Investing Opportunities

[Dasen]

Hi All,

I am a newcomer to Canada. I have been working in the last 7 years in the gulf area as an petroleum engineer in one of the oil and gas service companies. The jobs' prospects for this industry is very slim in Canada and that is why I am thinking about investments. I have around 200,000 CAD in cash and I would like to know from your point of view what are the opportunities for me here in Canada as I am new and I don't want to keep spending and depleting this cash without a job or without an investment.


How can I start investing this money and receive a decent annual return on that. Any idea is welcomed.


* I would like to thank all the people here as I have learnt a lot during my PR process from this forum.

 

[russ6970]

Why do you think the job opportunities are slim? That couldn't be further from the truth.

 

[canuck78]

Oil and gas jobs are definitely harder to find these days. You should know this in Newfoundland between offshore and the amount of people no longer working in the oil sands.
o

 

[russ6970]

I know plenty of people working offshore in oil and gas, so there is certainly not a shortage here. Not as much as there was in the boom years, where everyone was working in the area, but definitely not a shortage by any means.

 

[russ6970]

Hi All,

I am a newcomer to Canada. I have been working in the last 7 years in the gulf area as an petroleum engineer in one of the oil and gas service companies. The jobs' prospects for this industry is very slim in Canada and that is why I am thinking about investments. I have around 200,000 CAD in cash and I would like to know from your point of view what are the opportunities for me here in Canada as I am new and I don't want to keep spending and depleting this cash without a job or without an investment.


How can I start investing this money and receive a decent annual return on that. Any idea is welcomed.


* I would like to thank all the people here as I have learnt a lot during my PR process from this forum.

I can't really advise on the investing part, but look at Newfoundland and Labrador for jobs. There are still offshore jobs available here.

 

[torontosm]

Hi All,

I am a newcomer to Canada. I have been working in the last 7 years in the gulf area as an petroleum engineer in one of the oil and gas service companies. The jobs' prospects for this industry is very slim in Canada and that is why I am thinking about investments. I have around 200,000 CAD in cash and I would like to know from your point of view what are the opportunities for me here in Canada as I am new and I don't want to keep spending and depleting this cash without a job or without an investment.


How can I start investing this money and receive a decent annual return on that. Any idea is welcomed.


* I would like to thank all the people here as I have learnt a lot during my PR process from this forum.

It all depends on your risk profile, and what sort of investment objectives you have. Are you looking for passive or active income? Are you seeking regular cash flow or long term growth of your capital? Are you averse to leverage, or do you not minding using debt?

 

[Dasen]

Why do you think the job opportunities are slim? That couldn't be further from the truth.

Thanks @russ6970 for your comments. I am working as an application engineer in the oil and gas industry. I know there is still a demand but it is not as high as before. I believe the main offerings are in the field as a field engineer or so but I am an application engineer (office job). Also, don't forget that I don't have Canadian experience. Anyhow, I will look for jobs, for sure, but my question was to have an idea about investments options that can help me to grow or at least maintain my capital instead of depleting it the first couple of months.

Thank you again for directing me towards Newfoundland and Labrador.


"

 

[Dasen]

I advise at least to consider the classic investment options first and the specifics of their implementation in a particular region

Thank you @Everett_Little, but actually I didn't get you. Could you please elaborate more.

 

[Dasen]

It all depends on your risk profile, and what sort of investment objectives you have. Are you looking for passive or active income? Are you seeking regular cash flow or long term growth of your capital? Are you averse to leverage, or do you not minding using debt?

Thanks a lot @torontosm. Of course it depends on many things and that is why I asked this question here to see different options and opinions. For me, I don't mind taking the risk, a calculated risk of course and I am more interested in the regular passive income such as a rent. Do you have any idea about the average annual income for an apartment, if I bought one and started to rent it? is this feasible? Can you guide me to something slimier if any?

I am welcoming all ideas and I am sure that this forum have a lot of great minds that don't mind to help.


"

 

[momemon]

Thanks a lot @torontosm. Of course it depends on many things and that is why I asked this question here to see different options and opinions. For me, I don't mind taking the risk, a calculated risk of course and I am more interested in the regular passive income such as a rent. Do you have any idea about the average annual income for an apartment, if I bought one and started to rent it? is this feasible? Can you guide me to something slimier if any?

I am welcoming all ideas and I am sure that this forum have a lot of great minds that don't mind to help.


"

You mean active income such as rent?

So the real state depends on where you live/want to invest. For example, for a two bedroom condo (about a 1000 sq.ft.) in a metropolitan city such as Toronto or Vancouver would cost you close to a million dollars (or more) and would rent for about $2500 a month give or take. Off of that $2500, you could easily be making $1800 after taxes, maintenance, and what not (mortgage payments not included). That gives you just over 2% return on your investment per year. Plus your property value increases every year by 1.5-4% roughly.

Another (better) option is buying a house in a suburb, costs around half a million and generates similar or a little more monthly. So you do the math on that.

Keep your eye on stocks, if you are good at that, its a good investment, both active and passive, depends on where you invest.

Good luck!

 

[canuck78]

You mean active income such as rent?

So the real state depends on where you live/want to invest. For example, for a two bedroom condo (about a 1000 sq.ft.) in a metropolitan city such as Toronto or Vancouver would cost you close to a million dollars (or more) and would rent for about $2500 a month give or take. Off of that $2500, you could easily be making $1800 after taxes, maintenance, and what not (mortgage payments not included). That gives you just over 2% return on your investment per year. Plus your property value increases every year by 1.5-4% roughly.

Another (better) option is buying a house in a suburb, costs around half a million and generates similar or a little more monthly. So you do the math on that.

Keep your eye on stocks, if you are good at that, its a good investment, both active and passive, depends on where you invest.

Good luck!

Disagree with you numbers in TO a 2 bedroom 1000 sq ft condo usually isn’t a million. Probably between 600-800K. With rent at $3000-3500. The issue is that your costs are likely to exceed what you are taking in unless you put a lot down and/or bought in preconstruction. No way you can guarantee 1.5-4% returns. The condo market was flat for many years and only recently went crazy. At a certain point condos will get too expensive for it to be worthwhile getting the 1 bedroom. You are also going to see condo fees go up as the building gets older. There are already some costly issues going on in these buildings.

In terms of the suburbs. Much less risky buying a house vs a condo these days in my opinion but also more work. 500K may be low. You need to find a market where you have good commuting links, at least 3 or 4 bedrooms but in an area the commands good rent. Not all markets will bring that. Comes down to how much you are putting down, what kind of repairs will need to be done soon plus other surprises. Don’t forget property taxes which is a big expense. If you are barely putting anything down you may only make a couple hundred a month. With repairs in may be less. As you build up enquity your profits will be higher. You’ll have find tenants willing to shovel and take care of the property if you provide the tools which would save you money on snow removal, gardening costs.

 

[steaky]

You mean active income such as rent?

So the real state depends on where you live/want to invest. For example, for a two bedroom condo (about a 1000 sq.ft.) in a metropolitan city such as Toronto or Vancouver would cost you close to a million dollars (or more) and would rent for about $2500 a month give or take. Off of that $2500, you could easily be making $1800 after taxes, maintenance, and what not (mortgage payments not included). That gives you just over 2% return on your investment per year. Plus your property value increases every year by 1.5-4% roughly.

Another (better) option is buying a house in a suburb, costs around half a million and generates similar or a little more monthly. So you do the math on that.

Keep your eye on stocks, if you are good at that, its a good investment, both active and passive, depends on where you invest.

Good luck!

Disagree what you said about Toronto and Vancouver. The cost of buying a house in the suburb might cost more than half a million. Not sure what a good investment is.

 

[Gvarma]

Get into preconstruction first day platinum access, buy couple of condos and let your money work for you rather than you working for money.

 

[canuck78]

Get into preconstruction first day platinum access, buy couple of condos and let your money work for you rather than you working for money.

Housing prices also decrese. Have to be willing to ride the decreaes and the increases. Investing in condos is a scsry business based on how poorly some of them have been built.

 

[Gvarma]

Housing prices also decrese. Have to be willing to ride the decreaes and the increases. Investing in condos is a scsry business based on how poorly some of them have been built.

Prices do decrease, but eventually the graph has to go up.If a buyer can hold the property(in Toronto) for minimum 5 years, he can never lose money.
If you go with the reputable builder, built quality shouldnt be an issue.