I get asked this question constantly: Should I sell my income property now, or is this still a good time to buy?
My answer is: it depends entirely on you.
Before I walk through six real scenarios — three investors who sold and three who bought — let me be clear about something. I am not an accountant, a financial advisor, a lawyer, or a banker. I am a real estate broker with 24 years of experience in this market and over 50 years of personal investment history. I have probably seen every upside and downside you can imagine — and a few you have not yet thought of.
Common sense is free. Use it before you pay anyone for their opinion.
The 2026 Reality for London, Ontario Landlords
Before we get to the scenarios, here is the current operating environment every landlord is navigating:
Ontario's rent increase guideline for 2026 is 2.1% — the lowest cap in four years, down from 2.5% in 2025. In 2027, it decreases to 1.9%. If your carrying costs are rising faster than 2.1% annually — and for most landlords, they are — your margin is shrinking whether you feel it yet or not.
London property taxes, mortgage rates, insurance, and maintenance costs continue to pressure investors renewing financing in 2026, with fixed five-year rates near 4.09%.
The average single-family home in London is now priced at $611,509 (September 2026), putting homeownership out of reach for many renters and keeping rental demand stable, but also keeping the Landlord and Tenant Board's caseload high.
The question is not whether the market is challenging. It is whether your specific situation calls for holding, selling, or buying.
Three Scenarios Where Selling Made Sense
Scenario 1 — Paul and Louise
Beyond their home, Paul and Louise bought three houses over eight years as part of their retirement plan. Over six months, I helped them sell all three. Two of the properties tripled their original investment. One doubled it. After capital gains and mortgage penalties, their combined net proceeds were $780,000.
I asked them how many years of working it would have taken to net $780,000. They laughed.
They retired ten years earlier than planned, paid off everything, and had their time back.
Good decision.
Scenario 2 — Carolyn
Carolyn had owned a triplex since 1993. Her tenants were long-term and reliable — and paying 65% of the current market rent. Her words: "They are so nice, I just never raised the rent over the years."
Her employment situation changed. She didn't want to manage the property remotely, and the income didn’t support hiring a property manager while also funding the building's needed improvements.
I sold the triplex to a qualified investor who understood the income gap and was willing to accept some vacancy while bringing rents to market. Carolyn walked away debt-free — and bought her dream condo in ski country with cash.
Good decision.
Scenario 3 — Paul and Pratima
Paul and Pratima had a tenant who never paid and systematically destroyed their townhouse. Getting them out through the Landlord and Tenant Board took 13 months.
After that experience, we agreed they weren't suited to the landlord business—and there is no shame in that. Not everyone is. I sold the townhouse for a healthy gain.
My only advice to them going forward: stop attending get-rich real estate investor gatherings.
Three Scenarios Where Buying Made Sense
Scenario 4 — Margaret and Phillipe
Margaret and Phillipe already owned three income properties and wanted to add at least two more in 2026. They had strategically refinanced their existing portfolio, had a solid down payment ready, and had a mortgage provider who understood investment property financing.
They were not guessing. They had a plan, the capital, and the patience to execute it.
Good decision.
Scenario 5 — Eric and Colleen
Eric and Colleen wanted to buy a duplex, live in one unit, and rent the other to offset their monthly costs while building equity. Their friends were all buying single-family homes to live in.
With patience and the right property, Eric and Colleen will build net worth considerably faster than those friends — because their tenant is helping pay the mortgage from day one.
Good decision.
Scenario 6 — Song, Chin, and Family
Song, Chin, and their parents come from a family of real estate investors. They believe London, Ontario, remains undervalued relative to other Ontario markets and are actively buying — but only when properties meet the specific financial minimums they have set in advance.
They are not emotional buyers. They are not chasing the market. They have a formula, and they stick to it.
Good decision.
So, Who Is Right?
All six of them—because each made the decision that matched their own risk tolerance, financial goals, and honest assessment of what Ontario's landlord and tenant environment demands today.
The allowable rent increase in Ontario in 2026 is 2.1%. Your operating costs almost certainly are not rising at 2.1%. That gap is the fundamental question every current landlord needs to answer honestly.
Buying or selling an investment property is no different. But here is the catch — from whom are you getting your advice?
The people most likely to give you an opinion on your real estate investment decision are often the least qualified to do so. A loan officer, two months into the job, who has never owned a property. A family member offering mortgage advice based on their own experience from a different market. A financial advisor whose income depends on keeping your money in mutual funds.
None of them has been where you are. Choose accordingly.
One Final Thought
"There are two times in a person's life when they should not speculate: when they cannot afford it, and when they can." — Samuel Clemens AKA Mark Twain.
If you are trying to decide whether 2026 is the year to sell, hold, or buy an income property in London, Ontario—and you want a direct conversation with someone who's seen this market from both sides of the table—I can.
No obligation. Just clarity.
Reach me at 519-435-1600
Please discuss the ideas in this post with your professional advisors, including your accountant and your lawyer. Real estate investment is not guaranteed, and results depend on individual circumstances, market conditions, and the quality of your decisions.
