Quote:
Originally Posted by Tron_fdc
Essentially, you will need to get a decent deal on a place in order to cover your costs. It's a good time to buy right now, as there are a lot of listings (7000+) so getting a good price on a home shouldn't be too much of a problem.
Once you settle on a place do the math....figure out what your mortgage cost + taxes + insurance is, and then look at the rental comparables in that area to see if you can cover everything...or in other words can you charge enough rent to cover your expenses. I didn't really factor in other expenses (power, water, etc) as those are generally paid by your renter.
Renters don't pay your condo fees directly...they would be paying you rent per month, and its up to you to charge enough rent to cover those fees.
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See that's where I'm running into confusion, do I need to cover my costs? Obviously to some extent, however, I'm living free and will continue for the short term. What I'm hoping is that in the time I am living for free I can pay down the mortgage a bit faster to make the cash flow work if it doesn't cover the costs (that said, it'd be awesome to have positive or break even NCF).
Any idea what insurance costs are? As well what appeals the most to renters? Close to c-train, schools, downtown? I guess it all factors in.
Oh I know they don't pay the condo fees directly.. Just wondered if you can charge rent - then say "condo fees are $220.00, that covers all your heat, water etc. so I you've gotta write me a cheque for that every month"
Thanks