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Property taxes are one of your largest annual expenses as an Ottawa landlord — and one of the most overlooked in ROI calculations. Here's how Ottawa property taxes work in 2026, what you'll pay by ward, and how to make sure you're not overpaying.
Ottawa property taxes are calculated by multiplying your property's assessed value by the city's mill rate — plus an education tax portion set by the province. The Municipal Property Assessment Corporation (MPAC) assesses your property's value, and the City of Ottawa sets the tax rates annually.
Property Tax = (Assessed Value ÷ 1,000) × Mill Rate
The City of Ottawa's 2026 budget set the overall tax increase at 2.9%. Here's what that means in real numbers for rental property owners:
| Property Type | 2026 Mill Rate | Assessed Value Example | Annual Tax |
|---|---|---|---|
| Residential (Single-Family) | ~10.0 | $550,000 | $5,500 |
| Residential (Townhouse) | ~10.0 | $450,000 | $4,500 |
| Multi-Residential | ~14.5 | $1,200,000 | $17,400 |
| Commercial | ~17.0 | $800,000 | $13,600 |
*Rates are approximate. Final 2026 mill rates include municipal, education, and transit levies. Multi-residential and commercial properties face higher rates. Verify with the City of Ottawa tax estimator.
Multi-Residential Alert
If you own a triplex, fourplex, or apartment building, you're taxed at the multi-residential rate — roughly 45% higher than the residential rate. This can add thousands to your annual tax bill. Factor this into your acquisition analysis.
While the mill rate is citywide, your assessed value — and therefore your actual tax bill — varies dramatically by neighborhood:
| Area | Typical SFH Value | Est. Annual Tax | Tax as % of Rent |
|---|---|---|---|
| Kanata | $620,000 | $6,200 | 20% |
| Barrhaven | $550,000 | $5,500 | 21% |
| Orleans | $530,000 | $5,300 | 19% |
| Nepean | $580,000 | $5,800 | 21% |
| Downtown | $700,000 | $7,000 | 23% |
| Vanier | $450,000 | $4,500 | 19% |
The good news: property taxes are fully deductible against your rental income. Here's what else you can deduct:
Fully Deductible
Not Deductible
Think MPAC overvalued your property? You have the right to appeal. Here's the process:
Success Rate
About 40% of RfRs result in some reduction. The average reduction is 5-12% of assessed value — which translates to $250-$600/year in tax savings on a typical Ottawa rental.
We help Ottawa landlords optimize every expense — including tax strategy, maintenance budgeting, and revenue maximization.
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