2300 Kingsway East Vancouver
Just visited the new project at 2300 Kingsway. For you that remember, not too long ago the site was a home of the Eldorado Hotel and Bar. Great swinging place. A little on a border line as to the type of customers that used to frequent the bar, but a good place for some fun.
Well now, Wall Financial has kicked of through Bob Rennie Marketing a two building project with a high rise at the corner of nanuimo and Kingsway and the smaller building along the Kingsway. The project has a nice functional design, it is right on a bus line and only a few blocks to the Nanaimo SkyTrain station. Functional floor plans are complimented with nice finishes, gas cook top ranges, stainless steel appliances etc.
The interesting fact is that most of the suites are small in size, and most will be bought by investors and rented out or bought by first time buyers who will eventually outgrow them and move on.
There is a good number of suites available for around and under $200,000. These are junior studio+flex space at around 450 s.f. Parking included with most.
According to current rentals you could rent one of these for $1000.
Roughly calculated, if you put a down payment of $60,000 (30%) and assuming the rates go up and by the time the project is finished in couple of years, you have to pay an extra point and get a 5 year mortgage at $5.39%, your payments would be around $845 p.m. Ad to that the strata fee and taxes, estimated at $150 t0 $160 per month, your rental should cover your expenses.
After 5 years you will have paid down your mortgage by some $15,000. With an original investment of $60,000 you have received a 25% return. Not bad! All you need is to have the market price increase by 12% or better to cover your purchase taxes-HST. Possible? In 5 years? I think so.
If you are looking to Buy or to Sell real estate in Vancouver area, give me a call. My consultations are FREE. The benefits to You, may be worth a lot of money.
Call Jeff Stark at 604-290-7890 or email me at jeff@jeffreystark.net
