When the time comes to decide to become a homeowner, many hesitate before making the big jump because they fear debts, especially a debt of such a large amount. But remember, a debt, no matter what the circumstances, can be good or bad.
As a general rule,
- A debt is said to be bad if you borrow money to purchase a property that is declining in value as time goes on, or if you cannot repay your repayments when they are due.
- A debt is said to be good if you borrow money to invest in an asset that is growing in value or that is profitable in the long term.
- A loan for a car while you live downtown, alone or as a childless couple with all the shops and your job nearby would potentially be a bad debt.
- A loan for a building situated in a holding sector, that would take value and/or that would be dedicated to your family life and in which you wish to live many years would potentially be a good debt and in some cases could even be lucrative. It’s the same thing with your student loans, your investment in starting a business.
And for each of these projects, if the debts can be good first, they can also be bad, If you are not well enough advised, we recommend that you surround yourself with professionals from the sector and for the purchase of your home, it would be primarily a real estate broker. Are you aware that our agencies also work with mortgage representatives.
Your broker Sutton will help you in this regard.