Philip Davies 2/20/26 Philip Davies 2/20/26

Reference Checks

As a rental agent I am surprised at one aspect of the industry. Performing a reference check with the previous landlord. When we are performing the screening process of applicants we always contact the current landlord. This is to confirm details of the rental as much as it is to verify if the previous landlord identifies them as a good tenant.

I hear many landlords say it is not worth calling the current landlord as they will always say good things just to ensure the tenant leaves their property. With this attitude it is not surprising that more than half the tenants who leave our properties, their new landlords don’t call us for a reference. Failing to call the landlords is the first step in not performing your due diligence on the new tenants.

A tenant recently moved out of one of our rentals and described the condition of the property when they showed up to move in. Apparently the tenants had not cleaned the unit and then damaged the main bathtub. It meant they were unable to move in on that day. They then told me about the selection process by the landlord saying they were offered the unit on the spot when they were looking at the unit. No calling the landlord, no due diligence performed before offering them the unit to rent. These people are very good tenants but you must still do your due dillegenace before renting.

Calling the current landlord is very important just to confirm that tenants are telling you accurate information about their tenancy. The address, the amount of rent they were paying and when the landlord was last onsite inspecting the unit. For landlords, it is also important to be honest with your references. If they are not good tenants, tell the truth. It helps no one to pass bad tenants on to new landlords.

Need help managing your investment properties. Cartref Properties can assist you, call today to discuss your needs. You can find more information about us at: www.cartrefproperties.com

Philip Davies 2/13/26 Philip Davies 2/13/26

My unit has great amenities, we will get the higher price.

When we take on a new client we review the different features of the rental property to see what amenities are available. Many buildings in the lower mainland have similar or comparable amenities today. Most have a fitness room, amenity room. Storage locker parking stalls and other features.

How much do the added features increase the rental price?. The reality is not very much. When people are buying a place to live they look at the parking stalls, storage lockers, and building amenities more closely than when renting a property. Why is it different when renting?. Renting in general is a temporary situation. Most tenants don’t live in the place they rent for long periods of time. Our tenant average 28 months staying at a rental property. This is just below three years. When you are moving every three years you are not so concerned about the amenities long term.

Most tenants want the property to be clean, well maintained, in a good location for them. Have the basic items that meet their needs of space, parking storage. The other building amenities are add ons in the process. People who like to work out will look at the units with the better fitness facilities. People with two cars will appreciate the extra parking spots, people with electric cars are looking for the buildings with chargers and people with kids will like the playgrounds and pools.

In most cases and especially in the time we are in now the tenants are searching for the right fit to their lifestyle. The amenities are an after thought and we are not experiencing people choosing to rent a property over another just because the gym is bigger. With the ability now to take their time to look and see what is really out in the market, tenants are reviewing all the factors of the properties before making a decision. Most tenants today are not in a situation where they must move meaning they can wait and they are waiting to see if something better comes to the market.

All this translates into more showings more pre qualifying to ensure you are only showing to people who may have the right fit to the property. If someone does have two cars and your property only has one parking stall and there is no other parking nearby they are unlikely to rent the unit regardless of the price.

Need help managing your investment properties. Cartref Properties can assist you, call today to discuss your needs. You can find more information about us at: www.cartrefproperties.com

Philip Davies 2/6/26 Philip Davies 2/6/26

Stay in your Lane?

As a licensed rental property manager I am allowed to provide our client information on the rental market. What we are not allowed to do is provide clients information on selling their property. If you are licensed as a Sales Agent you are able to provide information and advice on the selling of a property, but they are not supposed to provide information on renting a property if they are not licensed as a rental agent.

This begs the question, why do I often run into Sales Agents referring their clients to me about renting their property with preconceived notions of what the rental rates they can achieve are. When a client contacts us about managing the property we review the current market conditions to see what the advertised rates are. The current market is changing monthly. Many times we make suggestions of $3000 is the estimated price the potential client’s property could rent for. On many occasions the prospect will respond, our sales agent suggested we could rent it for $3500.

BCFSA licenses both Sales Agents and Rental Agents and both are trained regularly to not provide advice outside our level of expertise. This is why Cartref Propeties who is not licensed to sell properties never provides market expectations for our clients who elect to sell their properties. We refer them to people who are experts in the selling of properties.

I would like to see more sales agents not provide their clients with unrealistic expectations of what they may be able to rent their property for. This creates distrust in the rental market for potential landlords wanting to rent their property. We have taken on these properties and when we advertise them for the rate suggested by the Sales agent and we are not receiving any inquiries the new landlord begins to understand where the advice was incorrect.

I am asking sales Agents to please stay in their lane and not provide client with in accurate information about renting their property.

Need help managing your investment properties. Cartref Properties can assist you, call today to discuss your needs. You can find more information about us at: www.cartrefproperties.com

Philip Davies 1/30/26 Philip Davies 1/30/26

Vacancy Rates and Speculation taxes?

With the current rental market conditions what happens if landlords are unable to locate tenants? Current market conditions are resulting in lengthy vacancy times.

The Province has the speculation tax and the City of Vancouver has the empty homes tax. Both of these have stipulations that the property must be rented for a period of time equal to six months during the year or the unit becomes subject to these taxes.

The speculation tax for 2026 is a sfollows:

For 2026 and subsequent years, the tax rate is:

3% for foreign owners and untaxed worldwide earners
1% for Canadian citizens or permanent residents of Canada who are not untaxed worldwide earners

The Vancouver empty homes tax is as follows:

“Properties deemed, determined, or declared empty in the 2025 reference year will be subject to a tax of 3% of the property’s 2025 assessed taxable value.”

How will this affect landlords?.

We are experiencing longer time frames to find tenants for our vacant properties. If it is taking longer than six months to find a tenant, will landlords make poor decisions on renting their properties to avoid these two taxes. Tenant selection is a very important part of selecting tenants and failing to perform your due diligence often results in a negative tenancy. In slower economic times we see more questionable tenants try to move and find a landlord who doesn’t want their unit to be vacant for multiple months. In these times it is extra important for landlords to ensure they are not missing any steps in the selection process.

Another key part of tenant selection is pricing the product correctly. In the rental market tenants want to pay a little as possible and landlords want to earn as much rent as they can. In today’s market it is imperative to ensure your product is priced at a level that will attract potential tenants. This is not the time to hold out for the highest price because you think your property is worth that amount. A unit can become vacant for six months really quickly. Today most tenants are in a tenancy where they must give notice to move. This means in the month they come to view your property they are not looking to move in the next month but the one after that. It only takes a three month vacancy to see the property approaching the six month time frame of the vacancy taxes.

If a large number of landlords find themselves needing to pay these taxes will they choose to sell their property removing these products from the rental market. Is it time the BC Government and City of Vancouver review the need for these taxes if landlords are being forced to pay the taxes because they are not able to rent or sell the property.

Need help managing your investment properties. Cartref Properties can assist you, call today to discuss your needs. You can find more information about us at: www.cartrefproperties.com

Philip Davies 1/17/26 Philip Davies 1/17/26

Does a tenant failing to attend move out mean you get to keep the deposit?

When a tenant moves in to the property both parties, the tenant and the landlord are to meet at the property and identify the condition of the property when they move in. This information is indicated on the move-in inspection report. When the tenant moves out both parties are expected to meet at the property to review the original inspection report and compare the condition of the property after the tenant has vacated the unit.

During the move out meeting the two parties are expected to agree to any deductions from the deposit fund and indicate this on the move out inspection report. If the parties are not in agreement of the deductions there is a section on the report where this can be indicated and the tenant signs saying they disagree with the deductions. By doing this it requires the landlord to file a claim to keep those deductions. There are only two ways the landlord can keep deposit funds: one is with the tenant’s permission in writing and or by an order from the RTB.

What happens when the tenant fails to attend the move out inspection? Does the landlord automatically get to keep the funds?. The anwer is no but a bit more details are needed to understand what happens in this case. Deposit funds are held for specific reasons, security and pet damage. The landlord has a requirement to refund these funds within 15 days or file a claim to keep the fund if the parties are not in agreement. One factor that landlords misunderstand is that the 15 day window starts when the tenant provides their forwading address. If a tenant fails to attend the move out inspection they have two years to provide their forwarding address. If a year later they provide their forwarding address the landlord must return the funds or file a claim to keep the funds.

Without the tenant signature to keep the funds are an RTB order a landlord is in violation of their responsibilities to handle the deposits.

Need help managing your investment properties. Cartref Properties can assist you, call today to discuss your needs. You can find more information about us at: www.cartrefproperties.com