London Ontario offers a variety of investment options to a prospective Real Estate investors. Residential real estate housing ranges from low-income properties to -million dollar estates and is known to have had some of the great appreciation rates. . London has also seen marked advances in commercial real estate with the construction of new high-rise buildings, expansion of employment centers and increases in industrial activities. London has been attracting high tech manufacturers, Information Technology companies, biotech and medical research laboratories
The proximity of London to Toronto, and the lower housing costs in the region have resulted in many people from the Toronto area investing in London. The median home price in London is in stark contrast to the median price for a Toronto Area home.
Investing in a real estate market like London becomes more lucrative because of the lower price, but relatively high rent compared to price. Prices in have been increasing steadily for years resulting in:
1. The return on your investment can be phenomenal especially when you use leverage to your advantage. (Leverage is when you use more of borrowed money and less of your own to buy the property).
2. The increasing housing prices have made buying a home less affordable to many people, which can result in an increased demand for rental properties.
What can be music to the ears of investors is the fact that though the real estate prices are on the increase, the rates of interest on mortgages are still hovering near historic lows, making this your opportune time for invest..
For the real estate investor there are plenty of options for investing in London Ontario. If you are a first time buyer, you may consider investing in a duplex rather than a single family home. The advantage would be that the rental income from your tenant can be used to greatly reduce your monthly out-of-pocket mortgage expenses potentially making it possible to live for free.
If you are a handy person and willing to work on a property, an excellent investment option may be a fixer upper. Fixer properties are usually sold at a discount to the market, and when fixed up, can be sold at full market price.
You may also want to consider condos as a long-term, low risk investment option. Residential units like single-family homes, condominiums and residential income properties like Duplexes, Triplexes, and Fourplexes are good investment opportunities in in London and personally where I currently invest. I prefer multi units 2 to 6 units
The most popular investment property in London is a student rental. With the University of Western Ontario and Fanshawe College located in the city, there are plenty of students looking for quality rentals. London offers a much higher ROI then many cities this size in Ontario.
Whatever your choice of property in the London Ontario real estate market might be, ultimately it’s important to consult a reputable Real estate professional who can guide you through all the details and make your real estate purchase an enjoyable experience, who has personal experience investing themselves.
Century 21 First Canadian Corp