Saskatoon Real Estate Listings

A lot of people refer to debt and mortgage in the same breath when they discuss their house mortgage. This is kind of amusing when you think about it because a mortgage is a debt with a breath of investment in it. Can it really be referred to as a debt when it is a rock solid investment opportunity as well?

List all your debts

When you are making a budget and you need to list all your debts, your house mortgage gets put down as part of the debts. When it is time to list your investments it may not be added. Why? Is it purely mindset that makes us think of a mortgage as a debt?

The glass is half full or half empty in this case. You can consider your mortgage as a heavy load to bear and have to struggle to make the payments every month or you can look at it as the best investment you’ll ever make and try to make extra payments to strengthen your investment.

“I don’t want to go into debt” is one of the common phrases you may hear from people that are still renting. Yet they are fine put money into low rate savings accounts that don’t have the same ROI as the housing industry. Real estate may take a few bumps and bruises along the way, but it always bounces back if you wait out the storm.

Consider this. If the person that rents were to take that rent money and the money put into a savings account and add them together, that would probably cover the mortgage payments. Take on a debt? It’s all in how you view it. It is a long-term investment that is certain to pay off down the road.

Real estate is an investment - not something that can be compared to a new dress put on a credit card. That dress is a debt because it will depreciate over time while real estate is a tangible investment in something solid that will develop into a huge cash advantage down the road.

Is your house mortgage really a debt? It all depends on how you look at the glass – half full or half empty.

These are real costs that you will have to deal with and should be taken into consideration when you are purchasing a home.

Home Maintenance

There are certain aspects of owning a home that require regular maintenance. These include the heating and cooling system, the plumbing of the home, drainage, painting the exterior and the interior and too many more to mention.

Homeowners often forget to clear drainage pipes, which easily leads to blockages and leaks. Dryer vents can very easily lead to fires if they are not property cleaned and maintained. Maintaining the grounds and the garden should also be considered. You may need to purchase a lawn mower or outsource this work on a regular basis.

Home Improvements

You may need to make improvements to the home to meet your specific style and design preferences. This can involve painting the house, changing the flooring, adding an addition, etc. You’ll want to constantly improve your home both for the aesthetic appearance and to raise the value of your home with each passing year.

To avoid running into high maintenance and renovation costs, here are some of the things you need to watch for.

Windows and doors. - Check the seals on your windows and doors routinely to prevent water from getting into the house. Water can ruin your finishes and furniture.

Carry out repairs of minor issues before they develop any further. - Check kitchen, bathrooms and toilets for any defects. Check for water leaks. Repair small cracks on walls before they get any worse.

Remember, even a new house needs regular maintenance. -  While the issues of a new house are less, always carry out regular checks and repair things as soon as you notice a problem. Do not make the assumption that the new house is perfect and will never require maintenance.

Owning a home involves a lot of costs down the road. Make sure that your budget is set up to not only handle your mortgage payments but the true costs of home ownership as a whole.