Archives for April 2013

Electrical Lessons With Master Electrician – Episode #148

We walk through a house with Master Electrician Hamid Reza and provide you with important Electrical Lessons.

Whether you are a personal home buyer, seller, or an investor, this video will share some important information regarding the electrical matters in a typical 3 bedroom house in Toronto.

If you have any questions about the wiring in your home or a home you are looking to purchase, feel free to contact Hamid Reza from HRM Electrical Inc at 416-554-1698.

Have an electric day!

 

Approaching The Trenches Again With Jeff Reed – Episode #147

Here we are again…approaching the trenches with Jeff Reed, who is a veteran real estate investor and house flipper.

His course officially begins May 1st and his course information session is on Saturday April 27th at 11am. Location: 326 Carlaw Ave, Toronto ON.

Call myself 416-885-2010 or Jeff Reed 416-771-6672 to sign up.

Watch this video for a sneak peak of what is to come.

The course outline will cover the following topics:

1. Selecting and analyzing potential investment properties
2. Organizing yourself for the offer
3. Identifying ways to create equity by renovating
4. Permits and Zoning options
5. Screening potential contractors
6. Subcontractors / Contracts
7. Roles and responsibilities of the owner / Empowering the Contractor
8. Commencement of work
9. Critical path / Order of operations
10. Managing money
11. Safety and risk management
12. Quality control
13. Managing the Engineer, Architect, Designers
14. Completing the renovation
15. Closing out all permits
16. Warranties and service work
17. Refinancing the mortgage

If you haven’t seen Jeff’s renovation projects before please review them below:

Episode #47 – Renovating a Prime Beach House
Episode #55 – Tales From The Trenches With Jeff Reed
Episode #57 – Exposed Brick Walls
Episode #59 – Plumbing Inspection in a Home Built in 1885
Episode #65 – Concrete Pouring Day
Episode #75 – The Roof Is Off
Episode #82 – Managing Neighbours During Renovations
Episode #89 – Learn How To Flip Houses
Episode #101 – Converting a 400k Home Into a Million Dollar Home

For More details you may visit Jeff’s website by clicking here: Priority Management

Fire Next Door – Episode #146

You submit an offer on a house you love and the offer gets accepted!!!

You do your home inspection and everything passes with flying colours. Now you just wait for the closing date to arrive. But in the meantime, you want to have a visit to the property to take some measurements and perhaps to show your friends and family the beautiful new house you just purchased.

You arrive at the house and realize the house next door that is attached to yours has caught fire! Now what? You haven’t even taken ownership yet. Who is responsible? What if there is obvious damage? Even worse…what if there is hidden damage? Do I still need to buy it or can I walk away?

True story…Watch the video and see what happen. If you have further questions about the details feel free to contact me…I’d be happy to share.

How $150,000 Can Bring You $1000 of Monthly Cash Flow in Toronto – Episode #145

If you are wondering about how to build a retirement plan, how to supplement you or your spouse’s income or perhaps how to make more money, then consider this strategy.

If you have access to $150,000 through Cash, Line of Credit, Equity, or RRSP’s, then consider this…purchasing a house with a basement apartment in the upper beaches of Toronto. These are real life examples that I’m about to share with you!

— Effective Spring of 2013 —

Real Life Example:

Purchase Price: $600,000

Down Payment: $120,000 (but taking into consideration legal fees, land transfer tax and 10-15k worth of renovations to get your place into rent-ready condition) = $150,000

Mortgage Amount: $480,000

Monthly Rental Income:
$2500 (Main Unit) + $1100 (Basement) = $3600

Monthly Operating Expenses:
Property Tax $250
Insurance $100
Utilities $0 (Paid by Tenants)
Vacancy/Repairs $200
Total = $550

Monthly Mortgage Payment: Around $2050 with today’s interest rate of the low 3% range.

You total monthly Cash Flow is $1000 in your pocket!!

Now what about :

1. Appreciation (Averaged between 6-8% per year over the last 5 years)

2. Mortgage Paydown (Use your Cash Flow to pay down your mortgage faster – depending on how aggressive you are: 10 years – 15 years

3. Tax Benefits (write offs, corporate structures)

This all leads to Long Term Wealth Building.

After you pay this house off, your total net income in your pocket will be around $3000 / month (Not to mention a mortgage free house that you now own probably worth close to a million dollars in 10 to 15 years). My question to you is this: How many of these do you need in order to live the lifestyle you want? One? Two? Maybe Three?

Again, these are real life examples and I can show you many more! I hope this gives you a different perspective to investing…I am sure you have more questions so please feel free to contact me. Until then, keep smiling and have fun!