Real estate risks that'll topple you
The most successful investors, in any sector, are those that refrain from wearing rose-coloured glasses, writes investing veteran Paul Kondakos. Instead they ask the hard questions and look for the weakness in their prospective investment in order to make fully informed decisions.
So, here, according to Kondakos, are the key risks investors in multi-unit residential properties have to be aware of: (1) Economic Risk, (2) Political Risk and (3) Property Specific Risk.
And here are the strategies he proposes to mitigate those risk, where, of course, possible.
Generally speaking, Canadians are in an extremely enviable position economically. Our real estate market has not only survived, but thrived, while other markets have collapsed around us. Even though foreign dollars are investing in Canadian real estate as a safe haven, investing can still be a risky proposition.
Read the full article
here.