Features
Do you want a challenge? Try opening a restaurant in Mexico – four different times in six years
By BERNIE BELLAN In December 2021 Myron Love wrote a story for The Jewish Post & News about former Winnipegger Megan Kravetsky.
How I happened to give Myron that particular assignment was an interesting story in itself. I had begun delivering Meals on Wheels for the Gwen Secter Centre in the summer of 2021 – which, if you can recall, was a period when we were still enduing periodic shutdowns due to Covid. As a result, the Gwen Secter Centre stepped up the number of meals that it began producing – not only for Jewish clients, but for hundreds of non-Jewish clients as well.
I wrote several times about the incredible effort that the staff at Gwen Secter put into producing what ultimately became over 600 meals a week, but that’s not the point of this story. This story is about food though, so there’s a connection.
In any event, beginning in the fall of 2021 I began delivering kosher meals for Gwen Secter on a weekly basis to a number of clients, some of whom some have remained on my list ever since.
One of those clients was a woman by the name of Joanne Field. Like most of my Meals on Wheels clients I developed a nice rapport with Joanne. One day she asked me if I’d be interested in doing a story about her granddaughter, whose name she told me, was Megan Kravetsky. According to Joanne, Megan had been operating a popular restaurant in Puerto Vallarta by the name of Blake’s Bar & Grill, and Joanne thought that readers of the paper who might be heading to Puerto Vallarta that winter would be interested in dropping into Blake’s.
As it turned out, I asked Myron Love to do that story instead of doing it myself because we were coming up to our Chanukah issue at the time and I didn’t have time to talk to Megan and write a story – but I did think that the Chanukah issue presented the perfect opportunity to let readers know about Megan and her restaurant.
That was in December 2021 and, even though my wife and I have been to the Puerto Vallarta area several times – and really love it there, what with Covid putting a crimp in travel plans for several years, it wasn’t until this year that I had the opportunity to head back to Puerto Vallarta. While I was there, I thought, I’d like to touch base with Megan and visit Blake’s myself.
Which is how I came to do a completely different type of story than I expected to write.
You see, Megan Kravetsky’s experiences in Mexico can fill a book – and a good part of that would be a horror story. Try this one on for size: Not only was her business badly affected by Covid in 2020 – just after she had moved into what was then the second location for Blake’s – after having moved from the first location because it was just too small – this past October, after having moved yet again into a different location for Blake’s in what Megan thought was going to be a great location – Hurricane Lidia swept through Puerto Vallarta and Blake’s was forced to close down.
Still, Megan persevered. She had opened another small pop-up restaurant last May called Drop Shot Chill n Grill in an area well known to many Winnipeggers who spend time in Puerto Vallarta, near what is known as the hotel zone. But, in another series of unfortunate circumstances, this time having to do with a very nasty landlady (who repeatedly cut off the electricity to Drop Shot), Megan was forced yet again to close down.
Read on and you’ll find out about the long string of unfortunate events that seem to have accompanied Megan ever since she decided to move to Mexico in 2018, but once you finish reading the story you’re bound to have an immense amount of admiration at how resilient Megan has proven to be.
Here’s some of what Myron wrote in his December 2021 story: “Three years ago, the veteran chef and restaurant consultant came across a deal she couldn’t refuse when she took advantage of an opportunity to buy Blake’s Restaurant and Bar, an established operation in Puerto Vallarta. Megan is now happily living year round in Mexico.
“Now, in truth, the former River Heights kid (Brock Corydon and Grant Park) was no stranger to the Mexican resort community. She notes that her parents, Charles (whose mother is Joanne Field) and Vivian Kravetsky, are long time seasonal residents of the city – spending six months a year there and six months in Winnipeg – and she had visited many times over the years.
“ ‘It was perfect timing,’ she says of her move to Puerto Vallarta.
“ ‘The first year was tough,’ she adds. ‘My Spanish was limited – which made it sometimes difficult to communicate with my staff. Now I am fluent.’
“Kravetsky notes that her original career goal was to become a lawyer (like her father). ‘After five years of university (the University of Manitoba), I realized that that was not what I wanted to do, she recalls.
“Instead, she earned a business degree in management and marketing and went to work in the restaurant industry. She had worked in the restaurant trade part time throughout university. Over the next 15 years, Kravetsky worked successively for the McDonalds chain, Moxie’s, the Olive Garden and Montana Steak House.”
Before I met with Megan on March 16 – at the location of the most recent incarnation of Blake’s Bar & Grill in the port area of Puerto Vallarta known as Puerto Magico, which is where passengers from cruise ships disembark, I had a chance to see for myself the damage that Hurricane Lidia had done to her restaurant. The interior was all covered with tarp, but I was able to see through a hole in the tarp. I was quite surprised to see that the restaurant itself was largely intact – tables and chairs all in place, dishes, utensils and cooking equipment all in place, but the windows to the outside were all blown out. That piqued my curiosity and became the subject of part of our conversation.
Still, as my wife Meachelle and I sat down with Megan to enjoy a beverage in a nearby coffee shop and listen to her story, I couldn’t help but be impressed by Megan’s very positive attitude. As it turns out, Megan had been in my son Jordy’s class at Brock Corydon School (of which I was not aware. Also, somewhat coincidentally, Jordy, who now goes by the name Jitendradas Loveslife, also lives in Mexico, in a town populated by New Age former hippies known as Ajijic.)
I asked Megan how she came to own a restaurant in Puerto Vallarta?
Megan explained that she had gone about as far as she could as a restaurant manger in Winnipeg. As Myron noted, Megan had worked for McDonald’s, Montana’s (helping to open their Kenaston location where she worked as a line cook), Moxie’s Bar & Grill, Olive Garden, also Famous Dave’s – all before she had even turned 30.
Megan had been traveling to Mexico with her parents and siblings for years, she told me, and fell in love with the country. So, in 2018, she took all the savings she had accumulated and bought Blake’s Bar & Grill in downtown Puerto Vallarta, which had first opened in 2006. Before she was able move to Mexico though, Megan had to acquire a residency permit – which was no easy task, she explained.
You see, in order to purchase a business in Mexico, one needs something called an “RFC” (which translates from the Spanish to Federal Taxpayers Number).
As Megan told us, “without that (the RFC) you can’t purchase cars, housing, anything. I got my residency before I moved down. You have to do your residency out of country.”
I asked her how she could become a Mexican resident while still in Canada?
She said, “You apply, you have to make a certain amount of money. So I applied three times – within a six month period. I went to Toronto twice. Applied. Denied. Both times. Went to Calgary” – and finally got her residency permit.
But, there’s something else Megan explained that made the challenge of buying Blake’s even more difficult: She wasn’t able to finance the purchase – she had to pay cash entirely – something, we were also told, is par for the course for just about any major purchase in Mexico, including houses.
But, just because Megan was able to buy Blake’s, she wasn’t able to work in her own restaurant, she told me, until she had a work permit. As she explained, “…so you get one year temporary residency, then you apply for a three year extension after that, and then after that, then you apply for your permanent residency. But temporary residency doesn’t include a work permit. That’s the biggest thing, so I had to apply for my work permit to be attached to my temporary residency.”
Megan, however, had forgotten to apply for a work permit – which she would have needed to work in her own restaurant. “But,” she explained, “then when my daughter was born (in 2019) – because she’s Mexican, I automatically became a permanent resident. So I didn’t have to wait for four years – I only waited two (to become a permanent resident)” – thus allowing her to work in her own restaurant.
Now, while Megan’s initial foray into the restaurant business was quite successful, the first Blake’s Bar was too small to accommodate the high number of customers it was attracting. As Megan put it, “the place was too small. It was a very small… very small restaurant.”
And then, in 2020, Covid hit. While Mexico had no sort of rules requiring masking in public places, it did institute rules governing social distancing – with a six feet distance required between tables. “We could only have two or three tables in at one time during high season,” Megan said.
So, in 2021, Megan moved to another location in Puerto Vallarta, in an area known as Plaza Santa Maria. Things were going really well in that new location. It had become a very popular spot for Canadians, especially Winnipeggers, as Megan made sure all Winnipeg Jets games were shown there. (Megan was in that location when Myron contacted her and she was brimming with confidence when she spoke to him about how well things were going.)
There was one major problem, however, as Megan explained: “The landowner there didn’t pay her taxes. So when you went to go take out your licensing, you have to show proof the taxes are. And if they’re not paid, then you can’t take out your licensing. And she owed back taxes of almost five years, which was over 300,000” (pesos – or about $22,000 Canadian dollars).
“And she didn’t want to pay it. So I had no choice,” Megan noted. As a result, after only one year in what had been a very successful location – even if only for a short while, Megan moved yet again, in 2022 – this time to the Puerto Magico location.
The owners of the building where Megan opened what by then had become the third location for Blake’s in only four years had induced her to move there with all sorts of promises, she said: “They had promised us numerous things that they never completed. The passport office was supposed to open upstairs two years ago. Still not open. Another restaurant was supposed to be up there. We were just alone up there. There’s nothing. They made it impossible for guests to get up the stairs. They wouldn’t fix the elevator. It still doesn’t work to this day. It’s been three years…and the whole thing with that is they don’t want to pay the electricity to have the elevator working.
“So they just made it impossible for the cruise ship people to get upstairs or any people in general to get upstairs.” On top of all that, the owners of Puerto Magico didn’t allow Megan to have any signage on the street which would have told tourists that Blake’s Bar was there.
Still, Megan might have been able to turn things around were it not for that hurricane last October. She had developed a great reputation as a restaurateur. (Just take a look at the glowing reviews on Tripadvisor for Blake’s Bar). In addition, Megan is a fantastic baker and she had opened a bakery known called Sweet Temptations Bakery Boutique next door to Blake’s in Puerto Magico. That closed too the same time as Blake’s when the hurricane hit.
You’d think, however, that notwithstanding the damage that a hurricane might have caused, it would just be a matter of time before things could have been repaired and Blake’s would have been back in business – but that wasn’t the case.
While the interior of the restaurant was left largely intact, the windows had all been blown out. So, it’s just a matter of replacing the windows – right? Or, so you’d think. But this is Mexico – and similar to the landlady who didn’t want to pay her taxes in Blake’s previous location, the owners of Puerto Magico haven’t moved to replace the windows that were blown out.
Here’s how Megan described what happened: “So, the whole thing here, after the hurricane hit, when you construct a building here, the windows and doors are property of the plaza. Doesn’t matter if you put them in, they put them in, it’s property of the plaza. You can’t leave with them. Yeah. Same with the floor. So when the hurricane came through and destroyed everything, the first thing they said to me is our insurance will cover it, our insurance is going to cover it, it’s our property.
“So we waited and waited and waited and waited and about two and a half to three months in, they said, nah, our insurance actually isn’t going to cover it. At that point, my own insurance wouldn’t cover it anymore. It has to be done within 24 hours. That’s just how it is.” (Note to readers: Anyone from Winnipeg could identify with Megan. A building burns down and a pile of rubble remains for years. A bridge closes because it’s unsafe and it sits there – unusable, but with no plan to replace it.)
Not one to let anything get her down though, Megan still had her pop-up restaurant, Drop Shot Chill n Grill. As I mentioned at the beginning of this story though, just recently that site too had to close down.
This time it was the landlady who owned the area where Drop Shot was located that forced Megan to close. While Megan leased the space for her location from an individual who didn’t actually own the land where Drop Shot was situated, he had tennis and pickleball courts there. Apparently though, the woman who actually owned the land didn’t like the loud music coming from Drop Shot – even though it wasn’t in a residential area at all.
Again, here’s how Megan described the situation: “In our contract it stated that I was allowed to have live music, barbecue, blah, blah, blah. The landowner who owns the land, who I don’t lease from, owns the hotel behind the parking where the tennis courts are. And she doesn’t like noise. She doesn’t like any noise. Yet, they have music and tennis tournaments and fairs and they have the food park and all that.
“So, during our live music, she would complain constantly, even though our music was only from 3 to 6 – that her guests, one guest in particular, couldn’t sleep – it was too loud. We always abided by the decibel restriction limit; it was never over the decibel limit.”
The story continued: “So she cut our electricity off once when we had the live music – but the second time she did it, I had a generator. She didn’t know that I had a generator going. So she had cut the electricity, but the music was still playing. So at that point she would call the ‘reglamentals’ – the bylaw officers, who would come check and she’d say, ‘There’s really loud music going on at Drop Shot.’ They would come, they would check, they’d check my permits, everything would be okay, they’d leave. That’s when I called the police on her. They’re my friends. They had a very long conversation with her… told her that it’s illegal to cut the electricity, she can’t do it.”
But, as you might expect, the landlady wasn’t about to back down. “It got to the point where she threatened the guy who I was subleasing from that if he didn’t get rid of me, she was going to get rid of everybody.
“She wouldn’t re sign the contract with him. So he’s had his tennis courts and pickleball courts there for over five years. And she said, ‘if I don’t leave, then everybody’s leaving.’ “
So, once again, Megan has had to abandon what had turned into a successful venture – but after dealing with Covid, a landlady who didn’t want to pay taxes, a hurricane, and a landlady who doesn’t like loud music, you’d have to wonder whether Megan is still willing to enter into yet another food venture?
Not surprisingly, she said she is. I asked her “How real is that? How feasible or viable?”
“Oh, it’s very viable,” she answered. “We’re just waiting on the contract to be signed.” Megan added that she has someone who she wouldn’t describe as a partner in her putative venture, but somebody “that’s going to help me.”
Throughout our conversation I had refrained from bringing up the subject that surely must be in the back of many a reader’s mind when it comes to thinking about doing business in Mexico: What about the cartels? Has Megan had any run-ins with the local cartel I wondered? (And when it comes to cartels, Puerto Vallarta is located in the state of Jalisco. Anyone who knows anything about Mexican cartels would know that the Jalisco cartel has a reputation for extreme violence.)
Megan answered though that “They’re not really that visible here… They keep it very under the table here.”
I said though that “the Jalisco cartel is notorious.”
But, Megan responded, “that’s more towards Sinaloa and Chihuahua.”
Still, given Mexico’s longstanding reputation for corruption at almost every level, I asked Megan, “Did you have to pay off people?”
She answered: No, never, never, never had to pay anybody off. You give back and then, you know, everybody takes care of each other.” She went on to describe the excellent rapport she has had with the local police, for whom she has catered a huge feast known as a “masada” every year, at which over 400 police have attended.
It’s hard to imagine someone coming down to Mexico and, within the space of only six years, opening restaurants (and closing them) in four different locations, yet still remaining optimistic that she’ll be able to open a fifth in short order.
If and when Megan does open another restaurant – I’d sure like to try the food. If the reviews she received on Tripadvisor for each of her locations are any indication, one thing Megan Kravetsky knows is how to prepare great food – and leave her customers with a thoroughly enjoyable experience.
Features
Author and lifelong nurse Tilda Shalof’s new book a guide not only for young nurses but one that will appeal to a wider readership
By MYRON LOVE Tilda Shalof’s most recent book – “The Handover – a Nurse’s Last Shift” was, in the words of its author, “written for the general public, to understand nursing. Nursing is everyone’s concern, not just nurses. The general public has a stake in the matter,” she observes.
I can guarantee that there are plenty of stories and anecdotes that the author shares from her own experiences that will also be of interest to a wider readership. I certainly enjoyed the book.
The title – “The Handover,” she explains, is the regular exchange between nurses going off their shift and the nurses beginning the next shift, during which the outgoing nurses pass on all relevant information about the patients under their care to the incoming nurses. A recurring thread throughout the book – of close to 400 pages – is the retiring Shalof’s interaction with three student nurses whom she had recently befriended through one of her many speaking engagements. In particular, Shalof gives co-writing credit to one Lisa Mochrie – a nurse who the author acted as mentor to during Mochrie’s last period as a student and continuing through her early nursing career.
There is a tendency for many people to take for granted people I would describe as working in a service capacity such as nursing. One of the reasons that Shalof points out in her book for our ongoing nursing shortages is that young men and women are more likely to be encouraged to pursue a medical career (to be a doctor) than a nurse. This, she points out, despite the fact that hospitals can function without doctors – but not without nurses.
Some other factors, she notes, are the ever increasing demands of documentation – which detract from patient care – and regulations, which have taken much of the satisfaction out of the profession.
In an interview with this writer, she observes that Jewish nurses are few and far between because nursing is not a profession that most Jewish families encourage. (I can only name a handful of Jewish nurses that I have known or have come across.)
She spoke about how she became a nurse early in life to her aged and ailing parents – being the only daughter – (she has three older brothers) and the last of her siblings to leave home. In “The Handover”, she also makes frequent reference to fictional nurse Cherry Ames – the heroine of numerous books written between 1943 and 1968 – as inspiration for Shalof’s choice of career.
For the first 30 years as a nurse, Shalof worked in an intensive care ward at Toronto General Hospital. She subsequently worked for a short time at an HIV clinic and, later a hospital day clinic and a neurosurgery unit. She also spent several summers as a camp nurse at a Jewish camp while her kids were campers there.
“The Handover” is Shalof’s seventh book. Her first book, published in 2004, was “A Nurse’s Story,” chronicling her experiences over 30 years as an ICU nurse. Among her other books are:“Camp Nurse,” recounting anecdotes from her time working summers at her children’ summer camps, and “Opening My Heart” – an account of the profession from the point of view of a patient after she had open heart surgery.
Coincidently, she notes, she began her first book around the time of the SARS outbreak in Toronto in 2003. Shalof says she started writing her latest book at the height of the Covid lockdowns, which she references from time to time in the book. .
The approach Shalof has taken in writing “The Handover” – following a foreword and introduction – is literally an A to Z overview of everything there is to know about nursing – with each chapter focusing on one specific letter of the alphabet. Each chapter relates her thoughts and tells anecdotes from her own nursing experiences over 40 years in the profession, as well as her interactions with Lisa Mochrie and the other two student nurses as they transition from students to professionals.
In her conclusion, she observes that “nursing can be a path to making a difference – having an impact. It can be a front row seat at the theatre of life. Or it can be a job, a way to make a living and help support your family. “
Most importantly, she added, “make sure you try to have some fun. Do everything in your power to enjoy being a nurse”.
Although the now 67-yeear-old author is retired from the practice of nursing, she remains in demand as a speaker and advisor. She continues to get calls from throughout North America seeking her advice.“The Handover” is available from the University of Toronto Press.
Features
Michael Mitchell: His Labour of Love in Law
By GERRY POSNER The Mitchell name in Winnipeg has been around a long time and much of the the name recognition stems from the long connection of the family to a business known as Mitchell Fabrics, a mainstay on Main Street for many years. Established by Mendel Mitchell generations ago and not closed until 2017, many family members, including in-laws, worked there as managers, students and retirees. And yet, the family vocation was not limited to just the business, t it stretched out into the world of law, and more specifically the field of labour Law. One particular Mitchell reached the peak of all aspects of Labour Law. Three Mitchells: Leon, son Grant (a senior management side labour lawyer in Winnipeg), and daughter April Katz (an academic at the University of Victoria Law School), had stellar careers in that field. Yet another Mitchell, Michael, also achieved great acclaim as a labour lawyer. Michael, a product of the south end of Winnipeg, is the son of the late Harry and Gertrude (Sirluck) Mitchell, so he has some impressive genes going for him. But he has added to the story immeasurably.
Perhaps it all began for Michael Mitchell when he graduated from what was the first and only Grade 7 Hebrew school class at Herzlia Academy. He later was Regional Vice-President of AZA in his teenage years. After two years at Joseph Wolinsky Collegiate and two more at Grant Park High School, Mitchell went off to the University of Manitoba for his first year and then on to the University of Toronto, where he obtained a BA in Political Science. Then came law school, also at the University of Toronto, from where he graduated with an LLB in 1975. Along the way, he married the former Lynne Berman ( also from Winnipeg).That union produced three Mitchell daughters, two of whom are physicians – in psychiatry and neurology respectively, while the third is a pioneering pre-school educator. Michael and Lynne also have six grandchildren.
For a large part of his career as a lawyer, Michael Mitchell practiced law in Toronto as a senior partner in the firm of Sack Goldblatt Mitchell – from 1980 through 2014, having joined the firm in 1975 as a student. The firm was committed to the union side practice of Labour and Employment Law. Not so surprisingly, he had to appear at all levels of courts, also administrative tribunals.To his credit, his work and impressive track record was recognized by his peers as he was named a leading labour lawyer in Canadian Lexpert Directory and was frequently recommended in Best Lawyers in Canada. Between 1982- 2006, Mitchell was also the managing partner of the firm, which suggests to me an ability to manage people, not an insignificant skill. During his tenure as the managing partner, the law firm grew from just under ten lawyers to over fifty, with offices in both Toronto and Ottawa. His responsibilities were firm leadership, strategic decision making and financial management.
But, what a career Mitchell has had. For starters, aside from his time as a practicing lawyer in the field of labour law, he has, since his leaving the practice, just changed hats. From 2015 to 2018, he was part time Vice-Chair of the Ontario Labour Relations Board and, from 2018 as of this moment, he has become full time Vice-Chair at the same Ontario Labour Relations Board. Needless to say that, over the course of his administrative work since 2015, Mitchell has been at the centre of some significant decisions and, if you are interested, I can direct you to the selected substantive decisions in which Mitchell has been involved.
Moreover, Mitchell has worked and continues to work in the area of mediation and arbitration of both labour and indeed civil law. This is a large area, to put it mildly. For starters, there is the entire field of grievance arbitration. To be involved in cases of this kind, your name has to be put up by one of the parties and often agreed to by the other party. That means you have credibility with both of the protagonists. Mitchell clearly has that kind of reputation and draws support from both sides of the aisles – as it is referred to in some circles. He has been an arbitrator/ referee in many cases, including the famous 1986-1990 Class Action settlement related to individuals who had contracted Hepatitis C. Further, he has conducted numerous civil mediations related to employment, contracts and human rights matters. Mitchell also mediates and arbitrates collective bargaining disputes.
One of Mitchell’s’ main achievements was that he was invited between 2015-2017 to be a Special Advisor (with capital letters, no less) to the Ontario Minister of Labour with regard to the Changing Workplace Review. This was a landmark review of the Ontario Employment Standards Act and the Labour Relations Act where he, together with Justice John Murray, recommended many legislative changes to protect workers from the negative impacts of precarious employment. The best part of his work was that many of th recommendations were actually adopted. Other recommendations remain for future governments across the country to consider.
If you really want to delve into the Michael Mitchell career, you should know that, over the span of his career there are many publications that he has authored. The main one is his textbook on the Ontario Labour Relations Board, which he co-authored with his early mentor, Jeffrey Sack, and which remains the leading authority on the Ontario Board.
Mitchell comes by his passion for labour law honestly. His uncle, Leon Mitchell, was an iconic force on the union side in his practice of law in Winnipeg and was the inspiration for Michael to enter law to become a labour lawyer in the first place. In fact, it was Leon who introduced Michael to a man in Toronto who recommended Michael to connect with an up and coming labour lawyer in Toronto named Jeffrey Sack K.C. That connection resulted in the Sack Goldblatt Mitchell law firm. As well, Michael was well known to Sid Green during the early years of Sid’s law career, also his early days as a Cabinet Minister in the Schreyer NDP government. Sid was a person who exerted a significant influence on Michael.
With all that on his plate, Mitchell found time to be the president of the Darchei Noam Synagogue in Toronto between 2004-2008. He has also been the president of the Jewish Reconstructionist Federation of North America. During his term, he led the merger negotiations which ultimately resulted in the current structure of that movement ,which is now referred to as Reconstructing Judaism. Its singular aspect is that it consists of a single organization combining congregations plus a Rabbinical School. That was enough to get Mitchell an invitation to attend one of President Obama’s Chanukah parties at the White House during the Obama term. As well, to this day, Mtchell sits as a Director of the New Israel Fund of Canada.
Mitchell has his feet still planted in Winnipeg. His two sisters live there, as well as Lynne’s sister. In fact, he just visited Winnipeg for his sister Ruth Ann’s and Paula’s 85th and 80th birthdays respectively. And to keep up to date, Michael and Lynne Mitchell have long had a subscription to the Jewish Post.
In short, at just under 80, Michael Mitchell is moving like he is eighteen. The longevity of his career may soon rival the longevity of the family business, Mitchell Fabrics.
Features
Building Credit in College for Future Real Estate Deals
Most college students aren’t thinking about mortgages. But the students who buy their first investment property at 25 or 27 started building credit at 19 or 20. The two are directly connected.
Real estate is a game of capital access. Lenders don’t care how motivated you are – they care what your FICO score says. A 760+ score gets you prime mortgage rates. A 620 gets you higher interest and fewer options. The difference in monthly payments over a 30-year mortgage can be tens of thousands of dollars.
The window you have in college to build credit without major financial pressure is one of the most underused advantages Jewish students have.
Credit Foundations: Where To Start
Your credit score is built from five factors. Payment history makes up 35% – the largest single component. Credit utilization (how much of your available credit you’re using) accounts for 30%. Length of credit history, credit mix, and new inquiries cover the rest.
For most students, the first practical step is a secured credit card or a student credit card. Secured cards require a deposit that becomes your credit limit – typically $200-$500. They report to all three major bureaus and build history the same way unsecured cards do.
The rules are simple but require consistency. Pay the full balance every month. Keep utilization below 30% of your limit. Don’t apply for multiple cards in a short period. These habits compound over years – a student who starts at 18 has 7 years of credit history by the time they’re ready for a first mortgage.
One underused option: ask a parent or family member to add you as an authorized user on an older card with a clean payment history. You don’t need to use the card. The account’s age and payment history get added to your credit file immediately.
Researching Investment Options During Studies
Business, economics, and finance students regularly analyze real estate markets as part of their dissertation. That work isn’t just academic – it’s actual market research that doubles as preparation for real investing decisions.
However, balancing dataheavy analysis, market research, and exams often leads to extreme burnout. To survive the final semester, many students look for external support. Some of them use EduBirdie – best dissertation writing services for timely delivery and consistent quality on deliverables when the research load is heavy. Outsourcing the formatting and drafting frees up time to dig deeper into the actual market data that matters for real investment decisions. The analysis you build during college becomes your knowledge base before you ever make an offer.
Smart students treat every finance and real estate assignment as a portfolio of personal research. That perspective shifts the work from obligation to investment preparation.
How Student Loans Affect Your Future Mortgage
This is where many graduates get surprised. Student loan debt directly affects your debt-to-income ratio (DTI) – a key metric lenders use in mortgage approval. Most conventional lenders want your total monthly debt payments to stay below 43% of gross monthly income.
If you graduate with $40,000 in student loans at a standard repayment, your monthly payment is roughly $400. That $400 counts against your DTI before you add a car payment or rent. Managing your loan balance and making consistent payments not only builds credit – it keeps your DTI workable when you’re ready to buy.
Income-driven repayment plans can lower monthly payments but extend the loan period. For mortgage purposes, lenders typically use the actual monthly payment shown on your credit report when calculating DTI.
Practical Steps For Building Credit In College
Keep Utilization Low
Staying under 30% of your credit limit matters more than most students realize. If your card limit is $500, that means keeping your balance below $150 before the billing date. Paying in full each month handles this automatically.
Monitor Your Score Regularly
Free monitoring is available through Credit Karma, Experian, and most major banks. Checking your score doesn’t hurt it. Set up alerts for new inquiries, changes in balance, or any accounts you don’t recognize. Catching errors early prevents damage that takes months to fix.
Build Your Credit Mix Over Time
Lenders like to see that you can handle different types of credit. A student card, a small personal loan, and eventually a car loan create a credit mix in college that strengthens your profile. Don’t open accounts you don’t need, but don’t avoid credit out of fear either.
Here’s a practical credit-building checklist for college students:
- Open one student or secured credit card and use it monthly
- Pay the full balance before the due date every month
- Keep utilization below 30% at all times
- Become an authorized user on a parent’s old card if possible
- Check your credit report annually at AnnualCreditReport.com
- Make all student loan payments on time once they enter repayment
- Don’t close old accounts – account age matters
Understand What Mortgage Pre-Approval Requires
When you eventually apply for a mortgage, lenders will look at your FICO score, DTI, employment history, down payment, and reserves. The credit score threshold for a conventional loan is 620, but most competitive rates start at 740 and above. FHA loans allow scores down to 580 with a 3.5% down payment.
Starting to build credit at 18 or 19 means arriving at your first mortgage application with 6-8 years of credit history. That length alone adds 15% of your score. Combined with responsible utilization and clean payment history, you can realistically hit 740+ before you graduate.
The Long Game
Real estate investing after college isn’t a fantasy – it’s a planning problem. The students who pulled it off didn’t get lucky. They started building credit years before they needed it, kept their DTI manageable, and used their time in school to understand the markets they wanted to invest in.
The credit habits you build now are the credentials lenders will evaluate later. Start with one card, pay it in full, and let the history accumulate. Five years from now, that consistency becomes a mortgage approval and the keys to your first property.
