|
| | Buying a Condominium vs Renting at Van
Norman
|
| |
Condominium (5% Down)
950 sq. ft.
2 Bedrooms |
325 Van Norman
950 sq. ft.
2 Bedrooms $900/month
plus utilities |
Condominium (10% Down)
950 sq. ft.
2 Bedrooms |
325 Van Norman
950 sq. ft.
2 Bedrooms $900/month
plus utilities |
| |
|
|
|
|
| Purchase Price1 |
135,000.00 |
- |
135,000.00 |
- |
| Down Payment |
6,750.00 |
- |
13,500.00 |
- |
| Legal Fees and Closing Costs |
2,775.00 |
- |
2,775.00 |
- |
| Mortgage Default Insurance (CMHC) |
3,526.88 |
- |
2,430.00 |
- |
| Invested by Renter @ 3.99% (5 yr. GIC) |
- |
9,525.00 |
- |
16,275.00 |
| Mortgage @ 6.85% |
131,776.88 |
- |
123,930.00 |
- |
| |
|
|
|
|
| Mortgage Payment2 |
910.82 |
- |
856.58 |
- |
| Condo Fees |
180.00 |
- |
180.00 |
- |
| Rent |
- |
900.00 |
- |
900.00 |
| Property Tax3 |
207.58 |
- |
207.58 |
- |
| Water Heater/Furnace Rental Charges |
45.00 |
n/a |
45.00 |
n/a |
| Invested by Renter each month @ 2.5% |
- |
443.40 |
- |
389.16 |
| Total Monthly Payments4 |
1,343.40 |
1,343.40 |
1,289.16 |
1,289.16 |
| |
|
|
|
|
| Total Payments after 5 years5 |
90,128.92 |
90,128.92 |
93,624.52 |
93,624.52 |
| |
|
|
|
|
| Condo sold for 105% of purchase price |
141,750.00 |
- |
141,750.00 |
- |
| Less 6% commission and legal fees |
10,005.00 |
- |
10,005.00 |
- |
| Less Mortgage Owing |
119,741.26 |
- |
112,611.32 |
- |
| Cash |
12,003.74 |
39,905.56 |
19,133.68 |
44,695.79 |
| |
|
|
|
|
| Condo sold for 110% of purchase price |
148,500.00 |
- |
148,500.00 |
- |
| Less 6% commission and legal fees |
10,410.00 |
- |
10,410.00 |
- |
| Less Mortgage Owing |
119,741.26 |
- |
112,611.32 |
- |
| Cash |
18,348.74 |
39,905.56 |
25,478.68 |
44,695.79 |
|
|
|
|
|
| 1. Closing costs include appraisal fees and land transfer tax but do not
include GST on a brand new condominium. |
| 2. Does not include any premium for life insurance on mortgage. |
| 3. Assumes assessment equal to purchase price, a tax rate (municipal +
education) of 1.845144% (Thunder Bay 2006) and
NO
increase in taxes during the first five years. |
| 4. Does not include insurance or utility costs. |
| 5. Does not include purchase and/or maintenance of appliances, or any
maintenance or repair costs for the dwelling. |
Back to Top
|
