How Vanier Multi-Family Properties Performed in 2021

The Ottawa real estate market is quite hot and buyers are competing in this low inventory market.

With Ottawa real estate prices hitting all time highs in 2021 it was a great year for real estate investors to refinance their multi-family properties to acquire more assets. A total of 168 multi-family properties sold in the City of Ottawa last year. The Ottawa Real Estate Board also listed and sold a total of 446 multi-family properties that were located outside of Ottawa. Small towns outside of Ottawa such as Smith Falls, Hawkesbury, Cornwall, have become quite popular for real estate investors with a smaller budget or those looking for better investments returns such as better CAP rates.

The average multi-family property outside of Ottawa was $330,984 and those properties sold in an average of 31 days. This is a 24.3% increase in price when compared to 2020. This shows the increase level of investor activity on the outskirts of Ottawa. The average days on market has also come down from the 51 days on average we had a year earlier.

The market for real estate multi-family properties inside the City of Ottawa is quite hot. Average prices have gone from $894,041 in 2020 to $1,042,182 in 2021 representing a 16.5% increase.

Ottawa neighbourhoods that are most popular for multi-family are often found in the urban core. Neighbourhoods such as Vanier, Centre Town (Ottawa Centre), West Centre Town , Hintonburg, saw the most amount of multi-family sales. These neighbourhoods tend to also have zoning that provides for more density. Sales of multi-family properties in Vanier have increased a whopping 36.5% in the 2021. The average sale price was $861,646 up from $631,177 in 2020.

Competition for these Vanier multi-family properties is high. Vanier duplexes, triplexes and fourplexes properties are selling pretty fast. These properties sell in an average of 41 days. The graph below shows the distribution for all 38 properties sold in Vanier in 2021.

As expected properties that tend to sell quickly are those that have been well maintained by the owners, properties that were originally built as a multi-family as well as those with more attractive CAP rates. This is where my expertise comes in. I work with investors looking to acquire multi-family properties and discuss ways to potentially to improve rents or reduce overall expenses which in turns increases their Return on Investment. It’s often easier when speaking with a fellow real estate investor and landlord when speaking about potentially buying or selling income properties. I’d be happy to discuss you real estate goals, text or call me 613–889–7732.

From the 38 sales in 2021 Vanier saw a total of 118 individual rental units change hands. The average cost of a rental unit in a multi-family property was $277,479. This represents an increase of 29.3% over 2020 where the average rental unit was $214,600.

The most expensive multi-family type were fourplexes at an average price of $962,033, triplexes sold for an average of $829,083 while duplexes sold for an average of $744,989.

Real estate investors like you often work with investor focused real estate brokers like myself to buy or sell investments properties. Did you know we can also help with property management such as doing the tenant placement as well as on-going monthly management. In 2021, a total of 96 properties rented on the MLS through a Realtor. The average rental price in Vanier was $1,981 and units took an average of 31 days to rent. 72% of the rental units that have rented on the MLS were apartment style properties, 14% were detached houses, 8% were semi detached properties and 6% were row houses.

If you would like to discuss the acquisition or a multi-family property or the sale of a multi-family in Vanier or elsewhere in the City of Ottawa trust the services of an investor focused Realtor. Call, text or email Roch St-Georges to discuss your real estate needs. If you are upcoming vacancies and would like to discuss working with our team to find a quality tenant we can also discuss current rental market conditions.

Roch St-Georges
Real Estate Broker
613–889–7732
roch@rochstgeorges.com
http://www.rochstgeorges.ca