What is included in the Rent Guarantee Program?
The Rent Guarantee program includes:
- Guaranteed Rental income for up to 12 months or $60,000 per lease
- Damage protection from willful tenant damage up to $10,000 per lease
- Unlimited coverage of Legal Fees incurred during the eviction process
- Automatic Rent Collection via PAD
- Tenant Credit & Background Check
What do I need to qualify for Rent Guarantee?
- Your property must be located in Canada, excluding Quebec. We currently do * not offer Rent Guarantee in the United States.
- You must be the owner of the unit you wish to guarantee.
- Your lease agreement must be longer than 12 months.
- Your rental unit must be legal.
What happens when tenants miss their rent payment?
Since we collect the rent for you, we will know right away if the tenant hasn’t paid and we will take action to contact the tenant and collect the rent. If the tenant is unresponsive, we will continue to pay your rent for up to 12 months while working with our paralegal team to remove the delinquent tenant.
What happens if the tenant causes damage or vandalizes my property?
In the case of negligent or willful property damage by the tenant, please notify us within the next business day and we will be reimbursed up to $10,000 of damages if the tenant refuses to pay.
What documents do you need to start the Rent Guarantee?
To start the Rent Guarantee we need the following documents:
-
Credit Report for each tenant – we can help with this
-
Signed lease agreement by the tenant
-
Proof of income in the form of recent Paystubs, T4, Bank statement or Employment Letter
We also recommend that the landlord performs a Pre‐Inspection report, including images of the property detailing the condition of the unit prior to tenant move‐in; as well as proof of property and liability insurance.
What are the Tenant Eligibility Requirements?
The good news is that we do not qualify tenants based solely on their credit score. To ensure affordability, we require that the rent cannot exceed 45% of tenant’s gross household-income.
How much does the Rent Guarantee Program cost and how do I pay?
The program fee starts at 5% of the monthly rent, charged monthly or annually.
We can deduct the fee when we process your monthly rent payments (optional) or we can charge your credit card on a monthly basis for the term of the lease.
After the initial lease term, the Rent Guarantee goes month-to-month and you can cancel by providing 30 days notice.
How does the optional rent collection work?
You will receive a Pre-Authorized Debit transfer from your tenant account to your bank account each month. You will need to connect your bank account to our system or send us a void cheque to set this option up.
How do I submit a demand?
To make a claim for Rent Guarantee Default, you must notify us in writing within three (3) business days of a tenant default on rent. You need to provide us with the documents listed here.
To make a claim for Willful Damage, you must notify us in writing within ten (10) business days of finding property damage by your tenant. You need to provide us with the documents listed here.
To learn more, review the full claims process and required documentation for claims here.
Do you guarantee both existing and new tenants?
Yes, we can guarantee new and mid-lease tenants. For existing tenants, we simply require confirmation that the tenant has made their past rent payments on time.
Can I cover more than one property?
Each policy covers a single lease agreement for a single residential rental unit. If you have multiple rental properties, you can purchase a separate policy for each one. If your property has 2 or more units, then you must purchase insurance for all units simultaneously.
Does my tenant need to know about the rent guarantee?
The Rent Guarantee agreement is between SingleKey and the landlord. The landlord will sign a lease with the tenant but does not need to include SingleKey in the lease.
As a landlord, there is no need to let the tenant know about the rent guarantee, but you can do so if you’d like.
SingleKey will only interact with the tenant to collect the rent or if the tenant has not paid.
Is the tenant more likely to not pay the rent if they know I have a Rent Guarantee?
No. The tenant will have the same incentive to pay the rent since they will be evicted for non-payment if they do not.