Renting is better than buying a home (with numbers)
HTML-код
- Опубликовано: 22 июл 2024
- I help First time home buyers & investors make smart realestate decisions based on numbers and not emotion. Want to book a call 👇 (It's free 🥳)
www.growwithnav.com/book-a-call
Link to Calculator: www.growwithnav.com/money-tools
I am a licensed mortgage agent M21004312 working with Dominion lending centres, Valko Financial FSRA13047. I work with over 60 lenders including the top banks to provide an array of mortgage products that are suited to your needs. I can help you with your housing needs across all provinces in Canada (except Quebec).
00:00 - Intro
01:23 - The Calculator
08:18 - Renting over buying example
11:23 - Comparing Renting vs. Buying
18:47 - Investing in stocks
20:54 - Buying in Calgary
21:50 - Why to buy a primary home?
23:09 - Outro
Get up to $3,000 in cash to trade stocks or crypto commission-free! Use this code 91NX5W or the link below to sign up 🙌 my.wealthsimple.com/app/publi...
MORE ABOUT ME 👇
My mission is to provide you with actionable content that enables you to build your wealthand live up to your potential. I came to Canada with my wife (Simran), during the pandemic in 2020, started with very little money, no job - to today, where I recently quit my job after building my side hustle to a cool 6-figures in revenue. I have met so many amazing people and mentors along the way, and I want to bring everything that I have learnt and continue to learn to you via this channel.
Subscribe if you are interested in:
#Realestate
#StockMarket
#Stocks
#crypto
#business
#moneymanagement
DISCLAIMER: I am not a financial adviser. These videos are for educational purposes only. Investing of any kind involves risk. While it is possible to minimize risk, your investments are solely your responsibility. It is imperative that you conduct your own research. I am merely sharing my opinion with no guarantee of gains or losses on investments.
AFFILIATE DISCLOSURE: Some of the links on this channel are affiliate links, at NO additional cost to you, I may earn a commission if you click through and make a purchase and/or subscribe. However, this does not impact my opinion.
Renting, buying, primary home, Canada, mortgage, rent, home ownership, property tax, down payment, interest rates, real estate market, affordability, housing costs, financial stability, renting benefits, buying benefits, investment, equity, home maintenance, property value, rental market, housing bubble, rental agreement, lease, home insurance, mortgage insurance, credit score, housing market trends, first-time homebuyer, home inspection, closing costs, housing affordability, rent-to-own, real estate investment, landlord, tenant, home equity loan, property appreciation, real estate agent, rental property, home buying process, mortgage pre-approval, renting costs, home loan, residential property, housing supply, housing demand, urban living, suburban living, mortgage rates, rental income, property management, rental listings, buying process, financial planning, cost of living, rent increases, home renovation, home improvement, down payment assistance, real estate broker, property taxes, mortgage calculator, rental lease, rent control, housing market forecast, home equity, real estate trends, housing finance, property ownership, rental agreements, real estate law, home affordability, mortgage lenders, housing prices, residential real estate, rent prices, property investment, real estate financing, renting vs. buying calculator, homebuyer incentives, rental agreements, home affordability index, mortgage approval, housing market analysis, home buying tips, rental regulations, real estate market analysis, property buying, rental market trends, home ownership costs, mortgage terms, rental properties, first-time buyer programs, home buying costs, rental rates.
In an earlier video of yours you showed how people are financially better off buying a home in the long run compared to renting... what changed?
Keep up the great work Navjot ❤
Thanks Navjot for the calculator and the analysis. It seems , the hybrid approach is feasfible from a long term prespective if one is disiplined in investing and is able to get high returns in stocks . Would like to see a comparison of how the results would be if some part of the money that was to be invested in stocks is used to pay off the mortage early.
How can I download the calculator? I am unable to find. Could you please share?
I really recommend this podcast to people who are trying to manage their finances because it's great to hear facts without any of the BS.
Thank you 😀
Its better to buy home and suck it up all the hard-work to pay mortgage then living as landlord's puppet. Be responsible.....
Landlord puppit no way ......time change .... Landlord is slave of tenants these days .... we know the pain
Agree and also this guy rents or bought ? Funny enough whoever preach renting generally owns
Calculator link does not point to download excel file, can you plz fix it?
Great video Navjot. Real trick here is using your hybrid approach explained but with buying home in Ontario GTA (around 1 million) and basement will provide you $2000 and it will be always in demand as per Canada’s immigration policies. I might be wrong here, just explained what some of my relatives have been doing in Ontario
Thanks for the video and excel. Great info! I am looking for the password for the excel to make additional edits could you please share?
Looking for the link for Excel sheet
IMO 4% YoY home price increase % is being too conservative. Change it to 7% (based on recent trends) and the whole equation changes. Similarly, your figures state that rent will only roughly double after 30 years ($3000 vs $7070) which sounds wayyy off given current trends where it's often increased 10% YoY.
Did not find the password for the excel
Living in BC, where house hacking seems nearly impossible, do you think it would be strategic to relocate to Alberta temporarily? By purchasing a home in Alberta for $825,000, leveraging a basement suite rental for $1,500/month, and building equity, can one effectively implement the hybrid approach you discussed? I know it's subjective and your job plays a vital role, but I've been contemplating doing that and would love to hear your opinion on this!
Fantastic video though, very nicely explained! 👏
Great video!! One thing I am struggling to understand is why there is no stock portfolio in the “buy” scenario until after year 25? The cut-off point where renting gets more expensive is somewhere before year 20. That means there will be surplus money to invest for the homebuyer.
Makes sense… you can. That’s just difficult to build an excel calculator for 😀 I always encourage diversifying portfolio when you are able to 🙌
America which is going to be leader for still few more foreseeable decades, will want inflation to keep going up to manage their fiscal deficit. That means the house loan you take now and get locked in with a fixed monthly instalments, you can pay it much easily in future with inflated money. 7000 dollars monthly repayments won’t look that bad after next 10 years. But the 7000 per month rent in next 10 years is much worse. It’s like paying interest only loan.
I don’t agree with this video. This is not 100% correct. 10% avg every year return is not practical and it’s down mostly. Real estate growth by 4% is not practical either for Ontario. Ignore last 2 years but otherwise real estate has grown higher. What if stock market crashes big time and you have nothing left for ur retirement .. at that time you can’t go back n buy home. After retirement of home is paid off, I don’t have to worry about roof on my head. Common sense..
sir please make a playlist from where i can start watching one by one. what ever you are saying is going above from my head.please please please
Hi Nav, Thanks for the information - Can you please provide the password to unlock excel file
True, it is logical. Not marrying, not kids, die alone in life, not eating outside are also great finanacial choices.
Do things that is happy for you and your family.
Then why are you investing in multiple properties not just in Canada but in USA too.
Diversification of portfolio that I talk about in the last few mins of the video
How can I download the calculator? I am unable to find. Could you please share or add in pin comment!!
The link is in the description my friend :)
And the best thing about renting is you dont need to pay rent ...... eviction took 1 year
Hey Navjot, I really liked your videos and I reached out to your website for helping in mortgage. I filled out form twice but I couldn’t get hold of anyone. What’s the best way to reach out to your team?
Hey Ujjval, I see that you already talked to Fardad on the day you booked the call. I hope it was helpful - he did send an email to you after that call to book a long video call
@@growwithnav Hi Navjot, I had a great discussion with him. It was helpful. Thanks!
Great Video Navjot, However, I believe, Primary home cannot be considered a part of net worth, also, after year 30 a homeowner would have stopped working as well, I do not expect a homeowner to make ends meet with a stock portfolio of 377K. I would really like to be a homeowner one day, however numbers are not making sense at all!!
Thanks. You may have missed the last part of the video where I talk about the hybrid approach.
There are many CASH FLOW properties in windsor, but I see you haven't invested in windsor at all, why? Share some light if setting is not known or spoken about. Thanks
I can find the same cashflow in calgary and US which in my view are better markets in terms of LTB rules - personal preference. There is no right or wrong here 😀
Which app is best for stock and etf investments
I use Welathsimple from last 3 years and only use my TFSA account because of no Tax.
Quick tip only invest in VSP if you want safe returns my total portfolio sitting at 35% in 3 years 😊
I hope this helps.
The thing with people is that they generally lack financial discipline. And because of it, owning makes more sense as you are bound to pay your mortgage every month in contrast to investing every month(the deficit).
100% agree!!
You forgot to add interest, payments, property, taxes, maintenance, and any other taxes that could be implemented once you come home I would like to your income and all that. The only moral of the story is be disciplined
renting option needs lot of discipline and time - for rental option what if u want to move and it has not appreciated much, and closing cost / taxes. So it is all about personal choice- committing to 800K or 1 Million is not easy. I prefer flexibility.. Less work in a rental option, Minimalist liiving. Why have so manu Bed Rooms in a home.
Nav, Great analysis for starters.
But realistically I don’t think with current taxation and cost of living, One would be able to pay mortgage and invest 2K a month. I read that 65% of Canadians salary is going towards mortgage.
Thank you. Not for everyone for sure - most people also have an income problem. Meaning, we get into home buying before first improving the income
Paying someone’s mortgages does that apply to renting an apartment??
I don’t agree with the statement anyways. It’s total BS thing to say 😀 Do check the video.
It's like saying I won't use Netflix because I'm paying for salary of its executives and employees. Shelter is also a service and you pay for living there.
Renting vs owning is a complicated topic and has no concrete answer..
Buying is the always the right answer for the longer term perspective. Don’t listen to buyers agents or mortgage agents who try to sell you investment properties, show rosy picture of becoming a millionaire after buying 2-3 investment properties. It’s very risky business. And let’s be honest, no one has ever become a millionaire by property investment. It’s a trap. But one house that you love, and pay it off in next 20 years. And then live rent free in
This guy was 2 year ago saying to invest and buy houses, now he he has changed hisbtone , confused guy
Agree..
Anything for clickbaits
Could have watched the entire video before commenting.
How does a renter have 118K in year 1. The inputs seem fishy which makes the whole calculation pointless.
99,000 invested in month 1 and investing the difference over the year will get you to $118K.
You just create videos for the sake of vlogging. Some days ago, you cretaed a calculator to depict owning is better. And now you calculate renting is suitable. I know you are good with numbers. But thqt doesn't mean you do doglapanti 😅 Pity your subscribers!!
It’s funny that you watch half a video and make assumptions about me 🙌
First time I agree with u Nav .... I sell my both houses already and decide never buy house in my whole life ....
Hey Nav ! I loved this video . I work with entrepreneurs like you who have under 15k subscribers to help them to grow to 100k subscribers in under 12 months with proper systems . I actually helped Chirag to achieve 92k subscribers in under 11 months . Could I do a free audit to see if I can help you do the same ? I just think it's really important that more people see your content and want to help you on that mission .
Copycat