Strategic Upgrades: How to Increase Your Property Value in the Montreal Market
- Feb 20
- 2 min read
Updated: 4 days ago
In the 2026 Montreal real estate market, "renovating" is no longer just about aesthetics—it’s about financial engineering. With property values in the Greater Montreal Area projected to grow by 5.0% this year, the difference between a stagnant asset and a high-yield investment lies in Strategic Upgrades.
At Marsik Management, we help owners navigate the latest TAL regulations and energy efficiency programs to ensure every dollar spent on a property translates into increased valuation and legally sound rent adjustments.
1. The "TAL-Friendly" Renovation
The biggest change for Montreal landlords in 2026 is the new fixed 5% threshold for major repairs and improvements.
The Strategy: Instead of small, piecemeal repairs that are hard to justify at the Tribunal, focus on "Major Capital Expenditures."
The ROI: Under the new 2026 rules, landlords can more predictably recover costs for substantial work like roof replacements, window upgrades, or full bathroom remodels.
Marsik Tip: Keep every receipt. The TAL now uses a three-year moving average for CPI, but major renovations remain your strongest lever for justifiable rent increases.
2. Energy Efficiency: Capturing 2026 Rebates
Sustainability is no longer a "nice-to-have"—it’s a massive cost-saving tool.
The Opportunity: Programs like Hydro-Québec’s LogisVert and the Chauffez vert subsidy offer up to $23,275 for HVAC upgrades and heat pump installations.
The Strategy: Converting an old oil or gas furnace to a high-efficiency electric heat pump significantly lowers your operating expenses while making the unit more attractive to eco-conscious Montreal tenants.
The Value: Buildings with modern, energy-efficient systems command higher resale prices and lower vacancy rates.
3. The "Work-From-Home" Floor Plan
The demand for space in neighborhoods like The Plateau, Verdun, and Rosemont has shifted. Tenants are now prioritizing "home office" functionality over "extra bedroom" storage.
The Strategy: If you have a large 5 ½ or 6 ½, consider installing built-in workstations or high-quality acoustic insulation between rooms.
The ROI: Small architectural tweaks that allow for a dedicated office space can increase your rental pool and justify a premium price point in a competitive market.
4. Smart Tech & Security
In 2026, security is a top priority for renters in high-density areas like Griffintown and Downtown.
The Upgrade: Replace traditional keys with Smart Lock systems and install high-definition building security cameras.
The Value: Beyond the increased safety for tenants, smart locks simplify the "turnover" process for property managers, reducing administrative costs and key-replacement fees.
Navigating Renovations without the Stress
Strategic upgrades are only profitable if they are managed correctly. A "bad" renovation can lead to TAL disputes, while a "smart" one builds long-term wealth.
As your boutique Montreal management partner, Marsik doesn't just call the plumber; we advise you on which upgrades will actually move the needle on your ROI and ensure all work is documented for your next rent increase filing.
Ready to boost your property's value?
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