Taxation # 2, George Brown College,Toronto Comparing two portfolios looking ahead to April 1 st 2024: Real
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Taxation # 2, George Brown College,Toronto
- Comparing two portfolios looking ahead to April 1st 2024: Real Estate Portfolio vs Stock Portfolio
- Basically, your client wants to decide which portfolio they should keep until April 1st 2024. They want you to tell them the outcomes of both portfolios upon complete dispositions on April 1st 2024. Then they would like you to provide a recommendation as to which portfolio they should keep now (they only want to keep one portfolio and based on your advice will sell the other March 31st 2023
Stock Portfolio
https://www.marketbeat.com/stocks/TSE/
Company | Symbol | Per Share $ | Number shares | Total buying cost $ | Current Price $ | total sell |
Royal Bank of Canada | RY | 136.49 | 3505 | $ 478,397.45 | 138.66 | $ 486,003.30 |
Toronto-Dominion Bank | TD | 91.49 | 4404 | $ 402,921.96 | 92.66 | $ 408,074.64 |
Enbridge | ENB | 54.12 | 4501 | $ 243,594.12 | 52.59 | $ 236,707.59 |
Cash Left Over | $ 1,124,913.53 | $ 1,130,785.53 |
Cash in hand | $1,124,957.72 |
Stock Bought | $1,124,913.53 |
Left over | $44.19 |
Unsold stocks today's market value | $1,130,785.53 |
Total Portfolio $ Value | $1,130,829.72 |
Real Estate Portfolio
https://www.realtor.ca/on/toronto/real-estate
I have 5 properties which I rent out and I am earning rental income every month. I am giving details of each property below.
Property #1
Condo Price | 499,999 | Bed Room | 2 | ||
Maintenance | 776 | Washroom | 1 | ||
Taxes | 959 | Square feet | 1015 | ||
Insurance | 25 | Parking | Not Included | ||
Internet | 80 | Interest | 4.50% | ||
Mortgage/M | 1874.99 | Bank | Scotia | ||
Total | 503,714 | ||||
Monthly Expense | |||||
Monthly Cost/ expense | (2835.9) | Maintenance | 776 | ||
Gain from Rent out | 3150 | Taxes | 79.91 | 959/12 | |
Profit by Rent | 314.1 | Mortgage | 1874.99 | ||
Insurance | 25 | ||||
Internet | 80 | ||||
Total expenses | 2835.9 |
Property # 2
Toronto, Ontario M3N2K9 | |||||
Condo Price | 275,000 | Bed Room | 2 | ||
Maintenance | 780 | Washroom | 1 | ||
Taxes | 959 | Square feet | 1015 | ||
Insurance | 35 | Parking | Not Included | ||
Internet | 80 | Interest | 4.50% | ||
Mortgage/M | 1031.25 | Bank | Scotia | ||
Total | 277,885 | ||||
Monthly Expense | |||||
Monthly Cost/ expense | 1996.16 | Maintenance | 780 | ||
Gain from Rent out | 2250 | Taxes/Month | 79.91 | 959/12 | |
Profit by Rent | 253.84 | Mortgage | 1031.25 | ||
Insurance | 25 | ||||
Internet | 80 | ||||
Total expenses | 1996.16 | ||||
Property # 3
1011-5 Massey SQ,East York | |||||
Condo Price | 469,000 | Bed Room | 2 | ||
Maintenance | 777 | Washroom | 1 | ||
Parking | 55 | ||||
Taxes | 965 | Square feet | 1000 | ||
Insurance | 25 | Parking | Not Included | ||
Internet | 80 | Interest | 4.50% | ||
Mortgage/M | 1758.75 | Bank | Scotiabank | ||
Total | 472,661 | ||||
Monthly Expense | |||||
Monthly Cost/ expense | 1758.75 | Maintenance | 777 | ||
Gain from Rent out | 2150 | Taxes/Month | 80.41 | 965/12 | |
Profit by Rent | 391.25 | Mortgage | 1758.75 | ||
Insurance | 25 | ||||
Internet | 80 | ||||
Parking | 55 | ||||
Total expenses | 2776.16 |
Property # 4
Condo Price | 499,000 | Bed Room | 2 | ||
Maintenance/Mo | 848 | Washroom | 1 | ||
Parking | no | ||||
Taxes | 1143 | Square feet | 1000 | ||
Insurance | 20 | Parking | Not Included | ||
Internet | 69 | Interest | 4.50% | ||
Mortgage/M | 1871.25 | Bank | Scotia | ||
Total | 502,951 | ||||
Monthly Expense | |||||
Monthly Cost/ expense | 2903.5 | Maintenance | 848 | ||
Gain from Rent out | 3200 | Taxes | 95.25 | 1143/12 | |
Profit by Rent | 296.5 | Mortgage | 1871.25 | ||
Insurance | 20 | ||||
Internet | 69 | ||||
Parking | 0 | ||||
Total expenses | 2903.5 |
Property # 5
Condo Price | 635,900 | Bed Room | 3 | ||
Maintenance/Mo | 873 | Washroom | 2 | ||
Parking | No | ||||
Taxes | 1106 | Square feet | 1000 | ||
Insurance | 20 | Parking | Not Included | ||
Internet | 75 | Interest | 4.50% | ||
Mortgage/M | 2384.62 | Bank | Scotia | ||
Total | 640,359 | ||||
Monthly Expense | |||||
Monthly Cost/ expense | 3444.78 | Maintenance | 873 | ||
Gain from Rent out | 3700 | Taxes | 92.16 | 1106/12 | |
Profit by Rent | 255.22 | Mortgage | 2384.62 | ||
Insurance | 20 | ||||
Internet | 75 | ||||
Parking | 0 | ||||
Total expenses | 3444.78 |
Projections
- Real estate portfolio rental income and expense that part should be pretty straight forward
- However, Real estate dispositions will require research
- Stock portfolio projections will need to be anchored in historical data
- Calculate expected/projected capital gains and/or losses
- Calculate anticipated dividends
- Stock A trades at $10 today, $8 a year ago and $6 a year before that....What will it trade at next year?
- Stock B trades today at $33.90, last year at $27, year before at $21.....What will it trade at next year?
- Stock C trades today at $114.27. last year at $91.40, year before $86.10....What will it trade at next year?
Related Book For
Federal Tax Research
ISBN: 9781285439396
10th Edition
Authors: Roby Sawyers, William Raabe, Gerald Whittenburg, Steven Gill
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