Mattress Vancouver

Simmons Mattress Gallery's Blog

Rent or Own? That Is the Question.

The ‘buy or rent’ debate is a hot topic in Vancouver. The rule has traditionally been buy if you can afford it, but with the current Vancouver housing market, who can afford it? Renting is now becoming a viable option for young families and single professionals.

If you do find yourself pondering this question, take the time and do the math. Can you realistically afford your mortgage payments? What will you be left with after paying the bank? Is this enough to afford the lifestyle you have chosen?

Make sure to factor in homeowner expenses on top of your mortgage payments. Things will wear, as the age of your home increases. These costs will need to be paid to maintain the quality of your investment. Then there’s also the property taxes, that increase as the value of your home improves.

A renter is free from these additional fees. They have their monthly rent, their utilities and their tenant insurance. They can utilize more money for additional investments. With their money diversified, they are not tied a single market.

But where does that rent money go? To pay someone else’s mortgage. That can be a hard pill to swallow.

You will never see your rental payments again. You are unable to build home equity. And you live at the whims of your homeowner.

This takes us back to what can you afford.

If you are a homeowner and your mortgage payments are too high, you won’t be able to enjoy the present. You may have secured a long-term investment, but are you willing to sacrifice your current standard of living?

Some owners fall into the trap of using credit to pay off their mortgage payments. A huge mistake. In this situation you are paying double the interest on a single investment.

Defaulting on your payments can ruin your credit altogether.

Young families need to think long and hard before they commit.

Our advice: if you are just starting out, stick with the rental option. Focus on improving your standard of life, before you worry about a massive investment.

Rent and you can afford items like a new bed. This in turn will improve your health, your relationship with your partner and your general mood.

Make sure the necessities like a healthy sleep are attainable before surrendering a massive down payment.

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