anyone investing in Montreal?

[terri]

hi, I`m just wondering if anyone is investing in the Montreal area. I have a friend that owns a dulpex and wants to buy more. I don`t know much about Quebec other than the fact that have pretty strict rent control rules. I would love to speak with an experienced investor in the area and ask a few questions if possible.

thanks,
Terri

 

[lightfoot]

QUOTE (terri @ May 26 2010, 10:58 PM) hi, I`m just wondering if anyone is investing in the Montreal area. I have a friend that owns a dulpex and wants to buy more. I don`t know much about Quebec other than the fact that have pretty strict rent control rules. I would love to speak with an experienced investor in the area and ask a few questions if possible.

thanks,
Terri

HI Terri,

I live in Montreal, and want to buy a triplex. I too am seeking people that have done this already, to maybe do some networking in Montreal.

have you had aany luck and/or responses?

Steve

 

[cycle33]

hi,
i`m from around Montreal, i`m new in real estate, but i can tell you that in Montreal, it`s crazy prices for duplex and triplex at the moment (summer 2010). You may know that Quebec did not realy suffer from the money crysis of last year, so right now the real estate is unstable, and price for small plex have jump to the roof because people who have lost money in funds and actions are turning to real estate but most of then don`t know a thing about it and they buy at over price. I`m not saying there is no deal to be made, but be very carefull, specialy on small plex. There probably will be deals to come when those overprice building will have to substain the upward intrests rate to come.

 

[terri]

thanks for responding.

For some reason I thought there were more REIN members investing in the Montreal area. Would love to find out more about the landlord/tenant restrictions.

 

[housingrental]

Cycle: Re my last post this sounds like Waterloo.. Your post above actually sounds like most places in Canada with a population above 50,000

 

[REINteam]

Rules for landlords in QC (heavily tenant favored) make many investor think twice. Some members invest there, but you must understand the landlord/tenant laws - property management and in depth knowledge of the laws are a must. With that said, we do have members who invest there, but the most prominent duo I can think of don`t post often on here.

 

[cycle33]

I`ve discover that even if the Quebec rules are more strict, the fact is that the tenants doesn`t realy know then. That become an advantage for us landlords. Information and knowledge give power to those who have it. The more you seak outside big city, the less people knows about those rules, they even invent or believe things completely false.

 

[Nicola]

We have one property in Montreal. The rent control laws are strict and very tenant-friendly. There is no security deposit. Another thing to think about is that the vast majority of Quebeckers move on July 1. Therefore, if you buy, you should keep this in mind, as you may be face with many months of vacancy if you don`t have it available to rent on July 1 (as we learned ...)

 

[Pheenix]

QUOTE (terri @ May 26 2010, 10:58 PM) hi, I`m just wondering if anyone is investing in the Montreal area. I have a friend that owns a dulpex and wants to buy more. I don`t know much about Quebec other than the fact that have pretty strict rent control rules. I would love to speak with an experienced investor in the area and ask a few questions if possible.

thanks,
Terri

Hi Terri
Im not invested in Quebec. However, I had commercial dealings with a number of small Quebec based companies years (decades!) ago and had a number of difficulties doing so. I attributed most of the issues to the underlying differences in the legal systems and the business practices/contracts/cultures that arose.

Their legal system had a massive overhaul about 10 -12 years ago. This along with increased trade across the country and globally has created a system better aligned with the experience of, and understood by, those of us without exposure to the `civil code` rather than `common law` system.

Regardless of finding an experienced investor to help, do some additional research. You would be wise to talk to a Quebec based lawyer early, maybe a couple to ensure good advice. There are a substantial number of differences in terminology, in the implications of these, and therefore differences in a number of clauses you will want in your various contracts, the execution of various documents and filings, and possibly even the way you hold title.

These difference may be subtle but important to your dealings with tenants and various authorities. This is not intended to put you off investing there but merely a caution to adjust your thought patterns and asumptions to those prevailing in the area, as you would if looking at a more distant jurisdiction.

Hopefully there will be REIN members who can offer better, and more detailed, comments and advice.

 

[cmattric]

QUOTE (Pheenix @ Oct 17 2010, 08:00 AM) Hi Terri
Im not invested in Quebec. However, I had commercial dealings with a number of small Quebec based companies years (decades!) ago and had a number of difficulties doing so. I attributed most of the issues to the underlying differences in the legal systems and the business practices/contracts/cultures that arose.

Their legal system had a massive overhaul about 10 -12 years ago. This along with increased trade across the country and globally has created a system better aligned with the experience of, and understood by, those of us without exposure to the `civil code` rather than `common law` system.

Regardless of finding an experienced investor to help, do some additional research. You would be wise to talk to a Quebec based lawyer early, maybe a couple to ensure good advice. There are a substantial number of differences in terminology, in the implications of these, and therefore differences in a number of clauses you will want in your various contracts, the execution of various documents and filings, and possibly even the way you hold title.

These difference may be subtle but important to your dealings with tenants and various authorities. This is not intended to put you off investing there but merely a caution to adjust your thought patterns and asumptions to those prevailing in the area, as you would if looking at a more distant jurisdiction.

Hopefully there will be REIN members who can offer better, and more detailed, comments and advice.

I think the only way to invest in Montreal is student housing for starters. There are many international students willing to pay higher rents for a simple room. I know because I used to be one of them. That being said, a multiplex with a lot of room and common area, kind of a luxury dorm with on-site management, you can have a lot of cash flow. I am not sure about appreciation.

Target areas should be Atwater to Parc Avenue, don`t go north Ave de Pins, south of Rene Levesque, So around Concordia and McGill.

Two disadvantages I might add. Buildings are old, they need a lot of maintenance, hard to find good labor.
And believe me, people know the law, and will use to the bottom of it.

General rule of thumb, things move slow in Quebec Bureaucracy. (No offence to my REIN fellow members)

Regards,