What to Consider Before Buying a Rental Property in Kingston

Kingston’s rental market has been heating up for years, with rising demand from students, military families, and professionals all competing for limited housing. For investors, that makes Kingston an attractive city to buy rental property—but success depends on more than just picking up the first building that comes on the market. Here are the key things to consider before you buy in Kingston.

Run the Numbers First

In Kingston, the average cap rate for multifamily and apartment buildings generally ranges between 5% and 6%. That means investors need to carefully calculate whether the property’s income justifies its price. Look beyond gross rent: factor in property taxes, insurance, utilities (especially if they’re landlord-paid), and maintenance. Always include a reserve fund for unexpected costs like a roof replacement or furnace upgrade.

Financing Matters

Mortgage terms can make or break a deal. Rising interest rates have squeezed cash flow for many Kingston investors, so it’s important to stress-test your numbers. Run scenarios at higher rates to see if the property still works.

Property Condition

Much of Kingston’s rental stock is older—Victorian triplexes downtown, mid-century walk-ups, and purpose-built apartment buildings from the 1960s and 1970s. While these buildings can be solid investments, they often need updates to plumbing, electrical, windows, or heating systems. Deferred maintenance is common, so budget for improvements.

Tenants and Leases

Kingston has a mix of tenant types:

Students (Queen’s University, St. Lawrence College, RMC) — high demand but high turnover.
Professionals — steady renters looking for quality units close to downtown.
Families — long-term stability, often in the west and east ends.

Before buying, check if the rents are at market value. Many older Kingston rentals are under market due to Ontario’s rent control rules (anything built before November 2018 is subject to strict annual increase limits).

Location, Location, Location

Different areas of Kingston appeal to different renters:

Downtown — strong demand, but older buildings and higher purchase prices.
Near Queen’s University & RMC — ideal for student rentals, but management-intensive.
West End & East End — family-oriented, with newer builds and more parking.
King’s Town/North End — improving steadily with development projects and affordability.

Vacancy rates are low across the city, which supports rental demand, but knowing your target market is key

Regulations and the LTB

Ontario’s landlord-tenant laws are strict, and the Landlord and Tenant Board (LTB) in Kingston can be slow-moving. Be prepared for delays if issues arise. On top of that, make sure any property you’re considering meets fire code (separate exits, smoke/CO detectors, fire-rated separations), as Kingston enforces these standards closely.

Property Management

Managing in Kingston can be demanding, especially with student rentals or multi-unit properties. Some landlords self-manage, but many hire professional property managers to handle tenant screening, rent collection, and maintenance. Factor management fees into your numbers if you go that route.

Long-Term Strategy

Kingston’s rental market shows no sign of slowing down, with consistent population growth and new employers moving in. Ask yourself: does the property fit your portfolio strategy? Will it appreciate in value while generating stable income? And if you need to sell, is the building in a location and condition that will attract buyers?

Final Thoughts

Buying a rental property in Kingston can be an excellent investment, but only if you go in prepared. With cap rates averaging around 5–6%, older housing stock, and a strong but regulated rental market, success comes down to due diligence. Do the math, understand the property’s condition and tenant profile, and plan for the long term. With the right approach, Kingston can deliver both steady income and lasting growth for real estate investors.