Archives for Upgrades and renovations

The Bank of Mom and Dad: Living as Millennials

  It’s no secret: the cost of living is expensive. Regardless of who we are and what we do, we live and breathe steep living costs day in and day out. It’s a fact of life: if we’re not saving our pennies, we’re spending them; if we’re not paying off one bill, we are another. It’s the never-ending cycle of our (financial) lives. Enter: mom and dad. For the vast majority of us, mom and dad means home; and home is where the heart is, after all. It’s become a common trend among many baby boomers to take part in one of two things: either move back in with their parents to help save money, or assist in the renovations or expansions of their parent’s current home in order to accommodate their living requirements under the same roof. A circumstance such as the latter would be to avoid downsizing for mom and dad, and, of course, cut the costs of living for all parties involved. For some, this is simply how it’s always been; for others, it’s become a necessity. Today, we’re seeing a similar trend skyrocket among another popular generation: the millennials. Leaning on the bank of mom and dad is something that isn’t quite out of the ordinary in this day and age as living costs are expensive and are only estimated to get higher. Therefore, young adults are moving out of their parent’s homes a lot later in life than perhaps they had originally mapped out for; and when they do, they’re receiving an increasingly large amount of financial support from their families so that they can. Ratehub.ca, a company who interviewed about 1000 people from across our country between September and November of 2016, conducted a survey to shed light on the approximate percentage of millennials who are are obtaining family financing in order to become a homeowner. The results? 35% of buyers received help from relatives while 38 per cent were able to put down 20 per cent or more on their homes in our province alone. Of course, with several regulatory changes and rising home prices in 2016, these results are only expected to increase and reach new records in 2017 – creating potential hurdles for those entering into the market for the first time. Needless to say, adults – both young and old – often rely on mom and dad, and there isn’t anything wrong with that. “With a larger share of young adults staying home longer due to economic considerations, the need for space will remain important”, says the Canadian Mortgage and Housing Corporation. And sure, a loan arrangement with a family member is far better than one from a financial institution, but “a financial plan should [always] come before home ownership, and affordability should [always] fit into that plan”. The post The Bank of Mom and Dad: Living as Millennials appeared first on Team Realty. Source: Blog

Why Move? A Look into Canada’s Homebuyers

How many times have you moved (so far) in your lifetime? Once? Twice? For a brief time while in school? Work? Or have you moved far too many times to even count? What about those times that you have moved from one place to another, were they on your own? Were they with your family? Your partner? A few friends? And did you live in these homes for long enough to consider it a home? Sure, the vast majority of us may answer differently to each of these questions, but we do share one common factor: the overall experience. Truth be told, moving from one home to another is not a simple task. Take the multitude of varying questions asked above, for instance. The process of moving can, unmistakeably, be that of a strenuous, complex task that requires much consideration and absolute certainty. So choose wisely and with reason in mind.  Canadians tend to, on average, move every 5 years; but there is that 14% of us who get that 12-month itch and move every year. This is where the aforementioned advice of having a reason to move comes into play. Here’s a small breakdown of why Canadians move according to ComFree Living: Job relocation (53%) Increase in family size: marriage, kids etc. (42%) Family size decrease: divorce, empty nest etc. (20%) Retirement (18%) Came into more money (14%) Home was in need of renovations (14%) Evidently, we move as life happens. Young, old, together, and apart – we move. Homeowners acting on their urge to move every five years, however, could result in financial hardships. Over a span of 60 years, this could equate to as much as $180,000 [and above] in traditional real estate agent commissions and, of course, other required real estate fees. Needless to say, decipher a plan that works for you. Moreover, the real estate market undoubtedly foresees a hefty increase in both first-time homeowners, as well as new buyers within the next several years due to the growing millennial generation. According to Dana Senegama, market analyst for the Canada Mortgage and Housing Corp, “[millennials] are going to be a force to be reckoned with over the next decade, especially as they move into their prime child-rearing years and [in need of] more space”. This said, it is with these 15-34 year-olds that new jobs, larger families and more spacious homes will be pursued, obtained, and thus required in the next coming years. Moving can be quite overwhelming for some. However, if you look to your future and sit down with your family in order to plan your move accordingly, the process will become that much more seamless. So come up with a strategy – a roadmap of where you see yourself growing and building a home – and live in that home for as long as you see fit. The post Why Move? A Look into Canada’s Homebuyers appeared first on Team Realty. Source: Blog