USA vs Canada. Investment vehicles

[Investor2017]

Hello,
Where do you prefer to invest right now and why: USA or Canada?
What investment vehicles: SFH, Multifamily, Office, Industrial, Retail, storages...?
My understanding is cap rates for the above vehicles are low in Canada and a lot of investors are trying USA. It is probably not easy to do from Canada as you don't live in USA.
I am in Vancouver, BC, still in research phase where and on what to focus, educating myself. Everything is expensive in Vancouver, and I will start with 30-40K and joint partners most likely.
What resources do you use for your research?
Any other investment groups besides REIN?
Thanks

 

[Tina Myrvang]

Have you considered outside of Vancouver? The Fraser Valley is very vast and many young families are moving out there.

 

[Matt Crowley]

Some of the most interesting projects at that ticket right now are through crowdfunding if you are very good at due diligence. The reason this is interesting right now is that companies are largely going on these platforms not to raise the whole equity stack but to gain some market exposure and proof of concept in the marketplace...often the crowdfunding pieces are <10% of the equity stack.

In Canada, check out:
https://www.r2-re.com/

For U.S. investments, to get an idea of return / risk profile, check out:
https://www.sbrefunds.com/invest/
https://app.crowdstreet.com/properties/

No need to DIY to invest in the U.S.

If you are interested, we do a fair amount of investing in U.S. with $600 million assets under management. Focus on value add and core plus strategies. In Canada, we have a fund focused on distressed / opportunity real estate in Western Canada.

 

[Rickson9]

My understanding is cap rates for the above vehicles are low in Canada and a lot of investors are trying USA.

Where have you been? Investors were furiously buying US property from 2009 to 2014.

Back then, a Canadian had all the time in the world to buy property that had 20% gross rental yields. You could buy them all day long. There was inventory as far as the eye could see.

Today you might find yourself a bit late to the party unless you have boots on the ground and can move fast.

It is probably not easy to do from Canada as you don't live in USA.

As long as you have internet access and a phone, buying US property from Canada is easy.