new member from ontario

11 Replies

Hi my name is Rayce came across bigger pockets about a month ago. Im new to real estate investing but I have been studying it for a little over two years now. Reading books and going to local meet ups Im in the process of building my power team. My plan is to start with single family homes self manage hopefully acquire one per year hopefully two for the first three years as well as have a few flips within that time frame. The 7-10 year plan is to trade up to a 20 unit or above apartment building and continue the flips. At that time I want to become a full time investor/flipper and continue to build my company and teach what I have learned to my family the power of real estate.

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Hey Rayse! You are in a good area of Ontario for investing with some good BP members nearby to collaborate with.

When you post on BP try to hit a few keywords to bring out the locals in Kitchener, Waterloo, Brantford and even Hamilton.

Do you have good opportunities in Ohsweken or are you going to venture out to the nearby cities?

I have been focusing on brantford area mostly but are not set on it. I know kitchener is booming with new housing all over the city. I would like to try and keep the first deal as close as possible but I'm open to venture out. Im interested and what people think of the windsor area with the  new bridge and the jobs going into that town?

For the sake of stability and cash flow if your goal is to build I would advise against SFHs unless they have a secondary suite in the basement or it is your intent to add value with a secondary. You will find it very difficult to cash flow due to higher costs of maintenance and vacancies. However basement dwellers are usually of low quality as tenants. In addition professional tenants are a serious concern in Ontario and it is common for them to target private landlords renting SFHs. One professional tenant in a SFH can potentially bankrupt a investor. Ontario tenants are in many cases some of the worst due to the extremely pro RTA and LTB. Bad tenants, especially those on welfare, are well versed in living for free on a landlords dime and evictions are nearly impossible.

The consensus is to invest in multi units to mitigate and increase cash flow. If you want to grow putting your own money into negative cash flow properties every month is going to seriously hamper your growth.

Also you have not mentioned whether you have thoroughly educated yourself on the RTA and LTB. If you have not done so do not purchase any properties until you have. Attend some local LTB hearings to get a feel for the process and attitude of adjudicators toward landlords. You need to keep a copy of the RTA with you at all times until you can quote articles from memory and know exactly how they are interpreted and enforced by the LTB.

Welcome to the most pro tenant jurisdiction in North America.

Hi and welcome @Rayce Vyse you are in a great area for sure. I am also an investor in Brantford and you can still get many good deals that cashflow even as SFH. For example my last property that closed in April a SFH I bought for 165k and it rents for $1300 plus utilities. There is high demand and low supply for housing in Brantford. If you have any questions about Brantford feel free to message me I would be more than happy to help you get started.

Thanks for the great info Greg only reason I was going the SFH route was I would have an easier time to liquidate and move into the apartment building when time came. Im definitely not set on just SFH this is mostly for the first two or three properties as you said and I agree the RTA isn't in the interest of the landlord. I've been through the RTA a few times not enough to memorize it but enough to know that I need to do my homework and I'm in the process of setting up my screening package. As for Victoria I think the next meet up is may 17th its at the best western by home depot a lot of great people and the organizer always has great presenters. If you would like to join its Grand River REI at meetup.com.

Welcome to Bigger Pockets Rayce! There is a great community here, able to help you with anything you may need!! Check out the forums, and remember to add some keyword alerts! This place can keep you busy all day!

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