How to Start Investing in Real Estate in Ottawa
Ottawa real estate investing remains one of the most resilient options for generating reliable growth. With a steady demand for rental options and affordable pricing, it continues to attract local and out-of-city investors. At CLV Group, our 50 years of experience in asset management have allowed private and institutional investors to maximize returns and reduce risks. Here, we explore what you need to know about how to start investing in real estate in Ottawa.
Ottawa’s Housing Market and Its Move Toward a Balanced Market
Ottawa’s real estate market is more balanced compared to other cities, and rentals are becoming more and more desirable in Ottawa:
- Population Growth: The city’s government employment and various educational institutions make it a hub for different stages of life, according to a market update by Equiton.
- They also state that the population will continue growing, with an estimated increase of 1.2 million residents by 2030.
- Vacancy Rates: Ottawa has seen a slight increase in vacancy rates, with the Canadian Mortgage and Housing Corporation’s report indicating a 2.6% vacancy rate for purpose-built rentals and 0.5% for condos.
- This represents a significant gap from a 5-10% rate that would offer prospective tenants more options.
- Ongoing Development: Ottawa’s rental market is booming, according to Urbanation’s rental market update for Q2 2025. With 81,942 purpose-built rentals approved for development this year, and 5,872 units already completed in 2025 (a 59% increase from 2024).
Why Ottawa Offers a Strong Investment Case Compared to Other Cities
Ottawa offers a strong option for investing compared to other cities for various reasons, including:
- Renting vs. Buying: According to reports, the city is experiencing a shift towards rental living options, with a widening gap between homeownership in Ottawa, leading more residents to rent to accumulate funds for a future down payment.
- Competitive Rent: National rent reports (as of October 2025) indicate that Ottawa is a more affordable rental option than other major cities, including Toronto and Vancouver.
- Employment Opportunities: Named as one of the nation’s top employers for the 14th year, Ottawa’s demand for talent, particularly in tech and government sectors, is attracting many working professionals.
Getting Started: Key Factors for First-Time Homebuyers and Investors
Before investing heavily in Ottawa’s rental market, you’ll want to review a few key factors, especially if you’re a first-time investor. These include:
- Exploring high-demand neighbourhoods, such as near universities or government and tech hubs, for higher occupancy potential.
- Building a diverse portfolio that balances high rewards with minimal risk.
- Evaluating current market conditions to determine an ideal entry point for investing,
- Considering benchmark rental costs in Ottawa; striking a balance between development costs and property management is key.
A City Built for Steady Returns
Ottawa’s real estate market is where growth meets reliability, a rare combination in today’s economy. With stable home prices, expanding infrastructure, and rising listings, the capital continues to prove itself as a smart, future-focused investment destination. Partner with an experienced property management company like CLV Group to streamline operations and maximize returns.
