I'm a UK based investor, looking to diversify into Canada. I have a lot of experience in the UK, but am starting from Scratch in Canada. Can I get some recommendations for some Canadian focussed Real Estate Investing books?
There's loads of US focussed books, but not many book about Canada.
I'm open to different strategies (BRRRR, Buy & Hold, flipping etc.). But I don't really want too much information about strategies - the strategies are the same in the UK. I want to learn more about Canadian specific investing.
I've seen Don Campbell Real estate Investing In Canada 2.0 recommended, but I'm not sure the book is all that great.
@Vin Gupta there was a thread on this a while back - here's the URL: https://www.biggerpockets.com/... - probably more different threads as well if you do a search on BP. Best of luck to you and hope you have a great 2021!
Each province has its own laws which is the main difference you'll probably encounter along with foreign investment taxation but has to be researched individually.
The UK is pretty good for real estate. The problem is that it's a small country with 60 million people. Everywhere in the country is full of investors, and there's loads of competition for deals.
The BRRRR strategy basically isn't possible in the UK, because you can't buy low enough.
Canada has a good reputation for being welcoming to foreigners. It also has a well developed financial and real estate markets.
@Vin Gupta there was a thread on this a while back - here's the URL: https://www.biggerpockets.com/... - probably more different threads as well if you do a search on BP. Best of luck to you and hope you have a great 2021!
Happy new year to you too! I'm sure 2021 will be better than 2020!
Thanks for the link to the other thread. It's exactly the sort of information I need.
I was looking at incorporation in Canada, and I saw that each province has its own rules. So I definitely need to do a lot of research
@Vin Gupta we also have a reputation for heavy taxation, and our markets are extremely competitive as well. Just make sure you do your due diligence before investing here. Good luck!
The book is all that great actually. And no offence, but it’s probably... $20 Pounds equivalent? Even if it’s the worst thing you ever buy,.. it’s $20 this is a no brainer.
Read the book, then read 97 Tip and Real Estate Cycle by him as well. They’re likely $10 on kindle..
I will check out Don Campbell's books. Thx for the recommendation.
Hi Sunil. I would consider Quebec. I understand that some investors stay away, because of the French speaking. I also read that yields are higher there
I will check out Don Campbell's books. Thx for the recommendation.
Hi Sunil. I would consider Quebec. I understand that some investors stay away, because of the French speaking. I also read that yields are higher there
You should consider Ontario. Market is hot outside Toronto area and 1-3 hours out
I will check out Don Campbell's books. Thx for the recommendation.
Hi Sunil. I would consider Quebec. I understand that some investors stay away, because of the French speaking. I also read that yields are higher there
You should consider Ontario. Market is hot outside Toronto area and 1-3 hours out
I've been binge reading the BP forums! The content is great, and most of the people are really helpful.
The majority of investors here are involved in Ontario. Hamilton, Windsor, London, Halifax etc. look to be flooded with investors. But I'm not a fan of rent controls!
There's also a non-residents speculation tax in the Toronto and Golden Horseshoe area. So I need to be careful of that too. It's a 15% tax on the purchase price.
If you aren't tied to a province, you will want to look around.
Parts of BC and ON (not sure about QC) have taxes on foreign owners when they purchase a home-the speculation tax as they call it in BC is a good chunk of money. In addition some provinces (I'm most familiar with BC and AB), have a property purchase tax that anyone buying a home pays (BC is one). These add up really quickly, so I'd start by looking at a few provinces to see where you want to purchase and then narrow it down to a location. Also look at property taxes, again these vary by area. AB is higher than BC when I compare houses of similar values (based on assessments-$2300/yr vs $3400/yr).
Within each province (just like the UK) you have variation in the markets. Look at vacancy rates and how the market is doing overall. Some areas are dependent on one or two industries which is great when they are doing well, but horrible when the market crashes.
Being that you have zero ties to any province here, I would suggest you run some numbers on income to price ratios. I’ve seen first hand western prairies earning $3,600-$4,000/ month on noticeably less than $400,000 purchase price. To earn that income in some other provinces you’ll be spending $60-$100k more. That said, down east (currently) you’ll top even that with the right place. Just be aware that often hype is literally just that, and if your target is long term buy and hold you can expect the hype to wear off pretty much anywhere over a 20 year hold. The hot places today aren’t often the hot places a decade from now. Downtown gta condos would be a good example of this...
I will check out Don Campbell's books. Thx for the recommendation.
Hi Sunil. I would consider Quebec. I understand that some investors stay away, because of the French speaking. I also read that yields are higher there
You should consider Ontario. Market is hot outside Toronto area and 1-3 hours out
I've been binge reading the BP forums! The content is great, and most of the people are really helpful.
The majority of investors here are involved in Ontario. Hamilton, Windsor, London, Halifax etc. look to be flooded with investors. But I'm not a fan of rent controls!
There's also a non-residents speculation tax in the Toronto and Golden Horseshoe area. So I need to be careful of that too. It's a 15% tax on the purchase price.
Understood but keep in mind this is only subject to 1-6 unit residential. Any commercial and multifamily over 6 units units are not subject to this tax.. So maybe smaller players are ruled out but bigger ballers are in the game..
I will check out Don Campbell's books. Thx for the recommendation.
Hi Sunil. I would consider Quebec. I understand that some investors stay away, because of the French speaking. I also read that yields are higher there
Hi Vin
The Quebec market has been traditionally undervalued due to separation issues. Although these political issues exist in the background, they are not so evident these days and the market has picked up.
let me know if you want to chat about the Quebec market
I read "Real Estate Investing in Canada: Creating Wealth with the ACRE System" by Don Campbell. There's some useful information in there, but there's a lot of sales pitching for his ACRE Program!
Is it worthwhile for me to read Don Campbell's other books?
I've got a flight booked to Toronto in September. I'm hoping to visit BC and AB as well, during the trip. But it's obviously dependent upon the travel situation. Are people still doing deals right now?
@Vin Gupta what information are you looking for? There are lots of books that are aimed at the Canadian landscape and all focus on the basics of investing.
Right now I'm reading "Legal, Tax and Accounting Strategies for the Canadian Real Estate Investor."
I'm trying to understand the offer process. It sounds like you have to make a detailed offer to the vendor, and immediately post a deposit. I'm trying to figure out the following:
Who drafts your offer? Do you get a lawyer to do it for you? Do you have a template that you re-use?
How do you protect your deposit? What it you need to pull out?