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Today: 20.01.2018 - 15:13:03
   Canada Mortgage Hub Discussion Board -> Mortgage Montreal -> Getting a mortgage while living at home?
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oshea7

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Getting a mortgage while living at home?
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Canada interest rates
Post # 1.

oy812

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buying a house at the right time is good idea.Now is not good idea. Why? u need /want to finish education with out the nightmares of beinga landlord with no money.2nd u do not know where u will be working.great fun traveling 50-150 miles weekly to check on rentals after work.40% of grads do NOT get jobs locally.3rd u do not make enough to keep houserunning when damaged or empty - it happens.4th u have no ideas of what is needed to b llandlord.5th put the inheritance in savings (not investments)while u finish education and LEARN how where whywhat and what not to invest in.6th spouse will not like it.7th read Total Money Make OVer, Dave RAmseyto save u from learning hard costly life lessonby your self.
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Post # 2.

praga_mgp

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I would be doing a lot more research and obtain some solid numbers.First, by federal banking laws, you need 20% down for a mortgage in Canada or else you must pay default insurance. Realistically no bank will give you a mortgage with less than 20% down unless you have an asset worth more than the house -- business, another house, etc. In addition, no bank is going to give you a mortgage if your monthly payments exceed a third or half your income.Second, if you do not live in the house then you will pay capital gains on your property. That is 50% in Canada (after you subtract expenses) unless you start using your capital gains exemptions. Housing is a far better investment if you are living in the property.Third, house prices in Alberta will never reach those of Vancouver, nor will their rate of increase be anything like Vancouver's. Vancouver's housing market is based on that fact that the city has a limited amount of land -- as it is on a river delta and surrounded by mountains and ocean. Cities in Alberta can merely continue building outward.Forth, there are a lot of costs with owning a house. You pay property taxes, insurance, maintenance, and upkeep. Acting as a landlord also has huge costs -- you need to pay for credit checks, you need to deal with tenant issues, it may take time to rent a place out, and you need to deal with bad tenants. If someone doesn't pay rent, is late on rent, it can take months to evict them. Leaving garbage, growing pot, damaging the place, lawsuits, etc., etc. You may need to go months without income dealing with this, you'll need money to deal with emergencies, and you may have to spend your time dealing with it.Fifth, realty is not an easy asset to dispose of. Unlike stocks, bonds, etc. you can't just sell them when you want. Further, it is highly dependent upon local market forces. If say oil prices continue to drop or some developer in builds a new complex near your property... your home price can drop or it could take a long time to sell. You have to consider the likelihood of needing that money within the next few years.Talk with an investment person, but I think you would find holding on to the money in the short term and then using it for a home of your own once you finish university and get a job of your own. You'll save a lot of capital gains, you won't need to worry about renters, you'll be there to maintain the place and you'll take better care of it, etc.
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Canadian mortgage experts
Post # 3.

paswi

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I agree with Rob. My advice is use it to pay off any debts you may have (such as education loans and or your tuition for the next few years) and put the rest in a savings account or CD account and accumulate interest. A house even if it for renting out is not just a money investment but a time, energy, location investment. It should come after you obtain a job, have a life partner etc. Good luck
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pritygirl

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Speak with a mortgage broker, bank, credit union, or savings and loan.
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Canada housing and mortgage
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