Is NOW the time to invest in Real Estate?
Gerard Windle, Broker
(Ottawa, ON) Forty years ago my dad taught me the most important thing about Real Estate. Over my 20 plus years of selling real estate I’ve told hundreds of buyers and sellers his story. And it makes as much sense today as it did back then. His was the voice of experience.
Mom and dad had bought their first home in the first half of the 1950’s for about $12,000. It was a major investment and like so many buyers they were overwhelmed. They committed to a 25 year term (that’s right, term of the mortgage and amortization were the same) at an interest rate somewhere around 3%.
I think we would all agree that $12,000 isn’t very much by today’s standards for a 3 bedroom, single family home on a fully serviced municipal lot. But the point is it was a huge investment for a young, hardworking couple planning for a large family.
And do you know why they made the leap from renting to home ownership? It was because the future is always going to be uncertain. Dad knew that someday he would retire. And he knew when that day came he didn’t want to be paying rent. Oh sure, there will always be expenses but if we have the means why not live in the home we love in a neighbourhood we love? So he let father time eliminate the drain of finances that would normally go to rent/mortgage.
The big “AHA” in dad’s story was that he had no way of knowing that the value of his investment in shelter would increase exponentially. On summary, his lesson was to buy something; that in the long run ownership beats paying a mortgage for someone else.
Gerard Windle ~ Real Estate Broker in Ottawa, Ontario, Canada
I can be reached at Keller Williams Ottawa Realty 613-236-5959
Or visit my website, www.winprogroup.com