First property: investment or for my family?

[Bernadette]

Hi Alex,

I would buy a home for your family first. Focus on paying down the mortgage and hopefully you will have nice price appreciation in the GTA over the next few years. Take out a LOC when you have some equity built up and use that for a down payment on a rental. You can also find mortgages that are linked to a LOC. You pay down your mortgage and your LOC increase automatically.

Also think about buying a home with a basement suite. Live upstairs and rent the basement.

I agree. The basement suite rental is a great option that can give you the best of both worlds right now. Alex, depending on your personal finances and the market conditions/affordability, you might be in the first home you purchase for longer than you're initially planning on so I would make sure your family is still comfortable wherever you buy. Have a realtor set you up on some auto-email searches so you can keep a close eye on the market activity within your budget and weigh your options.

 

[borisdavenport]

Alex go with second option..