Investment Property Mortgage Broker in Vancouver, BC
A Vancouver rental you won't live in needs at least 20% down, and 2 local taxes apply if it sits empty: the City's Empty Homes Tax at 3% of assessed value and BC's speculation and vacancy tax, now 1% for Canadians. On a Vancouver West apartment at the $774,900 benchmark, 20% down is $154,980, and $168,478 once transfer tax is added.
How much down payment do I need for a rental property in Vancouver?
At least 20% for a rental you don't live in, because mortgage insurance isn't available on it. Transfer tax comes on top, with no first-time exemption on an investment purchase.
| Home (August 2026 benchmark) | Price | 20% down | BC transfer tax | Cash before legal fees |
|---|---|---|---|---|
| East Vancouver apartment | $628,600 | $125,720 | $10,572 | $136,292 |
| Vancouver West apartment | $774,900 | $154,980 | $13,498 | $168,478 |
| East Vancouver townhouse | $985,400 | $197,080 | $17,708 | $214,788 |
Many investors fund part of the 20% from equity in their own home. Lenders generally accept a borrowed down payment on a rental, and they count the new line of credit payment in your debts when they qualify you.
What is Vancouver's Empty Homes Tax, and does it apply to my rental?
It's a City of Vancouver tax of 3% of assessed value on homes left empty, and every owner has to file a declaration each year, even when the home is occupied. A unit rented to a long-term tenant is generally treated as occupied, and the City sets the exact test.
On a unit assessed at $774,900, the tax would be $23,247 for the year. Assessed value comes from BC Assessment and can differ from what you paid. Missing the declaration can trigger the tax on an occupied home, so put the deadline in your calendar the day you close.
How does BC's speculation and vacancy tax affect Vancouver investors?
Metro Vancouver is inside the tax area, and from 2026 the rate is 1% of assessed value for Canadian citizens and permanent residents, up from 0.5%. Foreign owners pay 3% in 2026 and 4% from 2027.
- Assessed value: $774,900
- Speculation and vacancy tax at 1%: $7,749
- Empty Homes Tax at 3%: $23,247
- Both taxes if the unit sits empty: $30,996 a year
Both taxes are built to push empty units onto the rental market, and a unit rented long-term usually avoids both. The exposure comes from gaps between tenants, like a long renovation or a slow re-rent. Plan the lease dates and the declarations together.
How do lenders count rental income on a Vancouver property?
Lenders use one of 2 methods. Some add a share of the rent to your income, and others subtract the rent from the property's costs. The method changes how much you qualify for, so the same rental can pass at one lender and fail at another.
Lenders base it on the lease or a market rent estimate, so the rent you can charge on day 1 matters. In BC, rent on an existing tenancy can rise by no more than 2.3% in 2026, which means a below-market lease you inherit with a purchase stays close to that level for years. Price the unit on the rent it brings in today.
Can I finance a 5-plus unit building with CMHC MLI Select?
Yes. MLI Select insures rental buildings of 5 or more units, and the terms improve as the building scores points for affordability, energy efficiency and accessibility. At 100 points it allows up to 95% financing and a 50-year amortization.
| Points | Financing | Amortization | Premium |
|---|---|---|---|
| 50 | Up to 95% of cost on new builds (85% of value on existing) | 40 years | Standard |
| 70 | Up to 95% | 45 years | Reduced |
| 100 | Up to 95% | 50 years, limited recourse | Lowest |
Affordability points come from keeping 40% to 80% of units at rents no higher than 30% of the local median renter income for at least 10 years. The building also has to cover its mortgage payment with room to spare, at least 1.1 times for a standard rental.
How many rental properties can I finance?
There's no legal limit, and each lender sets its own. Many big banks cap how much total rental debt they'll hold for one borrower, and once you reach it, portfolio lenders look at the properties' combined rents in place of your personal income.
Which lender holds your first rental affects how easy the third one is. Flow's I.N.V.E.S.T. framework maps that order before the first purchase.
Frequently asked questions
Can I use rental income to qualify?
- Yes. Lenders either add a share of the rent to your income or subtract it from the property's costs, and which one they use changes how much you can borrow.
Can I use my home equity for the down payment on a rental?
- Yes. Lenders generally accept a down payment borrowed from your own home equity on a rental purchase, and they include the new line of credit payment in your debts.
Do I pay the Empty Homes Tax on a presale I haven't moved into?
- The tax is based on whether a completed home is occupied, and each owner declares every year. Check the City of Vancouver's rules for your completion date and plan the first lease before you take possession.
Does the speculation tax apply if I rent the unit out?
- A unit rented long-term is usually exempt, and you still have to file the declaration every year. The rate for Canadians is 1% of assessed value from 2026.
What is the minimum down payment on a rental?
- 20% of the price for a rental you won't live in. On the $628,600 East Vancouver apartment benchmark that's $125,720, plus $10,572 of transfer tax.