In this episode of The Wisdom, Lifestyle, Money Show, host Scott Dillingham shares strategies for funding multiple rental properties, addressing the common challenge of sourcing capital for investors.
Scott details his approach: Start with a live-in property (e.g., duplex) at 5% down, renovate and rent one unit for max income and minimal issues—up to 3 such properties possible via insurers.
After appreciation builds equity (overall market trends upward long-term), refinance to 80% value to extract funds for 20% down on full rentals—repeat by renovating via mortgage plus improvements (lump sum post-completion) or progress draws (staged funds).
Wait 3-6 months post-renovation for appraisals to capture forced appreciation; transition to multiplexes/commercial (15% down, 35-40 year amortizations) for economies of scale and better cash flow.
Emphasize partnering with investor-focused lenders to pre-check qualifications across transactions, avoiding pitfalls like over-refinancing without purchase viability.
In 2025, Canada's rental market sees 21.6% rent growth over 3 years driving 25-30% property appreciation, amid modest rebounds (prices up slightly, sales softening) and BoC cuts easing refinancing—favoring investors despite tariff risks and supply shortages, per CMHC, CBRE, and Global Property Guide.
This episode empowers aspiring investors with actionable steps to build portfolios using leverage and renovations in Ontario's 2025 economy.
Guest Bio
Scott Dillingham is the host of The Wisdom, Lifestyle, Money Show and founder of LendCity Mortgages in Windsor, Ontario, specializing in investment property financing. Drawing from personal experience building a portfolio, Scott guides investors on leveraging equity and renovations. Passionate about creative strategies, he shares insights for scaling wealth. Connect with Scott at lendcity.ca, call 519-960-0370, or check podcast.lendcity.ca for more.
Scott Dillingham is the host of The Wisdom, Lifestyle, Money Show and founder of LendCity Mortgages in Windsor, Ontario, specializing in investment property financing. Drawing from personal experience building a portfolio, Scott guides investors on leveraging equity and renovations. Passionate about creative strategies, he shares insights for scaling wealth. Connect with Scott at lendcity.ca, call 519-960-0370, or check podcast.lendcity.ca for more.
Key Takeaways
- Start Small: Buy live-in duplexes with 5% down (up to 3 via insurers), renovate rental unit for max rent/minimal issues—eliminates many future calls while building equity.
- Leverage Appreciation: Hold for market gains (long-term upward trend despite short dips); refinance to 80% value after 1-2 years to pull cash for 20% down on full rentals.
- Renovate Strategically: Use mortgage plus improvements (lump sum post-work, limited amount) or progress draws (staged funds for larger projects)—fund via initial equity, reimburse later.
- Timing Matters: Wait 3-6 months post-renovation for appraisals to include forced appreciation—avoid immediate ones that undervalue improvements.
- Scale Up: Transition to multiplexes/commercial (15% down, 35-40 year terms) for better cash flow/economies of scale (e.g., bulk discounts on repairs like HVAC/roofs).
- Lender Expertise: Work with investor specialists to simulate full chain (refi + purchase)—ensures qualifications; avoid general lenders focusing only on current transaction.
- Market Resilience: Even in down years, hold long-term; 2025 rent growth (21.6% over 3 years) boosts 25-30% appreciation, aiding refis amid softening sales/BoC easing.
- Alternatives: If debt-averse, partner for down payments or sell smaller properties to fund larger ones—maintain positive cash flow ($100-200/unit) post-refi.
Resources and Links
- LendCity Mortgages: https://lendcity.ca/ – Investment financing, preapprovals, and strategies.
- Scott Dillingham Contact: Call 519-960-0370 – For rental funding consultations.
- CMHC: https://www.cmhc-schl.gc.ca/ – Rental programs and market outlooks.
- CBRE Canada Outlook 2025: https://www.cbre.ca/insights/reports/canada-real-estate-market-outlook-2025 – Investment trends.
Call to Action
If Scott Dillingham's strategies for funding rentals via refis and renovations in 2025's appreciating market inspire your investing, visit lendcity.ca or call 519-960-0370 for a consultation. Share this episode with aspiring investors—tag us on social media! What's your first step to scaling? Leave a review on Apple Podcasts or Spotify to help others find 2025 rental trends, equity leverage tips, or portfolio growth ideas. Tune in next week for more on wealth building.
If Scott Dillingham's strategies for funding rentals via refis and renovations in 2025's appreciating market inspire your investing, visit lendcity.ca or call 519-960-0370 for a consultation. Share this episode with aspiring investors—tag us on social media! What's your first step to scaling? Leave a review on Apple Podcasts or Spotify to help others find 2025 rental trends, equity leverage tips, or portfolio growth ideas. Tune in next week for more on wealth building.
- (00:08) - Getting Money for Investments
- (07:46) - Strategy for Autopilot Investing
- (14:54) - Transition to Multiplex Investing
- (16:16) - Economies of Scale in Commercial Properties
- (18:24) - Conclusion and Next Steps
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