Purchasing a home is an intimidating prospect—whether it is your first home, second, third, or more. Homeownership comes with a lot of responsibility and your ability to rise and meet that responsibility can have a lasting impact on your personal and financial future.
Just because we can get you the best mortgage rates in Calgary doesn’t mean that you should leap blindly at the opportunity. Before you purchase, you want to make certain you have found the right house for you. And before that, you need to think about why you should purchase any home at all.
There are amazing deals are out there. Due to the economic downturn, many people are selling their homes at losses, which results in a gain for you. Chances are good that you can find a home that will give you a lower monthly payment than you pay in rent. Even if what you find will result in a monthly payment slightly higher than your rent, this results in something called “forced savings”. Essentially, most of us are no good at actually saving our extra money; when you pay it into your house, you save that money as it converts into the worth of your home.
Mortgage rates in Calgary are low and the best they have been in years. This means that you will be able to pay off your mortgage sooner and with a lower overall cost to you. Between these low rates and the amazing housing deals available in today’s market, it is pretty hard to think of a reason not to purchase.
Home value appreciation gives you more than you pay for. While home values may be less with the current economy, this is historically a rare case. Home ownership is a long-term investment. If you buy in now, you can take advantage of the lower prices and greatly increase the chances that you will see a significant gain in the future.
Property tax deductions make your tax bill lighter. Once you own your own home, you are officially a property owner in the eyes of the government, which nets you a tax deduction. Not only do you get a place to call your own, you also get some extra money left in the bank when the fiscal year is up.
Equity is built as you pay down your mortgage. (Equity is the value of your home as calculated by taking its market value and subtracting what is owed on it. Essentially, it’s the amount of the home you actually own.)
The pride you feel when you can call where you live ‘home’ is incentive enough in itself.
If you didn’t have a reason to purchase a home before, you do now. But don’t navigate the process on your own. Enlist the services of an experienced mortgage broker who can work with you to maximize its value.