Canadian to US Real Estate Shift: Carlos Rodrigues' Journey & Tips

Update: 2025-10-06

Description

In this episode of the Wisdom Lifestyle Money Show, host Scott Dillingham chats with Carlos Rodrigues, a Canadian real estate investor who transitioned his portfolio from Ontario to the US Midwest, focusing on Cleveland, Ohio. Carlos shares his frustrations with Canadian financing limitations, including being denied a standard refinance despite strong income, leading him to explore US opportunities. He highlights discovering affordable properties in Cleveland, where he started with a $35,000 duplex that required $60,000 in renovations but appraised at $150,000 post-rehab. Emphasizing subsidized housing through the Section 8 program, where the government covers part of tenants' rent, Carlos explains how this strategy ensures stable cash flow in a market with about 50% renters in a metro area of roughly 2.1 million people.

Carlos discusses the differences between investing in the Greater Toronto Area (GTA) and the US, noting that while GTA has seen strong appreciation over the past 20-25 years, US markets like Cleveland prioritize cash flow over rapid value growth. He warns of pitfalls like point-of-sale inspections in surrounding municipalities, which can require escrow for repairs, and issues like lead remediation in older homes. With properties often being purpose-built rentals like duplexes and triplexes, Carlos stresses the importance of hands-on management, even with property managers, and shares his experiences with contractor issues and neighborhood selection to avoid high-risk areas. As of November 2025, Cleveland's housing market shows median home prices around $135,000, up 6.1% year-over-year, with modest growth projected at under 1% by year-end amid steady demand.

Now helping other Canadians through mentorship, joint ventures, and E-2 visa guidance, Carlos offers resources for setting up US entities and finding reliable professionals. He and Scott touch on LendCity's expansion into US financing with over 25,000 lenders and investor-focused team members. This episode provides practical insights for cross-border investing, blending personal anecdotes with current market data to empower listeners eyeing US real estate for long-term wealth building.

Key Takeaways

Financing Challenges in Canada: Struggles with refinancing and portfolio expansion pushed Carlos to the US, where options are more investor-friendly despite initial hurdles like setting up corporations.
Cleveland Market Appeal: Affordable properties (e.g., $35K duplexes) in a renter-heavy city (50% renting in 2.1M metro) offer strong cash flow, especially with Section 8 subsidies covering portions of rent.
Renovation and Value-Add Strategy: Invest in older homes needing updates to boost appraisals (e.g., from $95K all-in to $150K), but budget for lead remediation and point-of-sale inspections that may require escrow for repairs.
Risk Management Tips: Avoid war-zone neighborhoods; use on-site oversight for renovations; negotiate using city inspections (e.g., $50K repair lists) to lower purchase prices.
Helping Canadians Invest: Through cashflowcarlos.com, mentorship programs guide setup, contractor sourcing, and E-2 visas for active US business involvement, plus joint ventures on projects.
US vs. GTA Investing: Focus on cash flow in US (easier undervalued deals via wholesalers) versus GTA's historical appreciation; expect modest 2025 growth in Cleveland with median prices at ~$135K.
Cross-Border Financing: Partner with investor-savvy lenders like LendCity for US deals, leveraging boots-on-ground expertise in Ohio and Florida.

Links to Show References