Reasons to Buy a Home
If you’re like most first-time home buyers, you’ve likely had every Tom, Dick and Harry tell you that you should buy a home. You may be wondering if it is a good idea to buy a home right now. Making reservations is part of the home buying process. Perhaps you’ve been sitting on the sidelines, waiting, biding your time for the “best time” to buy, we’re here to tell you that the time is now and here’s 10 good reasons why:
1. In the past, house prices have risen over time.
Prices have fallen 4.3% in the last year. This is a great time to buy, as it will allow you to grow your financial portfolio. Home prices in Regina have risen on average of 6.7%* a year over the past 20 years, and that trend is likely to continue. If you buy a home now, you’ve put your money in a safe long-term investment which is likely to continue growing.
*an average based on statistical growth, some years have seen larger or lower growth
2. You can build a nest egg and force yourself to save.
A portion of each payment you make every month will go towards the principal amount on the loan. This creates equity (money) which can be later converted to cash to buy a bigger home, to renovate your home with a Home Equity credit line, or to help fund your retirement.
3. No down payment
Perhaps you’ve wanted to make the move for a while but saving for your down-payment is a daunting task.
4. Exemption of PST
PST tax was introduced by the provincial government in 2017. This means that a $300,000. home will now cost $18,000 more. Our management and staff took prompt and thoughtful action to obtain PST exemption for our projects. The Mills, Tamarack Pointe Silver Oak, Merlot 3 and Silver Oak are all available with exempt pricing. This saves you at least $18,000 over any other project built with PST, which will give you a significant price advantage in the long-term if you decide to resell.
5. Low interest rates
Given that the economy is on track for a lower growth than the current inflation rate it’s a guideline that rates will remain low, which is why “an accommodative policy interest rate continues to be warranted. This is a good thing as it reduces the chance of an increase in lending rates. It also means that rates could remain stable throughout your new home construction.
6. Your Home will be yours.
There’s no need to live with beige walls all your life. You can choose to paint red stripes or put checkered flooring on a wall.
7. Peace of mind
There’s no need to be concerned about rising rents or the landlord selling, and you can move on with your life. A home allows you to live there as long you want while making fixed monthly payments for the duration of your mortgage term. No more unwelcome surprises!
8. You can have as many pets or as you like
Are you a pet lover that’s tired of having fluffy the hamster when what you really want is Beethoven the St. Bernard? Owning a home allows you to have as many pets and as many people as you wish without any restrictions on their sizes or exclusions.
9. Be proud
By purchasing your own home, you can make an investment in your future. Give your family stability and security.
10. It’s a buyer’s market
No need to settle for something that isn’t right, but for how long? The new housing market has been cooled by higher mortgage rates and a decrease in provincial sales tax. This resulted in a 67.4% drop in building permits for the first quarter 2019. The end of bargain prices is here as builders don’t have the inventory they need to sell. This decrease could cause a supply imbalance on the market. Too much demand can lead to too little supply. This imbalance can result in an acceleration of home prices.