All Forum Posts by: Sriram Kumar Bikkina

Hello all, I have a basic investing question: What is considered a positive cashflow when we borrow 100% of the money to invest in a property?

In general and simple terms, it will be the money I gain over the money I spend on mortgage and expenses on that property. But let's say I borrow 20% from my existing HELOC and use these funds to pay as a down-payment towards my next investment property do I need to consider the interest paid on that 20% as well as an expense for the investment property?

The reason I am asking this question is I have looked into a lot of properties and finding the ones with a positive cashflow is very less and 9 out of 10 of these positive cashflow properties are not meeting the requirement if I include the 100% borrowed money towards expenses. 

 Hi Roy, thanks for your response as always and appreciate your active participation to help Canadian investors.

 Ben, thanks for the response, appreciate your inputs.

Hi All,

I am looking at Kingston, ON for my investment property and am wondering if it's a good place for rental properties?

Are there any areas/streets that we need avoid?

Also, is there anyone actively invested in Kingston that are open to connect?

Thanks,

Ram

@Madeline Currie, how did I miss that. Attention to detail is something I need to work at. Thanks for the explanation. I am good now.

@Madeline Currie, thanks for the link this is very helpful but looks like the data is from 2017 and not very recent. Do you think this is still relevant while making an investment decision?

@Chris Baxter, thanks a lot for your response. I have looked at the CMHC report earlier but I think it takes some time to learn how to navigate with data with the other two you shared. Thank you.

Hello All,

I was suggested by few people in this forum to start with Don Campbell's books and I did as suggested. I am doing my exercise in Chapter 5: How to tell if a town will boom or bust (The 12 Keys). However, I am unable to do research on few points, I couldn't find the latest demographics online. The best and latest I can find the demographics are for 2016 which is a bit outdated given the current market. And with COVID, I see few of the points listed in this book are not relevant anymore.

Here is some information I am unable to research:

2. Increase in Average Incomes

3. Increased in Migration and Demand

Appreciate if any experts who follow the ACRE system help me understand how to research this, or if this is not relevant anymore?

Appreciate your time and help.

Mike, thanks a lot for the response and your inputs. I purchased Dan Campbell's Creating Wealth with the ACRE system, I heard this is a good start for people getting their toes into Canadian Real Estate.

Julie, thanks for the response. Appreciate your inputs.