Canadian interested in USA RE investing
Most Popular Reply
Ty CouttsBusiness Member
Lender · Denver, CO · Member since 2022 · 467 posts · 230 votesInvesting in real estate in the U.S., particularly in neighboring states like New York (Buffalo) or Michigan (Detroit), can be a promising venture for Canadian investors.
Evaluating Markets:
Buffalo, New York:
Pros: Buffalo has seen revitalization efforts, making it attractive for investment. It has a diversified economy with sectors like healthcare, education, and manufacturing. Property prices are relatively lower compared to major Canadian cities.
Cons: Certain neighborhoods may have higher crime rates or lower demand for rentals. Economic fluctuations can impact property values.
Detroit, Michigan:
Pros: Detroit offers low property prices and potential for high returns on investment. There are opportunities for fixer-uppers and BRRR strategies due to abundant distressed properties.
Cons: Some areas may still struggle with high crime rates and vacant properties. Local economic conditions can vary by neighborhood.
Key Considerations:
Local Economy: Research the economic stability and diversification of each city. Stronger economies generally support higher rental demand and property appreciation.
Neighborhood Analysis:
Safety and Crime Rates: Avoid neighborhoods with high crime rates, as these can affect property values and rental income.
Property Demand: Look for areas with growing populations or proximity to employment centers to ensure consistent rental demand.
Property Condition: For fix and flips or BRRR, assess the condition of properties carefully. Consider renovation costs and potential for adding value through improvements.
Resources and Tools:
Local Real Estate Networks: Connect with local real estate agents, property managers, and investors for insights into specific neighborhoods and market conditions.
Online Tools: Use real estate websites and platforms to analyze property prices, rental yields, and neighborhood demographics.
Tips for Canadian Investors:
Tax Implications: Understand tax implications for Canadian investors owning U.S. property, including withholding taxes on rental income and capital gains.
Legal and Financial Advice: Consult with a cross-border tax specialist and real estate attorney to navigate legal and financial aspects of investing in the U.S.
If you would like to discuss further/need financing please feel free to reach out. Hope this helped! Hit me up with any more questions if you like.
Ty Coutts - Aslan Home Lending 544 Reviews
24 Replies
- 2yTy CouttsBusiness MemberLender · Denver, CO · Member since 2022 · 467 posts · 230 votes
Investing in real estate in the U.S., particularly in neighboring states like New York (Buffalo) or Michigan (Detroit), can be a promising venture for Canadian investors.
Evaluating Markets:
Buffalo, New York:
Pros: Buffalo has seen revitalization efforts, making it attractive for investment. It has a diversified economy with sectors like healthcare, education, and manufacturing. Property prices are relatively lower compared to major Canadian cities.
Cons: Certain neighborhoods may have higher crime rates or lower demand for rentals. Economic fluctuations can impact property values.
Detroit, Michigan:
Pros: Detroit offers low property prices and potential for high returns on investment. There are opportunities for fixer-uppers and BRRR strategies due to abundant distressed properties.
Cons: Some areas may still struggle with high crime rates and vacant properties. Local economic conditions can vary by neighborhood.
Key Considerations:
Local Economy: Research the economic stability and diversification of each city. Stronger economies generally support higher rental demand and property appreciation.
Neighborhood Analysis:
Safety and Crime Rates: Avoid neighborhoods with high crime rates, as these can affect property values and rental income.
Property Demand: Look for areas with growing populations or proximity to employment centers to ensure consistent rental demand.
Property Condition: For fix and flips or BRRR, assess the condition of properties carefully. Consider renovation costs and potential for adding value through improvements.
Resources and Tools:
Local Real Estate Networks: Connect with local real estate agents, property managers, and investors for insights into specific neighborhoods and market conditions.
Online Tools: Use real estate websites and platforms to analyze property prices, rental yields, and neighborhood demographics.
Tips for Canadian Investors:
Tax Implications: Understand tax implications for Canadian investors owning U.S. property, including withholding taxes on rental income and capital gains.
Legal and Financial Advice: Consult with a cross-border tax specialist and real estate attorney to navigate legal and financial aspects of investing in the U.S.
If you would like to discuss further/need financing please feel free to reach out. Hope this helped! Hit me up with any more questions if you like.
Ty Coutts - Aslan Home Lending 544 Reviews - 2yEdna N.Member since 2024 · 11 posts · 3 votesOP
Hello, thank you for your detailed response. I appreciate it.
I can see that I still have a lot of work and due diligence to do.
I notices that you identify as a lender. Are you a private lender? Do you do residential and fix and flip?
I'll be touching base with you for sure as this is also one of the things I am researching.
- 2yDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
@Edna N. we're helping many Candians buy cashflowing rentals here.
Fix & flips are another level more difficult to do, unless you just want to be a private lender.
What Property/Tenant Class are you looking for?
Logical Property Management4.9458 Reviews - 2yEdna N.Member since 2024 · 11 posts · 3 votesOP
Hi Drew, thank you for your response. I'm excited to hear that there are people who can help Canadians. I'm sure I'll need all the help.i can get.
What kind of services do you provide? Are you a realtor? I saw property management.
I'm happy to connect with all different fields. For detroit, I was looking into areas like Bagley, or Boston-Edison Historic District and saw houses for really good prices.
What do.you think of these two areas?
- Investor · Buffalo, NY · Member since 2019 · 160 posts · 112 votes2y
@Edna Ndangam hi and welcome. I am a self-managing investor in Buffalo and frequently mentor newbies or out of area investors. Feel free to reach out at your convenience.
What I cannot emphasize enough is that Buffalo changes block by block and street by street very rapidly, and if you don’t perform your due diligence to understand the neighborhoods, you could find yourself making a very poor investment. You will certainly pay a premium for turnkey, but if your long-term goals are appreciation and stable yet modest growth, it is certainly advisable. I am much more into forced equity and getting into larger projects myself, but I live right here and have built an excellent team around me.
Please reach out if you want to chat.
- West Linn, OR · Member since 2023 · 35 posts · 23 votes2y
Hi Edna. I moved to the US from Canada. I had difficulty with moving enough money here to buy real estate. I also had to pay taxes in both countries. Also, I had no credit score here in the US, so it was difficult to get a loan. Do you know how to get around those challenges? I do know that real estate in Canada is super expensive.
- 2yLinda LabbePro MemberInvestor · North Bay, Ontario · Member since 2015 · 709 posts · 262 votes
Hi
We live in Canada and invest in the US. We have been working there for 5 years and do not pay double taxes its an easy problem to solve if you are structured right.
We invest in the Detroit / toledo areas and would be more then willing to share what we have learnt over the years with anyone who wants to chat.
Biggest secret is to have a great team on the ground to take care of things for you since we are not there most of the time and to know how to run your numbers right
- Investor · San Diego, CA · Member since 2024 · 77 posts · 54 votes2y
Hi Edna and Karen,
I have worked with several Canadian investors helping them buy US real estate.
Edna~ I know you are looking to invest in cities closest to the Canadian border, however, I would encourage you to cast a wider net as you can find some excellent cash-flowing properties throughout the SE USA. Some turnkey operators are offering discounted DSCR loans requiring 30% down. The latest rates and terms I have seen are for rates in the mid 6% to 7% range. DM me for more details.
https://www.biggerpockets.com/users/karenc243
Karen~ I wanted to share the same info with you. If you are looking for a loan product without having to use your personal credit, then a DSCR loan option may be for you. Feel free to DM me and I can give you more info.
Wishing you ladies much success with your US investing journey.
Cheers! - 2yEdna N.Member since 2024 · 11 posts · 3 votesOP
Quote from @Timothy Smith:
@Edna Ndangam hi and welcome. I am a self-managing investor in Buffalo and frequently mentor newbies or out of area investors. Feel free to reach out at your convenience.
What I cannot emphasize enough is that Buffalo changes block by block and street by street very rapidly, and if you don’t perform your due diligence to understand the neighborhoods, you could find yourself making a very poor investment. You will certainly pay a premium for turnkey, but if your long-term goals are appreciation and stable yet modest growth, it is certainly advisable. I am much more into forced equity and getting into larger projects myself, but I live right here and have built an excellent team around me.
Please reach out if you want to chat.
Hi Timothy, thank you. I'm thrilled to read from an investor based in Buffalo and familiar with the Buffalo market. Thank you for the vital information... that Buffalo changes block by block and street by street.
These are the kind of information that helps with my research and analysis.
Thank you. I'll connect with you.
- 2yEdna N.Member since 2024 · 11 posts · 3 votesOPHi Karen,
Quote from @Karen Chow:
Hi Edna. I moved to the US from Canada. I had difficulty with moving enough money here to buy real estate. I also had to pay taxes in both countries. Also, I had no credit score here in the US, so it was difficult to get a loan. Do you know how to get around those challenges? I do know that real estate in Canada is super expensive.
Thank you for highlighting these challenges. I haven't even thought of how to move money across. I simply thought when I'm ready, I'll open a bank account and transfer it over. Lol.
To answer your question, no...I don't know how to get around any of these challenges.
I only hope that there are Canadians here on BP who have done this before and who will share their knowledge for you and I to learn from.them. - 2yEdna N.Member since 2024 · 11 posts · 3 votesOPWow Linda. 👌🏾 👏🏿 👏🏿 👏🏿
Quote from @Linda Labbe:
Hi
We live in Canada and invest in the US. We have been working there for 5 years and do not pay double taxes its an easy problem to solve if you are structured right.
We invest in the Detroit / toledo areas and would be more then willing to share what we have learnt over the years with anyone who wants to chat.
Biggest secret is to have a great team on the ground to take care of things for you since we are not there most of the time and to know how to run your numbers right
This is what I'm talking about. A fellow Canadian who has done it before. Thank you much for your post. On point! I'll be in touch.
@ Karen.. here is someone we could learn from. - 2yLinda LabbePro MemberInvestor · North Bay, Ontario · Member since 2015 · 709 posts · 262 votes
Quote from @Edna N.:
Wow Linda. 👌🏾 👏🏿 👏🏿 👏🏿Quote from @Linda Labbe:
Hi
We live in Canada and invest in the US. We have been working there for 5 years and do not pay double taxes its an easy problem to solve if you are structured right.
We invest in the Detroit / toledo areas and would be more then willing to share what we have learnt over the years with anyone who wants to chat.
Biggest secret is to have a great team on the ground to take care of things for you since we are not there most of the time and to know how to run your numbers right
This is what I'm talking about. A fellow Canadian who has done it before. Thank you much for your post. On point! I'll be in touch.
@ Karen.. here is someone we could learn from.my contact info is here call any time I love chatting and sharing .
- 2yEdna N.Member since 2024 · 11 posts · 3 votesOP
Quote from @Maureen McCann:
Hi Edna and Karen,
I have worked with several Canadian investors helping them buy US real estate.
Edna~ I know you are looking to invest in cities closest to the Canadian border, however, I would encourage you to cast a wider net as you can find some excellent cash-flowing properties throughout the SE USA. Some turnkey operators are offering discounted DSCR loans requiring 30% down. The latest rates and terms I have seen are for rates in the mid 6% to 7% range. DM me for more details.
https://www.biggerpockets.com/users/karenc243
Karen~ I wanted to share the same info with you. If you are looking for a loan product without having to use your personal credit, then a DSCR loan option may be for you. Feel free to DM me and I can give you more info.
Wishing you ladies much success with your US investing journey.
Cheers!Hi Maureen! ..another post with real valuable information. 👏🏿 👏🏿 👏🏿 Powerful, thank you. I have never heard of DSCR loan. Neither did i know of regions like the SE U.S.A. Many thanks for this information.
I'll connect with you for more information. I hope you don't mind.
Thank you.
- 2yEdna N.Member since 2024 · 11 posts · 3 votesOPI will do that. Seeung as it's 01.30 a.m, maybe we can chat tomorrow.. I mean later in the morning or afternoon.
Quote from @Linda Labbe:
Quote from @Edna N.:
Wow Linda. 👌🏾 👏🏿 👏🏿 👏🏿Quote from @Linda Labbe:
Hi
We live in Canada and invest in the US. We have been working there for 5 years and do not pay double taxes its an easy problem to solve if you are structured right.
We invest in the Detroit / toledo areas and would be more then willing to share what we have learnt over the years with anyone who wants to chat.
Biggest secret is to have a great team on the ground to take care of things for you since we are not there most of the time and to know how to run your numbers right
This is what I'm talking about. A fellow Canadian who has done it before. Thank you much for your post. On point! I'll be in touch.
@ Karen.. here is someone we could learn from.my contact info is here call any time I love chatting and sharing .
- 2yEdna N.Member since 2024 · 11 posts · 3 votesOPHi Maureen,
Quote from @Edna N.:
Quote from @Maureen McCann:
Hi Edna and Karen,
I have worked with several Canadian investors helping them buy US real estate.
Edna~ I know you are looking to invest in cities closest to the Canadian border, however, I would encourage you to cast a wider net as you can find some excellent cash-flowing properties throughout the SE USA. Some turnkey operators are offering discounted DSCR loans requiring 30% down. The latest rates and terms I have seen are for rates in the mid 6% to 7% range. DM me for more details.
https://www.biggerpockets.com/users/karenc243
Karen~ I wanted to share the same info with you. If you are looking for a loan product without having to use your personal credit, then a DSCR loan option may be for you. Feel free to DM me and I can give you more info.
Wishing you ladies much success with your US investing journey.
Cheers!Hi Maureen! ..another post with real valuable information. 👏🏿 👏🏿 👏🏿 Powerful, thank you. I have never heard of DSCR loan. Neither did i know of regions like the SE U.S.A. Many thanks for this information.
I'll connect with you for more information. I hope you don't mind.
Thank you.
Thank you for the vote! Thank you.
- 2yDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
@Edna N. PMCs in Michigan are required to have a RE broker's license.
So, we are agents in addition to offering PM services, but only work with investors.
Bagley is a good area, but getting pricey.
Boston Edison is prohibitively expensive for rentals - you won't get enough rent vs acquisition price.
*it is a good neighborhood to flip in though.On our website we rank 104/183 Detroit Neighborhoods and cities in the Metro Detroit area.
DM us if interested in further discussions:)
Logical Property Management4.9458 Reviews - Banker · Henderson, NV · Member since 2023 · 316 posts · 74 votes2y
Hi Edna,
Welcome to the community-
There are a lot of good professionals and resources here on bigger pockets to learn and grow.
Our group works with many Canadian buyers here in the states. The two markets you mentioned are in demand now due to location and affordable price points.
Lenders that offer loans for foreign national buyers have access to financing up to 80% in some instances.
Best of luck getting started!
- 2yLinda LabbePro MemberInvestor · North Bay, Ontario · Member since 2015 · 709 posts · 262 votesAm In Ontario and will be available after 400 today and we have lenders to that can work with you I can explain what is available and how it works I an not a lender just have been using them
Quote from @Edna N.:
Quote from @Maureen McCann:
Hi Edna and Karen,
I have worked with several Canadian investors helping them buy US real estate.
Edna~ I know you are looking to invest in cities closest to the Canadian border, however, I would encourage you to cast a wider net as you can find some excellent cash-flowing properties throughout the SE USA. Some turnkey operators are offering discounted DSCR loans requiring 30% down. The latest rates and terms I have seen are for rates in the mid 6% to 7% range. DM me for more details.
https://www.biggerpockets.com/users/karenc243
Karen~ I wanted to share the same info with you. If you are looking for a loan product without having to use your personal credit, then a DSCR loan option may be for you. Feel free to DM me and I can give you more info.
Wishing you ladies much success with your US investing journey.
Cheers!Hi Maureen! ..another post with real valuable information. 👏🏿 👏🏿 👏🏿 Powerful, thank you. I have never heard of DSCR loan. Neither did i know of regions like the SE U.S.A. Many thanks for this information.
I'll connect with you for more information. I hope you don't mind.
Thank you.
- Member since 2024 · 2 posts · 0 votes2y
Hi Edna,
Sent you a connection request. I'd be willing to entertain partnerships here in the US. Perhaps we can chat more to see if we can be the right fit for each other.
- 2yEdna N.Member since 2024 · 11 posts · 3 votesOP
Quote from @Account Closed:
Hi Edna,
Sent you a connection request. I'd be willing to entertain partnerships here in the US. Perhaps we can chat more to see if we can be the right fit for each other.
Hi Joshua, Absolutely we can chat. Let's connect and see.
- Real Estate Consultant · Cleveland · Member since 2020 · 6k+ posts · 3k+ votes2y
Quote from @Edna N.:
Hello investors,
I am Canadian and our housing market here in Ontario is so unaffordable the numbers mostly don't make sense as rentals. Therefore I'm now looking to start investing in RE in the U.S - prefer neighboring states like New York (Buffalo?) Or Michigan (Detroit?).
I've done some research, listened to hundreds podcasts and watched hundreds youtube videos.im trying to evaluate which is a good market (location) to invest.
I'm interested in fix and flips or BRRRs.
if you're not interested in partnership but are familiar with these cities, then you have valuable information to guide me in selecting for example areas to avoid when purchasing investment property. I look forward to hearing from you if that's the case.
Many thanks in advance.
Do what many others from there have done, Ohio market,
STOP WATCHING videos, total waste of time. 100s enough, take action :)
- Member since 2024 · 2 posts · 0 votes2y
Quote from @Edna N.:
Quote from @Account Closed:
Hi Edna,
Sent you a connection request. I'd be willing to entertain partnerships here in the US. Perhaps we can chat more to see if we can be the right fit for each other.
Hi Joshua, Absolutely we can chat. Let's connect and see.
Best way to get a hold of you?
- Investor · Toronto, Canada · Member since 2023 · 13 posts · 9 votes2y
Hi! I'm a fellow Ontarian and closed on my first investment property in Buffalo a few months ago. The learning curve has been step but I have lots of tips for someone trying to do something similar! Feel free to connect.
- 2yEdna N.Member since 2024 · 11 posts · 3 votesOPStephanie! I'm excited to hear from a fellow Ontarian who just recently closed on a property in Buffalo.
Quote from @Stephanie Bell:
Hi! I'm a fellow Ontarian and closed on my first investment property in Buffalo a few months ago. The learning curve has been step but I have lots of tips for someone trying to do something similar! Feel free to connect.
I'll love to connect with you .
Is there a good.time to talk?
Thank you.
Edna
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