Whether you live in Cambridge or not, investing in a property in the area can offer you quite a handsome profit. You could supplement your income or invest in real estate full-time. You can easily pay off the mortgage with the rent coming in monthly from tenants.
Not only do you have money to cover the bills but properties are one of the best investments because they are always appreciating, so you can always use the equity from your properties in the future.
Pros and Cons of Real Estate Investing
For the most part, investing in real estate is going to be a good way to make money, but there are always positives and negatives to long-term decisions like these.
Here is a list of some of the pros and cons you should consider:
Pros
Passive Income: with the income, you are generating from rent, you can buy more investment homes and increase your earnings that way.
Tax benefits: You can claim certain expenses, such as any depreciation, property management expenses, and more.
Builds equity: The potential for appreciation is always great in real estate. You can even choose to make upgrades or renovations. Equity is always a good thing.
More stable than other investments: There are more risky investments out there, such as the stock market. With real estate investing, there are much fewer risks to worry about.
Cons
Unreliable tenants: There is always going to be a chance you rent to the wrong person. As long as you are diligent in your application process, you shouldn’t have to worry too much about this. There is always a landlords association that can help you with anything you might be unclear about.
Time-consuming: If this is a side hustle for you, it might take up more time than you have. If there are any damages, repairs, or anything else your tenants might need you for, you have to be available. It is always acceptable to hire a property manager to take care of anything that might come up if you don’t have the time.
Ongoing or additional costs: Any major repairs are bound to happen. A leaky roof or a new furnace could definitely put you over budget.
Market can change: It is always important to keep in mind the fact that the rental market is always changing. A real estate agent will know all about these types of changes, so it is good to have one to reach out to.
580 BEAVER CREEK Road Unit# 266, Waterloo, N2J3Z4
580 BEAVER CREEK Road, Waterloo, Ontario N2J3Z4
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Best Cambridge Neighbourhoods to Invest In
Cambridge overall is a good bet for investment because it’s more affordable than Kitchener-Waterloo. It’s very close/accessible to everything KW has to offer. It conveniently sits on both sides of Highway 401 and is only 90 kilometres from Toronto.
Cambridge is becoming more popular, not only for its affordability but its employment opportunities, being close to all the basic amenities and parks. It is also not too far from many prestigious schools and technological institutes.
Cambridge also has quite a rich history that residents are proud of. One of the most historic buildings dates back to the 18th century. For a smaller town, it has a lot to offer.
There are several long established theatres in Cambridge, not to mention the Fashion History Museum and three separate art galleries. There is always something to do in your spare time.
Take a pleasant walk or hike along the banks of the Grand river and visit the Sculpture Garden, which features local and national artists, and hosts art shows. It is at your doorstep to enjoy anytime.
Only minutes away from the Grand River, there are many opportunities to enjoy the outdoors and be close to the water. With over 20 kilometres of woodland and riverside trails, you and your family are sure to stay active.
Most anywhere in Cambridge is a great opportunity to purchase investment real estate, but there are some areas that are especially exceptional. It is interesting to know that Hespeler, Preston, Galt, and the hamlet of Blair were amalgamated to form the City of Cambridge back in 1973.
Preston: This area is very affordable and offers good access to Conestoga Doon Campus for students, as well as favourable access to Kitchener and to the rest of Cambridge. Preston offers the largest community park, Riverside Park and has several beautiful walking, hiking, and biking trails.
Downtown Galt: This is a desirable area because of the art culture and hub of activity. You can have a memorable date night with dinner and a show. It is right by the Art Gallery, Hamilton Family Theatre, and hundreds of great places to dine out. It is also great for student rentals because of the University of Waterloo Architecture Campus.
Hespeler: This is a quaint and historical neighbourhood. There are several buildings still standing from the 1900s and for that reason, many TV shows and movies love to use the area to film. Hespeler offers great access to the highway, making it a breeze to travel to Kitchener or even the Greater Toronto area. There are many parks and trails and being so close to the Speed River offers all kinds of outdoor recreation.
Elgin Park/Coronation (The Delta): This area is conveniently located centrally making it very accessible to the rest of Cambridge. It is actually right at the centre of the three large areas that make up Cambridge, that being Preston, Galt, and Hespeler.
It attracts any resident because it is located right along the ION bus line. There is also fairly reasonable access to the highway through Hespeler, making the commute outside the city more convenient.
When you have this many gorgeous neighbourhoods to choose from, the only thing holding you back will be which area you want to purchase your investment in. The more you know about the area, the better you can understand what kind of people might be renting from you. This is important if you are more inclined to rent to students, or more so to older families and retirees.
If you are looking for information regarding any communities in Cambridge, or have any real estate questions, contact us today!