For TiLt Ventures’ David Sandhu, his hometown is his pride and joy. In fact, he has decided to center his career around transforming his economically struggling community of Prince Rupert, British Columbia. One way he is doing this is by sharing his knowledge and skill in real estate investing in this small Canadian town.
Here are some of the reasons why Sandhu is so enthusiastic about investing in his community, and how those same principles can work for you and yours.
Invest for the Long Haul
Sandhu isn’t suggesting that anyone go into the real estate business thinking it’s a cash cow; instead, he says it’s the appreciation of real estate over time that makes it so valuable. And time is Sandhu’s highest priority. That’s why he believes so strongly in building a real estate portfolio.
“While you’re spending time with your family, your property is working for you,” he said. “Slowly but surely, in the long run, it will provide for your family’s needs.”
Strategic real estate purchases can be more affordable than you think when it comes to investing in small cities and towns, Sadhu said. This is good news for novice investors, especially, who may be wary of spending a lot of money on a property. Local businesses can also benefit from local investors seeking new opportunities.
“Not every entrepreneur has equal access to lenders, and investors can provide much-needed money,” he said. “The relationship between a local investor and a local business can be truly beneficial on both sides.”
Support Your Local Economy
In Sandhu’s view, private investment in real estate is one of the best ways to grow a community. It creates a welcoming environment for new businesses that will employ area residents, which will, in turn, drive sales and tax receipts. As an investor who’s buying property, you may also need local teams for any rehab or renovation work you need before occupancy, creating even more jobs directly.
A city with robust real estate investment becomes a destination for shopping and services, instead of residents traveling elsewhere for groceries, medical appointments, and more. The money that would be otherwise spent elsewhere stays local, and in turn can be used for improvements to infrastructure, education, and other important quality-of-life features.
“For investors, property generates passive income, too, giving you the freedom to find additional ways to get involved and support your town or add to your portfolio,” Sandhu said.
Find and Fill the Gaps
There are areas of need in every community, and spotting the gaps is a great way to get involved in real estate investing. In keeping with Sandhu’s philosophy about not telling people what to do, every potential investor will likely see a different need in a community, one that they can fill.
Once potential investors learn the fundamentals and technical aspects of investing, they can use those skills for a wide range of investment opportunities. While some may have the resources to add large office buildings to their portfolio, others may have a budget for only a single home or perhaps two; this smaller investor is still a valued and essential part of a community’s investors.
“These smaller investment opportunities also make it possible to build a more diverse portfolio without having to look beyond your own community,” Sandhu said. “The trick is to find the properties that best meet your budget and area of expertise, whether that’s homes or medical arts buildings.”
“We don’t need to wait for big corporations to invest,” he added. “Let’s get the town together to invest in ourselves.”
Whether that’s coffee shops, restaurants, franchise businesses, a community-wide effort will likely yield better results from the bottom up than any outsider working top-down. And when locals are heavily invested, it’s a strong sign to outsiders that residents believe in their city or town, making it a more desirable place to live and work. This can attract new residents as well as outside investment money to supplement the work that locals are already doing.
Offer a Helping Hand
When it comes to real estate investing, there are few opportunities more rewarding than building a portfolio of hometown properties. Not only can passive income and appreciation improve your financial future, but your investment can also benefit local businesses that might not otherwise have access to investors’ money. Local investment can also attract and maintain jobs, ensuring a community’s long-term stability. While Sandhu and TiLt Ventures are committed to Prince Rupert, these same ideas can easily be transferred to your hometown.
TiLt Ventures is an investment company that focuses on real estate, stocks, and sports betting, and aims to educate others on how to navigate the world of high-ticket investments. CEO David Sandhu started the company with the goal to transform Prince Rupert, BC, and bring commerce back to the small port city. To learn more about the company, click here.