When rent is less than half of market value.....

[Jamie Blair]

Hi all, new investor here. In my area (Eastern Ontario, Canada), there are quite a few duplexes or multi-family properties that are coming up for sale that have incredibly low rents. One I was just looking at was a duplex where the rents were $600 for the 1-bedroom unit and $650 for the 2-bedroom unit. The units aren't in too bad shape, a bit dated, but could definitely be renting for far more. From what I've read, it seems like there's nothing that could be done about that. If I were to purchase this property, I would assume the tenants at this rent and could only increase rent if and when they move out. And even if we wanted to completely renovate the entire unit, it's my understanding that I need to offer the unit back to the tenants as the same price they were paying previously before I could search for new tenants. I guess I'm asking if these buildings are just lost causes??