Anyone Investing In Winnipeg?

[Brian Dean]

Hi there,

I have a couple investment properties in Windsor Ontario, but am now starting to see where else to potentially invest.  I'm looking into Winnipeg at the moment, and was wondering if anyone here currently invests there.  Would love to hear your thoughts on the city as a whole, areas you like/dislike, any things to look out for as someone who hasn't invested in this province before, as well as recommendations of realtors and property managers.

Cheers,

Brian

[Yousef Reda]

@Brian Dean

I invest in Ontario and I live in Winnipeg. There is opportunities here for small appreciation around 3-4% per year. The downfall I see is the landlord friendliness of the enviornment. I was looking at buying a 14 unit building here and wanted to renovate it using the regular BRRRR strategy. The issue here is in order to increase rents at reasonable rates to cashflow well you need to not just do cosmetic changes they require you to do extensive plumbing and electrical to be able to increase the rents. I spoke to local owners who have been audited for increasing rents without there permission and they had to pay back the difference! (This is what scared me a lot) So in terms of BRRRing here you will need to find burnt down buildings to be able to make it work to bypass the rent control requirements. However if your strategy isnt this and your looking to flip there is good opportunities here for flipping but I wont comment as I dont do this myself. There are a bunch of investors from Calgary who are investing here as they find it more fertile grounds then there local market (So they tell me this)

So the take home point is if you want to BRRRR in Winnipeg then you will find amazing deals with buildings that are burnt/plumbing/electrical work needed so you can get exempt from rent control and obtain the cash flow you want. If you dont have big pockets for this type then doing less extensive renovations is not as efficient numbers wise as you will see in Ontario to cashflow well as you are limited by stricter rent control and there is less degree of appreciation (Use the Biggerpocket calculators and you can see how massive the difference is with differences in appreciation over time even by.a few % points). In terms of development and flipping my friend does a lot of this and does good in the million dollar range but he uses OPM for these larger projects.