Down Payment Requirements for Rental Properties
Investment properties require larger down payments than owner-occupied homes. But how much exactly? The answer depends on the property type and whether you’ll live in it.
Minimum Down Payments
Non-Owner-Occupied Rental
If you won’t live in the property at all:
- Single-family rental: 20% minimum
- Multi-unit (2-4 units): 20% minimum
Owner-Occupied with Rental Units
If you’ll live in one unit and rent the others:
- Duplex (you live in one unit): 5% minimum if you’ll live there
- Triplex or fourplex: 10% minimum owner-occupied
The House-Hacking Strategy
Many first-time investors start by living in one unit of a multi-family property. This allows:
- Lower down payment: 5-10% vs 20%
- Rental income helps qualify: Most lenders count 50% of potential rent
- Learn landlording: On-site management while building experience
- Transition later: Move out and rent all units after 1 year
💡 Alberta Advantage
Calgary’s duplex and fourplex market offers strong cash flow potential. With no land transfer tax in Alberta, your closing costs are lower than BC — more capital for your investment.
Elevation Mortgage
Brokerage: Mortgage Connection · Licensed in Alberta and British Columbia
Julie & Andy Jeffery — independent mortgage brokers serving Calgary, Nelson BC,
and clients across Alberta and British Columbia.
© 2026 Elevation Mortgage · Independent Mortgage Brokers · Serving Alberta & BC