10 Ontario Homes With Serious Rental Potential

By Josh Sherman | 4 minute read

A home with a basement apartment — or the potential to create one — is often a smart investment.

Higher interest rates have sent homeowners and buyers looking for new ways to cover increased mortgage payments. One option many are exploring are secondary suites, such as a basement apartment or laneway home. (In fact, “second entrance” has been the most-searched term on Wahi this year.) Secondary suites put homebuyers in a position to bring in extra rental income, or even share the cost of homeownership by co-buying with someone else and splitting up the property. While homes with secondary suites — or even just the possibility to create one — can command a premium on the market, they are a way to generate passive income for years to come. For house hunter’s today, there are options all across the province. For example, check out the following 10 Ontario homes with serious rental potential. 

1. 7 Elaine Crt, St. Catharines

Price: $649,900
Size: ~1,824 sq. ft.

Beds: 3+1

Baths: 2

Rental potential: The basement of this updated raised bungalow boasts a three-piece bathroom, extra bedroom and a separate walkout. Install a simple kitchen, and the basement is move-in ready for a tenant. 

2. 14 Harthill Crt., Brampton

Price: $1,299,999
Size: ~2000-2500 sq. ft.

Beds: 4

Baths: 4

Rental potential: This home’s basement was renovated in 2018 and could easily serve as a studio apartment. It’s already got a full kitchen and bathroom and more than enough living space, though you may want to install a separate entrance. 

3. 59 Gray Ave., New Tecumseth

Price: $878,000
Size: ~3,000 sq. ft.

Beds: 4+2

Baths: 4

Rental potential: This spacious detached home has a separate side entrance that leads to a complete two-bedroom below-ground apartment, meaning you can charge more for rent.  

4. 234 Stevenson St., Guelph

Price: $819,900
Size: ~700-1100 sq. ft.

Beds: 3+1
Baths: 2

Rental potential: Not only has this home been touched up in recent years with a new furnace, central air-conditioning system, and windows, it also has a private entrance to the basement, opening up the door to a possible apartment conversion. There’s already a partial kitchen and bathroom below ground, so much of the heavy lifting has been done.

5. 81 Raglan St., Guelph

Price: $879,000
Size: ~1938 sq. ft.

Beds: 5
Baths: 3

Rental potential: Dating back to the 1920s, this charming red-brick home is equipped with a legal basement apartment and, making up for any space lost to the apartment, a two-storey addition was installed on the back of the house in 2008. 

6. 2240 Council Ring Rd., Mississauga

Price: $955,000
Size: 

Beds: 3+1
Baths: 3

Rental potential: A spacious and well-lit semi-detached home in the GTA that comes complete with a finished one-bedroom basement apartment — and all for less than $1 million — checks a lot of boxes.

7. 69 Diamond Jubilee Dr., Markham

Price: $2,080,000
Size: ~3500-5000 sq. ft.
Beds: 5+3
Baths: 7

Rental potential: The most expensive home on our list, the detached home at 69 Diamond Jubilee Dr. also has the greatest rental potential. The home’s existing basement apartment is being rented out for $2,600.00 per month, and the third-floor loft, which has a four-piece bathroom and kitchenette, could also serve as second in-house rental or in-law suite.

8. 644 Rhodes Ave., Toronto

Price: $1,688,800
Size: N/A
Beds: 4+2
Baths: 5

Rental potential: Here’s a turnkey property for anyone looking for a mortgage helper. The modern, stone home located in the Leslieville neighbourhood has a move-in-ready legal basement apartment, so homebuyers won’t need to worry about permits or renovations before seeking tenants.

9. 113 Newlands Ave., Toronto

Price: $888,000
Size: ~1100-1500 sq. ft.
Beds: 3+3
Baths: 2

Rental potential: Another semi, 113 Newlands Ave. has three main-floor bedrooms as well as another three in the finished basement apartment, all a short stroll from Warden Subway Station.

10. 84 Grandville Ave., Toronto

Price: $989,000

Size: N/A

Beds: 2+1
Baths: 2

Rental potential: A small bungalow with big rental potential, 84 Grandville Ave.makes the most of its skinny footprint. In addition to the well-appointed basement apartment, a separate standalone office or gym space (with heating and electric wiring) has been set up in the backyard. To top it off, the seller has gone to the trouble of commissioning an architect, who drafted plans for a two-storey laneway house with a garage at grade level.