When is the right time to buy a home?
My answer is always the same: the right time is now. Because unlike other types of investments owning a home will provide you with the greatest opportunity to create financial freedom through growth in property equity.
The following are four advantages that I often share with First Time buyers or existing clients who are creating home ownership goals:
1. Homeownership is the single largest source of savings for Canadian households.
2. Your payments build equity (as opposed to renting, where your money goes to the building owner).
3. Unlike other investments that can be volatile, when you buy a home, the increase in its value is relatively steady. The average price of a house for sale on the Canadian real estate market has increased every year since 1998.
4. The return on investment for a house can be substantial. In Canada, average house prices have increased in most areas. (source: Dominion Lending Centers, Our House Winter 2019 edition) Creating wealth through home ownership means that for a Home Owner living in Walnut Grove, Langley, BC who owned a single-family home in July 2014, enjoyed an increase in their property value of $389,100 or 68.46%. If this home owner was a First Time Buyer who purchased this home with 10% down or $56,830 (excl. insurer default premium), their initial investment has now increased by $332,270 * source: Fraser Valley Real Estate Board Statistics
Are you ready to purchase your first home, or are you considering the purchase of your first investment property? If so, we can help. We welcome your telephone call, text, email, or first contact through any one of our social platforms.