Real Estate Blog

In the last blog we listed some of the buildings being developed in Toronto’s core. This week we’re taking a closer look at the companies moving in. These companies have high paying jobs that are going to be employing the individuals that will be renting or purchasing your investment properties.

Who's Moving In?

Think Research will be an anchor tenant in a building called The Shift at 25 Ontario Street. They are a leading digital health care platform provider and are moving their headquarters into this building, occupying almost 90,000 square feet with over 500 staff members. The CEO has accredited the exponential growth they’ve been experiencing to being based in Toronto.

Shopify, a massive e-commerce company, will be moving in at Spadina

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Last week we talked about not only residential vacancy rates but office vacancy rates being at an all-time low in Toronto as well, currently being at 2.6%. As promised, this week we are diving deeper into non-residential space developments in the downtown core of Toronto, including commercial and office spaces, hospital developments, etc. Though these massive developments can seem a bit overwhelming, it’s important to remember that the companies building and moving into to the downtown core are represents high-paying jobs which will be filled by the people who are going to live in your investment condos and pay the high rents.  

What’s Coming

The City of Toronto website, www.toronto.ca, provides a detailed list of all non-residential…
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Making Headlines

Have you seen the headlines? A study released by Ryerson University’s Centre for Urban Research and Land Development has declared Toronto as the fastest growing city in North America. Yet, new home sales are down. What’s up with that? 

We’ve already discussed the population growth in Toronto and how it’s a population centre in Canada. This week we’re going deeper into why as real estate investors or aspiring real estate investors this new headline and the growth of this city and its surrounding areas is good news.

We’re Number One

From July 2017 to July 2018, not only is Toronto first on the "population growth by city" (chart below) with a growth rate of 77,435, it had more than 3 times the growth rate of Phoenix,

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In honour of the Raptors win at the NBA Championship and the rumours in regards to Kawhi Leonard buying a house in Toronto, this week’s blog is all about why pro-athletes should be buying their properties in Toronto, rather than renting them.

Renting vs. Buying Properties

Most pro-athletes tend to rent properties rather than owning them. For example, a well-known baseball player was renting one of our properties for $10,000 per month for seven months out of the year. That adds up to a $70,000 expense per season. His salary was in the tens of millions per year. It doesn’t make any financial sense to be renting rather than purchasing. The specific property he stayed in could have been purchased for about $2 million and the carrying cost with a

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Suburbs At The Forefront

With Toronto not only being voted the number 1 place in Canada to live, but the number 1 place for new Canadians to immigrate to, we’ve seen significant price increases in the downtown area. The shorter term rate of return may be lower, so where can we find opportunities with potential to see a greater jump over th shorter to medium term? The Toronto suburbs are the answer to that.

You may be wondering if we’re going to be looking at detached homes in this article rather than condos. This question can be answered with a simple fact: the spread between the value of the detached home and the condo is 139%. So, as you can see, there is a huge opportunity for appreciation with condos.

Why should you put suburban

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The Fluidity of Managing a Real Estate Portfolio

A question I commonly receive while doing a seminar is, “Alex, when are you going to stop buying? When will it be enough?” As it stands, my portfolio includes 11 properties.  I constantly come across opportunities and because I live and breathe this industry, I can allow for a little more risk in my portfolio than a traditional investor. Those who are less involved in the industry tend to have a smaller portfolio.

It’s important to treat your portfolio as a fluid portfolio. My portfolio began in 2012 when I purchased my first pre-construction property and it has continued to grow as I invest in them every year. Though things in the real estate industry were very different back in 2012 and

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Talk The Talk - Walk The Walk

I met with an old friend recently and during the meeting he said something that I have heard many times before, believe it or not; he said, “Alex, I hate real estate.” As we continued our conversation, he explained that he’s been watching our Weekly Talks and wanted to see if we are a match to work together. Most importantly, he said he has a level of trust with me. My client’s trust is an important factor in my business which is why I always treat my portfolios as an open book.    A couple weeks ago, I "talked the talk" about why investing in pre-construction condos is a great idea, this week it's all about the walk. I’ve recently purchased a pre-construction investment condo and decided this would be a…
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The Psychology of Real Estate

Maslow’s Hierarchy of Needs is a five-level model of human needs. These tiers are divided into three sections; the first being basic needs, the second psychological needs, and the last being self-fulfillment needs. The idea is that basic needs need to be satisfied before moving onto the next tiers. These basic needs include food, water, sleep, and shelter.

 

 

Today we’re going to focus on the basic human need of shelter. As an investor of real estate, you are investing in a basic need of every individual, housing.

When discussing investing in condos, one of the first questions asked are “How do I know I will get a tenant?” and “Why would someone want to live in them?” These are fair questions to ask.

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Buying a Pre-Construction Condo in Toronto

When buying a pre-construction condo, you are buying the right to purchase a unit which will be completed in 3 to 5 years at today’s set price. This is a great way to invest your money without having to worry about a mortgage right away and to participate in appreciation without actually owning the physical asset. The competitive Toronto market will also cause rents to continue to increase while you’re waiting, further improving positive cash flow.

Buying a pre-construction condo is quite different from the resale process. In the resale process, you are sent an MLS listing, you go see the property, if you like the property you make an offer, you negotiate, the offer is accepted, you provide the

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Affordability in downtown Toronto continues to be an issue for buyers, rentors, and investors, that consistently comes up in the media. I am often asked the question, “Is there anywhere in Toronto or perhaps the GTA where you can invest for about $500 - $600/square foot?”

Unless you have $100,000+ of capital, purchasing or investing in downtown Toronto is challenging. Because of the lack of affordability in downtown Toronto, other areas become more attractive. One such area is Oakville. There’s a level of wealth and prestige associated with this town, as it’s home to some of the most expensive real estate in the country, including the large mansions on its waterfront. And now, Oakville will be home to a brand new development, Minto Oakvillage.

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