Above all, everyone requires their own space in this vast universe. However, it’s primarily a matter of time and money. According to recent statistics, an increasing number of people are renting houses nowadays. The reason is obvious. They don’t want to overpay.
In fact, owning a home has always been regarded as a symbol of wealth. Every single person who has purchased a home has taken a financial move. Regardless of how much the house actually costs, if you own even a few square kilometres you have a so-called “saving for the future”.
However, you must keep in mind that whenever you buy your own home you may face some kinds of payments you have even been unaware of.
The tendency of buying a home
Many people are torn between renting a house or buying their own real estate. In the financial situation of the 21st century, it’s quite essential to have the idea of financial literacy so that you won’t waste your money. Sure, experts have claimed for years that buying real estate is quite more profitable than renting one. There are surely so many pros and cons of this thesis. We offer you to have a quick look at them:
It is up to you to decide on how you live and what you do in your house.
No one can evict you from the house, because it’s your own.
You can repair, change, decorate what you want and where you want.
And finally, you make a big financial move and somehow “save your money”.
However, several factors keep them away from buying a home. Mainly it is connected to the world’s unstable economic situation. The everchanging exchange rate brings up some new problems and thus makes the payment system non-stable and the amount of money to pay increases. Besides, people don’t know what will happen to them tomorrow and they don’t take a risk to do that so-called “big step”. The salary and always growing needs are another problem for paying off the housing fees.
But let’s agree to buy real estate and moreover a house is a long-term investment and pays off over time. The share of the monthly mortgage goes against the interest rate on the loan if you even buy your house with credit. In most agreements, the capital that has reached about 20-32% of the real estate value can be used to target the loan and thus make the interest rates lower. Buying your own home also can help the homeowner to get some tax benefits from the government such as exemption of payments for property taxes. And some people even get federal assistance when they serve in the military, have children, they or their family members have any disability, etc.
Is buying a house a kind of responsibility?
Whenever you buy a house, you kind of admit the terms and conditions. That is if something happens in the house it becomes up to you. If someday your house warming system is broken or the roof is leaking you no longer call the house owner. Now you must decide what to do. And sometimes this tiny responsibility brings hefty paychecks.
But when you rent a house it is generally the responsibility of the homeowner. Of course, if the problem wasn’t because of you. And so, if you buy a house, and you are not cut out for cooking, the ownership can cause some financial problems.
However, it’s not a biggie. At least, no one can ask you to move out whenever they want.
Permanent home benefits
If you are conservative and are used to living in one place for a long period of time, then buying a property is one of the best investment options. This question is especially relevant if you have children and want to make their future stable and safe. Thus, you are keen on choosing a house in Vancouver’s familiar neighbourhood or city.
For people who work from home buying a house can be 2in1, that is they buy an “office” and living place at once. As you grow up, your adult to-do list adds an option of buying a house and you really need to check it out.
But before you make a decision, you should ask yourself one thing: Do I really like the city, the quarter where I live now? If the answer is yes, you can surely make a property “investment”. In fact, even if you make up your mind later and need to change your living place you can just give it for rent and use that money for your own spendings.
The house of your dreams
The bought house will allow you to implement your creative solutions and freely make changes to their living space. This is not limited to private life but also can be a great way to express yourself in the terms of design. Sure, each of us would like to design our house as we want. Therefore, if you rent someone else's house you won’t be able to make any changes and arrange it to your taste. Maybe you may change the place of the table, but not so many homeowners will let you change the style.
On the contrary, if you buy a house you can choose the style and every detail of your interior on your own. It is fully up to you whether you want yellow, white or another colour to dominate at your home.
Never mind, you can as well restyle your house whenever you want.
Rents and mortgages
This one really matters. If we take into account the financial side of buying a house, a significant portion of your monthly mortgage usually is for covering loan interests. It sometimes leads to overpaying and that’s why you need a longer period of time to pay off. However, if you pay all the money at once it would be a problem only once.
Renting, on the other hand, gives you even more flexibility if your circumstances change. If you ever find yourself with less money, you can just move out to a place where the renting fees are lower.
Also, there are more options when finding a place to live. Buying a house in the neighbourhood you’ve always wanted to can be out of your price range. But you can rent there at lower prices.
But, in fact, if you pay rent every month in the end you won’t have anything left. And it is reasonable that some people call renting fees “dead money”.
To sum up…
Despite the fact that house prices have significantly increased in Canada during the past years, the rental fees have changed only slightly. You need to try to determine what option fits your price range the best and thus make a decision.
Also, you should also consider your type of living so that you know for sure: you are a long-term resident or you need to move out from time to time.
Keeping in mind all these factors is not quite easy. Moreover, you also need to carry out the legal documentation process. It is more convenient to contact the realtor, set up your own filter of preferences and needs and wait for the magic to happen.
The fact is you always need a place to live in!
The advice is to buy your own home and enjoy your life.