Top 6 Ways Millennials Can Buy Their Dream Property Today in Toronto

Property prices in the heart of Toronto have surged by over 10% since the beginning of 2020. This number might not seem big enough to a majority at first. However, when you look at it deeply, a property costing a million in 2020 is now a million and a hundred thousand. Let that sink in for a second. New condos in Pickering or new townhomes in Whitby are now costing too much for many.

So, if you are planning to buy a property, buy it right now without waiting. The prices will only increase further, and you could miss out on the opportunity to become a homeowner. Through our vast experiences in the real estate industry, we offer tips and insights for all types of buyers including millennials looking to become first-time (or second) homebuyers. Read through to find out more:

Get Help from Family Members

One way to get help is to approach your parents or family members. Ask whoever is available for some much-needed financial assistance. Of course, you’d want to buy your condos for sale in Scarborough or any other part of the GTA without any help. However, when all seems lost, getting help isn’t a bad thing at all. Your family members can provide you with a financial gift. Alternatively, you can have them co-sign the loan to help you secure the mortgage. Many first-time buyers in Toronto use this method to great effect. Especially if you have financially capable parents or close family members, this one is tailor-made for you.

Rethink Your Downpayment Strategy

Contrary to popular belief, having a 20% down payment is not necessary. Of course, having a 20% down payment will make mortgage payments easier and will reduce loan insurance with your overall interest payments, in today’s economy, you might have to spend months or even years to save up that 20%. This is because the prices of condos for sale in Mississauga and the rest of the GTA region will continue to rise. What will happen is that you could end up paying more than you would have saved.

A Proven Income Always Helps

Being self-employed is a great thing, offering the liberty to experience life in a different way. However, it is important to have a job with a salary when applying for a mortgage. Lenders usually require two years of proven income even for self-employed individuals and regular employees. To learn more about your mortgage status, it is good to communicate with your lender/mortgage broker professionals.

Buy with a Partner or a Friend

Another option you can look into is to buy a property with a friend. Remember that a two-bedroom condominium or a townhome is much cheaper than buying two one-bedroom units. This is the gist of things when it comes to buying condos for sale in Mississauga or the rest of the GTA region. Sharing the property with your partner or friend can divide the payments in half. In a market that is showing no signs of slowing down, becoming a property owner needs desperate measures. However, finding a partner is not exactly a desperate measure. It is just one the lines of sharing is caring.

Treat It as a Stepping Stone, not a Property to Grow Old in

When it comes to buying a property, it is not always advisable to look for the perfect unit. Of course, the perfect one will be a middle of the city detached big property. however, this is not something every first-time buyer will get a chance to buy. Instead, focus on building equity. You can do this by purchasing a property that meets your needs. However, it may still not be the perfect one you want. You don’t have to live there forever. It has to be your home long enough to build equity and move on to something better. This approach will help you become a homeowner fast.

Pre-Con Is Here to Save the Day

Have you considered buying a pre-construction condo in Brampton or any other part of the GTA region? It can be a game-changer when looking to become a property owner. Although it’s a bit more expensive than buying a resale property, pre-construction offers a stretched-out deposit structure. It can range from one to two years, with a deposit of anywhere from 5% to 20%. So, buyers will get more time to arrange the payment. In today’s economy, any extra time you can get will be an add-on. Also, you can watch your pre-construction condo in Toronto appreciate in value. And yes, in recent years pre-construction properties have appreciated greatly due to various factors.

And Finally

For millennials, the time to become a property owner is now. Whether looking at Scarborough condos for sale or new townhomes in Whitby, make that decision now rather than waiting. Get help from your parents or family members and be ready to rethink your deposit strategy. Additionally, buy a property even if it’s not your dream unit. That big one will come in time. Pre-construction condos for sale in Mississauga and the rest of the GTA region provide a great opportunity for first-time buyers and investors alike. Weigh in all your options and don’t delay buying the property.

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 and warranties