Investing in a duplex, triplex or quadruplex are all strong investment options in Montreal's 50/50 rental market, making them some of the best properties to buy as investments.
As the name's suggest, a duplex, triplex and quadruplex contain 2, 3 or 4 units managed in the one building. As the number of units goes up, so does the price. Provided you have the financial backing, they are going to be a strong addition to your real estate portfolio.
Who would want to buy a plex?
Duplexes have risen in popularity with first time buyers who are aspiring to enter the world of real estate investing. The strategy is to buy a duplex, live in one unit and rent out the remaining unit so you are partially owner occupying the property. Even if your plan is to occupy both units in the plex, there may come a time where you wish to move out or downsize. This is where a duplex has the advantage flexibility.
Other plexes share this same advantage by simply adding more units which creates more opportunity for rental revenue.
Smaller plexes have an advantage of the small family home mixed with urban living.
With the large rise in condo buildings, smaller plexes are a step away from the urban condo lifestyle with most containing their own small private backyard.
Driving around Montreal, you'll notice these are also in limited supply as developers favor condos over smaller development projects such as duplexes. The smaller condos become, the more people start to look outside the box for living that fits in between a condo and single family home.
These factors alone make plex's a great investment in Montreal.
The largest consideration with any plex is they are often older buildings which can require more maintenance than your standard condo investment. Any maintenance will need to be done by either yourself or another licensed trade person to attend to the maintenance.
Depending on your financial lender, you might also need to take out an investment type loan which come with different mortgage rates and conditions.
With any investment it's good that you choose it wisely - if you're already working with a broker, they will advise you and help in picking a plex which meets your goals/objectives.