Welcome to our First-time Home Buyers Series! First on the agenda, let's review the benefits of owning a home.
The absence of a landlord looking over your shoulder can be freeing. Owning a home allows you to renovate and redecorate your space to your liking, and reap the benefits of the improvements on your property (ie. appreciation in value). Living in your own home also brings a sense of stability to your family.
Real Estate in Manitoba has historically been a safe monetary investment. Home values have been, and still are, on the rise in Canada. A home serves a dual purpose: a sound investment, and a roof over your head! (Bonus: your primary residence is exempt from capital gains tax!)
Paying down your mortgage also helps you build equity. A portion of your mortgage payment is applied towards the principal balance of your loan, which you may be able to borrow against in the future. You may decide to tackle a large home improvement, further your education, start a business or even borrow some of your equity to help you kids with university or college bills. The opportunity is there, increasing your security.
Owning a home is more cost effective than renting. Sure, there are upfront costs to buying your own home: deposit on the offer, down payment on the mortgage loan, closing costs. But you'll soon notice that your monthly mortgage payments are most likely to be much lower than your monthly rent payments (use our handy Mortgage Calculator to find out). And the money you save can be used towards home improvements to increase the value of your home!
Look for Part 2 of this series, next week! Meanwhile, if you have any questions, or to discuss your first-home purchase, call or text Cindy at 204-330-2567,.