WHy Multi-family
Multi family real estate buying has been in the companies roots for over 35 years. We focus on strong demographic areas across Canada.
Inflation Hedge
There is a positive correlation between GDP and demand for real estate. As the economy grows, rental rates and real estate values increase as well, which translate into higher capital values. Real estate historically has increased more then the inflation rate.
Low Valuation Volatility
Real estate valued based on capitalization rates which are transitive. Unlike other assets, real estate assets are not being transacted everyday and are not vulnerable to unexpected shocks.
Rental Rate Fluctuations
Rental rates in robust economic cities have seldomly declined throughout history. The number of rental units available and housing unaffordability are what create rental demand which translate into increased rental rates over time.
Counter Cyclical Industry
Rental rates in robust economic cities have seldomly declined throughout history. The number of rental units available and housing unaffordability are what create rental demand which translate into increased rental rates over time.
Diversification
Real estate allows investors to diversify their portfolio and offset the volatility of other assets, therefore reducing the risk of the investor’s portfolio. Furthermore, diversification across provinces allows the real estate portfolio to mitigate risk as the assets are in many different markets.
Tax Deferred Growth
The value appreciation of the real estate asset is not realized under the tax act until the property is sold.
Renewable Capital Source
The capital used initially for the purchase of the asset can be repatriated upon refinancing the building. This capital repatriation can be used to pay down other principle balances on other assets, used for capital improvements or taken as investor profit.
Cashflow Creation
Real estate allows for many avenues of cashflow creation through rental rate increases, mitigating expenses and principle pay downs on outstanding property mortgages. These three incentives will allow the net operating income of the property to increase.
WHy Multi-family
Multi family real estate buying has been in the companies roots for over 35 years. We focus on strong demographic areas across Canada.
Inflation Hedge
There is a positive correlation between GDP and demand for real estate. As the economy grows, rental rates and real estate values increase as well, which translate into higher capital values. Real estate historically has increased more then the inflation rate.
Low Valuation Volatility
Real estate valued based on capitalization rates which are transitive. Unlike other assets, real estate assets are not being transacted everyday and are not vulnerable to unexpected shocks.
Rental Rate Fluctuations
Rental rates in robust economic cities have seldomly declined throughout history. The number of rental units available and housing unaffordability are what create rental demand which translate into increased rental rates over time.
Counter Cyclical Industry
Rental rates in robust economic cities have seldomly declined throughout history. The number of rental units available and housing unaffordability are what create rental demand which translate into increased rental rates over time.
Diversification
Real estate allows investors to diversify their portfolio and offset the volatility of other assets, therefore reducing the risk of the investor’s portfolio. Furthermore, diversification across provinces allows the real estate portfolio to mitigate risk as the assets are in many different markets.
Tax Deferred Growth
The value appreciation of the real estate asset is not realized under the tax act until the property is sold.
Renewable Capital Source
The capital used initially for the purchase of the asset can be repatriated upon refinancing the building. This capital repatriation can be used to pay down other principle balances on other assets, used for capital improvements or taken as investor profit.
Cashflow Creation
Real estate allows for many avenues of cashflow creation through rental rate increases, mitigating expenses and principle pay downs on outstanding property mortgages. These three incentives will allow the net operating income of the property to increase.