West Coast Canada First Time Investor

[Cole Blezard]

Hello who ever reads this!

I have been listening to Bigger Pockets for a few months now, getting ready for my first investment opportunity on Vancouver Island (west coast Canada). I just graduated university and am looking for a passive income as soon as possible! I know real estate is a lot of work and is filled with unknowns, so I have spent a great deal of time trying to forecast errors and get as much advice as possible before I dive in.

I know you can only do so much of this planning but after listening to a BP podcast and hearing them reference the website discussion I figured I should start posting asap for others in a similar boat to track my progress. BP is primarily U.S. based so getting applicable Canadian advice can be kind of hard.

My first question I would like to bring up to the board is whether a single family or multi family investment is recommended for your first investment?

Any advice will help!

[Clark Kirkpatrick]

Hi Cole!

In my opinion, more units are better (so long as you don't jump in too far over your head. Don't go buy a 100-unit for your first deal). Something between 2 and 4 units is ideal for a first go, I think. That way if you have vacancy, it's not 100% vacancy - if you have a triplex and one tenant moves out, it's no big deal. If you have a single family home and the family moves out, then you're stuck paying all the expenses till you can get it rented again.

I would seriously consider house hacking if I were you. That's what I'm doing now - I'm 26 and I live in a duplex where I rent out the other side. My tenant pays my mortgage, insurance and taxes each month, and I'm always close by if some problem comes up. Being an owner-occupant also has huge benefits for the financing you can get.

Cheers!