Financial Health
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By: Zoocasa
The new year often sparks a need for change. It brings the desire to start fresh whether it be starting to live a healthier lifestyle, vowing to be more social, or looking for a new place to live. Searching for a home with another person can be challenging as you will likely find yourselves needing to compromise. As you look through all of the Toronto homes for sale with your partner, it is important to consider what you both want in a home and what you can afford.
Toronto real estate prices are consistently rising and therefore house hunting requires a conversation about what you can both afford. The 2021-2022 PolicyMe Canadians and Money Survey found that Canadians pay, on average, 27 per cent of their income on their mortgage.
Newly built or newly renovated homes will cost you more than a fixer-upper would so it’s worth discussing if you would like to have a move-in ready home or are up for a renovation challenge.
Another financial factor to consider would be how much you are able to pay monthly for a mortgage or rent. Typically, living in a detached or semi-detached home will require monthly payments beyond just a mortgage as you will be responsible for utilities including hydro, gas, water, cable, etc., whereas if you were to rent a condo unit, many of these fees are included in monthly rent and maintenance costs.
Buying a home is a big financial commitment, and requires a commitment to your partner as well. If you both envision settling down together in one area, buying a home is a good option as you will have a place to call your own and allow you the freedom to design and renovate it to your liking.
Renting is a good choice for a couple who is not yet ready to live in one place for a longer period of time. It will give you the flexibility to change your environment and move when you feel like it’s time for another change whereas doing so when owning a home would be much harder.
Another thing to take into consideration when house hunting with a partner is the location. Where do you see yourselves settling down? It would be good to take into account the proximity of potential properties to both of your workplaces and its accessibility to transportation. It is also worth discussing how far from other family members you are willing to live. If you are both active in the nightlife scene and would love the daily experience of immersing yourselves in the city culture, perhaps searching for homes in downtown Toronto neighbourhoods would be a good fit. On the other hand, if you are both looking for a quiet and family-friendly neighbourhood, you may find that a search for homes in the suburbs may please you more.
When you have figured out the specifications of how much you are willing to spend, what type of home you’re searching for, and where you would like to be, it’s a good time to discuss what you would like the interior of the home to look like. If one or both of you live at home, an extra space for a home office might be on your checklist. When you have figured out the specifications of how much you are willing to spend, what type of home you’re searching for, and where you would like to be, it’s a good time to discuss what you would like the interior of the home to look like. If one or both of you live at home, an extra space for a home office might be on your checklist. If you both enjoy hosting company or have plans of starting a family in the near future, the idea of an extra bedroom would be important to look for as well.
House hunting with your partner can be an exciting process as it represents a new beginning for the both of you. Whatever route you take on your house hunting journey, it is important to have a discussion with each other about what that new beginning entails to ensure a favourable outcome for all.
Need more tips on being a homeowner? Consider the differences between life insurance and mortgage insurance here.
About Zoocasa
Zoocasa is a full-service brokerage that offers advanced online search tools to empower Canadians with the data and expertise they need to make more successful real estate decisions. View real estate listings on zoocasa.com or download our free iOS app.
