Investing in Real Estate in Burlington

Despite some fears that Canada's housing market may be facing a "bubble" similar to that which hit the United States several years ago, the Toronto area is still considered to be a prime area for real estate investing, whether in residential or commercial property. 

Investing in real estate, however, is not for the beginner, nor for the uninitiated. It requires not only capital, but a thorough knowledge of financing, market conditions, values and business practices. It also requires tenacity and attention to detail. 

Planning to buy and sell -- or to "flip" properties -- is a very different undertaking from acquiring rental properties and successfully developing an ongoing income stream from the leasing of those properties. The required skills are different, and the capital requirements are different. Rehabbing or renovating properties is also a specialized skill, and requires construction knowledge, the ability to assess market conditions, control costs and deal with regulatory authorities, in addition to scheduling and management expertise. 

Today's market, in most areas, is strong and healthy; in fact, real estate professionals point to the brisk activity in certain neighborhoods as evidence that this is a prime time to invest in real properties. If you have your eye on the market, you can assess trends and take advantage of developing areas, and changing supply and demand. 

Single and multi-family dwellings that provide a continuing income stream can form the basis of a healthy investment portfolio. If the percentages are favorable, and you keep units leased, generating income can seem easy. But, managing rental property can constitute a full-time job. If you utilize professional management firms, you must consider that as a cost of investment. As with any investment, debt to income ratios are important; and high costs eat up potential profit. 

Commercial property is another possibility, whether office space, light industrial, retail or even warehouse or storage space. Again, your best course is to rely on the expertise of professional real estate agents to help you locate and identify viable opportunities. 

You will also want to establish a good working relationships with lenders, mortgage bankers and insurance professionals. Real estate investing can be extremely rewarding and profitable, and this part of Canada, particularly Burlington, offers a favorable environment for investing.