Buying your first home is an exciting time! It’s an accomplishment that is often used to distinguish true adults from the young adults who are often still studying in University. But now that you’ve got the keys and have moved in, what does this achievement really mean for your lifestyle? What’s changed?
Well, for the most part living in a home, whether you rent or own, is about the same experience. However, homeowners are responsible for a few things that tenants just don’t have to worry about.
Paying the Mortgage on Time.
This is an obvious change between being a tenant and a homebuyer, instead of paying rent, you have a mortgage. While both renters and owners have to be punctual with their payments, a homeowner has a lot more skin in the game. Too many missed payments can lead to you losing your home and all the money you’ve already sunk into the mortgage. Landlords, unlike banks, are more likely to be lenient since they want to keep receiving rent money.
Nothing is Included.
Often renters will have heat and hot water included in their monthly rent. Sometimes, electricity or even wi-fi will be included as well. When you own your own home though, nothing is included. You’re responsible for communicating with your utility providers and making sure those services are paid for.
Your Responsibilities.
City bylaws and neighbourhoods outline specific expectations for homeowners. It’ll be up to your to make sure that your sidewalks are shovelled and the grass is kept in reasonable shape. If you need work done on your house, you’ll have to get all the correct permits from the city and jump through the hoops yourself. If you’re not sure about your obligations as a homeowner, contact the city to find out!
Taxes.
Property taxes and school taxes are unique to landowners. If you own a home, you will owe a set amount of tax. How much tax you owe will be mostly determined by the value of the property.
There are some clear differences between owning your home and renting from a landlord. As a homeowner, you have the freedom to paint, decorate, and renovate your home as you want, but you also have new responsibilities. Are you ready to become Calgary’s newest homeowner? I’m here to help! Contact me today, and I’d be happy to answer any of your questions and guide you through the home buying process.