Where should Canadians invest in Real Estate?

If I was to invest out of Canada, where would I invest?

Why not go somewhere where you might retire one day? Or, a place you want to call home a few times a year, that is also affordable to fly or drive to. Living in the Vancouver area, we have easy access to cheap cheap CHEAP flights to Vegas, Phoenix and Palm Springs. In fact, when the Canucks make the playoffs, it is actually cheaper to fly to Phoenix to watch a playoff game than it is to watch the Canucks at home.

I feel that Nevada and Arizona are hot markets, and I am not talking just temperature here. Some facts relayed from John Kell's recent article, Nevada posted the top foreclosure-filing rate for the 38th consecutive month despite a 30% year-over-year decrease. Get this...one in every 102 Nevada homes received a filing, more than four times the national rate.

Even with a 9% decline in February from the prior month, Las Vegas was the worst metropolitan area, with one filing for every 90 homes. I have personally viewed a large gated townhome complex, all two bedroom units with two community pools, priced in the $65,000 range; one in 8 units were listed but I can say that I observed a lock box (keybox) on just about every door!

Arizona and Florida followed with nearly identical foreclosure rates, with one in every 163 homes receiving a filing in both states. Despite a nearly 21% decrease in foreclosure activity from January, Arizona's rate was fractionally higher than Florida's. Of course monthly increases and declines are really based on very short intervals, and in my view should not be used as a viable trend. They can be manipulated by so many factors including weather and local activities.

We are also interested in the Palm Springs area, a regular hot spot for BC investors. Interesting that California posted a 15% year-over-year decline in February. Six California and Arizona metro areas were in the top 10 nationally, while Florida again had two.

In absolute terms, six states—California, Florida, Michigan, Illinois, Arizona and Texas—accounted for 61% of the national total in February. But the total of foreclosure filings in those states fell 5% from January and 15% from a year earlier. Does that mean that foreclosure fillings are slowing down? Too soon to tell in my view, and based on recent comprisons of sales to listings that I made in the Phoenix MLS market yesterday, there is basically 7 months of foreclosure supply if not a single foreclosed property is listed.

So, keep on top of the stats, watch the loonie strengthen, and get off the fencepost and get make those real estate investments while interest rates remain low. The time to build your wealth is now!


If you would like to learn more about investing in Real Estate and growing your retirement wealth opportunities...EASY! simply visit http://www.wealthybyinvesting.com/ or call direct at 604-626-5486.

If you wish to purchase in Arizona or Nevada, I have excellent realtor contacts that I use and would be happy to put you in touch with, just visit and email me through http://www.welshfamilysells.com/ or call Top Producing Keller Williams Realtor John Welsh at 604-852-2234

Where should you make your first Real Estate Investment?

Where is the best place for you to invest? I believe that all depends on your level of experience. Your first investment you usually do by accident...that is, when you purchase your first home! But beyond that, a favorite vacation destination that you are well acquanted in certainly is a start. Usually these vacation or summer (or winter escapes), are a great way to make your first investment and enjoy for years to come.

Rental properties in a local area would be the next best bet. Something that you are familiar with, areas that you know, schools that you can verify, and it's handy to drive by to check on things. This gives the first time investor a chance to property manage and get a taste of the landlord's resposibilities.

I have found success in grouping smaller numbers of investors in single purchases of properties that they have equal shares in the title and perhaps have a business plan in place to sell for fair market values in a given time frame. They can either rent these properties out, or save them for themselves with visitation rights...similar to a timeshare.

Once you have started with one or two properties, you can expand to other markets, even out of country investments, but be very careful to check out the tax and revenue implications.

You should engage the use of a local realtor that is also a real estate investor. Let's face it, why would you purchase a property from a realtor that doesn't own their own home? Why then would you make an investment with a realtor that doesn't in fact own their own investments?

If you would like to learn more about investing in Real Estate and growing your retirement wealth opportunities...EASY! simply visit http://www.wealthybyinvesting.com/ or call direct at 604-626-5486.


If you wish to purchase investment properties in the Lower Mainland/Vancouver area or in Arizona or Nevada, I have excellent realtor contacts that I use and would be happy to put you in touch with, just visit and email me through http://www.welshfamilysells.com/ or call Top Producing Keller Williams Realtor John Welsh at 604-852-2234.

No Better Time to Invest in Real Estate!

I was recently involved in a large investors conference in Vancouver, BC. I have been focusing on investors, particularly between Canadian purchases of Arizona and Nevada properties, and it was exciting to see the buzz from the 550 or so in attendance!

For those that are thinking of entering into this market, here are a few tips!

For Condos: look for foreclosures, not only individual units, but whole buildings. Many good investments can be found in the Scottsdale area, but, ensure that you find a building that is at least 70% complete.

For Homes: there really is a softening in the amount of good quality homes, many of them sell in a normal fashion, i.e., before going to a short sale or into foreclosure. There is still a demand for quality, and the old rule of 'you get what you pay for' applies!

Arizona Trustee Sales - It is not well known to most consumers/investors that many properties actually never make it to the auction. The banks control these properties and assign them to an Asset Manager (who is often the Bank Manager). Brokers then prepare CMA's and give the Asset Managers a value or list price. Basically if 1,000 properties are destined for the auction, only 30% actually make it, and out of that, only 10% are any good.

Auctions - If you do happen to lock into a great auction investment, you must have $10,000 down and you have within 24 hours to come up with the rest otherwise you will forfeit your deposit. As a result, there is on about 1 in 5 properties purchased at the auction actually close. There are ways to get around this...but, the investor usually does not get a chance to inspect the property prior to the auction...so really, they are bidding sight unseen.

Bank owned vs Auction - Some of the biggest advantages of Bank Owned (also known as REO) is that the investor has a chance to inspect the property. In addition, it is not uncommon to ask for repairs to be made!

As far as financing of these properties, financing is available...the banks are open for business! You can obtain financing up to 75% of the purchase value with rates between 4.5-5.5% on a FIXED 30yr rate. We have some banks familiar to Canadians that will finance your Arizona or Nevada investment...Royal(RBC), HSBC, and local banks that are familiar with Canadian investors, Bank of America, Wells Fargo.

There are all kinds of scenarios that a purchaser or investor from Canada may be tempted by this amazing opportunity. As a snowbird, you may own real estate that you may frequent easily...flights out of Bellingham, WA offers incredible deals for those of us that live in the Vancouver/Lower Mainland area. You MUST be aware that you CANNOT do any repairs, painting, you name it that could be otherwise hired out to an American citizen. So if you are thinking of renting out the property, even allowing employees to use it, and do any work yourself, you could be in big BIG trouble!

My wife and I treasure our regular jaunts to Las Vegas and Scottsdale/Phoenix. I really believe that now is the opportunity for many Canadians to invest in the HOT market that can be found in Arizona and Nevada. It should be a buyers market for the next 18 months, and most feel that it will be at it's prime time for purchase in the next 6 months. If you are thinking of investing or know someone that is, it is extremely important to find an professional real estate agent that knows the product, knows the areas, and puts your best interests as the number one priority. I am blessed to know and deal exclusively with top agents from the Keller Williams family in these top investments markets. Let me know if you need any assistance or if you have any good investment stories.

If you would like to learn more about investing in Real Estate and growing your retirement wealth opportunities...EASY! simply visit http://www.wealthybyinvesting.com/ or call direct at 604-626-5486.
 
If you wish to purchase in Arizona or Nevada, I have excellent realtor contacts that I use and would be happy to put you in touch with, just visit and email me through http://www.welshfamilysells.com/ or call Top Producing Keller Williams Realtor John Welsh at 604-852-2234.