Beyond Borders: Exploring the US Real Estate Market.
Are you facing challenges investing in the Canadian real estate market? Are you seeking alternatives that offer better returns and less risk? Look no further than the US real estate market, where opportunities abound for savvy investors looking to build passive income and wealth. In this post, we’ll explore why the US real estate market is a viable option for investors and how you can get started.
The Shift Towards the US Market:
In recent years, many investors have turned their attention to the US real estate market due to its favourable conditions compared to the Canadian market. Seun Adeyemi, host of the True Wealth Podcast, highlights the challenges faced by landlords and investors in Canada, such as pro-tenant regulations and inflated property prices. These factors have led investors like Dr Chad Carter to explore opportunities beyond borders.
Dr Chad Carter’s Journey:
Dr Chad Carter, a chiropractor based in Toronto, shares his journey into the US real estate market. With a background in construction and a keen interest in real estate, Dr. Carter recognized the potential for lucrative investments across the border. His first venture into US real estate involved purchasing a property for $86,000, which continues to generate substantial cash flow to this day.
Overcoming Financing Hurdles:
One of the primary concerns for investors venturing into the US market is financing. However, Dr Carter reveals that obtaining financing from Canadian banks for US properties is more accessible than many realize. By leveraging their Canadian credit history and income, investors can secure financing from major banks, eliminating a significant barrier to entry.
Identifying Lucrative Markets:
Navigating the vast US real estate landscape can be daunting for investors unfamiliar with local markets. Dr Carter emphasizes the importance of conducting thorough research and analyzing key metrics such as population growth, home price appreciation, and income levels. By studying market trends and leveraging data-driven insights, investors can identify promising markets ripe for investment.
Leveraging Corporate Strategies:
Dr Carter suggests taking cues from major corporations like Topgolf, which strategically choose locations for their facilities based on demographic and economic factors. By following the lead of successful companies and observing where they invest, investors can gain valuable insights into high-growth markets with strong potential for returns.
The Power of Proximity:
While investing in out-of-state properties offers numerous advantages, Dr Carter advises investors to consider proximity when selecting markets. Investing in regions within a reasonable driving distance allows investors to monitor their properties more effectively and address any issues that may arise.
Understanding Market Dynamics:
Chad sheds light on the rationale behind corporations’ decisions to open factories and expand operations, emphasizing how these moves signify population growth and job creation. He highlights the importance of considering fundamental factors such as population growth and job opportunities, contrasting them with speculative trends prevalent in markets like the Greater Toronto Area (GTA).
Identifying Emerging Markets:
The conversation navigates towards the exploration of emerging markets, particularly in secondary cities with burgeoning populations and prospects for revitalization. Chad underscores the potential for sustainable growth and cash flow in these markets, offering a compelling alternative to the high-speculation environments often found in major metropolitan areas.
Insights into Section 8 Housing:
A focal point of the discussion is the Section 8 housing program in the US, which provides government-backed rental assistance to eligible tenants. Chad elaborates on how this program offers landlords a steady income stream while also facilitating access to better neighbourhoods for tenants. By accepting Section 8 tenants, landlords can mitigate risks associated with vacancies and non-payment of rent.
Navigating Long-Distance Property Management:
Addressing common concerns about long-distance property management, Chad emphasizes the importance of building a reliable network of contractors and property managers. He stresses the need for due diligence in tenant screening and highlights the benefits of Section 8 housing in providing consistent rental income, even from afar.
Empowering Investors with Beyond Borders:
Towards the conclusion of the conversation, Chad outlines the mission of Beyond Borders, aiming to educate and assist Canadian investors in navigating cross-border real estate opportunities. From providing educational resources to offering personalized consulting services, Beyond Borders endeavours to empower millennials to enter the real estate market and build wealth over time.
Conclusion:
The conversation between Seun and Chad Carter offers a wealth of knowledge and actionable insights for individuals interested in real estate investment. By examining market dynamics, exploring emerging opportunities, and understanding the nuances of programs like Section 8 housing, investors can make informed decisions to grow their portfolios and build long-term wealth.
In essence, the dialogue between Seun and Chad provides invaluable insights into the nuances of real estate investment, offering actionable strategies for investors looking to capitalize on opportunities in the US market. By leveraging fundamental factors, government programs like Section 8, and expert guidance, investors can pave the path towards long-term wealth accumulation and financial independence.
Whether you’re a seasoned investor or a newcomer to the world of real estate, the insights shared by Chad Carter serve as a valuable guide to unlocking the potential of the market and achieving true wealth. Take the first step towards your real estate investment journey today and discover the opportunities that await beyond borders.