Splitting Rent and Deposits With Roommates in Northwest Territories

Sharing a rental home with one or more roommates in the Northwest Territories can make living costs more affordable. However, splitting rent and deposits with roommates comes with important legal, financial, and practical considerations. Understanding your rights and responsibilities is essential for a smooth tenancy and for protecting your contributions.

Key Concepts: Rent and Deposit Sharing in Roommate Situations

In the Northwest Territories, the law about rent and security deposits is outlined under the Residential Tenancies Act (NWT)^[1]. How rent and deposits are handled between roommates depends mainly on whether everyone is listed on the lease agreement or if only one person is the official tenant (also called 'head tenant').

Different Types of Roommate Arrangements

• All roommates on the lease (co-tenants): Each person is legally responsible for the entire rent and any deposits. The landlord can ask any of the co-tenants for the full amount if rent or damages are owed.
• Only one tenant on the lease (head tenant) with subtenants: The head tenant is legally responsible to the landlord. Subtenants may have a separate agreement with the head tenant, not the landlord, and may not be covered by the same legal protections.

It's important to clarify with your landlord how the tenancy is structured before moving in. If you are not on the official rental agreement, your rights and ability to recover your share of the deposit may be limited.

Security Deposits: Who Pays, Who Gets it Back?

In the Northwest Territories, a security deposit can be up to one month's rent. The deposit is typically paid to the landlord at the beginning of the tenancy, often collected from all roommates and paid as one lump sum. When the tenancy ends, the landlord returns the deposit to the named tenants on the lease. If your name is not on the lease, you may have difficulty recovering your portion without a roommate agreement.

For a detailed explanation about deposits, see Understanding Rental Deposits: What Tenants Need to Know.

Protecting Yourself as a Roommate

Splitting rent and deposits fairly requires trust, communication, and ideally a written roommate agreement. Here’s how you can protect your interests:

• Agree on how rent and deposits are split. Put this in writing—even an informal roommate agreement is better than nothing.
• Pay your share of the deposit and rent via a traceable method (e.g., e-transfer or cheque) for proof of payment.
• Ensure your name is on the lease agreement if you want all the rights of a tenant under the Residential Tenancies Act.
• Keep copies of all agreements and receipts.

Getting Your Deposit Back When Moving Out

If one or more roommates move out before the others, getting your share of the deposit back can be complicated. The landlord is only required to return the deposit to the tenants listed on the lease, after everyone moves out and the unit passes inspection. Make arrangements with your roommates about how individual shares will be returned if not everyone leaves at once.

What to Do if Disagreements Arise

Disputes over unpaid rent, damages, or deposits between roommates are common. While the Residential Tenancies Office (RTO) of the Northwest Territories helps with tenant-landlord disputes, it generally does not resolve disagreements between roommates. Such issues may need to be resolved in civil (small claims) court if informal negotiation fails.

For common tenant-landlord concerns, such as paying rent on time or dealing with the landlord over repairs, review the Tenant's Guide to Paying Rent: Rights, Responsibilities, and Tips.

Helpful Official Forms and Where to Find Them

• Condition Inspection Report (Form RT5): Used to record the state of the rental when moving in or out. It is important for proving that damages (or lack thereof) are not your responsibility.
  Download: NWT RTO Forms Page
• Application to Determine Security Deposit (Form RT8): Use if you are having trouble recovering your deposit from the landlord after moving out. One or all tenants may file.
  Download: NWT RTO Forms Page

Always keep copies of any forms submitted and correspondence with your landlord.

The Tenancy Tribunal in Northwest Territories

The Residential Tenancies Office (RTO) of the Northwest Territories handles most rental disputes, including concerns about deposits, rent, entry, and repairs.

For details about your rights and responsibilities as a tenant or landlord in this territory, visit Tenant Rights and Landlord Rights in Northwest Territories.

For those searching for rental opportunities, Explore Houseme for nationwide rental listings for a convenient way to find homes and apartments across Canada.

1. Can roommates each pay their share of rent directly to the landlord?
   In most cases, yes, but the landlord must agree. Otherwise, one tenant may collect all rent to pay the landlord. Regardless of how rent is split, all co-tenants remain responsible for the full amount if another roommate doesn't pay.
2. What if my roommate moves out early—who gets the deposit back?
   The deposit is returned only after the tenancy ends for all listed tenants. If a roommate leaves early, you'll need to settle their share among yourselves unless the landlord agrees to update the lease and deposit information.
3. Do I need a written roommate agreement?
   It's not required by law, but it’s highly recommended. A written agreement helps prevent disputes over rent, bills, and deposits.
4. What can I do if my roommate damages the rental?
   All co-tenants on the lease can be held responsible by the landlord. You may need to recover your share from the at-fault roommate through small claims court if they don’t pay voluntarily.
5. Am I entitled to receipts for rent and deposits?
   Yes, you can request a receipt from the landlord—receipts should name all who paid. This provides essential proof of payment.

Conclusion: What to Remember When Splitting Rent and Deposits

• Know if you are legally listed on the lease—this affects your rights.
• Get all agreements about money in writing and ask for receipts.
• Avoid confusion by having a clear roommate agreement.

Splitting rent and deposits can be simple if everyone is informed and organized. Communication, documentation, and awareness of your rights are vital for a hassle-free roommate experience.

Need Help? Resources for Tenants

• Residential Tenancies Office (NWT): Main tribunal for rental disputes, forms, and general tenant advice
• Read the Residential Tenancies Act (NWT) for full legal details
• Northwest Territories Tenant Association: Advocacy and educational support for tenants
• Tenant Rights and Landlord Rights in Northwest Territories: Comprehensive guide to tenant and landlord rights in the NWT

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1. Northwest Territories Residential Tenancies Act: Official Legislation
2. Residential Tenancies Office, Government of the Northwest Territories: Residential Tenancies Office (RTO)
3. Residential Tenancies Forms (including RT5, RT8): RTO Forms

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