Fear: the greatest motivator and the greatest de-motivator

I recently purchased a great book written by Don Campbell called “ 97 Tips for Canadian Real Estate Investors” Throughout the course of this blog, I’ll be publishing some of the tips I found to be the most useful.

Investing in real estate can be a scary proposition. It was quite some time before my partner and I finally got the nerve to take the plunge and purchase our first investment property, but are we ever glad we did! We managed to find great tenants and we’ve already made over 100% return on our initial investment!!

The first tip I would like to pass on is how to overcome that fear:

Analysis paralysis is an investment killer. You get over it if you have proven system you can trust.

There are lot of good reasons not to invest in real estate. That’s right, too much of the wrong kind of information can hold you back from
making investment decisions. Even though you may feel like you are moving forward by collecting lots of information (some of which is useful and some that is not), you will find that in the real world you will not make any real money until you actually take that first step and purchase a property.

We’ve all the “if only” stories of would-be investors. They’re the offspring of those who never took any action because fear held them back. As with all things in life, action fuels results and success.

Novice investors need to face the fact that when it comes to the business of learning to be a successful investor, there comes a time when
just listening can will hold you back. The ability to take action is the number one difference between successful real estate investors and wannabes.

Use Fear As A Tool – Make It Work In Your Favor

Fear is an instinct designed to keep us alive, not control us. Use it as a motivator by turning the fear of action into the fear of missing out and you’ll never have to tell your grandkids about the time that fear kept you from a great real estate opportunity.

Mind Your W,S &Qs

Use the Write-Scratch-Question approach to fear management and you will find yourself answering the toughest questions.

• Write: Don’t let yourself stew over a new excuse. Stop what you’re doing and write the excuse down on a piece of paper
• Scratch: Now cross it out with your pen
• Question: Turn the excuse into a positive spin question. Even if X is true, what can be done about it? Get the answer you need to eliminate that fear.

Saskatchewan Bound!

Over the past year, there has been a lot of people from Alberta moving to Saskatchewan. The main reasons being a better standard of life including cheap housing. although housing prices in Saskatchewan have been rising quite dramatically over the past year. Prices in Regina have risen 13% and Saskatoon has seen a 41% increase.

This is great news for Saskatchewan real estate investors. As more and more people from Alberta and BC move to the province looking for affordable housing, the value of Saskatchewan homes will continue to increase. Could Saskatchewan be where Alberta was 15 years ago??

Below is an article from cbc.ca

Calgary residents Saskatchewan bound

Calgary moving companies say more and more people are packing up and heading to Saskatchewan.

Doug Jasper of AMJ movers in Calgary says the number of clients heading to Saskatchewan is up about 40 per cent since Christmas.

“I look at the moves that come across my desk and [it's] Saskatchewan, Saskatchewan, Saskatchewan. My goodness, what’s the big draw?”

Jasper says most of his customers tell him their move is all about quality of life.

“They are going back to no mortgage. They have pocketed money from their house here and they have bought bigger pieces of property.”

Rob Montgomery works for Tippet-Richardson, another Calgary moving firm. He also says more and more of his customers are moving to Saskatoon and Regina.

“That’s a popular place. We get two or three phone calls a day asking for quotes on moving to Saskatchewan. Most of the people who are leaving are heading home.”

Harry Janzen, the head of the Saskatoon Region Association of Realtors, said Albertans with no ties to Saskatchewan are also snapping up properties in the neighbouring province, looking for investments or an early retirement home.

Janzen says Albertans have created a mini real estate boom in Saskatoon.

“It’s exceptionally hot. We are looking at average house prices up by 42 per cent over last year and we are seeing unit sales numbers increasing by 70 per cent.”

Janzen says despite the increases, Saskatoon is still a bargain compared to Calgary. The average price for a home in Saskatoon is just over $220,000, while in Calgary it’s $420,000.

Housing Prices Soar!

Wow, another record breaking month for Canadian home prices! The question is how much longer can the market and the public afford these increases? American housing prices are beginning to fall and it’s anticipated that the Bank of Canada will increase interest rates this July to deal with higher then expected inflation. That will certainly make it more difficult for first time buyers to get into the housing market.

We just changed from a variable rate loan to a 5 year fixed rate of 5.29% on our revenue property. One thing I have learned is that it’s always better to get a fixed loan with any revenue property that you intend on keeping to gain appreciation with. You may be paying a little bit more in interest, but it will save you some stress down the road if rates keep increasing to the point where your property is no longer profitable. Plus you can write off all interest you pay on your mortgage!

Welcome to my first post!!

Thanks for visiting my blog.  I’ve noticed surfing the net that there is a lack of blogs for Canadians looking to invest in real estate. I don’t claim to be a real estate expert, but I have always had a strong interest  in it.  My partner and I purchased our first revenue property almost two years ago and plan on purchasing another this year. I hope that everyone finds the articles and advice I have managed to collect useful.

Thanks for visiting!