My son was a Laurier student recently graduated was renting in Waterloo. Had no intentions in buying a property so did not do any sort of property analyisis for positive cash flow. A house came up for sale across the road. Asking price 189.900 . the house is a raised bungalow 40 years old around the corner from high tech park in Waterloo, close to U of W, shopping, bus stop across the road. We offered 188,000 was accepted houses in that area three years ago with upgrades were going for around $220,000. The house past inspection but needed a new roof, furnace and some windows. We put a roof and new furnace in rent paid for part of expenses. The house was in good condition hard floors and did not need any work. We plan on doing cosmetic changes when we sell.When my son moves out I will only be able to have three students since I will not be able to get a license (legal license property across the road). We did not know (nor did my real estate agent know about the 75 metre zoning bylaw for licensed student housing. We were planning on dividing the rec room to have a fifth bedroom. Five students you make your money. With three students I might have a slight negative cash flow because I will have to pay for student insurance $2000 a year when my son moves out. I just want some feedback that even though I cannot get a license was it still a good solid investment since KW is number one place to invest. We plan on holding it if we can afford to for at least another 5 years bought in 2003.