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How To Buy a Winning Newmarket Rental Property?

August 23rd, 2016 · Latest News, Newmarket income property, Newmarket investment property, Newmarket Real Estate, Newmarket Rental Property, Newmarket Southlake Regional Hospital Area, Rental Property

Newmarket rental property

With Newmarket Booming and Rental Properties in High Demand, Investors & Landlords Need To Know How To Buy The Right Newmarket Rental Property

We’ve heard of lots of excitement from local landlords on how things have been going so well with their Newmarket rental properties.  News is spreading fast and investors are buying here from around the rest of Ontario. We are also seeing international investors from places like China putting lots of money into Newmarket properties in 2016.

Two things are certain if you buy the “right” Newmarket rental property in the “right” area.

First, there are lots of good tenants out there and they will want to rent from you. You will be able to cover your mortgage or make an income.

Second, your property will appreciate a lot over the next few years if you buy in a good area.

Why Is The Newmarket Landlord and Rental Property Market So Hot?

There are a bunch of reasons and we’ll outline them here.

The Entire GTA (Greater Toronto Area) Property Market Is Rising Fast

Toronto and the GTA is growing fast and shows no signs of slowing down. The population of the GTA is expected to rise by over a million people in the next five years and these means lots of renters, new buyers, and lots of property appreciation.

Newmarket is a “New” Market

People are finally discovering what a great place it is. Long term residents in Newmarket have always enjoyed living here. It’s still has polite people and small town charm. It also has great shopping, access to the 400 and 404 highways and lots of parks and good transportation. People are seeing the value in living in a low crime, friendly city that’s moving up fast!

Newmarket Prices Are Low For the Value You Get (but house prices are rising fast)

Newmarket is 10 minutes away from Aurora, 20 minutes to Richmond Hill and 25 minutes to Markham. Yet house prices are much higher in than those areas.  Newmarket in 2016 is a steal (but won’t be for long) The good areas of Newmarket are seeing tremendous appreciation. If you buy now you are still getting good prices and your property will appreciate.

Rents are High in Newmarket and Tenants are Used to Paying these High Rents

Some old, veteran Newmarket landlords say they’ve had it good for decades and don’t want others to know about the type of rents they get. Rents are high in Newmarket, and have been for years.  You are getting the same rents in Newmarket as would would in Toronto where prices are much more expensive to buy a rental.

There Are Lots of Good Tenants in Newmarket (and more are coming each month as it grows)

Newmarket has always been called the “bedroom of Toronto” and it still is. And more people are moving here. With Toronto prices so high people are coming to Newmarket to buy and to rent. This means you see a lot of people wanting to rent for a few years while they save up to buy their own property. These are the types of tenants that landlords love to rent to.

Buy In a Winning Area

It all starts with looking for the area to buy in. Be careful and buy in an area that is growing and has a great reputation. Good tenants want to live in family friendly, safe, nice areas.

The Area Near the Southlake Regional Health Centre Attracts Good Tenants, Including Nurses and Hospital Staff

The Area Near the Southlake Regional Health Centre Attracts Good Tenants, Including Nurses and Hospital Staff, And Is Appreciating Fast

One of the best and fastest growing areas in Newmarket is the area around the Southlake Regional Health Centre.

This is a terrific and fast growing area.  It’s near schools, parks, the 404 and most of the people there are home-owners.

Prices are also rising fast in the area as people from around the GTA discover it. It attracts good tenants such as families, single working professional, couples “just starting out” and nurses and other health care staff (who can walk to work).

If you buy in a good, growing area you will also see more price appreciation of your property and it will be easy to sell later on.

Let’s Take a Look At a Recent Sale That Has Pretty Good Value

Let’s take a look at a place that sold for the right price.

30 Lundy’s Lane, Newmarket Ontario sold for $750,000 on June 27, 2016, MLS# N3534855

It’s in a good area near the Southlake Regional Healthcare Centre and all the properties there are appreciating fast and you can rent to good tenants.

It’s a 3 bedroom, two bathroom home in a good area near the Southlake Regional Healthcare Centre. The street is filled with homeowners (not rentals) and comes with a legal, registered basement apartment. There are some amazing parks nearby.

It sold for $750,000.  And while the property is not perfect it’s a good value.  We would do a lot of upgrades if we owned it, and it’s a bungalow, but It will attract good tenants The property will also appreciate greatly over the next couple of years. 

It’s a winning property for $750,000.

Lundy's Lane 1

30 Lundy’s Lane, Newmarket Ontario sold for $750,000 on June 27, 2016. It’s in a good area and is a good value for the price.

It has parking for both upper and lower tenants (or for your basement tenant if you live in the upper unit). This is important. You need a clear parking spot for the basement tenants. Parking is important and often overlooked by new landlords.

Longford 41 9

Living room is very old and needs to be changed.

 Lundy's Lane 2

The living and dining rooms are “ok” but should be upgraded.

 Lundy's Lane 5

This looks like the original kitchen from the 1970s.  It really needs to be updated to attract “prime time” paying tenants. An attractive kitchen is very important to find good, paying tenants. The flooring needs to be updated.

Lundy's Lane 6

Bathroom is okay.

Lundy's Lane 8

Master Bedroom is not bad, but nothing special.

Lundy's Lane 7

Other bedrooms are clean, which is key.

Lundy's Lane 11

The basement needs a lot of improvements. It needs new cupboards and flooring to attract good tenants. It’s also not a walk-out, and good tenants love walk-outs.

Lundy's Lane 9

The bathroom is okay. The flooring isn’t very attractive and it looks old.

Landlord Tips On Basement Units

There are a lot of good basement tenants out there. There are also bad tenants who rent basements.

Experienced and successful landlords know there are a lot of basements on the market and you need your rental to be attractive to find good tenants.

a. One bedroom basements are the easiest to rent out to good tenants

If there are a lot of people they will prefer to put their money together and rent an “upper” unit. Most people who look to rent a basement are single people. They can afford a one bedroom unit. This way you can also avoid big headaches between people share the basement.

b. Cleanliness is an important factor

A large space isn’t nearly as important as a clean, well-maintained space.

c. Laundry

Tenants like to have access to laundry. Make sure you have space to add a washer and a dryer.

d. Make Sure It’s Registered and Legal

If you buy a property that is already registered and legal it can save you thousands of dollars and months of paperwork and renovation. Good tenants want to live in a legal basement apartment. It also protects you from liability if something goes wrong.

e. Basement Tenants Prefer “2 story” Homes Over Bungalows

This is because they don’t constantly have the house owners or other tenants above them. It’s are easier to rent a basement apartment in a 2 story home over a bungalow.

 Lundy's Lane 15

Tenants like decks, this is really a great selling feature and really adds value to find good tenants. This is a terrific “value-add” to the property.

Newmarket Rental Property

Buying a winning Newmarket rental property will lead you to find good tenants who can pay your mortgage (or create cash-flow for you) and you will also get a lot of appreciation. Newmarket is growing fast and a great place to invest in 2016. Make sure you buy the right rental property!

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Newmarket Investment Property Prices 2016 (Don’t always rely on what a real estate agent tells you)

August 10th, 2016 · Aurora landlords, Newmarket Dog Patch, Newmarket income property, Newmarket investment property, Newmarket Rental Property

31 Hill Street 1

31 Hill St. Newmarket ON (MLS: N3552714) Sold For $593,000 on July 24, 2016

 

Newmarket Rental Property

41 Longford Dr. Newmarket ON (MLS: N3534675) sold for $550,000 on July 3, 2016

What are standard prices for Newmarket rental properties in 2016? Let’s take a look at some recent sales

Newmarket rental property, Newmarket income property, Newmarket investment property … there are many different names but we all know what we are talking about.

Newmarket is the hot new market for buying properties in 2016. There is a lot of excitement from buyers and investors the rest of Ontario and even around the world. In this type of hot market it’s very important that both Buyers and Sellers are aware of the current prices in the real estate marketplace.

Newmarket Real Estate Buyers

Buyers want to know what prices are in the area so they can compare and buy the best property out there for a fair price

Newmarket Real Estate Sellers

Sellers want to know what properties are selling for so they can make sure they get a fair price for the house they are selling.

One problem is we continue to see lots of Newmarket rental properties (or income properties or investment properties…however you want to call it) listed for sale for low ball prices. By low ball prices we mean prices that are far too low for the market and far, far too low compared to other recent sold property prices.

These low ball listing prices hurt both sellers and buyers.

For buyers having a super low price usually leads to multiple offers. Serious buyers want to know the real price of a property to make a sound, rational decision on whether to buy or not and ridiculously low prices just lead to an unnecessary frenzy.

Many Newmarket House Owners Tell Us Some Real Estate Agents Low-Ball Prices in Order To “Sell Fast”

We have heard this from sellers. The agents don’t even care to create a multiple bid situation…they just want a “quickie sale” and if it leads to a loss of tens of thousands of dollars for the house seller?  Well “them is the breaks, eh!”

As a property buyer it’s difficult to know what properties are really selling for. We need to rely on real estate agents. Unlike in the USA, the Canadian general public is kept in the dark by the real estate boards and not allowed to see what properties have sold for. This has gone to court because it’s not fair and anti-competitive. You can read it for yourself from the Toronto Star.

While there are lots of good real estate agents out there in our experiences there are also those who will only show you select compatibles to convince you to list your home at a low price.

Don’t Allow Anyone To “Low-Ball” the Value of Your Rental Property!

We continue to see properties that are listed for one low price, and then sell for $100,000+ more.

While some will say this is an ‘auction strategy’ in many cases it’s just sellers relying on their real estate agent and listing at a very low price to get a quick sale.

Why Would Some Real Estate Agents Rip You Off With A Low Listing Price?

Because they only get a percentage of the sale. So the difference between selling your life-long investment for $500,000 or $600,000 means a heck of a lot for you, it means only a small number for them. And they want to sell your property fast to get their commission….after all if they don’t sell fast you might drop them and find someone else, meaning the real estate agent gets no money from you. Their incentive is to sell cheap and sell fast! While the vast majority of agents are excellent you have to be careful of those who will low ball you.

Newmarket Landlords Knowledge is Power

We are here to help you by revealing what Newmarket rental properties are really selling for, unfiltered by real estate agents and a noncompetitive, secretive system that needs to change (and will change soon, hopefully).

Here a couple of half decent rental properties that have sold in Newmarket this summer. 

1. Newmarket Dog Patch Area

Please note that both properties are in the Newmarket Dog Patch. The name isn’t meant to insult anyone, but some people say it has been called that because of the absentee landlords who invested there years ago and a lot of pet dogs were running free (one story has it that postal workers were afraid of the unleashed pets and that’s how it all started). So really the name may be be all about absentee landlords.

Where is this area?

It’s the area in Nemarket behind the Tim Hortons at Davis Drive and Longford Drive. It goes west to Yonge St. and east to Main Street and north to London Road. Maple Leaf Public school is there. It includes streets such as Harrison Dr., Penn Ave., Walter Ave., Cherrywood, Silverbirch, Sheldon, Newbury Dr., Maurice Court. Most rental properties for sale are in this area

While improving, this area is generally considered one of the worst areas of Newmarket. 

Why?

First of all we want to make it clear the area is improving. There are a lot of good properties there, good investors, good landlords and good tenants. However, it’s not the best area and successful landlords and property investors know buying in a “prime time” area is a key to success!

There are also reasons to be cautious of this area compared to other areas in town. One of them being there are lots of absentee landlords who have invested there and don’t care who they rent to. This means it can be an unstable area and not the ideal place to be a good, serious, professional landlord or investor.

We heard of new landlords with rentals in the Dog patch complain how it can be difficult to attract good, paying tenants to the area. We have also heard stories from landlords telling us they rented to good, paying tenants but the tenants broke the lease and moved out. They moved out because of crime, noise, and neighbouring properties having lots of junk in their yards.

We also see lots of “for sale” signs in the area, year after year.

Remember: if a rental property is a true “winner” landlords will want to hang on to it for a long time! Usually the best rentals are only on the market because the owner is retiring and moving to Florida or Arizona, or there is a death in the family.

2. Legal Registered Units

The "N" plate show the rental property is registered and legal with the Town of Newmarket

The “N” plate show the rental property is registered and legal with the Town of Newmarket

These properties below are not legally registered with the Town of Newmarket. This is a big danger as tenants can use this against you. It can cost tens of thousands of dollars to register a unit with the Town of Newmarket. This is why we recommend always buying legal, registered rental properties in Newmarket.

31 Hill Street, Newmarket Ontario Sold for $593,000 on July 24, 2016

 31 Hill Street 1

It’s not a bad look.  And tenants love two story rentals.  (Of course, it’s still in the Dog Patch area)

31 Hill Street 2

Living room is clean. Tenants like this look.

31 Hill Street 3

Kitchen is nice. Tenants love nice clean new kitchens.

31 Hill Street 4

Bedroom is pretty good.  It’s got a clean and ‘new’ look that good tenants like.

31 Hill Street 5

Here is the basement unit.  It’s okay because it’s clean. But it hasn’t been designed very well.

31 Hill Street 7

The backyard is pretty good.  Good tenants like to have a back yard that is clean and usable.

41 Longford Drive, Newmarket, Ontario L3Y2Y6 SOLD FOR $550,000 In July 2016

Longford Drive 41 Newmarket Ontario Dog Patch

This isn’t a bad investment but let’s do a critique.

1. Not a prime time area…actually it’s in one of the  “worst parts of town”

The Dog Patch is improving, but it’s still considered one of the worst parts of town for reasons already explained.

2. Not the best neighbourhood…you have rental properties surrounding you and absentee landlords

Do you want absentee landlords as your neighbours? Who knows who they renting to!

3. Not an attractive property…the place needs thousands of dollars of upgrades

Some might even say it looks pretty run down….but it still sold for $550,000! This is the current market for Newmarket rental properties.

4 Ugly yard…it needs a lot of improvements.

This is another factor. Good tenants like nice yards.

5. You want to buy a legal, registered investment property

If you aren’t’ legal than any issue with your tenant means your tenant wins!  And if there is a fire or other issue YOU WILL BE RESPONSIBLE. 

If your basement unit is not legal you can be fined. Your tenants can even use this as an excuse to break your lease or not pay rent.

In Newmarket only buy LEGAL RENTAL PROPERTIES or you can, and will, get burned! You can even get criminally charged!

Futhermore, good tenants want to rent safe and legal properties.

 

Longford 41 1

The front yard is close to a very busy street.

Longford 41 2

The living room is basic.

Longford 41 3

The bathroom is small and cluttered.  It really needs to be ripped out and replaced.

Longford 41 4

The rooms are basic. The flooring looks to be laminate, the cheapo kind. And, hey, did we see this type of light in the early 1970’s disco boom? Yuck!

Longford 41 9

The living room is…well let’s just say Archie Bunker would like it.

Longford 41 10

Archie and Edith would also like this 40 year out of date kitchen! 

Longford 41 11

The stairs, um, the stairs to what?

Longford 41 5

The basement kitchen is tiny and the cupboards are originals, from the 1970s and needs to be replaced to attract good tenants.

Longford 41 6

The basement only has a shower, and a small sink.

Longford 41 7

There is a washer and dryer in a left over room with horrible flooring.

Longford 41 8

There is just a small one lane drive-way.  This is not good for multi-tenanted unit. It’s important to have parking spaces for both your upper and lower tenants.

Newmarket Landlords Make Sure You List At The Right Price!

The entire Greater Toronto Area (GTA) has seen a lot of house price appreciation. The area has a huge amount of immigration each year and a large economy. We continue to see property owners have their rental properties listed at hundreds of thousands less than what the current market prices truly are!

Even a mediocre rental in the Dog Patch area sells for $550,000 these days. And it’s still good value compared to what rental properties are going for in places like Richmond Hill.

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How To Buy The Right Newmarket Rental Property For The Right Price

June 23rd, 2016 · Latest News, Newmarket landlords, Newmarket Rental Property Prices, Newmarket Southlake Rental Area, Southlake regional healthcare centre

143 Lundy's Lane Sold For $581,800 on June 14, 2016

143 Lundy’s Lane, Newmarket, ON Sold For $581,800 on June 14, 2016

706 Jackson Court, Newmarket, ON sold for $575,000 on February 9, 2016

706 Jackson Court, Newmarket, ON sold for $575,000 on February 9, 2016

With Newmarket Booming, Investors & Landlords Need To How To Buy The Right Newmarket Rental Property at the Right Price

Things keep getting better and better in 2016 for Newmarket landlords.  If you have invested in Newmarket residential rental property this year you’re happy because the situation has never been better. 

In fact in 2016 Newmarket landlords are succeeding like never before. And the best news it’s only just begun and things are getting even better in 2017 and beyond.

Newmarket is a Terrific “New” Market For Landlords…the “Hidden Gem” of the GTA

The entire Greater Toronto Area (GTA) has seen a lot of house price appreciation. The area has a huge amount of immigration each year and a large economy. That means there are a lot of good tenants out there.

Newmarket is on the northern part of the GTA and was kind of the ‘forgotten town’ for many years. Now, with huge growth in the GTA it’s Newmarket’s turn to shine.

People from Toronto and other GTA areas such as Markham and Mississauga view Newmarket as a “inexpensive” and with a huge tenant pool waiting for good landlords renting out good rental properties. Newmarket is booming.

Buy in the Best Areas Of Newmarket

We’ve all heard the old real estate success message of “location, location, location.” This is vitally important for Newmarket landlords and residential property investors. If you buy in a “prime time” area it’s simply far, far, far easier to attract good paying tenants to rent from you.

Unfortunately, we’ve heard that some real estate estates tell new investors “it’s all the same” and “location doesn’t matter in Newmarket.” Don’t believe them! In Newmarket, location and the right property are the key to your success or failure as a landlord!

One the largest rental areas in Newmarket is the area at Yonge St. and Longford Dr. Local Newmarketonians called it “the dogpatch.” While the reason for this name isn’t clear what is clear is that it’s not the best area for rentals in Newmarket. Sure, there are a lot of successful landlords there and a lot of good tenants there. However, good tenants have a lot of options where they want to live.

One of the best “prime time” winning areas where there are good rental properties is is the “Southlake area” near the Southlake Regional Healthcare Centre.

Why Is The Southlake Area A Terrific Opportunity for Landlords and Investors?

Here are some of the reasons:

(1) Growth Area Millions of Dollars in Government Investment

There has been a huge investment at Southlake. It’s a regional hospital, a cancer centre, and expanding fast.

Southlake is the type of key government investment that leads to lots of opportunities for private enterprise.

(2) Major corridor of the health care industry in the GTA

As Southlake grows, so does private industry in the area including medical clinics and retirement communities.

(3) Great Tenant Pool

There are a lot of good tenants in Newmarket. There is also a segment of tenants who keep getting evicted for not paying rent or trashing the property and moving to another rental property down the street every few months.

Buying in a prime time area gives you the first choice of the best tenants in Newmarket! The best tenants want to live in a safe, growing, pretty area like near Southlake over other areas in town like the dogpatch.

The Area Near the Southlake Regional Health Centre Attracts Good Tenants, Including Nurses and Hospital Staff

The Area Near the Southlake Regional Health Centre Attracts Good Tenants, Including Nurses and Hospital Staff

With a Newmarket Rental Property You Get What You Pay For!

Prices in the area near the Southlake Regional Health Centre are usually higher than house prices in the “dogpatch.” And with good reason!

In prime time areas you can more easily find good tenants.

These are tenants who pay their rent on time, respect you, follow the lease, and take care of the rental property. Many new landlords aren’t aware of the destruction a bad tenant can cause you and how important it is to buy a rental property in a good area!

A Couple of Examples of Good Rental Properties That Sold in 2016

It can be hard to find what a property has sold for in Ontario. Some real estate agents like to treat this type of essential information like “gold” and you can be kept in the dark. It’s unfair, especially since you are going to spend hundreds of thousands of dollars and make one of the most important financial decisions in your lifetime!

To help out future landlords here is some information on some recent good rental properties that have sold. They are good rentals, in good locations and a professional landlord who runs credit checks will be on the path to success.

143 Lundy’s Lane Sold For $581,800 on June 14, 2016

143 Lundy's Lane Sold For $581,800 on June 14, 2016

143 Lundy’s Lane Sold For $581,800 on June 14, 2016

This is a property with potential. It’s in a good area and can attract tenants. It’s not a perfect rental property but it’s good. Let’s take a closer look.

lundys lane 3

The living room is spacious and clean.

re 706 10

The kitchen needs to be updated, but it’s clean. We would change that tiling asap if we owned it. And the old cupboards too!

lundys lane 4

We would upgrade the bathroom if we owned this property.

lundys lane 7

The bedrooms are standard.

lundys lane 8

Here are the stairs to the basement unit. We would make some improvements, such as changing the tile.

lundys lane 9

Here is the kitchen for the basement unit.

lundys lane 10

We would improve the downstairs bathroom, especially if we market to all the ultra-clean nurses in the Southlake rental area.

The keys for this property are (1) Great Southlake location (2) It’s a duplex (two income streams)

706 Jackson Court sold for $575,000 on February 9, 2016

706 Jackson Court, Newmarket, ON sold for $575,000 on February 9, 2016

706 Jackson Court, Newmarket, ON sold for $575,000 on February 9, 2016

This is another property that sold in the Southlake Rental Area and not in the “dogpatch. This means it’s in a winning area.

re 706 1

The living room is clean.

re 706 3

The kitchen is nice enough for tenants, although the washer and dryer might be better placed.

re 706 5

Good tenants like clean bathrooms, although we would have upgraded it.

re 706 6

Tenants like backyards and love to have a deck.

re 706 8

The downstairs kitchen is okay. 

Newmarket Landlords – How to Buy in the Right Area and Rental Property Prices

Real estate success is all about “location, location, location.” The above two property are pretty simple properties, yet they are in “Southlake rental area” of Newmarket.  This is a fast-growing, “winning” area of Newmarket.

Make sure you invest in a winning area and avoid the “worst areas of town” (like the Dogpatch) to attract the best tenants and succeed as a landlord!

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How To Succeed As a Landlord – Buy Newmarket Ontario Rental Property

June 5th, 2016 · Landlord Investment Opportunity, Rental Property

Newmarket Landlord Rental property

Newmarket Rental Property – How You Can Become a Successful Newmarket Landlord

It’s been a crazy 2016 for Newmarket landlords. And by “crazy” we mean “crazy good!” It’s been a perfect storm for those of us who own rental property in Newmarket, Ontario.

While things have been going well for Newmarket landlords and rental property investors before, landlords say they have never experienced such terrific market conditions ever before. Even some old, grizzled veterans who have own rentals here since the 1970’s (the type of people who rarely get worked up and almost never get too optimistic!) say now is the best time they have ever seen to be a residential landlord in Newmarket

How Have Things Been “Crazy Good” For Newmarket Landlords?

For a number of reasons. However, from our conversations with experienced and successful landlords there are three main factors which have led to their success.

1. Prices Are Rising Fast

A report in Bidding adieu to the home of your dreams Through The Roof – A Metroland Special Report recently was all about the huge rise in property prices in the entire Greater Toronto Area (GTA) According to York Region, the average price of property went from $605,336 in April of 2015 to a whopping $725,235 in April of 2016!

Furthermore, a detached house in Richmond Hill now sells higher than a detached home in Toronto. One Re/Max realtor who has over twenty-five years of experience in the industry said he’s never seen anything like this before. He just listed a bungalow in Richmond Hill for $899,000. This price quickly led to a bidding war. There were nine bidders and the property sold for $1,430,000.Newmarket,

Ontario Is One Of the Hottest Real Estate Markets

Cam Forbes in the general manager and the broker for RE/Max Realstrong Realty in Toronto. He stated that demand is so strong in Newmarket and the Northern GTA (such as Aurora, Ontario) his brokerage has decided to start a new office in Newmarket, Ontario. According to Forbes, “Our greatest growth is in that office.”

2. Rents Are Rising Fast

As property prices are rising, so are rents. And now landlords has become wise and don’t rent inclusive of utilities.

3. There Are A Lot of Good, Qualified Tenants in Newmarket and Aurora

Experienced landlords tell us there are lots of good, qualified tenants in Newmarket and Aurora these days. These are tenants who respect you and your property and will follow the lease and pay rent on time. These tenants are also qualified, as more and more landlords run credit checks on tenants before ever handing over the keys! 

Should I Buy A Rental Property in Newmarket in 2016?

Now is the time, before prices go up to high.

For example, Newmarket real estate Jarrah said that there were 120 houses listed in May 2016 in Newmarket and 110 of them had quick offers!

The fact that Chinese buyers have “discovered” Newmarket has led to increased sales and prices. The time to buy is now. However, before you buy remember a couple important tips:

1. Buy in the Right Area

Everyone who has experience in buying residential real estate knows the importance of “location, location, location.” This is even more important in Newmarket, Ontario.

Many new investors aren’t aware of the different areas of the town. Furthermore, some local real estate agents like to “hype” certain bad areas to get quick sales, even though they know they are selling the “worst part of the town” called “The Dog Patch” (the area near Longford and Davis Dr.).

Southlake Regional Health Centre Newmarket Ontario

Southlake Regional Health Centre Newmarket Ontario – A great area to invest!

What Are the Best Areas To Buy In Newmarket, Ontario?

There are a lot of good areas in Newmarket.

However, for rental properties the best area is near the Southlake Regional Health Centre. Not only is this a strong, middle-class neighbourhood it’s seen huge price gains and also a lot of good tenants want to live in the area.

Why? Because it’s safe and has lots of parks and good schools. There are also a lot of nurses who will want to rent from you in this area. The best rental street in Newmarket is Patterson Street and the streets close to it.

What Are the Worst Areas To Buy in Newmarket Ontario?

Many of our most experienced landlords have been burned/lost money buying in what is called The Dog Patch. This is the area on and near Longford and Davis Drive.

We see lots of real estate agents “hyping” this area and it’s a place where experienced landlords avoid. We’ll have another blog on the reasons why soon but in general it just doesn’t attract the same quality of paying, respectful tenants that an area near the Hospital does. You’ve been warned!

2. Not All Rental Properties Are Created Equal

It’s also important to buy the right type of property. Most of our experienced and successful landlords buy legal duplexes in Newmarket. Getting two income streams from 2 units is important. Just make sure you only buy a LEGAL REGISTERED rental property.

How Can you Become a Successful Newmarket Landlord?

Newmarket is one of the fastest growing real estate areas in Canada in 2016. Investing in Newmarket means prices gains.

It also has a lot of good tenants and if you buy the right, winning “legal” property you are on track to become a success landlord!

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Newmarket Landlords Ask How Much Should I Charge For Rent?

February 4th, 2016 · Latest News, Newmarket landlords, Newmarket rental rates, Rental Property

Newmarket landlords rent price Aurora Bradford Keswick

How Much Should Newmarket Landlords Charge For Rent ? And Should Newmarket Landlords Include Utilities?

Don’t Be Ripped Off By Tenants Wanting To Trick You Into Below Market Rent and Inclusive of Utilities!

Many landlords who have invested in Newmarket rental properties are excited about this great opportunity. After all Newmarket, Ontario is a growing place with real estate prices rising fast.  York region experienced a house price rise of over 14% from 2014 to 2015 and Newmarket is one of the fastest growing areas in York Region. We have so many advantages for people moving here. Newmarket has lots of offer including:

1. Great Shopping

There is a ton of great shopping Newmarket. You don’t ever need to leave to find what you want. For groceries we have Metro, Food Basics, No Frill, Superstore, Wallmart and Costco.  If you are into organic food we have the very popular Nature’s Emporeum.

2. Good Access To Toronto

We have easy access to the 404 highway. And you can always take Yonge St., Bathurst or even Woodbine or Jane St. to Toronto. We also have fast access to high 400. Newmarket is a great transportation hub.

3. Lots of Infrastructure Investment

Have you seen Davis Drive these days? It’s awesome. And there is more investment in the hospital, court house and on Yonge St.

4. Lots of sports, parks, and green space

Newmarket is known for our sports and green spaces. Check out Richardson Park, it’s huge and full of family friendly fun.

5. Friendly People

We are growing area, but still with small town friendliness.

6. Reasonable real estate prices compared to other areas

While Newmarket real estate prices are rising (including rent) we are still very reasonable compared to many other areas, even in the GTA.

More and more people want to live in Newmarket. This has led to lots of population and economic growth. lt also means we have seen lots of residential real estate investors putting their money into Newmarket rental properties and leading to large price gains for Newmarket rental properties.

And why not?

Rents are healthy and rising in Newmarket, and there is a large and growing group of excellent tenants who want to live here.

Even people who work in Toronto are looking to Newmarket for the great shopping, easy access to Toronto, the improvements going on, the green spaces, and the friendly community.

Newmarket is growing, but it still has that ‘small town friendly’ community that’s great for families. Newmarket is a terrific place to invest in.

1. How much should landlords charge for rent in Newmarket, Ontario?

With purchase prices rising in Newmarket, rents are rising too! Investors need to cover their mortgages (and hopefully get some cash flow to cover repairs and maintenance costs.)

So what are experienced and successful landlords charging for rent (and getting from qualified tenants)?

(a) Basement Unit in your own house

What is a fair rent for renting out your basement apartment in Newmarket? At least $900 to $1000+/month (tenant pays for utilities)

(b) Upper Unit  in a duplex

What is a fair rent for renting out? Normal rates are $1500 to $1600 +/month for 3 bedrooms (tenant pays for utilities)

(c)  Lower Unit in a duplex

What is a fair rent for renting out? At least $900 to $1000/ month + (tenant pays for utilities)

(d) Single Family Home

What is a fair rent for renting out? $2000 to $2500+/month (tenant pays for utilities)

(e) Room

What is a fair rent for renting out? $600 to $700/month (usually the house owner will pay for utilities)

2. Should Newmarket landlords include utilities with rent?

Many new landlords believe renting ‘inclusive’ of utilities is the smart way to go. After all, they think, this means you only need to get one cheque per month and it makes being a landlord simpler.

This is 100% wrong!

Why Newmarket landlords should never rent out inclusive of utilities (make your tenants pay for what they use!)

Here are just some of the reasons experienced and successful landlords stay:

(a) Utility rates are always increasing

You have no control of your costs. If you are paying for power you never know how much is will go up later.

(b) Tenants WILL abuse what they don’t pay for

They will. It happens all the time.

If you rent inclusive experienced landlords know you will face tenants who open windows in winter while the furnace blasts on, and open windows in summer while the air conditioners blast on.

And if you ever have to evict a tenant they can easily abuse the utilities to ‘punish you’ and ‘get revenge’ against you.

For example, you serve them an N4 for an eviction for non-payment of rent.  The Landlord and Tenant Board process is very slow (as you can see from the Ontario Landlords Association post about the need to fix the LTB process) and while the process is going on the tenants can add up your bills by wasting water and power.

(c) It’s Now Common For Tenants To Pay For What They Use in Newmarket

There are lots of experienced and successful (and wealthy!) landlords in Newmarket and they make sure tenants pay for what they use! It’s not complicated and experienced and successful landlords make sure tenants pay for what they use.

3. Is it a good idea to use a Realtor/Real Estate Agent to rent my property out?

Many new landlords think hiring a Realtor or Real Estate Agent to find tenants and rent out your place is the smart way to go. 

It’s not.  In fact, using a real estate agent can be a recipe for disaster!

Experienced Newmarket landlords have seen the same real estate agents rent out properties for years…and they often rent out to bad tenants!  In fact, we’ve seen lots of landlords/residential property investors sell their rentals in Newmarket because the real estate agent put in bad tenants!

If they do rent out to bad tenants, you are stuck with them and the real estate agent won’t take any responsibility. We recommend you find your own tenants. And if you do get a real estate agent who wants to find tenants for you ask them if they will ‘guarantee the tenants’ for a year. This means if the tenants don’t pay, do damages or break the lease, the real estate agent found them will be responsible. How many will agree to do it?

If you want to find your own tenants you can join the Ontario Landlords Association and get all the documents you need to succeed. You also get a great deal on running your own tenant credit checks. They are easy to run from your own home computer.

4. What are some other challenges Newmarket Landlords face when renting to tenants?

First, you need to screen very carefully. While there are a lot of great tenants in Newmarket there are also people out there who will make your life miserable if you rent to them. Make sure you always run a credit check before signing a lease with anyone.

A second challenge is dealing with tenants who are demanding and picky. These are people who want to put a lot of pressure on you before renting your property.

For example, the demand you re-paint the property a colour they like. Or they make excuses and try to negotiate paying $100 more in rent but the landlord will pay for the utilities (ask yourself why they want to do this). These types of tenants know you want to rent out the property and will try to pressure you into doing things you shouldn’t fall for. 

Experienced and successful landlords tell these type of tenants to go look somewhere else (and they always say “Oh, I have other places to look at!” Sure, they do, it’s all part of their game). Don’t fall for these tricks. If the tenant is this difficult and picky before renting your property, imagine what they will be like once they move in(!)

Newmarket Landlords how much are you charging for rent? Make sure you don’t under-sell yourself and your property. Follow the market and rents are going up. Also, make sure you get your tenants to pay for their own usage of utilities.

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Newmarket Ontario Real Estate Prices (The Real Story) Including Rental Properties

January 2nd, 2016 · Latest News, Newmarket Real Estate, Newmarket Rental Property

The semi-detatched in Newmarket, Ontario was listed for $559,900 and sold for $565.000 on Nov. 11th, 2015!

The semi at 55 Newbury Dr. Newmarket was listed for $559,900 and sold for $565,000 on Nov. 11, 2015! Yes, it has a basement unit! MLS#:N3358693

Newmarket Real Estate Prices – What Many Real Estate Agents Don’t Want You To Know!

A recent story in the Toronto Star surprised a lot of people not only in our area but across Ontario. It was about the rapid rise of property values in the province.

Rising prices you say? That’s hardly surprising, right? But this story was specifically about what is happening in York Region where prices are rising faster than any region. York Region saw the biggest price gains in September with detached homes going up by nearly 15% over September 2014.

It’s a huge price increase and shows how dynamic our area is. It’s also in line with what we wrote earlier about the higher prices for Newmarket rental properties.

Newmarket Real Estate Prices – Know Your Real Value (and don’t get ripped off by a bad real estate agent)

Despite the huge gains in York Region and prices rising fast we still see some people selling their properties far under their real value. We see a bunch of house selling on a street in Newmarket for a similar high price, and then another that is tens of thousands of dollars less. There is a definite pattern visible. 

Homeowners aren’t stupid and certainly want to get the best price possible for their home. So why are some Newmarket houses so undervalued and selling tens of thousands of dollars less than what they could get?

The Real Value of Your Home Could Be A Lot More Than Your Real Estate Agent Is Telling You

Unlike in the United States, real estate sold prices are “hidden” in Ontario. You see, most sales are done via the MLS system which is controlled by real estate agents and their representatives.

The MLS is the multiple Listing Service where most properties get advertised to other agents and potential buyers. While you can go online to the MLS webiste and see the listing prices, you (the general public) are kept from seeing the “sold” prices for homes in your area or the area you want to invest in.If you want to find out what a property sold for you need to ask a real estate agent to log in to their system and get them for you.

Why Is This A Problem?

It’s a potential problem because you need to rely on the real estate agent to show you the ‘sold’ prices. You must rely on what they decide to show you.

We’ve heard from many people who say the information that was provided to them was very limited. This means you should ask yourself if the real estate agent presented you with a complete list of properties sold. Did they show you the higher priced properties?

Did they show you all properties similar to yours? With the current system you just don’t know and are essentially kept blind.

I Still Don’t See A Problem

Let’s discuss this some more. Some people think every real estate agent will try to get you the highest price because it means they will make more money themselves, right? Wrong.

The real estate agent only gets a percentage commission as the “selling agent.” In Newmarket many still even want to charge 2% (when agents are only charging 0.5% in Richmond Hill and Markham) and this high price is another reason you should “shop around” when choosing a real estate agent.

A property that is listed at a higher price will require more ‘work’ by the real estate agent. They will need to do things such as having open houses, networking with other agents who might have buyers, etc. But if the property is listed below market value they will get a quick sale and can move on to the next property to sell.

And because they are getting a percentage the difference between selling a property at $450,000 instead of $500,000 is negligible (although it’s a huge hit for the property owner who sold at the low ball price!)

Be warned: this type of low balling happens all the time in Newmarket.

By listing the property lower than others in your area (which the real estate knows about as they have access to the MLS “sold” records and you don’t) they can get a quick and easy sale and it’s fast money in their bank account. You, the owner, are blind to the market reality. So even though your home is probably the biggest financial investment in your life the current system makes you rely on the ethics of one person (your real estate agent).

Is this fair? No it isn’t. And it’s a risk, so be careful.

Sure there are good and ethical agents out there. The problem is it only takes one person to lead you to losing tens of thousands of dollars. As we mentioned, experienced Newmarket real estate investors have seen properties sell for $10,000 to even $100,000 less than what they could have sold for. The real estate agent gets a fast sale with little to no work done, collects their percentage fee and you are the one getting ripped off. Do you see the logic involved?

Don’t Get Ripped Off and Sell Your Property At the Right Price

Make sure you don’t become a victim by making sure you know what the real value of your property is. The reality is Newmarket, Aurora, Bradford, Queensville, Stoufville, Keswick are all booming.

To provide our huge readership with some helpful information here are some recent sales in our area.

Newmarket Detached Houses (and what they really are selling for)

Detached homes in Toronto are selling for well over $1,000,000.  And for that price you are usually getting a very small house that requires a lot of work.

According to the Aurora Banner York Region is the next hot spot with detached homes soon to also average over $1,000,000. This is a great news for home-owners. In Aurora new exciting developments such as Aurora Glen (on Leslie and Wellington) sold out in a couple of days for single family homes selling at over $1,200,000. New developments in Newmarket, such as in Glenway, are starting at over a million dollars as well.

Here are a couple of Newmarket detached homes that sold recently to give you the REAL STORY on what properties are selling for in Newmarket. (Remember, some real estate agents don’t want you to know this!)

22 Old Field Cres. N, Newmarket, Ontario L9N 0A5 Sold For $870,000

Newmarket 22 Old Field Cres

This is a nice property in the popular Minto community near Yonge Street and Green Lane (great shopping area) that’s behind Costco.

104 Thatcher Cres. Newmarket, Ontario Sold For $835,000

Newmarket 104 Thatcher Cres

This is a nice property. But it’s nothing special. If you drive by it you will see it’s really squished between the neighbouring houses.

More Proof of Low-Balling House Price Listings: Take a Look at 206 Aspenwood Drive, Newmarket.

This house was listed at $749,000

It sold in a little over a week for...$806,000. The real estate agent undervalued the property by $56,000!

REAL ESTATE 206 Aspenwood sold

Be careful when selling your home. Don’t get ripped off!

Stouffville Property Prices

This will be another post later on, but even Stouffville real estate is rising fast with townhouse selling fast and for high prices.

For example:

3 Lodestone Lane, Stouffville Ontario Sold For $630,000 On Oct. 13th, 2015

Stouffville

MLS#: N3328849

Newmarket Rental Properties

This site is primarily for landlords and property investors so let’s talk about the prices Newmarket Rental properties are selling for these days. The super healthy market and appreciating prices have caught the attention of landlords and investors across Canada.

100 Sheldon Ave. Newmarket Ontario Sold For $508,000 on October 24th.

Yes, you read that right. This little semi-detached bungalow sold for over 500k.

Why? It has a basement apartment, also know as the “cash flow generator” or “tenant pays my mortgage suite.”  And the basement isn’t even legal! But these types of properties are hard to find in the GTA. You can live in the upstairs and rent your basement and you basically have no mortgage.

Newmarket is one of the last markets in the GTA where these types of properties can be found for less than $600,000. This property is in the “dogpatch” area of Newmarket, which is considered the worst part of Newmarket. However with all the new investment coming in and rising prices the “dogpatch” is becoming the “goldenpatch” and changing fast.  This is especially so as Davis Drive has been redone and the whole area is improving.

Newmarket Real Estate House Prices

MLS#:N3342153

Yes over 500k is now the “new normal” for a semi with a basement apartment in Newmarket.

Real Estate 100 Sheldon 2

The living room is nothing special.

REAL ESTATE 100 Sheldon 3

Bathroom needs some major upgrades. Here’s the basement apartment to be rented out.

REAL ESTATE 100 Sheldon 4

Where are the walls for a living room and where are the bedrooms?

REAL ESTATE 100 Sheldon 5

Another look at the property. So if your real estate agent wants to say this was a “special place” you can now see the truth and your real estate agent is lying to you.

Remember, people want to buy places with basement apartments and if your house has one you can sell it for a premium price. Don’t let a shady real estate agent low ball you and rip you off.

Now let’s look at another rental property that sold recently.

88 Newbury Drive, Newmarket Ontario Sold For $515,200 on October 16, 2015

Another property in Newmarket that sold for a high price. This is the “real story” on Newmarket house prices. Let’s take a closer look at this property in case a shady real estate agent tries to convince you it’s a “special case”. Now let’s look at another rental that sold recently.

REAL ESTATE 88 Newbury Newmarket

This is also a semi in what is considered the ‘worst part of town’ (although this is changing fast). 

 REAL ESTATW 88 Newbury 2

Typical, small living room.

REAL ESTATE 88 Newbury 3

Bedrooms are also common and nothing special.

REAL ESTATW 88 Newbury 5

Basement apartment is nothing special at all. And it’s not even legal!

REAL ESTATE 88 Newbury 4

The stairs need to be stained.

REAL ESTATE 88 Newbury 7

The backyard is just okay, needs work.

Newmarket Property Prices Are Rising Fast.

Make sure you sell your property for the right price and don’t get ripped off by real estate agents who want to low-ball you. If you are a landlord or property investor we recommend you joint the Ontario Landlords Association for the tools and services you need to succeed.

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How To Sell Your Newmarket Income Property For the Best Price?

June 1st, 2015 · Latest News, Newmarket income property, Newmarket investment property, Newmarket landlords, Newmarket Rental Property, Newmarket tenants

This duplex in a nice area of Newmarket sold for $474,000 in November 2014

708 Patterson St. Newmarket, ON. This duplex with a legal basement apartment in a nice area of Newmarket sold for $474,000 in November 2014

256 Penn Ave., Newmarket, ON with a basement apartment sold for $480,000 in January 2015

256 Penn Ave., Newmarket, ON sold for $480,000 in January 2015

Newmarket Landlords and Investors ask: Why Do Some Real Estate Agents List Your Rental Property at an Under-Valued Price And What Can Landlords Do About It?

Many landlords who want to sell or buy an income or rental property feel frustrated about the difficulties in find the ‘sold’ prices of similar homes in the area. After all, we need sold data to know how much to list our house for (if you are seller) and need to know if the price is reasonable (if you are a buyer).

According to an article in the Toronto Star sellers and buyers in the U.S. can do their own research on properties using websites like Zillow and Trulia. Unfortunately in Canada we usually have to rely on a real estate agent to access vital information on prices in the Multiple Listing Service (MLS).

The Canadian Competition Bureau challenged the Toronto real estate board to open up competition and to allow better access to real estate information on the MLS system for the general public. The case went to the Canadian Supreme Court and is still going as there will be a Hearing at the competition tribunal at the end of this May.

In the meantime real estate agents don’t allow investors and landlords to see the prices of houses that have sold on the MLS system for themselves. They protect this invaluable information and keep it secret.

Newmarket Landlords Make Sure You Sell Your Rental Property For Real Value

It’s hard to find out what the house down the street sold for. What about a property similar to yours? How can you find out and know what you should really price your rental property for?

Real estate agents often don’t want you to know.

Many real estate agents will advise you to list at a certain price based on “their knowledge of the market.”

The problem is by listing your property for a lower price a real estate agent can usually get a quicker sale and a quicker commission…so do they really have your best interests at heart? Do they really want you to list at a competitive price or do they want to low-ball you so you list low, sell cheap, and they get a quick commission?

We see a huge disparity in prices of rental properties in Newmarket. There are sometimes price differences of tens of thousands of dollars between a property that has been listed and a very similar house that sold for a lot more just down the street!

Prices are rising fast for Newmarket rental properties

The reality is Newmarket rental properties are rising fast and becoming comparable to Richmond Hill rental properties.  The problem is because the MLS ‘sold’ prices are not allowed to be viewed by the public, many sellers are simply unaware of how much value their Newmarket investment properties are really worth.

You are forced to ask a real estate agent for help and they usually want to be the ones listing your property in exchange for this ‘help.’  Sure there are some good real estate agents who will give you good access to comparable properties that sold in the area. There are also bad ones who want to rip you off by low-balling your sale price so they can get an easy and fast commission.

We see some property owners losing $20,000 to $100,000 on what they could have sold their property for if they knew what other similar properties were sold for.

Let’s Look At Some Recent Sold Prices

To make sure you list at the right price you need to know what other rental properties are selling for in Newmarket. This is exactly what some do not want you to find out and why we will show you what the real value of typical Newmarket rental properties are.

708 Mountview Place, Newmarket ON L3Y3P7 – Sold for $474,000 in November, 2014

The Patterson Street area is nice and a great area for income properties. Mountview Place is a good street in a happy and safe neighbourhood. It’s close to schools, Southlake Hospital and Richardson Park (a truly beautiful park with soccer fields, basement diamonds, trails, and a pond).

This is a semi-detached bungalow that was listed for $469,900 and sold for $474,000 in only 3 days on November, 28 2014. You can see the MLS record at #N3O72529

It’s a great indicator of what rental properties with basement apartments should be selling for in the family friendly and cozy Patterson St. area.

Let’s take a closer look at the property and why it was sold for that price.

Newmarket 708 Mountview Pl 3

The living room is average. The window isn’t a bay window and it the lighting hasn’t been upgraded.

Newmarket 708 Mountview Pl 5

The kitchen is average. The cupboards don’t look upgraded and there isn’t an island.

Newmarket 708 Mountview Pl 9

There is a separate entrance into the basement apartment which is important. The space for the basement tenant to get in has limited space. The individual mailbox is nice.

Newmarket 708 Mountview Pl 10

The carpet on the stairs looks old and the flooring is simply laminate that isn’t very expensive to put down.

Newmarket 708 Mountview Pl 11

The kitchen is pretty nice, although not very large.

Newmarket 708 Mountview Pl 14

The bathroom is average.

Newmarket 708 Mountview Pl 16

The backyard is also average. There is a small shed which is handy but no lawn for children to play on. The central a/c is nice.

Overall this is a pretty nice property, legal, and in a good are but it’s nothing spectacular and it sold for $474,000 in only three days.

Why Did This Property Sell At Such A High Price and So Fast?

It’s because it has value. The area attracts a lot of terrific renters who pay on time and pay high rents. 

If you have a rental duplex in the the Patterson Street., Newmarket area you should be looking at selling at least $450,000 and possibly list for over $500,000 in 2015  Don’t trust a real estate agent who doesn’t give you the real facts on the value of Newmarket rental properties. 

256 Penn Avenue, Newmarket, ON, L3Y2S6- Sold for $480,000 in January 2015

The area around Penn Avenue is not as nice as the Patterson Street area. Even though the area is often called the “dog patch” of Newmarket by long-term residents it’s an area that is improving each year and has a lot of rental properties.

As it’s improving, smart sellers are realizing the true value of their rental property and getting the prices they should get for this value.

For example, let’s look at 256 Penn Avenue. It was first listed at $478,800 and sold for It sold for $480,000 on January 27, 2015. It was sold by RE/MAX Hallmark York Group Realty Ltd in Aurora (Hmmm, not a Newmarket real estate agent!)

256 Penn Newmarket sold for $480,000

The front of the property is average. If you drive past the property this is actually a flattering picture of it.

256 Penn 5

The living room looks nice, but it’s small and not breath-taking.

256 Penn pic 2

Very small kitchen in the downstairs unit and it’s out-dated.

256 penn 3

It’s always a good idea to provide your Newmarket tenants with a washer and dryer. This is pretty small though.

256 penn 4

The downstairs bathroom is nice and has a bathtub.

Why Did This Property Sell For A High Price?

This is a great example to read because other similar properties in the area have been listed by Newmarket real estate agents for tens of thousands of dollars less!

Why? Don’t get ripped off and make sure you list your rental property for what it truly is worth!

People want to buy income producing properties and they are now coming to Newmarket.

Buying or Selling a Newmarket Rental Property or Aurora Rental Property

Newmarket and Aurora landlords who want to sell their rental properties are basically blind when it comes to knowing how much your property can sell for.

Make sure you do lots of research and don’t let a real estate agent “low-ball” you! Newmarket real estate is booming and investors and buyers from Toronto and the rest of the GTA are coming.

No half-decent rental property duplex in Newmarket should be listed at anything less than $450,000 in 2015!

If you are in a great family area such as near Patterson Street you should be looking at $475,000 to over $500,000 in 2015.

Income properties in the Toronto and the GTA are sky-rocketing and investors are coming to Newmarket. Make sure you know the true value of your Newmarket rental property!

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Newmarket Rental Property

November 28th, 2014 · Newmarket Rental Property, Selling Newmarket Rental Property

Newmarket landlords 57 Longford $448,000

57 Longford sold for $448,000 in November 2014

How You Can Make Sure You Sell Your Newmarket Rental Property For the Best Price

Newmarket continues to grow quickly and that’s good news for landlords and property investors.

Davis Drive is finally beginning to show signs of being completed. And for all the delays and frustration while it’s being constructed when it’s completed it will be an incredible improvement for Newmarket. Not only will we have a modern artery to move from east to west, it will lead to more commercial business investment and better public transportation.

Better transportation and more investment will mean more jobs and that will lead more people to want to make Newmarket their home. For landlords and property investors, this means more people will come to Newmarket in 2015 looking to rent and a larger tenant pool.

With all the construction leading to a huge new look and economic expansion many experienced landlords and Realtors are saying ‘Newmarket is the next Richmond Hill” or even better. The future of Newmarket looks good.

Selling Your Newmarket Rental Property

Even though the future of Newmarket looks good and there will be more jobs, better public transportation and more tenants, some landlords and investors want to sell their rental properties.

Why Do Newmarket Landlords Want To Sell Their Rentals?

There are many reasons.

1. Rental Property Price Appreciation

Many landlords and investors who own properties in Newmarket have seen some really fantastic appreciation over the past five years. Some properties have even doubled in price compared to fifteen years ago. Other properties are now selling for hundreds of thousands of dollars more compared to 2008-2009.

This means some landlords want to sell to cash out and enjoy the money they made off of this house appreciation.

2. Looking For Larger Investment Properties

Many landlords start off with a duplex or single family home with a basement unit. They have learned what it takes to become a successful landlord and want to move on to larger income properties. They decide to buy larger multiplex houses or even small buildings.

3. Had Enough With Bad Tenants

Newmarket is filled with good tenants…and also filled with bad tenants who know how to manipulate the system. While professional landlords who screen their tenants carefully (including a credit check) do well, some new landlords who don’t screen right end up with bad tenants.

These bad tenants can make your life incredibly stressful. They might not pay rent or pay rent late each month. They argue with other tenants. They might bring in lots of pets (even though you rented to them as a ‘no pet property’) or worse. You add this in with the unprofessional circus-like environment at Landlord Tenant Board hearings in Newmarket and some people feel they are just not up to being landlords in Ontario. They want to sell and move and do something else.

How To Sell Your Newmarket Rental Property For the Best Price?

Buying and selling residential property in Canada is far from being consumer friendly. Real estate agents control the MLS system (which is used to advertise properties) and they guard it carefully.

Complaints to the Canada Competition Bureau might lead to some changes in the future, but the reality is that at the moment the system gives real estate agents a lot of power and especially hurts real estate sellers.

How Much Should I List My House For?

For example, if you want to sell your house how can you know how much you should list it for?

With the current flawed system sellers don’t have access to ‘comparable’ properties in your area that have sold. You have to contact a real estate agent and they will use their closed system to look things up and then give you their opinion on how much to sell your property for.

Warning! Should I Trust My Real Estate Agent?

Some real estate agents are honest and will give you a good recommendation for a selling price. The problem is that others do not.

You have to realize that most real estate agents who will sell your property are going to get 2.5% of the sale price. What this means is there isn’t a huge dollar value to them if your house sells for $20,000 to $50,000 more or less.

What is important to them is the house “sells.” Because if it sells it means they get their commission.

When a house sells, it also means these types of real estate agents can pocket their fees from you and they don’t have to spend any more time with you and look for their next victim…ummmm, next clent.

What Does This Mean For Landlords Who Want to Sell Their Rental Property?

It means a couple of important points.

1. Low Listing Price and a Quick Sale

There is no incentive for the real estate agent to sell your property at the highest price. In fact, there is an incentive for real estate agents to “low ball” you and try to list your rental property cheap. Why? If they list it cheap they will make sure it sells (they get their commission)! As we just mentioned a lower listing price usually leads to a quicker sale. 

2. Sellers Are Blind

Because non real estate agents don’t have access to the prices that other properties sold for in the area a real estate agent can ‘low ball’ you and you don’t even know you are being low balled!

We have even heard of situations where a real estate agent has selected a few comparable properties in the area that have sold for the lowest prices to give to the house seller. They only give the lowest comparable properties and conveniently don’t give information about properties on the street or in the area which sold at much higher prices. This way it’s easier to justify a lower selling price.

Newmarket Rental Properties Are Now Selling For High Prices

Don’t get ripped off by an unscrupulous real estate agent who undervalues your property to get a quick sale and a quick commission!

Newmarket landlords selling their investment properties need to be very careful who they hire as their real estate agent and be diligent in learning the true market for Newmarket rental properties.

Things have changed in Newmarket over the past few years and no decent duplex with a basement apartment should ever sell for less than $400,000 in today’s market.

281 Silverbirch Dr., Newmarket ON – This property sold for $458,500 in July 2014. It's also in the Patch area.

281 Silverbirch Dr., Newmarket ON – This property sold for $458,500 in July 2014. It’s also in the Patch area.

Unfortunately we still see some real estate agents listing rental properties far below what they should be listed for.

Things Your Newmarket Real Estate Agent Doesn’t Want You To Know

Here’s an idea of what actual prices are in Newmarket for rental properties.

57 Longford Drive, Newmarket Ontario

Newmarket landlords 57 Longford $448,000

$448,000 for this little semi in one of the worst areas of Newmarket!

This property is in what experienced Newmarket landlords call the ‘Patch.’ It’s a huge rental area that has traditionally been know to be run down.

In fact, it’s generally considered to be one of the worst neighbourhoods in Newmarket.

This little semi-detached at 57 Longford Dr. Newmarket, with an unregistered basement apartment, sold for $448,000 in November 2014! Ask real estate agent to give you a copy of the listing: MLS # N3030704

Newmarket Landlords Be Careful We see huge price differentials in properties being sold in Newmarket

The reality is there have many duplexes in Newmarket that have sold for well over $400,000 in the summer and fall of 2014.

Unfortunately we still see houses that are being listed far under market value in Newmarket. We see houses that are comparable to the two examples we provides (which sold for $458,500 and $448,000) being listed for tens of thousands of dollars less!

Contact Real Estate Agents In Other Areas, Not Just In Newmarket

Why not call a few real estate agents in Markham and Richmond Hill and ask them what they would list your property for. Don’t only rely on Newmarket real estate agents only. Make sure you shop around! Because there are tens of thousands of dollars at stake and don’t get ‘low-balled” and sell cheap. 

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Newmarket & Aurora Landlords – Run Tenant Credit Checks The Right Way To Make Sure You Rent to Good Tenants

September 25th, 2014 · Aurora landlords, credit check, Newmarket landlords

 Newmarket landlords tenant credit check

Equifax Canada Warns Landlords to Only Run Credit Checks on Tenants Through an Approved Tenant Credit Check Provider Such As TVS as You Cannot Use A Mortgage Broker, Real Estate Agent or Other Friend to Run Credit Checks For you.

Successful Newmarket landlords and landlords in Aurora and the surrounding area know the important of running a credit check on tenants before you rent to them.

After all a credit check will provide you with a ton of information on a potential tenant and give you the information you need to avoid ‘professional tenants’ who will avoid paying you rent and even leaving trash behind when they move or even thousands of dollars in repair costs.

With the price of investment properties rising fast in Newmarket (if you list with a Richmond Hill or Toronto real estate agent) it’s more important than ever to find qualified tenants for your expensive rental property.

What Can Happen If You Rent To Someone Without Proper Tenant Screening?

There was a recent situation that a Peterborough landlord faced that lots of veteran Newmarket and Aurora landlords (and Keswick and Barrie) know all about.

The landlord didn’t screen the tenant carefully (no credit check) and after the tenant moved in he stopped paying rent.

It took the landlords months to evict the tenant because the Landlord and Tenant Board is so slow.

When the tenant eventually moved out, the landlord went into the property and saw a huge mess and damages that will cost thousands of dollars out of his pocket!

Rules for Landlords to Run Credit Checks on Tenants

Running credit checks is important for landlords.  Nowadays BC landlords are running credit checks even though they can charge a pet deposit and a damage deposit. It’s still worth it to them to rent to good tenants because bad tenants can lead to losses far more than the deposit.

Even in a pro-business province Alberta landlords are running credit checks before signing a lease with tenants.

Be careful!

But many landlords are using ‘friends’ who are mortgage brokers, real estate agents, bank tellers, car dealers, or insurance brokers to run credit checks on their potential tenants.

While this may have been a normal way of conducting business in the past the rules have changed and small landlords (and their friends) need to be aware of the changes and the risks involved.

It’s Worth It To Run Credit Checks on Tenants The Right Way

Let’s look what Equifax Canada says:

#1 Can I include a waiver clause in my application that allows them to use a ‘friend’?

ANSWER FROM EQUIFAX CANADA

The service agreement signed by EACH of our members clearly articulates that they will not “share” a credit file with another entity: the credit file is for their exclusive use ONLY.

Any entity that does share is in violation of this agreement.

#2 What Can Tenants Do If a Landlord Runs an Unauthorized Tenant Credit Check?

Some tenants complain they have a ‘credit hit’ on their credit reports from mortgage agents, insurance agents, etc. which they never agreed to (as they only wanted to rent an apartment).

#3 How can tenants get these unauthorized credit hits off their records?

ANSWER FROM EQUIFAX CANADA

Due to privacy legislation, once Equifax delivers a file to a member, we MUST post an inquiry (by law).

As such, we do not remove these inquiries as they are factual and the consumer has a legal right to know their file has been disclosed.

#4 What Actions Can Tenants Take for Unauthorized Credit Checks?

Some tenants who have credit hits from people they never authorized have asked if they should contact the Ministry of Consumer Services to make formal complaints that their credit data was obtained fraudulently. They would like advice on this.

ANSWER FROM EQUIFAX CANADA

Yes, they should contact the Ministry of Consumer Services who will launch an investigation.

They can reach also reach Equifax directly at the following telephone numbers to lodge a complaint and we will do an investigation:

English: 1-866-828-5961

French: 1-877-323-2598

How To Run A Credit Check On Renters?

Make sure you use a licensed and legal credit check provider to run credit checks on your potential renters.

You can join the Ontario Landlords Association for only a low one-time registration fee of $99 and start running Equifax credit checks on potential renters in minutes!

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Newmarket Landlords – Selling Your Rental Property?

August 4th, 2014 · Latest News, Newmarket landlords, Selling Newmarket Rental Property

281 Silverbirch, Newmarket ON - This property sold for $458,500 in July. Yes, it's in the "patch". It was sold by a Richmond Hill based real estate agent!

281 Silverbirch, Newmarket ON – This property sold for $458,500 in July. Yes, it’s in the “patch”. It was sold by a Richmond Hill based real estate agent not a Newmarket real estate agent!

Newmarket Landlords – Make Sure You Choose the Right Real Estate Agent To Sell Your Rental Property! Contact Realtors in Richmond Hill and Toronto and Don’t Get “Low-Balled” and Lose Thousands

Newmarket landlords are happy this summer of 2014 when we look at how prices of residential houses are appreciating fast and selling for high prices.

One Realtor even told us “Newmarket is the new Richmond Hill” when it comes to prices.

And why not? Newmarket has been designated under the provincial governments “Places to Grow Act” as an area that will see substantial economic and population growth.

How To Choose A Realtor or Real Estate Agent To Sell Your Newmarket Rental Property?

Are you thinking of selling your Newmarket rental property?

Be careful! If you are make sure you choose the right real estate agent to sell it for you and look beyond Newmarket in your choices.

The MLS system real estate agents use keeps non-agents blind to the prices of sold units. This is part of a huge lawsuit currently with the Competition Bureau of Canada.

If you could see what prices are selling for you would be amazed!

There is a huge price difference between rental properties being sold on the same street!

Our research has shown that some Newmarket Realtors are listing and selling rental properties too cheaply for the current marketplace.

Meanwhile, landlords who list with Richmond Hill or Toronto Realtors are often selling at much higher prices!

If you want to sell, make sure you get a copy of all the “solds” in the area before choosing on a real estate agent.

Don’t let them under-value your property in order to sell it fast (and for a fast commission!)

Toronto Buyers Are Investing In Newmarket

We also recommend you list with a Richmond Hill real estate company because they know the “Toronto market” and know that Toronto buyers will pay a premium for rental properties that cash-flow.

148 Longford Drive, Newmarket ON

Did you know that 148 Longford Drive sold for $421,500 in May, 2014?

Yes, that’s right…a rental on Longford Drive.

281 Silverbirch, Newmarket ON

This property sold for $458,500 in July. Yes, it’s in the “patch”.

710 Sunnypoint Drive, Newmarket ON

This property with a basement apartment sold for $460,000 in July!

Don’t Let A Real Estate Agent Undervalue Your Rental Property in Newmarket

We’ve also heard of cases where property that could have sold for over $400,000 were listed in the low $300,000s on the advice of a Newmarket real estate agent.

List With Richmond Hill or Toronto Realtors Over Newmarket Realtors

One real estate brokerage that we hear keeps getting top prices for Newmarket rental properties is called “Right At Home Realty Inc. Brokerage.” They are based in Richmond Hill and their number is 416-391-3232

We have no association with them, only keep hearing they stomp the local Newmarket real estate gang in getting top dollars for sellers.

Selling Your Newmarket Investment Property?

Don’t be low-balled by local Newmarket Realtors.

Shop around and look to Richmond Hill or Toronto.

Make sure you make a called to brokerage such as Right At Home Realty Inc. at 416-391-3232 and other Richmond Hill and Toronto based real estate agents to get the best price for your rental property.

Newmarket Landlords – If you are selling your Newmarket Rental Property make sure you shop around for the best deal.

Don’t get tricked by people who want you to sell low so they can sell fast…or sell to a friend and make a huge profit off you. Contact real estate agents in Richmond Hill and Toronto for the best listing price!

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