Rental Property Cash Flow Calculator Ottawa
A $450,000 two-bedroom at $2,350 a month, 20% down at 4.50%: −$967 a month.
Condo loads a $560 monthly fee. House drops the fee and adds a 5% capital reserve.
Price and rent
Add every unit's rent for a plex.
CMHC October 2025, Ottawa CMA.
Financing
20% is the minimum on a rental you won't live in.
Preloaded at 4.5%: advertised 5-year fixed rates plus a typical rental premium.
Ontario land transfer tax plus about $3,250 in legal, title and inspection.
Operating costs
Ottawa's combined residential rate is about 1.23% — materially higher than Toronto's. Paste the tax bill if the building is in a rural ward with a different rate.
Ottawa condo fees average about $0.70 per sq ft a month, and older buildings often include heat and water.
0 if you self-manage. 8% is a typical fee.
Roof, windows, furnace. A condo's reserve fund covers the building.
Utilities you pay, accounting, licensing.
Monthly cash flow
−$967
Cash-on-cash
−11.8%
Cap rate
2.73%
Debt coverage
0.51
Break-even rent
$3,401 a month
Your rent is $1,051 short.
Down payment to break even
59% down
About $264,776 of equity before the rent covers every cost.
At renewal
One point higher (5.50%): −$1,172 a month. Two points higher (6.50%): −$1,386 a month.
What cash flow leaves out
Year one pays down $8,022 of principal. Cash flow plus that paydown is −$3,586, or −3.63% on the cash you put in, before appreciation and income tax.
Estimate for planning, not financial advice. Cash flow is before income tax. Rent rules: 2.1% guideline, vacancy decontrol on most post-2018 units.
Ottawa rents are close to Toronto's on much cheaper prices, which makes it look like a cash flow market. The 1.23% property tax rate and fees in the older condo stock take most of that edge back, so check the fee and the tax bill before the rent.
Ottawa's older condo stock often bundles heat and water into the fee. That raises the fee but removes a utility bill, so compare all-in costs.
Cash flow on a typical Ottawa rental condo
Gross rent of $28,200, less $846 of vacancy and $15,052 of operating costs, leaves $12,302 of net operating income, a 2.73% cap rate. The mortgage takes $23,910. What is left is −$11,608 a year: a −11.8% cash-on-cash return on $98,725 invested, with debt coverage of 0.51.
Break-even rent
$3,401
Monthly rent for zero cash flow
Down to break even
59%
Equity needed at today’s rate
As a house or plex
−$525
No condo fee, 5% capital reserve, same price and rent
Year one also pays down $8,022 of principal. Counting that, the total year-one return is −$3,586 before appreciation and tax.
Which Ottawa rent to put in
Most calculators take one rent figure and never say whose it is. There are 3 benchmarks for a Ottawatwo-bedroom, and they are not interchangeable. Asking rent is what a new tenant pays for a vacant unit. CMHC’s averages include tenants who moved in years ago at lower rents. Buying a condo to lease out, you will usually get close to asking rent; buying a building with tenants in place, you get the rent roll.
| Rent benchmark | Monthly rent | Cash flow / month | Cash-on-cash |
|---|---|---|---|
| Asking rentAverage two-bedroom asking rent, mid-2026: what a new tenant pays. | $2,350 | −$967 | −11.8% |
| CMHC condo rentCMHC October 2025 average for two-bedroom condos rented out by owners. | $2,503 | −$827 | −10.0% |
| CMHC purpose-built rentCMHC October 2025 purpose-built two-bedroom average, mostly sitting tenants. | $1,926 | −$1,357 | −16.5% |
Ottawacash flow at today’s rates and at renewal
The preload is 4.50%: advertised 5-year fixed rates of about 4.09% to 4.39% in mid-September 2026 plus a typical rental premium. A longer amortization lowers the payment but not the interest rate; a renewal one or two points higher is the risk a five-year term leaves you with.
| Financing | Payment | Cash flow / month |
|---|---|---|
| 4.50%, 25-year amortization (preloaded) | $1,993 | −$967 |
| 4.50%, 30-year amortization | $1,815 | −$790 |
| Renewal at 5.50% | $2,197 | −$1,172 |
| Renewal at 6.50% | $2,411 | −$1,386 |
| Down payment | Cash down | Cash flow / month | Cash-on-cash |
|---|---|---|---|
| 20% down | $90,000 | −$967 | −11.8% |
| 35% down | $157,500 | −$594 | −4.29% |
| 50% down | $225,000 | −$220 | −1.13% |
Uninsured rental mortgages qualify at the greater of 5.25% or the contract rate plus 2 points. Cash-on-cash includes closing costs in the cash invested.
Cash to close on a Ottawa rental
- Down payment (20%)
- $90,000
- Ontario land transfer tax
- $5,475
- Legal, title insurance, inspection
- $3,250
- Total
- $98,725
First-time buyer rebates do not apply to a property you won’t live in. If the deal runs negative, add a reserve for the shortfall: at −$967 a month, a year of carrying costs is $11,608.
Vacancy and rent rules in Ottawa
Ottawa's purpose-built vacancy was 3.0% in 2025 — the same headline as Toronto, a different market. Units built after 2015 ran at 6.7%. Sandy Hill, Lowertown, Downtown, and Gloucester North/Orléans had more empty units than the CMA average. Rental condos were 0.6% vacant.
2.1% guideline, vacancy decontrol on most post-2018 units
Ontario's 2026 rent increase guideline is 2.1% for units that are covered. Units first occupied after 15 November 2018 are exempt. CMHC noted that about two thirds of Ottawa's 3.4% sitting-rent growth in 2025 came from units that turned over; vacant two-bedrooms were 17% more expensive than occupied ones.
- The $1,926 rent is CMHC's October 2025 purpose-built two-bedroom average for the Ottawa CMA, up 3.4%. Condo two-bedrooms averaged $2,503.
- Turnover two-bedrooms were more than five times the average rent increase. A cap rate on asking rent is not a cap rate on the rent roll.
- Gatineau is the Quebec side of the CMA. It is not this calculator — Quebec's TAL rules apply there.
Ottawa rental cash flow FAQs
Does a rental property cash flow in Ottawa?
Not on a typical leveraged purchase. A $450,000 two-bedroom condo rented at the $2,350 average asking rent, with 20% down at 4.50% over 25 years, comes to −$967 a month after vacancy, tax, insurance, maintenance and a $560 condo fee. Change the price, rent and fee to the listing you are looking at.
What rent do I need to break even on a Ottawa rental?
About $3,401 a month on the preloaded $450,000 condo at 20% down. That is $1,051 above the average asking rent.
How much down payment makes a Ottawa rental cash flow positive?
About 59% down, or roughly $265,500, before the average asking rent covers the mortgage and every operating cost at 4.50%.
How much cash do I need to buy a rental property in Ottawa?
On a $450,000 purchase: $90,000 for the minimum 20% down, about $5,475 in Ontario land transfer tax, and roughly $3,250 for legal, title insurance and inspection, or about $98,725 in total before any reserve for negative cash flow.
Is there rent control in Ottawa?
Ontario's 2026 rent increase guideline is 2.1% for units that are covered. Units first occupied after 15 November 2018 are exempt. CMHC noted that about two thirds of Ottawa's 3.4% sitting-rent growth in 2025 came from units that turned over; vacant two-bedrooms were 17% more expensive than occupied ones.
What vacancy rate should I use for a Ottawa rental?
Ottawa's purpose-built vacancy was 3.0% in 2025 — the same headline as Toronto, a different market. Units built after 2015 ran at 6.7%. Sandy Hill, Lowertown, Downtown, and Gloucester North/Orléans had more empty units than the CMA average. Rental condos were 0.6% vacant.
Nearby cities
How the method works
The Canada rental property cash flow calculator explains the formula, the 1% and 50% rules, down payment rules for rentals and how rental income is taxed, and ranks all ten cities on the same deal.
Sources
- CMHC 2025 Rental Market Report (Ottawa CMA vacancy 3.0%, 2-bed rent $1,926)
- Ontario: 2026 rent increase guideline is 2.1%
- Bank of Canada: policy rate held at 2.25% (September 2, 2026)
- Ratehub: advertised 5-year fixed rates
- nesto: Canadian mortgage rates
- bestrates.ca: investment property rates run 0.20% to 0.60% above owner-occupied
- CMHC: Income Property mortgage loan insurance
- OSFI: Clarifying guidance on rental income and mortgage classification (2025)
- Rentals.ca National Rent Report (asking rents)
- CRA: Rental Income guide (T4036)
- Urbanation and CIBC: GTA Condo Investment Report (July 2024)
- CBC News: More than half of GTA condo investors losing money (2023)
Rates checked September 13, 2026. CMHC rents and vacancy are from the October 2025 Rental Market Survey; asking rents are mid-2026 averages compiled from Rentals.ca and CMHC. Condo fees are city averages per square foot on an 800sq ft two-bedroom. This calculator is an estimate for planning, not financial or tax advice. Replace every preload with the listing, the lease and the lender’s quote.