So, you’ve finally decided to take the big step in buying your own home… how exciting! You are ready to fulfill your dream of having a place to call your own.
With rental costs increasing coupled by steady interest rates, homeownership is made all the more compelling and attainable.
In Lloydminster, renters living in an average two-bedroom property experienced a 10 percent increase in their monthly rent from spring 2012 to spring 2013 – $915 to $1014. Proportionately, vacancy rates decreased by 1.2 percent during this same period. (Canada Mortgage and Housing Corporation. Rental Market Report: Saskatchewan Highlights. Spring 2013.)
So you can better prepare by learning about the process of home buying and the responsibilities of homeownership. The differences between renting and buying a home are vast, and there’s a long list of pros and cons for both options. And, remember — there is no one best decision for everyone.
Buying may make sense if you…
– Have reliable income, good credit and documentation to verify your savings
– Can afford at least a five percent down payment and related closing costs
– Want a chance to build equity and be eligible for homeowner tax breaks and credits
– Are financially able to take on home-maintenance and improvement projects
– Have an adequate cash reserve to withstand a loss of job, long-term illness, or other financial setback
– Are planning on staying in your home for at least four years
The advantages of owning or renting are different for everyone, so be sure to consider these important personal situations and long-term goals before making your decision. If homeownership is for you, you must be both financially and emotionally ready. Buying a home isn’t only about money. You should listen to your heart and take an honest look at your lifestyle.
Canada Mortgage and Housing Corporation has a ready-made pro’s and con’s list all ready for you. So sit back, be real, and explore the possibility of that next big step. Get listing here!