The report of the CMHC shows that the price of the rents is too low in Quebec

Published on by Association des Propriétaires du Québec

Topic(s): Real estate

The report of the CMHC shows that the price of the rents is too low in Quebec

Press release

 

The Association of Quebec Landlords (APQ) : The report of the CMHC shows that the price of the rents is too low in Quebec.

 

“The vacancy rate has, once again, increased, passing from 2,3% to 2,5%, and this in spite of growing immigration and of an access to property whose fervour decreases (because of the rise of the mortgage rates). At the Association of Quebec Landlords (APQ) we consider this situation to be dangerous when combined with the weak increases of rents which come to compromise profitability“, says Martin Messier, president of the APQ.

 

In certain regions such as the CMA (Census Metropolitan Area) of Sherbrooke the vacancy rate reaches even 3,7% of inoccupation.

 

Still according to this study, the price of rents in Quebec has increased by 2,2%. But this rise is definitely insufficient to allow the maintenance of the buildings in good condition. “The real-estate park deteriorates and it is difficult to renovate with the rates granted by the government. Real-estate investments are less and less profitable for an owner, as long as the various levels of government will tolerate this deterioration and this indifference before acting“, adds Mr. Messier.

 

“The rental market must be stimulated. Without important legislative modifications, only fiscal incentives to renovation and the reduction in the building of affordable housing could change this situation“, the APQ believes.

 

“It is necessary to call into question the very existence of rent control. This too restrictive way, which grants only too weak rises of the rents, does not make it possible to stimulate construction, nor investment in major works of renovation. This control is prejudicial as much to the tenants as it is to the owners. It is necessary to recapture the inspiration and the dynamism of free competition”, concludes the president of the APQ.

 

The APQ recommends to the owners not to yield to the temptation to give months of free rent which is likely to create problems: the Régie du logement could consider, if the clause is not clear, that the exemption from payment applies to all the lease renewals. It is necessary, in spite of the fact that our residences are empty, to avoid renting to whomever comes first. The APQ offers to the owners an outstanding service of verification of the candidates before renting an apartment.

 

Founded in 1984, the Association of Quebec Landlords (APQ) is the most important association to offer services to the owners of rental residences while being present in all the regions of Quebec.

0 Response(s) to “The report of the CMHC shows that the price of the rents is too low in Quebec”

Leave a reply