All Forum Posts by: Raymond Rashid

Does anyone know of a traditional lender that will lend for an investment property to Canadians? I've tried 3-4 banks and a few credit unions, but none lend to foreigners.

Any help is much appreciated.

@Jaysen Medhurst I have not been able to get a realtor give me a solid answer. I've heard as low as 5 and as high as 9% for cap rate. For Capex I have that at 8% for Maintenance.

In regards to utilities, thats what was given to me on the financials. 

I have an off market opportunity in Tampa.

It's in Lowry Park North. I'm not sure it's a great area for investment, but that's why I'm here. I've heard once you stay west of the 275 or the opposite side of sulphur springs your fine. Does anyone have experience in this area. Does this seem like a good/decent deal?

It's a 9 unit studio building. They are asking 550k. Each unit rents for 750 per month; total $6,650 monthly. All utilites paid for by tenant. Building was built in 1981.

Revenue: 6,650

Expenses:

Mgmt: 337.5

Insurance :250

Tax: 416

Maintenance(8%): 532

Vacancy(5%): 332.50

Mortgage (4.5%, 25yr): 2,435

Net: $2347 or 260 a door. 

Thanks @Thomas . I've tried a few, but no luck so far 

Hello,

In the past few months, and currently I'm looking to obtain a loan on MFH in the Florida or Arizona markets. From the research and contacts I've met so far on the forum, I have not been able to make any progress. Can anyone assist with a Canadian buyer?

@Vanessa Regalado

thank you... But if we do that, what rules do you use to determine if it's a good deal? The 1% sure won't apply 

Anyone? Looking for some help

I have my eyes on a deal in Toronto,Ontario. But I'm not seeing the numbers work. The seller is quite firm on 1.5 million.

Gross Income is 98K with two units unrented. Fully rented the income would be about 125-135k.

Current expenses which does not include Vacancy, Maintenance or Property Management is 24K. If I include vacancy, maintenance etc, the expenses in total become just short of 40k. Leaving a current net income of 58k or a potential net income of 85k.

Do I value the property at the current rate or the potential rate? It's in an area of high demand, so I expect the units to rent quickly.

Thanks @Austin Nicoson. as I'm now learning, I can bring the rents up to market value with tenant turnover, and when I go to the bank for financing put more than I put in, in my pocket. I forgot to mention that the 14plex is a VTB deal. Whereas with the 4plex, I'd have to wait for the procession of the residential market.

Hi Michael,

There is no actual grade. Typically this is subjective as some will you an A-F scale, while others A-D and so on. I've read somewhere an easy way to remember is A: you would live there, B: you could live there, C: you don't want to live there, D: you won't live there.

On an A-D Scale:

Typically, A class neighbourhoods are those in the city centres, and the better parts of the boroughs; higher incomes, better schools, close proximity to transit. Although exceptions do exist. 

B Class are typically borough neighbourhoods, where incomes are lower but the community demographic is still full of professionals; accountants, nurses etc. 

C Class can also be in the borough neighbourhoods, but the lower income parts where there are apartments, subsidized housing etc.

D Class are the worst neighbourhoods; abandoned homes, lots of subsidized housing etc. 

The same scale is used to base a property, for example an A class property in a B class neighbourhood. Typically good investment properties are C class properties (need work) in B class neighbourhoods.