Are you considering investing in real estate? Most of our investor clients have kick-started their real estate investment profile by purchasing a condo and renting it out. The condo market can be attractive to first-time homebuyers and investors due to the cost. It’s important that you understand the risks and rewards associated with the decision and if it’s right for you. In today’s blog, we are going to use a real case study and break down the purchase price, renovation budget and sale price! Let’s get to it.
In 2012, we helped our client purchase a 2 bedroom, 2 bathroom condo at 33 Sheppard Avenue for $440,000. This property was purchased as an investment with the intention of having his son live there one day. Things didn’t go as planned and this left our client with the decision to sell the condo instead. The issue was that the property had been occupied by tenants for 11 years, and although they were great tenants, the place needed a lot of work. We could have listed the condo as is, but we knew that wouldn’t be the best option for our client since most buyers want a property that is move-in ready.
Instead, we partnered with our design and staging experts to develop a plan to give the property a complete makeover. We managed our trusted team of tradespeople who worked tirelessly to complete this project in just under a month. Why did we go through all this trouble? We could have listed the property as is, sold it, and moved on to the next client. However, that’s not how we operate. We take pride in delivering the best possible results for our clients. It wasn’t an easy task, and there were some unexpected surprises along the way, but we handled everything. The end result? A thrilled client and a set of lucky buyers who get to enjoy a beautiful new living space. Here’s what we did!
Before and After Gallery
Fact: Highest reported sale price EVER for “08” layout in the building. Previous high: $848K.
Strategies with a proven track record of record-breaking results. Negotiating complex scenarios. Bringing it all together. We’d be happy to do the same for you.
There you have it! If you have the means to invest, starting with a condo can be the right decision. Though there are many other factors that you will need to take into consideration for example; location, condo building, purchase price, the state of the market, etc. If you are interested in getting more information on investing, feel free to contact our team and we would be happy to set you up with a no-obligation, one-on-one discussion with an expert mortgage broker.
Did you know SO&Co. offers an interest-free loan (up to $25,000) to be used for upgrades and renovations? Reach out for more info.