My buddy, Matt, doesn’t know whether he should buy or rent the next place he lives. Right now, he rents a place with two other guys and he kind of feels like his money is being lost.

I totally know what that’s like.


I’ve been living in a rental apartment with two people(two great people, if and when they’re reading this) for a while now. When I think back on all the money I’ve put into this place, I wonder whether it would have been worth it to have just bought a place.

Prior to moving into this building, I never really thought of that option, but as I grow older, I wonder whether it would have been a good option.

Look at me jumping to conclusions; I’m assuming I can get a mortgage. Truth is, I don’t know anything about mortgages.

What I do know is how much money I’ve spent on rent. So, I’m going to break it down for the world to see:

• I pay about $600/month.
  
• 600 x 20 months = $12,000.
  
• If I include my roommates’ share of the rent, the total comes to $36,000.
  We’ve spent $36,000 and when the move out date arrives here at the end of April, we’ve basically got nothing to show for it.

I’ve been thinking that it may have been a good decision for us to go in on a mortgage together—or “co-invest” as I’ve been told it’s called.

But I’m also hearing that renting can be a better option than buying.
When it comes down to it, you have to look at your options and what’s best for you. RBC has outlined some of the Pros and Cons on their site when it comes to comparing renting vs. buying. Here are two points that make me appreciate renting a little more:

• Renting allows you the freedom to move practically almost anytime you want; owning a home can make a move more difficult
  
• Renting usually puts the onus on the landlord to make repairs, owning a home can be costly if something goes wrong

Now I don’t know what to think.

I’ve also heard word that it may be best to hold off on buying a home in the current market. According to a recent poll conducted by RBC, only 7% of respondents are considering buying a home this year, compared to 9% last year. This is the lowest it’s been since this poll began being conducted over 15 years ago.

But I needn’t worry—and neither should you (I can tell you were about to lose sleep over all this). I’m going to have the opportunity to speak with a Mortgage Specialist in the coming days and I’m going to ask her ‘all that is mortgage’. Next week, I’ll let you in on what she had to say. If you have any questions you’d like me to ask her, post it and I’ll try to get the answer for you.

Sorry, Matt. I can’t help you figure out whether renting or buying is for you yet. But, in the meantime you can check out RBC’s Mortgage Centre and look around for yourself.

As for me, I’m going to research better ways I could have spent that $12,000.