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As the new school year approaches, international students in St. John's struggle to find housing

High interest rates are keeping prospective home buyers from moving out of rentals, making the hunt for housing even more difficult for incoming students.

Arriving students fear rental scams, unscrupulous landlords, says MUN student union rep

A man with dark wavy hair and a beard sits at a table.
Student Haroon Malik is set to begin studying in St. John's in September but, like a lot of international students, he's having a hard time finding a place to stay. (Submitted by Haroon Malik)

On the other side of the world, in Lahore, Pakistan, Haroon Malik scrolls through Facebook student groups, housing groups, and websites like Kijiji.

He's interested in studying statistics in Newfoundland and isn't yet sure whether to specialize in artificial intelligence or machine learning. He also doesn't know where he would live, or even if he'll be able to find a place before landing in St. John's a month before the school year starts.

He's looking for a room, not an apartment, he told CBC News in a recent interview, but the landlords he's contacted have asked him to send money to reserve a room or sign a yearlong lease in advance.

"I'm worried about getting scammed," Malik said. "I don't want to give my money to some guy and then never see it again. Scammers are smart, and they know I can't sue. I'm in no position to do that when I'm in a new school, in a new country, and navigating thousands of things."

It has been two months since he began his search, and he still has no leads.

We have 10 to 12 people at a time seeing one unit. Every month we get a couple of properties for rent and they are rented almost immediately.- Lindsey Kelly

Lindsey Kelly, general manager of Krown Property Management, says there are two factors that make finding rentals difficult.

High interest rates are making it harder for prospective first-time homeowners to get mortgage approvals, forcing them to continue renting. For landlords, mortgage payments have gone up, and so have rents to keep up with expenses. To add to the mix, there is not enough supply for people who are looking to rent.

"We have 10 to 12 people at a time seeing one unit," Kelly said. "Every month we get a couple of properties for rent and they are rented almost immediately."

About 60 per cent of their client calls are from newcomers, Kelly said — international students, job seekers, immigrants and refugees, all of whom put pressure on the supply.

And international students may be in a vulnerable position, Kelly points out, because, they're less familiar with the area and may not have rental references or job experience to include in a rental application. They may be more susceptible to rental scams — as Malik fears.

"Never send money to anyone before you see the property," Kelly said. Students can connect with someone local, she said, like an organization such as the Association for New Canadians or a reputable property management company that can be a partner on the ground to help.

A woman with long hair in a blue and white striped shirt sits at a desk in front of a computer.
Lindsey Kelly, general manager of Krown Property Management, says high interest rates are keeping prospective home buyers from moving out of the rental supply, which isn't enough to around as it is. (Arlette Lazarenko/CBC)

Malik's situation is not new to Axel Hossain. When Hossain isn't in class for his final year as a business student at Memorial University, he serves as the international students' representative at the student union.

"Unaffordability is the [main complaint] from students," Hossain says.

The rental situation has affected him as well.

"If you look at Facebook marketplace, at the rents, nothing is below $500, and that's not including utilities. And if you want to get something affordable, you would have to compromise on location, and if you don't have a car — that's not easy."

As for scams, he said students have come to him with stories of people asking for money to reserve a property for viewing and landlords who abuse their power.

"The problem is that many international students don't know their rights as tenants," Hossain says. "They are fearful, and there is not enough rentals so they stay quiet."

On-campus housing with waiting lists

MUN's housing director, Bruce Belbin, says there are 150 people on the waiting list for on-campus housing.

"Only about 40 of them are seeking an actual place to live, and that number goes down every few days as we make adjustments," Belbin said. The rest already have a place to live but want to relocate closer to campus.

Hossain says undergraduate students are lucky if they get a spot.

"If you're not quick or if you got your admission late, too bad, you're out of luck."

However, Belbin says, they are trying different strategies to increase their housing capacity.

"For example, we are asking people with a private room if they can take in a roommate. We are also asking people in the public, especially our pensioners who are interested in accommodating students, to contact us."

The MUN website has a short list of landlords that students can contact, but they are not formally vetted, Belbin said, because of the small inventory of rentals.

I do feel a sense that this isn't in my control, but I'm just trying to stay positive that things might work out and nothing is going to be that bad.- Haroon Malik

But in the event that a student shows up in September and still hasn't found a place to live, Belbin says, they will not be left stranded.

"We have emergency spaces available. In the past, we have helped students who were flooded out of their house or whose house caught fire. We will temporarily bring them in and work with them to find a new location. No student will be left alone."

As for Malik, he's still interested in studying in Newfoundland and can't imagine what he will do if he shows up at the airport and runs out of money for hotels.

"I've never been homeless in my life. I don't know how people can survive," he said.

"I do feel a sense that this isn't in my control, but I'm just trying to stay positive that things might work out and nothing is going to be that bad."

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ABOUT THE AUTHOR

Arlette Lazarenko is a journalist working in St. John's. She is a graduate of the College of the North Atlantic journalism program. Story tips welcomed by email: arlette.lazarenko@cbc.ca