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Old 01-30-2012, 09:33 PM   #12
Wild_Penguin
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Quote:
Originally Posted by 4444 View Post
Vancouver - Downtown apartment (2bed 2bath) rent: $1500 a month, would sell for about $450K


Mortgage interest ONLY payments at 3% (will only go up) = $1125 (i've assumed 100% mortgage for simplicity to ignore opportunity cost of downpayment)
Monthly maintenance fee = $300
Property tax = $250-300 per month
Insurance = $50 per month (assume $600 per year as fair)
Misc = $50 per month (I always have a contingency)
Total monthly cost = $1,775

Oh, that's a $275 cash outflow every month... and honestly, I can't think property (Especially apartments which are overbuilt in vancouver/richmond) will go up much more given that interest rates are at all time lows.
I don't know about Vancouver, But I invest in Victoria. And your number look off to me. My one property looks like this:
Paid 200,000 (in pre-build stage) inc.HST
Monthly Starta fee: $130
Property Tax: $100 per month
Insurance(I have full renter insurance with earthquake): $230 a Year

I don't know why your insurance and maintenance are so high...

I have also been looking in the US. But I like to be a hands on Landlord. I like to pick my tenants.
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