Investor Guide
Investor Hub
Grow your rental portfolio with confidence.
Canada's rental market offers real opportunity — if you know the numbers. Use our investor tools, understand how lenders qualify you, and connect with a Frank broker who knows investment financing.
Why Frank for Investors
We understand investor financing
Investment mortgages are structured differently from owner-occupied ones. Our brokers know the lenders who offer add-back vs. offset underwriting, portfolio products, and flexible rental income treatment.
Rental income expertise
We know which lenders use offset methods that maximize your qualifying power — not all lenders treat rental income the same way.
Real numbers, fast
Run your ROI and qualifier scenarios in seconds using our tools below, then let a broker confirm what's achievable with real lender guidelines.
Equity unlock strategies
Already own a home? We help you structure a refinance to access equity for your next property without disrupting your existing plan.
Fast, online process
No branch visits. No paperwork piles. Get pre-approved for your investment mortgage online, on your schedule.
Investor Tools
Run your numbers before you commit
Three calculators designed for Canadian investors. All estimates — your Frank broker can validate with real lender data.
1. Rental ROI Calculator
Is this property worth buying? Enter your purchase details and expected rent to see monthly cash flow, cash-on-cash return, and cap rate.
Rental ROI Calculator
Estimate monthly cash flow, cash-on-cash return, and cap rate for a rental property.
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2. Rental Qualifier Calculator
Will you qualify? Compare how major banks vs. alternative lenders treat your rental income — the difference can be tens of thousands in qualifying power.
Rental Qualifier Calculator
Compare how banks vs. alternative lenders count rental income when qualifying your mortgage.
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3. Equity Unlock Calculator
No big savings pile? See how much equity you can pull from your existing home to use as a down payment on a rental property.
Equity Unlock Calculator
Find out how much equity you can access through a refinance or switch.
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Strategies
Common paths for Canadian investors
There's no single way to invest in real estate. Here are the most common approaches our clients use — each with different financing requirements.
01
House Hacking
Buy a duplex or triplex, live in one unit, and rent the others. You can put as little as 5% down as an owner-occupant, and rental income helps carry the mortgage.
Read the guide → 02
Pure Rental (Non-Owner)
Buy a separate investment property you won't live in. Requires 20% minimum down, but you keep your primary residence untouched and build a separate portfolio.
Down payment rules → 03
Equity Refinance → Invest
Refinance your existing home to pull out equity (up to 80% LTV) and use that cash as the down payment on a rental property. One of the most widely used investor strategies.
Access your equity → 04
Alternative Financing
When banks say no — or offer less than you need — alternative lenders and private mortgages fill the gap. Higher rates, but more flexibility on income and property type.
Explore alternatives →FAQ
Investor mortgage questions answered
What is the minimum down payment for an investment property?
Investment properties (non-owner-occupied) require a minimum of 20% down. Mortgage default insurance is not available for investment properties — you must hit that 20% threshold. The 20% must come from your own resources; gifted or borrowed funds are not permitted for rental property down payments.
How do lenders count my rental income?
It depends on the lender. Major banks typically use an add-back method — adding roughly 50% of gross rent to your qualifying income. Alternative lenders often use an offset method — applying up to 80% of rent directly against the rental property's carrying costs. The offset method often allows significantly higher mortgage approvals. Use our Rental Qualifier tool above to compare both.
Can I use home equity to fund a rental down payment?
Yes — this is one of the most common investor strategies. You can refinance your primary home up to 80% of its appraised value and use the resulting equity as a down payment on a rental. You'll carry two mortgages at that point, so lenders will assess both when qualifying you. Use the Equity Unlock Calculator above to estimate how much you could access.
What is a good cap rate in Canada?
In major markets like Toronto and Vancouver, cap rates typically range from 3–5%. Secondary markets and smaller cities often offer 5–8%+. Cap rate reflects return on the property ignoring financing. If your cap rate exceeds your mortgage rate, you have positive leverage. If it doesn't, you're relying on appreciation — which is a valid strategy in growth markets but carries risk.
Does being a landlord affect my own mortgage renewal?
It can. When you renew or need to refinance your primary residence, lenders will include rental property debts in your TDS ratios. If you've structured your rental well and it generates positive cash flow, this is manageable. A Frank broker can help you plan for renewal timing and lender strategy across your portfolio.
Investor Guides
Learn the fundamentals
Deep-dives on the topics that matter most to Canadian real estate investors.
Ready to invest?
Talk to an investor-savvy mortgage broker
Our brokers understand rental income underwriting, equity refinances, and portfolio lending. Get expert advice — free.