My buyer clients are consistently asking me how they can improve their affordability. At the end of 2022, housing affordability hit an all-time low while inventory remains tight for many property categories. Here are some ideas to consider as you plot your first home purchase. 1. Try House Hacking “House hacking” is a real estate investment strategy in which participants use their homes to generate income in order to offset their expenditures. For example, renting out a basement apartment or a secondary suite, splitting housing costs with a roommate or converting a part of your home into an Airbnb. In some cases, house hacking may make it possible for you to qualify for larger mortgage. A lender, for example, may approve you for a larger mortgage if you purchase a home with immediate income potential, such as a legal duplex or a property with a legal secondary suite. Here are some of the other house-hacking ideas to earn some extra cash if your city by-laws allow for them: ● Offer paid parking in your driveway on a site like CurbFlip or SpotHero. ● Rent out your swimming pool for a few hours on Swimply. ● Make your home available for photoshoots or events on Giggster or Peerspace. ● Turn your backyard into a pay-by-the-hour dog park on Sniffspot. ● List your garage space on Kijiji.

2. Team Up With Friends or Family You may want to consider co-purchasing with a friend or family member. Arrangements can be customized to fit your circumstances. However, plan carefully before you proceed and engage the services of a lawyer to draw up a sound partnership agreement.

3. Tap Your Family or Friends For Help Another established method is to ask your family for financial help either as a loan or as a gift. Alternatively, your loved ones could help by co-signing your mortgage application. The additional income included on your mortgage application will boost your level of mortgage financing.

4. Tap your network for help. Ask for monetary gifts instead of tangible ones. For example, if you're getting married soon, you could skip the wedding gift registry and ask guests to contribute funds to your hoped-for home purchase instead.

5. Look for Special Programs and Assistance You could also cut some of your mortgage and closing costs by taking advantage of government programs, tax rebates, and other funding opportunities, such as: The Government of Canada's new First Home Savings Account (FHSA) initiative. First time home buyer land transfer tax rebate in Ontario and in Toronto. A First Time Home Buyers' Tax Credit up to $1,500. A GST/HST rebate when you buy a new construction home or condo and or a significantly renovated one. First-time home buyers can also borrow up to $35,000 tax-free from their individual Registered Retirement Savings Plans (RRSPs) to help beef up their down payments. Eligible Buyers can take advantage of the Government of Canada's First-Time Home Buyer's Incentive. My excellent TEAM MORTGAGE BROKER can walk you through your options.

6. Expand Your Home Search If you’re having trouble finding a home within your budget, consider broadening your search criteria. You may be surprised with more options if you are willing to compromise on home type, condition and location. Buying a first home is challenging, but it's not impossible. Our NO OBLIGATION BUYER CONSULTATION is perfect for putting together an action plan that will help you to accomplish your dream of home ownership in a very orderly, organized fashion. If you're interested in my NO OBLIGATION BUYER CONSULTATION all you have to do is click HERE: Have a great day!

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