Ty Lacroix Broker of Record
181 Commissioners Road W London, ON N6J 1X9
Phone: 519-435-1600 Email Ty

Condos As Investments in London Ontario?


                            How You Can Create a Real Estate Income Machine

               Grow Your Wealth Slowly With Real Estate

                           People Always Need a Place To Live

 

The average person today has many investment options. How many of them can be considered self-financing? The key to self-financing investments is those that offer recurring income. What investment choices do we have that are truly self-financing? Let’s take a look at a few of the most popular investments people make to see if they are self-financing:

 

STOCKS: For the most part, stocks are not-self-financing because they do not regularly pay income to the investor. Only stocks that regularly pay dividends would fit our description as self-financing. Doing some quick Internet research, you can find approximately 300 stocks paying consistently monthly dividends. Only these 300 stocks might be considered self-financing out of the thousands of stocks available.

 

MUTUAL FUNDS: In most cases, these investments are not self- financing. They do not regularly pay income to their shareholders. Yes, some do but most don’t. Those that do, and re-invest income toward acquiring more shares, come with transaction costs that severely eat into the investor’s income.

 

BONDS/CDs/MONEY MARKET ACCOUNTS: The majority of bonds pay interest income to the investor. These bonds would be self- financing. However, Zero Coupon bonds would not considered be self- financing because they don’t pay interest until maturity. That’s hardly perpetual money-making. Another challenge with these investments is they usually don’t pay a very high rate of return.

 

LENDING MONEY: Loaning money to others would be self-financing if your borrower paid interest each month. The interest income you received could be used to loan additional funds to other borrowers.

Lending money is risky if you don’t acquire some form of protection, such as a lien, on their property. However, with this higher risk, you’ll find higher rates of return. The other downside to lending money is the lack of investment appreciation. Throughout the loan payment period, your profits are tapped out at the interest rate charged.

 

REAL ESTATE (HELD FOR RENT): Now, I’m a bit biased on this investment choice. But real estate is one of the best self-financing investments you can make. This is because it pays for itself and, in many cases, it provides additional income that can be used to purchase additional investments.

 

Why is this idea of self-financing so important for investors? It’s important because self-financing investments help you build wealth faster. With investments that are NOT self-financing, you need to use your own money to acquire more of the investment.

With a self-financing investment, you can use income from the investment to acquire additional investments.

 

 How do you do that?

 

​ Your first step is to download the the report below, because:

 

  Being an investor in small real estate properties will not make you rich overnight, but over time you can build what I call slow wealth! You make money in real estate when you buy, not when you sell! All my client’s do well with this philosophy that I share and as J.P. Getty said “Investors bank on climate, while speculators bet on the weather.”

 

14 In Your Face Hard Knocks About Real Estate Investing
I have spent a lot of time studying and working with wealthy real estate investors and I am not talking about the flashy ones or the jet setters, I am talking about the person who looks and acts like your neighbour next door, yet has a portfolio of 5 or more properties. They could be condos, single family houses or multi-family homes and whatever they are comfortable with; they take the attitude of slow and long term growth. They do not flip, they do not take excess risks and they are great landlords because they know the secret to being a successful landlord.
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Wise Condo Investors London Ontario


 

                     Buying a Condo As an Investment?

 Over the years I have help investors buy properties and one of the better investments are condo townhouses, especially for out of town buyers and those who wish to be less hands on. Here are a few ideas.

  Some Smart Buyer Examples!

  Over the past few months I and my associates  have worked with 7 under 30's men and woman who wisely bought either a condo apartment or a townhouse in London Ontario and had help in reducing their living expenses and for two of them, earning about $200 month over their mortgage, taxes, utilities and condo fees!

  buying real estate in London Ontario the right way

  How did they do it?

   Not to make this article a 30 minute dissertation on my principles on  investing and for brevity sakes, here is how one did it.

  He works for a gaming company here in London and by his words, a 'nerd'. He had been following my blogs amd website for 8 months and finally emailed me that he was thinking about buying a house or a condo in London.

   We met in my office and went over his perceived criteria, his fears , financing and his ideal property for resale because he felt headhunters would be coming after him in a year or two and wanted to ensure that if he sold his property, he could come out ahead and make some money.

nerd buying a condo

 After doing what I call 'Market Education' (we looked at 3 houses in various parts of London & 4 condos, 2 apartments and 2 townhouses) we then sat down again and he was much more informed of what he could afford and the style he preferred. He chose a townhouse because of the long and weird hours he was working and thought a hammer was a female hamster! (I s**t you not!)

 At his work, his company is growing rapidly, people coming and going and we discussed about how he could maybe rent out a room and still have privacy, yet help in paying down his mortgage.

  Well, that was a no-brainer! He had 5 co-workers who jumped at the idea. I helped him buy a 3 bedroom townhouse for a good price that offered some  individual privacy and a place that was move in ready.

   His mortgage payments, condo fees and taxes came to $912 per month ( he was paying $850 a month for a dinky apartment) and got a co-worker to rent a room for $500 per month and share the utilities! Also, I suggested he meet with one of the lenders I use, ( he said he was pre-approved by a morgage broker , I said he should get another opinion), which he did, and he saved .7% in interest fees, less hassles and did not have to spend 13 hours filling out forms, documents and what colour socks he wore!

 Who's the nerd now? 

   He was so pleased in how the whole process worked, he referred me to some of his co-workers, even one of the co-founders of the company. They are happy and I am happy!

happy nerd buying real estate

  You can be too!

  Contact Us Condos in London


Inside Scoop on Real Estate Investing in London On


If you like what you have read so far and would like the inside scoop on real estate investing in London Ontario & area, Landlord & Tenant Act, tax tips & plain, simple investor tips, here you go. These are reports, not a constant barrage of hire me, blah blah stuff. You are never, ever under any obligation and you will never be spammed, bullsh**ted or get reality TV crap.








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