Quote:
Originally Posted by Marshall Placid
The REAL question is: when should new home buyers start purchasing their first home?
When will these over-the-top home prices drop to more manageable and affordable levels?
Is it wise to time the market, especially when you are buying to life and hold, rather than to invest?
And while pondering this question, they are either renting or living with their parents.
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valid question, and to be honest it all depends.
but how do you know you will be living in Vancouver for the rest of your life? What if there's an unexpected career opportunity in another city? What if theres a major recession in Vancouver and you need to move to find work?
also, there's a lot of uncertainty right now, why not wait to see where the market is heading especially if you are living at home with parents. ask yourself? what are your thoughts on where the market is heading? Do you feel like it's going to increase 20% next year? if yes then buy now. but most likely you are thinking like most members on here, that it's probably going to stay flat or decrease - with a chance of it dropping more.
so why not wait until next year' to see if it stabilizes or see what the market is indicating. you live at home, save up more money for your down payment. if the market drops 5-10%, congrats, you just saved 30-100K on your purchase price without doing anything. if the market stays the same, you now have a bigger down payment and you will be paying less interest costs to the bank.