All Forum Posts by: Maksu Ize

This forum has given me a lot of things to think about, so I'm looking to share back some of my success.

Purchased my third unit about 6 months ago. SFH in an A area. Out of province purchase. Regina - Canada. MLS.

Purchase of 142k.

2bed-1bath.

1940s build.

Further details:

Spent a few months looking up areas, rents, house prices online. Invested 1000$ in myself for flights, stay, car rental to go and visit the city. Met up with the realtor and viewed a bunch of properties. Had a good feel for the city.

Ended up buying a house that fell through with the previous buyer, price was reduced by about 20k by the time I closed.

House repairs:

Flew out again with a friend for 3 days, did minor repairs and upgrades.

-Stick on kitchen backsplash.

-Coated the entrance steps and basement for a fresh look.

-Patio entrance framing rebuilt, was rotten.

-Painted multiple rooms and touched up all holes.

-New lighting throughout, internal and external.

-New bathroom vanity/sink, shower head, mirror.

-New door handles/locks.

-Water main rebuilt as the house had poor pressure due to the ID of the pipe being 60% clogged.

Totals: about 60hrs in labour and 5k in materials.

-Other work:

Basement was braced by others, 5k.

Unit rented 1 month later for 1650 + tenant pays all utilities.

Property manager had to do some repairs and changes to the property as per their standards, and extra 2k. In the future I will ask to meet them onsite so they can show me what needs to be done so I can DIY. First time using a property manager.

Costs breakdown:

Purchase 154k including repairs. 20% down.

Rent 1600$/mo.

Manager 160/mo

Taxes 140/mo

Insurance 90/mo

Capex at 130/mo

Vacancy at 160/mo

Maintenance at 160/mo

Mortgage locked at 2.4% for the next 3 years, 23 year term. 550/mo

Unseen expenses 100/mo

Cashflow is about 100/mo long term. We will see how this goes after a few years.

I live in a market where cashflow does not exist, appreciation only, so this is a change for me to have a positive cashflow property.

It was a massive learning experience buying out of province.

Next up: personally waiting on the further dip in prices to pick up additional units, hopefully a 4plex or such.

If history shows us anything, it's that the 10-2 bond yield is predicting a thick dip in prices, in the next 4-12 months.

Minus the usual drug problems, strippers make more money than 75% of the population. They don't have a problem paying rent.

Never thought about the question OP asked.

It's funny because it makes me feel instantly better, that my doors are "mine" and not shared with 1-100 other people.

The bank has the final laugh although.

Reading future posts on this forum, with people boasting how they bought 20 units last month will be taken with a heavy dose of salt.

Would be nice to see where everyone in this thread ends up in 5-10 years.

Vancouver / Regina investor here

I tried this in a tier A major city, most realtors are in a cult.

If you are selling without their cult, they essentially tell their buyers off. And I was offering over their standard commission.

I had about 6 showings, one low-ball offer.

I could be wrong and my unit was simply overpriced, even being listed under the recent sold within comparison

He has had an easy ride for 6 years, time for him to hit reality.

@Sam Bhattacharya

That's what it looks like to me. 400$/door flow or it's a no

Wait.

Until rates are on a stable decrease

I bought a house similar to yours a few months ago.

Cracks in the foundation, with minor caving. I spent 5000$ to get 16 braces installed.

The sewer line has cracks in it, and while annual cleaning for 300$ has worked for the last owners, a permanent solution is a 4-6000$ replacement of the line. I'm holding off on this one

You get what you pay for, and the reward may very well be worth it

Hold that HELOC untill rates peak. Then buy