Investment Property Mortgages
Financing rental properties in Ontario — qualification, structuring, and growing a portfolio.
Down payment requirements
Investment properties in Ontario (1–4 units, non-owner-occupied) require 20% down minimum. Some lenders offer 15% with default insurance for owner-occupied multi-unit, but pure rentals are uninsured.
Rental income qualification
Most A-lenders use 50% of gross rental income as 'add-back' to your qualifying income. A few specialty lenders use 70–80%, which can dramatically expand what you qualify for. Choosing the right lender at the application stage is the single biggest leverage point for portfolio investors.
Portfolio scaling and the 'door cap'
Most banks cap individual investors at 4–5 financed properties before flagging the file. Beyond that, you'll work with specialty alternative lenders, commercial portfolio lenders, or refinance under a corporate structure. Planning the next-five-property runway during your first purchase saves a lot of restructuring later.
Multi-unit (5+ door) financing
Properties with 5 or more units cross into commercial territory — different lenders, different underwriting, and typically 25–30% down. CMHC's MLI Select program offers attractive terms for purpose-built rental, multi-unit residential, and affordable housing projects.
Holding personally vs in a corporation
Personal ownership offers lower rates and easier qualification; corporate ownership offers liability protection and certain tax advantages. The right structure depends on your portfolio size and broader tax plan — Jay coordinates with your accountant on this decision.
Have questions about your situation?
Every mortgage file has its own story. A 15-minute call with Jay is enough to know your real options.