Belleville Apartment Market

Belleville is located in eastern Ontario and the nearest large city is Kingston. Belleville has a population of 48,821 people and offers 4,117 apartments in approximately 455 apartment buildings. This is a relatively large apartment supply for a city of this size and it means an apartment rate of 8.4 apartments per 100 people, one of the highest in the province. Most of Belleville’s rental apartment buildings are less than 20 units in size (398 buildings or 87%), but the city has approximately 20 buildings over 50 units in size. Investors have their choice of small buildings, but with such a high proportional supply of apartments versus population, it is a renter’s market.

Vacancy Rates and Average Rents

Belleville’s overall vacancy rate is 5.6% for 2009, but this represents an increase of approximately 38% from 2008 which may indicate softening demand in the city’s rental apartment market. Average vacancy rates are highest among bachelor apartments and 1 bedroom apartments, 6.0% for each apartment style. The average rents for 2 bedroom apartments ($837) and 3+ bedroom apartments ($957) are high for smaller cities and towns in Ontario, but not in the same league as larger cities such as the GTA suburbs and Kingston.

For Investors

Belleville may be oversupplied, which means a lot of choice for investors and probably lower prices, but it also means a competitive rental market. Experienced investors and property managers may find opportunities to aggressively manage carefully selected properties and generate revenue, but inexperienced investors should probably stay out of this market unless ready for a challenge or if they can afford to buy the prime buildings.