarcoMomeni.com                                

About Marco Momeni

Marco Momeni is a Broker with RE/MAX Hallmark Realty serving Toronto and the Greater Toronto Area. With 24 years of real-estate experience, more than $1 billion in career sales and a background in civil engineering, Marco takes a practical, analytical approach to residential and investment real estate. Learn more about Marco Momeni.

This page provides general real-estate and property-management information. It is not legal, tax, accounting or insurance advice. Tenancy matters should be reviewed with a qualified Ontario lawyer or licensed paralegal where appropriate. Tax and insurance questions should be confirmed with the relevant qualified professional.

External sources

·         Ontario Human Rights Commission - Identifying discrimination in rental housing

·         Government of Ontario - Guide to Ontario's standard lease

·         Ontario Residential Tenancies Act, 2006

·         Landlord and Tenant Board - The landlord's right of entry

·         Canada Revenue Agency - Non-resident rental income filing and reporting