'How much does it cost?' is the first question landlords ask when considering tenant placement in Quebec. Legitimate but incomplete. Gross cost says nothing until put in perspective with what it avoids: prolonged vacancy, bad tenant, TAL proceedings, lost rent.
This article breaks down Quebec market pricing models, what's typically included, and gives a grid to compute the real ROI vs alternatives (DIY, platform-only, full property management).
Pricing models in Quebec
Model 1: percentage of one month's rent
Most common. Fees are 50% to 100% of one month's rent, paid once on lease signing. For $1,800 rent, that's $900 to $1,800 — paid once for 12 months of lease.
Model 2: flat fee
Some agencies offer a flat fee independent of rent: e.g. $1,200 or $1,500 for a complete service. Pro: predictable. Con: may not reflect actual file complexity (more visits, multiple units, hard sector).
Model 3: success only
No fee if no placement. AA Location's model and the majority of professional agencies: no fee before signing, fees due only when a tenant is selected and the lease signed.
What's typically included
- Unit evaluation and optimal rent estimate
- Listing preparation and copywriting
- Professional photos or visual optimization
- Distribution across relevant platforms (Centris, Kijiji, Marketplace, Facebook)
- Application reception and pre-screening
- Visit coordination with serious profiles
- Credit verification (Equifax or TransUnion)
- Prior-landlord reference validation
- Employment and income validation
- TAL search (public rulings)
- Best-candidate recommendation to the landlord
- TAL standard lease preparation with annexes
- Signing coordination by a real estate broker (at AA Location)
Comparison with alternatives
| Option | Gross cost | Landlord effort | Bad tenant risk |
|---|---|---|---|
| Full DIY (Kijiji/Marketplace) | $0 + time | High (15-30 hours) | High (partial verifications) |
| Platform + DIY credit check | $30-$100 | Medium (10-15 hours) | Medium-high |
| Placement service (AA Location) | 50-100% of one month | Low (2-3 hours) | Low (full verifications) |
| Classic property management | 5-10% of monthly rent recurring + placement | Very low | Low but generic service |
The real ROI calculation
To assess whether the service is worth its cost, compare cost with what it avoids. Concrete example for $1,800/month rent:
Scenario A — Successful placement in 3 weeks via service
- Service cost: $1,350 (75% of one month)
- Vacancy: 3 weeks = ~$1,350 lost rent
- Total cost: $2,700
- Residual bad-tenant risk: low
Scenario B — DIY placement in 6 weeks
- Service cost: $0
- Vacancy: 6 weeks = ~$2,700 lost rent
- Personal time: 25 hours valued at your opportunity cost
- Total direct cost: $2,700 + time
- Residual bad-tenant risk: medium-high based on your verifications
Scenario C — Failed DIY → bad tenant
- Service cost: $0
- Initial vacancy: 4 weeks = ~$1,800 lost rent
- Bad tenant detected at 6 months: 3 months unpaid rent = $5,400
- TAL proceedings: 2-4 additional months + legal fees
- Total cost: $10,000 to $15,000
Questions to ask before choosing
- 1Is payment conditional on lease signing? (Success model)
- 2Is credit verification included or extra?
- 3How many candidates will be presented?
- 4How many coordinated visits are included?
- 5Is there a replacement guarantee if the tenant leaves quickly?
- 6Is the lease prepared with annexes (G, bylaws)?
- 7Is signing supported by a real estate broker?
- 8What's the average placement time in my area?