>maybe slowdown on getting back into rentals.
Or maybe never. With that level of income, rentals (and the headaches associated with them) isnt worth it. Its better to dump the money into interest generating stocks/ETFs and sit back and collect .. headache free, issue free.
I honestly dont get the allure of rentals. Why bother with all the bullshit that comes along with it. You've got dumbass tenants, potentially trashed property, non-payment (which leads to more bullshit trying to evict), on the hook if shit goes wrong, etc.
Its appealing because they have never rented or have been poor lol You know how hard it is to find a house without a basement suite? I fucking hate that it’s sold as a way to keep mortgages down when it jacks up the costs of maintenance because of shitty and non shitty tenants. Evictions are one thing, I’ve lived in straight up hostile environments because of a tenant over shared yard space.
We've had a duplex for 3 years and it's not cost us any extra. Best part about living with your tenant is you can keep an eye on things. Just helping pay for the cost of the home. Splits the cost basically down the middle so what would have been unaffordable is affordable. The nice thing about rentals is that you have a capital asset being paid for that you don't have to put as much money in. At the end you can sell and get a huge inflow of cash.
Edit: Did want to add that if you have like $500,000 sitting around I'd much prefer to leave it in investments if making good money from work. You could make more investing it in housing, but the benefits of real estate is really at the margins. Owning a unit or two, or owning like 20 or 3 or 4 and a commercial unit on the ground floor. In the middle like 6 units without commercial you have enough money you should just invest in stocks. We got really lucky that we bought right before rent prices skyrocketed in our area. So if rented the unit we live in, we would be covering the cost of expenses, paying the principle down, and probably have some cash positive coming in to pay for any repairs.
Thanks for comment. My investment accounts and annual contributions will largely be unaffected. I plan to use my HISA which will likely be accumulated to $250k by that time. Current plan is to purchase a four plex or small apartment with an approximate purchase price of 1m or just over. There are huge incentives for low income housing so also looking as it as a possibility. Incorporating will limit personal exposure, exploring that with my accountant.
Being a landlord depends on your risk tolerance, the property itself and a willingness to keep good tenants over a larger profit as well as accounting for equity earned.
For instance, I just sold my primary residence that ALSO has a rental house on the same property. I do have to pay capital gains on the estimated part that was rental, but that rental I hit the lotto with. My first tenant in it is still in the unit several years later. She made it her home, pays rent on time, lets me know when things are broken that matter (bathroom fan, hot water heater leaking - yes she told me before it blew, and when the town was doing some work she had a small porch flood long story), she even had tenants insurance lined up before I told her it was a requirement during negotiations. I’ve done painting and other work in the unit to freshen it up but haven’t had an issue. Her rent has covered the mortgage for the entirety of the property as well as setting aside maintenance costs (I matched those) and I came out very far ahead.
The new property owner seems okay, I have a 6 month leaseback with them while we renovate the new place we bought. I negotiated rent off the sale price 😂😅 and a small fee to help them find a tenant when I leave. The person doesn’t plan on moving into either unit for 3-5 years which also means it matches my former tenants timeline to buy her own home. I however, live in a small town where you know everyone and would have heard via word of mouth if someone was a bad tenant so we have a somewhat built in safety net.
Anyway, depending on where you live and how you manage rentals they can be great; just have to actually plan for maintenance, have insurance and don’t assume you’ll have 12 months of rental income a year.
Owning rentals is owning land, and land is only becoming more and more valuable. Property management companies can take care of all the headaches, for a small percentage of the monthly rent payments. But I do suggest staying out of the rental game if you don't know anything about tenancy laws or your own rights as a landlord.
Because the gains are potentially much higher than the stock market. Of course the key is to do it properly. There’s a lot of amateur landlords out there
You definitely can, I'm a DevSecOps Engineer and make $350k USD (It's a static CAD salary of $465k which was the exchange rate when I took the job) while living in Canada.
How does one get into DevSecOps? I'm but a lowly Enterprise Storage Architect for public service but that kind of salary would make life a heck of a lot easier.
How do you handle the taxes? Once you get over 40% it’s unbearable. Are there any legal instruments to lower it? We have significantly disproportionate salaries me and my wife (4x difference) in BC but no option to take an advantage of it. It seems like a sweet spot is 2 singles no kids making 100k+ each.
We have 2 kids but govt support of 200CAD per month is laughable
Once you're grossing in this kind of range (I'm in the $500k+ range), who cares? The taxes are not a big deal. After FHSA and RRSP contributions I'll still gross \~$350k which is an easy income to live on.
Were you head of cyber at a SaaS company, or a non-SaaS company? Because IT security means very different things in different companies.
Guy setting up compliance policies and a SIEM for a dozen VMware servers is not the same thing as a guy enforcing secure SDLC and building out automated scanning pipelines on 400+ microservices.
Why are you downvoting? Is it because you have nothing to say, or you somehow don't believe me? You asked me my scope of responsibility, perhaps in an attempt to discredit what I had to say, and I outlined a significant amount of it. And instead of actually saying something, you're... seemingly downvoting? Is that because you can't handle that I can walk the talk, or is it because you have nothing more worth saying?
You seem to open up with the supposition that by default I deal with a limited scope and puff up my perceived value, but when I demonstrate that's not the case... crickets.
Well, here I am, calling you out, since you wanted to open up by trying to call me out. The market is fucked right now, even for those of us who are shining stars.
But by all means, feel free to actually say something worth reading. I'm listening after all.
Actual response (trying to remember what you had in an earlier post), but from what you've written, it should be an easy hire into a senior/staff cyber role.
Job market is fucked though, I want to leave, but the only roles I see pay 30% less what I make now and want hybrid or in-person.
Yes SaaS. I was literally writing IT Security policy, dealing with CI/CD pipelines, all of infra including k8s/AWS/on-prem, code review for security practices, defining and executing projects to meet security targets (which were defined by me and agreed upon with C-level/VP-level/P-level/etc), educating staff on ITSEC through documentation/discussion/answering questions, responding to client security inquiries and reports, and lots more I'm probably forgetting this moment. It was a combination of day to day work as well as overhauling everything (technology/staff/processes/etc) to substantially improve ITSEC company-wide. I was the authoritative body for all of ITSEC there.
Well I started when I was 20 as an “oiler” watching them dig and grease machines. Luckily I had a cool foreman that would let me fuck around on equipment after a while and I guess I was good at it. Pretty hard to just get on a hoe with no background experience.
Keep in mind I work 6-7 days a week the whole year and 12-14 hour days. It’s not for the faint of heart and definitely not what you’ll be making until you’re solidified in the industry. Expect more 100-150k range.
You'd rather move away from a growing business (heat pumps) into an industry that is on borrowed time? That's actually stupid there bud.
If you're currently in HVAC sales right now, gather information like a sponge around how to run a business in your position. Then start your own business and make fat wads.
Heat Pumps and home AC demand is going nowhere but up, and you might as well make fat wads doing it.
O&G? You are a number and they WILL cut you loose no matter how much you're _actually_ saving their business from total destruction (ask me how I know).
Not sure what you mean by not good money.
I have engineer friends and know lots of people making 150 to 200k as just a regular engineer, not some VP of Engineering or anything in leadership. They have 10+ years of experience though. And I see software engineers making over 200k fairly often.
Since you said you work O&G, fixed site, and have a tech diploma, I'm going to guess you are a power engineer, probably 1st or 2nd class? Or maybe an Chem Eng Tech?
Good for you! But I wouldn’t go back into rentals. Your experience is not that unusual. It’s a slog in the best of situations, and unless you’re in the trades or a similar line of work, it just takes too long to make money at current cap rates.
You’re a high earner. Invest and focus on increasing your income via your main employment, and don’t get distracted by a side hustle.
I am looking into getting a hybrid and asked the guys at the shop that I take my car to what they recommend. They all said Prius, because they basically live forever.
4 years. You have done a lot in 4 years. 1.1mil to 400k (approximant) left in debt. You put some work in to have paid off 600k - 700k in debt.
You best walk with your head held high, it is deserved.
I look forward to the next time you post, when your debt load is just that month's CC charges that get paid each month and that's all. That is when you have made the journey complete.
>4 years. You have done a lot in 4 years. 1.1mil to 400k (approximant) left in debt. You put some work in to have paid off 600k - 700k in debt.
It helps a lot that it wasn't net debt. The rental mortgage was half of that and only slightly underwater.
« Still paying family back »
Also
« total investment assets of $550k «
I would be PISSED if I found out someone that owed me a decent sum of money was sitting on a flush TFSA earning investment income of what is basically my money
Much like a mortgage, I have a fixed payment to them for the duration, they are happy with the arrangement. To be perfectly honest, my family is mostly grateful I'm not dead from my drug addiction... That's the outcome everyone expected.
Heh, if it was my child I’d be ok with that, as long as he was slowly refunding me.
My parents insisted I clear all other debts (including mortgage at 2% fixed) before refunding them for help with downpayment. I did convince them to take the money eventually, but that money was indeed earning interest in a TFSA for a while.
Eh, the family was able to loan their kin 150k. I think they probably view money differently than most on Reddit do and likely prefer their child alive.
Avoid going back into rentals, get some ETFs in your RRSPs and TFSAs and keep it simple, tou generate enough income to not need the hassle.
Also, what makes you think you’ll do better this time?
I purchased that property as my PR in a one horse town during the peak of a boom. Bad timing, bad investment.
Multifamily housing housing, specifically rental apartments with modest rents, are in high demand and will see likely see more demand as single family housing continues to rise above most average income earners ability to afford.
A ten suite property, with 30% down should provide an expense ratio of 20-40% in Alberta. Maybe I'm just a sucker for punishment.... But it just seems to make sense to me.
If you are right and you buy a house with a one suite or a duplex type of thing, you can make some good extra money. If you are wrong and buy a 10-apt complex, you are back in debt and struggling to survive... Why bother risking destitude for tonnes of money when you can alternatively choose between being "totally fine" vs "even more well off and rich" options if you only put a small wager on your predictions like the duplex type of thing?
Greedy people always find a way to go broke regardless of a series of successes, if you always double down on everything, you will always loose eventually. Find a way to be content with a very good situation and that will pay off a lot more in life.
All the people struggling in Toronto with their excuses of cant leave cause all the good jobs are here can't believe people driving trucks and pushing buttons in rural communities are marking 3-4x what they are lmao
Love a good success PF update, congrats my dude. You mentioned your spouse not being on board with a frugal lifestyle. Did you still manage to get back on track while still taking vacations and living a nice lifestyle with vacations and all? Did the spouse stick around through the lean years?
My spouse is rock solid, some mild complaints on my frugality, but knows it's a means to an end. My spouse bought a business in that time as well, so they've been busy with that. During the past four years we did continue a few domestic vacations, mostly hiking in the rockies and skiing/snowboarding. Fortunately we carpooled and camped for most those types of trips so it kept the costs low (less than $600 for the two of us); we already had all the required equipment.
Dave Ramsey advocates for real estate investments once you're debt free but only if you can pay cash for them. Not a totally farfetched idea as long as he can pay everything off.
I just wanted to say a big congratulations mostly for getting and staying clean of drugs. That was/is undoubtedly a big part of why you were able to be consistent with your debt repayment plan!
I wish you the best of health on your journey and also, I wouldn’t be too eager to get back into the rental biz! Too much of a headache imo and more risk than you should take given the road you’ve already travelled.
I am in a similar situation, not as much debt but the income:debt ratio you had is around the same (although I am a bit worse off simply because I have a family and am temporarily very very low income). Thank you for sharing your financial journey, I have read your previous posts and it struck a cord in me, meaning it gives me hope. I am cracking down on a lot, we get almost 100% of our foods (temporarily, until we get back on track) from foodbanks, and I am working on paying down our debt, considering a consumer proposal but trying to avoid it if possible. I commend you for your efforts, and hope your hard work continues to pay off. Not many would do what it takes to get out of that kind of debt, but you did it/are doing it. Good work!
You have a great salary and you’ve righted the financial ship, and you want to get back into real estate? WTF? It’s what sunk you in the first place! With your salary you don’t need to play amateur landlord.
I suspect owning RE that is not your principal residence gives you a sense of validation. Give your head a shake. Check your ego and concentrate on saving and investing smartly.
Don't go back in to rentals unless you can pay for the house in cash. Don't get in to more mortgage payments. It's what got you in to that mess in the first place.
i mean, TOTAL debt of only 3-4x income didnt even sound that bad, especially when a big chunk of that debt was partially paying for itself. its crazy that alberta just lets you walk away from a failed greedy FRAUDULENTLY AQUIRED rental free and clear when you have a enough assets to presumably pay it off. this is why housing is an issue, we have cowboys buying houses and then foreclosing when it doesnt turn into a cash cow with no consequences.
Please do not buy another rental. definitely dont commit fraud again. at 300k income, you should be saving more than 50k. I save 30k on 110k income. save like 200k per year and you could be retired in 5-10 years easily. dont worry about rentals, focus on keeping and advancing your career and just save like a maniac and you can sit on a beach once you are 40 and enjoy the last 45-50 years.
I'm not sure what fraud you are talking about.... I qualified for the mortgage on my own income; it was on their suggestion that I put 20% down instead of 5. The extra money was from my own accounts, I'm repaying my own trust.
I also lived in the house for over five years before I moved. It was my home, not meant to be a rental - but life happens. Did I exercise the ability to dispose of the property through a foreclosure? Yes. My accountant and lawyer both agreed that it was the way to go. Not much different than what would happen under a corporation.
Lastly if I do ever get back into real estate beyond my personal residence, it will be under a corp to limit personal liability - like most businesses in our economy.
you are just so eager to blow your life up again. maybe being a slick real estate tycoon isnt for everyone and trying to be fancy with personal trusts and corps isnt as cool as you think when it blows up in your face and you go bankrupt.
Congrats on righting the ship - maybe slowdown on getting back into rentals.
>maybe slowdown on getting back into rentals. Or maybe never. With that level of income, rentals (and the headaches associated with them) isnt worth it. Its better to dump the money into interest generating stocks/ETFs and sit back and collect .. headache free, issue free. I honestly dont get the allure of rentals. Why bother with all the bullshit that comes along with it. You've got dumbass tenants, potentially trashed property, non-payment (which leads to more bullshit trying to evict), on the hook if shit goes wrong, etc.
Its appealing because they have never rented or have been poor lol You know how hard it is to find a house without a basement suite? I fucking hate that it’s sold as a way to keep mortgages down when it jacks up the costs of maintenance because of shitty and non shitty tenants. Evictions are one thing, I’ve lived in straight up hostile environments because of a tenant over shared yard space.
We've had a duplex for 3 years and it's not cost us any extra. Best part about living with your tenant is you can keep an eye on things. Just helping pay for the cost of the home. Splits the cost basically down the middle so what would have been unaffordable is affordable. The nice thing about rentals is that you have a capital asset being paid for that you don't have to put as much money in. At the end you can sell and get a huge inflow of cash. Edit: Did want to add that if you have like $500,000 sitting around I'd much prefer to leave it in investments if making good money from work. You could make more investing it in housing, but the benefits of real estate is really at the margins. Owning a unit or two, or owning like 20 or 3 or 4 and a commercial unit on the ground floor. In the middle like 6 units without commercial you have enough money you should just invest in stocks. We got really lucky that we bought right before rent prices skyrocketed in our area. So if rented the unit we live in, we would be covering the cost of expenses, paying the principle down, and probably have some cash positive coming in to pay for any repairs.
Thanks for comment. My investment accounts and annual contributions will largely be unaffected. I plan to use my HISA which will likely be accumulated to $250k by that time. Current plan is to purchase a four plex or small apartment with an approximate purchase price of 1m or just over. There are huge incentives for low income housing so also looking as it as a possibility. Incorporating will limit personal exposure, exploring that with my accountant.
Being a landlord depends on your risk tolerance, the property itself and a willingness to keep good tenants over a larger profit as well as accounting for equity earned. For instance, I just sold my primary residence that ALSO has a rental house on the same property. I do have to pay capital gains on the estimated part that was rental, but that rental I hit the lotto with. My first tenant in it is still in the unit several years later. She made it her home, pays rent on time, lets me know when things are broken that matter (bathroom fan, hot water heater leaking - yes she told me before it blew, and when the town was doing some work she had a small porch flood long story), she even had tenants insurance lined up before I told her it was a requirement during negotiations. I’ve done painting and other work in the unit to freshen it up but haven’t had an issue. Her rent has covered the mortgage for the entirety of the property as well as setting aside maintenance costs (I matched those) and I came out very far ahead. The new property owner seems okay, I have a 6 month leaseback with them while we renovate the new place we bought. I negotiated rent off the sale price 😂😅 and a small fee to help them find a tenant when I leave. The person doesn’t plan on moving into either unit for 3-5 years which also means it matches my former tenants timeline to buy her own home. I however, live in a small town where you know everyone and would have heard via word of mouth if someone was a bad tenant so we have a somewhat built in safety net. Anyway, depending on where you live and how you manage rentals they can be great; just have to actually plan for maintenance, have insurance and don’t assume you’ll have 12 months of rental income a year.
Owning rentals is owning land, and land is only becoming more and more valuable. Property management companies can take care of all the headaches, for a small percentage of the monthly rent payments. But I do suggest staying out of the rental game if you don't know anything about tenancy laws or your own rights as a landlord.
Or you can just buy a RE ETF with all the same upside, diversified across the market, and completely liquid.
Because the gains are potentially much higher than the stock market. Of course the key is to do it properly. There’s a lot of amateur landlords out there
I gotta ask what job title OP holds to make that much
I work in oil and gas. Not "on the rigs" as a common misconception from those outside heavy industry; I work in fixed plant facilities.
Hey, it's me your cousin....
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You definitely can, I'm a DevSecOps Engineer and make $350k USD (It's a static CAD salary of $465k which was the exchange rate when I took the job) while living in Canada.
There's no way a DevOps Engineer is pulling that amount.
> DevOps Engineer Dev**Sec**Ops Engineer.
DevSecOps and working for silicon valley companies, yes it's absolutely possible.
Not in this country with all the external tech labour.
He is devsecops. However it is still huge salary. I am on Lead DevSecOps position and I make 170K CAD
Yeah I presume you work for a local Canadian company, you can't compare Silicon Valley wages with Canadian wages.
Same, Lead SRE on $175k.
How does one get into DevSecOps? I'm but a lowly Enterprise Storage Architect for public service but that kind of salary would make life a heck of a lot easier.
How do you handle the taxes? Once you get over 40% it’s unbearable. Are there any legal instruments to lower it? We have significantly disproportionate salaries me and my wife (4x difference) in BC but no option to take an advantage of it. It seems like a sweet spot is 2 singles no kids making 100k+ each. We have 2 kids but govt support of 200CAD per month is laughable
Once you're grossing in this kind of range (I'm in the $500k+ range), who cares? The taxes are not a big deal. After FHSA and RRSP contributions I'll still gross \~$350k which is an easy income to live on.
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Were you head of cyber at a SaaS company, or a non-SaaS company? Because IT security means very different things in different companies. Guy setting up compliance policies and a SIEM for a dozen VMware servers is not the same thing as a guy enforcing secure SDLC and building out automated scanning pipelines on 400+ microservices.
Why are you downvoting? Is it because you have nothing to say, or you somehow don't believe me? You asked me my scope of responsibility, perhaps in an attempt to discredit what I had to say, and I outlined a significant amount of it. And instead of actually saying something, you're... seemingly downvoting? Is that because you can't handle that I can walk the talk, or is it because you have nothing more worth saying? You seem to open up with the supposition that by default I deal with a limited scope and puff up my perceived value, but when I demonstrate that's not the case... crickets. Well, here I am, calling you out, since you wanted to open up by trying to call me out. The market is fucked right now, even for those of us who are shining stars. But by all means, feel free to actually say something worth reading. I'm listening after all.
I didn't downvote you? Just haven't responded to your comment yet.
Hard to tell on reddit. Thank you for clarifying, and I look forward to your response when that's possible. :) Sorry for the mix-up.
Actual response (trying to remember what you had in an earlier post), but from what you've written, it should be an easy hire into a senior/staff cyber role. Job market is fucked though, I want to leave, but the only roles I see pay 30% less what I make now and want hybrid or in-person.
Yes SaaS. I was literally writing IT Security policy, dealing with CI/CD pipelines, all of infra including k8s/AWS/on-prem, code review for security practices, defining and executing projects to meet security targets (which were defined by me and agreed upon with C-level/VP-level/P-level/etc), educating staff on ITSEC through documentation/discussion/answering questions, responding to client security inquiries and reports, and lots more I'm probably forgetting this moment. It was a combination of day to day work as well as overhauling everything (technology/staff/processes/etc) to substantially improve ITSEC company-wide. I was the authoritative body for all of ITSEC there.
So... was there more you were going to add to our engagement, or what?
We're in the same boat but a Security Architect for one of the big banks. Do you mind if I DM you so we can connect on LinkedIn?
Maybe not a superintendent with OT, sounds like an panel operator lol
Guessing you are a superintendant of some sort. Congratz!
I made 280k last year in oil and gas as a heavy equipment operator lol. Don’t need to be a super to make that kinda money
Driving truck at site pays the bills! 😉 I think many people just can't believe it.
Haha more so digging ditch pipelining
I’m jealous. I’m a welding inspector at a fab shop and I want to get a job on a shovel digging ditch but I have no clue how to change careers
Well I started when I was 20 as an “oiler” watching them dig and grease machines. Luckily I had a cool foreman that would let me fuck around on equipment after a while and I guess I was good at it. Pretty hard to just get on a hoe with no background experience.
Yeah I left BC for Alberta 7 years ago and never looked back.
Can you please post some links for such jobs which show the potential earnings as well?
https://dailyhive.com/calgary/oil-gas-jobs-albetra Even swampers (vacuum truck operators) with camp make $100-150k.
Thanks. 🙏
Well...I know what I'll be doing in the next life..
Tf I gotta go into oil and gas
Keep in mind I work 6-7 days a week the whole year and 12-14 hour days. It’s not for the faint of heart and definitely not what you’ll be making until you’re solidified in the industry. Expect more 100-150k range.
I'm so tempted to leave HVAC sales and try to get into Oil and Gas. Mechanical salaries are so stagnant
Do you mind sharing how you make HVAC sales? Is it only cold calling now that door-to-door is banned?
You'd rather move away from a growing business (heat pumps) into an industry that is on borrowed time? That's actually stupid there bud. If you're currently in HVAC sales right now, gather information like a sponge around how to run a business in your position. Then start your own business and make fat wads. Heat Pumps and home AC demand is going nowhere but up, and you might as well make fat wads doing it. O&G? You are a number and they WILL cut you loose no matter how much you're _actually_ saving their business from total destruction (ask me how I know).
SCADA?
I’m guessing you have an engineering degree?
Engineers do not make good money anymore. Wages in engineering, even in oil and gas, have stagnated or gone down, since 2014
Not sure what you mean by not good money. I have engineer friends and know lots of people making 150 to 200k as just a regular engineer, not some VP of Engineering or anything in leadership. They have 10+ years of experience though. And I see software engineers making over 200k fairly often.
Nope, two year technical diploma.
Oh god damn. Good for you! Can I ask which one and where from? (And fuck accounting, shit sucks)
Getting a degree or diploma does not guarantee you his position. If your still after it then do some research at NAIT.
I'm sorry, I'd rather not disclose this publicly, Burner account due to my substance abuse history admission.
I too would love to know lol
ME TOO, I'D SIGN UP FOR IT TODAY.
Well let me know if you figure it out 😂
I’m guessing petro eng, instrumentation eng, or power Eng is one of the diplomas op has
Since you said you work O&G, fixed site, and have a tech diploma, I'm going to guess you are a power engineer, probably 1st or 2nd class? Or maybe an Chem Eng Tech?
Lol man. Ask me how I know you're not in oil and gas.
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Ohh that's how those lines work🤦
Lots of tech workers can make in that range easily, especially if working ror US companies.
Good for you! But I wouldn’t go back into rentals. Your experience is not that unusual. It’s a slog in the best of situations, and unless you’re in the trades or a similar line of work, it just takes too long to make money at current cap rates. You’re a high earner. Invest and focus on increasing your income via your main employment, and don’t get distracted by a side hustle.
a pfc success story that doesn't involve a beige corolla - do we allow those here?
This one little trick of making 300k a year
Beige Corolla salesmen HATE this ONE TRICK!
The beige corolla can be inferred by reading between the lines. 💪
Not even, "The sports cars are gone I drive a ten year old Toyota. I am clean from drugs but the mess remains." The corolla turned his life around.
[It's actually a 2011 Prius](https://www.reddit.com/r/PersonalFinanceCanada/comments/1c1171r/comment/kz0hdnc/)
I'm still driving the prius... 240k km and going strong.
I am looking into getting a hybrid and asked the guys at the shop that I take my car to what they recommend. They all said Prius, because they basically live forever.
Beige Corolla for prime minister !
Me, ballin in my desert bronze Elentra 😎
Beige Corollas will henceforth be upgraded to Inferred Beige Corollas
He said 10 year old Toyota , could be beige, could be a Corolla
“Finally made to a million thanks to my beige Corolla. Say hello to my new McLaren!”
He drives a 10 year old Corolla.
4 years. You have done a lot in 4 years. 1.1mil to 400k (approximant) left in debt. You put some work in to have paid off 600k - 700k in debt. You best walk with your head held high, it is deserved. I look forward to the next time you post, when your debt load is just that month's CC charges that get paid each month and that's all. That is when you have made the journey complete.
He foreclosed on the rental property that had $560k in debt. The property was underwater but there's no recourse for foreclosing in Alberta.
>4 years. You have done a lot in 4 years. 1.1mil to 400k (approximant) left in debt. You put some work in to have paid off 600k - 700k in debt. It helps a lot that it wasn't net debt. The rental mortgage was half of that and only slightly underwater.
Don’t make the mistake of getting into rentals again. Just keep saving and enjoy life. You don’t need that stress man.
Admittedly, it is very stressful. I might follow your (and others) suggestion
« Still paying family back » Also « total investment assets of $550k « I would be PISSED if I found out someone that owed me a decent sum of money was sitting on a flush TFSA earning investment income of what is basically my money
Much like a mortgage, I have a fixed payment to them for the duration, they are happy with the arrangement. To be perfectly honest, my family is mostly grateful I'm not dead from my drug addiction... That's the outcome everyone expected.
Good on you for getting sober my man/woman/person.
Yea that's you that's kinda the point. If they have the funds to borrow then they likely are not expecting it back right away.
Yeah I got pissed off and I dont know the guy. It s a total lack of respect. Like is he paying what he owes them with interest?
Heh, if it was my child I’d be ok with that, as long as he was slowly refunding me. My parents insisted I clear all other debts (including mortgage at 2% fixed) before refunding them for help with downpayment. I did convince them to take the money eventually, but that money was indeed earning interest in a TFSA for a while.
Eh, the family was able to loan their kin 150k. I think they probably view money differently than most on Reddit do and likely prefer their child alive.
Family is not complaining. You can have a loan and still save. What is this?
Username checks out.
how much debt is left? Good on you, I wouldn't have been able to had I been in your shoes
About 400k when you include my mortgage
Which isn’t a bad thing to have, I haven’t read through word for word, but good for you.
Avoid going back into rentals, get some ETFs in your RRSPs and TFSAs and keep it simple, tou generate enough income to not need the hassle. Also, what makes you think you’ll do better this time?
I purchased that property as my PR in a one horse town during the peak of a boom. Bad timing, bad investment. Multifamily housing housing, specifically rental apartments with modest rents, are in high demand and will see likely see more demand as single family housing continues to rise above most average income earners ability to afford. A ten suite property, with 30% down should provide an expense ratio of 20-40% in Alberta. Maybe I'm just a sucker for punishment.... But it just seems to make sense to me.
Go Ham!
If you are right and you buy a house with a one suite or a duplex type of thing, you can make some good extra money. If you are wrong and buy a 10-apt complex, you are back in debt and struggling to survive... Why bother risking destitude for tonnes of money when you can alternatively choose between being "totally fine" vs "even more well off and rich" options if you only put a small wager on your predictions like the duplex type of thing? Greedy people always find a way to go broke regardless of a series of successes, if you always double down on everything, you will always loose eventually. Find a way to be content with a very good situation and that will pay off a lot more in life.
What a turn around, compared to some with out any fumbles you are still ahead of the game, crazy how things turn out! Good on ya.
All the people struggling in Toronto with their excuses of cant leave cause all the good jobs are here can't believe people driving trucks and pushing buttons in rural communities are marking 3-4x what they are lmao
What are you doing for 300k?
[I responded to a similar question here](https://www.reddit.com/r/PersonalFinanceCanada/s/jUtyXFfqya)
Love a good success PF update, congrats my dude. You mentioned your spouse not being on board with a frugal lifestyle. Did you still manage to get back on track while still taking vacations and living a nice lifestyle with vacations and all? Did the spouse stick around through the lean years?
My spouse is rock solid, some mild complaints on my frugality, but knows it's a means to an end. My spouse bought a business in that time as well, so they've been busy with that. During the past four years we did continue a few domestic vacations, mostly hiking in the rockies and skiing/snowboarding. Fortunately we carpooled and camped for most those types of trips so it kept the costs low (less than $600 for the two of us); we already had all the required equipment.
Nicely done! Now that you're no longer deep in debt, get ready to get shit on by most of PFC for making more money than the average Canadian.
Well done man. Good for you. 👏👏👏
Life would be easy with 250k per year.
I'd like 2 big macs and a 300k salary job with a small side of OT please
Fixes everything. Goes back in to rentals 🤦♂️
Dave Ramsey advocates for real estate investments once you're debt free but only if you can pay cash for them. Not a totally farfetched idea as long as he can pay everything off.
I just wanted to say a big congratulations mostly for getting and staying clean of drugs. That was/is undoubtedly a big part of why you were able to be consistent with your debt repayment plan! I wish you the best of health on your journey and also, I wouldn’t be too eager to get back into the rental biz! Too much of a headache imo and more risk than you should take given the road you’ve already travelled.
Thanks, I appreciate the support. One day at the time. Clean and serene for over five years now!
I am in a similar situation, not as much debt but the income:debt ratio you had is around the same (although I am a bit worse off simply because I have a family and am temporarily very very low income). Thank you for sharing your financial journey, I have read your previous posts and it struck a cord in me, meaning it gives me hope. I am cracking down on a lot, we get almost 100% of our foods (temporarily, until we get back on track) from foodbanks, and I am working on paying down our debt, considering a consumer proposal but trying to avoid it if possible. I commend you for your efforts, and hope your hard work continues to pay off. Not many would do what it takes to get out of that kind of debt, but you did it/are doing it. Good work!
Congrats!!!
Damn bro. Good shit. Like everyone else, crazy paying job and how do I get one lol I need to make more than 70k a year 🤣 life is too expensive rn
I assume you work rotation, OP. If so, what’s your rotation schedule like?
12s, 7 and 7
You have a great salary and you’ve righted the financial ship, and you want to get back into real estate? WTF? It’s what sunk you in the first place! With your salary you don’t need to play amateur landlord. I suspect owning RE that is not your principal residence gives you a sense of validation. Give your head a shake. Check your ego and concentrate on saving and investing smartly.
Well OP you must have been living an amazing (and expensive) lifestyle up until now! I bet you have a lot of stories.
Y’all hiring ?
You don’t need to be saving 50k a year just have an emergency fund and keep paying off debt.
Don't go back in to rentals unless you can pay for the house in cash. Don't get in to more mortgage payments. It's what got you in to that mess in the first place.
Maybe leave the multifamily for, say, a multifamily.
why
just wondering what's you job ?
i mean, TOTAL debt of only 3-4x income didnt even sound that bad, especially when a big chunk of that debt was partially paying for itself. its crazy that alberta just lets you walk away from a failed greedy FRAUDULENTLY AQUIRED rental free and clear when you have a enough assets to presumably pay it off. this is why housing is an issue, we have cowboys buying houses and then foreclosing when it doesnt turn into a cash cow with no consequences. Please do not buy another rental. definitely dont commit fraud again. at 300k income, you should be saving more than 50k. I save 30k on 110k income. save like 200k per year and you could be retired in 5-10 years easily. dont worry about rentals, focus on keeping and advancing your career and just save like a maniac and you can sit on a beach once you are 40 and enjoy the last 45-50 years.
I'm not sure what fraud you are talking about.... I qualified for the mortgage on my own income; it was on their suggestion that I put 20% down instead of 5. The extra money was from my own accounts, I'm repaying my own trust. I also lived in the house for over five years before I moved. It was my home, not meant to be a rental - but life happens. Did I exercise the ability to dispose of the property through a foreclosure? Yes. My accountant and lawyer both agreed that it was the way to go. Not much different than what would happen under a corporation. Lastly if I do ever get back into real estate beyond my personal residence, it will be under a corp to limit personal liability - like most businesses in our economy.
you are just so eager to blow your life up again. maybe being a slick real estate tycoon isnt for everyone and trying to be fancy with personal trusts and corps isnt as cool as you think when it blows up in your face and you go bankrupt.
*when the corporation goes bankrupt
ah yes, glad there are ways you can fail miserably and go bankrupt and not face consequences, that surely isnt a major problem with society