Edmonton Real Estate Investor: interest rates

Alberta Oil Sands Investment Real Estate News®
Glenn Simon Inc., Suite 1217, 5328 Calgary Trail NW, Edmonton, Alberta, Canada. Tel 1-888-780-5940 Fax 1-888-276-4517
www.glennsimoninc.com email: info@glennsimoninc.com

March 3, 2015
Volume 18, Issue 4

Dear Friends and Partners,

If you want to buy a revenue producing investment property, expand your portfolio, build the foundation for wealth - this is a great time to do it! Edmonton's experiencing a dip in its ever-cyclical real estate market that invites you, begs you, to hunt out the good deals.

If you are buying correctly (refer to our earlier blogs on how to choose an investment property) then you will see opportunity, as well as fear, in the market. What you need to do is have your parameters set tight for a property that meets your investment goal, and pull the trigger.

Are you waiting for rates to go lower? Don't.
Do listen to what Peter Kinch has to say about that. Watch here

Here is an excerpt from Fast Company about the importance of zagging while others zig:

Disruptive strategies begin with the courage to zag where others zig.

If your competitors are all starting to turn left, you look right. It is actually not that hard to do. It takes no brilliant foresight. It does not require seeing what others don’t. It simply requires reading the herd. When your competitors all start running in one direction, you just need to ask, "What if I ran in a different direction?” Read it here

Central Edmonton: Allendale 5-Unit Cashflow

This 5-unit, 1940 built mixed-use commercial multi family property is located in the heart of Allendale . Near U.O.A., Strathcona School, Hospital and fast access to downtown and the Whitemud this is a terrific location boating many parks in a desirable, mature neighbourhood.
This property has front entrances to the main suites as follows; 1X 3BD, 2X 1BD, 2X Bachelor. This property was built as a dwelling and commercial units (2). It has recently had Safe Housing upgrades as well as interior upgrades. This will become a turn-key deal. The property has a double car garage and driveway. Excellent access to downtown, transit and parks.

Comes complete with great tenants making this a totally turn-key property for you. Inglewood is a great mature area that is a desirable for tenants working in the city or attending Grant MacEwan. HUGE upside potential due to the quality of the building, great purchase price, strong economic fundamentals and the proximity of this property in relation to Edmonton's desirable growing core.

Purchase price: $635K
Total Investment: $139,925K.
Your Estimated 5 Year Profit $76,000K.
Your pre-tax Total ROI is 55% or 11% per year

These 5 suites rent for top dollar and have everything arranged, including financing structure and incredible tenants. Your investment includes: impeccable tenant selection, financial analysis, professional inspection, insurance, financing set-up, legal fees, basic accounting, reserve fund, CMA, bi-annual statements, strategic market planning to ensure successful entry and exit, plus much more!

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Lamphier: Alberta’s woes bring joy elsewhere
But TriWest says investors are moving in

By Gary Lamphier , Edmonton Journal, February 19th, 2015

EDMONTON - Sometimes, Canada resembles a giant high school. Petty jealousies, parochial squabbling and ugly sniping often trumps any shared national interest.
For years, Alberta has led the nation in economic growth and job creation, generating wealth for the entire country. But too often, Alberta’s success has only stoked envy and resentment elsewhere.

Now that oil prices are down and Alberta’s economy is sputtering, there is barely disguised glee in other parts of Canada.

“Pardon my schadenfreude,” one West Coast newspaper columnist recently sniffed. “No one likes to see the job loss that the plummet in oil prices has caused in Alberta ... But the corrective effect it’s having on our neighbour’s hubris? I admit to my mean spiritedness.”
FOLLOW THIS ARTICLE
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Workers, still finding jobs in Alberta, labour force numbers show

By David Howell, Edmonton Journal, February 6th, 2015

Workers are finding jobs in Alberta but the oil and gas industry is taking a hit, January employment numbers show.
Alberta added 13,700 jobs in January, most of them full-time, bringing gains over the past 12 months to 67,000 or 3.0 per cent.

That’s the fastest growth rate among all Canadian provinces, Statistics Canada reported Friday in its monthly labour force survey.

Alberta’s unemployment rate was 4.5 per cent in January, down by 0.2 percentage points from December. Nationally, unemployment decreased slightly to 6.6 per cent.

Edmonton’s unemployment rate was unchanged at 4.8 per cent but the city enjoyed a net gain of about 1,500 jobs, said John Rose, chief economist for the City of Edmonton. GET IT HERE

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Edmonton’s fast population growth to slow in 2015, city economist says.
Oil slump doesn’t mean people will stop moving here says, Rose

By David Howell and Andrea Sands , Edmonton Journal, February 11th, 2015

Edmonton has emerged from the latest Statistics Canada population snapshot as the second-fastest-growing city in Canada, behind only Calgary.
But the downturn in the economy means the rapid growth won’t continue into 2015, the city’s chief economist warns.

Between July 1, 2013, and June 30, 2014, the population of the Edmonton census metropolitan area grew 3.3 per cent to 1,328,290, Statistics Canada said Wednesday.

The Edmonton census metropolitan area includes Edmonton, St. Albert, Sherwood Park, Fort Saskatchewan, Leduc, Beaumont, Spruce Grove, Stony Plain, Morinville, Devon, Gibbons, Redwater, Calmar, Thorsby and several other communities. READ MORE HERE

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I appreciate all your calls and emails. I'm looking forward to helping you with your next step towards building real wealth.
Your success continues EVERYDAY, let me help you build for tomorrow.

“Set your goals high and don’t stop until you get there." - Bo Jackson

Warm Regards,

Todd and Danielle Millar

===SPECIAL NOTICE: NO CASH, BUT GOOD CREDIT? CALL US TODAY TO LEARN HOW YOU CAN OWN INVESTMENT PROPERTY===

P.S. Stay ahead by checking out Danielle's daily blog at Edmonton Real Estate Investor for all your cutting edge market news and information.

Oilsands can help other parts of country if developed safer, faster -
"All of Canada should be working to develop Alberta oilsands because the trillions of dollars it can generate can go to help other areas of the country, says an economic leader. Brad Ferguson, president and CEO of the Edmonton Economic Development Corporation, says northern Alberta could contribute $2.1 trillion to the Canadian economy over the next twenty years, or $105 billion dollars a year." Read

Not for sale Calgary house offered for free -
"Jason Hastie may have grown very attached to the southwest Calgary home he has owned for the past 10 years, but he’s decided to give it away.
Hastie and wife Gina are building a new home on their Killarney property and, instead of seeing their existing one torn down, are offering it for free to a deserving new owner." Get it

TransCanada will look at rail if Keystone - " The chief executive of TransCanada said Wednesday if the Obama administration doesn't approve the controversial Keystone XL pipeline his company will look to the more dangerous alternative of building build rail terminals in Alberta and Oklahoma." Jump

BoC maintains interest rate at 1% -
"The growing U.S. economy will help Canada's export industry, though Canada will continue to have a worryingly low inflation rate for another couple of years, the Bank of Canada governor said Wednesday.
In response, the bank maintained its overnight interest rate at 1%." Jump

11 Acts of courage that will inspire you - The Daily Worth

Alberta wages surge young men choose work over school - “Go talk to Tim Hortons or McDonald’s, and ask them how easy they find it to hire employees. It’s these sort of industries that really struggle, because they can’t compete on salary,” “A lot of young people who might take up those roles find opportunities to go and earn significant amounts of money at a young age out in the construction or oil and gas sectors.” Jim Fearon, vice-president for Western Canada for international recruitment firm Hays Jump

"persistent strength in the housing market" is a major reason why the Bank is raising rates....."The latest resale data show precisely zero signs of a let-up."Douglas Porter, deputy chief economist Bank of Montreal

A robust housing market and the Bank of Canada's recent increase in interest rates may indicate more "modest" rate hikes in the future.

Investors who hold multiple mortgages should add a higher interest rate to their spreadsheets and prepare for the rates to increase in the future. Higher interest rates mean higher mortgage payments and lower cash flow. So check and double check your numbers!

For the current interest rate CLICK HERE