All Forum Posts by: Account Closed

@Roy N.

After some reading I also came to the conclusion that unless you're credit is excellent, you will be subject to fees from 0.5-2.0%, however I feel this must be negotiable consider expected repeat business.

Unfortunately there are no such live-in opportunities in 2 - 4 plexes in Vancouver at any sort of reasonable price point. This would be a investment property in another state

Hi there, 

I live in Vancouver Canada, and do not currently own any property. I was recommended a well known Canadian mortgage broker that has lots of experience with REI. After providing all my documentation, I have been advised that due to my short Canadian credit history (I'm Irish) currently I would be eligible for an A-Alt rate of approx 4.99%, with potentially reaching A rated credit in 12 months.

The broker has also stated that I would also be charged 2% broker fee, along with having to put 25% on an investment property with the proposed lender. 

From my understanding 20% is a minimum investment DP, and broker fees are reserved for the multifamily and commercial space. Can someone give me some advice on this, and if you have recommendations on brokers in Vancouver who deal with investors, please forward them on.

Thanks, 

Tristan

Canada Vs America mortgage trends

Replying as to subscribe to this thread. My feeling is that is a nearly non-existent avenue in Canada due to the very low default rates comparatively to the US

Hi Ash, 

I am also new to REI and based in Vancouver. My girlfriend and I have been saving and educating since mid last year, and are just starting the process of getting our first place. Happy to discuss topics virtually or in the real world.

Also currently on the hunt for an accountant who specialises with Real Estate Investors, so please recommend them if you know of anything.

Welcome to the forums.

T

@David Faulkner, the spreadsheet is alot larger than screen shot suggests and captures equity incurred from mortgage pay down, appreciation and cash flow into a total ROI. When comparing two equally valued properties, appreciation rates etc don't affect relative results.

Both are apartments so no Cap Ex required. 

The point is that if Ronaldo has a 'fork in the road' question, he should run both scenarios and get a grasp of which will net better.  

@Chris Walters

In our market a fourplex would cost the equivalent of NHL's draft 1st years salary, so the best you can hope for is to biy a 2-3 bed condo or townhouse and rent the rooms out to subsidies the mortgage

@Ronaldo Reyes

I am in the same market and at the same crossroads. Myself and gf are trying to figure out if we should buy a live in investment (rent out a room), or continue renting and buy a rental in a more favorable market. In order to come up with a solution I made a spreadsheet (and upgraded) based on a screenshot of a spreadsheet I saw here.

The below screenshot is off a potential live-in situation in the market we are looking at. The spreadsheet works through all the expenses and spits out a summary in orange basically outlining where we would stand in 1 and 3 years along with the outlay required. The rent reflects us renting out a single room, so the cashflow would show negative.  After 3 years we expect to be ahead a whopping $1084, however we have saved on a years rental and included our bills.

In the second scenario we stay renting but buy an investment property. As you notice the expenses and financing assumptions change as we now have PM fees and 20% down. from this example after 3 years we would be in the hole for -$13268 and a larger cash outlay, not ideal. In this comparison it would make sense to go with the first option. 

Now these are just two of many comparisons I have done, but it certainly is the best way to start figuring out different scenarios, which will ultimately give you a more accurate framework to make decisions, like; at which threshold does a rental make more sense than a home and vice-versa.

Happy to answer any questions if you have any.

T

@Account Closed

Nice to meet you Marc. Yes finding a property in the lower mainland to cashflow will be very difficult, much better suited to flipping. The island shows more promise for cashflow from research, so my initial gameplan reflects this. Happy to meet for a chat anytime; send me a colleague request on here and lets arrange it.

T

Hi,

I'm looking to meet wholesalers operating in Vancouver, Canada and Nanaimo, Vancouver Island, as I will be purchasing in both markets.

Thanks,

Tristan

Hi, 

I am looking to find a mortgage broker based in Vancouver Canada that has REI clients. Send through you're referrals or recommendations. Also best questions to ask during my first meeting to determine suitability?

Thanks, 

T