Anyone who considers the low return on the Toronto Condo -$45 or the loss on renting out the BC condo should think about the capital pay down on the mortgages. This is not a loss but profit. On the BC condo, I estimate the capital pay down to be about $1,000 a month, thus an actual profit of about $500 albeit at a running cost of almost $500 per month.. Without more details on the Toronto condo it is impossible to know what the actual profit is.

Real estate can lose value as well as gain value. It is certainly not a slam-dunk investment. Though, for the record, I am heavily invested myself although at very low leverage levels.