All Forum Posts by: Nuno Barbosa

@Paul Gill Amazing Post, Thank you for sharing. 

@Chad U. That is not that unrealistic in the markets in and around Toronto. Some people say we had a bubble top in 2017, Even if you purchased a home at the peak of 2017. On average, it only took 12 months for prices to come back up. 

I understand where you are coming from, but markets like Toronto truly have a supply problem, And our city and provincial governments don't seem to care enough to fix the problem.  

So in the meantime, let's all pick up real estate and make our 1st million dollars.  

@Chirag Rathod

Hey Chirag, Yes you would go through the local city to get a permit to add the 2nd suite. For the first one you want to be working with professionals who understand how the process works. 

I recommend you work with a local real estate agent in the city you're interested in. Make sure the agent also owns rentals and has done legal 2nd suites in the past. This way they will connect you with contractors and architects they have personally used and vetted. They will also know what houses to avoid when you are looking at houses.

Getting a permit from the city and doing a renovation can seem overwhelming but as long as you team up with the right people it's a fairly easy process. 

I have properties in Peterborough, Barrie and Uxbridge. If you are interested in any of these areas I can connect you with good people.

@Ryan Seto

Hi Ryan, I'm a Toronto-based Investor, I've done everything from flips, new builds and long-term rentals. The best strategize is based on your financial goals and how comfortable you are with renovations and construction. I think it's hard to find flip deals in Toronto. The market is so hot that the numbers normally don't make sense. I'm a big fan of buy and hold. You get the power of Cash Flow, Appreciation and Mortgage paydown by the tenant. I would look for value add deals like adding basement apartments, Garden suites or laneway housing. 

If you want to connect DM me and let's exchange information.

@Chirag Rathod 

Welcome to the wonderful world of REI, I'm a Toronto-based investor and have a few properties in Peterborough. I think it's a great market with a lot of room to grow. BTW great job on taking advantage of a low downpayment on your first house. If I could buy my rentals for 5% I'd be picking them up at a monthly rate.

I would avoid student rentals on your first one. They have high turnover and involve more work and wear and tear.

IMO I think the best entry-level rental strategize in Ontario is buying a single-family home and adding a legal 2nd suite to the basement. Its offers powerful cashflow and there are a lot of business/services that can help you with that. 

Have you checked with a good mortgage broker to double-check on your affordability? Just because one of the big banks said 450k doesn't mean it's your only option. There are a lot of lenders in Ontario. and a good mortgage broker will be able to connect you with them.

@Evan Tal 

Check out RISE real estate group on Facebook. They just had an event last week in Toronto. A great resource for connecting with local like-minded people.  

@Antonios Kranidis

Welcome to the wonderful world of Real Estate. I wish I were as young as you when I started. I'm based out of Toronto. I recommend you reach out to a good Mortgage Broker and get pre-qualified first to see how much you can afford and where to buy. Lenders can be picky, so you want to ensure you are shopping in a market where the deal will close. Once you know financing is solid. Find yourself a real estate agent who personally owns rentals in a market your looking in. They will be your best friend and connect you to trusted trades that they personally have used. 

For your first house, it's worth dealing with professionals. Their advice and connections will save you a lot of money and headaches. 

@Paul Sverdlin 

Hey Paul, I think 2nd suite conversion is probably one of the best entry-level options. In the right city/town. Most deals will cashflow 1000-1300k/month. Also, If you focus on one city, you can build a small team of local contacts and streamline the whole process. For example, I'm at a point when I can take a detached home in Peterborough and in 4-6months after closing, have a legal 2nd suite installed and ready to rent.

If you are looking for something more challenging, you can build new homes in and around Toronto. For example, investors are picking up old detached homes in Scarborough, knocking them down and building custom homes for sale. This is more capital intensive but can be lucrative.

One step higher is to do a severance. Finding double lots dividing it into two and building two new houses for sale. I did one in Pickering two years ago and currently looking for another one in Stouffville/Uxbridge. Great returns with this, but it's a 2-year long project.

I personally like to do a combination of picking up 2nd suite conversions for the long-term passion income and building a new house for sale every few years. My goal is to save up enough cash to move up to a small townhouse development.

Hello, Everyone. I highly recommend you look into Peterborough. It's closer than Ottawa and the Purchase Price to Rents ratio is one of the highest I've seen in Ontario. I've been investing there for the last few years and Peterborough is a growing city. With the recent 407 Extension, you will see more commuters calling Peterborough their home.

Hi Haroon, I can't comment on Ohio, however. Why so quick to write of the GTA? I recommend you look at Hamilton, Brantford to the west and Durham, Peterborough to the east. I personally hold a handful of SFH in Peterborough and Barrie and they cashflow north of 1k/month per house.

The GTA is a great place to invest, and as Toronto becomes more unaffordable, you will continue to see good growth in the smaller cities around toronto.   

Hi Doug, Ill echo what you have heard so far. Tons of opportunities just outside of Toronto. 

Hamilton, Brantford to the west and Durham and Peterborough to the east. If you choose Peterborough, reach out, and we should connect. 

On the financing side, reach out to a good Mortgage Broker. They will be able to look at your financial situation and present you with the best options.

Best of luck with your search.