In this detailed episode, Scott provides a comprehensive framework for analyzing rental properties, helping investors avoid analysis paralysis while ensuring thorough due diligence in their investment decisions.
Key Timestamps:
[0:00] Analysis Framework
- Avoiding analysis paralysis
- Setting target returns
- Decision-making process
[4:30] Legal Considerations
- Unit verification
- Zoning requirements
- Municipal regulations
[8:45] Income Analysis
- Vacancy rates
- Additional income sources
- Market research
[12:30] Expense Calculations
- Property management fees
- Maintenance reserves
- Tax considerations
[16:45] Utility Management
- Energy efficiency
- Cost reduction strategies
- Tenant responsibilities
[21:15] Financial Documentation
- Income verification
- Expense validation
- Bank statement analysis
[25:30] Due Diligence Steps
- Neighbor interviews
- Property inspection
- Document verification
Key Analysis Components:
1. Income Verification
- Rent roll review
- Bank statement verification
- Additional revenue streams
2. Expense Analysis
- Property taxes
- Insurance costs
- Utility expenses
- Professional fees
3. Property Documentation
- Legal unit verification
- Expense history
- Tenant payment records
Free Resources:
- Cash flow analysis worksheet
- Canadian Real Estate Network
- Investor toolbox success kit
Contact Information:
Office: 519-960-0370
