Category Archives for "Finance"

I usually don’t really like rent-to-own (R2O) models either from an investor’s POV (point of view) or from a client’s POV. From a client’s POV, it’s an expensive way to buy property; they have to pay all of the costs of the property including mortgage payments, property taxes, insurance (tenant and landlord insurance), all repairs/maintenance, […]

[The problem with low appraisals] I am frustrated that Canadian real estate entrepreneurs have so few options when it comes to financing their projects. My friend, Matt Slobodian from Canada ICI wrote this: The regulatory framework in Canada focuses on safety and soundness (it is federally regulated via OSFI, which implies higher standards) whereas the […]

I coach some fantastic entrepreneurs in the US, Canada and elsewhere. However, there is an experience common to entrepreneurs the world over except for the US. Their business ecosystem is different. I wrote to a Canadian woman I coach who runs a real estate portfolio focused on Airbnb and student rentals who is expanding her […]

(Excerpt from Don’t Back Down, the real story of the founding of the NHL’s Ottawa Senators and why big leagues matter) The most profitable businesses are either illegal (like drugs) or government-owned like property taxes, alcohol distribution (at least in Ontario and Quebec), utilities and lotteries (plus drugs, if you count legalization of cannabis in […]

This is the wrong questions to ask. Why? Because every entrepreneur knows how to pull endless rabbits out of his or her hat. So, what is the right question to ask? How do we turn a cost center into a profit center? This is what we did at Dunrobin Lake. We got permission from MNR […]

OK, you are a real estate investment whiz. Then see if you can answer this question about cap (capitalization) rates: THE QUESTION Let’s say you buy a duplex for $500,000 and it has a going-in NOI (net operating income) of $26,500 per year. That’s without any renos, new leases, or animations, ok? This is a […]

Think about it—Mr Buffett has been buying stock in well-managed, top brands for many decades. These stocks (for the most part) pay dividends, which Mr Buffett used to pay down debt he took on (through his principal investing vehicle, Berkshire Hathaway) to purchase these investments in the first place, which (again, for the most part) […]

If you missed it, here’s Sean McCormick, expert mortgage broker, and Bruce M Firestone, real estate investment and business coach, on CFRA 580’s Experts on Call along with host Dave Watts… “I listened to Bruce on Experts-on-Call. I really enjoyed it. It was awesome for real estate investors just starting out. I especially liked the […]

I read Jon Willing’s October 5th, 2019 well-reported article, Ban some from renting homes short term if they don’t live there, consultant recommends (https://ottawacitizen.com/news/local-news/ban-some-people-from-short-term-home-rentals-if-they-dont-live-there-consultant-recommends). I believe the Maclaren Report is flawed, so I wrote the following to the city of Ottawa’s policy people: Dear city of Ottawa, My spouse and I own a home in […]

Try answering this question. The list price for a duplex at 1234 Any street, Anytown is $575,000 and its NOI (net operating income) is estimated at $30,150 pa (per annum) based on its existing leases and revenue streams. You expect to incur some additional closing costs including land transfer tax estimate ($7,975), legal fees on […]

So, you think you know something about modern-era business models? Well, test yourself by examining what chief executive officer Michael Lastoria has done with his fledgling chain of tiny (300-square foot) &Pizza restaurants, which now number 36 locations on the US east coast. Here’s his secret sauce in which he invokes crucial elements of the […]

[Negative Cost Labor (And Low-Cost Finance)] Sometimes, you can turn a cost into a negative cost. A former architecture student of mine, Dominique Tonetti and her husband, Frank Dutton, are managing to do that on their new project, Solisterra in Québec. Dominique and Frank are building wonderful straw bale structures on a 150-acre property they […]