Rent or buy: answers to the big question

We know that making the jump from renting to owning a home is a big one, so we wanted to write a blog addressing the advantages of home ownership. You need a roof over your head, no matter what, but the simple truth is that while you’re paying rent, you are paying someone else’s mortgage ad not building up any equity of your own. This is enough of a reason for many people to want to buy their own place, but if you still need convincing, we’ve got other reasons for you to consider making that jump too.

Cost effectiveness

How much are you paying in rent right now? We often hear from people that they can’t afford a mortgage, but the truth of the matter is that your monthly mortgage payment could be way lower than what you are currently paying in rent.

CMHC (Canada Mortgage and Housing Corporation) notes that the average cost to rent a 2 bedroom apartment in a newly constructed building in Halifax is around $1,200 a month. Yikes! The monthly payment on a new two-bedroom mini home from Havill’s starts from as little as $420 (plus lot fees, which vary depending on where you are going to site your home, but even with that added in your payments are going to be well below what you’d be paying to rent).

Building on your financial future

Property is a sound investment. Every payment you make towards your own home builds up your equity and helps put you on track to a more secure future. For many years, property has been the best investment you can make, and this is true here in the HRM. Despite the soft economy we’ve experienced these last few years, housing prices have not dropped in the HRM, making real estate a solid investment.

Sure, owning a home can be a scary thought if you’ve never committed to a mortgage before, we get that, but it isn’t as if you’re going to find yourself in a position where you no longer need a roof over your head. Think about how much money you’ve spent on rent so far in your life, and whether you really want to continue lining someone else’s pockets with your hard earned cash!

But what about home maintenance?

It is true that when you’re renting, someone else is responsible for the maintenance of your home. However, a new mini home is fully protected by three levels of comprehensive new home warranty, giving you peace of mind.

Once you own a home, you realize how many common issues are actually pretty simple to fix yourself (and funnily enough, working out how to solve home issues is very satisfying). Plus, you get to have the appliances and systems in your home that you want, as opposed to the low-end versions that are commonplace in rental homes, which in itself gives fewer issues.

Still have concerns about making the jump to home ownership? Come talk to our knowledgeable staff and they will happily answer and questions that you have, and put you on the right track to home ownership if you feel that it is the right move for you.

 

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