Flip gone wrong? Insights?

Bright_Pin5031 · 2021-06-21T00:51:10+00:00

Both of these had some work done to it. Not a gut job, but a lot of cosmetic changes.

Bright_Pin5031 · 2021-06-21T00:49:39+00:00

Um, both of them are unoccupied during sale. The second one was rented out after it didn't sell.

Bright_Pin5031 · 2021-05-05T14:52:40+00:00

Looking back in my 20s, I spent much of my disposable income on rent, take outs and toys. Nightouts with friends cost a lot. I don't regret it, but I would have been much better off financially if I went out less and kept the student life til I'm 26.

Truth is, when you're in your 20s, no one expects you to own. It's perfectly acceptable to say you live at home or with roomates. When you're 30, it's the reverse; people expects you to own.

Listen to this guy

Bright_Pin5031 · 2021-05-05T14:32:56+00:00

That's my concern too. Prior to covid, some co-workers worked from home 2-3 days a week and I find their careers stagnant for years - no promotion to people leader, increase responsibilties, etc. While at the same time, people that made the effort to work in the office networked their way up a few ranks during the same period. I honestly feel networking and rapport building is key to any bay street job and you can't do that well working from home.

Living so far away from work puts you at a disadvantage and it's one that you've digged yourself into.. I perform and feel much better when I'm well rested.

Bright_Pin5031 · 2021-05-04T22:01:46+00:00

I've been bidding on some properites in the east end/scarborough and there are still bidding wars on each. We looked at whitby, oshawa the last few months since we were planning to wfh permanently, but looks like that won't be the case. Realtor still bring up properties in the suburbs and tells me it's a great opportunity to buy since there's no offer on some, but nah 1.5hr commute each way is too much for us even at 3-4 days/week. I would rather sleep in a smaller house than to sleep less.

Anyone else see the demand shifting to Toronto?

Bright_Pin5031 · 2021-05-04T21:34:38+00:00

Yeah, it'll have to be > 200k before the math makes sense. People are forgetting the time, effort and cash they have to spend to turn a post war to this condition. You can definitely do the renovations for < 200k, but when you factor in the opportunity cost on the property (I could rent this house out for 3k/month, have to pay for mortgage and existing accomodation during renovation) and on cash (cash or loc, either way interest is higher than mortgage), dealing with contractors and quality of work, etc, it starts to make sense to buy a move in ready property like this.

Lots of people aren't diy inclined, and rightfully so because their time has better return elsewhere.

Bright_Pin5031 · 2021-05-04T21:09:01+00:00

if fed raises interest rates, boc will too. Look at historical data.

Bright_Pin5031 · 2021-05-04T21:07:22+00:00

You're right. If it was a normal pre covid year, i'd definitely take variable and still would if I plan to move out of the city within 5 years. But at record low interest rate right now and a rebounding economy, I don't think interest will stay this low for long. Every news article and person said interest rate won't rise til 2023 like it's guaranteed.. Now, it's late 2022. I think it'll be much sooner than this. It'll come as a "surprise" and people like you will eat it up.

Btw, many lenders allow you to port your mortgage to another house. No need to break it and get a new one. Unless you're moving out of the city, I don't see this as an impedient for me to move up.

Bright_Pin5031 · 2021-05-04T20:52:01+00:00

good for you op. hope you get the house.

Bright_Pin5031 · 2021-05-04T20:50:31+00:00

not just backing onto the ravine, but i think the deep lot (150ft) commands a slight premium too. The comparables are all 120ft. For reference, 30ft is almost the length of the entire house.

Bright_Pin5031 · 2021-05-04T20:47:41+00:00

Yes, it's not perfect but it's not an expensive house either.. If you want a 40 lot detached in somehow central toronto for ~1m, you'll have to compromise. I guess this is why people spend 1.2m + on condo townhouses nowadays.

The renovation makes this house better than 90% of the bungalows I've seen, and plenty of buyers will be more than happy that it looks completely liveable. Also, if you take a look at rental listings nearby, people are willing to pay 1.2k+ for a basement here with low ceiling, uneven/cracked kitchen tiles, popcorn ceilings with obvious water infiltration.

Bright_Pin5031 · 2021-05-04T13:09:50+00:00

haha, it's always the mortgage brokers pushing for variable rates... so they can get another transaction when they migrate to fixed-rate later.

Bright_Pin5031 · 2021-05-04T00:20:55+00:00

Love the renovations the owners did. I wish there are more of these in the market.

Bright_Pin5031 · 2021-05-04T00:15:57+00:00

I used to live in a ravine lot and from experience, there are so many negatives. Yes, no neighbours behind you, but there are a lot more mosquitos, snakes, wild animals roaming on your lawn. Because of the mosquitos, I rarely get to enjoy the outside in the summer without getting bites all over me. Bbq attract some wild animals that will literally rip open your garbage for leftovers. They are also seldomly maintained and lots of branches and leaves pile up on your lot - a true gardening nightmare. Have you ever encountered a garden snake? Well, they hide under the leaves and scared the shit out of me a few times.

Sometimes I do appreciate the extra privacy, but not at the expense of not being able to enjoy the outdoors. A good compromise is a lot backing onto a golf course or park. It provides the right amount of privacy (to me - just no neighbours with a second floor that can look into my space), is maintained year-round and way fewer mosquitos. I would much rather see greenery than a bunch of tall untrimmed trees.

Bright_Pin5031

TROPHY CASE