Praise for the Authentic Canadian Real Estate System from Canadian investors: “If you want a predictable real estate future, you must design it in advance. I know of no other real estate expert and educator who is as competent as Don Campbell. His research is unmatched and his results predictable.” —Gordon D. Wusyk, Founder and CEO of Predictable Futures Inc. “Seventeen months after joining and starting the ACRE system, I now own 141 units! I learned more from the author in this time about character, business, investing, money fl ow and personal goal setting than I have in my entire career. Don R. Campbell is a mentor and an inspiration, who provides something unique and extremely helpful.” —Ernst Marsig, Investor and Business Owner, Y2 Marketing “I have thought about buying real estate for income for 30 years. Th e ACRE Quickstart program has changed my mindset from thinking about it to doing it—and believing that it is not just possible, but necessary.” —Joan Watson “Using the ACRE System, I bought 154 positive cash fl ow properties, all while working a full-time job. I now own over 350 properties.” —Arlen Dahlin “My journey began when I signed up for the ACRE Quickstart pro- gram. Since then I have bought four properties (two by myself and two as joint ventures) and sold one, helping pay off all my debt—all in less than 14 months. Last August I got married to the love of my life and we paid for our wedding—a very fancy one! I owe my success to what I have learned from Don Campbell and the network I have established through him.” —Ali Ardakani, Momentous Consulting “My involvement in REIN and the Quickstart ACRE system since 1995 has signifi cantly changed my life. Following your strategies, I have been able to create a lifestyle that has given me peace of mind in terms of fi nancial security. In fact, I took a big jump in terms of lifestyle by taking a job I’ve always wanted—National Ski Team Coach. Not only does REIN positively aff ect my real estate, but it has had a huge overall impact on my life, providing me the freedom and confi dence to attain my life goals.” —Murray Cluff “We’ve been implementing the various techniques in the system, with fl awless results. Quite simply, this system is a must for all existing and prospective landlords. By implementing this system, you will increase your bottom line while signifi cantly reducing your time commitment and headaches. —Brent Beagle “As a novice, I appreciate the opportunity to get the real, no-hype, nuts and bolts on real estate investing. After taking us step by step through the process, I am already feeling confi dent about putting it into action.” —Nicola Battista “I can’t imagine a better educational investment than being a member of the REIN group. Th e value of what we are learning doesn’t become evident until the rubber hits the road. It gives one the confi dence to get into the deals and know we have someone to call when we need help.” —Garet Bonn “I joined REIN and, using their ACRE Quickstart techniques and doing due diligence on my part, I was able to buy fi ve investment prop- erties in one month. Th eir extensive support, helpful forms, Insider Reports, and networking opportunities have given me the confi dence and momentum to start my future full-steam ahead.” —Brian Simpson “Th is is extremely motivating. I am always amazed by how exciting it is to be with and meet others with the same objectives. A fi ve out of fi ve!” —Angie Wu “Th e best business decision I ever made was in joining the group (out of all the training I’ve done). I owe you a lot … you’ve changed our lives. Th anks so much for your continual commitment to the group and the inspiration you give to me and my family.” —Madeleine Ficaccio “Great information, I have spent thousands of dollars on other courses but this is the fi rst one that I feel I can get started on with real action.” —Patrick Plummer “It has allowed me to increase my net worth exponentially. Th e very valuable information helps me to manage my properties with ease and fosters a great business relationship with my tenants.” —Audrey Sloan “Th is real estate business has not been easy. And many times my wife could not understand why I persisted. But from the ACRE Quickstart program I discovered the very towns that I live and invest in are number one! Now my capabilities are unlimited. Your system has taught me the true power of a network and cooperating with like-minded people.” —Jules McKenzie “A real kick for overcoming analysis paralysis. ACRE Quickstart is an excellent program to make someone take action. It provides one with the tools and skills along with a ‘go to it’ attitude.” —Brian Soucie “Finally, I am not scared of real estate. I realized that I can do it because this program gives me a focus and logical system to follow.” —Duska Bazdar “I have received insights into the art of creating deals that are simply mind-boggling.” —Eldon Siemens “A workable system with a lot of the uncertainty and guesswork re- moved. I like the balance between the money-making aspects and the necessary balancing-of-life aspects.” —David Platt “After only three months, I learned more than all the years investing previously. Finally and certainly not the least important is the support and help I have received from the members I have connected with in the group. Th e willingness to help, the openness with knowledge and the integrity with their ventures has changed my view of the way it works. It has been quite inspirational!” —Ken Wilson “We really appreciate the opportunity to be part of such a fantastic organization. I will be eternally grateful for the skills I have learned which will enable me to succeed in real estate and raise my children at the same time.” —Julie Hoff man “Without the ACRE Quickstart system and REIN™, I would not be a full-time real estate investor. Th is freedom could never be equaled in my mind. It’s great!” —Celeste Chaytors “After joining the Real Estate Investment Network, our lives have completely changed and we are on the path to success. With the guid- ance of several members, we sold the house we were currently living in and turned it into four properties. One of these properties is the beautiful house we now live in and thoroughly love. Th e REIN system is so simple and easy to follow. All you have to do is take action and amazing things happen.” —Jeff Dick & Debbie Jeannotte REAL ESTATE INVESTING IN CANADA Also by Don R. Campbell with Barry McGuire, Peter Kinch, and Russell Westcott 97 Tips for Canadian Real Estate Investors REAL ESTATE INVESTING IN CANADA HOW TO CREATE WEALTH WITH THE ACRE SYSTEM Foreword by Les Hewitt, co-author of the bestseller The Power of Focus DON R. CAMPBELL PRESIDENT OF THE REAL ESTATE INVESTMENT NETWORK Copyright © 2005 South Pacifi c Education Corporation All rights reserved. No part of this work covered by the copyright herein may be reproduced or used in any form or by any means—graphic, electronic or mechanical without the prior written permis- sion of the publisher. Any request for photocopying, recording, taping or information storage and retrieval systems of any part of this book shall be directed in writing to Th e Canadian Copyright Licensing Agency (Access Copyright). For an Access Copyright license, visit www.accesscopyright. ca or call toll free 1-800-893-5777. Parts (rewritten) of chapter 5, 13, 14, and appendix 2 have appeared in Future of Canadian real Estate (1997) and How to Get the Bank To Say Yes (1995), copyright Alan Jacques. All material used with permission. Care has been taken to trace ownership of copyright material contained in this book. Th e publisher will gladly receive any information that will enable them to rectify any reference or credit line in subsequent editions. National Library of Canada Cataloguing in Publication Data Campbell, Don R. Real estate investing in Canada : creating wealth with the ACRE System / Don R. Campbell. Includes index. ISBN-13 978-0-470-83588-3 ISBN-10 0-470-83588-5 1. Real estate investment—Canada. 2. Residential real estate—Canada. I. Title. HD316.C318 2005 332.63’24’0971 C2005-900853-9 Th e material in this publication is provided for information purposes only. Laws, regulations, and procedures are constantly changing, and the examples given are intended to be general guidelines only. Th is book is sold with the understanding that neither the author nor the publisher is engaged in rendering professional advice. It is strongly recommended that legal, accounting, tax, fi nancial, insurance, and other advice or assistance be obtained before acting on any information contained in this book. If such advice or other assistance is required, the personal services of a competent profes- sional should be sought. Production Credits: Cover and interior design: Mike Chan Printer: Friesens John Wiley & Sons Canada Ltd 6045 Freemont Blvd. Mississauga, Ontario L5R 4J3 Printed in Canada 10 9 8 7 6 5 CONTENTS Foreword xi Acknowledgements xiii Introduction xv Chapter 1: Your Real Estate Success Road Map 1 Chapter 2: Th e Flight from Nowhere 7 Chapter 3: Your Own Personal Belize 17 Chapter 4: Th e Four Most Important Words in Real Estate Investing: “What’s Behind the Curtain?” 31 Chapter 5: How to Tell If a Town Will Boom or Bust: Th e 12 Keys that Unlock the Vault 37 Chapter 6: Property Goldmine Score Card 59 Chapter 7: Skipping Stones to Success 65 Chapter 8: Th e Real Estate Cycle 71 Chapter 9: Not Any Port in a Storm: How to Find the Best Properties in the Best Areas 79 Chapter 10: Th e Property Analyzer Form: Where the Rubber Hits the Road 93 Chapter 11: Below Average or Super Successful: You Choose! 111 Chapter 12: Placing Your Off er and Getting It Accepted 123 Chapter 13: Getting Your Banker to Yes! 139 Chapter 14: Seven Winning Strategies for Getting the Financing You Need 149 Chapter 15: From Corporate Job to Successful Real Estate Investor 183 Chapter 16: Negotiating Secrets of the Overachieving Investor 197