Ottawa (ON) Evaluation - How to get 6%+ CoC ROI?

Question

New investor here.    Started 10 days ago.  Pro user for 24hrs or so  :)

I have analysed 10 properties in the Kanata / Ottawa area everyday since I found this website and I just CAN'T get the CoC ROI any higher than -4%. Am I doing something wrong?
Compared with the BiggerPockets videos, I noticed that the prices of homes here are a lot more expensive. I started looking for Carleton Place, Brockville, Kingston and etc but still the same.
Any suggestions (other than throwing more money on the house to lower the Mortgage Payments)? TIA.

Mauricio Almeida · Answer

@Stuart Hiddema Got it!  I was planning to look deeply in BRRR for Ottawa.  I didn’t know about OREA.  I will.

Thank you so much.

Stuart Hiddema · Answer

You are most likely doing it correctly. The nature of the CoC depends on the size of the downpayment. But in the Ottawa region it will be hard to achieve 6%. Markets vary dramatically. Most investors in Ottawa are winning on appreciation and stability. One CoC ratio does not apply to all situations.

If you are looking to increase your cash flow your best options would be seeking something off-market or look into the BRRR method. Which is discussed at length on this website.

If you are new look into the local networks of investors. OREIO is a large and we'll established group with good speakers.