CalgaryHerald, MontrealTribune and REBryanEllis reports growing interest among Canadian investors in Las Vegas as a safe bet for long term real estate payouts. Steve Martel of Martels Real Estate, an Ottawa broker said, “Where in Canada can you currently buy a $50,000 property that you can turn around and rent for $1,000 a month?” Analysts like realtor/investor Jim Eagan project 9-to-12 percent cash flow on rentals for the foreseeable future in the desert city of lights. Another investor called Las Vegas “one of the most attractive places in the U.S.” because the properties are relatively new and energy-efficient in addition to being dirt cheap. Canadian’s far more stable housing market can make south of the border locations appealing. Canadians aren’t alone, groups like the Optimus US Real Estate fund are purchasing entire communities to rent out. Optimus invested in 280 condos and is looking at gated communities in the area as well. Optimus’ policy is to buy in areas that are gaining in population to maximize investor dollars by renting long-term through its own management companies. “The fund deals with purchasing mostly residential ‘distressed’ real estate,” explains managing director and CEO Arthur Wong.
(Photo Credit; Optimus RE Fund)