RentalMath.ca

Cap rates by city / Winnipeg

Winnipeg cap rates in 2026

Apartment buildings in Winnipeg traded at cap rates of 4.5% to 5.25% in CBRE's second-quarter 2026 survey, 5th lowest of the 13 Canadian cities CBRE surveys. Here is what sits behind that number, what CMHC says about vacancy and rents, and what a building is worth at the local yield.

Apartment cap rate

4.5% to 5.25%

CBRE, Q2 2026, Class A to B

Vacancy rate

2.8%

CMHC, October 2025

Average two-bedroom rent

$1,571

CMHC purpose-built, October 2025

Rent growth, 2025

1.9%

CMHC, two-bedroom, year over year

Run a Winnipeg building through the calculator

Preloaded with a six-unit building at Winnipeg's CMHC average two-bedroom rent, the city's vacancy rate, and generic expense assumptions ($1,800 tax and $600 insurance per unit, 8% maintenance, 5% management, $900 utilities per unit). The price is set so the building lands at the middle of the local range. Replace every number with your own.

Property & income

$

What you would actually pay, not the assessment

/mo

All units combined

%

Operating expenses (annual)

$
$
%

Of gross rent; 5–10% is typical

%

0 if self-managed

$
$

Condo fees, snow, lawn care

Your market

%

What similar properties trade at in this market

Cap rate

4.88%

$75,440 NOI on $1,547,000

On target
Gross rent (annual)$113,112
Vacancy at 2.80%−$3,167
Effective gross income$109,945
Property tax−$10,800
Insurance−$3,600
Maintenance−$9,049
Management−$5,656
Utilities−$5,400
Net operating income$75,440
Cap rate4.88%
Expense ratio31.38%
Value at a 4.88% cap$1,547,493
You would be buying below that by$493

Cap rate deliberately ignores financing: it is NOI divided by price, so you can compare properties regardless of how each buyer pays. The implied value inverts it: the price at which this NOI would hit your target cap rate. Useful as a negotiating anchor.

What the same building is worth across the range

The six-unit example above produces $75,440 of net operating income a year. Value is NOI divided by cap rate, so a half-point move in the market's cap rate changes the price by more than most renovations would:

Cap rateBuilding value
4.5%low end$1,676,451
4.88%middle$1,547,493
5.25%high end$1,436,958

Per unit: $279,409 at the low end to $239,493 at the high end.

Why Winnipeg trades where it does

Winnipeg is an income market. Prices have grown slowly for a decade, rents cover expenses comfortably, and buyers are local operators rather than institutions chasing appreciation. The 4.5% to 5.25% range reflects that: a fair yield for a stable, slow-growing city with rent control that keeps in-place increases near 2%.

Vacancy, rents and the 2026 outlook

Vacancy was 2.8% in October 2025, low by national standards, but rent growth was the slowest of the 13 cities at 1.9% as new suburban supply in St. James and West Kildonan absorbed demand. With the 1.8% guideline for 2026, income growth on a stabilized building is effectively the guideline plus whatever turnover produces.

Rent rules in Manitoba

Manitoba's 2026 rent increase guideline is 1.8%, with three months' written notice. Larger increases require an application to the Residential Tenancies Branch. That rule sets how fast in-place income can grow, which is why two buildings with identical rent rolls can trade at different cap rates depending on how far below market their tenants sit.

Cap rate against your mortgage rate

At a 4.88% cap rate, a mortgage costing more than 4.88% makes leverage work against you: every borrowed dollar earns less than it costs until rents grow. In Winnipeg that is roughly a wash at 2026 mortgage rates, so cash flow depends on the down payment and how far below market the rents sit. Put the same building through our rental property calculator to see the cash flow with the Canadian semi-annual mortgage formula.

Frequently asked questions

What is a good cap rate in Winnipeg?+

4.5% to 5.25% for apartment buildings in CBRE's Q2 2026 survey. Older walk-ups and small multi-units in the North End and West End often trade at 6% or more, which reflects higher operating costs and tenancy risk rather than a bargain.

Does Winnipeg cash flow?+

More readily than any large city in Ontario or BC. At a 5% cap rate and mortgage rates in the mid-4s, leverage is roughly neutral, and buildings with rents below the $1,571 two-bedroom average have room to grow on turnover. The trade-off is appreciation, which has lagged the national average for years.

How Winnipeg compares

CityCap rateVacancy
Vancouver3.5% to 4.75%3.7%
Toronto3.85% to 5.15%3%
Montreal4.25% to 4.75%2.9%
Victoria4.25% to 5%3.3%
Winnipeg4.5% to 5.25%2.8%
London4% to 6%4%
Calgary4.5% to 5.5%5%
Halifax4.5% to 5.5%2.7%
Quebec City4.25% to 6%2.4%
Edmonton4.5% to 5.75%3.8%
Ottawa4.5% to 5.8%3%
Kitchener-Waterloo4.5% to 6%4.1%
Saskatoon5.25% to 6.75%3.3%

Sources: CBRE Canadian Cap Rates & Investment Insights, Q2 2026 (cap rate summary, high-rise and low-rise Class A to B); CMHC Rental Market Report, October 2025 survey. Survey ranges describe stabilized, professionally managed buildings; individual sales print outside them. Measure your own deal with the cap rate calculator.