| Buying
their own home some day is the great dream of many Canadians who
live in rental accommodation. If you are one of these people, the
time to turn your dream into reality may have arrived. Experts
estimate that over 25% of renters can now afford to buy their first
home. Market conditions have probably never been better for first-time home owners. There is a wide selection of homes available at affordable prices. The correction in real estate values that occurred in the early 1990s has brought house prices within reach of over a million Canadian renters. In fact, when you check it out you might even find that the cost of home ownership is less than the cost of continuing to rent. The price of housing is not the only factor in making home ownership affordable. In fact, it may not even be the biggest factor. Today's low interest rates play an important role. With interest rates at current levels, you may be surprised at how little your regular monthly mortgage payments can be. In addition to low rates, the competition among financial institutions for mortgage business means that you can sometimes find special offers such as interest rebates that make first-time home ownership even cheaper. "That's all very well," you may say, "but how do I get the down payment I need in the first place?" Again, the time is right for first-time buyers. Two government programs that are in place make it easier than ever to own your first home. The First Home Loan Insurance Plan, for example, makes it possible to buy your first home with a down payment of as little as 5% of the purchase price. Then there is the Home Buyers' Plan which lets first-time home purchasers borrow up to $20,000 interest free from their own RRSP for the purchase of a house. Couples who both have RRSPs can borrow up to $20,000 from each of their plans. And if your RRSP isn't large enough, it may be possible to borrow enough to top it up so that you can take full advantage of the tax rebate in purchasing your home. With availability, low interest rates, interest rebates and favourable government incentives you might be one of those million plus Canadian renters who can now afford to purchase their own home. The best time to check it out is now. Previous Article:
It's All In The Delivery
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