Profitable Rental Real Estate That’s Accessible In The Current Housing Market

Perch’s mission is to make homeownership more attainable by solving common obstacles with financing, even if the current Canadian housing market may feel inaccessible to most. 

With the increasing cost of housing in Canada, more are looking for creative investing solutions to supplement their income and wealth. SHARE suggests you look south of the border where there are more lucrative deals to be had as the U.S. rental real estate market is a more attainable option for many. Let’s outline some of the reasons why real estate investing in the U.S. can be a great option:

The benefits of investing in U.S. real estate:

    1. Diversify your investment portfolio to high-yield rental markets at affordable purchase prices.
    2. Build your Canadian equity and credit while investing in the U.S.
    3. Build your portfolio of rental properties in a robust rental and labour market. 
    4. Benefit from more available financing options, landlord-friendly laws, and tax benefits. 
    5. Get ahead of the market. Wall Street will own 40% of all U.S. single-family rental properties by 2030.

How to invest in U.S. real estate as a Canadian

Although the U.S. real estate market is shaping up to become an attractive investment option for Canadians, getting started can feel intimidating. What are some common obstacles that investors face?

  1. Market research: location will always be the most important consideration when investing in real estate. Finding the right property to purchase is hard enough, especially when you’re looking at markets you may not be familiar with. 
  2. Underwriting: determining whether an investment opportunity is right for you comes down to the underwriting, arguably the most important step of the process. Calculating monthly cash flow and 10-year returns can be complicated to do on your own, and could be misleading if you’re not factoring in the right expenditures.  
  3. Closing: once you’ve found a property and determined that the numbers work for your investment goals, navigating the closing process can feel intimidating as a foreign investor.  
  4. Property management: overseeing renovations, managing your tenants, plus taking care of the property from afar can cause a lot of headaches and additional time and resources. 

Through companies like SHARE, overcoming these obstacles (and more) as a cross-border investor is easy. Canadians can benefit from their end-to-end support and services – from sourcing and closing, to property management and beyond. There’s no guesswork, no hassles, or headaches while owning a rental property(ies) completely remotely. 

So, what’s the deal with the single-family rental (“SFR”) asset class? Let’s compare the numbers between Toronto and some sample SHARE markets: 

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*All figures are in CAD, are estimates, are subject to change based on the market conditions, and do not include renovation costs. At the time of this article, the best 5-year fixed rate is 5.54% and 5-year variable rate of 5.95%. The best HELOC rate is 7.7%. This is calculated as PRIME (7.20%) + 0.5%.

Why invest in U.S. real estate?

The cost to own a U.S. investment property could be a fraction of the down payment required for a home in a major Canadian city. Plus, the potential rental returns are clearly higher in Atlanta and Memphis (for example), compared to Toronto. To remove all the guesswork involved in deciding whether a property is a profitable investment, SHARE thoroughly and aggressively underwrites each deal presented to its investors, so the monthly returns and 10-year projections you see are guaranteed. “With SHARE’s diversified inventory and proven track record of generating high returns, investors can access even more lucrative opportunities with reduced risk,” said Andrew Kim, CEO and Co-Founder of SHARE.

Are you ready to take the next step?

  1. Search: Create a free account to browse the various homes listed on SHARE with different return profiles. By signing up, you get direct access to their Client Success Team so you can start your search with them very quickly.  
  2. Close: Their Client Success Team works closely with you on every step of closing so you can take ownership in <45 days. 
  3. Collect: Let the wealth creation begin! After you take ownership, you’ll get access to the SHARE portal where you will find in-depth reporting on your portfolio. SHARE handles all of the property operations and continuously looks for growth and liquidity levers on your behalf.

Financial freedom can be achieved in many ways, but one of the most resilient and lucrative ways is by owning rental real estate. While the current real estate environment in Canada may feel unattainable, U.S. rental real estate is shaping up to be an attractive alternative – if you know how to navigate through sourcing, financing, closing, managing, and filing taxes. With a service like SHARE, you can feel confident about each investment decision, and best of all – SHARE guides you through every step as a cross-border investor.  

SHARE properties are professionally vetted and de-risked so you can start or grow your real estate portfolio without the headaches of searching for the right property (especially in new markets), or the guesswork of calculating rental yields and capital returns. Plus, SHARE allows you to be a landlord without any of the landlord duties. It’s a great solution for investors of all types, for all stages, and for diversifying your portfolio. 

If you’re interested in leveraging your existing equity to start exploring opportunities in the U.S., we encourage you to add your property details to Perch to see how much equity you have available. This will help establish your investment criteria with SHARE so they can source properties that you can afford and profit from. 

Ready to embark on your investor journey? Learn more about SHARE and get started here


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