On this episode of Ask The Experts, Alka explains, for first-time buyers making an investment in a property, what are the best deals and what are the deals to avoid. She gives 4 tips on how to avoid losing money investing in properties.

KEY TAKEAWAYS

• Education: It’s not that you have to go to college to gain knowledge, but you should be curious about what the markets are doing and how property investment is done. Get a mentor as a guide, who knows your goals and vision. But you must do your own due diligence and learning.
• Find the right real estate market. If you’re investing in the wrong real estate market, this is a common way to lose your money.
• Know the best time to invest in real estate. When I purchased my second investment property last October, I wanted to rent this beautiful two-storey detached home. The basement has a huge potential to be rented out as an apartment, or I could flip the house. I chose the latter and this year in February we re-listed it back on the market because my real estate agent was looking at the trends in the market. It just so happened that we’re in a seller’s market here in Toronto, but it’s the same everywhere.
• You need to know how to analyse potential investment properties. Does it have a positive or negative cash flow? What does the neighbourhood and the street look like? If the area is loud or full of students causing disruption you will lose money. The metric you need to be mindful of are cap rates and the cash on cash return, positive cashflow is where you’ll make money on your investment.

BEST MOMENTS

‘In 2021 20% of home buyers who were investors were single mums.’

‘Books provide knowledge and knowledge is power but, as we know, without the implementation that’s no good because you won’t learn or know what’s involved in property investment.’

‘Always look for new trends in the marketplace and ones that will help you forecast much better when it comes to investments.’

‘Wintertime is generally a slower market. In the Springtime demand for properties tends to go up.’

ABOUT THE HOST

Alka Sharma is a Real Estate Investor. She has a zest for life, helping her clients gain knowledge and insights into property investing. Alka takes her time to make sure her client’s needs are met.

Alka is an accomplished, professional ballroom dancer having competed both nationally & internationally.

Alka is grateful for all her experiences that have shaped her today as a successful Entrepreneur, Real Estate investor.

CONTACT METHOD

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Youtube: https://www.youtube.com/c/AlkasTotalFitness

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