Where to Buy Next?

With the prices skyrocketing over the past year, it is very difficult to find a multi-bedroom property for a decent price.

That said, if you can work remotely and don’t have to be within the driving limits of the GTA, here’s the list of some Ontario cities where you can still find a three-bedroom property under $400K: Windsor, Sarnia, Sault Ste. Marie, Kingston, North Bay, Ottawa and Belleville. Probably a few more, but it’s a start.

These locations could also be good candidates for potential investment properties if you can find a good property management company who will take care of your future tenants. Typical property management fee runs around 10% of your rental income but under the circumstances, it could be worth every penny.

Remember, to buy an investment property, you need a minimum of 20% of the purchase price (which for a property of $400K would be $80K) plus closing costs. Not too much by GTA standards, right?

If you are looking for an invesment property, many investors have found the East Coast of Canada a very attractive destination. Again, you will need someone to take care of your investment.

Seasonal properties in Quebec have been some of the newest additions to potential investment properties. Properties near ski resorts that can be rented out both in winter and summer seasons can be found well below $400K, sometimes even under $300K.

Don’t also forget international properties that have become very attractive investment destinations. Whether it’s back in the old country or an exotic sunny location, the sky is the limit. You just have to do further research since the rate of return in different locations may vary.

If you are looking for an investment property, consider that is may end up being your retirement destination one day. This consideration may drive your search and decision. Until then, let someone else pay off your mortgage through rent and build your retirement equity.

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