Is It Better to Buy or Rent in Ottawa in 2025?

If you’ve been asking yourself whether it makes more sense to buy or rent in Ottawa right now, you’re not alone. With changing interest rates, strong rental demand, and housing supply still catching up, the answer depends on your goals and your timeline.

Let’s break it down.

The Case for Buying

Buying a home in Ottawa still comes with powerful long-term advantages. Every mortgage payment builds equity, and that equity compounds as values rise.

Even with higher borrowing costs, ownership remains one of the most reliable ways to grow wealth in Canada. Ottawa’s stable job market and steady population growth continue to keep property values strong. You can check the latest data on Canada’s housing stats here (via the Canadian Real Estate Association).

If you plan to stay put for five years or more, buying almost always wins out. You’re locking in a payment toward an appreciating asset rather than contributing to your landlord’s.

The Case for Renting

Renting isn’t throwing money away. It can be a smart move when you need flexibility. If you’re uncertain about job stability, planning a move, or still building savings, renting lets you avoid property taxes, maintenance, and market risk.

But here’s what to watch. Ottawa’s rental prices have climbed sharply in recent years. According to an outlook on the Ottawa housing market here, the average selling price of a home in Ottawa increased by 1.1% year-over-year to $627,200 in September 2025 – while the market is showing signs of strength.

At that level, many renters are paying what could easily be a mortgage payment without gaining equity or future leverage.

The Tipping Point

The decision often comes down to your timeline and discipline. If you can save aggressively, qualify for financing, and see yourself staying in the same city for at least three to five years, buying is almost always the smarter financial move.

If your lifestyle or income is uncertain, renting for a bit longer might make sense — but have a clear plan to transition into ownership when the time is right.

And if you want to see how your numbers look, tools like the mortgage down payment calculator here are useful.

CK’s Take

There’s no one-size-fits-all answer, but here’s what I believe: the sooner you start owning real estate in Ottawa, the sooner you start building real wealth. Rent can work for now, but equity wins in the long run.

If you’re on the fence, I can help you run the numbers side-by-side so you can make the best decision for your situation. Reach out to me here and we’ll explore what makes the most sense for you in 2025.