Sure, the differences between renting and owning are enormous, but what's right for you is fairly straightforward to sort out. 

Financial Considerations

In general, you should expect your monthly expenditures for your mortgage and related costs to be somewhat higher than rental payments. Of course, the exact percentage will vary depending on other debts you may be carrying. And keep in mind that aside from your mortgage payments, your monthly income must still allow you to maintain a comfortable standard of living. When taking on a mortgage, will you still be able to afford food and clothing, gas, car insurance and repairs? How about vacations or other leisure expenses? If you anticipate a monthly debt load approaching 40% of your gross income, including your mortgage, you are probably not financially prepared to take on a mortgage.

Personal Considerations

At YNCU we know that buying a home isn't just about money. There are many personal factors to weigh before making the decision that's right for you.

Are you looking for a stronger sense of place within your community? Are you willing and able to maintain and repair your own property and home? Do you want the stability of home ownership as the foundation for starting a family? If so, then home ownership may be a natural next step.

On the other hand, maybe you prefer the freedom to move to a different neighbourhood or even a different city. Or maybe you're anticipating a promotion at work or planning a leap into an entirely new field or career. In cases such as these, renting is probably your best bet.

In the end, YNCU is here to provide you with the options you need should you decide to buy your own home. But just as important to us is that you know you'll be content here. After all, YNCU is a member of your community too, and we want all our neighbours to be happy.

Choosing the Right Home

Now that you've decided to buy a home, it's time to consider the many financial and personal decisions to be made before making a formal offer.

The important thing is that you make the decision that's right for you. The property you eventually buy is more than just an investment - it's going to be your home, your own piece of the neighbourhood. So don't rush into it. Take the time to investigate all the options.

We don't want you to settle for something that's merely 'good enough.' Let us help you with the many difficult decisions ahead so that when you sign your name to an offer it's with the confidence that you've made the best choice possible.

Financial Considerations

By looking at your current financial situation, you can determine the price range of homes available to you. You may want to consider applying for a pre-approved mortgage. Pre-approval will not only define the price range of homes you can look at, but will also save you from having to make conditional purchase offers to potential vendors.

Personal Considerations

When looking at potential homes, take the time to consider all of the factors that are important to you. It may be a good idea to make a list of 'must haves' as well as a list of things that would be nice if they were available.

Obviously you'll need to consider the physical layout and soundness of the structure and the property itself, but also consider things like the location and the neighbourhood. Make sure to investigate whether municipal or regional authorities are planning changes to civic code, zoning or by-laws that may affect the value or nature of the property in the future.

You may find it helpful at this stage to have a real estate agent keep you informed about these and other factors that might influence your decision. In any case, remember to take your time when buying a home. It's better to wait a little longer for the home you want, rather than end up with a mortgage for a home you aren't truly happy with.

When you already know what you're looking for, finding the right mortgage is easier than you'd think.

Look at pre-approval

You may want to consider applying for a pre-approved mortgage. Pre-approval will not only define the price range of homes you can look at, but will also give you an advantage over competing purchasers when you make offers to vendors, since it shows you are taking things seriously enough to have looked into financing.

Choose a type of mortgage

Which kind of mortgage is right for you? Whether to take a fixed rate or variable rate mortgage may depend on the stability of your income and your comfort level if interest rates start to rise.

Consider your down payment

You also need to bear in mind that if you have a down payment of less than 25% of the purchase price of the home, you will require a high-ratio mortgage. These mortgages have to be approved by Canada Mortgage and Housing Corporation (CMHC) or Genworth Corporation (formerly GE), and mortgage insurance is required.

You've got a vision. Whatever it is, renovating not only improves the look and feel of your home and living space, it also protects your investment by adding value to your home.

Planning

As with any complex project, planning is the first and most important step. The adage 'measure twice, cut once' applies quite literally when it comes to renovations. To start, check with your municipal building department to determine if the renovations you're planning are allowed under current zoning and by-laws and that they conform to building code.

Contracting

From painting to making minor repairs, there are many small projects you can handle yourself, but do you have the skills and tools to fully renovate a kitchen or bathroom? There may even be some tasks that must be performed by certified tradespeople in accordance with local by-laws. Renovating is really a full time job, and trying to do it yourself can be time consuming and costly. For larger jobs, consider hiring a full-service renovator, who can take responsibility for the entire process from obtaining permits and drawing up plans to hiring a contractor and supervising the work being done.

Financing

Before undertaking any renovation project you will need to have a clear understanding of the costs involved. You should obtain at least three estimates for the work from qualified contractors. Anticipate spending an additional 10-15% for unexpected costs.

With a reliable figure in hand, you can look at your financing options. You may want to renegotiate your mortgage or apply for a personal loan. However you decide to finance your renovations, YNCU wants to help you.