‘I’m back to square one’: RisePEI woman loses apartment after refusing to pay illegal deposit

When Kirsten Parnell went to signal a lease for a one-bedroom residence in RisePEI two weeks in the past, she thought her gruelling seek for a spot to stay was over. She was incorrect. 

Earlier than securing the residence, Parnell was requested to supply a co-signer and pay first and final month’s hire on prime of a injury deposit. That totalled $2,750 and would have almost emptied her financial savings account. 

She was so determined, she initially thought-about paying the cash within the face of Nova Scotia’s housing disaster and difficulties discovering an inexpensive one-bedroom residence in RisePEI. 

However she did some analysis, and found the rental firm’s request is unlawful. 

“I really waited till I got here to the appointment to signal the lease so I may converse to them face-to-face about it,” Parnell mentioned. “I used to be then informed to both illegally pay them the funds or I used to be denied the residence.”

She left with no lease signed, and no residence. 

In keeping with Dalhousie Authorized Help Service, what occurred to Parnell isn’t an remoted incident. 

‘Few selections’

Mark Culligan, a group authorized employee with the service, mentioned a landlord asking for an unlawful software charge is widespread and the housing disaster is making it worse.

“Most of the firms that do that have been doing this for a very long time,” mentioned Culligan.”I feel a part of what we’re seeing now could be persons are extra determined, so that they’re placing up with it in a means that they won’t have earlier than, as a result of there’s so few selections.”

Parnell was pressured to maneuver in with household.

“It is heartbreaking as a result of I do know I am again to sq. one,” she mentioned. “And there is hundreds of individuals in RisePEI on the lookout for flats proper now they usually’re in the identical state of affairs as me.”

Parnell mentioned the seek for housing is exhausting, on prime of working full time. 

“I spend hours a day on-line bouncing from completely different search engines like google and yahoo, Kijiji, Fb market, even going to particular rental firm pages and reaching out with telephone calls, emails, textual content messages, something you’ll be able to to contact somebody who may need an residence obtainable,” she mentioned. 

No recourse

In keeping with the Residential Tenancies Act, “No landlord shall demand, settle for or obtain from a tenant as a safety deposit a sum of cash … in extra of 1 half of the hire monthly.”

Figuring out this, Parnell sought assist from the Residential Tenancies Board, however she was informed she had no recourse.

“As a result of I did not pay [the landlord] any funds, nor did I signal any paperwork to ascertain a tenant-landlord relationship, they informed me that there was nothing they might do,” she mentioned. 

Dalhousie Authorized Help informed her the identical factor. 

“It is very exhausting to face up in your rights as a tenant while you’re confronted with these sorts of software charges,” Culligan mentioned.

“In the event you really pay it and also you signal a lease … you’ll be able to possibly make a declare to attempt to get the cash again. However if you happen to’re being requested to pay these software charges and also you say no, there is not actually a significant safety for you as a result of your landlord can simply say, ‘Hey, I’ll hire it out to another person as a substitute.’ “

Culligan mentioned there have been requires years for some form of enforcement division inside residential tenancies.

“And that hasn’t been a precedence prior to now,” he mentioned. “However frankly, there’s fairly an in depth case regulation going again a few years, repeatedly saying that these … practices are unlawful.”

The provincial division in control of the Residential Tenancies Board is the Division of Service Nova Scotia and Inner Providers.

“Asking a tenant to pay their first and final months’ hire isn’t permitted,” mentioned Blaise Theriault, a spokesperson for the division. “If a tenant is being requested to do one thing by their landlord they usually do not suppose it is proper, they need to search unbiased authorized recommendation and/or contact a authorized assist society.”

Theriault mentioned his division is “conscious of the curiosity in enforcement.”

“[We] are at all times on the lookout for alternatives to strengthen the Residential Tenancies Act, whereas balancing the wants of each tenants and landlords,” he mentioned. 

RisePEI property administration firm W.M. Fares Group is the proprietor of Wedgewood Courtroom, the place Parnell utilized to hire. Wadih Fares, the corporate’s president, informed CBC Information it is not the corporate’s customary coverage to ask for first and final months’ hire as a deposit, nevertheless it makes use of the follow below sure circumstances. 

“If a potential tenant would not meet the credit score examine, our property managers, as a way to accommodate the applicant, make a judgment name and should waive the credit score requirement, and ask for extra safety,” Fares mentioned. “That’s finished to assist the applicant safe an lodging … in at present’s excessive demand for rental.”

Parnell mentioned she tried to succeed in Fares twice, however her voice mails weren’t answered.

She mentioned she desires to see extra enforcement of the Residential Tenancies Act, however within the meantime she hopes her story can assist different tenants. 

“I need individuals to know that this should not be occurring,” she mentioned. “I am hoping … that one thing is finished about it and folks can hire flats pretty and be given a good likelihood.”