What skills am i missing before my first property?

Question

Currently I understand how to analyze properties at a very high level, how to find a good tenant,

-I dont know how to estimate rehab costs, ARV, potential rental rates in markets im unfamiliar with

Not too much basic home renos

What other skills am I missing before i jump in?

Also, is deal analysis different in Canada? I've been using an excel template i've found online but I may be missing some factors while analyzing Ontario deals

Thomas S. · Answer

You do not mention anything about studying the RTA or LTB web sites. You have probably not been to any LTB hearings either.

If you want to survive in Ontario you need to understand that tenants can bankrupt you very easily. Once they move in you can not get rid of them until they choose to leave unless you have legitimate grounds to evict and Ontario is under rent control. Long term tenants are a albatross in this business.

One major plus we do have is the L9, you will learn to appreciate it.

Once you own a property leave your emotions at home. Business always comes first.

Also never rent to any one on any form of government assistance. They are a curse.

Study and understand your RTA and keep a copy with you at all times.

Jacob Perez · Answer

Hey @Joseph Shin,

This looks a lot like analysis paralysis to me, here's why:

• You CAN estimate rehab costs - Simply contact a contractor (or 2-3 total)
• ARV - Ask your realtor for these comparables
• Potential Rental Rates - Contact Investors in those markets they will be happy to share, alternatively, you can check kijiji or MLS for a rough idea.

Biggest skill you can add is being pro-active. Being an investor is about being resourceful to get the information you need, not about being an expert in every facet.

Daric Myers · Answer

I think you could spend the rest of your life collecting tools to get started.  If you know what a deal looks like in your area and are not comfortable tackling it on your own, find someone who can help you.  Even if you take a small portion of the profits, or just a free mentorship on the first one, consider it your college education in real estate.  I'm not sure about the Canada thing.  I'd assume it is pretty much the same, but I'm sure the rules are a bit different.  I hope this helps.  Have a great day!

What skills am i missing before my first property?

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