4+ Unit Property
Multiplex Investing in London, Ontario
Multi-family is where serious cash flow and serious equity live. Whether you're buying a fourplex with residential financing or stepping up to a 12-unit walk-up financed through CMHC MLI Select, London Ontario offers a deep inventory of buildings priced well below comparable Ontario markets.
Residential vs commercial: the 4-unit line
In Canada, the financing world splits at four units. A fourplex still qualifies for residential mortgage financing — lower rates, easier qualification. A fifth unit pushes the deal into commercial underwriting, where lenders care less about your T4 and more about the building's net operating income (NOI).
How multiplexes are valued
Small (1–4 unit) buildings still appraise primarily on comparable sales. Once you cross into commercial (5+), value is driven by NOI ÷ cap rate. That's powerful: every $1 of monthly rent you add to a 5-cap building creates roughly $240 of building value. Below-market rents are literally buried equity.
CMHC MLI Select: the multiplex investor's edge
- Up to 95% loan-to-value on qualifying buildings.
- Amortizations up to 50 years — dramatically lower mortgage payments.
- Reduced premiums for affordability, accessibility, or energy-efficiency commitments.
- Often the difference between a deal that breaks even and one that cash-flows from day one.
Related
- Triplex investing — the last rung of residential financing.
- BRRRR strategy applied to multi-family.
- Real estate investing basics.
Sourcing a London multiplex?
Most of the best multi-family deals in London never hit MLS. Let's talk.
Call (519) 777-2624