As many of you know, our firm has been offering both Real Estate and Mortgage Financing services for quite some time. This has been a great combination as we are able to assist clients with their Real Estate as well as Mortgage needs.
While this has been very good for us and our clients, it was always our dream to do more for our clientele. Many of you know that my background is in the Financial Planning field and one of the reasons I left the Financial Planning was simply that I was not comfortable selling something I did not believe in. Most Financial planners sell mutual funds as a way to build wealth. However, in the past decade we have seen the collapse or near collapse of the financial markets from the tech sector in 2001, to virtually every other sector in 2008, and just recently the European Credit crisis.
Now, just imagine that you are close to retirement and one of these meltdowns happens so that you could lose 50% of your wealth over night. Can you survive a situation such as this? What a very risky investment to be in, considering that if you listen to most financial planners the best you can do in mutual funds is to average 8-10%.
The reason I am writing to you is to inform you that we have expanded our offerings to clients with two additional services. We are now able to offer wealth building to our clients by assisting them in buying and managing investment real estate. Most people who have become millionaires have done so by buying Real Estate. In fact, anyone who purchased an investment property in Waterloo Region since 1997 has seen unprecedented growth.
The outlook for Waterloo Region is very good with population growth projections by year 2030 approaching Seven Hundred Fifty Thousand people. Add to this that we are in the most vibrant area in Canada in terms of new job creation and technology. The situation is ripe for an explosion in Real Estate values. With this in mind, the first new service I would like to introduce you to is Real Property Management Tri-City Inc.
This firm has been set up to assist all our clients buying investment properties with the management of these properties. We understand that people are too busy in their lives to spend a lot of time looking after investment properties and have shied away from owning the investment properties they want because of the time commitment, not to mention dealing with the screening of tenants, maintaining the property and tracking the income and expenses. At Real Property Management Tri-City Inc. we maximize the profitability of your property every single day.
The first three services we offer are Real Estate, Mortgage Financing and Property Management; however our group of companies is not complete. As our clientele ages, people become more conservative and apprehensive about risky investments. If you had a million dollars and invested your money in the banks, all you would receive is two percent per year or twenty thousand in interest – Hardly enough to retire on! The Fourth Company I am proud to announce is Four Pillars Mortgage Corp. Since 1992 we have been handling investment money from private investors and placing this money in Private Mortgages. Our track record and rates of returns have been impressive in averaging 8-10% return for the past 18 years. By having this license we are now able to syndicate mortgages and provide smaller investors with an option of investing in private mortgages. In other words, an investor can invest as little as twenty five thousand dollars in a mortgage. So if there was a request for a private mortgage for Two Hundred Thousand Dollars and you have Twenty Five Thousand, you can participate in this mortgage by buying one eighth. We collect the monthly payments and divide it proportionately so that you would receive your part on a monthly or quarterly basis. This will also diversify your investments by spreading your risk and allowing you to invest in several mortgages instead of just one. An additional feature of this new company is that we can now take RRSP money to invest in private mortgages as this is an eligible investment.
If you have followed our firm for years, you will have noticed a trend that what we do, is simply invest in “ALL THINGS Real Estate”. We understand Real Estate as an investment and how to build wealth using Real Estate. We know how to Mortgage Real Estate and if it goes into default we have the ability to manage the property until we sell it. We simply take all the hassles out of buying, selling, investing and managing Real Estate; we are simply “ALL THINGS Real Estate”.