Why Invest In Real Estate?
When done correctly, real estate is one of the most predictive and profitable investments you can find. Real estate investing offers many advantages, including a steady income flow that will help lead you to financial freedom.
Monthly Cash Flow: Positive cash flow from units provides investors with guaranteed returns each month above and beyond the property monthly expenses. Properties that are profiting each month are a sign of a healthy investment and a great rental opportunity. Rentals (when purchased properly) can produce thousands of dollars yearly in cash flow.
Principal Paydown: While each property is earning you monthly income above and beyond expenses, your largest expense (your mortgage) is being paid off by renters. Revenue from rental income pays down the debt on the property, which in turn builds equity for investors. Depending on the investment, 30-50% of your monthly mortgage payment will go directly towards the balance of the mortgage.
Property Appreciation: Property owners can see large returns in thriving markets. While earning monthly cash flow and having the mortgage paid off, your property is increasing in value. Ontario markets have seen an average annual increase of 3%/year in property value since the 1980s which in turn sees the asset increase by roughly 15-20% over a 5 year investment. So far in 2019 we’ve seen an increase of over 7%!
Why Invest With Us?
When you invest, you are looking to add to your principal and grow your money with time. While stocks, mutual funds and other financial vehicles can get the returns you are looking for – they also put your principal in jeopardy. For many, that can mean your hard-earned money and future retirement could be at risk. Is that a gamble you’re willing to take?
Pristine Equity takes a different approach. By investing and building quality Canadian Real Estate, we protect your principal and add to it through 3 main streams: tenants paying the principal down, the appreciation of the property, and positive monthly cash flow. These regular but modest additions allow your principal to steadily grow while being secured by a safe asset, giving you peace of mind and allowing you to continue to build towards your future. We believe there are 3 key benefits to investing with us!
We create the deals: We find properties in desirable locations. We build/renovate the properties to be purpose built rental units designed to earn top dollar. We offer them to investors at industry leading rates. We create long-term sustainability through brand new modern units with no wear and tear.
We manage the deals: You invest your money while we manage the deals from corporate structure, through financing, finding tenants, turnover of the units, property upkeep, rent collection, accounting, and the sale of the property. Your money works passively for you without any of the headache of managing a property.
We win you the deals: We expect a minimum 50% return on investment in 5 years (for each investor) through monthly cashflow, principal paydown, and property appreciation. We sell the units at top dollar with low closing fees to ensure each investor is making their desired outcome.
What if there is a downturn in the economy?
We always act in the investors best interests, because we too are investors!
We won’t ever want to sell in a down market. The goal would be to continue to pay the preferred return minimum (10% a year, accumulated until the end of the investment term) and hold on until the market is healthier to achieve a better price at sale.