All Forum Posts by: Luc Boiron

You can even put in multiple offers on the same property at the same time! This works when you want to give the seller options balancing between price and terms.

I second what @JD Martin said. Having the capital available is worth the larger loan.

@Alex Fisher many newbies try to start with wholesaling. It isn't easy, but can be done with a lot less capital. It can be a good way to build up capital to get into flipping or buying long terms holds.

You would learn more about putting deals together, and if you are able to find deals and sell to flippers, you can keep an eye on what they do with it. This will help teach you what to do once you get leads for you to flip.

Good luck!

@Matt Geerts Even without a title search, a realtor can get you the history of transfers from the land registry.

Also, the city knows the properties for sale. If you talk to a planner for the city, or the person in charge of the tax sale, they tend to know if there are any environmental concerns and in my experience, are very useful resources to find out the history of the property. I don't mean that they know the details of every property, but if environmental concerns have come up in the past, it is likely they have heard about it.

Unless the loan agreement specifies that you can only use the money for certain purposes, yes, you can use the LOC as private money.

 I'm sure Roy will have some great stuff to add, but I would start by buying it under a corporation. Of course, this is after your due diligence, but if you buy it under a corp and discover something horrible, you can just walk away and lose whatever you put in, without being responsible for cleaning up the property or other additional costs.

@Roy N. You're right. I haven't looked at that either. I wasn't even thinking of municipal tax sales as a source of properties. I wonder if there are good deals to be had? I'd love to hear about the experience of buying tax sales in Canada if anyone has been through one.

@Ronan M. Makes a good point, it could be just as important or more to establish a good relationship with a hard money lender than a financial one with family.

@Simon Lloyd I'll definitely need to take a look. Municipal tax sales are likely not that common, but I haven't heard much about them.

Thanks for the info!

Often, those who bring in the money bring 100%, and get 50% of the profits. Since it's your first, they're taking more risk, so it would make sense to give them a bit more. That being said, you will be making a commission on the purchase. If you also charge the property a commission on the sale (and not split that with the family member), it make make it more worth your while.

I would be more willing to take the hard money and keep more of the profits. But this is more risk. Also, having them invest with you now might start a good relationship, where they could continue investing with you. This could be useful in the future.

Good luck!