Number of days on the market is low for the past 3 months compared to previous 9 months for the west zones in the GTA real estate marketplace

Graph showing the number of days on the market is low for the past 3 months compared to previous 9 months for the west zones in the GTA real estate marketplace

For more information please contact A. Mark ArgentinoA. Mark Argentino, Broker, P.Eng.,Specializing in Residential & Investment Real EstateRE/MAX Realty Specialists Inc., Brokerage2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1BUS. 905-828-3434FAX. 905-828-2829E-MAIL: mark@mississauga4sale.comWebsite: Mississauga4Sale.com

Landlord Services Property Management Tenant Matters

You may require Landlord Services for Property Management of your investment property here in Mississauga. I can help you collect rent from Tenants, manage the property, pay bills, and legal action on your behalf against bad tenants

You may want to read about

• Landlord Services that I provide or
• Investment property management

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Last 2 years sales prices and volumes in Toronto Real Estate marketplace

This graph shows the average single family residential sales prices and volumes in Toronto Real Estate marketplace for the past 2 years

Enjoy!

Mark

I hope this finds you Happy and Healthy!

All the Best!

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
RE/MAX Realty Specialists Inc.
Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
2 FAX 905-828-2829 ÈCELL 416-520-1577
› E-MAIL : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com

• Thinking of selling your home in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?


• Power of Sales and Foreclosures


• If you have not already signed up to receive my monthly real estate newsletter, you may do so here: On-Line Real Estate Newsletter sign up


• See seasonal housing patterns


• Would you like me to send you a 2010 Calendar?

Investment property purchase in the GTA and Mississauga

An investor that I know has contacted me with some very good questions about buying an investment property. I have shown his questions and my comments below in blue.

All the best,

Mark

Hello LS,

Yes, I remember you from some time ago, a very inquisitive man indeed!

I've put my answers below in blue for you to see.

Mark's comment: .

It may not have been the right time for you to buy last December when you first contacted me, but that was most definitely the right time to buy one or more properties. Values have increased about 10% since last December. I've blogged about this in the past, December 10th is the best time of year to buy a property. http://www.mississauga4sale.com/TREBprice.htm

Let me know your thoughts form my comments below and if you are ready to proceed. If so, my partner will also work with you and we will find you a suitable investment property

http://www.mississauga4sale.com/Investment-Property-Purchase.htm

Thank you,
Mark

This was his original email below with my answers in blue

---

From: LS
Sent: Sunday, November 15, 2009 11:34 PM
To: mark@mississauga4sale.com
Subject: Investment advice

Hello Mark Argentino,

• For quite some time I have reviewed the power of sale properties that your system sends. I am wanting to find a way to better understand the relation of expenses (for example on a 2 bdrm, 2 bath condo) and comparisons at varied down payment levels, with realistic rental rates likely achievable in certain areas. Mark's comment:This is a very good method of analyzing which properties are the best to invest .
  
• Are there spread sheets designed to assist? .Can a potential investor, get access to Days on the Market of these foreclosed properties, accurate comparison of recent similar sales, do banks have reasonable response time if an offer is presented? Mark's comment: Only if you have a real estate agent that is willing to do all this research and work for you .Do the banks have a growing number of such properties, preferred investor groups they reveal such information to? Mark's comment: Not a chance! If this were to ever leak out the banks would be sued for giving inside information .
  
• Can you help with strategy for getting an individual from a “one home investment level” to multiple positive cash flow properties? Mark's comment: yes, but to have a positive cash flow property is dependant upon your downpayment, the more downpayment you put on the investment, the closer to a positive cash flow you will have. Multi-unit properties are similar to single except you have more tenant headaches but at least they are all physically under one roof. As well, tenants talk to each other in multi-units so expect to get similar requests for improvements all at once! .
  
• I know that is a lot to ask, and a lot of questions, however without asking, I would be sure to get no answers. Mark's comment: Ask and ye shall receive and my credo is "If you don't ask you don't get" .
  
• I have selected several 2 bdrm condo units for discussion. I would be pleased to compare your best guesses as to likely sale price, mortgage rates, expected carrying costs, etc. Mark's comment:What property? .
  
• I have a carpenters knowledge of properties, and am trying to determine if I could make money by investing in properties. I am not intending to do renovations and flip them as I am a few years shy of retirement from the "blanked out" department, and too busy with back problems for that unless I were to sub-contract such work. Mark's comment:You fit the profile of a 'typical' investor .
  
• What I consider is condo properties that could rent with only minor repair, where common elements fees took care of the external unit, and the renter might be encouraged to rent to own, perhaps given an owner held second mortgage if they did not fully qualify with CMHC. Mark's comment: I agree, all of our investment properties are condominium townhomes, this way, as you say, the tenant does minor repairs on the inside and I don't have to worry about the outside maintenance .
  
• If I were able to find a bargain property I would consider forming a corporation and having it purchase my own home, then renting my home from the corporation, in order to free up some of my assets to purchase a second or third property if rental incomes or flip prospects made it viable to do so. Mark's comment: Why a corporation, you will have different tax levels, but it may be more difficult to obtain financing. I may be wrong on this, but the banks will usually want personal covenants on the mortgage unless the corporation has large assets and capital and has been in business a long time. .
  
• Is such a bargain property a needle in a haystack type search? Mark's comment: Absolutely! .

Closing,

Thanks, LS

Where is the Mississauga real estate market heading?

Many buyers are sitting on the sidelines waiting for 'the market to bottom out" My observations in the past when we have gone through difficult real estate markets (as we are right now) is that sitting back for a while may be the best course of action to take for some.

With that said, we just purchased another investment property. I feel that at least the townhouse market in west Mississauga has already bottomed out and did so back in December of 2008.

The problem with our local real estate market is that we will not know until about 3 to 6 months AFTER our market has turned that it bottomed out 3 to 6 months ago. This is almost always the case!

Plus, when the market turns, it goes up very fast.

Currently, there is plenty of pent up demand in the real estate marketplace and there are many people with cash sitting waiting to purchase real estate.

Certainly interest rates are favourable, they are at all time record low percentage rates, so this is no excuse not to make your move up or purchase an investment property.

I hope this finds you healthy and happy,

Mark

Search MLS properties in Toronto and Mississauga

You can search over 100,000 listings using the Public URL for MLS.CA or other mls Listings search using the link below:

http://www.mississauga4sale.com/mls-ca-real-estate-mississauga.htm

For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

Financial Meltdown past few months in GTA

This will give you some perspective on the drop in the TSX over the past few weeks.

The TSX Index is down about 36% from its high of just over 3 months ago. If you are like me, you are probably a little concerned about your investments in the markets.

If you've been watching the news or reading the papers you might be thinking this is a unique and horrific event. You might also be wondering what you should do in the short and long term.

First, this market meltdown is not unique. There have been 3 bear markets with even steeper losses in recent times including the tech boom and bust from August 2000 through to September 2001 with a decline in the markets of 39%.

As for being horrific and insurmountable – the one common feature of a bear stock market is: they all end and are replaced by bull markets.

If you believe the world will continue to develop and grow; if you believe Canada is well positioned with many of the resources needed to facilitate that growth; if you believe you need to achieve "real" returns in excess of the rate of inflation, you should believe it's time to invest.

There appears to be many opportunities in the financial markets. But, when is the bottom and have we hit it yet and is now the time to invest? My rsp's have dropped about 40% since July of this year, one would say, plow in a pile of cash into the market and reap the rewards over the next year or two. Or is the market still going to continue to drop? Anybodys guess. Some will turn out winners and some losers.

This graph bwlow shows the TSX Index values since January 2000 and you may note that even at today's value, an investment of $100,000 made in September 2001 is now worth about $147,000 – an increase of 47%. Click the graph to see it full size.

A review of the performance of various investments over the past ten years is quite enlightening. The chart below reflects the ten year period ending August 31, 2008 with an update to October 8, 2008 shown to the right for 5 selected Canadian funds.

The "safe" options have made steady money and continue to do so although the rates of return are quite modest.

House prices in the GTA have done very well with 12 consecutive years of increasing prices up until the 3% decline recorded this September. It may be that house prices have peaked and it could be a number of years before appreciable increases are seen again. If you are a client of mine, you know that the appreciation of the investment is not critical for a rental property, the tenant is paying off the investment for you. That's your largest return.

Even after allowing for the sharp decrease in market values over the past 3 months, the 5 selected mutual funds have each outperformed both the safe options and the housing option. So, if you've been invested in good quality funds over the past decade you have done well even though you may not feel this way over the past couple of months.

I say it may be the best of times because it looks like a good time to invest. More specifically it looks like a good time to borrow to invest.

· Interest rates are low (Prime + ¾% is available based on credit score only)

· The cost of borrowing is tax deductible

· Some are offering free interest for the first 3 months

Borrowing to invest is not for everyone. It should only be considered by those who:

· Are prepared to commit to a 10 year minimum period

· Are comfortable in their ability to maintain a payment schedule

· Understand it is possible to incur losses in the short and long term.

If you borrowed a $100,000 to invest 10 years ago:

· Total cost of borrowing was $61,700

· The net cost of borrowing was $41,340 (based on a 33% tax rate)

· The taxable capital gain ranged from $75,000 to $165,000

Would you be willing to commit to a net monthly cost of less than $300 for the opportunity to invest $100,000 today?

Or, would you be willing to invest some money into the real estate market where you will gain significantly over the longer term?

The choice is yours to make.

I wish you all the best,

Mark

Landlord and Tenants and the current rental marketplace

Good morning,

In light of the current economic crisis happening in the US and now in Canada, the rental market in Mississauga remains very tight. Most rental properties $1500 and under rent within a few days of being listed.

You are always safe when you have a rental property that is located near major amenities, such as The Erin Mills Town Centre or Square One or Heartland and one that shows well and is priced according to market rents. These properties tend to be the first ones that rent, everything else follows suit.

My experience also shows that similar to a property that is for sale, when a rental property shows well, it rents right away and at top value rent.

You cannot go wrong using an agent to list your property for rent. Reasons are many, but mainly because corporate relocation tenants and quality tenants all search rentals through the MLS and with an agent. Thus, if you are only trying to save a months rent by trying it yourself, you reduce your potential marketplace considerably. Quality tenants don't have time to scour the rental sections of the newspapers, they want everything online and my site and mls.ca provide this exposure for you.

Besides, how many agents do you know in Mississauga produce a virtual tour slideshow to market your rental property? Not many. Here is a recent example:
http://www.mississauga4sale.com/listings/5525-Palmerston-Crescent-Streetsville-GO.htm

If you need help with your rental property, please send me an email.

Thank you,
Mark

How to calculate if a rental property will carry or not

I had a question on one of my listings, a townhouse listed at $289,900 and let's say the final sale price is $285,000, the question was:

What are the condo fees, taxes and insurance and with 20% down can we make positive cash flow on this property? Thanks W .

My answer is:

Condo fees are $100 per month,

taxes say $200 per month,

with 20% downpayment your payments based upon a $285000 purchase price,

thus say 57000 downpayment, gives you a 228,000 mortgage at 1199 at 4.00% variable rate

your total monthly payments 1199+200+100 equals 1500 per month,

the property would likely rent for 1450 to 1550 per month, so it's right on the line.

Conclusion, this property is perfect for a 20% downpayment as an investment property.

This is the property:

Large Townhome at Eglinton and Creditview, must be sold $289,900!

So there you have it, simple calculations.

Thank you,

Mark

How To Minimize Interest Rate On Your Investment Property

With low interest rates and many attractive loan programs available today on residential real estate, now may be the perfect time to buy an investment property or second home. Be aware, though, that lenders charge somewhat higher interest rates for mortgages on non-owner-occupied properties. There's good reason.

Lenders consider investment property a riskier proposition because owners have less to lose by walking away from an unaffordable investment than from leaving a home they live in. There's a greater risk the owner could walk away should the property sit vacant for any length of time because an owner who relies on rental income to make the monthly payment can quickly run into trouble. In addition, a renter may not take care of the property as well as an owner who lives in it—eroding the property's value.

If you are considering purchasing an investment property or second home, here are a few things you can do to minimize the interest rate on the mortgage:

• Make sure your credit is in the best possible shape before loan application.
  
• Show the lender you can afford the payments without relying on rental income—or that you at least have enough cash set aside to weather several months of vacancy.
  
• Make a sizeable down payment—more than the 20 - 25% standard if possible. The more you have invested in the property, the less risky the loan from the lender's standpoint.
  
• Demonstrate your ability to rent out the property by showing low local vacancy rates and proof that your rental amount jibes with other rental properties in the area. Also let the lender know if a renter is already lined up for the property.

Read more about:

• Interest Rates


• Power of Sale Properties


• Price Trends


• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?


• On-Line Real Estate Newsletter sign up


• See seasonal housing patterns

Cottage Financing and CMHC

Hello,

The Canada Day weekend is here and many clients are enjoying Ontario's wonderful cottage country (in fact, some are enjoying cottage life so much that they are contemplating a purchase!).

Did you know CMHC insures vacation homes

CMHC will insure a property the borrower uses for vacation purposes as long as the property is occupied at some point during the year by the borrower, or by a relative of the borrower on a rent-free basis and meets CMHC's general property requirements including;

• The property is located anywhere in Canada and is suitable for, and available for, year round occupancy; and
• Properties located on an island must have year-round bridge or ferry access; and,
• The borrower's ability to occupy the property must not be restricted or limited at any time. Properties with seasonal use or access, time share interests, life leases, or properties in rental pools are not eligible.

Under CMHC's Second Home product, an individual can be a borrower/co-borrower on a maximum of two CMHC insured homeowner properties, including a vacation home which meets the above criteria. CMHC's Second Home product can also be used to purchase a home for a family member attending college or university away from home.

Enjoy the long weekend and don't hesitate in calling if you have any questions.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

REMAX reports that balance returns to recreational property markets

Balance returns to recreational property markets

across Canada this year, says RE/MAX

Mississauga, ON (June 10, 2008) --

After an extended period of extraordinary growth, more balanced

market conditions have emerged in recreational property markets across the country, according to a report

released today by RE/MAX.

The RE/MAX Recreational Property Report found that a substantial increase in the supply of recreational

properties listed for sale, combined with fewer buyers overall, characterized most recreational markets

this year. Of the 45 markets surveyed, 91 per cent (or 41 markets) were in the transition stage, moving

from strong sellers into balanced market conditions. The only exceptions were Salt Spring Island, two

markets in Saskatchewan—Last Mountain Lake and Qu'Appelle Lakes and Lakes Candle, Emma, and

Waskesiu -- and Newfoundland's East Coast —where inventory levels were relatively low. Affordability

was a primary factor in 35 per cent of markets surveyed, given serious upward pressure on recreational

values in recent years.

"Market conditions have shifted, but don't expect to see bargain basement prices or fire sales," says

Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada.

"The recreational market continues to experience solid demand -- a trend that is expected to continue

throughout 2008. The influx of new listings has yet to translate into downward pressure on recreational

property prices. Prime waterfront properties, while more plentiful than in year's past, will still command

top dollar."

Adverse winter weather conditions during the first four months of the year hindered recreational activity.

Sixty-seven per cent of markets reported softening in the number of sales year-to-date, while average

prices remained stable or experienced moderate increases over 2007 levels for the same period. Economic

concerns, fueled by negative GDP growth in the first quarter and soaring energy costs, have also played a

role in the transitioning market.

"We're coming off the longest period of economic expansion since World War II," says Elton Ash,

Regional Executive Vice President, RE/MAX of Western Canada. "Recreational property values have

appreciated beyond our wildest dreams across the country. More balanced market conditions are a

welcome change for purchasers."

- more -

RE/MAX Recreational Property Report…2

For the first time in many years, in fact, a good selection of entry-level waterfront is available in markets

across the country. Eighteen per cent of those surveyed offer properties under the $200,000 price point,

including; Central South Cariboo in British Columbia; Parry Sound, East Kawarthas and Kingston in

Ontario; Summerside, PEI; South Shore, Nova Scotia; Shediac, New Brunswick; and the East Coast of

Newfoundland.

Recreational property buyers also found themselves divided between two borders this year. The housing

market meltdown in the US combined with a Canadian dollar at par created serious investment

opportunities for secondary properties in Florida, Arizona, Texas, and California. Some of those very

same factors have spurred American recreational property owners in Canada to list their properties for

sale, with many looking to take advantage of ideal market conditions here.

"Many Canadians are capitalizing on market conditions in major American centres," says Polzler. "For

some purchasers, the move is strictly a short-term investment strategy with a pay-off at the end of the day,

while for others, retirement is the main objective."

The report also found that younger buyers were a factor in 40 per cent of recreational markets surveyed.

"Baby boomers are clearly not the only purchasers that appreciate the recreational lifestyle," says Ash.

"Generation X is quickly becoming a force in the marketplace, spurring demand for condominium

product on ski hills, oceanfront properties in good surf locales, and water frontage on trendy lakes with

celebrity residents."

Other highlights

:

Alberta's red-hot economy has helped boost recreational property markets in British Columbia,

Atlantic Canada, and some parts of Ontario.

Affordability is prompting buyers to consider back lots, riverfront, condominiums, hobby farms

and leased land.

Some purchasers looking to secure an exit strategy are buying recreational properties or

secondary homes in residential neighbourhoods in close proximity to the water's edge.

RE/MAX is Canada's leading real estate organization with over 18,000 sales associates in more than 656

independently-owned and operated offices. The RE/MAX franchise network is a global real estate

system operating in over 65 countries. More than 7,000 independently-owned offices engage over

110,000 member sales associates who lead the industry in professional designations, experience and

production while providing real estate services

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
RE/MAX Realty Specialists Inc.
Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
2 FAX 905-828-2829 ÈCELL 416-520-1577
› E-MAIL : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com

• Thinking of selling your home in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• If you have not already signed up to receive my monthly real estate newsletter, you may do so here: On-Line Real Estate Newsletter sign up
• See seasonal housing patterns
• Would you like me to send you a 2008 Calendar?

Real Estate Investing - is it something for you?

Is Real Estate Investing Right for You?

Investing in property is simply another form of investment. Buyers can invest directly by purchasing property individually, or indirectly by investing in a managed fund or timeshare. Although real estate agents may understand the property market, prospective buyers should still seek independent advice, because property investment may not be right for everyone.

What to Know Before You Buy

Don't fall for pressure-selling techniques and high-pressure seminars

Some sales people can be extremely persuasive and persistent. They often use gimmicks like offering you a "once in a lifetime opportunity".

Determine your overall financial plans

Think about what you want to achieve financially and how soon you want to achieve it.

Understand the risks involved

All investments carry risks. Make sure you are comfortable with the risks associated with a particular investment.

Get advice

Decide whether or not you need professional advice. If you're dealing with a financial advisor make sure they're licensed.

Investing directly or indirectly

You can invest directly or indirectly in many assets, including real estate, through a managed fund. Time- shares are a type of managed investment.

Do your homework

Find out as much as possible about any investment you are making. Make sure you really understand the pros and cons of choosing a particular investment asset. Weigh the advantages and disadvan- tages against your financial goals.

Consult with your accountant

There may be tax issues to consider that you may not be aware of. Once you've decided to take the leap and purchase investment property, be sure to read and keep all documents you receive about your investment. If your asset is being managed by someone else, make sure they keep you updated on all pertinent information. Reputable investment managers will be happy to answer your questions and will expect you to take an interest in your investments.

6 Investment Tips You Can Use!

Hire and pay for skilled workers to do your renovations.
Location. Location. Location. Invest in the best location you can afford.
Be affordable for tenants by buying small and staying small.
Look at a property for what it can be, not for what it is.
Focus on the money coming in and going out - not the cap rate.
Don't go unique - choose rental properties that will appeal to anyone.
One More Thing...

Real Estate Investment Trusts

Real estate investment trusts, known as REITs, are entities that invest in different kinds of real estate or real estate related assets, including shopping centers, office buildings, hotels, and mortgages secured by real estate.

There are basically three types of REITS:

Equity REITS, the most common type of REIT, invest in or own real estate and make money for investors from the rents they collect.

Mortgage REITS lend money to owners and develop- ers or invest in financial instruments secured by mortgages on real estate.

Hybrid REITS are a combination of equity and mort- gage REITS.

The Internal Revenue Code lists the conditions a company must meet to qualify as a REIT. For example, the company must pay 90% of its taxable income to sharehold- ers every year. It must also invest at least 75% of its total assets in real estate and generate 75% or more of its gross income from investments in or mortgages on real property.

Many REITs trade on national exchanges or in the over- -the-counter market. REITs that are publicly traded must file reports with the SEC, such as quarterly and annual filings.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

CMHC Update clients can now purchase rental properties (up to 4 units) with as little down as 5%

CMHC Update on investment property purchase

CMHC has just released an update where clients can now purchase rental properties (up to 4 units) with as little down as 5%.
And mortgage lenders are now allowed to use 80% rental income offset which makes it much easier for you to qualify! Let me know if you require more details and I will put you in touch with my mortgage people.
http://www.mississauga4sale.com/Investment-Property-Purchase.htm
Thank you and all the best!
Mark

read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

100% Financing now available on Rental Properties

100% Financing now available on Rental Properties

With the recent changes to CMHC rules, mortgage companies can start the new year offering financing of up to 100% on rental properties with 1-2 units, as it is now available!

This is great news for both real estate agents and investors alike! On rental properties with 3-4 units, 95% financing can be offered to qualified individuals.

Let me know if you have any questions, or if you have any questions about financing investment properties.

Let's have a great 2008!

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website.

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
2 FAX 905-828-2829 ÈCELL 416-520-1577
› E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Remember Real Estate Guru Tom Vu? Here are some quotes that someone sent me - you will laugh - what a character!

Someone emailed me these quotes from Tom Vu, not sure where they came from, but anyone who is over 35 (or younger real estate investors!) will appreciate these quotes.

Quotes from Tom Vu

• "Are you man enough to get off your lazy American ass and go to Vu's seminars?"
• "A lot of your friends will tell you, 'Don't come to the seminar. It's a get-rich-quick plan.' Well, tell them, it is a get-rich-quick plan because life is too short to get rich slow."
• "Tom Vu says his system is different than other experts'."
• "Okay. You've seen me make a lot of money. You've seen my students who are average people make a lot of money. Isn't is about time for you to go out and make a lot of money?"
• "There's two kinds of work in America: hard work and smart work. Which one are you doing now?"
• "This is not a country club! This is my house!"
• "Today I'm gonna show you how to drive a sports car. First, you need a lot of money!"
• "Don't listen to your friends. They're losers!"
• "Do you think these girls like me? NO, they like my money!"
• "At first I got lots of discouragement from friends and stranger who are loser! You know what these people kept telling me? They kept saying, 'Well Tom Vu, you a crazy nut, here you are, a poor immigrant, poor minority, speak no English, no contact, on and on, and you trying to be rich in America! You crazy, man! Look at people out there! They smarter than you are, they not even rich! Who are you to try?' And you know what? I have to keep telling these people every time, I kept saying, 'You are loser! Get out of my way! I make it somehow!'"

You can watch part of his cheesy TV commercials and read more about Tom Vu at this page Tom Vu page

Here is some insight from a seminar attendee:

Vu's main strategy was to "control," rather than own, real estate. So you would go out looking for distressed properties, (foreclosures and such) and offer to buy these houses at incredible discounts. He claimed to never offer more than 50% of market value, but said it would depend on whether it was a buyer's or a seller's market how much your discounted offer would be.

The desperate owner would be happy to just get out of the property without ruining his credit, so he takes your offer happily. In your offer, you write that the agreement is between the seller and you "or assigns". Then you offer ten bucks as a down payment to make the contract legal ("exchange of consideration"). Your closing date is a couple of months hence. In addition, you tack on a whole pile of whim-and-fancy clauses, such as "this deal is subject to the final inspection and approval of the buyer before closing."

During the time before closing, you find a buyer to assign your interest in the contract to. Selling the place will be easy, since after all, you got it at a huge discount in the first place. You walk away at closing with a hefty profit. Unlike the vast majority of seminar attendees, I actually tried for a long time to do this in my neck of the woods, British Columbia, Canada. I failed miserably. I encountered the following realities:

1. Even with distressed properties, offering to buy a property that far below market value was a joke (I was trying 80%). I was laughed out of most negotiations…

2. Many of these properties were over financed, and even if they weren't, there was no desperate bank mandate to unload these non performing assets at all costs. Generally, even in foreclosure sales, the owner or later, the bank, wanted fair market value.

3. Whim-and-fancy clauses were not acceptable to anyone I dealt with.

This site is found at this page

Enjoy!

Mark

Read about Real Estate Foreclosures Investing

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Mark
A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

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