All Forum Posts by: Dan C

How would you describe a neighborhood that you wouldn't consider investing in? I live in a small to medium size Canadian city with a few not so great areas, but have some great deals from disgruntled landlords and/or foreclosures that I would love to take advantage of, but everyone I talk to tells me to stay away from these areas, granted they aren't landlords and really have no idea about the rental business. I'm also guessing the majority of the rentals in these areas are rented to, what the US would call section 8 tenants.

Hello all, I'm very excited to be a part this great board and am very excited to learn as much as I can from all of you!

So, I really want to get involved in REI in my city what I want to do is 1 of 2 options:

1) Start with single family homes buying cash (the single family homes in my area range from 50-80k in the areas I'm looking at). I want to start obviously with one house then 6 months (or so after) refinance, get my money back and begin the process over again. I plan on purchasing at 70% market value and when I finance I'm hoping to pull out all my money as there will be 30% equity left when I do.

2) purchase a 4-8 unit building (they range from $120k-300k in my area in question), purchase at 70% market value, put around 50k down, once the property is stable and profitable refinance around 6 months - 1 year later for the total purchase price as the total purchase price will be at least 70% of market value.

Here are the problems I'm faced with...I'm in my mid 20's, I have started a successful business about 1 year ago that is doing very well, however, I do not have a long history of stable income as stated above. I do have excellent credit, access to 50-100k cash, and a co-signer that has a great income and income history.

So, my questions are, are options 1 and 2 possible within Canada? All the Realtors and mortgage brokers I speak with lead me to believe that it would be, but it's almost like they're unsure and lack creative thinking.

Also, with info of my financial situation I have provided, what are my best options for numbers 1 and 2 in order to obtain financing for options 1 and 2.

I also, have managed 2 rental home for the past 4 years for a family member so option 2 wouldn't be much of a shocker as if they were my properties a building of that size I'm assuming the next step.

Thank you BP! :D