All Forum Posts by: Amber Roy

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $37,500
Cash invested: $37,500

This was my FIRST international real estate purchase and I have learned a lot from the experience that I thought I could share with the community. I purchased this apartment in a small Italian village for 25.000€. The apartment was sold "as-is", and the deal was negotiated and translated primarily through family. (I'm a lucky girl!)

What made you interested in investing in this type of deal?

Campagna is the village where my Great-Great Grandfather was born, so the transaction is more of personal significance to me. The apartment was listed at a very good price, and my worst-case scenario is that I can sell and make a small profit in a year from now if I choose to leave.

How did you find this deal and how did you negotiate it?

My Zio's best friends nephew was selling the property. He needed a quick sale because his mother was in poor health, and I had the ability to make that happen through a cash sale.

How did you finance this deal?

I sold my business in February, and paid for the deal with cash from that sale.

How did you add value to the deal?

I was able to speed up the process by paying with cash and using family to translate documents rather than third parties.

What was the outcome?

I am now living in my adorable 1 bedroom apartment in Campagna, and putting the final touches on the unit! There was no furniture whatsoever, so I have now constructed and installed the kitchen and apartment furniture. There are just a few more final touches, and I hope to be able to list the apartment as a short-term rental.

Lessons learned? Challenges?

This is ITALY. Everything takes plenty of time. I negotiated the deal on October 12th, and although dealing with a motivated seller, motivated buyer, sitting vacant and purchased with cash - did not take possession until November 2nd. At that point, there was a further wait for essential utilities (electricity and water) and I was not able to move into the unit until November 18th.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

The only "professional" involved was the Notatio - they were ok to deal with, but nothing special. They did not speak English. I used family to translate legal documents and processes.

@Marielle Walter, if you do not speak Italian or have relatives that can translate on your behalf - it will be a very expensive process. Both, administratively and through miscommunication throughout the renovation process. Even if you are familiar with renovations in North America (I was) it is COMPLETELY different in Italia. You are dealing with older architecture, different electric consumption methods and regulations, different water consumption methods and regulations.. The 1€ properties are nowhere close near worth that much, and are usually located in extremely rural areas. 

I don't say all of this to deter you - I say all of this to help you manage your expectations. Italy is beautiful, but things are not easy and take at least 5x as long as they normally would in North America. (In my experience)

What is the idea behind your strategy @Marielle Walter? And where are you hoping to invest? Do you have any support in Italy (family or friends)? Do you speak the language fluently?

Ciao from Campania ;)

Investment Info:

Single-family residence buy & hold investment in Calgary.

Purchase price: $242,000

A beautifully renovated townhouse unit in the Southwest community of Oakridge.

3BR
1.5BA
1260 sqft

What made you interested in investing in this type of deal?

This was my first property - purchased at age 21. I wanted to begin building equity from a young age, so that I had options for real estate purchases later on in life.

How did you find this deal and how did you negotiate it?

I believe the original price was $250,000, a few years after the market crash. My realtor paid for the inspection, and it was "move-in ready" - a big selling point for me at the time as I worked a corporate gig and didn't have the time or knowledge at that point to renovate the unit.

How did you finance this deal?

I used my first time home buyer option and put down 5%. It was a traditional fixed mortgage at 3.19% for a 5 year term, amortized over 25 years. Renewed after 5 years, for another 5 year fixed-rate mortgage at 3.29%.

How did you add value to the deal?

I have rented out 2/3 bedrooms for the last 7 years to help cover the mortgage and associated expenses. I also completed a renovation project to build value in the unit. Everything has been updated, and the bedrooms are now rented completely furnished to cut down on maintenance. (Scuff marks and dents from furniture coming in and out of the unit.)

What was the outcome?

I still own the unit, and have nearly $70,000 in equity. Once the market in Calgary recovers a bit, I hope to refinance and use the equity to help fund another purchase.

Lessons learned? Challenges?

My biggest challenge has been a super strict condo board. I am not a fan of micromanagement, and the board has become quite antagonistic and prejudice.

Investment Info:

Single-family residence buy & hold investment in Calgary.

Purchase price: $242,000

What made you interested in investing in this type of deal?

This was my first property - purchased at age 21. I wanted to begin building equity from a young age, so that I had options for real estate purchases later on in life.

How did you find this deal and how did you negotiate it?

I believe the original price was $250,000, a few years after the market crash. My realtor paid for the inspection, and it was "move-in ready" - a big selling point for me at the time as I worked a corporate gig and didn't have the time or knowledge at that point to renovate the unit.

How did you finance this deal?

I used my first time home buyer option and put down 5%. It was a traditional fixed mortgage at 3.19% for a 5 year term, amortized over 25 years. Renewed after 5 years, for another 5 year fixed-rate mortgage at 3.29%.

How did you add value to the deal?

I have rented out 2/3 bedrooms for the last 7 years to help cover the mortgage and associated expenses. I also completed a renovation project to build value in the unit. Everything has been updated, and the bedrooms are now rented completely furnished to cut down on maintenance. (Scuff marks and dents from furniture coming in and out of the unit.)

What was the outcome?

I still own the unit, and have nearly $70,000 in equity. Once the market in Calgary recovers a bit, I hope to refinance and use the equity to help fund another purchase.

Lessons learned? Challenges?

My biggest challenge has been a super strict condo board. I am not a fan of micromanagement, and the board has become quite antagonistic and prejudice.

Hey all!

I've actually already reached out to Cody, but I will be seeking events and opportunities in Calgary. I am attending an event tomorrow called "How to Choose the Right Investment Property for You" from 7:00-8:30pm. If you want to join, send me a PM and I'll fire off the address! I imagine it will be a good time to connect with like-minded individuals and meet some potential mentors.

Hope to see some of you there!