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Sarnia Ontario is a very unique city – built to be one of the core foundations of Canada’s industrial evolution, the Sarnia real estate market has since been forced to undergo many key changes and evolutions in order to persist as the country begins its shift away from the petroleum industry.
However, unlike other cities that find themselves in periods of intense struggle when their core industry begins to shift, Sarnia has remained incredibly adaptive and has continued to grow. The same holds true for the Sarnia real estate market which has been catching the eye of investors who are looking for a deal in one of Ontario’s most resilient cities.
So, if you are trying to determine where you would like to park your dollars in the market for 2023, let’s take a look at the Sarnia real estate market and how this city may just be home to your next big success.
However, before we dive into the benefits of investing in the Sarnia real estate market, click the link below to book a free strategy call to begin financing your investments today.
An Affordable Point of Entry
One of the key advantages the Sarnia real estate market has over other cities is the fact that it is relatively affordable to buy in despite high housing costs being commonplace in many markets across Ontario.
At the time of writing this article, the average price to buy a house in the Sarnia real estate market is approximately $471,000 with a year-to-date average of $547,000. This means that it is relatively easy to find a well-priced property to begin generating cash flow.
Sarnia does have lower average rents than other places in Ontario, so cash flow may not be as plentiful for each property, but this does mean that you will have to worry less about potentially losing your rental income as a result of rents exceeding tenant affordability.
Steady and Reliable Growth
While Sarnia is not currently home to the type of rapid appreciation that you can frequently expect by investing in larger cities, it is home to a very reliable and consistent housing market that grows and expands at a manageable rate.
This means that if you are willing to wait things out and invest for the long term, you can expect that your property is going to appreciate, and you will be able to build a strong amount of equity simply by holding the property.
An International Crossing
If you are looking to invest in a city that has strong ties with the US for your commercial investments and business ventures, Sarnia is a great place to start.
Sarnia is home to the Blue Water Bridge, a twin-span international bridge that connects the city to Port Huron Michigan over the St. Clair River. This bridge connects to a variety of major highways on both sides of the Canada / United States Border including the Interstate 69 and Interstate 94 in Michigan as well as Highway 402 in Ontario.
This means that any commercial investments that rely on these major highways for trade and transportation are going to have a higher chance of succeeding.
The Evolving Sarnia Real Estate and Industrial Market
Sarnia is largely built on the back of the petroleum industry with major oil players such as Shell Canada, Imperial Oil and Suncor Energy operating refineries in the area. As well, the city is home to one of the leading facilities for the production of butyl rubber in the country. In fact, it the Sarnia facility is the only one to produce food-grade butyl rubber for the production of chewing gum.
However, as Canada moves further away from the oil industry, people have cast doubt on the future of industry in Sarnia. However, instead of allowing jobs to move away from the city, Sarnia doubled down and begun launching green energy projects and bio-electric production in the city.
These actions have served to bolster and support the local job market while keeping the city as a key player in Canada’s economic and industrial future.
Discover How To Develop Real Estate With This Step By Step Guide
A Diverse Local Culture
Sarnia is home to plenty of cultural and recreational hotspots that work together to create a welcoming community that is built to support its residents and provide them with a high quality of living.
Each year, the city hosts the International Symphony Orchestra at the Imperial Theatre for an annual season lasting from September to April. Also located at the venue, plenty of theatre performances are held each year. As well the city is home to the annual music festival, Bluewater Borderfest, a yearly event that hosts talent and attendees from both sides of the border.
As well, Sarnia is home to a variety of museums in the city and surrounding area. These highlight various things such as the city’s history and the impact of the oil industry and prehistoric finds such as fossils and dinosaur bones at the Bones N’ Stones Museum.
The variety of local culture hotspots and attractions serves to make the city more attractive to travellers and visitors who may wish to stop in the city to experience everything it has to offer.
The Demand for Large-Scale Multifamily Properties in the Sarnia Real Estate Market
Much like the majority of Ontario, the supply for rental housing in Sarnia is low and rents are rising. This is resulting in an affordability problem where many people who are entering the job market or do not have a large income.
Meanwhile, Canada is poised to welcome almost 1.5 million newcomers in the next three years. This means that while supply is already low in regard to rental properties, the competition is only going to grow.
So, one of the main things needed in order to combat this affordability issue and increase supply is a large-scale solution. In order to try to solve this problem, Sarnia is encouraging developers to begin building large-scale multifamily properties in order to increase the overall housing supply.
Demographics in Sarnia Real Estate
Sarnia is a primarily English-speaking city, and there is also a significant number of Indigenous peoples. French is spoken to a small degree, but it’s not nearly as common as it can be in other parts of Canada. The city is on the older side as well, with a median age that’s almost five years than the median for all of Canada. This could indicate opportunities for real estate investors interested in finding and renting properties that could appeal to older residents – single floor homes or ground floor units, for instance, that could be of service to people who might need some accommodations to keep their mobility and their independence.
Sarnia Real Estate – A City Built On Industry
At the end of the day, Sarnia is a business-focused city that has built a long-lasting foundation by dedicating itself to meeting the needs of the community and Canada’s economic development. The dedication to staying on top of the needs of modern industry has served to make Sarnia a reliable place to invest, especially if you are looking to make commercial or industrial investments that play off the local industrial infrastructure.
However, large industrial investments require industrial mortgages. That is why at LendCity, we have a dedicated commercial financing department to help you match your investments with the best lenders for whatever project you are pursuing.
So, if you are ready to get started today – of if you would like to learn more about the potential for investment in some of the country’s top markets – give us a call. You can reach our office at 519-960-0370 to book a consultation, or you can fill out our easy online application at LendCity.ca
Sarnia Real Estate Professionals
We have searched high and low for real estate investing professionals in Sarnia. Below, you can find professionals we have researched and can confirm they specialize in working with Real Estate Investors.
To ensure the maximum success in real estate investing in Sarnia, or any city, you should always use professionals who understand and work with investors, your income depends on it.
This list may not fully list all the professionals in the area, but the ones we have personally investigated and that we would refer our clients to.
If you’re a real estate professional and would like us to consider adding you to the list, please contact us.
If you are interested in learning more about how to finance Sarnia real estate today, click the link below to book a free strategy call with our team at LendCity today.