All Forum Posts by: Eric Delcol

Hi Chris,

Thanks for this post.

We are also deciding on a new market and your csv file helped us narrow down the list. Some of the areas you came up with were the same as ours, however, I think we have different criteria and that's why they weren't all the same.

Did you end up choosing one of the ones you listed?

Look at Jacksonville, KC or Indianapolis. There are plenty of turn key providers here on BP and people who've bought through them for those cities.

Originally posted by @Joe W.:

The logic behind going w/ the 4plex out of the gate is that I can use FHA financing and only put 3.5% down. FHA requires owner occupancy for 1 year so I would be living there.

Hey Joe, that's a big game changer.  In that case I'd go with the 4plex or even a duplex.  

Hi Joe, Is this your first property? I wouldn't want to discourage you from your goals but if you're just starting out getting a SFH or a duplex will get give you the experience you need with exposing you to less risk than managing a 4plex. You bring up several good points - yes prices have risen in the Phoenix metro. However you can still find deals out there. Do you plan on taking the equity out of the property and refinancing? If no, then don't concern yourself too much about value appreciation / depreciation. You said it yourself - as long as it stays cashflow positive you're good. Multi families are mostly valued on the rent they bring in anyways so as long as your rent values remain in tact and your vacancies are kept at a minimum you will see the value increase.

Hi Lisa, What area do you service your property management?

Hey Lindsay, we mostly do buy and hold's in the West valley.  Flips would be better suited a bit further east.

"are there any resources you could point me towards that would help give me an idea of what kind of additional expenses, taxations, or other considerations I need to take into account if I end up going that route?"

Hey Jordan, 

A cross-border accountant is a must.  Depending on your situation they'll guide you as to how to structure ownership.  Some folks keep property in their own name, others setup entities, trusts, etc.  It all depends on your situation and what state you're investing in.

Everyone and their brother will tell you to create a Nevada or Delaware LLC - no matter what your situation is you (most likely) do not want to go this route.

Other than that most things you'll encounter are the same.  Financing may be tricky but there are ways for Canadians to finance US property.  

Feel free to PM me if you have any detailed questions.

Hey Jordan, You are right that the US market has more opportunity than Canada. However, to echo some replies, there are a lot of rough areas that are cheap. If you look at cities that are growing, such as Jacksonville, Nashville, Tampa, Dallas, and our favourite - Phoenix you will find great deals in C/B areas that have great cashflow and will also appreciate. Expect to pay more than 39k (also remember to include the exchange of 30%) but a lot less than $300k like that property in Peterborough you mentioned.

Hey Ravi, Welcome. If you're staring out you'll want to focus your area. Pick one, master it, and if you feel a need to expand later on then go for it. Since you live in Tempe that's a great market to start with.

Hi Everyone,

This post is a fun idea generator as to what everyone's favorite reno tips to add value, increase esthetic appeal, and make their investment 'pop'.  We all know of new paint and new floors, but sometimes small details go a long way.

Some examples are:

• Outstanding welcoming front door - nothing will increase your curb appeal more than a fantastic solid front door.
• Brand new metal mailbox - a dented and scratched mailbox screams 'run down' a new box is inexpensive and a metal one will shine in the sunlight and make the property glimmer.
• New outlet covers - they cost pennies and can update the feel of a room.
• Updated taps in all baths - we all can pin point baths from the 70's or 80's simply by the tap designs.  A nice brushed metal tap brings the bathroom into the modern era.