Investment Property Strategies (what are you doing?)

18 Replies

Hi everyone! 

I've have been networking with many BP members over the last few days and I am amazed by the openness and inclusion within this community. I'm not sure why I took so long to start reaching out to members. 

I've had an opportunity to learn more about the different strategies that people are using to achieve their financial freedom. Everyone is working towards the same goal, but there are many different paths strategies to achieve it. 

I was wondering for investors across Ontario, what strategies are people using?

  • Buy and Hold?
  • Flipping?
  • Wholesaling?

And what are people buying? Single detached? Town houses? multifamily homes... ? 

Word Spam: Cambridge, Kitchener, Waterloo, Guelph, Mississauga, Brampton, Toronto, Hamilton, Oakville, Brantford, London, Canada, Ontario 

Merci Beaucoup!

Vince B

I'm not in that area, but I buy and hold multifamily.

Hi Vince, Buy and hold for me.  

I invest with a BRRR strategy, but my next place I'll be doing a modified version. Buy, Borrowed-Reno, Rent, Repay Reno on Refi. BBRRRRR. :)

I'm looking to network with investors in the Greater Hamilton area . As for my strategy I buy student rentals and new builds. Looking to buy land and delevop and also invest in commercial real estate(apartments, mixed use, and retail. 

Hey Vince, also have a SFH in Cambridge (buy and hold), but interested in rent to own in that area, (or Kitchener) but haven't really started looking into this strategy in that area yet. Still working on my 'master plan' and how that will fit in!

I'm buying SFHs in Hamilton and adding basement suites. Currently looking for JVs who have cash but no time/expertise. Also interested in other cities in Southern Ontario.

Buy and hold ... in the US.

The returns in Canada, particularly the gta are paltry unless you factor appreciation as a big part of your calculations. I go by Kirosakis mantra - you make money when you buy - not praying on market appreciation.

Once the music stops in this game of real estate musical chairs and interest rates kick back on I may look at ontario again.

Originally posted by @Eric Delcol :

Buy and hold ... in the US.

The returns in Canada, particularly the gta are paltry unless you factor appreciation as a big part of your calculations. I go by Kirosakis mantra - you make money when you buy - not praying on market appreciation.

Once the music stops in this game of real estate musical chairs and interest rates kick back on I may look at ontario again.

Eric:

While true in many markets, there are still places you can invest in Canada and obtain a reasonably priced cashflow.

Hey Roy,

I know there are.  I applaud anyone that can make the numbers work in the great white north.  For us, however, we've found the best deals in the US.

Thank you for all of the replies! 


@Rosston Smith @Carolyn Guertin @Jesse Fragale - For your buy and holds, do you focus on a specific property type? ie single family, apartments, townhomes....?

@Ming Lim How is the BRRR Strategy working out for you so far? I've heard about it on the podcasts but I havent met too many people that have implemented and executed the plan.

@Mike Oliveira . Thanks for adding to the thread. Did you build up a portfolio of residential properties before moving to commercial? What do you find is the biggest challenge with the student rentals?

@Philip Robbins - Yes I have a few friends that have recently started their rent to owns. I need to learn a but more about that strategy too.

@Ryan Kirk - Are you also a contractor? I know is some cities (ie Cambridge) the city makes it difficult to add a basement suite. Are they they cooperative in Hamilton?

@Eric Delcol - Yes things are a bit too crazy in Ontario, in particular the GTA. But GTA people are starting to come to SW Ontario and cause bidding wars which traditionally doesn't occur out here. 

@Roy N. - Where are you investing? 

@Account Closed  - in the oldest and most established parts of the country ;-)  

It doesn't always pay to think of TO as the centre of things :-P

A little more seriously ... we invest predominately in the Maritimes.  We underwrite everything based on cash-flow ... never bank on appreciation, though reap the benefits of the forced variety where you can.

Originally posted by @Account Closed :

Thank you for all of the replies! 


@Rosston Smith@Carolyn Guertin @Jesse Fragale - For your buy and holds, do you focus on a specific property type? ie single family, apartments, townhomes....?

@Ming Lim How is the BRRR Strategy working out for you so far? I've heard about it on the podcasts but I havent met too many people that have implemented and executed the plan.

@Mike Oliveira . Thanks for adding to the thread. Did you build up a portfolio of residential properties before moving to commercial? What do you find is the biggest challenge with the student rentals?

@Philip Robbins - Yes I have a few friends that have recently started their rent to owns. I need to learn a but more about that strategy too.

@Ryan Kirk - Are you also a contractor? I know is some cities (ie Cambridge) the city makes it difficult to add a basement suite. Are they they cooperative in Hamilton?

@Eric Delcol - Yes things are a bit too crazy in Ontario, in particular the GTA. But GTA people are starting to come to SW Ontario and cause bidding wars which traditionally doesn't occur out here. 

@Roy N. - Where are you investing? 

 I'm interested in 8+ unit buildings. 

@Eric Delcol @Roy N. @Account Closed

I'm always a little amused when someone refers to GTA and Vancouver as "The Canadian Market", forgetting that it makes up approximately 9% of the Canadian population and about 0.0000001% of our geography (keeping in mind that buying geography is what we're here for).

What's going on in the Toronto market has absolutely nothing to do with the price of an acre of wheat in northern Sask, or a hectare of lakefront near Timmins.

Brrrr multi plex and commercial for me. St Thomas area. . . . . . So far. . .

@Roy N. - I know that was a dig at me! ;)

@Account Closed - It's working out well and it's one of the few strategies that works in Toronto. BRRR is much more difficult in execution than podcasts or anyone ever talks about. Each stage is fairly challenging. Renovations can easily break the business model if you're not working with a great contractor. Refinance is also much more complicated than simply going back to the bank and asking for a new refi. Many traditional lender don't honour the ARV.

Bottom line for any investing. 1) Be an expert in your market. This is why even though I could make more money elsewhere, I don't move markets. You need to know it down to the street level. i.e. Moss park = bad, high park = good. 2) The fundamentals always apply. Don't invest on appreciation - invest on cash flow and mortgage pay down. Appreciation is icing on the investment cake. Invest in areas that are investing in themselves (transit, job creation, etc.). 

Hope that helps!

@Account Closed

I look all over the GTA, but I'm currently focusing on flips in the Brampton area.

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