All Forum Posts by: Philippe Busque

Reading this thread is inspiring.. and frustrating. It's amazing what you guys consider low cashflow, here in canada, 100$/m cashflow a door is unheard of in 2017, 50 a door you are crushing it and that is with 25% down, don't even think about putting 10% down and cashflowing in residential, lmao.

Our tenants are overall much easier to manage tought, but at what cost!? 

Very eye opening discussion, I wish the best of luck to you guys.

PM use a flawed system that benefits them everytime but does not befenit the owner all the time.

Your brother is entitled to nothing.

I'm not sure what kind of advice you are looking for here. He can only affort 400 a month, you have a room you can rent to him for that price and help him out. BUT if you lived together before and did well, you trust him and he won't annoy you or make your life miserable, I think this has a lot of worth.

It depends on you really. 

job transfer, divorce, retirement, succession, burn out, they now have a better opportunity with the capital, they bought and plan to sell in X years, they will sell when X comes, overleveraging, shift from wealth building generation properties to wealth keeping.

I'm sure I forgot a few reasons.

 As much as I agree this works for some, what OP is doing is working for him, he just needs to learn to scale it better. Completely changing his niche because ''that's where the money is at'' is pure greed. 

Learning to flip and then learning commercial real estate is not only risky but extremely hard, extremely hands on and also not worth the time for him frankly. Flipping and doubling 800k in flip profits will take him years and he already makes 120k/y from his stable job taking 0 risks.

I'm not an experienced landlord but investing in what you know is the first rule of investing.

Does her job pay her biweekly? I would offer her the option to pay biweekly if you have faint in her actually having the income to pay but she can't manage it properly, that should help her a lot.

If it's purely that her income is not high enough to afford your unit, offering a reduced price is also an option but she has to be a good tenant for you to consider this, everybody has hard times so this is as win-win as it gets. If she's just a bad tenant I agree kicking her out, but a good tenant that's just having a hard time can be resolved imo.

 The more competitions, the harder it becomes, its the nature of every ''money maker''.

A few make good money and have good opportunities at the start -> after a while they have more competitions -> less opportunities -> people who were massively successful at the start shift their focus from the business itself to the teaching of that business because the edges are not that big anymore -> even more competitions, etc. 

I'm also from quebec and I have been looking for markets around me for a while, the biggest cashflowing market in QC is in Mauricie, trois-riviere/shawinigan. The downside is that it's old buildings with very few jobs, shawinigan is dying  but trois-riviere seems to be stabilizing so there may be some opportunities there. In fact there are quite a few successful investor who started in trois-riviere. Personally I'm just not interested in flat roof century building with insanely high vacancies.  Quebec city is just out of the question for me, you're paying around 100k$/units for a 2br/1ba and you can rent it for 700$ or 750$ in really good areas... no thank you. Some people ARE making it work thought, so there is a way, I just don't know it yet and I'm trying to figure it out.

So I'm looking and and waiting. I own a duplex and rent one of the units, I paid too much for it thought since I didn't know what I was doing... but it could of been much worse. The rent covers only my mortgage and that's it. In a few months I will have a roommate and will be in a much better position thought. 

Keep in mind solar panels have a limited lifetime between 15-25 years.

If you plan to sell in 15 years, it could massively reduce your buildings value, I mean it could make sense for a place where you pay for everything (rent by the room to old people) but for a normal appartment building it'd surprised me if it was worth it right now

If your market are 10caps and the NOI is 3500/month there is no way it is worth 750k

more like 400k lol..

I don't know the Miami market, but 3.3 cap is laughable, why someone would deploy capital for such poor returns? To be honest if someone is buying at 3.3 cap you need to sell to that person ASAP.

If you can raise the rent to market value and sell, I would do that and maybe reconsider your area or RE niche if cap rates below 5 are the norm.