“World's Most Complete Neighborpedia”
Sponsor a Community — What is Localism? | Register or Sign In
Explore:   What's happening in your neck of the woods?
Home Paul Rushforth

Paul Rushforth

Blog_tag

Investors - Tips on Finding the Perfect Tenant!

11-25-09
Paul Rushforth

So you’ve taken the steps to setup an investment property to unlock your financial freedom.

Now how do you find a reliable and responsible tenant that you can trust?

Tenants are protected and it can be very difficult to get rid of a bad tenant. Here are a few tips on finding the right tenant the first time around: 1. Create a list of questions. Tenants will call to find out information about the property, but you should always a have a list of questions yourself, like why are the moving? Do they have pets? How many people will be residing in the rental? How long do they plan to stay? 2. First impressions are always key. When showing the property, try to pick up on cues of the persons habits, like if the wiped their shoes before entering the unit, or what types of questions were they asking during the showing? This is your opportunity to gage the tenant before having them sign the lease. 3. Take them through an application process. Ask for financial, employment records and references. Follow up on the references as well. Some people think that people will only give references names knowing that they will give them a good report, but that is not always the case. It always pays to follow up. 4. Sign a lease and take a security deposit! Before signing on the dotted line, you can always back out if something about the tenant rubs you the wrong away. But always protect your rights by having them sign a lease before they get the keys. As well, a security deposit could save you headaches down the road if they pose a problem with property destruction or lack of rent payment.

Good luck with finding the perfect tenant!

0 Comments
Blog_tag

Catering to the Trendy Professional!

11-13-09
Paul Rushforth

There has been a boom in new condo developments in Ottawa in the past couple of years, as many people look to live closer to the urban centres. Many of these new buildings have been planned by well known local developers, such as Minto, Claridge, Ashcroft, Richcraft, and Domicile, to name a few. However, there is a new player in town, who's specialty happens to be the more contemporary big city loft, Urban Capital. Urban Capital has been developing in Toronto, Montreal, Quebec City, and New York, in addition to Ottawa. They started with the East Market Lofts, then moved on to new ground, upgrading the offerings and amenities as they went even more upscale. Buyers have just started moving into their showpiece building (built in collaboration with Tamarack), the Mondrian, which is the new "it" address for the young and trendy professional. Urban Capital is also doing everything they can to keep their clients happy after the sale too. They have launched an VIP affinity program for their owners called Urbaina, which effectively gives them prenegotiated discounts from everything from upscale furniture stores to moving companies, right down to the trendy nightspots these urban dwellers frequent for dinner, rather than staying home and cooking. Consumer response to this new developer has been unprecedented! Buyers lined up for hours on release day for their latest venture, Central, to get their chance to purchase a unit at fantastic pre-release prices. Many potential buyers were turned away even after spending hours in line - I should know, I was one of the unlucky ones that did not make it inside on release day. Their newest building will be a 233 unit LEED silver mixed use building, with retail stores on the ground level, and residential suites above, surrounding a green courtyard area. Location is ideal, nestled between Centretown and the Glebe, and features such amenities such as a fully equipped state of the art gym, film screening room, and a double storey lounge and party room. The most popular units in these buildings are the one bedroom models, for both regular buyers and investors alike. The target client for these buildings are the young urban professional, who aren't looking for much space, but who do appreciate the finer things in life; granite countertops, hardwood floors, and a city's worth of amenities on their doorstep, and they don't mind opening their wallets to get what they want. Central has just done another release of 1 bedroom lofts in order to meet the high demand, which I'm sure, like Mondrian, will sell out before the building goes up. Central is slated for completion in 2011, and there will be 233 people waiting anxiously for the keys to their new condo, and their new lifestyle.

0 Comments
Blog_tag

Oil Heat - Should You Be Concerned?

11-11-09
Paul Rushforth

One of my clients is currently debating changing their heating system from an oil furnace to a natural gas system. Oil has been very reliable for them so far, but the tank is now 31 years old, and it's time to get a new one, or risk future issues. A leaking fuel oil tank is a serious fire and environmental hazard, and cleaning up a spill from a fuel oil tank is expensive. In some cases, a cleanup can cost more than the property is worth, so the best medicine is preventing an issue in the first place. More than 40% of all oil spills in Canada are from domestic oil tanks used to heat homes. These heating fuel oil tanks deteriorate over time and most corrode from the inside out. This internal corrosion is caused by the accumulation of water and sludge at the bottom of the oil tank that can result in small pinhole leaks, which is bad news indeed. Some things to look for on your tank that might indicate a potential issue are signs of rust or corrosion on the legs of the fuel tank, dents, weeping or dripping oil on the outside of the tank, and signs of leaks or spills around the fill pipe or vent pipe or by the tank itself. You also want to take a look at the fuel guage on the tank, to see if it is cracked, or not working properly. Any of these "symptoms" could indicate a problem with your tank, and you should have a qualified inspector check it out immediately.

Even if you don't have any obvious issues, you should have your tank inspected at least once a year by a registered contractor, and most insurance companies recommend that you should consider replacing your fuel oil tank if it's older than 15 years old. There can also be insurance issues, especially if the above-ground tank is more than 10 years old, or if there is no proof of recent cleaning, inspection and safety testing, no matter what the age of the tank.

Many people who have oil furnaces are now making the switch to a natural gas system, rather than absorb the cost of replacing the tank, due to substantial energy savings by upgrading the furnace. Compared to oil heat, natural gas can save you up to 55% on your energy bill, and if natural gas is available on your street, switching from an oil to natural gas furnace is simple. The cost of switching from electric to natural gas is made up in long term energy savings and improved comfort. Yes, it will probably cost you $5-$6000 or so, but the government is also offering a number of rebates for both home renovations and improvements in energy efficiency. There's never been a better time to upgrade your furnace, and downgrade your heating bills.

-Tracy-


1 Comment
Blog_tag

The Internet Has Changed the Face of Real Estate

11-09-09
Paul Rushforth

The world wide web has changed our day to day living, and real estate is not immune to these changes. Searching for homes can be done from your living room and at a much faster rate than in previous years. Before the introduction of MLS.ca, home buyers relied heavily on paper advertisements to search for homes. The internet has created a much fiercer market, with thousands of websites to advertise listings and offers being sent at neck-breaking speed leaving some buyers in the dust.

Launched in 1996, MLS.ca is now ranked 119th as the most viewed website by Canadians receiving millions of hits per day. Realtors advertise listings on their own websites, Craiglist, Kijiji, and many other popularly searched sites. It is imperative that in today's real estate market sellers stay ahead of the curve and utilize the most cutting edge search opportunities. Buyers will look at hundreds of homes online before visiting them. Many Realtors are far behind this trend and still advertising in newspapers and doing open houses to get their clients homes sold. What the sellers don't know is that newspapers is one of the least successful advertising tools out there. Only 47% of homebuyers used newspapers and open houses to view homes, while 87% of buyers used the internet. As well, newspapers ads are limited in the quality of photos provided, the number of words used to advertise and time lag to get the advertisement out there. Online, buyers can have virtual tours of homes, much more detailed listings and instant access to advertisements without having to wait for the newspaper to be delivered. Newspapers can also be expensive, while internet advertisements are free or very cheap. Online searching is just much more practical and cost effective that then old style of searching for homes.

The Paul Rushforth Team understands this trend and is ahead of the curve. Your home will be given the best marketing techniques and allow buyers to easily access the detailed listing to get your home sold fast and for top dollar!

0 Comments
Blog_tag

To Flip or Not To Flip?

11-06-09
Paul Rushforth

I have noticed a trend lately, with lower interest rates combined with media attention focused on the so-called "recession", that potential investors are calling, looking for a property that they can do a "flip" on- that is, buy a property in poor condition, perhaps a bank repossession, fix it up, and sell it for a quick profit. The challenge that I am finding is that, many of these people have no idea what they are looking to get into, and often don't have the funds or necessary skills to be able to pull it off. They have watched a few episodes of "Flip That House" on TV, and, through the miracle of editing and production, it really does look easy. But is it really that easy?

Sure it is, if you have 20% to put down as a downpayment to avoid CMHC fees, and lots of cash on hand to fund the required renovations, along with a trusted contractor that is available to do those renovations quickly to enable immediate turnover. You also need the money in the bank for the carrying costs, the closing costs such as legal fees and land transfer taxes, as well as factoring in the real estate fees when it comes time to put it back on the market. The other reality is; we're in Ottawa- we really aren't dealing with a recessionary situation in this city. We also don't tend to have dilapitaded crack houses on the market in prime neighbourhoods; that just doesn't happen in our back yard in quiet Ottawa. That being said, there are always opportunities for those who are patient enough to wait for the right one, and plan their resources accordingly. The other great news for investors in Ottawa is that our stable, consistent economy means that there are fantastic options for investors who are willing to buy a property and hold it, renting it out while the resale values climb, which typically requires less capital up front than a flip scenario. There is also a steady stream of potential high quality renters constantly moving to Ottawa, for jobs with various government departments, to work with the RCMP or National Defence, to attend Ottawa University, Carleton University, Algonquin College or Cite Collegiale. There are also great income property opportunities in some of the lower income areas in Ottawa, particularly in Vanier, where the property values have not enjoyed the same level of appreciation in resale values, but the number of potential tenants remains healthy.

It's a great time to be an investor in Ottawa, regardless of what investment strategy you wish to employ.

1 Comment