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Investing in a Legal Duplex in Haliburton: A Smart Financial Move
If you're looking to buy a home in Haliburton, Ontario, you may be wondering how to qualify for a mortgage while keeping your monthly payments manageable. 259 Highland Street, Haliburton, an in-town legal duplex, offers an excellent solution: rental income from the basement suite can help offset your mortgage payments and increase your borrowing power.
Why 259 Highland Street is a Prime Investment
Located in a highly sought-after area with strong rental demand, this property presents a rare opportunity for both homeowners and investors. With two separate living units—a spacious 4-bedroom, 2-bathroom main unit and a self-contained 1-bedroom basement suite—this duplex provides flexible income-generating potential.
Key Features of the Property:
- Fully Renovated in 2010 – Modern systems and updated interiors while maintaining original charm.
- Main Unit: 4 bedrooms, 2 bathrooms, a cozy wood-burning fireplace, and a screened-in covered back porch.
- Basement Suite: 1 bedroom, 1 bathroom, a separate entrance, and independent utilities for added privacy.
- Spacious Backyard: Perfect for outdoor activities, gardening, or relaxation.
- Town Sewer Connection: Ensures hassle-free utility management.
- Prime Location: Close to downtown Haliburton, local amenities, and recreational areas.
How Rental Income Can Help You Qualify for a Mortgage
Purchasing a $670,000 home requires careful financial planning, but having a rental unit can significantly boost your borrowing power. Lenders allow a percentage of rental income to be factored into your total income when qualifying for a mortgage. This means the basement suite at 259 Highland Street can lower your required income threshold, making homeownership more
accessible.
Mortgage Qualification Estimates
To qualify for a $670,000 mortgage, your required income will depend on:
- Your down payment (e.g., 5% vs. 20%)
- Interest rate (current market rates around 7%)
- Loan term (typically 30 years)
- Debt-to-income (DTI) ratio (most lenders prefer 43% or lower)
- Property taxes & insurance (additional monthly costs)
Scenario 1: 20% Down Payment ($536,000 Loan at 7%)
- Estimated Monthly Mortgage Payment: $3,575 (excluding taxes/insurance)
- Required Income Without Rental Income: $107K – $120K/year
- With Basement Rental Income ($1,100/month, 75% counted):
- $825/month added to income ($9,900/year)
- New Required Income: $97K – $110K/year
Scenario 2: 5% Down Payment ($636,500 Loan at 7%)
- Estimated Monthly Mortgage Payment: $4,250+ (including mortgage insurance)
- Required Income Without Rental Income: $125K – $140K/year
- With Basement Rental Income:
- $9,900/year added to income
- New Required Income: $115K – $130K/year
By using the basement suite as a rental, you can potentially reduce your required income by $10,000 per year, making qualification easier.
Maximizing Your Investment: Live, Rent, or Both
This versatile property offers several options depending on your financial goals:
- Live in the Main Unit, Rent the Basement – Offset your mortgage costs while enjoying a spacious family home.
- Rent Both Units – Generate a strong rental income in a high-demand market.
- Short-Term Rentals – Explore seasonal or vacation rentals for increased profitability.
Why Haliburton is a Great Market for Rental Properties
Haliburton is a thriving community with a strong rental market due to:
- Year-round tourism and seasonal residents
- Growing local population
- High demand for quality rental properties
- Proximity to lakes, outdoor activities, and local businesses
Take the Next Step Toward Homeownership
With the rising cost of real estate,
leveraging rental income to qualify for a mortgage is a smart strategy.
259 Highland Street, Haliburton offers an ideal combination of
modern updates, strong rental potential, and a prime location—making it a
fantastic investment opportunity.
📞 Interested in this property? Contact Haliburton Gold Group today!
🌐 Visit: Haliburton Gold Group
📍 Address: 259 Highland Street, Haliburton, ON
💰 Price: $670,000
Final Thoughts
Purchasing a legal duplex like 259 Highland Street in Haliburton, ON, allows you to maximize homeownership benefits while reducing financial strain. By factoring in rental income, you can qualify for a mortgage with a lower required income and enjoy long-term financial stability.
Schedule a viewing today and explore how this property can work for you!
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All information deemed reliable but not guaranteed. All properties are subject to prior sale, change or withdrawal. Neither listing broker(s) or information provider(s) shall be responsible for any typographical errors, misinformation, misprints and shall be held totally harmless. Listing(s) information is provided for consumer's personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. The data relating to real estate for sale on this website comes in part from the Internet Data Exchange program of the Multiple Listing Service. Real estate listings held by brokerage firms other than RE/MAX Professionals North may be marked with the Internet Data Exchange logo and detailed information about those properties will include the name of the listing broker(s) when required by the MLS. Copyright ©2023 All rights reserved.
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