You might think that there are no real drawbacks to requiring a guarantor for your tenants, but there are a few: The landlord will probably also ask for detailed information about your guarantor`s finances, credit history and willingness to strengthen and pay rent if necessary. It is therefore important that everyone is comfortable with the arrangement. It`s not the end of the world if you can`t find a guarantor or co-signer for your lease. It just takes a little creativity to get around the rules and break your new apartment. If you accept your lease before your deposit signs the guarantee agreement, there are additional rules. Contact your nearest citizen council if this is the case for you. Ready to move into the city of your dreams, but do you need an apartment guarantor? Do your leg work early and build good faith with your friends and family. Try to build an impressive emergency fund to cover your rent in a pinch. Determining the extent of liability is a qualitative analysis – it examines the types of tenant obligations for which a surety is responsible. An additional or alternative limitation of liability available to a guarantor is a time limitation; it is a quantitative finding of the extent of the guarantee. For example, parties to a ten-year ten-year lease may agree that the tenant`s client guarantees a five-year term (extension) of the fixed rent (amount) payable under the tenancy agreement.
Without further clarification, the extent of liability can be interpreted in two radically different ways: (i) the surety agrees to pay any fixed payment of the rent due in the first five years of the life that the tenant should not say, provided that the amount of liability under the guarantee expires at the end of the fifth year of the term and , even if the tenant subsequently, in payment of the late payment of the fixed rent, the guarantor is already out of the picture; (ii) the surety agrees to pay any fixed rent payment payable for a period of five consecutive years, the amount of liability for the first five years of late rents payable; In other words, liability under the guarantee is extinguished only when the tenant is actually five years behind with fixed rents for which the surety is responsible or when the duration of the period has expired.  The lease was entered into on May 4, 1997 and was scheduled to expire on May 4, 1998, subject to the tenant`s revocation for an additional year with 60 days` notice. The tenant did not disclose. The Landlord and Tenant Act R.S.O. 1990, C. L.7 was in effect at the time. Section 104, paragraph 1, of this legal act provides that when a tenant intends to perform an individual tenancy agreement or where a personal guarantee (unlike the business) is part of the activity, another factor that the lessor must consider is the type of title that the tenant (or personal guarantor) has on his or her estate and whether he or she has a spouse.