All Forum Posts by: Account Closed

Hello, there is a decently large plot of land (180 acres) about 5 minutes from the town where i work (Sherbrooke, population 150k), that i heard "through a friend" is for sale by the owner. the land has ~60 acres of cleared land and 120 acres of forest. it will probably sell for around 700,000. 

does anyone know of some creative ways to make money off farm land or forest? there is also a house and a couple other buildings that can be rented, but i'm mainly trying to think of ways to use the large acreage to my advantage. 

 ah, i see. so you're saying with commercial properties, forced appreciation is more straightforward because the value is directly related to the rental income (whereas with smaller buildings like tri/quad this is not the case)?

Hi all, i was wondering what you look for when deciding if a property will be a good candidate for forced apprectiation? obviously, things that will allow you to increase the rent or lower expenses, or both.

i'm still fairly new to this game...for me i look at:

1) can i subdivide a unit or renovate a basement (basically turn it into a triplex from duplex, quad from triplex, etc.)

2) can i reduce utilities or pass utilities on to tenant?

3) can i raise rents substantially (property currently renting below market)

4) can i perform some minor renovations (new floor, bathroom, etc.) that will allow me to raise rents?

what are your favorite techniques for forced appreciation, and what do you look for when walking through a building to know if its a good candidate?

thanks

 Hi Kris, not sure i understand your comment. are you saying there's lots of overpriced commercial properties on the market right now? or tri/quads? 

i agree its probably a lot easier to force-appreciate a smaller tri/quad (although i have no experience in this).

Hi all, i was wondering if anyone has experience moving from buying multiple quad/triplexes, and then moving to larger commercial units like 20+ unit apartment buildings? what is the advantage of moving to these larger buildings? from what i can tell the profit margins/cap rate don't appear to be much better (at least based on the prices i'm seeing)...actually the gross rent / purchase price seems to be higher for many quad/triplexes than the larger apartment buildings in my area. 

i guess one of the advantages is everything is under one roof, easier to manage, and easier to hand off to a property manager (less headaches)? let me know what you think, thanks

Hello, i currently own two properties in Sherbrooke, the tax rate is supposedly 1.13% (based on the appraised value of the property). https://wowa.ca/taxes/sherbroo...

however, my property tax bills are substantially higher. one of my properties is appraised at $184,200, and the tax bill is $2,556/year (not including school tax). the other property is appraised at $149,900, and the tax bill is $2,736/year. 

the properties are a duplex and triplex respectively. does anyone know why the tax bill is much higher than the supposed tax rate (actually i'm not sure of that 1.13% number, i just grabbed it off the link above). thanks

has anyone ever tried these? https://www.acousticpanelscana...

i hear they're good for blocking noise from upstairs apartment.

also, does anyone have any other tricks for reducing overall sound levels within an apartment? i am the landlord so i can do pretty much anything to the unit. thanks!

I wouldn't say the area is economically depressed per se, but median gross income is something like 35k/year which definitely isn't great. in my area recently there is high demand for suburban single family homes within driving distance (15-20 minutes) of downtown Sherbrooke but also with in the forest with a large lot, etc. (check out St. Elie to see what  i mean). properties in these areas are selling over asking with multiple offers (Although this could be partly due to a post-covid rebound). 

Hi Kris, what risk are you referring to? to analyze a deal i take 50% of gross rent + mortgage + insurance and subtract it from gross rent, if there is money left over the place should cash flow. with interest rates so low it doesn't seem very difficult to cashflow at 10% or even 5%. 

anyone investing in st. hyacinthe? cap rates look slightly better than downtown sherbrooke, and its only 45 minutes from montreal and longeil. large population increase (5.8% from 2011 to 2016). i would expect rents to rise and good appreciation in the coming years, what do you think?