Tenancy agreements

A tenancy agreement is a contract between a landlord and tenant. Landlords must prepare a written agreement for every tenancy. Both landlords and tenants must sign and date the agreement.

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Written tenancy agreements protect everyone

A tenancy agreement, also called a lease, is a written agreement between a landlord and tenant. Landlords can create their tenancy agreement, but it needs to have all standard terms.

A tenancy agreement lets tenants live in a rental unit as long as they pay rent and follow the rules. It can also set out the legal terms and conditions of a tenancy.

Tenancy agreements can either be:

All tenancy agreements should be in writing in case of future issues or disputes. If a tenancy agreement is not in writing, the standard terms of a tenancy agreement still apply, but it is best to have a written agreement.

Month-to-month and fixed term tenancies

Month-to-month tenancies are flexible and ongoing

A month-to-month tenancy, also called a periodic tenancy, does not have an end date. The tenancy renews each month unless the tenant or landlord ends it.

Month-to-month tenancies allow tenants to stay in a rental unit for as long as they need as long as they pay rent and follow the tenancy rules. This flexibility can be helpful for many tenants.

Landlord use evictions

A drawback of month-to-month tenancies is that landlords can evict tenants with 2 to 4 months' notice for the landlord's use of property. This can include:

Fixed-term tenancies are stable and have an end date

A fixed-term tenancy, also called a lease, has a date the tenancy agreement ends. Fixed-term tenancies are usually for one year. The tenant and landlord can decide to renew it for another year when it ends or let it go month-to-month.

If the tenant wants to rent month-to-month, the landlord can't make them sign another fixed-term agreement.

Note: In most cases, a fixed-term tenancy can't end simply because the agreement has ended. The landlord can only include a vacate clause, which requires the tenant to leave at the term's end, if it's a sublet or if the landlord or a close family member plans to move in. Otherwise, it automatically becomes a month-to-month tenancy.

Fixed-term tenancies are less flexible

If a tenant decides to end a tenancy early, they will break the lease and may owe the landlord money if the landlord applies for dispute resolution.

The landlord can only apply for dispute resolution to seek compensation if they have taken steps to mitigate the loss, such as attempting to re-rent the unit.

What to include in a tenancy agreement

Every tenancy agreement needs to have the standard terms that are required by the Residential Tenancy Act, even if landlords create their own agreement.

These terms make sure that tenancy agreements are fair and help protect everyone.

Basic information

Information on the tenancy agreement should include: