Reddit reviews Real Estate Investing in Canada: Creating Wealth with the ACRE System
We found 4 Reddit comments about Real Estate Investing in Canada: Creating Wealth with the ACRE System. Here are the top ones, ranked by their Reddit score.
Yes, I have several rental properties. You make money in RE by mortgage pay down, property appreciation and monthly cash flow. If you want to invest in RE in Canada, I would strongly recommend this book.
Have you read this one? I'm assuming you have since you've recommended it?
investing in Canadian real estate is something I've been seriously looking at lately as well. Would you also recommend Don Campbell's other book?
I looked into buying a 2-4 unit multi-plex to (a) live in one unit myself, and (b) rent the rest of to cover defray the costs of the mortgage and expenses. This was about 2-3 years ago.
I found that I couldn't make the numbers work. The rent (at the time) rarely managed to cover (1) mortgage, (2) taxes, (3) insurance, etc. This was including treating the unit I lived in as income that I 'pay myself' (or rather the fictional 'property company').
Of course rents have gone up since I last did the math, but so have prices (and recently mortgage rates).
Run the numbers yourself; a book I found informative:
If you're okay with a monthly loss, hoping to 'flip' at some point in the future via property values (and higher rents), then go ahead. But if you want to at least break-even cashflow-wise, things aren't as rosy AFAICT.
If someone has made the numbers work in the GTA, please PM me, as I'd love to know how.
Solid plan. I think this is how a lot of Canadian investors get started.
Whatever province you're in, read the Residential Tenancies Act (or your equivalent) and have a good understanding of it. Even if you're going to eventually hire a property manager, look after the first property yourself so you get a good feel for what you're doing and build some experience.
Always screen all your tenants including getting a credit check. Don't ever, ever, EVER skip the credit check.
If you have clean rental properties in OK areas that are well looked after, you'll have no trouble finding good tenants. Treat them fairly and with respect and you'll minimize (or eliminate) nightmare tenant stories.
When I got started, I read Real Estate Investing in Canada by Don R Campbell. Good little book that's not intimidating. Well worth the $20 investment.
http://www.amazon.ca/Real-Estate-Investing-Canada-Creating/dp/0470158891