8 Landlord Secrets: Renting Without a Canadian Credit History

Moving to Canada is an exciting experience, but finding a place to live can be stressful. You may find the perfect apartment, only to see the application demands a “Canadian credit history” you don’t have yet. This can feel like an impossible barrier for many newcomers.

We know this feeling well because we’ve lived it. When we were moving to Canada in 2022, we were unable to get an apartment because of our lack of credit history. That first-hand experience is why we created this article. We don’t want you to feel that same panic.

To make this the most practical guide possible, we’ve combined our first-hand lessons with research into what actually works. We’ve dug into advice from official sources like the Canada Mortgage and Housing Corporation (CMHC), as well as real-world stories from other newcomers and landlords.

This way, you get the strategies we wish we’d known, all in one place. We’re here to help you prove you’re a reliable tenant, even without a Canadian credit score.

Disclaimer: This guide is for informational purposes. Rental laws and deposit rules vary by province. It’s always best to consult your local tenancy board, like the Landlord and Tenant Board (LTB) in Ontario, for specific advice.

Why Landlords Ask For A Credit History

A credit history is just one part of the overall process of renting your first home in Canada. To a landlord, it’s a “risk assessment” tool to see if a potential tenant pays their bills on time.

For a great overview of the rental process, check out the Financial Consumer Agency of Canada’s guide on renting. Your goal as a newcomer is to prove you are a low-risk, dependable tenant in other ways. Let’s explore how.

A Smart First Step: Consider Temporary Housing

Before you start signing a 12-month lease, consider giving yourself some “breathing room.” Renting temporary accommodation, like a long-stay hotel, an Airbnb, or staying with family for a few weeks, is a smart first step.

This allows you to land in your new city, open your first Canadian bank account, and gather the documents without rushing into a 12-month lease. You can then handle your apartment search with confidence, not desperation.

Once you’re settled, you can start the next phase. We’ve put together a full guide of practical apartment hunting tips for newcomers to help you find the best listings. The Canada Mortgage and Housing Corporation (CMHC) also has an excellent guide for newcomers that covers this process.

What Landlords Are Actually Thinking (And How to Win Them Over)

It’s helpful to understand the landlord’s perspective. Their main fear is a tenant who doesn’t pay rent. In provinces like Ontario, the Landlord and Tenant Board (LTB) can have long backlogs, meaning it could take a landlord 6-12 months to evict a non-paying tenant. This makes them “super cautious”.

Your “rental application” is your chance to prove you are not a risk.

From a Landlord’s Perspective: “Private landlord here. If a tenant can provide a truthful explanation of their situation as well as proof of savings (bank statements) I’ve… been willing to overlook not having current employment, previous landlord references etc.”

(Source: https://www.reddit.com/r/Edmonton/comments/1in65ks/renting_as_a_newcomer/)

This shows that honesty and strong documentation can win over many private landlords.

8 Strategies To Rent In Canada With No Credit History

1. Provide verifiable proof of income and employment

This is often the most powerful tool in your application. A landlord’s main concern is whether you can pay the rent.

• What to include: Get a formal employment letter from your Canadian employer. It should be on company letterhead and state your position, your start date, and your annual salary in Canadian dollars.
• Pay Stubs: If you’ve already started working, include your two or three most recent pay stubs.

2. Show a strong financial history (from home or Canada)

You need to show you have enough savings to cover the rent. Provide bank statements for the last 3-6 months. These can be from your new Canadian bank account or even your bank in your home country. A healthy balance shows you are financially responsible.

3. Offer a larger deposit or prepay several months’ rent (legally)

Offering to pay a few months’ rent upfront can give a landlord financial security. However, you must be very careful here.

• Crucial Legal Point: Provincial laws often restrict the amount a landlord can require as a deposit. For example, in Ontario, a landlord can only legally ask for a rent deposit equivalent to one month’s rent (typically used for the last month) and a refundable key deposit.
• Your Option: While a landlord may not be able to ask for more, you can voluntarily offer to prepay rent. This is often more successful with a private landlord than a large corporation. Always get this agreement in writing in your lease agreement.

Of course, offering a large sum of money upfront can feel very risky. Before you ever send a deposit, make sure you know exactly how to spot and avoid common rental scams.“

4. Find a Canadian guarantor or co-signer

A guarantor (sometimes called a co-signer) is someone in Canada with a good credit history who co-signs the lease with you. This person legally agrees to pay your rent if you cannot.

This is exactly what we had to do. When we were moving to Canada in 2022, we were unable to get an apartment because of our lack of credit history. Fortunately for us, we had a friend who was willing to sign as a guarantor, as that was the only option the condo management would allow.

This is a big favour to ask, as it puts their own credit at risk. This role is usually filled by a close family member, a settled friend, or a trusted colleague who has been in Canada for a while.

5. Provide strong personal and professional references

Landlords want to know you are a responsible person. Go beyond a simple list of names.

• References from Previous Landlords: A letter from a previous landlord (even from your home country) stating you paid rent on time and kept the property clean is very valuable.
• Character References: Get written reference letters from your Canadian employer, manager, or colleagues. These letters speak to your reliability and character.

6. Know who you’re renting from (private vs. corporate)

Not all landlords are the same. Your strategy for “proving” your reliability will change depending on whether you are renting from an individual or a large company.

Option 1: The Private Landlord (The “Relationship” Approach)

• Who they are: This is an individual or family who owns the condo, basement apartment, or house you’re trying to rent.
• The Pro: They are often much more flexible. You are dealing with a person, not a corporate policy. They have the power to make exceptions based on a good feeling.
• The Con: It can be more hit-or-miss. They may be more disorganized or, conversely, more risk-averse because they don’t have a large company to absorb a loss.
• How to Win Them Over: This is where your transparency and “rental resume” are most effective. One newcomer with a poor credit score noted they got the apartment simply because they were “really likeable and honest throughout the process”. Your character and preparation matter most here.

Option 2: The Professional Property Management Company (The “Process” Approach)

• Who they are: These are large companies (like Minto, QuadReal, etc.) or Property managers that manage entire “Purpose-Built Rental” (PBR) buildings.
• The Pro: They have formal, established processes. They “tend to follow the law” (so you are less likely to be asked for illegal deposits) and may have official “newcomer programs” that are designed for your exact situation (e.g., accepting a study permit + proof of funds). One renter’s experience was that these companies were “WAY more lenient” than picky private owners.
• The Con: They have strict, standard requirements. An online application form might automatically reject you for having no credit score before you even get to talk to a person.
• How to Win Them Over: You can’t win them over with personality. You win by having the exact documents they ask for. Call their leasing office before you apply. Ask them, “I am a newcomer with no Canadian credit history, but I have a high-income job and proof of savings. What is your process for applicants like me?” They will either have a process or they won’t.

7. Find a roommate with an established credit history

This is one of the most common and effective strategies for newcomers. You can either find a room in an apartment where someone is already on the lease or find a new place with a roommate who has an established Canadian credit history. They can be the primary applicant, making the application much stronger.

8. Be transparent and professional

This simple “soft skill” builds a lot of trust, and you’ll find that many landlords appreciate the honesty. Don’t hide the fact that you’re new. Explain your situation clearly and confidently.

Real-World Success Story: A common strategy for newcomers is to treat it like a job application. One successful renter hired a realtor (who can add credibility), created a “rental resume” with their employment letter and references, and submitted a formal, binding lease offer. This professional approach forces a “yes” or “no” and is often more effective than just asking.

Being unprepared is a critical error, but it’s not the only one. Make sure you also check our guide on other renting mistakes that can cost immigrants their perfect apartment.”

What to watch out for: Common rental scams targeting newcomers

Unfortunately, some people target newcomers with rental scams. We’ve written a complete guide on the most common rental scams in Canada, but here are the critical red flags to watch for:

1. Money-Wiring Requests: Never send a deposit (e.g., via Western Union or e-transfer) before you have seen the apartment in person and signed a lease.
2. No Lease Agreement: The landlord refuses to provide a proper, written lease agreement. This is a major warning sign.
3. “Too Good to Be True” Prices: If you see an ad for a beautiful two-bedroom in downtown Toronto for $1,500, it is almost certainly a scam. Research average rent prices in the neighbourhood.

How To Start Building Your Canadian Credit History Now

To make your next move easier, you should start building your Canadian credit history right away.

• Get a Secured Credit Card: This is the most common first step. You give the bank a small deposit (e.g., $500), and they give you a credit card with a $500 limit. Use it for small purchases (like groceries) and pay the bill in full every month. Check out this guide from Equifax on establishing credit.
• Get a Mobile Phone Plan: A post-paid (monthly bill) phone plan from a Canadian mobile phone plan carrier often reports your on-time payments to the credit bureaus. A pre-paid plan does not.
• Use a Rent Reporting Service: New services in Canada (like Binta or others) allow you to report your on-time rent payments to Equifax and TransUnion. This is a fantastic way to build credit just by paying the rent you’re already paying.

Conclusion

Renting a home in Canada without a credit history is a challenge, but it is definitely possible with preparation and the right documents. By assembling a strong package with your employment letter, bank statements, and references, you can prove you are a reliable tenant.

You’ve got this—and we’re here to help.

Have you successfully rented as a newcomer? What strategy worked for you? Share your experience in the comments below to help fellow newcomers on their experience!

Frequently Asked Questions