Buying versus renting: Which one makes
sense for you?
Today’s low interest rates have encouraged many renters to become
homeowners: the lower the mortgage rates, the lower the monthly payments,
and the greater the chance that your mortgage payments will be less
than your rental payments, especially in larger cities.
From a strict cash flow standpoint,
you may find renting less costly than owning due to the additional
costs of home ownership such as taxes, maintenance and utilities.
However, unlike renting, home ownership is a form of investment. Consider
the fact that the average home in Canada would have cost $76,518*
in 1983. In September 2003, that same home was valued at about $197,969*
– a significant increase in value.
According to Royal Bank of Canada economist
Carl Gomez, “If you compare average home prices over the past
20 years, there has been a 160% increase. Also, purchasing a home
is a forced saving. You keep building equity year after year, versus
just paying rent. And you can build up sizeable equity in just 10
That’s money you can access when
you sell the home, or equity that you can use to ‘borrow against’
to reach other goals later in life, such as a child’s post secondary
education, a vacation property, or travel.
For more information, contact me, your
RBC Royal Bank Mobile Mortgage Specialist, at the number below. I
can look after all your mortgage needs, including Pre approvals and
mortgage applications, anytime, anywhere, including evenings and weekends,
at your home or office.
A pre-approved mortgage can
help you look for a home with confidence.
Many homebuyers think that the first step in finding the home of their
dreams is to start going to open houses and researching the market.
However, even before you start looking for a home, it makes sense
to contact me for free expert advice and to arrange your mortgage
When your mortgage is pre-approved,
you’ll know, up front, what you can realistically afford to
pay for a home in terms of purchase price, down payment, legal fees
and other closing expenses. You’ll know exactly how much you
can borrow based on your current financial situation, subject to a
formal credit approval and satisfactory property appraisal.
There is no cost or obligation to have
your mortgage Pre approved with RBC Royal Bank, and you’ll know
in advance what your mortgage payments will be. And, with your interest
rate guaranteed for 90 days, if interest rates increase while you’re
house hunting, you don’t need to worry!
With your mortgage approved, you can
shop and negotiate with confidence, avoiding the disappointment of
finding the perfect home only to learn that you don't qualify for
the mortgage you need to purchase it.
Mortgage pre-approval carries absolutely no obligation to purchase,
but simply acts as a tool that can help you focus on homes that are
If you’re ready to start looking
at homes, contact me, your RBC Royal Bank mobile mortgage specialist,
as soon as possible at the number below. I can provide you with free
mortgage advice and look after all your mortgage needs, including
pre-approvals and mortgage applications, anytime, anywhere, including
evenings and weekends, at your home or office.
A valuable mortgage tip from
your RBC Royal Bank mobile mortgage specialist.
|For more mortgage tips, please call me anytime!
RBC Royal Bank
Cell: (604) 916-3444