PILLAR 02 · MARKET PULSE Interview EP 011

Peterborough Real Estate Market Update: Pandemic Impact, Secondary Suites & Student Rental Opportunities

Name: Peterborough Real Estate Market Update: Pandemic Impact, Secondary Suites & Student Rental Opportunities
Uploaded: 2020-07-03
Duration: 5 min

with Rob Break , Co-host of the Breakthrough Real Estate Investing Podcast and Investor-Focused Realtor , Rockstar Realty

LISTEN ON ▶ YouTube

5 min · July 3, 2020 · 365 views

WHAT YOU'LL LEARN

How the COVID-19 pandemic shifted the Peterborough market toward a more buyer-friendly environment due to reduced inventory from discretionary sellers
Why average home prices in Peterborough County reached a record $545,942 in May 2020, representing 22% year-over-year growth
The potential for investors to add secondary suites to single-family homes as a cash-flow strategy in Peterborough
How Peterborough's "large dwelling unit" designation allows investors to legally rent up to 10 bedrooms to students, maximizing rental income
A comparison of rental income potential between traditional two-unit conversions and large dwelling unit strategies
Why adding bedrooms under the large dwelling unit model requires significantly less upfront capital than full secondary suite renovations
What to do if you've hit the "financing wall," including restructuring debts and working with investment-focused mortgage advisors

Show Notes

Timestamps 6

Questions Answered 4

In this episode, host Dalia Barsoum welcomes Rob Break, co-host of the Breakthrough Real Estate Investing Podcast and investor-focused realtor with Rockstar Realty, to discuss how the COVID-19 pandemic is shaping the Peterborough real estate market. Rob explains that despite widespread uncertainty, the market has become more favorable for buyers as fewer discretionary sellers list their properties, while average home prices simultaneously climbed to record highs.

Rob dives into specific investor strategies unique to Peterborough, highlighting the potential for adding secondary suites to single-family homes and leveraging the city's "large dwelling unit" bylaws that permit up to 10 bedrooms for student rentals. He compares the rental income and upfront costs of traditional duplex conversions versus large dwelling units, explaining why the latter can maximize cash flow with less capital. Dalia Barsoum closes the episode with practical financing advice for investors who have hit the "financing wall," emphasizing that restructuring debt or working with an investment-focused mortgage advisor can open doors to additional properties.

00:00:11 Introduction to the Streetwise Property Pulse and guest Rob Break → 00:00:59 Rob Break on Peterborough buyer opportunities during the pandemic → 00:01:42 Record average home prices and year-over-year growth data → 00:02:21 Secondary suites and large dwelling unit strategies for student rentals → 00:03:44 Financing solutions for investors facing mortgage declines → 00:04:35 Episode wrap-up and subscription reminder →

How has the COVID-19 pandemic affected the Peterborough real estate market?

According to Rob Break, the pandemic has created a more favorable situation for buyers because fewer people who don't have to sell are putting their properties on the market, leading to lower purchase prices for investors despite continued strong appreciation.

What were the average home prices in Peterborough in May 2020?

The average home price in Peterborough County hit a record high of $545,942 in May, up 22% over the previous year according to an article in the Peterborough Examiner cited in the episode.

What is a "large dwelling unit" in Peterborough and how can investors use it?

The City of Peterborough allows certain properties to be registered as large dwelling units, legally permitting up to 10 bedrooms that can be rented out to students. This offers investors higher rental income potential than traditional secondary suites with significantly less upfront renovation cost.

What should investors do if their mortgage application has been declined?

Dalia Barsoum advises that one lender's decline doesn't mean all lenders will say no. Investors should consult a qualified mortgage advisor who specializes in investment property financing to explore restructuring debts, repositioning income, or finding lenders that evaluate applications differently.