Hi everybody,

We are planning to land in Canada in October 2004 and after getting all the PR papers done, we will be returning to Kuwait to work here for a further period of 2 to 3 years.

We would like to enroll our daughter in an university in Toronto during 2005 for an undergraduation course.

Now coming to the question of realestate, we would like to purchase a House in Toronto in any desi dominated area when we land in Canada in October 2004 in the price range of around 200,000 to 250,000 and we would be putting in an intial down payment of around 30%.

My questions are :

1. Is this the right time to invest in properties.
2. Since I will be renting this property for the first 3 years, what approximate monthly rent I can expect from this investment.
3. Will the above rent be sufficient to repay the mortgate amount of 70%.
4. Do you think the price of the properties will go up after 3 years - will my investment appreciate.
5. Can Mr.Pramod Chopra please suggest if he has any current properties available with him which will meet my criteria - I would prefer to go in for an upcoming/developing desi locality rather than an already developed area, as this will be more cost effective and chances of appreciation.

Thanks.

Its a good time to invest in a property as the interest rates are very low and housing market is strong. You may like to read the below post regarding the housing market:

http://www.canadiandesi.ca/read.php?TID=2278

http://www.canadiandesi.ca/read.php?TID=3078&page=1#14645

You may also like to read the below post that may help you re-think whether you should migrate now or at a later date:

http://www.canadiandesi.ca/read.php?TID=3191&page=1#15296

Investing in property and putting the same on rent is a very good move and there are many clients who do exactly the same. This serves you with dual benefit, 1. your property will appreciate in value and 2. your tenant pays off your monthly mortgage during the period of lease. You may need someone in Canada to take care of your property/tenant etc.

You can expect a rental income of 1200-1400 CAD for a 250,000 property and this rental income can pay off your entire mortgage amount (principal+interest) plus utilies in case you are planning to put 30% down payment.

Mr.Pramod Chopra can throw some more light on the above as your monthly mortgage amount depends upon a lot of other variables like interest rate, term, type and amotarization period.

No one can tell with authority if prices of properties will go up in future. If we could predict all this then we all would have been millionaires. Can we predict our future?

When you arrive in Canada do give me call and come and attend our First-time Home Buyer Seminar.

http://realestate-ontario.com/firsttimebuyer.htm

Good luck,

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Amit Kalia, Broker, REALTOR®
RE/MAX Real Estate Centre., Brokerage
independently owned & operated
100 City Centre Dr, Unit 1-702
Mississauga, ON L5B 2C9
Phone No.: 905-339-5111
Website: https://www.realestate-ontario.com/
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