Why should you invest in Sudbury?
Why should you invest in Sudbury? The answer is quite simple: our current rental housing market. According to CMHC, the vacancy rate has dropped from 4.5% in 2017, to 2.6% in October of 2018 (lower than it’s been in four years!) Low vacancy rates suggest a strong rental market. Where the need for apartments is high, landlords are left with less worry about paying out of pocket for expenses.
The average rent for 1, 2 and 3 bedroom apartments have all increased slightly from 2015 to 2018, indicating continued and steady growth.
Below the average rents across Ontario are illustrated with Ontario and Sudbury highlighted.
We hold just over half the average rent however, according to Sudbury.com, we have the second most affordable housing market in Ontario. Affordable properties with adequate rents mean that investors can obtain higher capitalization rates and a better return on their investment.
Multifamily properties specifically, have remained quite affordable, especially in comparison to other parts of Ontario. The average sale prices for 2016-2018 in Sudbury have been $301,898, $302,574 and $300,614, respectively.
2019 could be your year to start investing in real estate or expand your portfolio!
If you have any questions about the process or want access to a list of investment properties sorted by the best return, give us a call!