Sorry for your loss. However, you weren't subsidizing for your tenant. Tenant is not meant to pay your mortgage when it fluctuates. Property in Canada is like MLM. Banking on equity or cashflow is little to nothing considering the cost of maintaining the property. When I see Nigerians, especially new immigrants shouting I came yesterday, and we just bought our 1st property today, they will be house broke and broke broke...lol. Remember, that job you are banking on no matter how juicy it is, is not sustainable. Get financially stable, I mean owning good stock or business investment, then buy very affordable property for your family. Thank you for your honesty.
Thanks for this comment. Some new landlords have the opinion that they are subsidizing for the tenant, which is incorrect. Take for example, a tenant who has been renting at a reasonable rent from a landlord who bought the house, say, 15 years ago. Now, this landlord sells the house to a new landlord who bought the property at current price and interest rate. The new landlord may need/want to jack up the rent by more than 50% thinking that the tenant's rent is subsidized.
@Chukboss We did not have any tenant. I only gave an analogy that it did not make any sense to rent the house if the income from renting wouldn't take care of the mortgage.
@@CanadaInfohub Okay, I get you. Most landlords think that is the case though. A tenant is meant to be charged accordingly which in turn reduce the expenses of the owner except the property is strictly for investment purpose. Even people with investment properties get burnt in the long run if they don't do a thorough research. Thanks again for being honest, you rock👏🏿👏🏿👏🏿
Without doubt, this year is worse than the last one. This year, I lost a lot of money due to poor investing decisions that I would not have made if I hadn't been so concerned about my portfolio. I kept investing, but I wasn't sure if I should begin saving for a house. Now, I sold everything I owned, and the house needed more care than I thought. I don't know how much longer I can go on like this
Invest in firms that provide current cash flows to diversify your portfolio. I hired a planner at the end of 2023 to help me develop my portfolio, and over the previous eight months, I've gained in over 50,000 different markets. If 2023 tells us anything, it's that luck doesn't last long. Even in times of growth, we should put more effort into planning for worst case scenarios
Okay, so where can i locate a reliable financial planner? I have no trouble finding out the expert who assisted you. In two years, I'll be retiring, and I could need guidance managing my possessions. Not ready to take a chance
Thank you so much for always sharing your experiences. Everyone seems to only share the good stuff but you also share the bad…. We love you for this. Thank you. From Alberta❤️
Adjustable Rate Mortgage (ARM) or Variable Rate Mortgage should be illegal and avoided at all costs! Fixed rate Mortgage are the best eventhough they seem expensive initially but you have a steady Mortgage rate you pay through out the life of the loan. Lesson is that please run your numbers to get the total cost of homeownership: cost of down-payment, cost of Mortgage, cost of house taxes, cost of homeowners insurance, closing costs, cost of future fixes etc!
@@CanadaInfohub They'd have lost more money if they had to sell after one year on a fixed mortgage (depending of the term of the mortgage, of course). Go check out how much mortgage break fees are.
It depends on your risk tolerance. Historically (50+ years) the interest rates on variable rate mortgages have been lower than fixed mortgages. Also should you need to sell and break the mortgage the penalty is 3 months interest on the remaining balance at the current rate. For fixed mortgages penalty is the interest rate differential a complex calculation but put simply the lender wants you to pay them the difference in interest you've paid and the interest they would have earned if you didn't break the mortgage. In most cases if you're budget is tight a fixed rate mortgage is probably better. If you have some cushion in your budget variable results in less interest over the life of the mortgage.
A couple of learnings here: - the first rule of real estate is location you can change everything else except location. A good sought after location will attract better tenants higher rent and easier to sell later on. - do not buy with a 5 or 10% dp for precisely what you experienced. If you can't put a 20% dp you probably shouldn't be buying g. The only certainty is that the unexpected will happen. - real estate investing is a long term proposition. Gone are the days when you can put a small dp hold the property for a year or two and then sell for a profit even more so in Manitoba where the pool of qualified buyers is so much smaller. - if you are uncertain of staying in the same city for an unknown period of time you should rent even more so in places with a relatively small base of jobs available. It's not like Toronto Vancouver or Montreal where leaving your job and finding a similar one is an option.
Hmm...the point you made on how having a down payment of at least 20% becomes helpful if stuff happens and you suddenly have to sell is quite an insightful one.
@@histreasure3189 one other point if you have < 20% dp most lenders require CHMC mortgage insurance the entire premium is added to the mortgage amount as an example 10% dp on a $300K property in MB the premium is about $8K
Buying a property is a no no for me. I rather rent a house and invest my money in a profitable business venture. Either offering or selling service. When the business is stable I might venture into owning a portable one. After all no one takes a house to the grave. Oyinbo people too dey shady with their property mortgage. I no fit shout.
Hi Wolo, I'm sorry to hear about your experience but this is a special or isolated case due to the peculiarities of your situations. As a mortgage professional and speaking from having done well over 500 mortgages in Canada, I can say that having a strategy in place when buying a home is key. What's the why? What's the alternative way out of the why doesn't work. Things like that is what I try to discuss with my clients. Once again, sorry to learn about your experience....
I think it’s more about the location in the example you gave than about whether or not you intend to stay in the location for more than 1 year. If you have a condo in Toronto & environs or London you can do your math, buy and rent it out even if you don’t plan to live there. And real estate is a long term investment not one to get profit immediately & I like that you highlighted that.
Thanks for sharing this video. I will appreciate if you could clarify a few things that appear vague in your video 1. Was going on variable rate the issue that meant you would have had to pay add money in addition to what a tenant to pay your mortgage? 2. What was the reason why you couldn't recoup your down payment and all the mortgage you had paid. If you could add context or provide answers to the above that would be appreciated especially for those who are looking to buy or owners who are looking to sell. Thanks
Beautiful video..Thanks for sharing.However,I wish you had mentioned the name of the town in question. This is the second or third video that you'ld made with regards to this "location" without being specific ..Haba now All the same thanks....Your video is an eye opener that no need rushing as an immigrant into buying a properly abroad due to the associated expenses.
So sorry to hear about your financial loss Wolo, but what's with the endless secrecy on your channel? Here we go again! "We were actually in a small town in a very small location..." (1:27). Is it too much to reveal where this "location" is? We love watching your channel but the constant secrecy & vague references actually does more harm than good to your content. We're guessing the identity of the "location" u're so keen to hide is Thompson, MB but it wld help if you just said it. Viewers are keen to subscribe where they know they can learn/pick up new infirmation, and not to listen to guessing games. Well done all the same!
@elloco-q3h Sorry it's not Thompson and I won't reveal the location for personal reasons. I don't want people thinking the location is bad and decide not to go there.
So what lessons are we learning? Sorry I really used to love your videos way back when I was in Nigeria. Your videos helped me a great deal but immediately you became an immigration consultant, I lost interest in your videos. Too many half informations. Even this one is of no use to me. Story without details
@@isiakhimien1009 Gud point. The videos suddenly have little specific information; too many vagues; too much secrecy. No facts/figures/numbers. Imagine the difference it wld make if the video told us how much $ the house 🏠 was bought & then sold? But...🤷♂️
@@elloco-q3h Again, personal details, figures and numbers are not for public consumption. I don't think this channel is the right one to follow if the content I put out does not suit your needs.
@CanadaInfohub pls tell us the location Wolo, so that we don't make the same mistake. Uve always been of great help to us. Giving out more specific information would help us a great deal. Thank u.
What city in manitoba did you buy a property , based in the 8hrs 1hr by air, you must have bought the house close to where rhe pilar bears are , na hudson bay you go buy house , i guess you should have biyght it in Brandon, Selkirk, and all those close cities to winnipeg , next time buy houses max 1 hour to winnipeg or 2hrs vy road , you wont be in this mess
I advise Africans in the West! Never buy property abroad! Imagine the the down payment! I get bored quickly! The reason; I have never been interested to buy property across countries, I have lived in. It doesn't even make sense, with all the taxes.
Your advice makes no sense because your paying all the mortgage and taxes and insurance as part of your rent with no ownership or benefits in the property property price increasing.
@@toluani7690 Actually, renting can make a lot of financial sense in the short term, especially when you factor in the flexibility and potential savings. Let’s break it down with a quick example: Say the mortgage on a home is $2,500 per month. On top of that, you’re paying around $500 for property taxes, $150 for homeowner’s insurance, and an average of $200 for maintenance. That’s a total of $3,350 per month. Now, imagine you rent a similar place for $2,500 per month. You’re not responsible for taxes, insurance, or maintenance. If you save the $850 difference each month, that’s $10,200 in savings over the year. If you invest that wisely, you could potentially grow your savings while maintaining the flexibility to move or adapt to changes without the financial burden of homeownership. Renting isn’t just ‘throwing money away’-it can be a strategic way to save and invest until you’re ready for homeownership
@@shawnisamazin hidden or not you are paying it. The landlord has added it to his number, you don't really think landlords are running a monthly loss after they pay taxes and insurance do you? And to add your rent will continue to go up and up and up with no ownership while with a mortgage you get more and more share of ownership until the end of the mortgage.
Sorry for your loss. However, you weren't subsidizing for your tenant. Tenant is not meant to pay your mortgage when it fluctuates. Property in Canada is like MLM. Banking on equity or cashflow is little to nothing considering the cost of maintaining the property. When I see Nigerians, especially new immigrants shouting I came yesterday, and we just bought our 1st property today, they will be house broke and broke broke...lol. Remember, that job you are banking on no matter how juicy it is, is not sustainable. Get financially stable, I mean owning good stock or business investment, then buy very affordable property for your family. Thank you for your honesty.
Thanks for this comment. Some new landlords have the opinion that they are subsidizing for the tenant, which is incorrect. Take for example, a tenant who has been renting at a reasonable rent from a landlord who bought the house, say, 15 years ago. Now, this landlord sells the house to a new landlord who bought the property at current price and interest rate. The new landlord may need/want to jack up the rent by more than 50% thinking that the tenant's rent is subsidized.
you are very right. May God give us wisdom.
@Chukboss We did not have any tenant. I only gave an analogy that it did not make any sense to rent the house if the income from renting wouldn't take care of the mortgage.
Shouting like birds 😂😂😂😂😂
@@CanadaInfohub Okay, I get you. Most landlords think that is the case though. A tenant is meant to be charged accordingly which in turn reduce the expenses of the owner except the property is strictly for investment purpose. Even people with investment properties get burnt in the long run if they don't do a thorough research. Thanks again for being honest, you rock👏🏿👏🏿👏🏿
Without doubt, this year is worse than the last one. This year, I lost a lot of money due to poor investing decisions that I would not have made if I hadn't been so concerned about my portfolio. I kept investing, but I wasn't sure if I should begin saving for a house. Now, I sold everything I owned, and the house needed more care than I thought. I don't know how much longer I can go on like this
We have all made mistakes, therefore keep it simple
Invest in firms that provide current cash flows to diversify your portfolio. I hired a planner at the end of 2023 to help me develop my portfolio, and over the previous eight months, I've gained in over 50,000 different markets. If 2023 tells us anything, it's that luck doesn't last long. Even in times of growth, we should put more effort into planning for worst case scenarios
Okay, so where can i locate a reliable financial planner? I have no trouble finding out the expert who assisted you. In two years, I'll be retiring, and I could need guidance managing my possessions. Not ready to take a chance
June Renae Matthysse. You are likely to find more information if you look her up online
She seems to be kind and well educated. I looked up her name online and discovered her website, thank you for sharing 👍
Thank you for sharing your experience. losing your down-payment and everything must have been very difficult 😢😢
Thank you so much for always sharing your experiences. Everyone seems to only share the good stuff but you also share the bad…. We love you for this. Thank you. From Alberta❤️
Sorry about the loss, and thanks for sharing your vulnerable experience with home sale.
Hypothetically, numbers would have given this video more value... All the same good work from you
@olaa3561 yeah you are right. Putting figures would have made a difference but did not want to stress myself with it
Adjustable Rate Mortgage (ARM) or Variable Rate Mortgage should be illegal and avoided at all costs! Fixed rate Mortgage are the best eventhough they seem expensive initially but you have a steady Mortgage rate you pay through out the life of the loan. Lesson is that please run your numbers to get the total cost of homeownership: cost of down-payment, cost of Mortgage, cost of house taxes, cost of homeowners insurance, closing costs, cost of future fixes etc!
True
@@CanadaInfohub They'd have lost more money if they had to sell after one year on a fixed mortgage (depending of the term of the mortgage, of course). Go check out how much mortgage break fees are.
It depends on your risk tolerance. Historically (50+ years) the interest rates on variable rate mortgages have been lower than fixed mortgages. Also should you need to sell and break the mortgage the penalty is 3 months interest on the remaining balance at the current rate. For fixed mortgages penalty is the interest rate differential a complex calculation but put simply the lender wants you to pay them the difference in interest you've paid and the interest they would have earned if you didn't break the mortgage. In most cases if you're budget is tight a fixed rate mortgage is probably better. If you have some cushion in your budget variable results in less interest over the life of the mortgage.
A couple of learnings here:
- the first rule of real estate is location you can change everything else except location. A good sought after location will attract better tenants higher rent and easier to sell later on.
- do not buy with a 5 or 10% dp for precisely what you experienced. If you can't put a 20% dp you probably shouldn't be buying g. The only certainty is that the unexpected will happen.
- real estate investing is a long term proposition. Gone are the days when you can put a small dp hold the property for a year or two and then sell for a profit even more so in Manitoba where the pool of qualified buyers is so much smaller.
- if you are uncertain of staying in the same city for an unknown period of time you should rent even more so in places with a relatively small base of jobs available. It's not like Toronto Vancouver or Montreal where leaving your job and finding a similar one is an option.
Hmm...the point you made on how having a down payment of at least 20% becomes helpful if stuff happens and you suddenly have to sell is quite an insightful one.
@@histreasure3189 one other point if you have < 20% dp most lenders require CHMC mortgage insurance the entire premium is added to the mortgage amount as an example 10% dp on a $300K property in MB the premium is about $8K
What you learn and share with people on here: do not buy a property with variable rate mortgage.
Buying a property is a no no for me. I rather rent a house and invest my money in a profitable business venture. Either offering or selling service. When the business is stable I might venture into owning a portable one. After all no one takes a house to the grave.
Oyinbo people too dey shady with their property mortgage. I no fit shout.
True, no one take a house to the grave
Exactly!! I would rather buy land and build back home. When the west falls I will have something to go back to.
A house like other properties of value can be inherited/willed to dependents or even used to raise capital for a profitable business idea
Hi Wolo, I'm sorry to hear about your experience but this is a special or isolated case due to the peculiarities of your situations. As a mortgage professional and speaking from having done well over 500 mortgages in Canada, I can say that having a strategy in place when buying a home is key. What's the why? What's the alternative way out of the why doesn't work. Things like that is what I try to discuss with my clients. Once again, sorry to learn about your experience....
Wow!!! Sorry about the loss. That's painful.
I think it’s more about the location in the example you gave than about whether or not you intend to stay in the location for more than 1 year. If you have a condo in Toronto & environs or London you can do your math, buy and rent it out even if you don’t plan to live there. And real estate is a long term investment not one to get profit immediately & I like that you highlighted that.
Yeah the location had a low property appreciation rate
Please be graceful people, I am pained watching this and I imagine how she feels…. Please take the much you can take from this and move on….
Thanks for sharing this video. I will appreciate if you could clarify a few things that appear vague in your video
1. Was going on variable rate the issue that meant you would have had to pay add money in addition to what a tenant to pay your mortgage?
2. What was the reason why you couldn't recoup your down payment and all the mortgage you had paid.
If you could add context or provide answers to the above that would be appreciated especially for those who are looking to buy or owners who are looking to sell.
Thanks
What I would have done, is to list it on AIRBNB since you could manage remotely and get a handy man and cleaner at the location
We considered this as well, but issues of low quality people renting airbnb exists as well
This is very emotional. So sorry, ma.
This is a big lesson to learn
@raymondkolawole5373 we still thank God
Beautiful video..Thanks for sharing.However,I wish you had mentioned the name of the town in question. This is the second or third video that you'ld made with regards to this "location" without being specific ..Haba now
All the same thanks....Your video is an eye opener that no need rushing as an immigrant into buying a properly abroad due to the associated expenses.
I won't mention the name of the town for personal reasons.
You need to pay attention to the interest rate decisions of the central banks. They are now cutting rates in the US and Canada. I
True
How much was the down payment in percentage?
Fixed rate mortgage is the best.
if you had given us numbers the information will be more palpable
So sorry to hear about your financial loss Wolo, but what's with the endless secrecy on your channel? Here we go again! "We were actually in a small town in a very small location..." (1:27). Is it too much to reveal where this "location" is? We love watching your channel but the constant secrecy & vague references actually does more harm than good to your content. We're guessing the identity of the "location" u're so keen to hide is Thompson, MB but it wld help if you just said it. Viewers are keen to subscribe where they know they can learn/pick up new infirmation, and not to listen to guessing games. Well done all the same!
@elloco-q3h Sorry it's not Thompson and I won't reveal the location for personal reasons. I don't want people thinking the location is bad and decide not to go there.
So what lessons are we learning? Sorry I really used to love your videos way back when I was in Nigeria. Your videos helped me a great deal but immediately you became an immigration consultant, I lost interest in your videos. Too many half informations. Even this one is of no use to me. Story without details
@@isiakhimien1009 Gud point. The videos suddenly have little specific information; too many vagues; too much secrecy. No facts/figures/numbers. Imagine the difference it wld make if the video told us how much $ the house 🏠 was bought & then sold? But...🤷♂️
Secrecy’s
I unsubscribe
@@elloco-q3h Again, personal details, figures and numbers are not for public consumption. I don't think this channel is the right one to follow if the content I put out does not suit your needs.
Sorry my sister. You shall recover it by the grace of God.
@@dominicebere9414 amen
So, for the loss, God will provide a better one
Thanks
No experience is a complete loss. In the future you will make use of the experience
@@paulonyigbuo7217 yes o
Hello I have been trying to open the link to your website but its not opening
try it again caninfoconsult.com
Thank you for the information! Only a few can give us this information for free. May God restore all your losses in Jesus name.
Thanks
I don't understand...so the property had not appreciated in value since the time you bought it?
sadly no because of the location
@CanadaInfohub pls tell us the location Wolo, so that we don't make the same mistake. Uve always been of great help to us. Giving out more specific information would help us a great deal. Thank u.
What city in manitoba did you buy a property , based in the 8hrs 1hr by air, you must have bought the house close to where rhe pilar bears are , na hudson bay you go buy house , i guess you should have biyght it in Brandon, Selkirk, and all those close cities to winnipeg , next time buy houses max 1 hour to winnipeg or 2hrs vy road , you wont be in this mess
Lolz na real close to the bears o. Confidentiality no fit let me call the name
Brandon is just 2.30 hours from Winnipeg, and houses in Brandon is selling fast because there is a high demand for buying and renting.
I advise Africans in the West! Never buy property abroad! Imagine the the down payment! I get bored quickly! The reason; I have never been interested to buy property across countries, I have lived in. It doesn't even make sense, with all the taxes.
Lolz, but then if we rent, we are still paying someones mortgage
@@CanadaInfohubwithout all the additional hidden costs like taxes, insurance, maintenance and many more
Your advice makes no sense because your paying all the mortgage and taxes and insurance as part of your rent with no ownership or benefits in the property property price increasing.
@@toluani7690 Actually, renting can make a lot of financial sense in the short term, especially when you factor in the flexibility and potential savings. Let’s break it down with a quick example:
Say the mortgage on a home is $2,500 per month. On top of that, you’re paying around $500 for property taxes, $150 for homeowner’s insurance, and an average of $200 for maintenance. That’s a total of $3,350 per month.
Now, imagine you rent a similar place for $2,500 per month. You’re not responsible for taxes, insurance, or maintenance. If you save the $850 difference each month, that’s $10,200 in savings over the year. If you invest that wisely, you could potentially grow your savings while maintaining the flexibility to move or adapt to changes without the financial burden of homeownership.
Renting isn’t just ‘throwing money away’-it can be a strategic way to save and invest until you’re ready for homeownership
@@shawnisamazin hidden or not you are paying it. The landlord has added it to his number, you don't really think landlords are running a monthly loss after they pay taxes and insurance do you?
And to add your rent will continue to go up and up and up with no ownership while with a mortgage you get more and more share of ownership until the end of the mortgage.
😂😂😂
Oooh, this is serious