NEW TO REI GTA AREA

[Hardik Solanki]

Hiii Everyone 

I am 25 year old Working  Professional and earning Decent income close to 100k~110k and my Friend who earns pretty much the same we both are single and we do have some money saved up 120k and we were thinking to invest in Real Estate and create a good portfolio overtime . Our primary area of interest is GTA. So how should we progress I mean what is the best kind of investment in GTA Market right now single family ,condo , duplex??

I was thinking to invest in east end side e.g bowmanville , clarington , Oshawa. Is that good area for future appreciation and any chance of getting positive cash flow with 10~15 % down payment 
anyhelp or guidance will be much appreciated .

Thank you.

[Huong Luu]

@Hardik Solanki, I would suggest you and your friend decide what you want to be doing in 2 yrs, 5 yrs, 10 yrs, etc, and how involved you want to be in RE. You can invest in RE very passively or actively. Part of this is what you want in the end. Depending on your answers to these, that will determine the strategy you pick. I would suggest you guys look into partnership structures as well. It may make sense for both of you to buy your 1st place under your own name to take advantage of the tax benefits while using the 5% primary residence and RRSP FTHB, and HELOC. Once you buy a property, some of these will not be available. Best to talk to an accountant on this.

You also asked about cashflow. Be more specific about what this means to you. $1 is still positive cash flow. Learn to analysis and run your numbers. I would also suggest you focus appreciation on FORCED appreciation rather than future appreciation. Good Luck.