WHY PAY YOUR LANDLORD’S MORTGAGE?
Owning a home might sound like a lot of responsibility for a first-timer, but when the time is right, it’s the right choice to make. After all, when you rent your home, you build equity in someone else’s property, and pay someone else’s mortgage.
By purchasing a home of your own, your finances might be tied up in a mortgage instead of a simple monthly rent, but you’re actually acquiring a strong asset. Consider it an investment, even if you’ll be the one living there. Your property builds equity over time, putting more money in your pocket when you decide to sell in the future. And in the meantime, you have the stability of homeownership and the freedom to customize as you please.
But if you change homes while renting, you get nothing back except (maybe!) a deposit fee, and you’re always at the whims of your landlord. Renting increases the value of your landlord’s property over time, paying into someone else’s investment, when you could be building your own equity.
If you’re going to be paying a mortgage anyways, why not pay your own? Programs like Canada’s First Time Home Buyer Incentive, which recently expanded to increase eligibility and buying power, can even lower your mortgage and help make the transition from renting to buying easier than ever.