All Forum Posts by: Spencer Brown

I like the severance and self storage idea. It sounds like the property may not have the highest value yet? I think there is no easy answer here. I would make a spreadsheet to compare opportunities and work the problem until an answer falls out. Are you looking for cash flow or equity build? What gets you the most of what you want? Build the self storage or sell and put it into a new property I think are the two most viable options. 

Thanks a lot @Matt Geerts @Claude Boiron @Jacob Perez  guys. Update: I do have money in the deal from myself and other investors and they wanted protection, so I decided to go on title. I'm managing partner responsible for all decisions. But my plan is to sell or refinance after 6 months to put my partner on title only as I need my mortgage room for another project. After the initial construction period and the value is created I should be able to get everyone's money out so their risk is negated. 

Hi guys! Wondering if anyone has a good real estate lawyer? I've talked to a couple local guys that didn't have much experience in JVs. I'm wondering if someone can recommend a good real estate lawyer to draft up a JV partnership. I'm going in with a partner, and I'm hoping that they can be on title and take the full mortgage liability rather than us both being on title. I've heard I could take a second mortgage on the property as security for myself?

@Ray Harrell All of Ontario has rent control you can only increase 1.8% this year. 

@Shawn Allen1 months rent would be great! I thought you have to give 3-6 months now based on the new landlord tenant laws? Have you been successful offering 1 months rent?  @Jay Gill do you mean 1 years worth of rent? Do you have an example? Eg. if the rent was $1000 you offered $12,000 and someone said no???

The current rents range from $750-$950 average being $828. The market rents with some renos should be $1300 per unit. 

8 units

$700,000 purchase price. Cap rate is around 5.8% but its rural so it can vary. 

Based on the new income (66% higher) keeping expenses similar the building should be worth 1.3 million. 

The risk is being able to get tenants out. There are a couple tenants that have been there for a few years and one thats been there for 25 years. 

Hi There, 

I'm planning on offering on a small apartment building in rural Ontario. The rents are very low and I want to pay people to leave. Has anyone had experience with this in Ontario? What is a reasonable amount to offer. The rents are so low that I think it would be worth $10,000 to pay them to leave. Has anyone had to give a tenant this much? Is that much normal?

Thank you! 

Thanks guys! 

Hi @Mike Herbon How did this work out? I'm over in Ontario Canada, but I'm choosing between modular home - raised ranch, or doing a stick build. I think Stick build is cheaper, but not sure - less time and risk with modular. 

Hi There, 

My name is Spencer Brown. I am an engineer in training doing civil and environmental engineering on land development projects (typically subdivisions). I will hopefully have my P. Eng designation by spring 2019. 

I'm new into real estate investing, reading all the books listening to all the podcasts. I have got my first deal done and I want to do more! I bought a fixer upper duplex - BRRRR'd it, and severed a lot off the back. I'm in the process of getting the plans to spec build the new house. I'm investing in the Orangeville/Shelburne area in Ontario, about an hour outside of Toronto, Canada. I live in Toronto now, but I grew up in Orangeville and have family there. I'm interested in BRRRR, flipping, spec builds, and multifamily properties as of right now. I'm trying to learn as much as I can!

My goal is to become wealthy through real estate so that my passive income is more than my expenses. 

Thank you BP for helping me learn so far!  

cheers, 

Spencer 

Hi Stephen, I'm working in the GTA area, I'm wondering the same thing! I wasn't too happy with my first one and I'm not sure how to find a good one. It sucks cause you basically have to find one before they do your credit check. Shopping around affects your credit - as I understand it.