Buying · Plex · 2026
A plex is the house tenants help pay for, with financing, tax rules and housing law that have nothing to do with a single-family home. Here is the full math on a triplex at the median price, and the rules that change everything.
Living in a plex and having tenants pay part of the mortgage remains, in 2026, the most accessible way to buy in the Montreal area, where the median plex price reached $874,000 in the second quarter (+5% year over year, 43 days on market, according to the APCIQ). Financing differs from a house: 5% down on a duplex you occupy (10% on the portion above $500,000), 10% on an owner-occupied triplex or fourplex, 20% on any building you do not live in or with five or more units; the price must stay under $1.5 million for an insured loan. The lender adds part of the rents to your income, 50% to 100% depending on the lender, the insurer and the method (addback or offset), which often makes the difference between a refusal and an approval. On an $874,000 triplex with 10% down ($87,400) and two units rented at $1,500, the insured mortgage (3.10% premium) is about $810,985 and the payment at 4.24% over 30 years about $3,967, against $3,000 in rents: your net share is about $967 before taxes, insurance and maintenance. The constraints: existing leases bind you, rent increases follow the TAL rate (3.1% in 2026), repossessing a unit to live in requires six months' notice and is refused for tenants 65 and over who have lived there ten years, and the rented part is taxable (income, then capital gain at resale).
| Building | Minimum down payment (buyer lives in it) | CMHC premium | Note |
|---|---|---|---|
| Duplex | 5% up to $500,000, 10% above (price under $1.5M) | 4.00% (under 10% down), 3.10% (10% to 14.99%) | 30-year amortization if first-time buyer or new build |
| Triplex, fourplex | 10% | 3.10% | Insured loan up to 90% of value |
| Non-occupied building (1 to 4 units) | 20% | No premium (conventional) | Rents counted more conservatively; rate sometimes higher |
| 5 units and more | 15% to 25%, commercial or CMHC multi-unit financing | Program dependent | Analysis on the building's net income, not yours |
Rents: depending on the lender, 50% to 100% of gross rents are added to your income, or deducted from the mortgage payment in the ratio calculation (39%/44% at the 6.24% stress rate); a mortgage broker compares both methods at several lenders. The unit you occupy does not count as income, and a unit vacant at purchase is counted at market rent by the appraiser.
| Triplex at the CMA median price (Q2 2026) | Amount |
|---|---|
| Price | $874,000 |
| 10% down payment | $87,400 |
| 3.10% CMHC premium (added to the loan) and 9% tax (at the notary) | $24,385 and $2,195 |
| Insured loan | $810,985 |
| Payment, 4.24% fixed, 30 years | $3,967 |
| Rents from two units at $1,500 | $3,000 a month |
| Owner's net share (mortgage minus rents) | ≈ $967 a month |
| Taxes (≈ 1% of value), insurance, maintenance (1% to 2%) | ≈ $1,900 to $2,600 a month, two thirds deductible on the rented part |
| Welcome tax (Montreal) | ≈ $13,300, reduced by the first-time buyer credit only if the basis is under $1,000,000 |
The $1,500 rents are an example; the actual rents of the leases in place, often lower in an older plex, are what count, and the TAL limits their increase. The return calculation details the cap rate and cash flow.
Leases follow the building: you inherit the tenants, their rents and their renewal dates. The annual increase follows the TAL method (3.1% base in 2026 for leases renewed after April 1, plus a share of major work, taxes and insurance beyond inflation); a tenant can refuse and the TAL sets the rent. Repossessing a unit to house yourself or a relative requires six months' notice before the end of the lease, proof of your good faith, and is prohibited for a tenant 65 and over who has occupied for ten years on a modest income, with exceptions (see repossession by the buyer). Eviction to enlarge, subdivide or change the use is suspended until June 2027. A plex with a vacant unit at purchase is therefore worth more than a fully rented plex at low rents, and costs more.
The rented part is rental income: rents minus expenses (interest, taxes, insurance, maintenance, prorated to the rented area), with optional capital cost allowance (4% declining on the building) to be used carefully because it is recaptured at resale. At sale, the capital gain is taxable on the rented part; the principal residence exemption covers only your unit. The welcome tax is computed on the whole building and is not deductible.
5% on an owner-occupied duplex (10% above $500,000), 10% on an owner-occupied triplex or fourplex, 20% if you do not live in it, price under $1.5 million for an insured loan.
Yes, 50% to 100% of gross rents depending on the lender and method; it is often what makes the plex more accessible than a house.
$874,000 median in the metropolitan area in the second quarter of 2026 (+5%), $810,000 on the South Shore in July (+14%), $690,000 province-wide.
Yes, with six months' notice before the end of the lease and in good faith, except for a protected tenant (65 and over, 10 years of occupancy, modest income).
The plex file: plex forecasts 2027 (French), welcome tax on a plex (French) and the RénoPlex grant.
The Loaa & Manseur team, led by Lotfi Manseur and Loaa Al Daow, is the number 1 team at RE/MAX Platine in 2024 and 2025, 6th RE/MAX team in Quebec, 15th in Canada and in the global top 50 of large residential teams according to the official RE/MAX ranking, computed on actual transactions. Its Google profile counts 221 reviews with a 4.9 rating. Its offices are at 55 avenue de l'Équinoxe in Brossard, one bridge from the island, and every broker's licence can be checked in the OACIQ public register. Three things to verify yourself before calling us, and to demand of any other broker.
Also available in French: version française de ce guide.
Published September 7, 2026 by the Loaa & Manseur team, the number 1 team at RE/MAX Platine in 2024 and 2025, 6th RE/MAX team in Quebec, 15th in Canada and in the global top 50 according to the official RE/MAX ranking. Tell us about your project.
Équipe no 1 de RE/MAX Platine en 2024 et en 2025, 6e au Québec, 15e au Canada et dans le top 50 mondial au classement officiel RE/MAX. Réponse en moins de 24 heures, sept jours sur sept.