All Forum Posts by: Valerie Hiscoe

Looking above I see that Brandon Turner said very clearly he was investing in the fund so I'm not sure if people aren't taking the time to read or what the problem is. And I don't think it's necessary for him to reply to a question about exactly how much he has invested in it. If it becomes a publicly listed company then I guess that will change but until then he has a right to some privacy. Or would you like to publicize your Investments? I'm looking forward to seeing both Brandon and hopefully Jay at the conference. Take care all.

Why?

What are you looking to do with the land? Answering that would make it easier for the community to help you.

My compliments to you too David for taking the time to share your great list.  Jeb, I would also recommend taking Karen's advice about the two books she mentioned (sţill available on this site I believe).

In my experience, this did not go well, even when I was there for the bigger things and left only the more straightforward ones. A licensed contractor can confuse instructions or prioritize other jobs and leave yours delayed indefinitely without a very specific contract and a list of the exact materials to be used and in what manner.  Do you have enough knowledge to do that?  In my case I admit it was only a handyman that I left to do things like finish the mouldings, etc., but the standard of work was not even close to what it was when I  was there.  I also ended up with squatters and hundreds of dollars of tools stolen.

If there is any possible way you can do it, either be there or invest closer to home.

Omg no.  Weigh how much to lose over how much you have to gain.

It is very difficult for any Canadian investor to find a lender who will deal with you. My guess is because your income and assets are irrelevant to them because they can't put a claim to them over the border.  I am a dual US-Canadian citizen but a resident in Canada and still had to buy cash. 

First, I have to ask, where in Vancouver could you possibly buy a house under 1 million. You must be in another part of BC which brings me to my next question - After you've spent the money fixing it up (which, most people will probably agree, you can assume will be at least 50% more than you've budgeted seeing as it's your first experience - and it's probably best if you calculate in a complete refurbishment of plumbing, electrical, perhaps roof or foundation - don't even try to do it piecemeal because it will screw you up in the end), after all that, will there be a GOOD market for resale?  Do people WANT a 1920s house in the neighbourhood that this house sits? Know your resale value before you step into any purchase and make sure it will cover your expenses - including realtor fees, property transfer taxes, etc if you'll be selling it in a year or two - and then include the profit you intend to make too.

I'd also encourage you to research mortgages from an investor's point of view. There are few things in the world whereupon you can put down a $30k deposit and purchase $100k worth of goods. This is called a COC or 'cash on cash return. For example, making a $10k profit on $100k is one thing - making a $10k profit on '$30k 'is quite another. Especially when you still have $30k from your original $60k in the bank. Often lenders won't finance renovations though so that $30k could go towards that.

Speaking of banks, find a mortgage broker - ideally one who deals with investments - to talk money with. As you've found already, banks will not be interested in going out of their way for someone just starting to build their portfolio. Let me know if you need a name for referral. It's from Vancouver but they may be able to pass on a referral in your area.

Final question - when you say rental income - do you mean living in the house while you do renovations and house hacking (charging someone to share the house or rent a room) - or do you mean renting it out after renovations?  Or better yet, is there an area you can make into a separate suite?

Lots to think about but don't let it discourage you.  These are the challenges an investor learns to love. Enjoy the journey!

@Benjamin Cowles

I also think it' best to install floors then uppers then lowers. I prefer my floors going wall to wall in case I want to change something at a later date, and it' easier to install uppers without base cabinets in the way.  I think that's the usual.

Hi Benjamin

You didn't actually mention if this is a flip or your principal residence. As @Charles Delisio mentionned above, the insurance you purchase will be different.

Carpenters who work on boats are usually highly skilled because they'e often not working with square edges. If he has experience like that, he'd be more than capable of looking after your cabinetry.

I'd hate for you to be prejudice against someone for their disability. I don't think an insurance company could legally be able to be so therefore your liability should be contained within the bounds of anyone else doing the job. If it weren't for this newfound awareness of liability and release, you might not otherwise thought of it, so you can thank him for reminding you to protect yourself.

My brother lost an arm and I can safely promise you that he accomplishes twice as much because he tries twice as hard. But i can also promise you with a fair amount of certainty that if someone has been uprooted from their life and forced to rely on social services - they are going to be fairly desperate. Its got nothing to do with their skill level or personality - its that they dont have enough money to live. My brother is lucky because thats not the case but I  would hate for him to be considered a charity case just because he's trying to earn a living. So there's that.

As per payment, I like to get an idea of how much something should cost, less materials (which I usually get myself) and set a payment plan - 10-20% for showing up the first day (which doesn't always happen), another 20-30% halfway through or so, 90% when it' done, and the final 10% a couple of weeks later when the things that nobody noticed were left undone have been completed to your satisfaction. Some people add bonuses and penalties for time constraints if those are of the highest priority. Keep in mind though, that if someone is desperate and inexperienced at giving estimates, they will probably lowball it. That's not good for either of you so get more than one estimate or an example of his working on something so you can get a realistic ballpark figure.

And write a contract for exactly what, where, when, how, and by whom, no matter who ends up doing the work. And if you'e going to hire someone licensed and insured, make sure you get proof of their license and insurance.

It sounds like the man you'e contemplating to have do this work also has some creative and design experience. Don't underestimate that because he may foresee problems or options that you might not. Having been a boater myself, I know that boats are, by necessity, usually well designed.

Best of luck with your renovation.