Value Add CMHC MLI-Select Apartment Building Financing Strategy скачать в хорошем качестве

Value Add CMHC MLI-Select Apartment Building Financing Strategy

Send us a text (https://www.buzzsprout.com/twilio/tex...) In this episode, Scott is joined by Jennifer Champion and Christine Traynor to discuss value-add strategies for multi-family apartment buildings. The hosts share their active investing experience and explain how to force appreciation through strategic property improvements and rent optimization. Key Timestamps: [0:00] Introduction to Value-Add Multi-Family Investing • Focus on forcing appreciation vs. just cashflow • Why controlling income and expenses matters in multifamily • Predictable refinance outcomes [2:30] 💰 Forcing Appreciation Strategy • Raising rents to market value • Controllable income and expense factors • Difference from single-family appreciation methods [4:15] 📊 Real World Case Study Example • $1.5 million purchase price • $200,000 renovation investment • $2.1 million stabilized value • 75% LTV refinance at $1.57 million • Creating infinite returns with zero capital remaining [7:00] 🏦 Understanding the Two-Loan Strategy • Bridge loan benefits (interest-only payments) • Takeout financing for long-term refinancing • CMHC standard and MOI select options • Higher loan-to-value possibilities [9:30] 🌍 Market Selection Considerations • Landlord-friendly markets like Alberta • Challenges with rent-controlled markets • U.S. market opportunities for this strategy Key Concepts Covered: Value-Add Strategy Fundamentals: • Forcing appreciation through property improvements • Raising rents to market rates • Creating predictable refinance scenarios • Achieving infinite returns through strategic refinancing Two-Loan Structure: Bridge Loan Phase: • Interest-only payments during stabilization • Lower carrying costs during renovation period • Short-term financing solution Takeout Financing: • Long-term conventional or CMHC financing • 5-year terms available • Access to created equity • Higher loan-to-value options Investment Mathematics: Real Example Breakdown: • Initial investment: $1.5 million purchase + $200,000 renovations • Total invested: $1.7 million • Stabilized value: $2.1 million • Refinance proceeds: $1.57 million (75% LTV) • Capital recovered while maintaining ownership Market Selection Criteria: Ideal Markets: • Landlord-friendly jurisdictions • Ability to raise rents to market rates • Limited rent control restrictions • Strong rental demand fundamentals Challenging Markets: • Heavy rent control regulations • Limited ability to increase rents • Restrictive landlord-tenant laws Strategic Advantages: • Tax efficiency (appreciation vs. taxable cashflow) • Predictable returns compared to single-family • Scalable strategy for portfolio growth Important Considerations: • Calculate closing costs for both loan transactions • Factor in all fees and expenses • Ensure market fundamentals support strategy Resources Mentioned: • Book A Call With Jennifer (https://calendly.com/jennifer-lendcit...) • Book A Call With Christine (https://calendly.com/connect-christin...) Important Note: This strategy requires careful market analysis and proper financing structure. Investors should Book A Strategy Call With An Expert On The Team (https://outlook.office.com/book/FreeS...) Support the show (https://www.buzzsprout.com/2448688/su...)