2% deals possible in the Montreal area?
Hi!
I've been lurking around BP for the past few weeks/months. I keep seeing references to the 2% rule (monthly income vs purchase price), and I'm wondering if this it's possible to find such deals in or around the Montreal area. We own a 4plex in Hochelaga, our rents are at the very high end for the area, and we're still slightly below the 1% mark. Basically, I would have to double the rents to hit 2%, which is impossible. Such rents would be possible if we were downtown, but then the price of the property would also be double.
I have been looking at deals on MLS for 5-20 units, and most are well below the 1% mark. I'm guessing that part of it is due to the Régie du logement preventing rents from going up too much.
At this point I'm wondering if it's possible at all to even get close to 2% in this area. Anyone has seen such deals? I'm looking for buy-and-hold deals, most likely those which require a good make-over.
Thanks for any tips! :)