Investment Property in North East British Columbia

[William Summer]

This an investment deal happening in northern Canada. I am trying to verify the cash flow numbers that the property developer has given me. It is an a small city called Fort St. John with a natural gas resource based economy in the middle of a downturn. I am pretty new to real estate and trying to get a second opinion from someone with more experience. How does one confirm 27.8% ROI? as stated by Western Canadian Properties Group. 

[Al Pereira]

Be very careful. Buying this unit based on projections is foolhardy and many of these numbers don't pass my "smell" test at all. Ask them how they're going to guarantee that the property can be managed for $50 a month? Then ask them how they can guarantee the property will appreciate by 3%? No experienced landlord is going to budget 1% for repairs and maintenance. This is overall, a very poor return for a Northern BC rental.

Just my 2 cents as a 20+ year rental investor based out of Kamloops. I invest in Northern BC as well.