Buying Real Estate at 21 Years Old! Building a Real Estate Portfolio in Windsor Ontario
ฝัง
- เผยแพร่เมื่อ 11 มี.ค. 2018
- Matt & Cass breakout how they became young real estate investors and how they've built a real estate portfolio at 24 years old of 11 properties, through joint ventures and using a multitude of different real estate investing strategies.
If you enjoyed: Buying Real Estate at 21 Years Old! Building a Real Estate Portfolio in Windsor Ontario - be sure to SMASH that LIKE BUTTON and SHARE on SOCIAL MEDIA!
Matt and Cassidy discuss how they're able to be landlords in Windsor Ontario, yet still travel to India for 3 months at the age of 24!
If you enjoyed: How to Travel as a Landlord - How to Find a Property Manager - be sure to SMASH that LIKE BUTTON and SHARE on SOCIAL MEDIA!
Cassidy & Matt's TH-cam Channel: / channel
Matt McKeever
Business Inquires: mattmckeeverbusiness@gmail.com
Coaching: mattmckeevercoaching@gmail.com (Seriously though, you should watch everyone of my videos, before you contact me about this, if you watched all of my videos - I don't think you'll need this - but people keep asking anyways....)
Matt’s Bible: Early Retirement Extreme: amzn.to/2qgFBNK
Facebook: / ldnonfire
Instagram: / mattmckeever85
Twitter: / mattmckeever85
SUBSCRIBE: / @canadianrealestatecha...
Bigger Pockets: www.biggerpockets.com/users/M...
Check out my podcast with Kellan: onfirepodcast.ca/
Matt McKeever is a CPA, CA and Real Estate Entrepreneur in London, Ontario. On this TH-cam Channel Matt will walk the viewer through how to invest in real estate using such strategies as the BRRRR method while also documenting his personal experience as a real estate investor. Matt began investing in real estate at age 25 by purchasing a student rental near Fanshawe College. In 2016 he's acquired over 25 unit and in 2017 acquired over 25 units.
As well on this channel Matt will share his personal monthly spending and discuss the strategies and tactics needed to reach financial independence (retire early) at a young age. We’ll discuss such topics as safe withdrawal rates, how to build passive income streams and how to reduce your personal consumption.
A friend of mine who is a professional investor just told me about a mortgage product RBC was offering. For commercial apartments of 5+ units, they allowed a 5% down payment on a 40-year mortgage. This is perfect for buy and hold investing since the point of passive investing is cash flow. Does it matter that it'll take 40 years to pay off? No. And because the payment will be lower than a typical mortgage, you'll make more money every month. And at the end of any fixed-term, you can always renew for a shorter time. It's a good way to get in the door. I'm considering a 6-unit with an additional 5000 sq ft bldg attached for 290k. So that is $14.5k at 5%. Pennies on the dollar of what it would normally cost through traditional lending. Just throwing it out there for those who may think that's a useful piece of information.
Thanks for sharing Stephen. I'm not familiar with the exact project but sounds interesting. I know there are certain products for larger multifamily backed by cmhc where you only need 15% down.. 5% is new to me... I'll have to look into it - thanks again for sharing!
@@CanadianRealEstateChannel Hey did you find anything on this? Reached out to my broker at RBC and he wasn't aware of any product?
this is amazing for young people especially inspiring for those from Ontario. You guys and Matt are making such a great contribution to this world. have fun in India!!
Thanks! Glad you're enjoying it!
Great video. Can you elaborate on the terms that you have with your investors? Preferred returns, profit split, etc Can you also make a video on how to attract the investors in the first place? I.e talk about why the investors don’t just do it themselves.
Can't wait for this video Matt!!!
Thanks Gary!
Seriously impressive! Especially all of the creative financing. 0% VTB with under 5% down?? Ridiculous!
100% They're crushing it!
This was amazing and so helpfull thx Matt!
Thanks for the feedback! Glad to hear you enjoyed it!
Kassidy plus Matt x 2 thank you for sharing.
Thanks Noel!
Wow those properties are dirt cheap. Loved the video thanks Matt, Cassidy and other Matt.
Haha - right? and here I thought London Ontario was cheap!
That's amazing
What is the equity vs liability here?
If you buy the first property estimating 20% down --- 34k... + reno costs @ 10k per unit for another 30k --- you'd have ~65k tied up in the triplex.
Where do you find the cashflow to purchase a 2nd, 3rd, 4th property?
Do you have to pull a home equity loan each time to keep going?
Great question James - if you checkout some of my other videos - you'll see an investing strategy called the BRRRR method - it can be one way to speed up velocity of your money, otherwise you can get joint venture partners who bring the money, and you bring the opportunity/deal
I love the idea of a "portfolio porn" series, would be super entertaining to watch and learn!
Does that mean you'd be willing to be on the show?
Matt McKeever Mayyyyybe!
Informative, thnks guys
Glad you enjoyed it! Thanks for commenting!
Matt McKeever hi, can you suggest a good insurance conpany that covers student tental property in London. Thank you
Hey Matt! What are your thoughts on investing in kitchener/waterloo. With high house prices, most investment properties would result in negative cash flow depending on how the downpayment is funded.
So when they said they used other people’s money. Did they use the money for the down payment or for the renovations?
And what ratio do the investors own in the joint venture deal?
PS Great video, loved the information!
Portfolio porn hahah love it and really enjoyed the format. In future videos in Portfolio porn series would it be possible for the guest to mention what the properties are renting for also.
Great work Matt and Kassidy!!
For someone who's building their capital off of Earned income below 30k any suggestions on the first step they should take starting out in real estate investing ?
I recommend you start by looking at wholesaling real estate - it takes a lot of initial startup time or money - with wholesaling you can choose whether you'll grow your business with time or money. Checkout this video for an idea about wholesaling: th-cam.com/video/S9Cc_pvLT_U/w-d-xo.html
Portfolio porn, I love it. Keep it up!
Portfolio porn lol love it.
Matt and Cassidy - you guys are crushing it! Love the blend of different structures and strategies!
Thanks Phil! 100% Agree - they are crushing it! You'll see a bunch more of them on my channel (and their own) once they get back from their 3 month vacation in India!
Market is slowing down in 2018. Enjoy the ride while it lasts :)
Does Cassidy still in Real Estate Business?
You couldn’t buy a crack shack for $400,000 in my city 😂
Haha - start looking in south western ontario! (we may not have appreciation like the big city, but at least we have cashflow!)
Matt McKeever I'm not even big city! Live in the Okanagan in BC. Almost every house is a luxury house worth 2 mill...average house price for 2018 is around 750,,000!! It's crazy
😲- jeez, that is expensive, I’m guessing it’s a city where renting often makes better financial sense than owning
Matt McKeever we had the lowest vacancy rate in Canada at 0.2!!! So probably better to rent...if you can find a place
These kids are definitely playing with fire. It could take one hicup for this portfolio to go down like domino...
Hi - while I agree that leverage is a double edge sword - I don't think they shared enough information for you to determine one hicup could crash their portfolio. Can you define what a hicup looks like? I know I've had a lot of people say similar things to me, but it would take a greater than 20% price correction before I'd feel any real pain, and it would take a 30% reduction in rent prices before I'd be in trouble in regards to cashflow/breakeven. As well in my market, as well as theirs hasn't seen significant price appreciation compared to major cities like Toronto or Vancouver. Just food for thought.
Matt McKeever I don't suggest that playing with fire will definitely get you burned... But I'll say that chances are there
Matt McKeever one way a hiccup might look like- bank calling notes. I met a guy at my local real estate auction who got screwed up by a bank. ( Of course that will never happen with them). You can't just gamble on how good real estate market is. There are a lot of different factors to consider when you evaluate risk.
They are so young they have lots of time to recover from any risk that goes wrong.
How are they buying so many properties with debt and not having an issue with DTI?
I would love some portfolio Porn Fridays
Portfolio Porn needs to happen
You don't even know how much I love to hear that people drop out of university to be successful. The whole university myth and culture just irritates me no end. What a huge waste of money!