Becoming A Toronto Property Investor

By: Thomas Cook

Becoming A Toronto Property Investor


Buying a rental property is a great way to increase wealth and invest in the real estate market.
A little planning and using a real estate professional along with a mortgage professional will help make this process a smooth and successful one.
Every market is different but the basic goal is the same… how to have your money make you money.
With a rental property, lenders consider not only the borrower’s income, expenses and their credit rating but the rental potential of the property itself.
If you’re looking at purchasing a multi-unit building (up to 4 units), an analysis of the income and expenses plays a major part in determining the value of that property and how much the lender will give you as a mortgage.
Other single-family properties like houses or condo suites will have their value determined strictly by what other similar homes have sold for in the very recent past.
Another big consideration is deciding on what type of return are you looking for and the length of time you want to hold onto that investment.
Returns will vary according to the amount of down payment you put on your purchase.  By the way, lenders have strict guidelines as to the minimum down payment they require when the purchase is for an investment.
Some investors want a cash-on-cash return (often very difficult in Toronto’s current extremely strong seller’s market.  Others are not so worried about month-by-month cash flow and are more interested in long-term appreciation.
A Realtor will inform you about how much expected income could be generated by specific properties and a mortgage broker can show you how to leverage your existing cash or equity in other properties for a down payment along with ensuring the property you buy cash flows.
Using experts on both the purchase and for the mortgage financing will help make you money.
Thomas Cook


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Here are 5 proven ways to move safely and smartly towards your real estate buying goal...

  1. Download a free copy of my Ultimate Home Buyer’s Guide book
Find out everything you need to know about buying a Toronto house or condominium. Instead of randomly searching all over the internet, jump start your home buying experience and get a wealth of expertise and experience in one place.

Download your Guide here
  1. Get a custom listings search set up for you and receive targeted listings daily
If this list is not specific enough for you, we can put together a custom list of homes.  Maybe you want only 2-bedroom condos in specific neighbourhoods, or only semi-detached houses, or even a certain school zone. 
We can set up your HOMEWatch search for any area you choose (not just downtown Toronto), and you'll get immediate access to homes within minutes of them being listed.  Just leave some search criteria here
  1. Set up a step-by-step plan with the best ways to get to your home buying goal
At the beginning of the home buying journey, often the picture of what the end result might look like is a little ‘fuzzy’.
Our first-time and move-up buyers have told us that being able to meet with us on a casual basis as early in the process as possible, even if their purchase date was 6-12 months away, really worked the best for them.

To arrange your no-obligation Starbucks Strategy Session, click here.
  1. Join us for a Market Experience Tour - pick your favourite neighbourhoods and price range
Start getting educated about what your condo likes and dislikes are. 
The Market Experience Tour is a great way for you to figure out which neighbourhoods and condo buildings are right for you, and you’ll also get a good sense of what’s available in your price range.
Pick the date and time you like to go on your Tour.
  1. Don’t start your home buying experience on the wrong foot - Meet for a Buyer Consultation first!!
Home buyers have come to us after trying to work with another agent saying “I don’t think he even knows exactly what I’m looking for and I’ve got questions he doesn’t have the answers to”.
Don’t make the same mistake.  Let’s set a time to meet and go over how the complete home buying process works, find out what your likes and dislikes are and what pitfalls you’ll want to avoid, before you seriously start looking for a house or condominium.
This is the best 90 minutes of time you’ll ever spend - set up your private Buyer Consultation.