REVscene Automotive Forum - View Single Post

Hehe · 06-01-2012, 08:05 PM

If you are not looking to put some serious amount of time on maintaining the properties, I'd suggest just check out REIT instead of these company.

Because from its site, even though the system works like a REIT, you are on hook for the property. So, let's say if one day you want out, you are still very much dependent to the value of property, not to mention Canadian property market is more likely to be heading toward a correction. So, unless you plan to hold it for 30years+, I don't see why be on hook for the property.
REIT, on the other hand, has a much higher liquidity.

Also, they seem to be focus on apartment or other non detached properties. This is a big no-no in my book for long term holdings, because they will depreciate in value over time and there isn't much you can do about it.

06-01-2012, 08:05 PM	#2
Hehe OMGWTFBBQ is a common word I say everyday Join Date: Dec 2002 Location: YVR/TPE Posts: 5,245 Thanked 3,307 Times in 1,466 Posts Failed 685 Times in 223 Posts	If you are not looking to put some serious amount of time on maintaining the properties, I'd suggest just check out REIT instead of these company. Because from its site, even though the system works like a REIT, you are on hook for the property. So, let's say if one day you want out, you are still very much dependent to the value of property, not to mention Canadian property market is more likely to be heading toward a correction. So, unless you plan to hold it for 30years+, I don't see why be on hook for the property. REIT, on the other hand, has a much higher liquidity. Also, they seem to be focus on apartment or other non detached properties. This is a big no-no in my book for long term holdings, because they will depreciate in value over time and there isn't much you can do about it. __________________ Nothing for now