4-Unit Brand New BRRRR in Windsor Ontario — $3,000/Month Net Cash Flow
Four units. $3,000 per month in net cash flow. Zero capital permanently in the deal.
That is the summary of a real Brand New BRRRR project we completed in Windsor, Ontario. This article walks through every number — the construction cost, the appraisal, the refinance, the HST rebate, and the ongoing monthly income — and explains why the 4-unit threshold is a strategic decision, not just a size preference.
Why 4 Units Is a Specific and Deliberate Number
In Canadian real estate, 4 units is a meaningful threshold. Under 4 units: residential mortgage rules, up to 80% LTV, qualifying on the borrower's personal income. At 4 units and above: commercial mortgage rules apply, 75% LTV, qualifying primarily on the property's net rental income.
For investors whose personal income is modest, or who are building a portfolio beyond their personal income qualification limits, commercial lending is actually an advantage: the lender cares about what the building earns, not what you earn.
Four units also means four separate income streams. If one unit goes vacant, you still have three paying.
The Project
Location: Windsor-Essex, Ontario. Property type: 4-unit new construction multifamily. Unit mix: 4 × 3-bedroom, 2-bathroom units. Total build size: Approximately 4,800 square feet.
Design philosophy: every square foot earns its place. Granite countertops, in-unit laundry, dishwasher, open-concept kitchen and living, modern bathroom. The finishes that command premium rent and attract long-term tenants.
| Investment Item | Amount |
|---|---|
| Lot purchase | $140,000 |
| Closing costs (LTT + legal) | $4,200 |
| Construction (~$200/sqft × 4,800 sqft, all-in incl. HST) | $960,000 |
| Construction loan fee (due after occupancy) | $38,400 |
| Insurance during build | $6,500 |
| Total invested | $1,149,100 |
| Recovery Item | Amount |
|---|---|
| After-build appraised value | $1,550,000 |
| Refinance mortgage at 75% LTV | $1,162,500 |
| HST rebate from CRA | $110,000 |
| Total recovered | $1,272,500 |
| Recovery rate | 110.7% |
| Cash Flow Item | Monthly |
|---|---|
| Gross rental income (4 × $3,000) | $12,000 |
| Mortgage (75% LTV, 5.05%, 30-year) | ($5,640) |
| Property tax | ($800) |
| Building insurance | ($500) |
| Property management (8% of gross) | ($960) |
| Maintenance reserve (3% of gross) | ($360) |
| Vacancy buffer (3% of gross) | ($360) |
| Net monthly cash flow | ~$3,380 |
Approximately $3,000 to $3,400 per month net. Every month. On zero capital permanently locked in the deal. Annualized: approximately $40,000 per year in passive income from one project.
Why the Units Rent for $3,000 Each
In-unit laundry is the single biggest rent premium driver in Windsor-Essex multifamily. It commands $150 to $250 more per month consistently. Built into every unit at approximately $800 in additional cost per unit — the return on that $800 is paid back in under 4 months of rent premium.
Open-concept layout makes a smaller unit feel larger. Tenants make rental decisions based on how a unit feels in a 20-minute showing. A well-proportioned open-concept 1,200 sqft unit feels comparable to a dated 1,400 sqft unit.
Modern bathroom — clean tile, frameless shower glass, proper vanity — costs perhaps $3,000 to $4,000 more per unit than a budget finish. It photographs better, shows better, and attracts a higher-quality tenant who pays more and stays longer.
Granite countertops cost $1,500 to $2,000 per unit and permanently change how the unit is perceived. Every comparable new unit in Windsor-Essex has granite. Not having it costs you in rent and tenant quality.
These are not luxury choices. They are investment decisions with calculable returns.
The Investor on This Project
The investor is based in Toronto. They chose Brand New BRRRR in Windsor because they could not make comparable numbers work in their home market. Toronto construction costs, Toronto land prices, and Toronto development charges make 100% capital recovery not just difficult — structurally impossible at most price points.
The investor received video updates throughout construction. They approved the design and the lot. Every other step — construction management, leasing, the refinance, the HST rebate filing — was handled by the team.
They now collect $3,380/month from a 12-month process they were barely involved in. Twelve months. The investor never visited the construction site.
Aditya Kumar Soma is a real estate investor with 50+ rental units and a $20M+ portfolio in Windsor-Essex, Ontario. He has personally completed 20+ Brand New BRRRR projects and documented every deal on YouTube since 2019.