Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
DAVID GONCALVES
Founding Partner & Mortgage Agent
FINANCING SCENARIOS
Simple Scenario
GOALS
• Buy a Primary (First Time Buyer)
• Focus on investing in the future
• 2 – 3 plex in little Italy
•...
EMPLOYMENT
• Applicant
• Salaried/Hourly
• 4 Years
• $100,000
LIQUID ASSETS
• $200,000 - $220,000 Investment
portfolio
• C...
LIABILITIES
• No liabilities
SUMMARY
• $120,000 Average Family Income
• $210,000 Net Worth
PERSONAL SERVICEABILITY
• $540,...
PLAN FOR SIMPLE SCENARIO
• Purchase Primary
• Consider a house with 2 units
• Can use 100% rental income for FTB
• $1,500 ...
PRE-POSITIONING
• $900,000 Purchase Price
• $120,000 Down Payment
• $780,000 Mortgage @ 2.90% Variable, 25 years
• $3,658 ...
IMPORTANT FOR FUTURE INVESTING
1. Focus on lowest rate possible (Build Equity, over 5 years)
2. Use lenders that allow LOC...
Intermediate Scenario
GOALS
1. Keep Investing in Buy and Hold
2. Maybe buy, renovate and flip
3. Replace professional inco...
Intermediate Scenario
EMPLOYMENT
• Salaried/Hourly
• 10 Years
• $150,000 - $200,000
LIQUID ASSETS
• $400,000 - $600,000 In...
Intermediate Scenario
PRIMARY RESIDENCE
• $600,000 Property Value
• $300,000 Mortgage @ Monoline Lender
• No secured LOC
•...
RENTAL #1, 400 Square Foot Studio
• $500,000 Property Value
• $250,000 Mortgage @ RBC
• No secured LOC
• $990 Mortgage Pay...
RENTAL #2, 350 Square Foot Studio
• $400,000 Property Value
• $270,000 Mortgage @ CIBC
• $0 - LOC Limit $8,000
• $1,020 Mo...
RENTAL #3, 350 Square Foot Studio
• $400,000 Property Value
• $250,000 Mortgage @ CIBC
• No secured LOC
• $1,020 Mortgage ...
LIABILITIES
• $930 Car lease Payment
• $80,000 Balance $210,000 secured LOC (Investments)
• $75,000 Balance $75,000 LOC Li...
PERSONAL SERVICEABILITY
• $765,000 Max Mortgage to income ($170,000 x 4.5 times)
• -$200,000 Reduction in financing power ...
PLAN FOR INTERMEDIATE SCENARIO
• $120,000 Refinance Primary
• $150,000 Refinance Rental #1
• $50,000 Refinance Rental #2
•...
PRE-POSITIONING
• $175,000 Down Payment
• 20% down Minimum
• 1.10 DCR
• $750,000 - $875,000 Purchase Range
Advanced Scenario
GOALS
1. Keep Investing in Flips and Holds
2. Close house August 20th, 2019
Advanced Scenario
EMPLOYMENT
• Verified personal income
• $100,000 - $150,000
• Corporate income over $200,000 from Flippi...
Advanced Scenario
PRIMARY RESIDENCE
• $2,000,000 Property Value
• $900,000 Mortgage @ National Bank
• No secured LOC
• $3,...
RENTAL #1, 3511 – 386 Yonge Street
• $650,000 Property Value
• $295,000 Mortgage @ CIBC
• No secured LOC
• $1,202 Mortgage...
RENTAL #2, 16 Applegate
• $850,000 Property Value
• $630,000 Mortgage @ Home Trust
• No Secured LOC
• $3,740 Mortgage Paym...
RENTAL #3, 43 Kantium
• $550,000 Property Value
• $385,000 Mortgage @ Home Trust
• No secured LOC
• $2,258 Mortgage Paymen...
RENTAL #4, 2446 Bromus
• $508,000 Property Value
• $0 Mortgage
• No secured LOC
• $0 Mortgage Payment Monthly
• $409 Taxes...
LIABILITIES
• No liabilities
SUMMARY
• $350,000 Average Income
• $2,448,000 Net Worth
PERSONAL SERVICEABILITY
• $1,400,000...
“GARRISON POINT” Closing 2020 - Deposit of $50,000
• $550,000 Property Value
• $465,000 Purchase Price
• $116,250 Down Pay...
“BLUFFS” Closing 2021 - Deposit of $60,000
• $520,000 Property Value
• $405,000 Purchase Price
• $101,250 Down Payment 25%...
“SOCIAL CONDO” Closing 2022 - Deposit of $90,000
• $700,000 Property Value
• $628,000 Purchase Price
• $157,000 Down Payme...
“ARTWORKS” Closing 2023 - Deposit of $25,000
• $500,000 Property Value
• $491,000 Purchase Price
• $125,000 Down Payment 2...
PLAN FOR ADVANCED SCENARIO
• CLOSE: “Garrison Point” @ Home Trust; Refinance in 12 months
• SWITCH: Rental #2 - 16 Applega...
Upcoming SlideShare
Loading in …5
×

Volition meetup 2019.02 - Slides from Mortgage Broker

681 views

Published on

** SOLVE YOUR MORTGAGE PROBLEMS IN REAL TIME!! **

This is an ADVANCED-LEVEL MORTGAGE PLANNING session. This doesn't mean you have to be at an advanced-level and/or expert in order for this to be applicable to you, this just means that the LEVEL OF SOPHISTICATION that we will be bringing is top-notch.

Financing is the SINGLE BIGGEST CHALLENGE facing real estate investors. There are only two types of real estate investors out there: ones who HAVE run out of money, and those who WILL run out of money. It’s no wonder when we polled our members, a session on mortgage planning was their #1 pick.

We strive to solve problems, so we’re bringing in a titan in the industry, David Goncalves to analyze your financing in REAL TIME. David Goncalves (award-winning Mortgage Broker who specializes in real estate investors) has funded over $1.5 BILLION in mortgages. David is MASTER at finding untapped opportunities within your real estate portfolio. Imagine being able to capitalize on higher returns and reach financial freedom even faster thru restructuring your real estate portfolio and mortgage portfolio?! David can make this a reality for you. David usually packs full auditoriums of people when he speaks at events across the country, so COME AND TAKE ADVANTAGE OF THIS INCREDIBLE OPPORTUNITY!!

FOR THREE LUCKY PEOPLE, DAVID WILL ANALYZE THEIR SCENARIOS - BUT THERE IS ONLY ONE WAY TO SIGN UP!

GIVE US YOUR PROBLEMS!! If you’re a first time buyer, we want you; if you have a bunch of properties, we want you too; heck if you’ve got multiple corporations, self-employed, have to consider estate planning, give us your toughest scenario, we want you too!

This won’t be one of those sessions where there are a bunch of “ifs” “maybes” “I need to see documents”, FOR THOSE WHO VOLUNTEER AHEAD OF THE SESSION, we will ensure that we get all the right documentation and numbers ahead of time, so that you’re essentially getting a custom planning session from David! THIS IS A FIRST COME, FIRST SERVE BASIS, so please reach out ASAP!


Volition Properties

Volition Properties is an award-winning Toronto boutique real estate investment firm that provides advisory and turnkey real estate investment services. Its mandate is to help real estate investors sustainably invest to build wealth in the Toronto real estate market by investing in low-risk, freehold, cash-flowing income properties over longer-term real estate cycles.

[Volition (vō-ˈli-shən): The power to make your own choices or decisions; free will. Living life by design, not by default.]

Contact us today for any questions about investing in real estate in Toronto! ming@vo

Published in: Real Estate
  • Be the first to comment

  • Be the first to like this

Volition meetup 2019.02 - Slides from Mortgage Broker

  1. 1. DAVID GONCALVES Founding Partner & Mortgage Agent FINANCING SCENARIOS
  2. 2. Simple Scenario GOALS • Buy a Primary (First Time Buyer) • Focus on investing in the future • 2 – 3 plex in little Italy • Keep investing long term
  3. 3. EMPLOYMENT • Applicant • Salaried/Hourly • 4 Years • $100,000 LIQUID ASSETS • $200,000 - $220,000 Investment portfolio • Co-Applicant • Self Employed • 15 years • $25,000 (on personal tax returns)
  4. 4. LIABILITIES • No liabilities SUMMARY • $120,000 Average Family Income • $210,000 Net Worth PERSONAL SERVICEABILITY • $540,000 Max Mortgage to income ($120,000 x 4.5 times) • $200,000 Down Payment • $740,000 Max Purchase Power
  5. 5. PLAN FOR SIMPLE SCENARIO • Purchase Primary • Consider a house with 2 units • Can use 100% rental income for FTB • $1,500 rent = $240,000 More Mortgage • $540,000 Max Mortgage on income • $240,000 Max mortgage on $1,500 rental income • $780,000 New Mortgage Maximum
  6. 6. PRE-POSITIONING • $900,000 Purchase Price • $120,000 Down Payment • $780,000 Mortgage @ 2.90% Variable, 25 years • $3,658 Monthly • $450 Monthly Taxes • $4,108 Monthly mortgage and taxes • - $1,5000 Rent • $2,608 Net cost
  7. 7. IMPORTANT FOR FUTURE INVESTING 1. Focus on lowest rate possible (Build Equity, over 5 years) 2. Use lenders that allow LOC to be added in the future • Access future equity without penalty
  8. 8. Intermediate Scenario GOALS 1. Keep Investing in Buy and Hold 2. Maybe buy, renovate and flip 3. Replace professional income with rental income
  9. 9. Intermediate Scenario EMPLOYMENT • Salaried/Hourly • 10 Years • $150,000 - $200,000 LIQUID ASSETS • $400,000 - $600,000 Investment portfolio
  10. 10. Intermediate Scenario PRIMARY RESIDENCE • $600,000 Property Value • $300,000 Mortgage @ Monoline Lender • No secured LOC • $1,700 Mortgage Payment Monthly • $180 Taxes Monthly • $400 Condo Fees Monthly • $300,000 Gross Equity • $120,000 Accessible Equity (80% value less mortgage and LOC)
  11. 11. RENTAL #1, 400 Square Foot Studio • $500,000 Property Value • $250,000 Mortgage @ RBC • No secured LOC • $990 Mortgage Payment Monthly • $160 Taxes Monthly • $275 Condo Fees Monthly • $1,425 Expenses • $1,780 Rent Monthly • $355 Positive Cash Flow • 1.25 DCR (Rental Income/Expenses) • $250,000 Gross Equity • $150,000 Accessible Equity (80% value less mortgage and LOC)
  12. 12. RENTAL #2, 350 Square Foot Studio • $400,000 Property Value • $270,000 Mortgage @ CIBC • $0 - LOC Limit $8,000 • $1,020 Mortgage Payment Monthly • $120 Taxes Monthly • $150 Condo Fees Monthly • $1,290 Expenses • $1,400 Rent Monthly • $110 Positive Cash Flow • 1.085 DCR (Rental Income/Expenses) • $130,000 Gross Equity • $50,000 Accessible Equity (80% value less mortgage and LOC) 
  13. 13. RENTAL #3, 350 Square Foot Studio • $400,000 Property Value • $250,000 Mortgage @ CIBC • No secured LOC • $1,020 Mortgage Payment Monthly • $120 Taxes Monthly • $150 Condo Fees Monthly • $1,290 Expenses • $1,450 Rent Monthly • $80 Positive Cash Flow • 1.12 DCR (Rental Income/Expenses) • $150,000 Gross Equity • $70,000 Accessible Equity (80% value less mortgage and LOC) •
  14. 14. LIABILITIES • $930 Car lease Payment • $80,000 Balance $210,000 secured LOC (Investments) • $75,000 Balance $75,000 LOC Limit • $50,000 Balance $0 LOC Limit SUMMARY • $170,000 Average Income • $1,200,000 Net Worth
  15. 15. PERSONAL SERVICEABILITY • $765,000 Max Mortgage to income ($170,000 x 4.5 times) • -$200,000 Reduction in financing power because of $930 Car Lease • -$900,000 Reduction in financing power because of unsecured LOC Balance • TD, MERIX, First National Use LIMIT not Balance, Desjardins 3 last 3 moths average balance • -$210,000 Reduction in financing power because of Secured LOC Balance • -$545,000 Financing Purchase Power
  16. 16. PLAN FOR INTERMEDIATE SCENARIO • $120,000 Refinance Primary • $150,000 Refinance Rental #1 • $50,000 Refinance Rental #2 • $70,000 Refinance Rental #3 • $390,000 Available Funds • $205,000 pay off unsecured LOC • $185,000 Available credit for next investment • $765,000 Max Mortgage to income ($170,000 x 4.5 times) • -$200,000 Reduction in financing power because of $930 Car Lease • -$390,000 Reduction in financing power because of Secured LOC Balance • $175,000 Financing Purchase Power
  17. 17. PRE-POSITIONING • $175,000 Down Payment • 20% down Minimum • 1.10 DCR • $750,000 - $875,000 Purchase Range
  18. 18. Advanced Scenario GOALS 1. Keep Investing in Flips and Holds 2. Close house August 20th, 2019
  19. 19. Advanced Scenario EMPLOYMENT • Verified personal income • $100,000 - $150,000 • Corporate income over $200,000 from Flipping Houses LIQUID ASSETS • $50,000 Cash Corporate • $50,000 Cash Personal
  20. 20. Advanced Scenario PRIMARY RESIDENCE • $2,000,000 Property Value • $900,000 Mortgage @ National Bank • No secured LOC • $3,900 Mortgage Payment Monthly • $670 Taxes Monthly • $1,100,000 Gross Equity • $700,000 Accessible Equity (80% value less mortgage and LOC)
  21. 21. RENTAL #1, 3511 – 386 Yonge Street • $650,000 Property Value • $295,000 Mortgage @ CIBC • No secured LOC • $1,202 Mortgage Payment Monthly • $227 Taxes Monthly • $417 Condo Fees Monthly • $1,846 Expenses • $2,630 Rent Monthly • $784 Positive Cash Flow • 1.42 DCR (Rental Income/Expenses) • $355,000 Gross Equity • $225,000 Accessible Equity (80% value less mortgage and LOC)
  22. 22. RENTAL #2, 16 Applegate • $850,000 Property Value • $630,000 Mortgage @ Home Trust • No Secured LOC • $3,740 Mortgage Payment Monthly • $150 Taxes Monthly • $3,890 Expenses • $2,000 Rent Monthly • -$1,890 Negative Cash Flow • -0.51 DCR (Rental Income/Expenses) • $220,000 Gross Equity • $50,000 Accessible Equity (80% value less mortgage and LOC)
  23. 23. RENTAL #3, 43 Kantium • $550,000 Property Value • $385,000 Mortgage @ Home Trust • No secured LOC • $2,258 Mortgage Payment Monthly • $179 Taxes Monthly • $2,437 Expenses • $1,900 Rent Monthly • -$537 Negative Cash Flow • -0.78 DCR (Rental Income/Expenses) • $165,000 Gross Equity • $55,000 Accessible Equity (80% value less mortgage and LOC)
  24. 24. RENTAL #4, 2446 Bromus • $508,000 Property Value • $0 Mortgage • No secured LOC • $0 Mortgage Payment Monthly • $409 Taxes Monthly • $409 Expenses • $3,300 Rent Monthly • $2,891 Positive Cash Flow • 8.07 DCR (Rental Income/Expenses) • $508,000 Gross Equity • $406,000 Accessible Equity (80% value less mortgage and LOC) •
  25. 25. LIABILITIES • No liabilities SUMMARY • $350,000 Average Income • $2,448,000 Net Worth PERSONAL SERVICEABILITY • $1,400,000 Max Mortgage to income ($350,000 x 4 times) • Positive DCR • -$900,000 Primary Mortgage • $500,000 Financing Purchase Power (Without Rent)
  26. 26. “GARRISON POINT” Closing 2020 - Deposit of $50,000 • $550,000 Property Value • $465,000 Purchase Price • $116,250 Down Payment 25% • $348,750 Mortgage @ “B” lender @ 4.5%, 1 year Fixed • No secured LOC • $1,777 Mortgage Payment Monthly • $300 Taxes Monthly • $2,077 Expenses • $2,300 Rent Monthly • $223 Positive Cash Flow • 1.10 DCR (Rental Income/Expenses) • $201,250 Gross Equity • $91,250 Accessible Equity (80% value less mortgage)
  27. 27. “BLUFFS” Closing 2021 - Deposit of $60,000 • $520,000 Property Value • $405,000 Purchase Price • $101,250 Down Payment 25% • $303,750 Mortgage @ “B” lender @ 4.5%, 1 year Fixed • No secured LOC • $1,548 Mortgage Payment Monthly • $280 Taxes Monthly • $1,828 Expenses • $2,500 Rent Monthly • $672 Positive Cash Flow • 1.36 DCR (Rental Income/Expenses) • $216,250 Gross Equity • $112,250 Accessible Equity (80% value less mortgage)
  28. 28. “SOCIAL CONDO” Closing 2022 - Deposit of $90,000 • $700,000 Property Value • $628,000 Purchase Price • $157,000 Down Payment 25% • $471,000 Mortgage @ “B” lender @ 4.5%, 1 year Fixed • No secured LOC • $2,401 Mortgage Payment Monthly • $400 Taxes Monthly • $2,801 Expenses • $3,200 Rent Monthly • $399 Positive Cash Flow • 1.14 DCR (Rental Income/Expenses) • $229,000 Gross Equity • $89,000 Accessible Equity (80% value less mortgage)
  29. 29. “ARTWORKS” Closing 2023 - Deposit of $25,000 • $500,000 Property Value • $491,000 Purchase Price • $125,000 Down Payment 25% • $366,000 Mortgage @ “B” lender @ 4.5%, 1 year Fixed • No secured LOC • $1,865 Mortgage Payment Monthly • $400 Taxes Monthly • $2,265 Expenses • $2,300 Rent Monthly • $35 Positive Cash Flow • 1.05 DCR (Rental Income/Expenses) • $134,000 Gross Equity • $34,000 Accessible Equity (80% value less mortgage)
  30. 30. PLAN FOR ADVANCED SCENARIO • CLOSE: “Garrison Point” @ Home Trust; Refinance in 12 months • SWITCH: Rental #2 - 16 Applegate to XMC; Refinance if required • CLOSE: “Bluffs” @ Home Trust, refinance in 12 months • SWITCH: Rental #3 - 43 Kantium to XMC; Refinance, if required • CLOSE: “Social condo” @ Home Trust; Refinance in 12 months • CLOSE: “Artworks” @ Home Trust; Refinance in 12 months HOME TRUST only lender that uses Flipping Income!!! But 4 property Limit!!!!

×