Toronto Suites Travel Resources

Convince Your Best Bud to Live with You - Co-Buy

So you have been looking for a perfect yet affordable house with your best bud- you scourge all the possible locations and have been trying to find all of the best deals. Albeit, try as you might there is simply no way that your $20,000 savings could afford your mortgage.

But before you simply decide to drop your dream house and knock at the door of your landlady whom you have silently declared a World War III, wait till you read this- the real estate market of Toronto is offering a whole new creative way to have yuppies like you to own a house by sharing your finances with your friends, colleagues and family.

Torontonians, It's Time to Co-Buy
Co-buying is a process wherein a prospective buyer splits the financial expenses and consequently the ownership of a house with another person. But before you jump in the offer, make sure that you hammer a written agreement on how to split expenses, future sublets and other scenarios on how you will split the house if your best bud decided to have kids or even peers.

It is also a wise move to finance from a brokerage firm which has been specializing in co-buying situations. Some firms like Mortgage Architects offers 40-year mortgages which covers up to 100% financing.

Protect Your Self and Your House
When you have finally purchased your new house, make sure that you also avail an insurance to cover the cost of re-building your property if an unexpected turn of events happened. It is also favorable to have insurances put in place at the moment of contract exchanges- the moment that you have been legally committed to purchase the property.

On the other hand, to protect yourself from co-buying buddies, it is a wise move to avail Income Protections or insurances which assure that you will be provided a monthly income at an event of illness or accidental injury. Ask your Lender for some Payment Protection forms and check if you are covered.

Take in mind that the recession should not be a hindrance to purchase your dream house. All it takes is a little creativity, some good pals and a couple of insurances.

Date added: 2009-04-10 21:18:16 Hits: 32