NOOB ALERT: First property and first question

[Ren Agostini]

Hello everyone,

I am new to BP and excited to meet like-minded individuals. I recently bought my first property, a new build, for $400k in Markham, ON (910sq ft townhouse non-freehold condo). I plan on building my real estate wealth this way. The plan thus far is to live there for a year (to take advantage of my First Time Homebuyers credit) and subsequently turn it into a rental property. As I build equity, I plan on taking a second mortgage and continue acquiring units. This first property will close in late 2017 so I have ample time to put down an aggressive down payment. 

My question to you friends is this: do you recommend putting a large down payment (to decrease mortgage payments going to interest) or a moderate down payment (20%) but use the equity to eventually buy a 2nd property? 

[Luc Boiron]

Welcome @Ren Agostini! I live in Toronto, but I'm from the Markham side of Thornhill.

Is closing or occupancy in late 2017, or are they happening at the same time?

I would recommend putting only 20% down on this one, and saving the rest to start investing elsewhere.

Let me know if I can help.

Good luck!