Section 3 -  Renting a Home

Lesson 13 - Sharing Accommodation

People just starting out often have little money to spend on rent, and sharing accommodations is one way to cut costs. In fact, some people continue to share accommodation, for many years as a way of combining companionship and budgeting.

From a legal point of view, there are two ways to share accommodations with friends . One way is for each person to join in the rental relationship with the landlord. If there's a lease involved, a joint tenancy is created. In this situation, all the tenants are responsible together for paying rent and keeping up the property. If one of them defaults, the others must come up with the amount he or she was to pay.

The other way is for only one person to enter the relationship. This person becomes the official tenant, and he or she alone shoulders the usual legal responsibilities of a tenant. This person must, in turn, collect rent money from those sharing the accommodation.

Test Yourself:

1. You and some friends intend to rent a house and you've decided amongst yourselves that you alone will sign the lease. The plan is that each month you'll pay the rent and then collect each friend's share; however, you're concerned that some of your friends might not be entirely reliable. Suggest a step you could take to protect yourself.
2. Gerry and a friend Brandon signed a lease as joint tenants. Shortly after, Brandon was laid off from his job, and he had to move back in with his parents. The landlord is asking for the rent owing--$600. How much will Gerry have to pay?
   
   

See the Suggested Answers below and compare your answers with the ones given there.

Security deposits can sometimes cause problems when people share accommodation. For instance, if there's a joint tenancy, the deposit is given by all the tenants. That means that when the time comes to get the deposit back at the end of the tenancy, the cheque will have to be made out to the names of all those who paid; and they'll all have to sign in order to cash it.

Probably the roommates who get off most lightly in a shared-accommodation situation are those who manage to convince someone else to be the tenant and to have that person simply trust them for their share of the rent. But, of course, people who do that will lack the security they'd get by becoming tenants themselves. The real tenant has the right to ask them to leave at any time.

Test Yourself:

3. Laura and Signe have rented an apartment together, but only Laura has signed the lease. After a month, the two roommates find they can't stand living together, and Signe moves out. Laura insists that Signe has an obligation to keep paying her half of the rent until the lease is up.
   1. What are the legal obligations of each girl?
   2. What would you advise them to do?

See the Suggested Answers below and compare your answer with the one given there.

1. Answers will vary. Here are a few things you might have considered:
   • Is the person financially responsible?
   • Can you get along with the person?
   • Does the person have the same expectations of the living arrangements as you do?
   • Did you think of any other considerations? You may have provided a more detailed list; for instance, you may have specified all the ways in which the other person's lifestyle or housekeeping habits might differ from your own.
2. Gerry will be responsible for the entire month's rent since he's liable for the whole amount if Brandon defaults.
3. 1. Laura, being the only official tenant, has sole responsibility for paying the rent. Signe has no responsibility to the landlord. She may, though, have a responsibility to Laura depending on how they've arranged things between themselves.
   2. Probably the best advice would be to talk things over. Signe may be willing to stay and pay rent long enough for Laura to find another roommate or to arrange with the landlord for the lease to be terminated.