As housing prices increase, the thought of saving a down payment for a home can be daunting, especially for younger generations just entering the job market.
Beyond the cost associated with ownership, there’s also a feeling of permanency that many first-time buyers aren’t yet ready to commit to when life still feels rather unpredictable.
A new solution is popping up all over the country and gaining in popularity: co-buying a condo with a partner. Whether it’s to rent out as an investment property, or to live in until the partnership outgrows it, co-buying is a great solution and is letting more and more people get into an increasingly competitive market. Here are our top 5 reasons to consider co-buying!
1. Co-buying a property lets you get into the housing market before you’re able to do so on your own (especially since real estate can appreciate in value faster than many can save – meaning that you’re in a better spot financially if you can get in as soon as you can).
2. Less compromise on location – buying with someone else can open you up to buy in an area you love and see a lot of future potential in.
2. Start earning monthly income in a positive cash flow rental situation, all while building up equity to put toward a future purchase.
4. With a proper legal document outlining all responsibilities and obligations, a partnership in condo ownership can be a great experience in running a business, and only puts you on the hook for 50 per cent of associated costs (condo fees, insurance, improvements, etc.)
5. You always have the option of moving in or selling if you decide you no longer want to rent out your suite.
When co-buying any property, make sure to consult with a laywer and mortgage advisor first so that you can clearly outline the process and ownership share prior to making any firm decisions. Thankfully there are a lot of options for people co-buying. Would you ever consider it?