Chances are when you bought your first home you were thinking of it as a "starter home" and dreamed of owning a larger and better home one day. Now could be an excellent time to do just that.
Yes, I know, you're thinking that your current home is worth less money now than it was last year. But remember the bigger and more expensive homes have probably dropped more in real dollars, so the price gap between your home and your dream home has actually narrowed. It will cost you less to "move up" now!
Combine the smaller price gap with today's mortgage rates in the lowest range they've been for almost 30 years, you might be pleasantly surprised that you can afford that move up house now. Using the equity you've built up in your current home, your carrying charges may not be much larger than what you've been used to paying.
There are many reasons why you may wish to have a larger home including a growing family, the desire to have more bedrooms so the kids can have their own space. Or maybe you want a larger yard, a garage or a home with a private driveway. Whatever your reasons, moving up to a new home can be very satisfying.
It's also a smart move because the equity in your home will continue to grow and the value of a bigger and better home will be ultimately greater over time. As well, the pride of ownership in a bigger house will probably be even greater than you had when you bought your first home.
Moving up to meet your changing lifestyle and needs can be an exhilarating experience. Your home is probably the best investment you'll ever make so why not take advantage of current market conditions and enhance your investment today.
Source: Ontario Real Estate Association (OREA)