If you're thinking about buying a cottage, here's a link to our advertisement:
http://www.youronlineagents.com/carledward...ng.php?id=67924
We have a 3 bedroom cottage for sale on Pigeon Lake (224K). As I'm sure you know, the fishing on Pigeon is great. The cottage is in great shape, the property has loads of privacy, year round access and great neighbors. We're selling because my wife wants to be on a deep northern lake instead of the shallow lakes of the Kawarthas.
We have some experience renting. The best thing about renting is that all of your expenses are a tax write off (mortgage interest, utilities, everything). Our total expenses last year were just shy of 9k. Our tax refund was close to 2k, so it cost us about 7k to own the property. Meanwhile, waterfront property has been increasing in value at 10-15%/yr. On a property that is worth 200k that's an increase in value of 20-30k. After the expenses, the asset has cleared about 15-25k. Over the long haul, investing is property is a cant-miss investment, especially waterfront with good access.