With Vacancy rates getting lower and rental housing harder to find – Canadians are having a hard time finding the right place to live in. Most people do not often consider the fact that they could own their own home. With this trend taking place – becoming an owner looks more attractive every day.
HERE ARE 3 THINGS TO CONSIDER:
1. Buying a home helps you build equity
Buying your first home can be a risky proposition for any person – the thought of debt can often stop any person from taking the plunge.
Most won’t consider the fact by renting – you are losing money, instead, imagine being able to build equity. Often called the benefit -received principle – this simply states that a person who owns their home gets a benefit from paying off their mortgage vs. paying rent. Instead of paying someone else to rent out a property – consider the idea that building equity makes your money last.
2. Less risk of rental increase spikes
If you have a fixed-rate mortgage on a home purchase, your mortgage payment will never change. Unless a tenant is in a rent-controlled building or neighborhood, their rent is at risk of rising every year. Since the mortgage payment is the bulk of the owner’s housing price, this creates a lot of budget stability.
3. Tax Benefits
The Canadian government offers a variety of tax breaks and credits that homeowners can take advantage of.
First Time Home Buyers Tax Credit – you can claim a non-refundable tax credit of up to $750 – which is based on a percentage of $5000.
GST/HST Rebate (New Housing Rebate) – – If you are buying a new home as your principal residence, and if it is less than $450,000, you may be able to claim the GST/HST new housing rebate. BC residents can also claim on the provincial portion if they buy, build, or do a major renovation of their principal residence.
For many people, owning a home will make more sense financially and from a lifestyle perspective than renting a home. The benefits will often speak for themselves.
So why consider buying a home in North Vancouver? The main benefit is the access to an amazing community and a place to call home. We redesign real estate to favor our clients and are an industry leader in specialty services for North Vancouver.