In this episode of Investor Insight, CREW TV explores the ways investors are banding together to protect their rents and using Realtors to win concessions from developers.
CREW's Jemima Codrington interviews Adam Brind, an agent with Re/Max Condos - Core Assets Team, Randy Ramadhin, a broker with Century 21 - Green Realty Inc., and Marcel Greaux, the founder of the Toronto Real Estate Club, provide those insights.
Video transcript below:
Jemima Codrington: Okay, so you found your safe spot, your correction proof spot in the condo market, but now what. Hi, I’m Jemima Codrington and welcome to Investor Insight on Crew TV.
Investors in the condo market tend to be an independent bunch. But with tens of thousands of new units set to hit the market, this attitude may need to change. Investors will increasingly need to rely on experts for help as well as each other. Here’s why.
Randy Ramadhin, Broker, Century 21 – Green Realty Inc.
Randy Ramadhin: As a real estate broker and author of investing in condominiums, it’s really important for buyers to realise, they need to work with an agent to be able to protect their interests. Having a buyer go directly into a sale centre, it’s really not in their best interest. They have to develop strategy, work with an agent that knows the market, knows the particular strategy of you as a buyer, take hold of a lot of deals and offers that are given directly to actual brokers, get your agent to negotiate better deals, upgrades and freebies, like free parking or VIP prices and good luck!
Marcel Greaux, Founder, Toronto Real Estate Club
Marcel Greaux: There is definitely a concern with investors in the oversupply of the condo market and one of the things they can do to ensure the success of, you know good rental rates is to deploy a single source leasing agent. What this will do is protect investors from those in the building that will get nervous when the supply hits. That will ensure that rents are kept you know basically at market, whether it be one bedroom, studios and 2 bedroom rentals.
Jemima Codrington: So going it alone may not be the best way to maximise cash flow. Investors need to decide on a strategy and that needs to align with the investor’s expectations.
Adam Brind, Agent, Remax Condos, Core Assets Team
Adam Brind: Yeah absolutely. So generally speaking when I meet with investor clients for the first time, what we like to do is, is very typical to any advisor, we like to get their or me personally, I like to get their goals and their idea, what kind of investor are they? First and foremost, we like to determine whether you know they are there for capital appreciation or they are for long term consisting growth, so value investor or a value player. And so that really helps me to determine which direction and where to put them in the market.