Canada Housing Newcomers Renting

Top 10 Housing Challenges for Newcomers to Canada

Settura Team
November 29, 2025
Top 10 Housing Challenges for Newcomers to Canada

Discover the most common housing obstacles newcomers face when moving to Canada and learn how to overcome them.

Understanding Housing Challenges in Canada

Moving to a new country is exciting, but finding suitable housing can be one of the biggest challenges for newcomers to Canada. Understanding these obstacles is the first step toward overcoming them. Here are the top 10 housing challenges you might encounter:

1. Lack of Canadian Credit History

Many landlords require a credit check, but newcomers often don't have a Canadian credit history yet. This can make it difficult to secure rental properties, even if you have excellent credit in your home country.

Canadian credit bureaus don't typically recognize international credit scores, which means you're starting from scratch. This creates a catch-22 situation: you need housing to establish credit, but you need credit to secure housing.

2. High Rental Costs

Housing costs in major Canadian cities like Toronto and Vancouver can be significantly higher than expected, especially in desirable neighborhoods. The average rent for a one-bedroom apartment in Toronto can exceed $2,000 per month, while Vancouver isn't far behind.

These high costs can consume a large portion of your income, making it challenging to save money or afford other necessities. Many newcomers underestimate the true cost of living in Canada's major urban centers.

3. Competitive Rental Market

Popular areas have high demand, leading to bidding wars and quick decision-making requirements. You might find yourself competing with dozens of other applicants for a single property, and landlords often require immediate decisions.

This competitive environment can be overwhelming, especially when you're still adjusting to a new country and may not be familiar with local market conditions.

4. Documentation Requirements

Landlords may request extensive documentation including employment letters, bank statements, and references that newcomers might not have readily available. Some landlords require:

  • Proof of employment or income
  • Canadian bank statements (which you may not have yet)
  • References from previous Canadian landlords
  • Credit reports
  • Government-issued identification

5. Language Barriers

Understanding rental agreements, tenant rights, and communicating with landlords can be challenging if English or French isn't your first language. Legal documents and rental contracts can be complex, and misunderstandings can lead to problems down the road.

6. Unfamiliar Neighborhoods

Not knowing which areas are safe, convenient, or suitable for your lifestyle can make house hunting overwhelming. Without local knowledge, you might choose a location that doesn't meet your needs or, worse, puts you in an unsafe situation.

7. Scams and Fraud

Newcomers are often targets for rental scams, including fake listings and advance payment fraud. Scammers take advantage of newcomers' unfamiliarity with local practices and their urgent need for housing.

Common scams include:

  • Properties that don't exist or aren't actually for rent
  • Requests for money before viewing the property
  • Landlords who refuse to meet in person
  • Listings with prices that seem too good to be true

8. Short-Term vs Long-Term Housing

Finding temporary accommodation while searching for permanent housing adds complexity and cost. Many newcomers need to stay in hotels or short-term rentals initially, which can be expensive and make it harder to establish roots in your new community.

9. Furnished vs Unfurnished

Deciding whether to rent furnished or unfurnished properties involves trade-offs in cost and flexibility. Furnished rentals are more expensive but convenient for newcomers who haven't moved their belongings yet. Unfurnished rentals require significant upfront investment in furniture and household items.

10. Understanding Tenant Rights

Canadian tenant laws differ from other countries, and understanding your rights and responsibilities is crucial. Each province has its own residential tenancy legislation, which can be confusing for newcomers.

How Settura Helps

Settura addresses these challenges by:

  • Verifying your identity and documents without requiring Canadian credit history
  • Connecting you with newcomer-friendly landlords who understand your situation
  • Providing transparent listings with verified properties and clear pricing
  • Offering support in multiple languages to help you navigate the process
  • Educating tenants about their rights and responsibilities
  • Protecting against scams through verification and screening processes

Start your housing journey with confidence. Join Settura today and take the first step toward finding your perfect Canadian home!