what are my chances and where do I go? - Page 2
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Thread: what are my chances and where do I go?

  1. #11
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    [QUOTE=Eder;1415345]Let me know which bank you get a mortgage from if you buy the condo...I will need to modify my portfolio.

    Try this quiz.

    QUOTE]

    very informative tool! thank you!


  2. #12
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    I’ll go completely contrarian here and suggest that you go for it, if owning a home holds appeal for both of you.

    My wife and I were students when we purchased our first house in Vancouver - a triplex in Kitsilano. Can’t call it an “investment”, since any amount of reading here on CMF will tell you that only mad dogs and Englishmen are foolish enough to buy duplexes or triplexes. But at age 22, what did we know? There was no CMF then to save us from ourselves.

    We had both completed undergraduate degrees in Ontario and were attending UBC. We had unpaid Ontario student loans to use as a down payment, plus some savings. In those days in Ontario, university students could receive from the government a certain amount each year, with 2 components - a “grant” portion and a “loan” portion. The loan portion we would put in a savings account at about 9% and we would spend part of the grants.

    We looked at single-family houses in Richmond in the $50,000 range. Richmond was much more rural then. We looked at Burnaby. Also cheap, but a long haul to UBC and away from downtown, where we anticipated working eventually. East Van was also cheap, but just did not feel right. Kerrisdale, Dunbar, South Granville, Mackenzie Heights were loaded with really nice sf homes, on decent-size lots, but mostly in the $100,000 range and with no income potential, so moving there would have to wait a few years. Kitsilano looked like the best bet. We found a nice triplex for $74,500. We could stretch to pay $18,000 down.

    With us still in school, in debt and with no credit history at all, I did not even consider approaching a conventional lender for mortgage funds. I don’t like being laughed at. So we asked the vendor - an older woman who was moving into an apartment - if she would carry some paper. Agreed. The result was a 5-year agreement for sale. We paid $70,000 for the house and paid $18,000 down, with a 5-year a/s, $52,000 at 11%, with monthly payments of $500.53 (I still remember exactly). We lived on the main floor and rented the upper and lower suites, which covered the mortgage.

    My Toronto parents thought we were nuts (that’s an awful lot of money to pay for a house! they cried). My wife was a bit nervous, but I asked her what was the worst that could happen? We find we can’t make the payments and the a/s goes into foreclosure. I know, one does not apply for foreclosure of an agreement for sale, one applies for cancellation. I reckoned, in that unlikely event, that during the redemption period we could apply for an order for sale, with conduct of the sale, and probably salvage all or most of our down payment. Even if all were lost, not the end of the world. Youth was on our side. We’d recover.

    As an aside, I just now checked with BC Assessment online. The current assessment for that Kits triplex is $2,377,500, with $45,500 of that assigned to the house (built in 1912) and the balance to the stately 33 x 110-foot lot. I won’t even bother to ask JAG and some of the other seasoned veterans of the real estate trenches hereabouts just how THAT looks as an “investment”! What’s the rule of thumb? One percent of the gross purchase price per month? I’m sure the old place brings in $23,000 a month or so.

    Also Sashok, take a look around here on CMF. Recently there was a thread about buying a house while young, and how destructive it can be of one’s future. So be cautious. But for the young and foolhardy, a vendor-financed duplex or triplex can be a good entry to the market and will ensure that you spend the rest of your years living in houses you own and which you feel good about owning. At least provided you never get so fiscally enlightened that you realize you have nothing to feel good about. Happily, I am not there yet.
    Last edited by Mukhang pera; 2017-01-08 at 08:34 PM. Reason: correct typo

  3. #13
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    so hard to help such arrogant people. i wish you luck in your future progressions and please come back here to cry after you realized it was a bad idea.

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  5. #14
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    I'd point out that mukhang bought at a different time in the real estate market. Interest rates were higher, prices lower. Interest rates have been on a continuous downward trend for upwards of 20 years, which brought in the largest real estate boom in history.

    I think people buying today will have a completely different market. I think the prices and interest rates are going to swing back after having gone a long way to making people a lot of profits.

    I doubt anyone would expect the same returns mukhang had to continue going forward forever...
    I'm not JustAGuy (without spaces), or Donald, or <insert name here>.

  6. #15
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    Quote Originally Posted by redsgomarching View Post
    so hard to help such arrogant people..
    you wanna make it personal? why don't you pm me and I could leave my phone number for us to meet?

  7. #16
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    Quote Originally Posted by Sashok View Post
    you wanna make it personal? why don't you pm me and I could leave my phone number for us to meet?
    I'll suggest that folks posting on CMF accept that they have asked for and will get a range of opinions and responses, including - unfortunately and usually unwarranted - personal judgements. Best to ignore rather than escalate and waste energy.

  8. #17
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    I meant nothing personal just an observation on your arrogance to ignore people trying to help you and understand your situation. You wanting it to be personal shows how arrogant you truly are and I do not envy the people who come to you for future medical advice if thats how hot headed you get. How can you expect to deal with patients with an attitude like that?

    Anyways, I tried to provide some input but I guess a medical student would rather come here and try to sound pretentious when in reality they are nothing special.

    Good luck.
    Last edited by redsgomarching; 2017-01-08 at 10:54 PM.

  9. #18
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    Quote Originally Posted by redsgomarching View Post
    I meant nothing personal just an observation on your arrogance to ignore people trying to help you and understand your situation. You wanting it to be personal shows how arrogant you truly are and I do not envy the people who come to you for future medical advice if thats how hot headed you get. How can you expect to deal with patients with an attitude like that?

    Anyways, I tried to provide some input but I guess a medical student would rather come here and try to sound pretentious when in reality they are nothing special.

    Good luck.
    What is your problem?! All I have done so far was just some input data for people could give some advise. I have received some advice and expressed my appreciation. If it was not clear enough before, I thank all and you, in particular for all the advice expressed here. Where above have I said anything, other than that I applicated the time and effort people, and you personally, took too make it clearer for me? Again, if you want to make it personal, I will give that satisfaction to you. Let's just not spam here. Let's meet, and you can tell me everything you think about me (no matter how ridiculous that sounds) to my face.

  10. #19
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    Quote Originally Posted by Just a Guy View Post
    I'd point out that mukhang bought at a different time in the real estate market. Interest rates were higher, prices lower. Interest rates have been on a continuous downward trend for upwards of 20 years, which brought in the largest real estate boom in history.

    I think people buying today will have a completely different market. I think the prices and interest rates are going to swing back after having gone a long way to making people a lot of profits.

    I doubt anyone would expect the same returns mukhang had to continue going forward forever...
    Why would you say that? The triplex only has to appreciate to 2377500/70000*2377500 = 80.75 Million.

  11. #20
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    I have been called a pessimist...one of the more flattering things I've been called now that I think about it.

    I'm not JustAGuy (without spaces), or Donald, or <insert name here>.

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