We recently sent out pamphlets in the Vancouver area, targetting renters and explaining how they could get into the ultra-competitive Vancouver market. The premise is that with the low interest rates, and 5% down, your mortgage payments and maintenance fees are lower, or similar, to what you pay in rent per month. For example:
The average monthly rental in Vancouver is $1807 per month.
Over 200 properties have sold in Vancouver for under $475K, which is important because it allows first time home-buyers to avoid the transfer tax.
Interest rates for today, according to Macklem Mortgages are $3.67/100,000. Therefore, for a $470K condo, you would need a 5% down payment of $23,500 and your mortgage payment would be $1638.66.
Of course there are other things to consider, such as taxes, maintenance fees etc. but the point is that you dont have to be a millionnaire to own your own home in Vancouver.
We thought we were pretty smart when we sent out these brochures, and I think we've been validated with a recent Vancouver buzz campaign #dontneed1million to own in Vancouver.