All Forum Posts by: Chad Friesen

When we got our duplex we put 5% down and moved into it for a year.  Our mortgage broker told us that we need to intend on living there for 1 year to be able to put 5%.  

It is something I would like to get a lawyers thoughts on as nobody ever seems to be able to give a straight black and white answer.  

We are possibly going to be doing this again in the next couple months.  

I have 20 000 cash to put down on my next rental property.  I have a couple options I am thinking about.  There are some condo's close to me that are selling for around 100 000.  There are a couple for sale in the same complex.  

Assuming that the cash flow numbers are the same what would you do.

Should I buy 1 condo by myself? Should I buy 2 condos split 50 50 with a partner. Or should I buy a $200 000 SFR split 50 50 with a partner.

I know that I need to run the numbers on all of them but in general is there benefits to going in with a partner when all the numbers would be basically the same? 

Hopefully this question isn't worded to terribly. 

Whats your reason for moving away from single family homes. I am currently looking to buy a SFH as my next rental. Here in Grande Prairie I can currently buy a decent SFH for around 250 000. An up down duplex is around 400 000. In the end they both basically cash flow about the same. I think I would like less headaches between tenants.

I also feel that its easier to rent out a SFH as there seems to always be families looking even in down markets.

I do like the fact that you basically get 2 rentals but it is also hard to come up with the 20% down each time for a 400 000 dollar house. 

The compatible people up and down can be tough.  Especially in this market.  We currently have a new tenant moving into the lower unit of our duplex right now.  Our upstairs tenants are amazing and very quiet.  I don't have many concerns about the new tenant being a good tenant but im always worried about making sure both are happy with each other.  

Thanks Sam

I didn't think about the dues required to maintain a license.  

Would there be a benefit to getting a real estate licence just to have as a tool when looking at properties.  Am I able to get my licence knowing full well that I am not going to actively become a realtor?  I would like the benefit of being able to get more information on properties without wasting a realtors time weeding through a ton of properties.  

Is this a common thing to do?

I find that a lot of amazing renters are passed on by other landlords because of pets.  At first like many of you we didn't rent to pet owners.  Currently in our 3 units, all have pets and all have been some of the best tenants we have ever had.  We also charge a refundable extra deposit but really have had no problems.  I am sure there will be some extra wear and tear but we budget for it every month.  

I also love up down duplex's.  We have one in Grande Prairie which when times are good has very good cash flow.  I like the fact that in a very bad economy you can pretty easily at minimum cover all costs.  

When I look at wanted to rent adds on kijiji there seems to be a lot more people looking for SFH's right now than anything else. Just in the past few weeks of watching rent prices it seems that a SFH will cash flow better in a bad economy and maybe the duplex's do better in good economies.

I wonder which would average better cash flow over 20 to 30 years of up and down economies. 

We are looking for our next rental property.  What do you think is the best type of property to own in a bad rental market to keep it occupied. 

I have noticed on Kijiji and Craigslist in the wanted section that in our economy in Alberta pretty much the only people looking are families looking for full houses.  

I like duplexes because your basically getting 2 properties in 1 but I also like that SFH's seem to rent easily in a down market.

Would you agree that houses are generally easier to keep occupied or am I off base on this.  

Thanks.  I understand it depends on the quality of properties.  Im going to be meeting with a couple potential partners in a couple weeks and just want to try and straighten out my own goals before I meet with them.