How to Screen Tenants: The Ultimate Guide for Canadians

Want to find out how to screen tenants? If you own a rental property in Ontario or are a landlord, then you already know, screening tenants is everything. But let’s get this straight from the start: this is not a fluff piece about generic tenant screening checklists. We’re diving deep into what truly works, especially here in Ontario. Backed by real-world experience from us at Golfi Property Management, we’re going to show you how to screen tenants the right way while also boosting your rental income.

According to the Canada Mortgage and Housing Corporation (CMHC), poor tenant screening is one of the leading causes of rental income loss and legal disputes in Ontario. And yet, most landlords still use the same outdated screening methods that don’t align with today’s legal and economic landscape.

And this isn’t just about screening for red flags—it’s about using screening as a strategy to increase revenue, minimize risk, and attract long-term, high-quality tenants. After all, you don’t want tenants from the bad tenant list.

We proudly serve areas across Hamilton, Halton, Niagara, and Brantford, helping landlords like you manage properties more efficiently.

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Why Proper Tenant Screening Matters More Than Ever

Tenant screening isn’t just about finding someone who can pay rent. It’s about protecting your investment and making sure your property performs at its best. Here’s why it matters:

• Reduces risk of missed payments and evictions

• Protects your property from damage

• Boosts retention and reduces turnover costs

• Strengthens your legal standing if disputes arise

Tenant screening is your first line of defence—and offence—in maximizing rental returns.

Top 5 Tenant Screening Strategies to Boost Rental Income

These are the exact strategies we use at Golfi Property Management to help Ontario landlords grow their rental income while minimizing risk. We’ve refined these over the years to create a balance of protection, profitability, and legal compliance.

1. Optimize Listings to Attract High-Quality Tenants

You can’t screen good tenants if you’re not attracting them in the first place.

We start with high-performing rental listings. That means:

• Professional photography to highlight the best features

• Detailed descriptions that clearly communicate rental terms

• Targeted advertising on platforms where responsible tenants are searching (e.g., Realtor.ca, Zumper, Rentals.ca)

• Transparent pricing to avoid tire-kickers

Why this matters:
Good tenants are selective. They look for professional, clean listings that suggest a responsible landlord. When your listing is optimized, you attract a higher calibre of applicants, which makes screening more effective.

Think of it like online dating. If your profile is lazy, you’re not going to attract your ideal match.

2. Use Verified Credit and Background Checks

This may sound obvious, but you’d be surprised how many Ontario landlords skip this step—or use the wrong tools.

Here’s what we do:

• Pull a full credit report from Equifax or TransUnion

• Conduct a criminal background check (where legally permissible)

• Use rental history databases to identify prior evictions

• Cross-reference employment verification and income statements

💡 Practical Tip: Always get written consent for credit and background checks. It’s not only ethical—it’s legally required under Canadian privacy laws.

Bonus Income Tip:
A strong tenant history often correlates with on-time rent payments, property care, and longer stays—all of which protect your bottom line.

3. Implement Tiered Tenant Scoring Systems

One of the most effective strategies we’ve developed at Golfi Property Management is a Tenant Scoring Matrix—a systemized way to evaluate applicants across multiple criteria.

Example scoring factors:

By scoring each applicant objectively, you reduce personal bias and make data-driven decisions that improve income stability.

Pro Tip:
Only accept tenants with a minimum total score (e.g., 75%) to maintain quality control.

4. Conduct In-Depth Tenant Interviews

Once the paperwork looks good, we always do a final tenant interview—either virtually or in person.

We’re not just listening for answers; we’re evaluating:

• Communication style (Are they respectful and clear?)

• Understanding of lease terms (Do they ask the right questions?)

• Lifestyle habits (Do they fit the property and neighbourhood?)

This human touch makes all the difference. While credit and reference checks paint a financial picture, interviews show you how a person will behave day-to-day.

Common Red Flags:

• Dodging questions about previous landlords

• Over-negotiating rent before seeing the place

• Frequent job changes without reason

Screening tenants is like hiring employees—you wouldn’t hire someone just based on their resume, right?

5. Use Legally-Binding Custom Lease Agreements

This one’s simple, but it’s where many landlords fall short.

We always use customized lease agreements tailored to Ontario’s Residential Tenancies Act (RTA). While you must use the Ontario Standard Lease template, you can (and should) add legal addenda that:

• Clarify pet rules, smoking, subletting, maintenance expectations, etc.

• Include clauses for rent increase timelines

• Outline property-specific rules clearly

Why this boosts income:
Clear lease terms reduce misunderstandings, late payments, and legal costs—making your rental operation smoother and more profitable.

How Much Does Proper Tenant Screening Cost?

Let’s break it down:

While tenant screening does cost money upfront, the return on investment is massive. One bad tenant can cost you thousands in lost rent, damage, and legal fees.

Common Mistakes Landlords Make While Screening Tenants

Avoiding these can save you a fortune.

• Skipping credit checks

• Relying only on gut feelings

• Not checking references thoroughly

• Using outdated lease templates

• Rushing the process to fill vacancies faster

Remember: A month of vacancy is cheaper than six months of unpaid rent from the wrong tenant.

Practical Screening Tips from the Pros

• Always meet your tenant before approval—even virtually.

• Use a scoring system to stay consistent and fair.

• Never skip verification steps just because someone “seems nice.”

• Trust your process, not your gut.

• Document every communication and keep copies of applications and reports.

Myths vs Facts About Tenant Screening: About How to Screen Tenants

Conclusion: Smart Screening = Stronger Profits

At the end of the day, knowing how to screen tenants isn’t just about avoiding bad tenants. It’s about building a system that protects your investment, reduces stress, and boosts your rental income over time.

At Golfi Property Management, we’ve helped hundreds of landlords across Hamilton, Halton, Niagara, and Brantford implement these strategies and watch their rental businesses grow. Want help doing it right the first time? We’ve got your back.

Frequently Asked Questions (FAQs) on How to Screen Tenants

1. What is the most important part of tenant screening in Ontario?
The most crucial part is verifying income and credit history through legal checks. These give a reliable snapshot of financial reliability.

2. Can I reject a tenant based on their credit score?
Yes, if the decision is based on financial reasons. You must apply consistent screening criteria to all applicants to avoid discrimination.

3. Are personal references necessary when screening tenants?
While not as crucial as landlord references, personal references can give extra context about behaviour and reliability.

4. Is it legal to ask for employment verification in Ontario?
Yes, it’s standard practice. Just ensure you get written consent and handle the information responsibly.

5. Should I use a property management company for tenant screening?
If you’re short on time, knowledge, or legal expertise, hiring a professional company like Golfi Property Management can save you from costly mistakes.