New Investor in Winnipeg

[Thien Tran]

Hello BP community,

My name is Thien (pronounced TN). I am a new real estate investor. In Feb 2016 my wife and I moved from Toronto Ontario to Hamilton Ontario and purchase our first house. In April 2017 we purchase our first triplex rental property down the street. And working with a local property management company we were able to rehab the property and command a much higher rent. This property currently has a NOI of $378, 5% cash on cash return, and meets 0.7% of the one percent rule.

At the end of November 2017 we are closing on a large century home in Hamilton that we plan to duplex. The anticipated NOI is $313 and cash on cash return for this property is about 3%.

In December our family will be moving to Cross Lake Manitoba for a new job opportunity. This job will significantly increase my income and allow me to live rent free. We plan to rent out our home which will have a NOI of $248 and gives a 2.5% cash on cash return. Our NOI accounts for 4% vaccancy 8% property management fee and $100/monthly Cap Ex. These costs are built into each NOI analysis. Currently all three properties should require no major expenditure for the next 15 years as all the major tickets items are brand new.

While our SFH has low cash flow and cash on cash return, its incredible appreciation has allowed us to tap into a sizable HELOC for further investing...

While living in Cross Lake Manitoba I hope to continue investing in Hamilton if the numbers are right. But finding good deals in Hamilton is getting harder and harder as speculation has driven prices through the roof. 

My eyes have turned toward Winnipeg Manitoba. I am looking to connect with talented contractors, property managers and whole salers. My approach to investing is a long term buy and hold.  I hope to achieve lean FIRE in the next five years.

In Cross Lake I will be working as an Outpost Nurse. What I bring to real estate investing is the ability to secure financing and access to a network of high valued individual. These friends of mine are also interested in investing in real estate if the numbers are right.  This usually means properties that meets the one percent rule; in a good neighborhood or an up and coming area with an anticipated 7% annual appreciation; and a cash on cash return of 8% or greater.  

I am in Winnipeg at the Radisson all next week; if are you a local investor in Winnipeg that may have the right deals or are interested in possible JV feel free to drop me a message.

Thien