Almost Sold Out! 5 Spots left to my Canadian Mutifamily Investing Blueprint Workshop! Grab One!
WOW!
To say that I'm super stoked about my upcoming virtual workshop this coming weekend is an understatement! This year, I'm adding two new CASE STUDIES demonstrating ADVANCED MULTIFAMILY INVESTING STRATEGIES. That's in addition to the other four case studies that were already in the course.
You see, the format of this training program is EXPERIENTIAL! This means I try to give you as much HANDS-ON EXPERIENCE within the context of a virtual classroom, and to me, this means fundamentally CRUNCHING NUMBERS FOR ACTUAL REAL MULTIFAMILY DEALS so that by the time you leave my class you're clear on what you need to do to have successful multifamily investments.
As in the past, I'm bringing back a recent graduate student of mine, Ricardo Chirinos, from my first virtual workshop last June to share his success story with my students. Can you believe it, in the last seven months since taking my workshop he's bought 28 doors in multifamily and...
You Don't Necessarily Need a Mortgage Broker!
Many people are often surprised to learn that they don't necessarily need a mortgage broker when applying for financing and that they can apply directly to a lender!
In this post, I discuss the pros and cons of working with a mortgage broker and offer you a massive cost-saving solution.
My next virtual Canadian Multifamily Investing Blueprint training program, is next week, on February 26 - 28, 2021, and as a BONUS, worth in excess of $10K, not only do I show you how to prepare your own financing application LIKE A PRO, I'm giving you my own FINANCING APPLICATION TEMPLATE!
If you want to know more about the content of two and a half immersive unique experiential training program and sign up for it, here is the LINK TO SIGN UP FOR FEBRUARY VIRTUAL WORKSHOP
Cheers,
PP
Why Apartment Buildings Are Such a Great Investment in Times of Crisis Such as The Pandemic!
My observations, while I was a CMHC multifamily underwriter and through my personal experience of investing in multifamily properties during the 2009 Global Recession and during this Pandemic, both demonstrate how resilient and counter-cyclical this asset class is during such economically challenging times.
Larger apartment buildings of five-plus units clearly outperform other investment vehicles.
In this vlog post, I share the highlights of a report by CBRE called 'Canadian Multifamily in the Post-Pandemic Era' which once again confirms the resiliency of apartment buildings in recessionary times.
Please, stay healthy!
Pierre-Paul
EARLY BIRD PRICING ON! Virtual Canadian Multifamily Investing Blueprint Workshop Feb. 26 -28, 2021
If you're ready in 2021 to start creating long-term wealth for yourself and your family, please consider attending my upcoming 'Canadian Multifamily Investing Blueprint' on February 26 - 28, 2021. As in past recessions, apartment buildings of five-plus units continue to perform during the COVID-19 pandemic.
Please watch this video in which I share with you the detail of this unique training program and its experiential approach to giving you as much hands-on experience within a classroom environment on how to invest in multifamily properties like a PRO from the get-go.
Click below to sign up for the EARLY BIRD PRICING and a $1000 OFF on the COMBO PACKAGE of Lifetime access to the ON-DEMAND COURSE + THE VIRTUAL WORKSHOP. Get over $16,000 in value in bonuses.
LINK TO REGISTER FOR VIRTUAL WORKSHOP
Yours truly,
Pierre-Paul
Your Financing Application Goes Into a BLACK HOLE!
When you apply for financing for apartment buildings, whether for CMHC-insured financing or conventional financing, it's almost like your financing application is going into a BLACK HOLE and you're never sure what's going to come out of it!
You cannot predict with exact certainty how the bank and/or CMHC will treat your financing application.
There is no cookie-cutter approach for all deals!
You won't know for sure what loan amount they'll give you, what cap rate and vacancy rate they'll use in their pro forma, etc., and they won't commit to anything in advance until you've submitted all your supporting documents and each deal is underwritten on a case by case basis on its own merits.
In this post, I share with you four tips on how to somewhat reduce uncertainty and build your reputation in the business.
For your convenience, I've attached below the link to CMHC's Underwriting Reference Guide which I refer to in the post.
LINK FOR CMHC'S REFERENCE GUIDE
Wishing you well!
...
The Truth Behind Knob and Tube Wiring! What you need to know!
Knob and tube wiring is very common in older buildings. If you find knob and tube wiring in an apartment building it can have serious consequences. For one, it can be a fire hazard and you may not be able to get insurance for this property until the situation is rectified.
Rectifying the situation can be extremely costly as it entails opening up walls.
In this vlog post, I discuss knob and tube wiring with the amazing building inspector, Allan Spisak of ACISSS Home and Commercial Inspection Consultants (www. aciss.ca). I guarantee you you will not find a better and knowledgeable inspector in Canada.
If you want to explore this topic further, below are some links on knob and tube wiring!
Pierre-Paul
https://en.wikipedia.org/wiki/Knob-and-tube_wiring
https://www.canadianhomeinspection.com/home-reference-library/electrical/knob-tube-wiring/
Consider Appealing Your Property Tax Value Assessment!
When I teach my multifamily investing workshop for a couple of days, by the end of it my students know who their best friend is:
NOI! Or Net Operating Income!
That's not your net cash flow. I'm talking about the income generated from operating the apartment building (income minus operating expenses) before you service the mortgage. Your net cash flow is the money left after you have paid your mortgage.
NOI is a multifamily investor's best friend because every time you increase the NOI, there's a huge BIF LIFT EFFECT or WEALTH MULTIPLIER EFFECT, that is the value of the property increases exponentially.
One of the ways that you can increase the NOI is by successfully appealing your property tax assessment if you feel the municipality has over-inflated the value of the property and therefore has inflated your tax bill.
Your Banker May Lie To You Sometimes!
In this post, I share with you a story of mine where a lender pretty much lied to me or at least was telling me something that was significantly inaccurate.
It pays off immensely to be an educated and sophisticated real estate investor, especially in my world of investing in apartment buildings of plus five units because there are many more moving parts than when you invest in small rental properties.
Lenders are sometimes lazy and the law of least effort often applies to their behaviour. Accordingly, they'll tell you stuff just because either it reduces their risks or it makes their lives easier and they think you don't know any better!
In the video, I mention CMHC's Reference Guide. Below is the link for it. Just keep in mind these are just that, guidelines. At the end of the day, lenders and CMHC can do whatever they want. But at least, guidelines are a starting point that enables you to know what the expectations are.
MASTERCLASSES COMING UP
I...
Investing in Smaller Markets and Not Enough Parking Stalls : Yes or No?
A recent graduate student from my Canadian Multifamily Investing Blueprint workshop asked me whether it was a good idea to purchase an apartment building in a smaller market and whether the fact that the property had less parking stalls than the total number of units was a problem.
In this short vlog, I answer those two questions.
Regarding investing in secondary markets, the bottom line is that in my opinion, there's nothing wrong investing in smaller, perhaps remote or rural markets as long as you understand the investment risk may be greater and you mitigate that risk accordingly.
For one, you'll probably acquire the asset at a higher cap rate. In other words, you'll pay less for a multifamily property in a smaller market than in a large centre, which serves as mitigation to a significant extent. Assets in the smaller markets are less desirable because there's less demand for them and rest assured your lender and/or CMHC would look at it this way too.
In my days as a former...
Why Investing in Apartment Buildings Makes Sense Especially During COVID-19!
Apartment buildings have been known to be counter-cyclical during times of crisis. I personally saw this phenomenon during the Great Recession of 2009 while I was a multifamily underwriter at CMHC.
It's no different during COVID-19. Apartment buildings continue to perform and as a hard asset, they will benefit from the inflation that is sure to come. Hard assets appreciate in value during inflationary times.
The Black Friday sale is on for the on-demand Canadian Multifamily Investing Blueprint. It's the biggest discount I've ever given. The next virtual workshop will be on February 26-28, 2020 and you can use the cost of the on-demand course as a credit toward the virtual workshop if there are spots left.
Click below for the BLACK FRIDAY OFFER.
BLACK FRIDAY OFFER! 50% DISCOUNT ON ON-DEMAND COURSE!
Wishing you and your family well!
PP