After buying a home, cottage ownership is often high on the wish lists of Canadian families. In fact, many of us dream of a weekend retreat to escape the hectic city, make memories with our kids or enjoy a peaceful retirement.
Whatever your inspiration, it’s a good idea to consider your financing options and the financial implications related to owning a cottage before you start driving along those country roads looking for ‘FOR SALE’ signs.
As you research your options, remember to think about the full financial picture. In addition to the cost of purchasing the cottage, you must also budget for other expenses like maintenance, property taxes and transportation. You may wish to consider how often you plan to use your new cottage and make sure it suits your lifestyle. Using a mortgage professional, like me, and a real estate team are valuable resources that can help you with planning and budgeting. We understand the market conditions and can give you good estimates on taxes and annual upkeep. We can also assess the rental market, if you are considering to rent your new property to help with the carrying costs.
Most financial institutions offer financing programs for cottages or second homes. The type of property will determine your eligibility for financing options. For instance financing programs can be applied to either type A properties (typical residential properties) or type B (properties lacking standard heating or year-round road access). Your primary residence is also a good source for financing a cottage. For example, if you’ve built up some equity in your home, you may be able to utilize that available equity to achieve your goals.
If owning a piece of paradise away from city life is on your wish list, call me TODAY for help to make your dream come true: 778-668-7469
– Meghan
