Flipping Houses in Canada

[tdrealestate]

Hi Everyone

I made a posting last week regarding "Looking for a Mentor in the GTA" and i thank everyone who decided to respond to my posting.

I am now inquiring into a book for flipping houses "Flipping Houses of Dummies", because i want the best of both worlds flipping houses and rental properties.

Before I purchase "Flipping Houses of Dummies" has anyone use this book to flip houses right here in Canada, I don`t want to end up buying a book that is written for americans.

Also any other recommedation of books of Flipping Houses in Canada, would be appreciated.


Thanks

Terry and Debra

 

[RedlineBrett]

To make a long story short flipping is a lot of work and the money is not as good as it seems.

Having made money both flipping houses and through rental properties my advice to you would be to stay away from anything with `dummies` in the title and get your membership in REIN.

My real estate journey started as a `house flipper` and then I stumbled across REIN. I would have made more money if I did the REIN thing first.

Go and buy your first three rental properties and only then consider getting into the flip game. MANY of the sound business skills you will hone buying and managing those first three properties will help you out immensely if you choose to dial up the risk and start turning doors over.

$0.02

BT


QUOTE (tdrealestate @ Jul 2 2008, 07:22 AM) Hi Everyone

I made a posting last week regarding "Looking for a Mentor in the GTA" and i thank everyone who decided to respond to my posting.

I am now inquiring into a book for flipping houses "Flipping Houses of Dummies", because i want the best of both worlds flipping houses and rental properties.

Before I purchase "Flipping Houses of Dummies" has anyone use this book to flip houses right here in Canada, I don`t want to end up buying a book that is written for americans.

Also any other recommedation of books of Flipping Houses in Canada, would be appreciated.


Thanks

Terry and Debra

 

[DianneDachyshyn]

Thanks, Brett. I wanted to make the same suggestion, but you beat me to it!

My suggestion would be to stop looking for the get rich quick approaches and just get rich the REIN way. Slow and steady wins this race, and it`s not that slow! Join REIN and learn the fundamentals and principals that will make you a solid investor. You won`t be sorry. We have been REIN members for just over a year, and we have not regretted joining. What we have learned has saved us over an above what we have spent on membership or what we might have gained by flipping a property or two. We now have six solid, cash-flowing properties.

Yesterday we worked on entering our data into REMA and except for the frustration of learning the program (argh!!), we were smiling all day because of what the numbers were telling us. We marvel that we have accomplished so much in one year, and we are not unique.

Many thanks to Don, Russell, Barry, Peter and the entire team of dedicated individuals who have helped all of us achieve success in real estate.

 

[tdrealestate]

QUOTE (RedlineBrett @ Jul 2 2008, 08:16 AM) To make a long story short flipping is a lot of work and the money is not as good as it seems.

Having made money both flipping houses and through rental properties my advice to you would be to stay away from anything with `dummies` in the title and get your membership in REIN.

My real estate journey started as a `house flipper` and then I stumbled across REIN. I would have made more money if I did the REIN thing first.

Go and buy your first three rental properties and only then consider getting into the flip game. MANY of the sound business skills you will hone buying and managing those first three properties will help you out immensely if you choose to dial up the risk and start turning doors over.

$0.02

BT

Thanks for your advise Brett and is greatly appreciated, I believe I am going to follow your advise regarding buying a few rental properties first and then over time flipping houses once I am more seasonal as a investor.

At this present time, I can not afford the cost of a REIN Membership. But I have already brought both "Real Estate Investing in Canada" and "97 Tips for Canadian Real Estate Investor" and read them both.

I was hoping to find someone in the GTA who is a REIN Member, that could assist me and my partner starting off. Then eventually join REIN to get more educated.

Once Again Thanks


Regards


Terry and Debra

 

[joeiannuzzi]

One thing you may wish to look into is the REIN Renovation package. It is a complete self contained system for renovating using minimum cash for maximum returns and was put together by two Alberta REIN members who have done over 800 renos. If you contact the REIN office, they can give you more details on this.

Their number is 1-888-824-7346 or emial is [email protected]

 

[terri]

QUOTE At this present time, I can not afford the cost of a REIN Membership. But I have already brought both "Real Estate Investing in Canada" and "97 Tips for Canadian Real Estate Investor" and read them both.

I was hoping to find someone in the GTA who is a REIN Member, that could assist me and my partner starting off. Then eventually join REIN to get more educated.

hi Terry and Debra,

I was off work due to medical issues when I decided to start investing in real estate. I had no income and was not elegible for unemployment or disability. I thought that I couldn`t afford to join REIN either, but realized that I couldn`t afford not to because I didn`t have a huge source of income to fall back on if I made mistakes. There was no room for mistakes, so I needed to do everything right. I needed to take all the support, guidance I could get. You say that you can`t afford to join, but can you afford not to? Look at it as an investment in yourself.

BTW, that was 3 years ago and so far I haven`t had to go back to work. I do this full time now. I`m about to do my first flip in downtown Toronto and feel very confident about it because I now have enough experience to know what to expect, how much things are really going to cost and I`ve built up a team of reliable tradespeople that I can count on. Had I tried to do a flip early on I would have probably lost a lot of money.

Feel free to contact me if you want to talk. I invest in Toronto. I`m not sure what part of the city you are looking to invest in, but perhaps I can be of some help.

Terri
[email protected]

 

[Thomas Beyer]

flipping works IF
a ) you are experienced
b ) you know the market very well (i.e. you own a few properties IN THE AREA where you intend to flip)
c ) you know the property type very well (i.e. you own a few properties you intend to flip)
d ) you have the cash to hold without income for several months
e ) the market is rising fast .. or you buy WELL below market
f ) you, or someone you know, can renovate very fast
g ) you keep expenses, incl. legal and realtor fees very low or in-house (i.e. you are a realtor)

After you count ALL costs, namely:
- legal fees in
- legal fees exit
- realtor fees
- taxes !!
- reno costs
- holding costs like utilities, property taxes
- marketing expenses

you will likely make not as much as envisioned

I tried a few flips over the last 5-6 years .. and came out OK with some and negative with others .. so now, like many in this forum, decided to hold at least 2-3, often many more years, with far higher and far more predictable upside .. with cash-flow and equity upside !

P.S.: note the book is called "Flipping for Dummies" .. and not "Profitable Flipping for Dummies" or "Successful Flipping for Dummies" !!

 

[dplummer]

It is also written for our friends south of our boarder.
Doug

 

[tdrealestate]

QUOTE (thomasbeyer2000 @ Jul 2 2008, 03:05 PM) flipping works IF
a ) you are experienced
b ) you know the market very well (i.e. you own a few properties IN THE AREA where you intend to flip)
c ) you know the property type very well (i.e. you own a few properties you intend to flip)
d ) you have the cash to hold without income for several months
e ) the market is rising fast .. or you buy WELL below market
f ) you, or someone you know, can renovate very fast
g ) you keep expenses, incl. legal and realtor fees very low or in-house (i.e. you are a realtor)

After you count ALL costs, namely:
- legal fees in
- legal fees exit
- realtor fees
- taxes !!
- reno costs
- holding costs like utilities, property taxes
- marketing expenses

you will likely make not as much as envisioned

I tried a few flips over the last 5-6 years .. and came out OK with some and negative with others .. so now, like many in this forum, decided to hold at least 2-3, often many more years, with far higher and far more predictable upside .. with cash-flow and equity upside !

P.S.: note the book is called "Flipping for Dummies" .. and not "Profitable Flipping for Dummies" or "Successful Flipping for Dummies" !!
Thanks for providing the information which a newbie like myself and partner to help us a formal decision about attempting to flipping houses with no experience and knowledge to guide us. I believe the majority of posting i receive advise against it as a starting point, base on their own personal experience.

Also base on the information you provided above, We have come to a conclusion that someone like myself and my partner entering the real estate investment arena, flipping house to start our real estate careers is not a wise descision at this point of time.

We will still continue to learn how to walk before we can run when it comes to become to be a successful real estate investors, and stick to rental properties. I most likely want to start on buying and renting condos units, since condo fees handles the properity management portion.

Once again thanks you, and everyone else for their response.



Terry and Debra

 

[housingrental]

Hi TD - Note you`ll still have to learn how to manage your unit (or hire someone) if buying a condo to rent out - the condo fee only covers the common area`s maintenance

 

[tdrealestate]

QUOTE (housingrental @ Jul 3 2008, 05:35 PM) Hi TD - Note you`ll still have to learn how to manage your unit (or hire someone) if buying a condo to rent out - the condo fee only covers the common area`s maintenanceThank

I know the "97 Canadian Real Estate Investors" includes a "Condominum Purchase Due
Diligence Checklist", thanks for the advise. I will do further Diligence checking when the times arrives.


Thanks


Terry and Debra

 

[tdrealestate]

QUOTE (terri @ Jul 2 2008, 11:29 AM) hi Terry and Debra,

I was off work due to medical issues when I decided to start investing in real estate. I had no income and was not elegible for unemployment or disability. I thought that I couldn`t afford to join REIN either, but realized that I couldn`t afford not to because I didn`t have a huge source of income to fall back on if I made mistakes. There was no room for mistakes, so I needed to do everything right. I needed to take all the support, guidance I could get. You say that you can`t afford to join, but can you afford not to? Look at it as an investment in yourself.

BTW, that was 3 years ago and so far I haven`t had to go back to work. I do this full time now. I`m about to do my first flip in downtown Toronto and feel very confident about it because I now have enough experience to know what to expect, how much things are really going to cost and I`ve built up a team of reliable tradespeople that I can count on. Had I tried to do a flip early on I would have probably lost a lot of money.

Feel free to contact me if you want to talk. I invest in Toronto. I`m not sure what part of the city you are looking to invest in, but perhaps I can be of some help.

Terri
[email protected]

Hi Terri

Thanks for the inspiring story against all odds, and we are sorry to learn about your Misfortune in the past. But we also glad to see you have became successful by joining REIN, and planning to flip your first house downtown toronto. Your future looks very bright, there is a saying "Every misfortune is a blessing" and it appeared you got blessed.

I am just inquiring, what`s the difference of reading both REIN books and then performing my due diligence as suggested in both books, and also getting support from members advise from the forum and then joining REIN at a later date, when i obtain my first property and use that money towards the membership cost.

Thanks again


Terry and Debra

 

[DianneDachyshyn]

QUOTE (tdrealestate @ Jul 4 2008, 09:02 AM) Hi Terri

Thanks for the inspiring story against all odds, and we are sorry to learn about your Misfortune in the past. But we also glad to see you have became successful by joining REIN, and planning to flip your first house downtown toronto. Your future looks very bright, there is a saying "Every misfortune is a blessing" and it appeared you got blessed.

I am just inquiring, what`s the difference of reading both REIN books and then performing my due diligence as suggested in both books, and also getting support from members advise from the forum and then joining REIN at a later date, when i obtain my first property and use that money towards the membership cost.

Thanks again


Terry and Debra

I don`t know why you would short change yourself by scrimping on the membership fees. The support and the dynamics of the group are worth more to you than the few hundred dollars of cash flow each month. Have a look at what you spend your money on and see what you can cut out to pay for your membership. It likely wouldn`t be difficult. Chances are if you aren`t ready to sacrifice now to pay for membership, you won`t later when you have more money. We all tend to spend what we earn.

As I said in a previous post, REIN membership is invaluable.

Dianne

 

[lanedry77]

QUOTE (tdrealestate @ Jul 4 2008, 08:02 AM) I am just inquiring, what`s the difference of reading both REIN books and then performing my due diligence as suggested in both books, and also getting support from members advise from the forum and then joining REIN at a later date, when i obtain my first property and use that money towards the membership cost.
Hi Terry and Debra,

I think you`ll find that the REIN books have about 25% of the info that REIN does, and while it`s a good starting spot (as in to realize that Real Estate is the right path), you will not get the same level of detail from the books and this forum as you would from a full membership.

But, it is a viable option to read the books and start from there. but don`t think that`s the full REIN experience.

You may consider attending a quickstart event or buying the `quickstart home study` kit. Even without membership, that would provide you a much more comprehensive education to start your investing.

Those are just my thoughts.


David.

 

[terri]

Hi Tmy story wasn`t meant to be an against all odds inspirational kind of thing, only to point out that I had no money, no job and still was able to pay for the membership because it helped me to make the right choices and grow

The book is a good introduction but the book can`t talk back, answer questions.
It will give you the general concept and guidelines of how to invest saftely but it won`t give you current economic fundamentals, the most recent mortgage products. You can`t call or email the book if you have specific questions or concerns. But it really depends on what your long term goals are for investing. If you plan on just buying 1 property and you do your due diligence and follow the steps in the book then you are probably going to be fine, but if you plan on investing as a carreer then it`s good to keep up to date on changes in the market, economics, changes to the landlord tenant act, new mortgage products. I know that the $200/mo price tag seems hefty on one property and that might eat up all the cash flow that were expecting to make, so if you are stopping at one property then you may not need the group. If you intention is to buy more, then if you spead the cost of the membership over say 10 properties then that`s only $20/property. I`m not saying wait until you have 10 properties to join I think that joining REIN will help you get there. More importantly I hear people say that they`ve been investing for a while and wish they found REIN sooner because they would have made fewer mistakes along the way. It`s about investing now for your future.

Things change all the time in the market and the book is a few years old, the basic philosophy is the same but I think I`ve changed some of the details in how I work to accomodate.

Sometimes only one presentation at a meeting or one conversation with another investor can trigger an idea or though that will save me tons of money or help me figure out how to get the next property or just validate that I am on the right track.

Go to the quickstart and see what you think, the books only give you a small amount of information but they don`t keep you updated on a regular basis.

 

[tdrealestate]

QUOTE (terri @ Jul 5 2008, 07:51 AM) Hi Tmy story wasn`t meant to be an against all odds inspirational kind of thing, only to point out that I had no money, no job and still was able to pay for the membership because it helped me to make the right choices and grow

The book is a good introduction but the book can`t talk back, answer questions.
It will give you the general concept and guidelines of how to invest saftely but it won`t give you current economic fundamentals, the most recent mortgage products. You can`t call or email the book if you have specific questions or concerns. But it really depends on what your long term goals are for investing. If you plan on just buying 1 property and you do your due diligence and follow the steps in the book then you are probably going to be fine, but if you plan on investing as a carreer then it`s good to keep up to date on changes in the market, economics, changes to the landlord tenant act, new mortgage products. I know that the $200/mo price tag seems hefty on one property and that might eat up all the cash flow that were expecting to make, so if you are stopping at one property then you may not need the group. If you intention is to buy more, then if you spead the cost of the membership over say 10 properties then that`s only $20/property. I`m not saying wait until you have 10 properties to join I think that joining REIN will help you get there. More importantly I hear people say that they`ve been investing for a while and wish they found REIN sooner because they would have made fewer mistakes along the way. It`s about investing now for your future.

Things change all the time in the market and the book is a few years old, the basic philosophy is the same but I think I`ve changed some of the details in how I work to accomodate.

Sometimes only one presentation at a meeting or one conversation with another investor can trigger an idea or though that will save me tons of money or help me figure out how to get the next property or just validate that I am on the right track.

Go to the quickstart and see what you think, the books only give you a small amount of information but they don`t keep you updated on a regular basis.
Hi Terri

Once again we appreciate your response to assist us in our learning curve within the real estate investment industry, please don`t get me wrong. I have every attention to join REIN, I am sure there is a lot of benefits that I am not getting from the books as other members and yourself in the forum already pointed out. I am here on the forum to get any constructive criticism even it means I don`t like hearing it, but as long it`s the truth and I could learn from it.

Here was my INTIAL thoughts, I was planning intially to get my first property and used the cash flow to pay my monthly payment towards the membership fees. Also while i have the luxuary to the additional information as a REIN member, and at the same time put into practice what I have learn as a REIN member to purchase additional rental properties.

But now I am even considering to pay my REIN membership up front, I am making a large monthly payment towards my personal finances which should be done within the near future. This payment happened to be more then what i would of be paying for a montly REIN membership.

I just wanted to let you know, that i am planning to make real estate investment my next career for a life time. Buying numerous of properties within the GTA, then across Ontario, across Canada and US, then eventually across the world.

Who knows maybe one day in the distance future when I am very professional and seasonal real estate investor I might even rent a suite in Burj Dubai, which this building is taller then the CN Tower, would that be something. My apologies to everyone in the GTA of thinking such a thought

Anyways that`s very deep into the future, but now I am paying more attention to the near future and short term golds which is to join REIN and obtain for first Rental Property within the GTA. I`m even considering purchasing condo suite as a rental unit as first step. But before I take any action is to build my time team first, and I already got some very good advise from someone in the forum how take steps of building my team.

My situation right now is a lot better what you told me what happen to you in the past. If you could find the money so how to join REIN at the time. It most likely is going to be much easier for me with a full time job.

Anyways once again, thanks for your comments. They are always welcome.


Take Care


Terry and Debra

 

[terri]

excellent, hope to see you at a meeting in the future.

T.



and btw, it doesn`t matter whether it`s Belize or Dubia, just as long as you take the steps to get there.