Motivated to Set Down Roots in London

Taylor and Dawn are parents to one 9 year-old and are looking to settle down in their own home where they can build equity and work towards giving their daughter some stability and a strong foundation for a family home. They recognizes that the market is moving quickly and want to get in while the coals are hot. Taylor and Dawn have saved up $15,000 for a down payment and will need to rent-to-own for four years to become mortgage-ready for 2026.

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Employment

Taylor is a mechanic with the London Golf Club. His income is $80,000 annually. He started this position in 2021. Dawn is a teacher and has put in for a move to the London area. She will start a new position in 2022 when School starts up again. She earned $63,000 in 2020 and is expecting to earn somewhere between $50,000 and $60,000 in her new school. The family also earns a child benefit of $400 each month or $4800 annually.

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Credit

Both Taylor and Dawn have decent credit. His score is 717 and her score is 616. She needs a little more time to pay down a car loan which is why we have set them up in a four-year term. With a Clover Properties-approved mortgage broker supporting Taylor and Dawn, they should be ready for their own mortgage in four-years.

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Property

The family found a great starter home in Glencoe, Ontario, and small hamlet outside of London. The property is well-maintained with a new roof (5 years old) and new water barrier in the crawlspace (2020). The house has 3 bedrooms and two bathrooms. The property is 40 minutes from London and all of its amenities but close to schools and parks in Glencoe as it is located in town.

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Next Steps
If you can qualify for a $340,000 mortgage (based on a 20% down payment), and would like to earn about $1,023+ in monthly cashflow to help Taylor and Dawn rent-to-own, please call or text Rachel at 416-450-1940.

Investment Property Highlights

  • Your investment is $89,600
  • Estimated annual return on investment is 30% (based on a mortgage rate of 2.50 and 30 yr amortization –approximated)
  • Your estimated NET profit $108,154
  • Your NET monthly cash flow is approx. $1,023+ a month
  • Tenant-buyers have $15,000 for the down payment
  • Tenant-buyers has household income of $130,000

click to downloadspreadsheet

 

About the Property

  • Purchase price is $425,000 (estimated purchase price))
  • Target closing date is 30 days
  • Tenant-buyer agrees to pay $2,772 monthly
  • Tenant-buyer will buy this house in 2026 for $514,820

Next Steps

  • Yes, I want to proceed with this opportunity
  • Meet realtor and sign conditional offer
  • Confirm your financing
  • Review inspection report
  • Review contracts
  • Go firm on the deal
  • Tenant-buyer’s $15,000 down will be used as the deposit on the property with accepted offer
Rachel and Neil Oliver
Rachel and Neil OliverCo-Founders, Managing Partners
Need a Mortgage Partner for Your Next RTO?
If you’re craving cashflow but have only cash to invest, let’s explore a Joint Venture.
Contact rachel@rethinkrentals.com

Contact me for more information or if you have any questions: rachel@rethinkrentals.com