If you are thinking about purchasing a home, you may be wondering if now is the right time to buy. After all, given the current state of the economy, you may be worried that purchasing a home will be a major mistake. In truth, most experts agree that there has never been a better time than right now to purchase a home, and here is a look at a few of the reasons why.
Reason #1: Home Prices are Down
While housing prices are on their way back up in most markets, they are still much lower than they were just a few years ago. Therefore, if you are purchasing a home without having to sell one in the process, you stand to save a significant amount of money. Even new home builders are offering great prices on homes, which means you still stand to enjoy long-term savings even if you do have to sell your current home to buy a new one. After all, thanks to the energy-efficient fixtures and better technology found in new homes, you will stand to save on heating costs and in other ways as well. Of course, if the home is closer to your place of work, you will also save on fuel costs as you commute back and forth to work.
Reason #2: Choices Abound
There are many options currently available on the market for those who are looking for a home. From condos to townhouses, from single-family homes to rural estates, there is something available in just about every style and price range. Since there are so many options to select from and because there is such an overflow of housing on the market, there is no need to feel rushed into making a decision.
Reason #3: Mortgage Rates are Low
Mortgage costs are lower than they have been in Canada for a very long time. In fact, over the past two years, they have fallen by more than 25 percent. Not only does this mean you get to enjoy lower monthly payments, but you also pay less in interest over the lifetime of the loan.
Reason #4: Planning for the Future
Experts agree that housing prices are likely to only go up from here. Therefore, when you purchase a home now, you are making a sound investment into your future.
Reason #5: Special Incentives
Thanks to special incentives for first-time homebuyers, you can also receive a bit of help with making your purchase. Not only does a federal tax benefit allow buyers to receive up to $750 for the costs associated with making a home purchase, but the Home Buyers’ Plan allows you to withdraw up to $25,000 (or $50,000 per couple) tax-free from your RRSP.
Crystal Tost is a Calgary Realtor that specializes in assisting first time buyers