Let's talk money

[Aellyn Rose]

Real estate is a lot more interesting in the States if you know what you're doing. Arizona, Nevada, Florida mainly.

When it comes to mutual funds a lot of your return is eaten away by fees which is why you're not seeing the profits... I personally stick to index funds. Statistically nobody beats the market. Better to mirror the market itself since it performs better than 95% of actively managed funds.

 

[jalimon]

That's why I said "you get what you pay for"
It could be bad for some, but good for others. I had good revenue on the "bad" property.

But this really depend on why you buy the propertly. Myself I did not care about monthly revenue. All I care was to break even, get the property renovated and sell it.

Where I made a mistake was assuming all tenants were good people. I was too nice to them and it cost me much. Now I am completely out of this business because I cannot deal with tenants. I would have love to be able to deal with tenants and at the same time make good revenue. Just was not for me.

Cheers,

 

[BookerL]

Hello Booker,

It is not that difficult to follow up : you pay high price in other to get a property in "good" downtown, but you might pay much lower price for a similar one in other places. In theory, you pay more for good place then you expect to receive more money; however in most of my stories we just get break-even (sometimes lost) in these properties, which I don't want to go in details.

Hello Tonyw


What is paying a high price in your example . the total price compared to comparable or a high ratio versus revenues whatever the total is .

I will provide a real example .
I purchaced a 6 plex in Ville -Marie corner of De Rouen and Bercy ,I paid $45,000 below listing and listing was about $40,000 below comparables ,but even so I paid 22 times the revenues ,it was a poorly manage property, with rents from 20 years to 25 years catch up to do .


It was in fairly good condition no damage to the structure ,window or roofing .
The work to be done was cosmetic .
I was able to increase the revenues of the building by 4.25 ,since a plex sells for it revenues ,it was a smash hit, even if it is not prime location .

Downtown prime locations or elsewhere ,you can be successful if you know what you are doing



Cheers




Booker

 

[general grevious]

Hello Tonyw


What is paying a high price in your example . the total price compared to comparable or a high ratio versus revenues whatever the total is .

I will provide a real example .
I purchaced a 6 plex in Ville -Marie corner of De Rouen and Bercy ,I paid $45,000 below listing and listing was about $40,000 below comparables ,but even so I paid 22 times the revenues ,it was a poorly manage property, with rents from 20 years to 25 years catch up to do .


It was in fairly good condition no damage to the structure ,window or roofing .
The work to be done was cosmetic .
I was able to increase the revenues of the building by 4.25 ,since a plex sells for it revenues ,it was a smash hit, even if it is not prime location .

Downtown prime locations or elsewhere ,you can be successful if you know what you are doing



Cheers




Booker

I am always amazed at just how smart you are, borderline genius i tell you. The man of a thousand fairy tales. I am sure in amongst them, one or two of them may be true.

 

[BookerL]

But this really depend on why you buy the propertly. Myself I did not care about monthly revenue. All I care was to break even, get the property renovated and sell it.

Where I made a mistake was assuming all tenants were good people. I was too nice to them and it cost me much. Now I am completely out of this business because I cannot deal with tenants. I would have love to be able to deal with tenants and at the same time make good revenue. Just was not for me.

Cheers,

Hello Jalimon


You are right ,if you cannot deal with the shit of tenants ,it's not for you .
As for me I was dealing with SP's and client of SP's ,while I was dealing with tenants in Quebec
Oh,What a Rush :lol:

My consolation prize ,retirement in my very early fifties and being able to afford a Vancouver lifestyle !



Cheers




Booker

 

[BookerL]

I am always amazed at just how smart you are, borderline genius i tell you. The man of a thousand fairy tales. I am sure in amongst them, one or two of them may be true.

If you would have ,some knowledge ,we would be able to debate ,Do you ?

A guy posting on a escort board cannot be intelligent according to you and not be successful ?

Cheers




Booker

 

[BookerL]

Good for you!!!
Cheers
T

Yes Tonyw I agree ,it was good for me ,hopefully it will be as good for you

Good luck in your ventures




Cheers




Booker

 

[jalimon]

I am always amazed at just how smart you are, borderline genius i tell you. The man of a thousand fairy tales. I am sure in amongst them, one or two of them may be true.

Quite typical in Quebec. If you show you've had some success quebecer will suspect your a crook and/or shit on you. Few will congratulate you. If you go elsewhere (especially in the state) its totally the opposite. Were still not out of the dark age here...

Cheers,

 

[BookerL]

Hello all

Start your own business with your savings. Sasha grey did it. This is how you get rich.

Well it is a way ,but very time consuming

Playing it safe with stocks isn't likely to yield you the kind of money you're after, and you'll probably lose out due to inexperience.

Inexperience is factor everywhere ,whatever investment you have

Real estate requires too much time, commitmnt,

http://www.investopedia.com/terms/n/nonoperatingasset.asp
What is a 'Non-Operating Asset'
Classes of assets that are not essential to the ongoing operations of a business, but may still generate income or provide a return on investment. These assets will be listed on the balance sheet along with operating assets, and may or may not be broken out separately.

Non-operating assets are held by companies for several reasons. It could be an asset related to a closed portion of the business, and might be sold in the future. Non-operating assets can also be used to diversify operational risks (for example by owning some real estate or patents) or simply used as a cash investment.


None operating assets are the less time consuming ,when you are well set ,that does include real estate

and specific knowledge. Spend that time with your future kids or family.
Or inherit.

Specific knowledge is also required in other type of investment ,however if you know well the metrics in real estate the money made on increase value on your properties ,will ad up on the reduction of your secured dept .

Plus hopefully a good monthly income ,that will cover all your recurring fees plus a cushion for surprises .


Good Luck to all whatever investment they choose




Cheers




Booker

 

[Ricky bonds]

I think condos located in Montreal are a good investment for first timers. Buying a house on the Island, is to me, above ridiculous. Montreal houses are too expensive for the yard and privacy you get, and the taxes... :der:

Wait until the market catches up with the rest of canada.
The 350,000$- 450,000$ home in montreal seems expensive until you compare it to similar city proximity homes in t.o or vancouver going for 700,000$+ ..
some will say its in relation to the salarys etc.. but unless you are in a high paying job, things are pretty much the same (except taxes are a bit less anywhere outside of quebec..not property taxes however, just sales tax and salary tax)

Condos also might seem sweet, but chances are you will barely break even upon resale..not to mention the condo fees which after 10 years could add up to 30-50 thousand dollars thrown away into thin air never to be recouped.
Plus someone recently told me that the additon of taxes (property, water, school etc) are relatively the same in a condo vs. A house.. thats why the city promotes condo developments so much.. they get taxes x the amount of units (6, 8, 10, 14, 20 etc) on the same square footage that can host only a few houses, its a no brainer.
So smart money is a duplex, triplex, home near the city., you can pretty much only gain.
And with all the new condos popping up left and right, older condos will just become harder and harder to sell.. and there is no shortage of new condo projects in sight.

 

[jalimon]

Wait until the market catches up with the rest of canada.
The 350,000$- 450,000$ home in montreal seems expensive until you compare it to similar city proximity homes in t.o or vancouver going for 700,000$+ ..
some will say its in relation to the salarys etc.. but unless you are in a high paying job, things are pretty much the same (except taxes are a bit less anywhere outside of quebec..not property taxes however, just sales tax and salary tax)

Condos also might seem sweet, but chances are you will barely break even upon resale..not to mention the condo fees which after 10 years could add up to 30-50 thousand dollars thrown away into thin air never to be recouped.
Plus someone recently told me that the additon of taxes (property, water, school etc) are relatively the same in a condo vs. A house.. thats why the city promotes condo developments so much.. they get taxes x the amount of units (6, 8, 10, 14, 20 etc) on the same square footage that can host only a few houses, its a no brainer.
So smart money is a duplex, triplex, home near the city., you can pretty much only gain.
And with all the new condos popping up left and right, older condos will just become harder and harder to sell.. and there is no shortage of new condo projects in sight.

Absolutely true. Its already hard to make money on a house. Where I live north of Laval the market was booming 5 years ago. Now pretty much everything is sold below evaluation. With condo it's even worse. Unless you really know what your doing, avoid condo (except if you want a nice place to live for yourself!).

To begin on the safe side, stay in montreal look for duplex/triplex, east of PIIX street I would say there are the best deals now.

Cheers,

 

[BookerL]

Hello Mocha

I have a growing interest for real estate investment. I hope to retire and have all these properties to rent, flip, sell... I can't wait to get my first duplex or triplex, hopefully in the next 5 years, before I buy my dream house far away from the city.

A great supply of metrics surrounding real estate in Canada in compiled on a monthly basis By
CANADA MORTGAGE
AND HOUSING CORPORATION
CMHC-SCHL
https://www.cmhc-schl.gc.ca/en/hoficlincl/homain/stda/index.cfm,


Its does provide excellent analysis ,on vacancy rate per area

Other important Metrics are compiled here https://www.realtor.ca,



Learn to analyze those metrics and what do they mean for your success and risk




Cheers





Booker

 

[zztop696927]

B52-dude-Stock Market is a full time job and will drive you crazy. Real Estate-investment property-Verdun, LaSalle, as St. Henri is cooking and the plateau is brutal......

 

[BookerL]

Hello all



Recent selling stats for Canada biggest condo market http://www.urbanation.ca/news/135-2015-was-second-best-year-ever-new-gta-condo-sales.





Cheers





Booker