Housing in Claresholm

Renting a Home

Residential Tenancies Act (RTA) Handbook

If you choose to rent, carefully read the tenants guide. This will help you to better understand the rental system in Alberta.

Rental Listings

Security Deposit

Landlords will ask a tenant for a security deposit or “damage deposit”. The Residential Tenancy Act (RTA) limits the amount a landlord requests as a security deposit. It cannot be more than your one-month rent. You pay for this before you move in. The landlord will walk through the rental to check the physical condition and appearance. The security deposit does not change over time, and the landlord must hold it until you move out. Ask for a paper or electronic receipt showing your deposit, date and signature of landlord, and a copy of the rental agreement with inspection report. Keep these secure.

Moving in

Unless otherwise agreed, a tenant takes possession of a rental property when the security deposit and rent is paid. A specific date to move in is agreed upon, most often at the beginning of a month; then the landlord will give you the keys to the rental property.

Move-in and move-out inspection reports

It is mandatory for landlords and tenants to complete both a move-in and a move-out inspection report on the condition of the property.

An inspection report describes the condition of the rental property when a tenant moves in and when they move out. *See Inspection Reports on page 29 of Tenancy Act.

Tenants can use the inspection report to prove they are not responsible for damages that existed before they moved in.

Landlords cannot make any deduction from the security deposit for any damages or cleaning cost to the property, if the move out inspection report was NOT carried out by the landlord and the tenant. *See page 29 for details.

Landlords and tenants must inspect the rental premises before you move in and within one week of moving out. However, a landlord can conduct an inspection without the tenant being present if the landlord has offered the tenant two inspection times on two different days and the tenant has refused or did not attend.

The rental premises should be vacant when the inspections take place unless the landlord and tenant agree otherwise.

The landlord and tenant should inspect the rental property together. Write out the condition of all appliances that are included in the rental agreement, like the fridge, stove, dishwasher etc.… and any damages such as scratches or holes in walls, inside or outside the property.

Both parties must sign the inspection reports. The landlord must give the tenant a copy of both the move-in and move-out inspection reports as soon as they are completed.

Insurance and utilities

Landlords must obtain insurance on the property to protect their interests. Some tenants do not realize that the property owner’s insurance does not cover their personal property. If you are a tenant in Alberta, you need to look for a good insurance policy to protect your belongings from loss, theft, or damage. You can purchase renter’s insurance through an insurance company. Should anything happen to the contents of your rental home, then the insurance company would pay for you to purchase new items. Always reads the terms and conditions of any insurance policy to understand what your insurance policy will cover.

Some rental landlords include water and electricity in the rent. However, make sure you ask what utilities are included. Water, sewer, garbage, and recycling services are provided through the Town and might be included.

Gas and electricity are provided by other companies. There are many different energy providers in southern Alberta.

Additional Information

Buying a Home

Real Estate Council of Alberta (RECA) Home Buyers Guide

Buying a home is a significant financial commitment. The Real Estate Council of Alberta (RECA) sets, regulates, and enforces standards for real estate and mortgage brokerage. The home buying guide is a resource and guide to owning a home in Alberta from start to finish. The guide gives you Alberta-specific information.

Additional costs incurred in buying a house that a mortgage doesn't include

Normally when applying for a mortgage the buyer (you) must have money as a down payment or a deposit, from 10% to 25% of the asking price of the home.

Example: house price is $200,000; if the deposit is 20% you will need a $40,000 down payment.

There are several banks in Claresholm that offer mortgages; compare their interest rates and get the best deal for your personal budget. You can apply for a mortgage from any financial institution or other mortgage lender.

As part of your mortgage agreement with the bank, a home inspection is required, proving to the bank that the house is in good condition and is a good investment. A home inspection will cost you from $500 – $800.

Legal fees are another expense incurred when buying a home: from $1000 – $2000. There are lawyers in Claresholm that can help you with this.

Every homeowner in Claresholm pays a yearly property tax to the Town. This cost depends on the size of your new home and its location. If the sellers have paid this in advance, then you will owe this amount to them. The town will let you know if there are any unpaid taxes left owing on the property. This cost is yours.

You may also be required to have mortgage insurance, payable monthly and added to your mortgage.

Claresholm has several experienced realtors that can assist you in buying your home. A realtor will not charge the buyer any fees. These fees are charged to the seller of the home.

Welcoming Claresholm

Additional Information

Relocation Guides