Exceptional Victorian Detached CMHC Investment Opportunity in High Park: 349 Quebec Ave, Toronto
In the realm of real estate investment, seizing opportunities to add substantial value to a property can lead to significant returns. Enter 349 Quebec Ave, a 2.5-storey detached home situated on an expansive 26x160 lot. With the potential to leverage the CMHC MLI Select program, this property presents an exceptional opportunity for experienced investors to capitalize on its prime location and maximize its value. In this blog, we'll explore why 349 Quebec Ave is the perfect investment property for those looking to unlock its full potential through strategic renovations and the CMHC MLI Select program. Prime Location and Potential: Nestled in a desirable neighborhood, 349 Quebec Ave offers investors the chance to tap into the burgeoning real estate market in Toronto. With its generous lot size and existing structure of 2300 sqft over three levels, the property provides a solid foundation for expansion and renovation. Under the CMHC MLI Select program, investors can take advantage of additional financing to fund renovations aimed at increasing the property's value and rental income potential. Strategic Renovation Plan: The key to unlocking value at 349 Quebec Ave lies in a strategic renovation plan that maximizes the property's square footage and rental income potential. By adding a 300 sqft addition to the main and second levels, and as well the basement, investors can expand the footprint of each floor, increasing livable space and enhancing tenant appeal. This expansion allows for the creation of spacious 3-bedroom, 2-bathroom units on each floor, complete with modern amenities and balconies for added outdoor enjoyment. In addition to the basement, main and second-floor units, investors can capitalize on the CMHC MLI Select program to expand the 3rd floor to have a 700 sqft 2 bed 2 bath suite. This unit offers tenants luxurious living accommodations, including a private terrace with stunning views of the surrounding neighborhood. Additionally, you canbuild a 1300 sqft, 3-bedroom, 2.5-bathroom unit in the backyard, which will provide tenants a private and stylish experience. Maximizing Rental Income Potential: With the strategic renovation plan in place, 349 Quebec Ave has the potential to generate substantial rental income. Each floor offers spacious and modern units designed to attract high-quality tenants seeking premium living spaces. The addition of balconies and a terrace enhances tenant satisfaction while increasing the property's overall desirability and rental rates. Location! Location! Location!: One of the great advantages of living in High Park is its excellent Walk Score. Residents of 349 Quebec Ave have easy access to a wide range of amenities, including the REC Centre, Library, Coffee Shops, Eateries, The Annette Food Market, High Park, the subway, Schools, and much more. The neighborhood is known for its vibrant community and offers something for everyone. Numbers At A Glance $20,650 in monthly rents After Reno Value of $4.483M $2.4M Mortgage @ 4.2% amortized over 40 years Annual Cashflow of $89,600 Final Thoughts: For experienced investors seeking to add value to a property and capitalize on the CMHC MLI Select program, 349 Quebec Ave presents an unparalleled opportunity. With its prime location, expansive lot size, and potential for strategic renovations, this property offers the perfect canvas for unlocking its full investment potential. By leveraging the CMHC MLI Select program and implementing a strategic renovation plan, investors can maximize rental income, enhance property value, and achieve long-term success in Toronto's competitive real estate market. Don't miss out on the chance to unlock value and reap the rewards of investing in 349 Quebec Ave. Click Here to see the financials
2024 Economic Calendar: Important Dates
Wondering where rates are headed in 2024? While no one has a crystal ball, there are certain dates that can cause waves in the mortgage market. To help calm the waters, we’ve prepared a 2024 economic calendar with key dates of importance. While we haven’t included every date, we are trying to highlight the most relevant that could impact both fixed and variable rates, as well as the overall mortgage market.So what reports & announcements have we included and how can they impact interest rates? Please refer to a quick summary below: “Bank of Canada Rate” – Bank of Canada Meeting / Rate Announcement Dates: The Bank of Canada meets 8 times spread across the year where they provide an update on the economy, and announce any updates to their Overnight rate. The Overnight rate directly affects the Prime rate and Variable rate mortgages, and could indirectly affect fixed rates if changes are different from market expectations. “Fed Rate” – US Federal Reserve Meeting / Rate Announcement Dates: Similar to the Bank of Canada Rate updates, the US Fed updates their Reserve rate. Although there is not a direct link to our Prime Rates, changes by the US Fed will influence the Bank of Canada as well as Fixed rates by impacting Bond Yield performance. “CPI / Inflation” = Consumer Price Index (Statistics Canada / US Bureau of Labor Statistics): These are monthly reports on how inflation was for the previous month. Included is a comparison to the past month as well as the previous year. These occur in both Canada and the US. This is a key metric, where we the central banks want to see inflation come down to a certain range (target is 2% in Canada). As inflation comes under control, we will likely see the Bank of Canada reduce their Overnight rate from the current 5% as of the time of writing. Fixed rates could also see some trends downward if we see inflation cooling trends continue through 2024 & 2025. “GDP” = Gross domestic product, income and expenditure (Statistics Canada): GDP stands for Gross Domestic Product, and is a measure of Canada’s economic performance. If we see growth cooling this may mean we’re headed for recession; in which case we may see bond yields drop potentially leading to lower fixed rates. If GDP strengthens unexpectedly, this will likely mean a surge in Bonds yields and subsequently fixed rates could rise. “Jobs Report” = Labour Force Survey (Statistics Canada): These reports look at both unemployment and labour wage inflation. Labour wage is a key metric for future overall inflation, and so the results could impact Bank of Canada decisions on whether sustained inflation-combating measures are needed or not. We hope you find the above information and the calendar helpful. Should you have any questions, please don’t hesitate to reach out to is and we will connect you with a top mortgage professional.
The BRRRR Real Estate Method: Building Wealth Through Strategic Investment
When it comes to investing in real estate, there is one long term strategy that stands above the rest...the BRRRR method. BRRRR stands for: Buy, Rehab, Rent, Refinance, Repeat. In this blog, we'll explore the key principles of the BRRRR real estate method and how it can be a powerful tool for building long term wealth. Buy - Strategic Acquisition: The first step in the BRRRR method is strategic property acquisition. Investors target distressed or undervalued properties with potential for improvement. This phase requires a keen understanding of the market, identifying properties that align with the investor's financial goals and the potential for value appreciation. Rehab - Adding Value: After acquiring the property, the focus shifts to rehabilitation. This step involves making necessary improvements to increase the property's value. From cosmetic upgrades to structural enhancements, the goal is to enhance the property's appeal and overall market value, ensuring a profitable return on investment. Rent - Generating Income: Once the property is renovated, the next step is to secure rental income. By attracting reliable tenants, investors can create a steady cash flow stream that contributes to covering expenses and financing costs. The rental income is a critical component of the BRRRR strategy, providing financial stability and offsetting the initial investment. Refinance - Unlocking Equity: With the property rehabilitated and generating income, the investor can now explore refinancing options. Refinancing involves reassessing the property's value and leveraging it to secure a new mortgage. This step allows the investor to pull out a portion of the equity built through the rehab phase, providing capital for future investments. Repeat - Scaling the Portfolio: The true power of the BRRRR method lies in its scalability. Once the property is refinanced and additional capital is obtained, investors can repeat the process with a new property. This iterative approach allows for the continuous expansion of the real estate portfolio, compounding the wealth-building potential over time. Benefits of the BRRRR Method: Forced Appreciation: The strategic rehabilitation phase forces appreciation, increasing the property's value and reducing risk by creating immediate equity in the property. Cash Flow: The rental income generated provides consistent and predicatable cash flow that increases over time. The longer the property is rented, the higher the rental income and the more principal that will be paid off the loan. Equity Buildup: Refinancing allows investors to unlock built-up equity, providing capital for future acquisitions without depleting personal funds. Portfolio Diversification: The repetitive nature of the BRRRR method enables investors to diversify their portfolios across multiple properties, mitigating risks and maximizing potential returns. The BRRRR real estate method is one that has been used by the most successful Realtors in virtually every market on earth. By strategically cycling through the steps of Buy, Rehab, Rent, Refinance, and Repeat, investors can build a robust portfolio, generate reliable income, and position themselves for long-term financial success. As with any investment strategy, thorough research, market understanding, and a calculated approach are crucial to maximizing the benefits of the BRRRR method.
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