Newbie from Ontario - the province, not a town, eh?

Question

Greetings BP community! I've been procrastinating on doing this post, despite spending many hours reading through the site and listening to podcasts 1 through 45 as of today, constantly given the constant encouragement from Josh and Brandon that is essential to jump right in.. So here I am!

I live in Trenton Ontario (not the town, the province haha - side question - are there many Canadians here??) and knee deep in the mindset change that comes from the gateway drug that are the Kiyosaki books and Think and Grow Rich, and stuff online like BP. Shoutout to London Ontario REI Matt McKeever for his superb youtube channel which is excellent for newbies, I feel like I know the guy after listening to him for many hours these past weeks! Same deal with Josh and Brandon, I wonder if they welcome direct messages from fans/new members?!

I'm a teacher but am looking at the Kiyosaki cashflow quadrant stuff very seriously.. Time to move to the S,B, then I!

In the interests of brevity I'll get right down to where I'm at:

- I am educating myself, starting to network, have started looking for deals and swapped numbers with some sellers

- I have capital - I own a home overseas (through an inheritance) that will get sold - educating myself for this sale was how I stumbled into Rich Dad... woohoo cashflow 101 classic online game mindset changer!!

- My first goal is to buy and hold up to 80k passively to match my employment income.

- I'm interested in investing in a local franchise and being very hands on so as to hone skills, network etc (S, B quadrants)

- I initially let youtube pick the order of the BP podcasts for me so I quickly stumbled into the Grant Cardone session. I'm fairly confident I can/should skip the single family stuff and get into multifamily right away. Actually I'd love some feedback on that line of thought, what do you think? Pick a strategy, then a market, right? Or just find deals no need to specialize?

- I'm listening to podcast 45 as I type this and just bought 4 hour work week to read. Am I actually going to wind up hiring a Bangladeshi young guy at 4$/hr as a VA??!!

- Along with the questions above, the next question I'd like to ask is - how to find local wholesalers? Is the answer simply networking, going to events etc or is there a simpler way? I reckon I could be the money partner in a few JVPs to get my feet wet

Sorry for the rambling intro, if you've stuck through reading the wall of text I want to say thanks and I hope to connect and keep the ball rolling with you fine folks!

Louis Sulek · Answer

Hi Brandon, super, will read and comment, thanks!

Louis Sulek · Answer

Hi Thomas, excellent advice, thank you. I've joined the two major landlord Facebook groups for Ontario and it's been an eye-opening reading experience.. the mechanics of screening tenants such as verifying income and credit are still a total unknown to me so I appreciate your advice.

Thomas S. · Answer

The Trenton area including Belleville east and down past Brighton to the west is a excellent area to invest. It should be very easy to find multi units that meet the minimum 1% rule. I would not waste too much time looking for wholesalers as they are not common in Canada. Find a experienced real estate agent that is also a investor. You want one that is not fixated on finding properties for home buyers as they know nothing about understanding investors. Build your team of accountant, lawyer and especially a mortgage broker that understands your future plans.

Chances are you will have the best luck with C+ to B properties. Low income working class tenants. Do not under any circumstances invest in welfare tenants. The system is different in Canada than in the US and the vast majority of those on welfare are leaches scamming the system. Additionally they are not controlled by the government. The government could care less what they do regarding landlords. Our RTA and LTB are extremely pro tennat so you must avoid having to rely on the system to protect you from bad tenants. High/strict screening standards are a absolute must in Ontario. Drop your guard and you will get screwed.

PS. If you do not learn/memorise the RTA regulations before you invest you will be making a major mistake. I also highly advise you attend a few LTB hearings in your area before you invest to get a feel for the abuse of landlords in Ontario. You will see how the system works and notice that the vast majority of tenants at hearings are on welfare. They are provided a free lawyer that is part of the boards good old boys club so be warned.

Brandon L. · Answer

Hello! @Louis Sulek

Welcome to BP, and congratulations on making the decision to invest in your future via real estate.

I have written a few blog posts that may help you get started here on BP, and with your investing. Please click on the links, give them a read, and share your thoughts in the comments.

First is a post that I feel will help not get overwhelmed with the amount of info that is here on BP:

https://www.biggerpockets.com/blogs/5868/52761-the-simple-guide-to-getting-started-on-bp

The second is a post that will help get you focused with your real estate investing goals:

https://www.biggerpockets.com/blogs/5868/52743-im-new-to-bp-any-advice-would-be-appriciated

The last one is a post that will help you choose an “investor friendly” real estate agent. There are many agents out there, but it’s important to choose the right one.

https://www.biggerpockets.com/blogs/5868/52724-im-new-to-investing-how-do-i-find-an-investor-friendly-agent

I have other blogs that may be helpful here on BP in my personal blog that you can check out. Good Luck :)

Roy N. · Answer

@Louis Sulek

Back in the 60s & 70s, I lived in Bellville and Trenton (Carrying Place) and my father lived there during the 80s while he flew out of CFB Trenton.

There is enough rotation through the air base, that there should be a firm rental market.

Louis Sulek · Answer

Thanks gents. Plan to start with Canada and eventually dabble in the US! Wish I was ready to up and run off to the UK though right? ;)

Bjorn Ahlblad · Answer

@Louis Sulek welcome to BP. Are you going to invest in Canada or the US? I lived in Toronto and Montreal prior to moving to the US about 30 years ago. Quite a few Canadians on here. All the best!

George Blower · Answer

@Louis Sulek

Welcome to Bigger Pockets.

Louis Sulek · Answer

It's growing, in fact we live in a new subdivision on the west side. Fair bit of turnover with military families coming and coming

Newbie from Ontario - the province, not a town, eh?

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