Are Rental Application Fees Allowed in Prince Edward Island?

Understanding rental application fees is essential for anyone searching for a home in Prince Edward Island. Many tenants wonder if landlords or property managers can legally charge fees just to apply for a rental. This article explains what the law says about rental application fees in PEI, your rights as a tenant, and what to do if you’re asked to pay.

Are Rental Application Fees Legal in Prince Edward Island?

No, rental application fees are not permitted in Prince Edward Island. Landlords cannot charge prospective tenants a fee simply to process or consider their rental application. According to the Rental of Residential Property Act (PEI), any fee that is not a legal security deposit or rent payment is prohibited.^[1]

Landlords are allowed to collect a security deposit, but this is only after you are approved and sign a lease agreement. Charging a fee to view an apartment or process an application is not allowed under PEI law.

What Fees Can Landlords Legally Collect?

• First month’s rent – Due after your lease is accepted
• Security deposit – Cannot exceed one month’s rent and is held in trust until the end of the tenancy

For more on legal deposits and what to watch for as a tenant, see Understanding Rental Deposits: What Tenants Need to Know.

What Should You Do if You’re Asked to Pay an Application Fee?

If a landlord or agent in PEI asks you to pay an application fee, you are not required to pay. You may want to:

• Politely remind them that application fees are not legal in PEI
• Request written details about the fee
• Contact the Residential Tenancy Office to report the request

Never feel pressured to pay unlawful fees—your rights are protected by law. Reporting these practices helps others and keeps the rental process fair.

Who Enforces Tenant Rights in Prince Edward Island?

The Residential Tenancy Office of Prince Edward Island oversees rental housing rights and related disputes. This office can help resolve issues if you are charged illegal fees or have other tenancy concerns.

Official Forms: Submitting a Complaint About Rental Application Fees

• Application by Tenant (Form 2LL): Use this form if you want to challenge a fee or other landlord actions under the Rental of Residential Property Act.
• You can download Application by Tenant (Form 2LL) from the PEI government site.

How to Use: For example, if a landlord asks for an application fee, you may submit Form 2LL to request an order from the Residential Tenancy Office that the landlord reimburse you and cease illegal practices. Bring proof (such as payment receipts or emails).

Your Rights as a Tenant in Prince Edward Island

Tenants are protected from unlawful charges and unfair fees. For a comprehensive overview, refer to Tenant Rights and Landlord Rights in Prince Edward Island.

Additionally, after your rental agreement is signed, you may want to review What Tenants Need to Know After Signing the Rental Agreement to understand your next steps and obligations.

For those exploring options in other provinces, or if you’re still searching for a place, Browse apartments for rent in Canada for up-to-date rental listings and helpful filters.

FAQ: Rental Application Fees in PEI

1. Can a landlord in PEI charge any type of non-refundable fee to apply for a unit?
   No. Landlords cannot charge any fee for processing an application or for viewing a rental property in Prince Edward Island.
2. What should I do if a landlord asks me to pay an application fee?
   Do not pay. Remind them that such fees are not legal and consider reporting the matter to the Residential Tenancy Office.
3. Is a deposit to hold the apartment before signing a lease allowed?
   No. The only deposit allowed by law is the security deposit, and only after a lease is signed.
4. Are there exceptions for large apartment complexes or commercial landlords?
   No. The rules on application fees apply to all residential landlords in PEI, regardless of the property's size or management.

Key Takeaways for PEI Tenants

• Rental application fees are not legal in Prince Edward Island.
• Contact the Residential Tenancy Office if you face unlawful fee requests.
• Security deposits can only be collected after lease signing and have legal limits.

Staying informed about your rights helps prevent unexpected expenses and sets you up for a smoother rental experience.

Need Help? Resources for Tenants

• PEI Residential Tenancy Office – Information, forms, and complaint resolution
• Tenant support: 1-800-501-6268 (toll free within PEI)
• Rental Properties – Government of PEI
• Download forms: PEI Rental Properties Forms

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1. PEI Rental of Residential Property Act, s. 17.
2. PEI Residential Tenancy Office – Rental Properties

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