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Financing, Mortgages and Insurance What options are best for you and your situation?


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Old 2013-05-16, 11:23 PM
Mark & Lynda Mark & Lynda is offline
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Default buying VS renting

Interesting article. I wonder if we've been programmed over the years by the big banks that home ownership is the path to richness.

http://www.theglobeandmail.com/globe...ticle11952313/
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Old 2013-05-23, 07:05 AM
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canabiz canabiz is offline
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My friend sent me this article when it first appeared and while I agree with some of the author's points, I think his perspective is somewhat simplistic with respect to home ownership and investment. Here are a few things that I think he should have touched on for the sake of due diligence and proper comparisons.

- Many home owners routinely pay down the mortgage principal every year, thus reducing the overall interest they have to pay for the duration of the mortgage

- Many home owners rent out part of their principal residence and use the extra money to pay down their principal mortgage or for savings or for other things of their interest. This may not be everyone's cup of tea but it is out there

- Many home owners tap their home equity line of credit (HELOC) to buy income-generating rental properties. They can then claim the HELOC interest on their income tax for other benefits.
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Old 2013-05-23, 05:21 PM
oakvillehomeowner oakvillehomeowner is offline
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many?

maybe some.

definitely not most.

read www.greaterfool.ca for a more realistic analysis.
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Old 2013-05-23, 08:00 PM
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canabiz canabiz is offline
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Quote:
Originally Posted by oakvillehomeowner View Post
many?

maybe some.

definitely not most.

read www.greaterfool.ca for a more realistic analysis.
With all due respect, Garth has been calling for a housing crash since 2005 or even earlier. I agree with some of his perspectives but his credibility is simply not there, I am sorry (not to mention the issues he had when he was a politician)

Take what he wrote/writes/will write with a pinch of salt.
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