Cap Rate Calculator New Brunswick
A $280,000 purchase at $1,400 a month is a 3.69% cap after 3.1% vacancy.
Use in-place rent unless the unit is vacant and you can legally reprice it.
CMHC October 2025 province (3% cap). Condo vacancy stayed well below purpose-built. Last verified June 24, 2026.
Starter assumption of 1.4% of value. Municipal rates vary — use the tax notice.
Leave at 0 if you self-manage. 8% is a typical third-party fee.
Cap rate
3.69%
Gross yield
6.00%
Expense ratio
36.6%
Cap rate is $10,319 of NOI on a $280,000 price. It does not include mortgage payments, land transfer tax, or closing costs. 3% cap, six months' notice.
New Brunswick's cap is a hard 3% on in-place rent with a long notice period. The cap rate on an occupied unit is a sitting-rent number for at least a year.
A $280,000 purchase rented at $1,400 a month, with 3.1% vacancy, produces $10,319 of NOI — a 3.69% cap rate. Vacancy last verified June 24, 2026.
How the New Brunswick cap rate is built
Gross rent $16,800, minus $521 of vacancy, minus $5,960 of operating costs, leaves $10,319 of NOI. Divide by $280,000.
- The $1,400 rent is a starter assumption for a two-bedroom, not a CMHC CMA average. Put in the actual rent roll.
- Closing costs in New Brunswick include land transfer tax. That cash is not in the cap rate.
Vacancy in province (3% cap)
The vacancy preload is Canada's 3.1% purpose-built average from CMHC's 2025 survey, because the major-CMA chapters do not isolate Moncton or Saint John at the same level of detail. Replace it with the building's trailing empty months.
3% cap, six months' notice
Since 1 February 2025 a landlord may not raise rent by more than 3% in a 12-month period, with six months' written notice, and not in the first 12 months of the tenancy. The province confirmed on 24 June 2026 that the 3% cap stays for the 2027 calendar year. Capital-expenditure applications can go higher, to a 9% ceiling.
New Brunswick cap rate FAQs
What is a typical cap rate in New Brunswick?
On a $280,000 province (3% cap) two-bedroom rented at $1,400 a month, with 3.1% vacancy, the cap rate is 3.69%. That is $10,319 of NOI. Change the rent to the amount on the actual rent roll.
How is cap rate calculated in New Brunswick?
Cap rate is NOI divided by purchase price. In New Brunswick, NOI starts with the province (3% cap) two-bedroom sitting rent, minus 3.1% vacancy, property tax, insurance, and maintenance. The mortgage and land transfer tax are not in the number.
Is there rent control in New Brunswick?
Since 1 February 2025 a landlord may not raise rent by more than 3% in a 12-month period, with six months' written notice, and not in the first 12 months of the tenancy. The province confirmed on 24 June 2026 that the 3% cap stays for the 2027 calendar year. Capital-expenditure applications can go higher, to a 9% ceiling.
What vacancy rate should I use in New Brunswick?
The vacancy preload is Canada's 3.1% purpose-built average from CMHC's 2025 survey, because the major-CMA chapters do not isolate Moncton or Saint John at the same level of detail. Replace it with the building's trailing empty months.
Does the New Brunswick cap rate include land transfer tax?
No. Cap rate ignores closing costs, including any provincial land transfer tax. Run those separately on the closing-costs calculator.
Cap rate calculators for other provinces
Sources
- GNB: 3% rent cap maintained for the 2027 calendar year (24 June 2026)New Brunswick, last verified June 24, 2026
- Residential Tenancies Act, s. 11.12: maximum increase 3% on or after 1 February 2025New Brunswick, last verified June 24, 2026
- CMHC 2025 Rental Market Report (Canada purpose-built vacancy 3.1%)New Brunswick, last verified June 24, 2026
This calculator is an estimate for planning. Cap rate turns on the rent you can legally collect, empty months, and the tax bill — none of which a national average replaces. Confirm against the rent roll and the latest assessment notice.
Comparing provinces before you buy?
The national cap rate calculator ranks every province on the same price and on a typical local deal. When you are ready, get matched with a NB agent who has closed investment purchases in this market.