EoH Posted August 8, 2013 Share Posted August 8, 2013 Just wondering, im at the point where I've saved an X amount of cash and still living with my parents because im still going to university. I know im not at the point where im established enough to move out on my own, but i would like to do something with the money i have. I would love to invest my cash and maybe put a down payment on an apartment/condo and rent it out and use the rent money to slowly pay it off. Im just wondering if its a good idea or should i use my X amount of money and invest it into something else? Link to comment Share on other sites More sharing options...
KFBR392 Posted August 8, 2013 Share Posted August 8, 2013 Kind of hard to suggest anything unless we know a general amount. Are we talking 5-10k, or 80-100k or what? The smartest thing to do would obviously be to buy a Porsche 911 turbo, but if you've only got 10k saved up you may not be able to do that just yet. Link to comment Share on other sites More sharing options...
Lancaster Posted August 8, 2013 Share Posted August 8, 2013 Speak with an investment advisor. Link to comment Share on other sites More sharing options...
Rey Posted August 8, 2013 Share Posted August 8, 2013 Kind of hard to suggest anything unless we know a general amount. Are we talking 5-10k, or 80-100k or what? The smartest thing to do would obviously be to buy a Porsche 911 turbo, but if you've only got 10k saved up you may not be able to do that just yet. Link to comment Share on other sites More sharing options...
EoH Posted August 8, 2013 Author Share Posted August 8, 2013 Also depends on how much the income the OP is getting. OP should be able to figure it out himself. You find out the down payment and how much money you have. If you think you are left with enough money for University and life, then you should be fine. If you are tight on money, then it's risky. If you don't even have 50+K and an income, then forget about it. Link to comment Share on other sites More sharing options...
EoH Posted August 8, 2013 Author Share Posted August 8, 2013 Speak with an investment advisor. Link to comment Share on other sites More sharing options...
Offensive Threat Posted August 8, 2013 Share Posted August 8, 2013 You can invest in stocks without having someone take a cut from you and probably invest much more effectively by yourself. Im with TD Waterhouse direct investing. They want to sell your their services in helping manage your money but you dont need them. You just pay a flat fee per trade. just be careful, learn the ropes and take your time. You can get real returns and since your young over the long haul you will make a lot of money. Over 30 years you can turn 100k into a million easily. Pay more into it regularly when your earnings go up and at opportune times and 1 can become 2 can become 3. If you just have your money in a savings account you will be treading water with not making any more interest than the inflation rate. Real estate as a landlord can be good in a market where the values are rising but in Van that time seems to be past. Go talk to experts, read online. TAKE YOUR TIME and dont let anyone pressure you. Link to comment Share on other sites More sharing options...
Lancaster Posted August 8, 2013 Share Posted August 8, 2013 I spoke with one and generally most of them want to lock in my cash for an X amount of time or want me to invest in stocks, and they'll help me look after it (and they take a tiny percentage of profits for each share made). I dont feel like taking that route at the time being because my cash is currently just sitting in a savings account and is making just slightly less then what would be the projected value i would get say in 5 to 10 years. Link to comment Share on other sites More sharing options...
taxi Posted August 8, 2013 Share Posted August 8, 2013 I spoke with one and generally most of them want to lock in my cash for an X amount of time or want me to invest in stocks, and they'll help me look after it (and they take a tiny percentage of profits for each share made). I dont feel like taking that route at the time being because my cash is currently just sitting in a savings account and is making just slightly less then what would be the projected value i would get say in 5 to 10 years. Link to comment Share on other sites More sharing options...
ronthecivil Posted August 8, 2013 Share Posted August 8, 2013 You can invest in stocks without having someone take a cut from you and probably invest much more effectively by yourself. Im with TD Waterhouse direct investing. They want to sell your their services in helping manage your money but you dont need them. You just pay a flat fee per trade. just be careful, learn the ropes and take your time. You can get real returns and since your young over the long haul you will make a lot of money. Over 30 years you can turn 100k into a million easily. Pay more into it regularly when your earnings go up and at opportune times and 1 can become 2 can become 3. If you just have your money in a savings account you will be treading water with not making any more interest than the inflation rate. Real estate as a landlord can be good in a market where the values are rising but in Van that time seems to be past. Go talk to experts, read online. TAKE YOUR TIME and dont let anyone pressure you. Link to comment Share on other sites More sharing options...
TheRussianRocket. Posted August 8, 2013 Share Posted August 8, 2013 Learn how to count numbers, become an expert, and head to the nearest casino around you. Win majority of the hands and start multiplying your current cash...just make sure you don't make it too obvious you count cards otherwise you'll get a good beating by the casino.... Nah, just joking. I'd say stay home with the rents for a bit longer and move out when your comfortable and won't have much stress. Link to comment Share on other sites More sharing options...
TGokou Posted August 9, 2013 Share Posted August 9, 2013 Investing in property here in Vancouver is not the smartest idea unless you plan on living in it imho (others will disagree I'm sure). Other places may be ok further east like Surrey. First of all unless you have a steady income that you don't mind putting into the payments every month there is a risk you could default. However, let's assume that you at least have that. Secondly, property is at an all time high and could be due for a correction (although let's just say for simplicity sake that it won't since it hasn't no matter how many times we say it will). Thirdly, your rent will probably be approx. $1000-1300 with expenses per month of $200 for condo maintenance (could be lower or higher)/ $50 for insurance/ $50-100 for utilities/$120 for cable and internet/ $1000+ for mortgage (yes some does go to pay down the principal but it is still a cost you pay every month)/ $100 for rental vacancy/ $50 for repairs or renovations (may be more one month or none the next) so now your looking at total expense of 1550 to your 1100 rent. That means every month your paying $450 out of your own pocket to have someone else 'rent' your property. But wait you say, what if my property goes up $30-50k? Well, then lucky you...you will pay income tax on that 50k of maybe $10-15k plus approx. $10k in real estate fees when you sell. In the mean time you've been also paying $400 out of your own pocket every month but fine we'll assume it's $200 because $200 has been going to principal every month. Oh yes and that doesn't include CMHC insurance which is a huge cost if you don't pay down at least 20%. Also doesn't include special assessments if your buying an older property which can range from $1000- 100,000. I'm assuming 3.5% interest rate and 25 years amortization with a $200,000 mortgage. Just want you to know the costs involved. Lastly, the headache of renting out. I'm not against renting out. I'm just against renting out if it's not affordable to begin with. Link to comment Share on other sites More sharing options...
CanuckClown Posted August 9, 2013 Share Posted August 9, 2013 Learn how to count numbers, become an expert, and head to the nearest casino around you. Win majority of the hands and start multiplying your current cash...just make sure you don't make it too obvious you count cards otherwise you'll get a good beating by the casino.... Nah, just joking. I'd say stay home with the rents for a bit longer and move out when your comfortable and won't have much stress. Link to comment Share on other sites More sharing options...
nuckin_futz Posted August 9, 2013 Share Posted August 9, 2013 If you can count an 8 deck blackjack game then you belong in academia - or at the tables Link to comment Share on other sites More sharing options...
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