Is the Vancouver investment market dead?

Short answer, no. But it’s very different than it was a few years ago and I think that’s a good thing.

Let’s talk about supply and demand in the rental market: Vacancy rates are now at 3.7%, the highest we’ve seen since 1988. To put that into perspective, that means roughly 37 out of every 1,000 apartments are available to rent at any given time. In 2023, that number was under 1% or 10 out of 1000.
Most of these vacancies are sitting in newer market rental buildings. We’ve had a lot of supply come online over the last three years, and along with the decrease in demand via changes in immigration policy; it’s finally showing up in the numbers.

What that means for potential investors and future landlords is simple.
This isn’t 2021 anymore. You can’t just name your price, put one picture up and expect a lineup.  Supply is up, demand is down and thus rents will also start to soften. Still nowhere near pre-covid levels but people that moved in 2025 paid less than they would have in 2024.
Rent has to be realistic, and perks like parking, storage, and pets will be necessary to attract solid tenants. 

Now that we know it’s not 2021 in the rental market; it’s also not 2021 in the resale market. On the buy side you will see much more opportunity especially at the lower end of the market, where it is typically tight. Inventory under $500K is up 40% compared to this time last year. More options, less competition, and more room to negotiate.

To recap, the investment market isn’t dead. Vancouver hasn’t been a cash flow city for a long time. Meaning even the minimum 20% down needed for an investment property is often not enough to put an investor in the black every month. Instead, Vancouver is a buy and hold city with investors counting on consistent appreciation in value each year and low vacancy rates for less lost income. Even at 4%; vacancy rates are well within the balanced range and since Vancouver is as desirable as ever; it can still be a smart play.

With return to office orders and very good value $$/sqft; I’d advise buyers to look downtown for deals in early 2026.

Just like flipping pre-sales, the Vancouver market is no longer ripe for predatory landlords looking to make a quick buck; and I think we’re better off without them.

If you’re curious about investment opportunities in today’s market, or want an honest take on where investors are winning right now, let’s connect.

Kade Lacasse
604-401-9199
kadelacasse@gmail.com

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