Is There Still Cashflow To Be Had In Canada?

Question

Interested in investing in the Canadian market (due to being a citizen), but hearing a lot of negativity in previous forum posts saying Canada is dead for long term rentals?

Keen to hear from others investing in Canadian markets and hoping to find some success stories!

Zorya Belanger · Answer

Hi @Dominic Royles! There are definitely places in Canada that cashflow! Its a huge country and varies so much from city to city. We live and invest in Edmonton, and currently in new cash-flowing purpose-built rentals (like Kris). Our suited-triplex will be cash-flowing $1400/month. If you're interested in learning more about Edmonton or Alberta at all, please let me know. I can share more info whether you're thinking of being hands on or more passive. Advantages over here in Alberta vs. BC is no foreign-buyers tax, no land transfer tax, no PST, and landlord-friendly laws.Even if you don't start with multi-family, I'd recommend houses/buildings with multiple units, even if it's 2.

Kris Bucci · Answer

@Dominic Royles Short answer to your question is yes... there are many places in Canada to invest for Cash Flow. Where depends on your budget and what you are looking for in an investment. We personally invest outside Victoria over on Vancouver Island. The small bedroom communities cost of acquisition is lower, but the rent remains high. Prices have risen, but we have been purchasing turnkey 5 bedroom homes (3 bedroom up suite and legal 2 bedroom lower legal suite) for in the high 500s to lower 600s And getting about $4100 a month in rent. These properties cashflow over $1000 a month and the area continues to increase 5-10% in value every year. We personally have moved into building purpose built rental as we can get in at even a lower cost and make the homes exactly the way we want them. Your looking at low 500s to build, and will get the higher rent as the home will be shiny and new.If you want more info please let me know. We are have to assist in anyway... simply as an ear to bounce ideas off or as working partners, my wife is an investor focused realtor and I specialize in property construction and management, so we can provide a lot of service, and if aren’t the right fit, I guarantee we know who is. Talk soon.

Jason Ridout · Answer

@Dominic Royles There are lots of great places to invest on the island. Major hubs like Victoria are very stable, but don't offer great returns unless you like to speculate on inflation. Smaller places like Port Alberni can offer cash flowing properties and have seem the highest levels of appreciation on the island for the last few years. There are also the medium size places like Nanaimo, Campbell River, Courtnay etc that offer decent returns and the safety of well established areas.

Jim Pellerin · Answer

Of course there are tons of cash flowing opportunities in Canada. Just look at multi-unit buildings.

Theresa Harris · Answer

Yes, but don't go looking in expensive markets like Vancouver or Toronto and don't expect $25K houses like you hear about in parts of the US. If you post where you are looking, I'm sure there are people who will jump in with suggestions.

Hamad Khan · Answer

extremly high prices in ontario even for multi res houses let alone single dewelling houses. Tons of investors, multiple offers being norm now a days even during covid cris.. extremely low cash flow margin and tough market.just to give you an idea, only 2 days ago i put down an offer of $270k on a house which was listed for $245k and it got sold for $320k with no condition and this was over 100 years old house... Ridiculous market it is

Dominic Royles · Answer

@Jason Ridout @Zorya Belanger and @Julie Toh I apologize for my extremely late response! I have my head stuck in books this past few weeks haha! Thanks so much for all your advice, you've all given me an incredible perspective on completely different markets in Canada. It's a funny thing investing from long distance because there's so much choice and nothing really tying you to one place, which almost makes it harder to choose!

Julie Toh · Answer

@Dominic Royles Depending on your long term vision, I'd suggest looking outside of Metro Van to Chilliwack and beyond if BC is your playground.

Jeff Nishimura · Answer

Hey Linda, I've lived in Thunder Bay for 23 years and own 2 small multi family properties. Let me know if you have any questions about the area.

Linda Labbe · Answer

es there is I live in North bay and we can here am heading to thunder bay in 3 weeks to check that area out