new to buying rentals

[jawsdivercan]

Hi everyone I have been reading on here for a bit now and I have a few questions . I have decided ,I think lol, to get a rental property and have a few concers as a new landlord . first off how many of you have had bad tenants ,BTW I live in BC and am concentrating my search for a proprety in the Edmonton Alberta are on the inside area of the Highway circle , in that area of edmonton and if so how often does it happen ? I would assume that with retals at 1.5 % people would take care of them and try to stay in one place for as long as possibe but I know there are always renters that dont care because its not theirs. I plan on using a property manager that lives in the area and tenants will be prescreened prior to being offered a lease .

What is the best ROI property ,Condo ,apartment, detached house ,to get as a rental ?

How many months throughout the year can I expect that is will be vaccant ?

I have the funds sorted out and am preapproved and ready to buy but since I started the process and the more time I have to think about all the hassels IG grow ops , meth labs , damage to properties ect. And I start almost convincing myself its a bad Idea. I own my own home in the Surrey area of Vancouver bc and as those of you know the lower mainland of bc is not the cheapest place to buy a house .

From the research I have done Calgary Edmonton are the two best places in Canada to buy rentals and their projected to have a big growth over the next few years. I am looking at this as long term investment , I am 43 and looking to secure properties that will pay when i retire . I am thinking at the moment of hopefully aquireing 5 or so rentals , If I dont get scard and scrap this whole idea .

From a landlord /invester standpoint did you fell apprehencive on the first purchace of a rental ? Is what I am feeling normal ?

Sorry for the many questions but i would rather ask them before than to find out after about big nightmares in inter province transactions .

Or is it better to buy a rental close to me so I can keep a close eye on it ?

BC has the PTT that I believe Alberta doesnt witch saves 20 thousand plus .



Thanks for reading and for your resposes.



J

 

[sisoma]

HI there.. see below

first off how many of you have had bad tenants

I have had about 3 bad tenants.. You can do as much checks as you like but sometimes stuff happen in there life that is very hard for them to overcome. Some will go peacefully and i had a few where just wouldn't leave. (more on the lower income) so i learn to tighten up the rental agreement clauses and for the first little while go and collect money and do a brief walk around.

What is the best ROI property ,Condo ,apartment, detached house ,to get as a rental ?

depends on the cash flow... but condo's and appartments you have to deal with condo fee's.. my opinion.. HOUSE.



How many months throughout the year can I expect that is will be vaccant ?

Depends on the area. But nowadays vacancy rates are low. so you should be good if your not asking too much .



From the research I have done Calgary Edmonton are the two best places in Canada to buy rentals and their projected to have a big growth over the next few years. I am looking at this as long term investment , I am 43 and looking to secure properties that will pay when i retire . I am thinking at the moment of hopefully aquireing 5 or so rentals , If I dont get scard and scrap this whole idea .

From a landlord /invester standpoint did you fell apprehencive on the first purchace of a rental ? Is what I am feeling normal ?

Sorry for the many questions but i would rather ask them before than to find out after about big nightmares in inter province transactions



I have a house available with a tenant signed on for 2 years. In a mature neighborhood and paying $1800 +utils for rent. let me know if your interested.



Or is it better to buy a rental close to me so I can keep a close eye on it ?

IF your from afar it's best to have a competent property manager or someone you can trust.

 

[Sherilynn]

ROI is not the only consideration, especially for remote landlords. The highest ROI is often with suited houses, but they also tend to have the highest tenancy turnover and repairs, so they are more work. The lowest ROI is often with condos (depending on condo fees), but a well-run condo corporation eliminates a lot of hassles for investors (such as exterior and common area maintenance).



Vacancy will depend on the type, location, and condition of the property, as well as how well the tenants are treated. We keep on top of issues and try to upgrades something at each property every year. We also give the tenants gifts for Christmas and lease renewals. Tenants who feel taken care of are more likely to stay. Furthermore, properties that are well-maintained and nicely upgraded will never be empty for long, even at premium rents. We have had zero vacancy at all of our properties, even through the recession. (Of course, we budget for 4% regardless.)



You should consider joining REIN. You can get an excellent education on all aspects of real estate investing, and you can meet experienced investors and learn what works for them (or doesn't work). The membership fee is very small compared to what you stand to gain.



Another avenue to consider, especially for novice investors, is to partner with an experienced 'real estate expert' who lives in the area. That way you get the benefit of someone's expertise in buying the property, managing the investment, overseeing repairs and upgrades, etc., and the local partner can keep an eye on things. Of course, this involves giving up some of your profits, but it can be a completely hassle-free way to get into real estate investing in your desired area.



One final note: Edmonton rocks!

 

[jawsdivercan]

Thank you Sherilynn , you have some really good points .

 

[Sherilynn]

My pleasure!