Last updated on September 4th, 2023
If you are looking to buy investment properties in Canada, knowing the Airbnb rules in your preferred city is the first step. It’s also important to consider the other metrics such as the occupancy rates in Canada as well as the top cities for Airbnb rentals in order to have successful investment & long-term profitability! In this article, we featured Airbnb regulations in Ottawa along with short-term let policies, rental properties, things to consider in property investment, and more. Continue reading and learn more about the Airbnb rules in Ottawa.
Is Airbnb legal in Ottawa?
Don’t worry, Airbnb is legal in Ottawa! Ottawa is consistently ranked as the best place to live in Canada & is considered one of the best 100 cities in the world because of its diversity & strong economy.
Here is a little proof! As of June 2022, there are 21,289 nights available in Ottawa from Airbnb alone. Short And Suite manages 51 listings, while Corporate Stays and Lisa operates 35 and 25 respectively.
How much can I make by running an Airbnb in Ottawa?
Currently, there are 1,627 Airbnb listings in Ottawa, with 58% of entire houses earning up to C$1,578 a month. The Average Occupancy Rate in Ottawa is 59% and the average daily rate is C$82. According to vacation rental market data source Airbtics, a 2-bedroom apartment in Ottawa can make up to C$34,252 each year. Check out our Airbnb Income Calculator!
Short-term Rental Policy in Ottawa
- Homeowners can offer short-term rentals in their own home (principal residence).
- Renters can offer short-term rentals in the rental unit that is their principal residence unless prohibited by their landlord.
- Condominium and housing co-operative unit owners can offer short-term rentals in their principal residence unless prohibited by their condominium corporation or housing co-operative.
- Rural homeowners and cottage owners can offer “cottage rentals” with a separate permit. This must be separate from any permit for their primary residence.
- Short-term rental hosts are only able to list (market or book) a short-term rental through short-term rental platforms registered with the City.
- Must include the City-issued host permit number and the maximum number of overnight guests, as noted on the host permit, on all listings.
Rental Demand in Ottawa
There are many hosts who are doing rental arbitrage in Canada as it does not require you to own a property. Based on a recent Ottawa rent report, demand increased sufficiently and the vacancy rate remained stable at 3.4%.
Source: Ottawa Rental Demand
Property Investment in Ottawa
If you are looking to start an Airbnb business in Canada, particularly in Ottawa, you have to consider which areas are the most profitable. Whether it is located in the city centre or in the countryside, knowing your estimated annual revenue and high-return investment opportunities is important. Using an accurate short-term rental calculator, it shouldn’t be a difficult task at all!
Rental Properties in Ottawa
Once you have decided to buy a property, you have to consider the average price, population, nearby landmarks or attractions, and rental yields to expect – among the rest. It could be a challenge to find rental properties in Ottawa, so here are some of the most recommended areas that you can look into & consider purchasing:
| Area | Average House Price | Average Rent Price (pcm) | Average Airbnb Revenue |
|---|---|---|---|
| Vanier | C$700,000 | C$1,040 | C$1,579 |
| Byward Market | C$645,650 | C$1,675 | C$2,283 |
| Lower Town | C$724,900 | C$1,800 | C$2,800 |
Conclusion
In my personal opinion, the biggest advantage of running a short-term rental is high return! I’ve talked to hundreds of Airbnb hosts over the past years and frequently met hosts making 15-30% gross rental yields, and 10-20% net. It’s also fun to do!
