Happy Lunar New Year to all my listeners.  In Chinese we say Kung Hai Fat Choy which you’ve likely heard before in the Mandarin all you can eat buffet restaurant commercials.  One possible translation is “wishing you become wealthy” which I’ve simplified to “I hope you get richer” because honestly, if you’re listening to this show, especially if you’ve been with me since the beginning in 2016, you are or should be rich. Hopefully you’ve taken lessons, tips and tricks from some of Canada’s finest real estate investors and implemented them.  As such, you’re already rich hence “I hope you get richer,” along with that other stuff about happiness and health.  From my family to yours, Kung Hei Fat Choy.

It’s the year of the snake and last year was the dragon though I think they were accidentally switched, last year was the year to get strategic, this is the year to build wealth.  Some of my Canadian clients have already started.  They are of course really happy they bought in the US when they did for the currency gains and are enjoying the US$ cash flow.

I sold some US$ in my Scotia account and they offered me $1.425 CAD.  

Have you ever been this excited for a federal election? I haven’t—because I’ve never had so much riding on the outcome. Provincial elections? Not so much. I’ve seen the housing platforms for the provincial Liberals and NDP.  If the goal was to make long-term rentals a worse investment for landlords, then they’ve hit the nail on the head.

Under the current government, housing affordability is historically bad. Not enough has been done for affordable housing. We’re in a recession, and everyone is feeling the pressure of historic inflation.

The average rent in Canada is now $2,109—enough to get you a house in Edmonton, AB.

Put yourself in the shoes of a young, highly skilled Canadian because they do have choices. I was speaking to a young electrician last week who told me all his coworkers are talking about moving to the States.

Let’s dig into an example. Alabama, one of the many markets we service and have Canadian clients buying. The fifth poorest state in the U.S. if Canada were to join as the 51st state, we’d rank as the fourth poorest.  It’s never happening by the way. 

That same $2,109 CAD that gets you a house in Edmonton is enough to rent a house in Huntsville, Alabama—a prime investment location where NASA has a major presence, employing 7,000 people, plus another 45,500 working at the U.S. Military’s Redstone Arsenal, including contractors from Lockheed Martin and Boeing. Huntsville’s population growth rate is triple the U.S. national average.

And do I even need to mention the difference in winter weather?

For the cost to rent a one bedroom condo in Vancouver or Toronto you could rent this or better yet buy it:

---

Good News for Real Estate Investors?

The best recent news? The increase to capital gains inclusion rates hasn’t passed—yet. The CRA is saying we need to pay for 2024, but if the Conservatives win, we may revert to the original tax rules before Trudeau and Freeland changed them.

Delayed to Jan 1st, 2026: https://www.theglobeandmail.com/politics/article-federal-government-delays-capital-gains-tax-increase-to-jan-1-2026/

For me, this means a much more profitable exit from my clients and I’s Ontario rentals after taxes. 

Speaking of clients, one of my most experienced investor clients —who owns over a dozen rental properties and has been a landlord for two decades—just called me with some “good news.”

His tenant, after nine months of non-payment, is finally getting evicted this week. She owes him $30,000 in rent and damages after trashing the place.

---

Ontario’s Broken Landlord System

She’s already been in front of the Landlord and Tenant Board twice.

1. First hearing → Mediated settlement.
2. Tenant fails to pay the second month → Breaks settlement terms.
3. Pre-COVID → Landlord could file for eviction immediately.
4. Now? Tenant appeals, delaying the process even further.
5. Second hearing → Adjudicator finally rules for eviction.
6. Two-week wait → That’s how long it takes for a Sheriff in Hamilton.
7. Eviction day is today → The tenant’s belongings are still inside the house.

Meanwhile, her rent was $3,300 per month—in Hamilton. That’s about 50% more than the same house in Huntsville, Alabama.

Our housing is too expensive, and incomes don’t justify it.

---

Canadians Are Struggling

I weep for my country. These are tough times.

Inflation has made things worse. Market rents have skyrocketed compared to pre-COVID. Many landlords are struggling to make the numbers work.

Every time I check the Small Ontario Landlords Facebook Group, someone is pleading for help.

One post there caught my attention today:
A tenant didn’t pay rent for 12 months. At the hearing, he lied to the adjudicator, saying he did pay. Now, there’s another hearing.

Bad tenants are gaming the system. Some are so desperate, they’re willing to commit fraud.

---

Why I’m Investing in the U.S.

The author of the “Wealthy Barber,” former Dragon’s Den Dragon, David Chilton from Waterloo, ON recently said “don’t be a landlord, there are alternatives that are better” is his advice to Canadians and I couldn’t agree more. 

Life is too short. I want investment optimal, headache free, my rental income to be predictable, cash-flow positive, and backed by strong property rights.

What investor doesn’t?

“From Rent To Ruin” With Kevin Costain

On to this week’s show! We have my old friend Quentin D’Souza returning to the show at my request as I need a trustworthy real estate expert to share with you the listener about the multi family market who’s not going to sugar coat how tough the last few years have been and what and where the opportunity is going forward.

Quentin is going to share his journey, how he does hard things and involves his family to lead his best, most successful life possible.

Quentin is founder, Chief Education Officer of Durham Real Estate Investors, a private membership group of many excellent real estate investors and professionals.  If you’re in the GTA area, make sure to check out a Durham REI event, they meet monthly in Whtiby and you can learn more about them at https://durhamrei.com/

Quentin has authored several books I highly recommend on the BRRRR strategy, finding deals, scaling up, filling vacancies, property management. You can search Quentin D’Souza on Amazon or go to his website quentindsouza.com

Needless to say, please have a pen and paper ready to take notes and enjoy the show.

To Listen:

HELP US OUT!

BEFORE YOU GO…

Before you go, if you’re interested in what kind of properties I am looking at in the landlord friendly states of the USA please go to iwin.sharesfr.com for what I consider the best investment for most Canadians, most of the time.

I’ve been investing in Ontario since 2005 and while it’s been a great, great run. I started out buying properties in the 100,000s and now it’s $800,000 to $1,000,000.  How much higher can it go? I don’t know

To me, the remaining potential for appreciation does not match the risk hence I’m advising my clients to look to where one can find rental properties that are affordable range of $150,000 to $350,000 US$, with rents that range from $1,400 to 2,600/month plus utilities.   As many Canadians recognize, these numbers will be positive cash flow and are night and day compared to anything locally. Plus the landlord has all of the rights, no rent control, and income is US dollars which are better than Canadian dollars.

If you don’t believe me, US dollars are better than Canadian dollars, go ask 100 non-Canadians which currency they prefer to be paid in.

So to regain control of your retirement planning.  Go to iwin.sharesfr.com and check out what great cash flow properties are available in the USA.  

The best part is, my US investments will be much more passive compared to by local investments as I’m hiring an asset manager called SHARE to hand hold me through the entire process.  As their client and shareholder, Share will source me quality income properties, help me with legal structure and taxes, they manage the property manager and insurance provider while passing down to me preferred rates so I save both time and money.  

Share will even tell me when to strategically refinance or sell.  SHARE can even support investors all over the country for proper diversification hence my plan is to own in Tennessee, Georgia, and Texas.  Share is like my joint venture partner but I only have to pay them fees while I keep 100% ownership and control.

If your goal in investing is to increase cash flow, I don’t know of a better strategy for most Canadians most of the time.  One last time that’s iwin.sharesfr.com to see what boring, cash flowing real estate investing can look like on your path towards financial peace.

This is how I’m going to make real estate investing great again for my family and hope you choose the same.  Till next time!

Sponsored by:

This episode is brought to you by me! We don’t have sponsors for this show. I only share with you services owned by my wife Cherry and me.  Real estate investing is a staple in my life and allowed me to build wealth and, more importantly, achieve financial peace about the future, knowing our retirement is taken care of and my kids will be able to afford a home when they grow up.  If you, too, are interested in my systematic strategy to implement the #1 investment strategy, the same one pretty much all my guests are doing themselves, then go visit www.infinitywealth.ca/events and register for our next event.

Till next time, just do it because I believe in you.

Erwin

W: erwinszeto.com
FB: https://www.facebook.com/erwin.szeto
IG: https://www.instagram.com/erwinszeto/

Disclaimer:

As a committed advocate for transparent and responsible real estate investment, I want to openly share my involvement with SHARE SFR (Single Family Rental) as an Advisor. I hold an equity position in this company and receive a referral commission for clients I introduce to their services. My endorsement of their business model – focusing on direct ownership of positive cash flow income properties – is consistent with my own personal investing since 2005, is based not only on a professional assessment but also on my personal experience and belief in their approach. Please note that while I stand behind my recommendations, it is crucial for each individual to conduct their own due diligence and consider their unique circumstances before making any investment decisions. As always, my priority is to provide you with honest, insightful, and practical real estate investment education.