I was lucky enough to buy a rental condo in st henri before the Covid impact. Still lucky to have it rented above my mortgage mainly due to the property not being that expensive.
I’ve noticed with nicer condos say 450k and up in downtown, it’s really hard to cover your mortgage and stay cash flow positive. I think I’ll stick to the lower end condos close to metros and affordable to students and professionals to rent.
I live in the west but I’m looking to buy a condo downtown, looks like for a 2 bed and a garage, I’m looking at 500 plus. Tough to digest lol.
being single and mid twenties, might not be the best move but I do have some cash coming in from a couple properties I own being cash flow Positive
Lesson I learned later in life, the way to wealth is by leveraging credit into investments. How many rich guys out there have used other people's money to get where they are?
If you have the credit, use it, esp with rates being so ridiculously low.
If nothing else, take out some credit and put it into some safer stocks over the next couple of years. The economy is going to boom. Invest in Microsoft or something like that. You get the growth plus some dividends. They're going to make hand over fist in their Azure platform. Still a good buy today.
Interest rates are so low, it's like an interest free loan. Borrow 100k, make the monthly payments on it... as long as your investment is making over 3% you're in the black. As an example, if MS goes up say 15%, you've made 15k + the dividends. Subtract the 3k or whatever in interest and you're up roughly 12k. All that for basically doing nothing.
There is risk of course and you have to be willing to tolerate it. But it's not a bad strategy. Same with housing. Leverage the loan to buy a house...
Good for you for figuring it out earlier than most. I made some good real estate investments moving from one home to the next but I wish I'd bought some property and some stock. Oh well, better late than never.
