This is a Rental Market update for the upcoming year. Canadian landlords will increase rents in 2019. Strong demand for rental housing continues due to high home prices and tighter mortgage lending rules. Therefore, average rents nationally will rise 6% with Ottawa looking at a 9% increase. Modern high rise condos in desirable neighbourhoods are attracting people to these areas. Demand is outpacing supply, one factor contributing to high rental rates.
In Addition, higher resale house prices has deterred many would-be first-time buyers. Entering the ownership market is harder and expensive. This is due to current credit tightening rules such as the stress test. That demand overflow is being felt in the rental market. Very few Canadian markets are offsetting demand with new rental supply.
Many young couples and families have decided to postpone purchasing a home. This has driven two-bedroom rental rates to over $2,000 per month in Ottawa. Choosing to rent instead of buying and existing tenants staying put has reduced rental listings in this high-demand environment. This has driven prices up.
Similarly, investment opportunities for landlords have become trickier. The same tightening rules have deterred many. But opportunities still exist. People looking to buy an investment property are encouraged to contact Jennifer Rossides to discuss all options.
In Conclusion, Jennifer Rossides will discuss with you your personal financial and lifestyle situation. Jennifer will provide details on various lenders, discuss pros and cons of renting vs buying and point out any investment opportunities. Ask Jennifer Rossides for her references and recommendations. Please give me a call at 613-867-8076 or send an email at firstname.lastname@example.org Start today to find a Smart Mortgage Solution that’s right for you.