By Genworth Financial Canada modifed by Lisa J. Gryba
Most people at some point in their lives wonder if it is in fact better to rent or buy a place. Purchasing a home is one of the biggest decisions most people ever make in their lives.
Advantages to Purchasing a Home
Owning a home is long-term investment that can provide security for you and your family.
In the beginning, more of your payments go toward paying off the interest and less toward paying off the principal. But, the longer you stay in your home and the more mortgage payments you make, the more principal you pay off and the more equity you accumulate.
Disadvantages of Buying a Home
Homeownership has additional responsibilities:
You are not only making your mortgage payment but you will also have to consider any repair or upgrade expenses.
Owning a home may tie up some cash thus reducing your flexibility. We do understand that most times your home will increase in value as time goes by but typically you will not get a good return quickly. Real estate is usually considered a good investment over the long term.
RENT OR BUY? Carefully choose a home that you can afford. Ultimately it is a personal decision based on your personal priorities.
For more information, visit Genworth Financial Canada, The Homeownership Company at www.genworth.ca.
