All Forum Posts by: Moe Ahmed

It's easy to cherry pick examples

Personally I'm sticking to the GTA If my deals are farther than an hour away it just becomes too difficult to manage, especially when you have a couple projects on the go It's expensive but i make the same money on one project in the GTA then some would make on 20 properties in a cheaper city. The only difference being that managing 20 different projects is a full time job whereas managing one close to where I live is a couple hours every month if that much

That strategy is best utilized in the US where tenants don't have that much protection. In Canada and especially Ontario, tenants have more protections than the landlord. Meaning if you get the wrong tenant, and eventually you always will get 1 bad tenant for every property in the course that you own it, you're going to have head aches. I prefer to only rent out commercial properties to commercial tenants. There is no protection whatsoever for commercial tenancies and is a more fair game if you know what you're doing. For residential properties, rehab and flip is the way to go I'm interested to know what you spent 200k on in your example for renovations? With that kind of money you could add an addition or even a story to a house along with a complete interior guy and Reno

Personally I wouldn't convert your primary residence into a rental just because it's a good rental area and only to move into a duplex unit! The idea is to improve your lifestyle for you and your family, otherwise what's the point! Also Id hate to live in a duplex with a neighbouring tenant. I'd avoid it at all costs if possible. Living beside a tenant just gives them too much access to you and your family and would just be a source of head ache in the future with the wrong tenant Why don't you just keep your primary residence for your family and buy a duplex which you rent out??

The sooner you start the better. You could always sell your properties and then buy the multi unit down the road. That way you'll get the appreciation and cash follow in the mean while Good luck

That's being too strict. Tenants are legally allowed quiet enjoyment of the property. I could see making this an issue if they are bad tenants but if they pay on time and every time then allow the swing set. The fact that they even asked you makes me think they're good tenants.. Also as far as I know insurance providers could care less about a swing set. It's no roller coaster.

You never want to force a tenant to stay that wants to go, the risk is too much (they could damage the property in revenge). If what you said about this tenant is true I wouldn't force her anyways. Sounds like she won't be able to afford to pay you. I'd compromise and reason. Tell her you will start looking for other tenants and start booking showings. If any new tenant comes in and takes her place than it's a win I would charge her penalty though for breaking the lease. At least one month rent is fair for a 1 year lease

If that's the case then I'd sell on the open market for top dollar, after making all required improvements that would maximize your properties potential if you can  (thus your profit). I'd then take that money and dump it into a mortgage fund like a MIC that I mentioned above. You'll earn more than 8% and your money will be pooled together with others and lent to hundreds of borrowers as 1st mortgages . If someone defaults it would be a tiny blimp as opposed to if you gave this guy a VTB and he defaulted you could stand to lose a lot more . It's not very hard to invest in a MIC or a mortgage fund. Just google the biggest in your city/state and give them a call. 

This would only be my advice if you really needed some kind of cash flow 

But if you could wait a little bit and go for a bigger payday than I'd dump the money Into a flip where you stand to make much much more 

Compared to these the VTB mortgage idea isn't really that great!!

If I were you I wouldn't worry about this old man taking you to court for denying service when he's clearly being inappropriate. Can you seriously imagine him arguing in court over this? The judge would throw it out. This old man is clearly not "just being silly." If he can ride a Harley across town and does not have any apparent mental problems, we are left to conclude that he's willfully being inappropriate. Borderline sexual harassment of your sister if you consider the casual calls he makes to her in all honesty. I would demand that he must be clothed or service will be denied. Also I'd advise your sister not to take any more casual calls from him. What's to be gained? It's just not professional

Asking for 20% down is a good start. You should still vet their credit and financials nonetheless. You can hire a 3rd party company to do that if it's beyond your expertise. They would give you a report about the buyer's financial strength for what I imagine to be maybe $100 or $200.  Probably less , Canada is more expensive than the US.. 

But with that said: is it difficult to sell a home in your area? If you sold your home on the market would you get less money than what your getting from these people? These are important questions to determine whether it's worth your while to give a essentially vendor take back mortgage.