All Forum Posts by: Miles Thompson

@Jaron Walling Yeah well that's what I'm trying to figure out. 

There's no way I could buy a SFH for $300k in this area, maybe a piece of land but that would be it. The cost of construction is pretty high at the moment for sure, I guess there's a lot more value to be found in building something pre-existing.

Building this unit would add a chuck of value to the property but probably not quite $300k's worth I imagine.

Hello,

I have a house that I split into a duplex, each side bringing in about $1500 each.

This has been a great cash-flowing setup as the house was bought for $362k and we've had it for about 6 years.

There are some foundation repairs to be done and I've had a local contractor that I trust quote me to fix this but also quote to build a laneway house to make a 3rd rental on the property. This has been approved by the council etc, and I now have a class C quote of around $300k for the new build, including 10k for the foundation work.

I estimate I will be able to rent this two bedroom standalone for around $1800-$2000 per month.

I need to write a business case to present to the bank to get financing and so I need to figure out ROI etc.

This is in a very desirable town with 0% vacancy.

Any advice on how to get the refinance and what to include in my proposal to the bank?

Thanks in adance.

Hello,

Firstly, I'm a bit of a noob so please excuse if my question a bit all over the place.

Backstory:

I have a 1960's house in a small ski town where the real estate is booming. My wife and I moved out 3-4 years ago after a bit of a reno to turn it (back) into a 2 suite rental (2 bdrm upstairs, one down).

The house cashflows nicely (about $700/m) and has would probably now sell for close to 500k. We bought it for 362k 5 years ago.

We've decided not to move back there and want to keep it as a rental. 

I'm keen to refinance and build a 3rd smaller rental suite under the existing house as it's on a hill and there's a small workshop space with some rock retaining wall that needs to be replaced with concrete foundation anyway. This would get that job done (which is a big job) but at the same time increase the property value.

The new rental suite will likely rent for $1500/m but to get city approval, the whole house as a duplex/triplex needs to be bought up to code  (fireproofing, electrical, plumbing) which will likely make the whole build cost close to 300k (contractors estimate). I've had a structural engineer in there today and am waiting for their report.

At the end of the day, the property as a legal triplex would be worth around 800-900k, possibly more.

So my question would be, what's a good way to figure out if it's worth it?

Things I imagine will be an issue:
- City approval as house is currently a legal duplex
- City may force me to rent it as a single family home right away
- Parking - another car park may be needed to get approval from council but I've heard exceptions can be made
- Entire project going over estimate by a lot
- Not being able to get financing then having to turn it into a single family home rental which won't cash flow so well.

Geez, writing it up like that makes it sound like a terrible idea! 

Current numbers:

Current mortgage rate: 1.73%
Current monthly mortgage payment $1,200
Current monthly rental income: $2,800
City Taxes: $3,000
Water/Sewer: $1000
Property Manager: $200
Insurance: $800

Estimated numbers after reno/build if it costs 300k:

Current mortgage rate: 1.73% (hopefully stays the same)
monthly mortgage payment $1910
Current monthly rental income: $4,950
City Taxes: $5,000 ?
Water/Sewer: $2000 ?
Property Manager: $350
Insurance: $1300

I'm also looking to turn the what-would-be middle suite into a 2bdrm which would mean I could increase rent further.
Ok, it's seems like a good idea again.. 

Thoughts please.

Hi Jaydon, 

Did you find any of these people you were after in Regina? 

I've also been looking at Regina and see there is a lot of opportunity there and so came to BiggerPockets to search for similar resources. 

I'd be interested to find a team to work with and to hear how you're getting on if you're still looking into this.

Hello,

Is there anyone with experience renting a house in Quebec City? I’m looking to do it but when I search for comps in my area there are bugger all.

It seems people don’t rent their houses here much, only apartments.

I’m looking to move overseas but keen to keep my house as a furnished rental.

Also, if anyone can recommend a property manager close to Cap Rouge, that would be great.

Hello all, 

I am also living in Quebec (Levis) and am looking to buy and hold rental properties.  

It's great to see others here with similar interests. I hope to buy my first multiplex apartment this year. 

@Kevin Labonte - Can you recommend a good investor friendly realtor (who speaks English) to help find good deals?

Also, can anyone point me to where I can find info about the real estate market trends in Quebec/Levis over the last 10 years? Are property prices increasing/decreasing ??

Good work and congrats on your achievement! So cool to read this thread! I just moved to Quebec City earlier this year ago and am getting a feel for the market here. I’m sure it’s quite different than in Montreal but I’m interested in what differences you have in your spreadsheet for running numbers in Canada. I have a worksheet from KellerInc.com (Hold: how to find buy and rent houses) but the figures are based in the US. I have a duplex in BC that cash-flows well and am keen to get another investment property here. Just learning how to run the numbers so any tips would be appreciated.