How to be smart about investing in Real Estate
Too many of us have the same story of working too much, and not saving enough. It can feel almost impossible to get into the housing market today. But the key word here is almost. It is possible to invest your money into Real Estate and see big returns. Today more than ever, people are saving for their future with equity in an income property. Whether you are a young family unsure of how you will be able to pay for your children’s future education, or looking forward to your retirement (with no idea how you are going to afford it), investing your savings in an income property will show you a larger gain than almost any other alternative. You are not alone, People all over the Greater Toronto Area are afraid to jump in to the housing market. But not to fear, all you need is some basic information about how to get started, or how to boost your current investments and you CAN live the life of your dreams without taking that second job moonlighting at the 24 hour diner (not that there's anything wrong with that, can you say free donuts?!)
One example of these principles is a property I purchased in Oshawa. In a matter of two years, I gained a $200,000 gross profit with one income property. I purchased a Triplex, with low overall rents coming in. With management, I was able to get a higher rent, which increased the overall value of the property. I also held the property with cash flow for the duration of the investment. With minor renovations (sprinkling fairy dust as I like to call it) just before listing, I was able to yield such a high return.
When you get the right information, you can find out exactly how much you need, where and when to buy, and specifically what type of investment is right for you! From adding a basement rental to your existing residence, investing in a condo for your children’s education fund, to owning a triplex in the city, the possibilities are endless.
“When a tenant pays down your mortgage, you’re building equity.”
- Rakhee Dhingra - MORTGAGE EXPERT
Until next time, Mark.
The biggest problem today is that people don't think they have enough savings to invest in Real Estate, especially in a city like Toronto. But with a little information from experienced investors, you will learn that you have more options than you may think.