Multifamily in Canada

10 Replies

Any recommendations for best cities in Canada to start investing in Multi Family in Canada? I'm in Vancouver at prices are outrageous. Looking across the country for great opportunities. Also, any prefered search engines for Canadian properties would be helpful. 

@Michael Bouchard - I was living in Toronto for a while and that market is crazy.  I also noticed so many buildings going up, it was insane.  That being said I think Toronto is a risky market due to the influx of outside money.  Mainly, on a large MF level but I am sure it will or is trickling its way down to smaller MF   I am by no means an expert in Toronto so maybe others can comment better.

I don't know much about any of the other Canadian cities!  Good luck!

You want to take a look at Calgary and Edmonton. I met a seasoned investor(REIN member as well) in ACRE summit in Vancouver last month and they are looking for investors for Commercial Multi-Family in Edmonton. They live and invest in Edmonton and they know well the area. Let me know if you like to connect with them. I use REW, Zillow, and Realtor.ca for property research.

I'm currently working on acquiring a small MF in Edmonton using the BRRRR strategy with my rockstar agent and contractor there.

@Jonathan Klemm

Toronto is not good for purpose built multi family. The cap rates are really low

In Ontario you need to go beyond 100km radius to multi family. Look at Alberta or Quebec..

I would consider looking at surrounding cities of Toronto. Such as Hamilton, Waterloo, Kitchener, Barrie, Orillia

These cities have very strong rental markets with prices far more affordable than Toronto with significantly better cap rates. These cities are experiencing significant population growth as Toronto has become far too expensive for the average individual to live and purchase a home

Feel free to send me a message I would love to discuss theres areas in more detail! 


  

@Samuel Toby

Hi Samuel.  I just sold a tripled in Kitchener that was a 5% cap based on longer term tenants which means rents were lower than market.  It sold for $685,000.  

If you look at London and surrounding area there is some good cash flow multiplexes there. 

Add me as a colleague and I can send you some information on thise markets. 

i use realtor.ca to find MLS listings. There is craigslist, kijiji, facebook marketplace and various facebook groups.

Try searching real estate "" and there are a good number of them out there.

Give me a shout and we can work at narrowing the search criteria and search places based on that.

Cheers

Highly likely you're going to pay too much if you buy a multifamily property that hits mls . Unless maybe it's an estate sale and the executor had zero involvement and no instructions were left. Multifamily world is a small world, generally a couple /few weeks of calls generates enough interested parties for some offers unless it's priced at arv but needs noticeable work. .. those are the ones that hit mls.

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