Out of the last hundred “investment” properties I’ve seen in Milton, less than a handful actually make the cut of a good, cash-flow positive property.

We have one today… at least based on some early numbers, it looks like one of the best that I’ve seen in a LONG time.

Also, be sure to research “cap rate” on Google. It’s a very common way investors come up with value and compare different types of investments.

Back to the point… we are littered with poor choices for investment properties in Milton. Values have increased much more rapidly than rental rates, which means if you wanted $1500 in “income” (aka rent), you probably need to spend $400k or more here in town. I can take you to dozens of places in Ontario, and hundreds in the world that can give you the same $1500 per month with a $200k house (or even $150k). Which one makes more sense as an investment? Obviously the lower priced one, which creates the same income with less upfront cost.

Let’s be absolutely clear about something: Milton is a great place to live, and we’ve seen many homes go up in value substantially, which is good. But it’s not a good place to buy properties where the rent offsets your expenses (aka cash flow). And that is the one criteria that is most important to the best investors in the game. No matter what the market is doing, can I make money and have a tenant pay down my mortgage EVERY SINGLE MONTH? That’s the key. Call or email me if you have any questions. Investing in real estate is actually not difficult, but it helps to know the fundamental principles before you start.

Also, owning a three-storey townhouse like Finney could mean significant savings on your utility bills every month… I’ll show you why in the video.

It’s a solid day, with great picks on Elliott (big mature trees and a private lot), Watson (detached home backing onto a park) and Clements (one of the best streets in town).

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