Often when looking at a house for sale with a second suite we see the following: Seller and Agent do not warrant retrofit status of basement apartment.

What the heck does that mean?

Let’s face it, there are likely tens of thousands of basement apartments in Toronto that are not “legal.” By putting this statement on the listing, the seller and the listing brokerage are attempting to protect themselves from any accusations that a potential buyer was misled. Caveat emptor (buyer beware) applies here. We Realtors don’t know all the rules governing secondary suites and even if we did, we aren’t qualified by the City to make such a judgement.

This is where your risk tolerance is tested. I think many of us Torontonians have a general idea of what would make a space suitable or not. There are several specifics that are part of the Toronto Municipal Code Property Standards that you, your home inspector and your agent won’t know so there are people the City can send in to evaluate. People will continue to own these “non-retrofit” units and people will continue to rent them.

I think there are a lot of great basement apartments out there. They serve a valuable purpose that’s two-fold: they often help the home owner make ends meet, especially first-time buyers, and they help people on tight budgets find a place to live that’s in the neighbourhood they need to be in. Win-win.

What worries me is what I saw this past weekend. Out doing rental showings with someone getting their first apartment in the City on a very tight budget, we had already had the “we are going to be seeing a lot of basement apartments” talk. And we did. The last place we saw was, of course, a basement. It was vacant and the steps leading down to the entry were icy. There wasn’t a railing. Fine. The doorknob was wonky. Fine. The kitchen had two linear feet of countertop but was very clean. Fine. The ceiling height was overall decent, likely close to the 6’5” required. Fine.

My issue with it? There were two small windows in the whole place. None in the “bedrooms” (which also didn’t have closets). None in the main living area. One was in the hallway where it was half obstructed by the ductwork and the other was in the bathroom and covered with a black plastic bag since it was going to otherwise expose whoever takes a shower to the public.

There are rules here, folks. The Ontario Building Code Article 3.7.2.1. specifically talks about bedrooms needing windows. I know it might seem like a big onerous task to make an apartment legal, but what about at least trying to make it livable? I’ve been in some real hellholes and this was the first time I was ready to call the City and report a unit. I told my client I wouldn’t let her rent it. I couldn’t morally do that to her.

The take away? For our buyers considering purchasing a property with a basement suite this is a great idea, but please familiarise yourself with the basic rules and regulations surrounding them. Odds are the basement apartment in the house we are considering isn’t legal. Figure out what you are okay with. Start here with your research: http://secondsuites.info/

For our renters? We will inevitably show you places that aren’t legal apartments. We will, however, keep an eye out for glaring faults. We want you to be safe and happy in your new home. You have avenues to pursue if the space isn’t compliant and puts your health and safety at risk. If a place seems sketchy, let’s keep looking!