Condo or Mobile Home - First time home buyer

[steaky]

5 years is not enough timeline to make money on the home in Canada.

I bought a condo in Toronto in 2010 and only broke even in 2016 after realtor fees and taxes.

Depends on the economic times.

I bought a condo in Vancouver in 2010 and made a profit in 2015 after realtor fees, legal fees and taxes.

 

[steaky]

If I hold the condo even in 2016, I would made more!

 

[canuck78]

All economies should be back to normal once this hedious US elections are done. I do not think virus effect will last too long as it only affected certain industries. Ofcourse we can anticipate repercussions but atleast not on fixed assets. Volatile markets may be economy dependant but fixed assets are not.

Not sure if you’ve see the huge deficits that most countries are running and all the businesses that are shutting down or going bankrupt but the world economy is not going to return to normal after the US election. Unemployment levels aren’t going to continue for a while and many countries will be in a recession.

 

[Lazymon82]

Not sure if you’ve see the huge deficits that most countries are running and all the businesses that are shutting down or going bankrupt but the world economy is not going to return to normal after the US election. Unemployment levels aren’t going to continue for a while and many countries will be in a recession.

I agree to some extent about economy slowdown in some developing countries but that shouldn't stop a first time home buyer to invest in a cheaper housing market(after covid) in canada where job markets are recovering already. May be house flippers are taking the heat and wants the market to tumble further which i do not think will happen as regular buyers look for a house to live in and not a profit out of the purchase in short time.

 

[canuck78]

I agree to some extent about economy slowdown in some developing countries but that shouldn't stop a first time home buyer to invest in a cheaper housing market(after covid) in canada where job markets are recovering already. May be house flippers are taking the heat and wants the market to tumble further which i do not think will happen as regular buyers look for a house to live in and not a profit out of the purchase in short time.

As a first time home owner and a market like Duncan would only buy once you know you will be settling there and you have longterm jobs there. Yes we are taking lower cost housing but if it uses up all your savings it still puts you in a very difficult spot if you want to move or outgrow your space. There are still fees that go along with purchasing a home and the maintenance a home. There are condos fees and the reserve fund of a condo could be underfunded which is very common. Breaking even if you need to sell in 5-10 years can still take a while. We aren't talking about a large city that attracts lots of jobs and people. What is the resale market for a condo? What about a mobile home? Assume that homes are the most popular and desired type of home in the area. These are very specific types of housing which may not be as desirable on the resale market in the area.

Unfortunately I think you are underestimating the financial pain the the world is going to feel for many years.

 

[steaky]

As a first time home owner and a market like Duncan would only buy once you know you will be settling there and you have longterm jobs there. Yes we are taking lower cost housing but if it uses up all your savings it still puts you in a very difficult spot if you want to move or outgrow your space. There are still fees that go along with purchasing a home and the maintenance a home. There are condos fees and the reserve fund of a condo could be underfunded which is very common. Breaking even if you need to sell in 5-10 years can still take a while. We aren't talking about a large city that attracts lots of jobs and people. What is the resale market for a condo? What about a mobile home? Assume that homes are the most popular and desired type of home in the area. These are very specific types of housing which may not be as desirable on the resale market in the area.

Unfortunately I think you are underestimating the financial pain the the world is going to feel for many years.

A first time home owner would not know what is the resale market value for a condo. You should speak to a realtor.

 

[canuck78]

A first time home owner would not know what is the resale market value for a condo. You should speak to a realtor.

Any homeowner should do their due diligence. I was pointing out why buying a condo or a mobile home may not be a good idea and requires a lot more research.

 

[steaky]

Any homeowner should do their due diligence. I was pointing out why buying a condo or a mobile home may not be a good idea and requires a lot more research.

Buying a condo is like rolling dice. You never know the market value until you actually sell it.