The relatively low cost of housing in Prince George compared to income levels means investment properties are within reach for many people in the real estate market.
But are rental properties always a good investment?
“We are one of the most affordable cities in BC for housing and we have very low vacancy rates,” explains Cam McLeod of Team Powerhouse Realty.
Add to that the current low interest rates, and you have an exceptional environment to invest in. Cam says it’s not surprising that so many Realtors®, including himself, own investment properties.
Unlike Canada’s big cities where house values are very high, there are more opportunities in Prince George to invest in properties that can produce a positive monthly cash flow. Savvy investors often find that their rental income not only covers the mortgage, but generates a monthly profit.
Buying a separate investment property is not the only way to benefit from the great investment climate in Prince George.
Properties with rental suites, known as mortgage helpers, come onto the market often, and can take a big chunk out of the mortgage payments on your home. Mortgage helpers can also increase the mortgage amount you qualify for.
Rents vary widely, but the trend in Prince George as with other cities is that rents are continuing to increase.
Another benefit of rental investments is that many expenses incurred from rental income can be deducted to lower your taxes. Take a look at the CRA’s list of deductible expenses for more information.
Like any investment opportunities, there are responsibilities, risks and expenses associated with rental properties, which is why it is important to get the right advice.
Speak to a Realtor® with Team Powerhouse Realty today to discuss whether rental properties are the right investment for you.