Should My First Property be for Personal Living or Investment Purposes?
Buying a property in Toronto is a dream of everyone, and it is not an easy task to achieve. It is a common question: Should I buy a property or an investment property first? Buying a property in Toronto can feel overwhelming, and for first-time buyers, different stages include research, planning, borrowing, and buying. Plus, it involves making several decisions.
The support of a competent and professional real estate agent can be a good option for investors when deciding to purchase a property for living or investment purposes. Trust Condos are experienced real estate agent in the GTA region that will help you decide what to do, and we will help you in both situations like a pro.
Before diving into the deep discussion, you need to know a few things in detail.
A Principal Place of Residence
A Principal place of residence is the property where you would live in. You may connect to your living place due to emotional or personal feelings. Your house may also offer you stability, comfort, and security.
Investment Property
An investment property is purchased to focus on generating income or capital, which is quite a good option. Where you would be able to rent out your property and generate rental income. It often considered taking on good debt, because, when managed wisely, it can appreciate, generate income, and also offer tax advantages.
Which is the Best Option in All?
It is better to buy a property to generate the rental income that will give you many more benefits in the future. It may also offer significant benefits under the right conditions.
Potential Benefits of Investing in a Property
The following are the potential benefits of investing in a property. Read these points in detail to understand everything perfectly.
1. Rental Income
If you invest your money in a property for investment purposes, you can generate monthly income through rent to cover mortgage costs and other associated costs, as well, also building up equity in the process. If you have selected the best location for the property, you can generate a considerable rental income monthly. Usually, people prefer to invest in a condo because buying a house is quite tough, but investing in a rental property will give you many more advantages.
2. Capital Growth
Capital growth is a major factor in real estate investing, historically, with properties appreciating over time. Whether you are choosing to invest your money in the best location or investing for the future in another location, it is important to work with experienced and knowledgeable real estate agents. Allowing you to maximize your real estate investment according to your investment objectives and horizon.
3. Leverage
You can also borrow against the value of the property. Your deposit will give you access to a much larger asset, which directly indicates that your returns are amplified if the value of the property increases in the future. You should choose Trust Condos, and we will find the best property at prime locations across the GTA region that may provide you with future benefits as per your expectations and demands.
4. Tax Advantage
Rental properties also offer tax advantages and allow you to deduct expenses like mortgage interest, leasing fees, maintenance, insurance, and professional costs from the rental income.
5. Flexibility
If you own an investment property, it will give you the freedom to live where you like. You can better focus on your career opportunities and are not bound to the property location. It is one of the best options in property investment.
Why Investment Property Should be Your First Home?
It will be considered the best move if you consider an investment property before your home. You can better fast-track your wealth, providing you with the best financial leverage without any risk. You need to choose the best real estate advisor before investing in property. Trust Condos will guide you in the best ways to help you generate a handsome income from your investment property.
With more than 10 years of experience in the GTA real estate market, Trust Condos has helped various buyers, sellers, and investors to navigate the real estate market. Deciding on the best real estate solutions according to investment objectives and personal needs. To learn more about how we can help you to grow your real estate portfolio or buy your first property, call us today.
The information on this blog is based on our experience. Readers/Users are strongly recommended to obtain independent property, mortgage, legal, tax or accounting advice. The information displayed is for reference only and is without any representations or warranties.
