Investing in Victoria rentals: the numbers
Victoria pairs some of the tightest vacancy in the country with high prices and steady demand. Like the rest of BC, it is an appreciation market more than a cash-flow one. Here are the numbers.
Victoria at a glance
| Average 2-bedroom rent | $1,900/mo (CMHC Rental Market Report, October 2025) |
|---|---|
| Average 1-bedroom rent | $1,600/mo (CMHC Rental Market Report, October 2025) |
| Rent growth, year over year | 3.8% (CMHC Rental Market Report, October 2025) |
| Rental vacancy rate | 1.6% (CMHC Rental Market Survey, October 2024) |
| City residential mill rate | 4.21 per $1,000 of assessed value, 2024 (municipal tax bylaws, 2024) |
| Rent control | 3.0% 2025 cap for existing tenants |
Figures from CMHC, CBRE and Colliers Canada surveys and municipal tax bylaws. Cited with each row above. Rents are existing-tenant averages; new leases on turnover usually run higher.
A Victoria fourplex, run in full
Take a small four-unit building in Victoria. Using the CMHC Rental Market Report, October 2025 average two-bedroom rent of $1,900 a month across the four units, gross rent comes to about $7,600 a month, or $91,200 a year. At a purchase price near $1,003,000, the math looks like this.
Property tax at Victoria's residential mill rate of 4.21 per $1,000 runs about $4,223 a year. Add roughly $25,500 for insurance, maintenance, management, and a vacancy reserve, and total operating expenses land near $29,723. That leaves a net operating income around $61,477 a year. That works out to an implied cap rate near 6.1% on this price.
Now add the mortgage. With 20% down on a 30-year amortisation at current rates, the debt service is the line that decides whether this deal cash-flows. If it qualifies for CMHC MLI Select, a 1.10 DSCR threshold and a 40-year amortisation path change the math in your favour. That is the kind of difference a US-built tool misses, because it does not carry the CMHC paths at all. The numbers only hold if the rents, the unit count, and the mill rate are real, not what the listing claims.
What is specific to Victoria
- Victoria's vacancy is very tight, which supports rents but rarely produces strong cash flow at current prices.
- BC's property transfer tax applies on purchase and climbs on higher-value homes. Count it fully in closing costs.
- The BC rent cap limits how fast you can raise an in-place rent, so underwrite the current rent, not a market projection.
Run a real Victoria listing through BrickROI.
Paste the realtor.ca URL and the Canadian property data fills in the price, taxes, and rent comps. You get cap rate, DSCR, cash-on-cash, the CMHC and MLI Select paths, and a lender-ready PDF in two minutes.
Try a dealWant to run the numbers yourself first? Start the cash-on-cash calculator with this example's figures.
Victoria investor questions
Is Victoria a good place to invest in rentals?
It depends on the specific deal. Victoria has an average two-bedroom rent of $1,900 a month and a rental vacancy rate of 1.6% per the CMHC Rental Market Survey, October 2024. Run the actual numbers on the building before you decide.
What is the average rent in Victoria?
Per the CMHC Rental Market Report, October 2025, the average two-bedroom rent in Victoria is $1,900 a month and the average one-bedroom is $1,600. Rents grew about 3.8% year over year. New leases on turnover typically run higher than these existing-tenant averages.
Does rent control apply in Victoria?
British Columbia caps annual rent increases for existing tenants. The 2025 limit is 3.0%. The cap applies once per 12 months with three months notice.