Ottawa vs Gatineau: The Rent And Costs Battle

You are here:

Away from the legal topics of real estate from a couple of weeks ago, we look at an issue that is much more local, our own region!

It has long been a hot topic for tenants, whether university students or government employees, and anything in between. Even though salaries in Ottawa are generally good – people always ask themselves whether they should live on the Quebec side of the city, or the Ontarian.

According to the CMHC’s 2017 rental market reports for Ottawa-Gatineau, the average rent for a two-bedroom apartment was $782 on the Quebec side of the river; a staggering $450 cheaper than the Ontario side, where the average two-bedroom apartment rent was $1,232. Imagine what you can do with almost 500$ extra!

On the top of your head, it might seem like a the quickest decision you’ll make. Census data complied by Jack Jedwab, director of the non-profit Association for Canadian Studies, show that many people do choose to live in Gatineau and work in Ottawa, and calls them “Quentarians.”

One-third of Gatineau residents commute to a different province for work, Jedwab said, adding it’s safe to assume that in the vast majority of cases, they’re headed to Ontario.

“There’s not many realities like this around the country,” he said. “That border is very light”

But before making the choice to call Gatineau home, real estate agents said renters should do their research and make sure they consider the various differences between renting in Ontario and Quebec, specifically in the NCR.

A real estate agent, Sam Moussa, stated “I always tell clients to connect with their accountants,” “Your residency typically determines where you pay your taxes”, he explained. How much someone will pay will vary depending on their individual situation, but Quebec has one of the highest taxes in Canada. While renters aren’t usually responsible for directly paying property tax, the income tax rate in Quebec is 15% on the first $42,705 of taxable income. In Ontario, it’s a little more than 5% on the first $42,201. But as the FCAC reminds us, “income tax rates in Quebec are higher than in other provinces and territories because the government of Quebec finances a wide variety of services that other governments do not.”

Danny Dawson, living in Chelsea, said he paid $10,000 more in tax last year as a Quebec resident than he would have had he been living in Ontario. But other factors made the tax hit more than worth it for his family, said Dawson, who works as a real estate agent in Ottawa, but lives in Chelsea, QC.

Another cost renters typically build into their budget is their utilities bill. According to the Ontario Energy Board, the estimated before-tax electricity bill Ottawans paid in 2017 was about $95 per month, compared to $56 in Quebec.

The most common concern Dawson said he hears about renting in Gatineau is language. “A lot of people feel that ‘I wouldn’t go there because I don’t speak French’,” he said. Indeed, census data found 28% of the Ottawa-Gatineau population on the Quebec side identified as having knowledge of French only. However, 71% of the population said they knew English, with the majority of that percentage saying they were bilingual. “The prevalence of English also depends on where in Gatineau you live,” Dawson said.

The Quebec government does stress the importance of French for its residents. Its guide for newcomers to the province tells readers it has not been translated, “to reflect the fact that French is the official language of Québec and to underscore the importance of learning French in order to communicate effectively in day-to-day life, and in order to work or study in the official language, practice a profession, do business, or participate in the cultural, civic and social life of Québec.”

While it might only be a two minute drive across a bridge, keep in mind that Ottawa residents who decide to rent in Gatineau are moving to a new province. While it might be tempting to think you can fly under the radar and retain an Ontario driver’s licence and health card, “you want to be up front,” Moussa warned. In most cases, the government of Quebec requires new residents to register for provincial health insurance and change their licence and vehicle registration.

There are also more subtle considerations about renting in Gatineau and working in Ottawa that might not be obvious to an outside observer.

“I find traffic is really, really bad because you‘re battling the bridges to get across,” Dawson pointed out — alongside a third of the city’s working population. Quebec law also requires drivers have winter tires on their cars.

Another common occurrence in the La Belle Province is leasing a unit without appliances included, Dawson said. He’s had to rent them, so that’s a potential cost to consider.

He also said that for prospective tenants on the hunt for a Gatineau rental, it’s worth keeping July 1 in mind, and not because of Canada day! About 80% of leases end on June 30, so making plans for a move should take place early.

With all that in mind, becoming a Quentarian might be well worth it for a renter. Or it might not be. Apparently, it’s all about weighing your priorities to choose what you need most.

Which side wins at the end?