Carlos Montes Calgary Real Estate

To Rent or Buy Real Estate? That is the question

Rent or Buy?

Renting may seem like a good idea when the economy is less than robust, but buying has its benefits as well. If you are currently renting, or selling a home you may want to consider the following:

• Owning a home builds equity – Instead of throwing your rent money out of the window each month, a mortgage payment helps to increase the equity in your home.
• It is more secure – Rents can increase by 5% per year, more if you move. Mortgage payments are steadier and easier to budget.
• You can make it a home – Rentals always feel like someone else’s home no matter how long you live in them, when you own a home you can personalize it to suit your tastes.
• Get leverage – If you ever need funds down the road you can use your home as leverage to secure a home equity loan, which will give you a more favourable interest rate over a personal loan.
• Security – As long as you pay your mortgage your home will always be there for you, no landlord can kick you out or make the place uninhabitable.
• Benefit from improvements: Besides making your home better from the inside out, improvements to your home can increase its value and provide you with a nice return on investment should you choose to sell.

To examine renting versus buying from a purely financial perspective, consider using one of these calculators:

Industry Calculator

Yahoo Real Estate

Canadian Mortgage Calculator

The market is in a perfect position for buyers, with many residences priced well below market value. It’s time to get out of your rental and into a home of your own.

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