Tanks Tina and Norm. The cost of ownership of our home was essentially the same as the rent on a luxury apartment. Since we sold our home, costs for heat, insurance and property taxes have increased about 10% per year, our rent increases by 2% annually. The capital from our home, which we fully owned, is fully invested and yielding 5-8% per year. We are wealthier every year by renting…not to mention we are free to travel by simply locking the door. As young retirees it’s a no brainer for us.
Very situational depending on where you live. Here in Australia rents are skyrocketing, there's a severe shortage of rental stock which is very stressful for those renting and house prices are also booming. Given the condition of various economies there's no guarantee of investment returns either. Here in Australia owning a home is almost a necessity for a comfortable retirement given the way they're treated for Social Security purposes unless you have an awful lot of cash/investments to draw on. A retired mate of mine in his 70's has just sold most of his stuff because he thought his lease wasn't going to be renewed and then at the last minute it was which was very stressful for him. It happens every year. One of his comments to me was "I feel like my security is in someone else's hands and not my own." We don't have the crazy property taxes that many in the US seem to suffer from..........yet. The value of our property has also gone up by around 200-300k in the last 3-4 years as well.
with current financial situation in Canada it is not guaranteed to have 5-8% on your investment form home sale. WE had multiple financial advisors doing calculations for us in case we sell our house for 1 mln, we will be running out of money in 20 years. So, after that we will be without house and money> Nice prospective at 80 😞
@@doconawalk9367 Yeah it's all about having options really. I guess the risk is that house prices keep going up at the rate they are or whatever you have your money in tanks. If you had got out of our housing market a few years back there would be little chance of getting back into it now as it has gone up so much and returns on investments haven't kept up. Everyone has their own ideas and different situations but my view is that a productive appreciating property is way more valuable than travel or toys in the current situation. When I'm unable or unwilling to keep spending time maintaining it or it isn't enjoyable anymore I may change my views. Certainly current economic trends suggest we're doing the right thing.
We are still living in our first home. 45 years in May. When we decide to move we’ll probably rent a senior apartment. Rent prices are crazy here in the U.S. right now.
Absolutely. I would love to extract the equity built up in my home and rent but the rental situation in Ireland is insane. Huge corporations are building to rent only and the prices are crazy. There's very little stability and long-term renting is still quite insecure. I couldn't imagine having to move every couple of years for the rest of my life.... I think it's a global problem though?
My wife and I have owned 4 homes during our marriage and have many great memories in those homes with no regrets. However, being a few years away from retirement I find owning kinda overwhelming to be honest. We plan 4-6 weeks in Arizona and many months at our RV in northern Ontario. In early retirement owning a home and not being there would add unnecessary stress for us and our children who would have to check in on it . For us….less is more!
Unfortunately, renting here in the US is astronomically high, and in many cases, higher than a mthly mortgage payment, plus we don't have rent control here and landlord are known to raise rents upwards of 10-12%. Personally, for us, owning is the way to go, not to mention building equity. I guess it all comes down to everyone's particular situation and most importantly, in what part of the world you're located! Sounds like renting works for you guys! Cheers! 🍷
there is no right or wrong explanation as to whether renting or owning your home makes more sense. It depends on every person or couple's concern or situation. Whatever best fits your comfort zone is the justifiable way. Our needs changes as we grow older. You will know whether it's time to continue staying in your home or it's time to let go. My opinion.
I completely agree that renting is headache free and you can lock-up & go with zero worries. Renting can make sense financially, but only if you sell your home and are able to live of or pay the rent from the interest generated ( $1m home at 5% = $50k before tax ;) Average price for a 2 bedroom apartment where we live is $1500. What really worries me about apartment living is that at anytime the landlord could decide to kick you out. Yes you have a lease & rights, but there's always a way for an owner to kick you out - not something I want to worry about in my 80s.
Also, you might have disrespectful neighbors (like mine!). There are trade-offs between renting and buying but if you rent in a "senior building" then you are less likely to have problems.
That's exactly the problem in Ireland too. Am considering a move (purchase) to Spain or rural France where prices are more reasonable (so far!) and use the equity to enjoy a great life!
Unfortunately in Australia renters are considered second class citizens. The vast majority of rental properties are privately owned by “mum and dad” investors and not by corporations. The current rental crisis we have here has highlighted this issue as well as the issue of AirBNB where there is more money for landlords doing holiday lets than renting to long term tenants.
@@mrscuteas Yep. We live in Australia and given the rules around the PPOR in terms of pensions etc someone would have to have an awful lot of money/investments indeed to make renting nearly anywhere a better proposition than home ownership. I have a mate in his 70's who rents and it's a continual worry about whether he will have a roof over his head in spite of being as good a tenant as you will find.
It's impossible to rely on renting in the UK. The private rentals are highly insecure. They're often owned by amateur landlords who decide to sell or move in themselves when their life changes. Public sector rentals are very difficult to obtain. Corporate rentals are rare. It sounds fantastic in Canada to have the choice of renting something smart that's safe and secure.
It is the same in Canada. This couple would change their tune if/when circumstances change, as they certainly do: eg building is condo-ized, rent controls eliminated.
ps I am very negative because my neighbours, in their 70's, were just left their rental because the owners want to sell. Their are no rentals here any more, they had to move to a run down area they don't like, to pay more.
Canada's housing market is a Ponzi scheme and people can't rent a place for a fair rate let alone buying a place. Most investors here in Canada has multiple properties. So they rent for insane amount. We hear that some international students are living under bridges. Not many people talk about it openly. Plus the Healthcare has become a joke in Canada. I saw last week in Toronto that patients waiting 48 hours @ emergency dept. I think UK is way better...!!!! USA has the better affordable housing compared to Canada..!!! But getting US Green Card for Canadians is not easy...!!
You are leading subscribers astray Norm and Tina with many of your commentators thinking all of Canada has rent control when in fact it is quite rare. Also, even corporate owners want to renovate from time to time and use this to kick out tenants who do not know their rights. "Renoviction" seem common in Ontario but I have no idea what the actual numbers are.
Yeah my thoughts as well tbh. Lots of decent ideas but given how important secure shelter is as we age and how situational their plan is people should be thinking long and hard about this particular choice imo. Also given how various economies are tracking at the moment quoted investment returns or even safety of invested capital are certainly not guaranteed. If it all goes to crap I will still be able to wander down the back and grab some fruit/veg. when I feel like it and our home is our own.
Susan, have you actually done research or is this your thoughts, here is what a quick google search returns. Five provinces and one territory offer some form of rental regulation: British Columbia, Manitoba, Ontario, Quebec, Prince Edward Island and, recently, Yukon. Nova Scotia has a temporary rent control policy, brought in during the pandemic, which expires at the end of 2025
@@paulhunter6652 We have a friend who is a RE broker and on ethics committee. All of the following can be verified online and w/good doc videos on the issue of rent in Ontario and Canada now. When you enter a rental agreement for the first time, the landlord decides the amount of rent you will pay and what services (hydro, parking, etc.) are included. Sometimes, you can negotiate what bills will be included in the rent but it is ultimately their decision. Although rental housing prices are based on current market prices in Ontario, there are no limitations to what a landlord may ask for rent. The market price for a unit can be significantly higher than what the tenant before you paid. There is no maximum amount of rent that a landlord can charge a new tenant, with the exception of non-profit housing like rent-geared-to-income (RGI) or subsidized, co-ops, and some student housing. Ontario is a rent-controlled province for the most part, with a few exceptions. This means that a landlord can only increase your rent by a limited amount each year. Newer buildings are not rent controlled and landlords do not need to follow the same guidelines. In some cases, landlords can apply to The Landlord and Tenant Board (LTB) for approval to raise your rent above the guide limits. For example, the LTB might approve a higher increase if your landlord has made large repairs or installed a security system. New residential apartment buildings, condos or houses that were occupied for the first time as of November 15, 2018, are not rent controlled. Landlords can increase the rent year-to-year to whatever they want and they are not required to follow any guidelines. They must, however, wait 12 months before they can request an increase. This also applies to residences that were newly built and occupied as of November 15, 2018, like: apartment additions to existing buildings or houses basement apartments mobile home parks and land lease community.
@@ThisIsOurRetirement This is true but there are loopholes (see my reply below) and rental tribunals are back logged 1-2 yrs. I don’t believe you’re misleading and only adding the info to be of help. Take care.
I moved 544 miles from my 'home' for a job and moved into an apartment. After living in a home, an apartment is a huge adjustment. I just sold that home, and am going to buy another one in the area that I am currently living and employed. Apartment living is not for me. The noises and restrictions are nuts. Owning a home is expensive, but it comes to about the same amount of money here in this area (SouthWest Florida). And when I am ready to travel, I will have some equity to either cash out or have as a rental.
Homeownership is a must if you're retired in my book and hopefully, you have no mortgage by the time you retire. If I was a renter in retirement I would personally be a nervous wreck worrying about rent increases and being subject to the whims of a landlord.
I think you’re missing the point about using the equity in your house to fund your rent. You sell your house and use the return on that money to pay your rent.
Hello T&N I went the opposite way I don't know if you remember I move from NY to Las Vagas. The reason was that after retirement I could not afford to live there,a small studio in Brooklyn was almost 3000 a month,my mortgage is 700 with insurance & tax monthly, so I think renting does not work for everyone even in Canada, I have friends who emigrated there from Barbados who say their rent is very high and climbing, I think you were both lucky to find such a good deal on your flat.God Bless you see you next week or it next Wednesday which ever I will be looking out for you
Too hard to rent in the US right now. Very difficult to find a new place if you're evicted. If the rental housing market worked that'd be another story.. the only thing I really value about home ownership is the legal control over the property and not being forced to move at someone else's whim, not being allowed to have pets, etc. I think things were very different even 10 years ago.
We only rent from a large corporation they have over 90 buildings renting is their business we would never from a private homeowner , and we are in a pet free building which suits us fine Cheers 🇺🇸🍻🇨🇦
Where I live in Phoenix it would cost me $11K more a year to rent an apartment vs. payed for house. That’s even subtracting cost of property taxes and home maintenance. I can see some benefits or advantages but the cost doesn’t justify renting for me.
Lost? They used the proceeds and its earnings to live the life they want (traveling, less chores, easy lifestyle). If they haven’t sold their house, they and the money would have been stuck in it, along with additional money spent on maintenance/replacement.
Thanks so much for this video. Re: for young people buying a home is forced savings, well, we live in ON and could not afford a home back in the day of 18% mortgage rates, so saved each pay check. Saving and investing were our habit before home ownership, plus working a full time and part time job. There was a guy, Sean Cooper, Scarborough, ON, who rented upstairs of his home, lived in the basement, worked full time and part time, used public transit and paid of his 200,000 mortgage in 3 years (age 29ish). Re renting: we are working and bought a smallish town house and did not upgrade. We will stay in the townhouse and pay property taxes and house insurance. Snow shovel: our municipality provides for a fee, if you are not disabled (then no fee). Property taxes: senior citizens pay less if their tax return shows lower income in retirement. Town house: we use the stairs now and plan to keep doing so. Blue zones, where people live over 100 years, they work and don't retire. Lawn mowing: we are slowing making the front with plants and xeriscape, and the back will be less grass to mow with landscaping before retirement, and we love a small garden. Vacation: we have found bonded house sitter companies and have used them, paying a reasonable fee. Retirement: we plan to work part time and vacation with the pay from the part time work. Noisy apartment neighbours: our street does not have noisy neighbours who party, but either renting or owning, you can get bad neighbours. Keep up the great work fellow Canucks :) Aging senior: we will pay for home care and use the provincial health system too. We have a home are budget started, and the part time job after retirement has health benefits. We are working with a good accountant to balance the work with retirement expenses. We are not stopping full time work yet.
I also do not understand why some complain about high maintenance fee for the house owners. I have invested in my house 20 .000 for the roof change for the last 10 years. At the same time house went in price 100.000. If I want to change averything: roof, garage door, floors and windows (which of course I won't) in will cost me 100.000 and it will guaranteed to go in price again for 5 % a year, at least to cover all expenses . At the same you will keep living in a comfort of your own home. Snow, grass landscape maintenance: you always can hire people to do that and it still will be cheaper than rent, live in unpredictable neibourhood and lose property. Besides, when you are in your 80ties the least you want: this kind of uncertainty
Where do you get your $100,000 for the maintenance you talk about. It is the access to capital for home maintenance that is the issue and adds to homeowner costs.
This is just hypothetically. In worst case scenario. And obviously I do not need them right away, one step at a time. You are paying to keep living in a luxury and comfort of your own home that keep growing in price. I keep working. still do 6 numbers a year. So, this is not a problem. Which brings me to the point of negatives of Early retirement. I know tones of retired, but still working people who love their job and lifestyle and do not have plans to retire completely till 70 at least. That keeps them " young, sharp and ingaged@@ThisIsOurRetirement
Renting makes sense if you are in a situation like yours--utilities included and rent control. Not so much otherwise. I don't understand how rent control can continue anywhere with the cost of utilities and maintenance for landlords going up. Is it subsidized by the government? If so, that will inevitably cause taxes to increase eventually, yes?
I think the fact that I have never lived in a rent controlled area (like you do) really impacts that thought process for me! I have no desire to ever live in Ontario, not sure where else has rent control, but I will always own in order to protect my independence!
Agree, would be good if the videos made this point as it’s presented from the perspective of a stable rent controlled location. In the Uk I find there is a high chance of being asked to move out after a couple of years due to selling or owner moving back in
It sounds like a great life for you. But everyone is different. We like having a free standing little cottage home which we own and can share with our cats. I've been here since 1983. We enjoy our hobbies here-wood working, sewing, beading, gardening, walking down to the beach or into the town center. We like having our own library, growing our own fruits and vegetables, and having a park like setting for the grandchildren to come and play that is private. So a home is much better for us and much less expensive than renting here in Southern California. My husband loves puttering in the garden. It helps to have a home paid for and controlled property taxes. No HOA and no landlord.
Renting the primary residence isn't necessarily sound cost containment most places these days IMO except for the small number of places that have rent control. Also it's highly individual preference. We downsized into a much smaller townhouse that checks all our boxes and mostly covers cost reduction and containment except for the wild card of a possible home owners association special assessment. As to renting vacation property, RVs boats, etc., rent for use is so the way to go...
On the topic of vacation homes, when we retired a few years ago, we considered purchasing a cottage however it would’ve eaten up a good chunk of our retirement savings. We learned about fractional ownership (not a timeshare) and now have 5 weeks each year to enjoy our cottage and the time and money to travel the rest of the year. Our cottage has increased in value since we purchased it and the yearly fee…which equals what we used to spend for 2 weeks to rent a cottage, covers taxes, insurance, maintenance etc. We feel it’s the best of both worlds-owning only what you need.
For me, owning is security! Rents everywhere are skyrocketing and I feel renting is a waste of money in the long run. It all depends on where you own, but we can lock up and go where we want and feel our home is safe...Afterall it was vacant for 10 years! Our mortgage is affordable (fuxed) and we never plan on moving or selling again! This house will stay in the family and provide a vacation home in...PORTUGAL! Property taxes and upkeep are super affordable here and travel easy and pretty cheap! It all depends on many factors, but security is our number 1 criteria of importance!!
I feel the same way--solid security- and more privacy. Purchased the house in 1983. Similar homes in this area rent for 4,000 per month here by the beach in So Calif. And these are small homes. I don't care about selling and having the money to invest or splurge. Happy to live on a smaller income. The home with a big garden is a solid investment that we enjoy now which will later be passed on to the children.
Good fair comments below also. My issue is as one contributor commented --you don't have real home security as the owner can make you homeless. You don't mention how the substantial house appreciation has been lost to you. The rental of vacation properties and everything else however makes perfect sense. Less hassle and less expensive . If it depreciates rent but if it appreciates buy if possible. Enjoy your retirement stress free and you have the right attitude.
We did great when we sold 7 years ago , and having invested the money 💰 in the largest bull market with no maintenance costs of a home . Also we have had wonderful life experiences in travel which is proving way more important to us Kerr . We rent from a large corporation who has over 90 buildings all they do is rent .Have a wonderful weekend Cheers 🍻🙂
I've never heard of this, that if you are on vacation and something happens to your home, (fire, pipe burst, etc.) that your insurance will not cover it. I guess I better double check our policy. My wife and I have been discussing this recently. I'm ready to retire (62). She is 11 years younger so will work for w while longer. We both have decent salaries, but we want to retire in her home country of Romania. We have considered just selling here and renting there.. ..interestingly, in Bucurest, apartments (buy or rent) have skyrocketed as it seems now everyone wants to move there. Anyway, thanks for the video, it really made me think this over now.
Thank you. Again so informative and clear. I was a "The Wealthy Barber" follower person way back so saved/ invested vs owning a home. Not the only reason as we moved a lot over the country for work. Housing in impossible now and rent control is a saviour, if you got in before it went crazy. I know is not cashing in on the fact that a house is doubled, and more, but facts are all those years of maintaining cost a lot and rising costs for everything involved in a home. o well investments can tank too. no ha Go renting! and travelling! and please preach saving. Is so under rated.
Hi Tina and Norm! I own my own home here in Ontaro. I've thought about selling and or renting, in future I may.right now being A baby boomer, I am kind of stuck looking after my father with dementia who lives on the same street as me, so...been waiting... For a nursing home with no luck for him. He's 98 years old.meanwhile I have mobility issues as well But I am thankful to have a house to call my own as so many young people don't! I can't complain. 👩 👴💙
Hi Tina and Norm! You have a great deal with rent control in Canada. Here in the US, it would cost me more to sell my condo and rent an apartment. Rent is going through the roof and there are really very few if any rent-controlled apartments here. Landlords can kick one out at any time by saying they want to renovate. If there were more rent controls, the landlords would most like;y have no incentive to maintain the units very well. New York City is known to have rent control. I am glad NOT to be living there. We can do reverse mortgages here to tap into our equity in our homes. That may be a better option here in the USA. If you were suddenly evicted have you thought of where you might live next?
There is not universal rent control in Canada. Norm and Tina are very lucky. In Ontario, any apartment building built after November 2018 does not have rent control. This was to encourage developers to build rentals.
@@jenniferlee7167 I guess there is always a way for the landlord to increase the rent - a special assessment for major renovations, for example. Right now in Ontario the maximum annual increase is 2.5% but the government could change this. If a tenant leaves then the landlord can increase the rent to whatever the market will bear for the next tenant. That's the problem in places like Toronto where the rents are unaffordable for some even with rent control.
In the UK I would think twice about selling up and renting. As far as I am aware rent control does not exist. Many apartments are heated by electric storage heaters hence high bills and being the UK the weather dictates several months of heating. There are increasing annual service charges and ground rent to pay. There are lease restrictions on what you can and cannot do. By owning my own home I feel more in control and if ever a financial need arises there is always the option of equity release.
Just sold my house and extracted half a million from my house. The interest on that money alone pays my rent and living expenses, food and I’m able to save 100% of my income. I’m 15 years away from retirement but sitting on a house with tons of equity is a liability. I’ve empty nested and no longer want to pay taxes and upkeep or be vulnerable to market fluctuations.
Many places in Canada don’t have rent controls like you enjoy in Ontario. There is no protection against skyrocketing rents for seniors on a fixed income. Purchasing a small condo or a life lease apartment might be a better way to go. Yes, operating fees can jump, but likely not as much as rent. Also, how on earth did you get such a low rate on an rv rental? They range from $100 to $200 per night plus gas, plus campsite fees. Not the most economical way to travel! Bravo to you for the deal you got!
This!!!! We rented a class C once in the 80s (In BC) and it cost $1000 for the week, plus gas and milage. I'd like to understand just exactly what his $29 a night is covering. ;)
It was a relocation from Toronto to Vancouver, no campgrounds as it was April, they were all closed until we got to B.C.The company was selling the RV and wanted it taken back to their headquarters. We look out for good value deals.
Happy Saturday Norm & Tina! Oh my goodness this video is so timely. Last night, my husband and I were talking about the impending doom of municipal property re-assessments here in Ontario. On top of that, municipal property tax rates rose by 5% in our community for 2023. With all the development here there’s no doubt taxes will significantly rise again in 2024. I have no doubt we’ll be priced out of this town before too many more years pass. Thanks for another thought provoking video. Enjoy the rest of your weekend. ;-)
I am not sure about renting your primary residence is the best financial thing to do in retirement. It may sound tempting but the risk of being kicked out later at the worst time of our life is not null. Yes Construction CPI is consistently much lower than real CPI and for a while it may sound a good idea to pass the inflated costs to the landlord but at some point that deal will have to break. You could end up in the street with your furniture quicker than you think. The second thing is the primary residence is the only investment I know in Canada with no taxation on the capital gain. Just make sure your primary residence fits your need during your senior years and does not become a maintenance burden. Downsizing and moving to a condo can be a good idea but for those living in the country moving to a small easy to maintain house can be good too. For anything else, I agree renting is often better than owning.
It sure is a problem with housing lately with sky high rents, mortgages and house prices that people in retirement got to make difficult decisions on how to live. Maintaining your home as you age can be physically challenging as well. Who wants to shovel snow, cut that lawn and get a huge surprise when you need a new roof, furnace, plumbing problems, etc.
Hello Tina and Norm, Our first two apartment were rental properties in Germany, but then we bought an apartment and lived in there until we moved to the USA. The sale of our apartment provided us with our down payment for this house 27 years ago. If we move to an apartment, the rents will be higher than our mortgage on the house, but will be saving money which we spend on house renovation/repair/maintenance, lawn care service and home insurance. My wife is not convinced and does not want to move into a rental apartment. I am trying to convince her to move out to Portugal. Who knows, she maybe on board with this!!
hey guys, great show again. Please work on the volume though. Had to crank computer way up to hear you, and then when the commercials hit my walls shake. Other than that, keep up the great work!
I very much enjoy your videos!! I don't have anything specific about this particular video, but there's something about your newest videos on which I must comment. I love hearing Tina and Norm in stereo!!! I watch when I'm working in the garage and listen with headphones. So Norm in my right ear and Tina in my left matches the screen perfectly. Very cool!!
We sold our home in NH and purchased in 55 and over community 10: years ago. Rents in NJ are very high. We have no mortgage. We pay a little over 400.00 month with taxes insurance and HOA fee . NJ has a senior tax freeze so our taxes will never go up. . We have our emergency fund for any large repairs . The HOA fee is low because we have very few amenities. No pool etc. Do you not find it a little uncomfortable that a future change by the landlord or land management company may make you seek another place to live? I think that is the biggest fear I would have about renting is knowing someone else can make that decision .
Renting that Airbnb contributes to the issues people are discussing below in regards to housing affordability and rental availability. Many real estate investors have switched to renting on Airbnb rather than putting it into the long term rental market. Which contributes to the shortage of available rentals as well as increases rents and housing costs. There are many factors to weight before making this decision and everyone has different circumstances. The rental market here is very unstable and rent costs are sky high (Canadian West Coast). I also don't want to have to move outside of a larger area like you did as I want access to health care at a major hospital should I need it as I age. The pro's are definitely the money from the sale of your home plus the ability to just shut the door and go on holidays. But for me, the cons outweigh the pro's at this point. That may change in 10-15 years.
Your plan might work in the US if one rented in a low cost area. Otherwise rental prices have inflated so much that selling then renting would likely not be advantageous. The other option is to downsize significantly to lower maintenance and property taxes.
Apartments in the Greater Toronto Area have in many cases tripled in the last 1-2 years. with no rent control in the immediate future, really makes one wonder what to do . The luxury of an extended winter vacation seems out of reach $ for the common person ‼️
We can assure you we are common people, just live frugally and budget, allows us a few months away in winter. Any building outside the downtown Toronto core that is 10 years or over are rent controlled.
In our situation renting wouldn't be the best option. We live in an apartment and are owners. It is low maintenance living with the major works being taken care of by the Tech Committee. Next week we are off for 3 weeks and have no worries about safety or upkeep. Renting would gobble our nest egg faster than snow melts in sunshine....the rental situation here not being very well protected financially. Oh we have rights as occupier should we rent, we just don't have a very well protected pricing system. So for us, ownership is a no brainer. Temperatures are set to drop Tuesday- having just had more than a week with temperatures above 30 degrees ( celsius). Have. a great week. 😎🇳🇱🙋♀🇳🇿 👌🍷
We are fortunate to have rent control Anita which makes a huge difference, at the moment we are cruising off the coast Of Greenland 🇬🇱 life is good Cheers 🙂👍💕
What is striking to me is that they are only considering the monthly/annual budget of themselves with regard to renting vs owning. I am wondering what consideration is being given with regard to creating generational wealth. Your children can inherit a paid-off property, while renting monthly doesn’t create generational wealth. Some people may not care about that, I realize.
Generational wealth is not only achieved by home ownership. The money that’s not invested in the home can be invested in the stock market or business, which can also produce similar, if not, better results, IMHO.
@@soldierhobby2038 you’re right, of course it can. But it seems much easier for people to spend the money in stocks since they are so liquid. Real estate has staying lower because it is not as liquid. Sure, it may or may not produce the returns of paper assets (or it may wildly outperform them),but there is something lasting and practical about a really good piece of real estate. Having both paper AND real estate is the preferred scenario in my opinion. And knowing that your children have a physical, real life place to literally be sheltered, as well as actual land…that you can plant things on…there’s just something primal and natural about it. There’s something about it (land and real estate)that satisfies human beings that digits on a screen or piece of paper can’t.
@@TheSwissChalet I so agree. We feel secure having a garden-flowers, fruit trees, and vegetables, and some grass. Real estate plus other assets. You never know what the future holds for your children.
I have rented now for over 3 years and now it is the cost containment and true about holidays our neighbor years ago went on a holiday and some one broke into their house pipe froze and a lot of damage and the insurance never covered them for that reason and I went to Florida last year and just lock the door trouble I get bored between the pedal bike and the gym and getting part time jobs
I love all your videos and topics! I was wondering if you could do a video about retirement "nay sayers". It upsets me when friends and family tell us we are "too young to retire, you will be bored, you will run out of money, etc, etc". My husband and I worked hard all our lives, raised 3 amazing children, saving aggressively and living below our means. We love our family and friends dearly.❤ What are your thoughts and should we feel guilty for retiring early?
It is your life not theirs, make your own decisions, retirement is great, never bored. We just told family and friends, thanks for your thoughts, we are doing it anyway, it is what we want.
Early retirement allows you to enjoy your retirement life while you are still fit and healthy and able to do it , we are fortunate we don’t have to count every penny and do You Tube just as a hobby to give us memories and help others with their retirement Cheers 🙂☕️
We also had friends thinking we were crazy ! but it’s our life and we have worked hard for it , what is the point of doing all the savings if you are not going to enjoy it in retirement Cheers 🙂🍻❤️
It's a life style choice.... as the bulk of the baby boomers wealth is there house or cottage. I have family that sold there house and moved into a shoe box in the sky then Left and bought another house the lose of freedom and space was too much no backyard bbq, no garden, no fire pit on Sunday evening listening to The Hip....the husband went crazy stuck in the apt every day with the "women speaker"....it's not for everyone
Slick segway into the VPN promo. I own a couple of homes and while I can't be in two places at once , I always sort of fear returning to the other property only to have found it ransacked, or a raccoon invasion or some one squatting. I follow your advice on long road trips by renting cars with unlimited mileage and pile on 7,000-8,000 miles or so in 10 days maybe 2 weeks....hit a deer along the way , toss em your keys, have some type of mechanical failure, toss em your keys.. And it's just nice to drive a different brand or different type of car than what you own for a little while to get a sense of what you may or may not like in your next car purchase.
A really thought provoking video Tina and Norm. Renting is still very volatile here in the Emerald Isle so am not going to rush into anything.... very happy your decision is working out well for you. Stay well and happy. Catch you on the next one. 👍
Average price for a 2 bedroom in Vancouver is now $4000. A one bedroom is about $2600. If you never have to move, renting works. However, if you do things can turn out very differently. If you sell your home in Vancouver, which you can now do for about 2 million plus, and move into an apartment and never move, you rent increases will be reasonable. But again, if you move.....Also, if you invest your money and get say a 5% return, you would get say $100,000 a year in income it would seem rent would only be half of that so a win, but of course, you have to pay income tax on that. Timing is critical. I have know people who did this maneuver some years back and ended up bankrupt in their 90s living in fear of the building manager and being too frighten to ask for repairs in their increasingly run down rental. You really need to carefully consider all the angles when you do this. You also need to be confident that you have security of tenure in your rental accommodation. If it is a private rental, your landlord may need to sell and you are out on the street scrambling to find a place at the then current market rent.
We always recommend renting front a corporation for so many reasons from maintenance to them being lawful and needing clients for their business to exist.
I also plan to down size my current house or rent. Unfortunately, the renting in the US can be very expensive if your concerned with safety and security and live comfortably. Like your videos. You both are awesome. Btw, I live in Indiana, my town is next to I65 if your on it heading to Alabama shoals again.
I live close to you in Shelby county! Yes we also are retired and have lived in our home forty years. Rent is sky high and not sure if renting would ever be an option !
Hi Tina & Norm good to see you both again I think it makes the difference when you meet someone who has done it . Regards. Christopher Barker (Keep the good work up ) 😊🥂
You guys are living the dream🤩. I totally agree with your points in this episode. Owning a retirement property,for one thing,does tie up funds and really kind of ties you down to taxes,insurance,repairs/upkeep….it just makes sense to do it the way you’re doing it. Have someone else be responsible for the big costs and enjoy your life with fewer strings! Sounds pretty good to me!👍👍👍
its an interesting debate rent versus buying guess at retirement selling up and renting or constantly travelling is a decision maybe based on the need to release funds from your home *full watch every time💯Au🦘enjoy your weekend😎thumbs up👍*
Good day retirees, what could you recommend for investing in dividend stock? An app that is simple! I have never invested before and am a nubby to this but love the idea. Thank you and keep making these types of videos.
We totally agree with you on renting versus owning as we get older (70+ for us). But as others have mentioned, rent (along with house prices) in the USA have been insane recently. Here in Florida the average rent showed a percentage increase from March 2020 to March 2023 of 45.77%, amounting to a whopping change from $1,459.73 to $2,127.86 per month. We hope by this will subside by the time we're ready to sell our nest egg and go back to renting.
I also live in Florida, but am a home owner. Home prices have also risen by a huge amount in the past few years. I bought my current home in 2016 for $375k. It is now worth roughly $620k. That's a whopping 65% increase in just seven years! As you mentioned, rents have risen by a huge amount in Florida in the same time frame. One thing to mention is there is a compromise between home ownership and renting and that is buying a condo. That will allow you to at least bank some of your home equity by downsizing into a condo. Additionally, not all areas of Florida are as expensive. So relocating to a cheaper area away from the coast can also help. Not to mention the hurricane threat is far less! 🙂
@@ThisIsOurRetirement In many places it is actually as bad as is being portrayed by many imo. Your situation or any situation where rents are capped is extremely unusual from what I'm seeing. Your plan wouldn't have worked here in Australia in one of our cities unless you have a lot more in savings/investments than I think you do.
Hi Friends. Another great video today. One thing is making me scratch my head; when you talk about renting vacation homes, does this mean that you decided to give up your lovely trailer that you purchased after you moved into the apartment? Oh how I wish you had been around when we should have been thinking about the future years. Carol
Well we can debate this until the cows come home! But I have to say that you two hit the apartment jackpot. After watching you for a while, I gather you have a 2 bedroom 2bath spacious apt with in unit washer dryer, your own control of heat and air conditioning, a balcony and all in a rent controlled apt with only a 1% or 2 % increase per year and utilities included. This would not be available to 98% of us watching but good on you for being able to find this jewel
Our landlord has roughly 100 buildings virtually the same design and 14,000 apartments so we guess there are 14,000 families who have found this jewel. We are not counting the other 10 companies similar to them in Ontario.
Soviet-style “stack-em-and-pack-em” apartment blocks…we call them rabbit hutches. No thanks but when the SHTF it would be way too easy for the government to force people to load onto the “trains” when they live like this vs owning home and property and are armed and can defend it if needed. This might sound paranoid to some, but only those who haven’t bothered to study history.
hum I would not follow this strategy, as putting all my assets in funds and stock market, seems to me to put all eggs in the same basket, better to have shares/funds AND bricks ;-)
Enjoyed your brief history of owning to renting. YOU did luck out getting rent control building. And a good one too. Recently in NEWS in ont without rent control Rents are skyrocketing. Story of 2 sisters in GTA rent went up $7,000.
Property rates going up? I guess there is no such thing as "homesteading" in Canada like in Florida, my house has more than doubled in value, but the rates stay almost the same every year.
Hi Norm & Tina, have enjoyed your content for a good while now. Interested you said you where in Suffolk. I live in Knodishall near Aldeburgh, where about sin Suffolk where you living. Great Vlogs 👍
Love it, we are selling and have a new apartment ready for us. Can’t wait to just lock up and leave for long periods. Terrific piece of mind in retirement. We think alike.
Was it primarily the economic factor/reason at the end of the day after 'running the numbers', that made your final decision on Rent vs Buy.? Or were the positive economics just part of the 'equation' and together with other positive factors led you to the rent decision. Enjoying your videos and thank you for sharing your helpful and practical experiences in retirement .... wishing you both all the best. 👍
@ThisIsOurRetirement Thank you both for the reply. FYI, I came "off the boat," as they say, back in 1980 from Birmingham UK. Successfully raised a family, and they're all grown now with 4 Gkids. Decided to retire at 67 last year and find your vids very relevant and enjoyable. 👍.
And live where?; rent is ridiculously priced here in the Comox Valley; if need be we could rent out to/add 2 roommates in our house eh :)@@ThisIsOurRetirement
Thanks for the thoughtful video. We are solidly in the "owning for a safe haven for our young kids" phase. It is tempting to sell when we see how much our house has gone up in value. What could we do with that money? Not selling yet, hopefully the values hold and the wealth in our home can help us later down the line.
I think many viewers here are missing the point. All these concerns about rent control, although not completely unfounded, are less of a concern for a former house owner. In cases of higher rent, is also times of inflation and high interest rates, like right now. You will earn more from your nest egg in these times which compensates for increases in rent. Also, rent at large is a market price and can only go as high as the market will bear. Rent goes up? More than likely, your nest egg income goes up. I will agree, however, I have the same reservations about amateur real estate entrepreneurs as land lords than lack of rent control.
Unfortunately minimal rent control in Australia and what is a corporation owned apartment 😂 Sadly Australia is a country with a vast majority of “mum and dad” investors who like the money AirBNB brings in for them. The current rental crisis here has highlighted this problem. I became a homeowner as a sole parent back in 2006 because being a rental tenant was untenable. There is a lot of noise at the moment by the Government about improving renters rights but that would upset a very large base of their voters.
There are many other personal considerations, at 60 I still want my space, my yard I can work in, my own garage. I'm not interested in living in an apartment box, with just a wall/floor/ceiling separating me from good/bad/noisy/stinky neighbors. You can always pay someone to watch the house if needed. If you sell your house you could pay the rent off the proceeds and interest for 30 years, but then you're heirs are left with none of it. Given the financial mess we're leaving them, they deserve something. Plus you're foregoing any appreciation on the value over decades. But as you say - it's a personal decision and I very much get a lot from watching your video's each week.
Yes. I relate. My husband loves his garage and studio. We love our garden and growing some of our own food. We want to leave something solid for the kids.
I have a large dog. I will be owning through his life ( in the least) and then possibly rent. Where I live renting is FAR more expensive than owing ( I bought a small home with a small yard ) Renting a nice apartment here is about $2100( I pay $363 in mortgage. with added expenses not even close )
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Tanks Tina and Norm. The cost of ownership of our home was essentially the same as the rent on a luxury apartment. Since we sold our home, costs for heat, insurance and property taxes have increased about 10% per year, our rent increases by 2% annually. The capital from our home, which we fully owned, is fully invested and yielding 5-8% per year. We are wealthier every year by renting…not to mention we are free to travel by simply locking the door. As young retirees it’s a no brainer for us.
Very situational depending on where you live.
Here in Australia rents are skyrocketing, there's a severe shortage of rental stock which is very stressful for those renting and house prices are also booming.
Given the condition of various economies there's no guarantee of investment returns either.
Here in Australia owning a home is almost a necessity for a comfortable retirement given the way they're treated for Social Security purposes unless you have an awful lot of cash/investments to draw on.
A retired mate of mine in his 70's has just sold most of his stuff because he thought his lease wasn't going to be renewed and then at the last minute it was which was very stressful for him. It happens every year.
One of his comments to me was "I feel like my security is in someone else's hands and not my own."
We don't have the crazy property taxes that many in the US seem to suffer from..........yet.
The value of our property has also gone up by around 200-300k in the last 3-4 years as well.
with current financial situation in Canada it is not guaranteed to have 5-8% on your investment form home sale. WE had multiple financial advisors doing calculations for us in case we sell our house for 1 mln, we will be running out of money in 20 years. So, after that we will be without house and money> Nice prospective at 80 😞
Wonderful that is our experience too have a great weekend Cheers 🙂🍻
@@oldbloke204 very true. I’ve kept my capital and can always buy a small property if the rental market in Canada goes the way of our mates down under
@@doconawalk9367 Yeah it's all about having options really.
I guess the risk is that house prices keep going up at the rate they are or whatever you have your money in tanks.
If you had got out of our housing market a few years back there would be little chance of getting back into it now as it has gone up so much and returns on investments haven't kept up.
Everyone has their own ideas and different situations but my view is that a productive appreciating property is way more valuable than travel or toys in the current situation.
When I'm unable or unwilling to keep spending time maintaining it or it isn't enjoyable anymore I may change my views.
Certainly current economic trends suggest we're doing the right thing.
We are still living in our first home. 45 years in May. When we decide to move we’ll probably rent a senior apartment. Rent prices are crazy here in the U.S. right now.
Good luck!
Absolutely. I would love to extract the equity built up in my home and rent but the rental situation in Ireland is insane. Huge corporations are building to rent only and the prices are crazy. There's very little stability and long-term renting is still quite insecure. I couldn't imagine having to move every couple of years for the rest of my life.... I think it's a global problem though?
My wife and I have owned 4 homes during our marriage and have many great memories in those homes with no regrets. However, being a few years away from retirement I find owning kinda overwhelming to be honest. We plan 4-6 weeks in Arizona and many months at our RV in northern Ontario. In early retirement owning a home and not being there would add unnecessary stress for us and our children who would have to check in on it . For us….less is more!
very good point!
Unfortunately, renting here in the US is astronomically high, and in many cases, higher than a mthly mortgage payment, plus we don't have rent control here and landlord are known to raise rents upwards of 10-12%. Personally, for us, owning is the way to go, not to mention building equity. I guess it all comes down to everyone's particular situation and most importantly, in what part of the world you're located! Sounds like renting works for you guys! Cheers! 🍷
We were also talking about renting boats and vacation properties.
there is no right or wrong explanation as to whether renting or owning your home makes more sense. It depends on every person or couple's concern or situation. Whatever best fits your comfort zone is the justifiable way. Our needs changes as we grow older. You will know whether it's time to continue staying in your home or it's time to let go. My opinion.
I completely agree that renting is headache free and you can lock-up & go with zero worries. Renting can make sense financially, but only if you sell your home and are able to live of or pay the rent from the interest generated ( $1m home at 5% = $50k before tax ;) Average price for a 2 bedroom apartment where we live is $1500. What really worries me about apartment living is that at anytime the landlord could decide to kick you out. Yes you have a lease & rights, but there's always a way for an owner to kick you out - not something I want to worry about in my 80s.
Also, you might have disrespectful neighbors (like mine!). There are trade-offs between renting and buying but if you rent in a "senior building" then you are less likely to have problems.
Corporate landlords want renters, they only want bad tenants out
That's exactly the problem in Ireland too. Am considering a move (purchase) to Spain or rural France where prices are more reasonable (so far!) and use the equity to enjoy a great life!
Unfortunately in Australia renters are considered second class citizens. The vast majority of rental properties are privately owned by “mum and dad” investors and not by corporations. The current rental crisis we have here has highlighted this issue as well as the issue of AirBNB where there is more money for landlords doing holiday lets than renting to long term tenants.
@@mrscuteas Yep.
We live in Australia and given the rules around the PPOR in terms of pensions etc someone would have to have an awful lot of money/investments indeed to make renting nearly anywhere a better proposition than home ownership.
I have a mate in his 70's who rents and it's a continual worry about whether he will have a roof over his head in spite of being as good a tenant as you will find.
It's impossible to rely on renting in the UK. The private rentals are highly insecure. They're often owned by amateur landlords who decide to sell or move in themselves when their life changes. Public sector rentals are very difficult to obtain. Corporate rentals are rare. It sounds fantastic in Canada to have the choice of renting something smart that's safe and secure.
It is the same in Canada. This couple would change their tune if/when circumstances change, as they certainly do: eg building is condo-ized, rent controls eliminated.
ps I am very negative because my neighbours, in their 70's, were just left their rental because the owners want to sell. Their are no rentals here any more, they had to move to a run down area they don't like, to pay more.
It is challenging
Canada's housing market is a Ponzi scheme and people can't rent a place for a fair rate let alone buying a place. Most investors here in Canada has multiple properties. So they rent for insane amount. We hear that some international students are living under bridges. Not many people talk about it openly. Plus the Healthcare has become a joke in Canada. I saw last week in Toronto that patients waiting 48 hours @ emergency dept. I think UK is way better...!!!! USA has the better affordable housing compared to Canada..!!! But getting US Green Card for Canadians is not easy...!!
You are leading subscribers astray Norm and Tina with many of your commentators thinking all of Canada has rent control when in fact it is quite rare. Also, even corporate owners want to renovate from time to time and use this to kick out tenants who do not know their rights. "Renoviction" seem common in Ontario but I have no idea what the actual numbers are.
Yeah my thoughts as well tbh.
Lots of decent ideas but given how important secure shelter is as we age and how situational their plan is people should be thinking long and hard about this particular choice imo.
Also given how various economies are tracking at the moment quoted investment returns or even safety of invested capital are certainly not guaranteed.
If it all goes to crap I will still be able to wander down the back and grab some fruit/veg. when I feel like it and our home is our own.
Susan, have you actually done research or is this your thoughts, here is what a quick google search returns. Five provinces and one territory offer some form of rental regulation: British Columbia, Manitoba, Ontario, Quebec, Prince Edward Island and, recently, Yukon. Nova Scotia has a temporary rent control policy, brought in during the pandemic, which expires at the end of 2025
@@oldbloke204 No facts with those thoughts. Buildings built before 2019 in Ontario have rent control.
@@paulhunter6652
We have a friend who is a RE broker and on ethics committee. All of the following can be verified online and w/good doc videos on the issue of rent in Ontario and Canada now.
When you enter a rental agreement for the first time, the landlord decides the amount of rent you will pay and what services (hydro, parking, etc.) are included. Sometimes, you can negotiate what bills will be included in the rent but it is ultimately their decision. Although rental housing prices are based on current market prices in Ontario, there are no limitations to what a landlord may ask for rent.
The market price for a unit can be significantly higher than what the tenant before you paid. There is no maximum amount of rent that a landlord can charge a new tenant, with the exception of non-profit housing like rent-geared-to-income (RGI) or subsidized, co-ops, and some student housing.
Ontario is a rent-controlled province for the most part, with a few exceptions. This means that a landlord can only increase your rent by a limited amount each year. Newer buildings are not rent controlled and landlords do not need to follow the same guidelines.
In some cases, landlords can apply to The Landlord and Tenant Board (LTB) for approval to raise your rent above the guide limits. For example, the LTB might approve a higher increase if your landlord has made large repairs or installed a security system.
New residential apartment buildings, condos or houses that were occupied for the first time as of November 15, 2018, are not rent controlled. Landlords can increase the rent year-to-year to whatever they want and they are not required to follow any guidelines. They must, however, wait 12 months before they can request an increase.
This also applies to residences that were newly built and occupied as of November 15, 2018, like:
apartment additions to existing buildings or houses
basement apartments
mobile home parks and land lease community.
@@ThisIsOurRetirement
This is true but there are loopholes (see my reply below) and rental tribunals are back logged 1-2 yrs. I don’t believe you’re misleading and only adding the info to be of help. Take care.
I moved 544 miles from my 'home' for a job and moved into an apartment. After living in a home, an apartment is a huge adjustment. I just sold that home, and am going to buy another one in the area that I am currently living and employed. Apartment living is not for me. The noises and restrictions are nuts. Owning a home is expensive, but it comes to about the same amount of money here in this area (SouthWest Florida). And when I am ready to travel, I will have some equity to either cash out or have as a rental.
Homeownership is a must if you're retired in my book and hopefully, you have no mortgage by the time you retire. If I was a renter in retirement I would personally be a nervous wreck worrying about rent increases and being subject to the whims of a landlord.
I think you’re missing the point about using the equity in your house to fund your rent. You sell your house and use the return on that money to pay your rent.
Exactly thanks for sharing Cheers 🍻
Hello T&N I went the opposite way I don't know if you remember I move from NY to Las Vagas. The reason was that after retirement I could not afford to live there,a small studio in Brooklyn was almost 3000 a month,my mortgage is 700 with insurance & tax monthly, so I think renting does not work for everyone even in Canada, I have friends who emigrated there from Barbados who say their rent is very high and climbing, I think you were both lucky to find such a good deal on your flat.God Bless you see you next week or it next Wednesday which ever I will be looking out for you
Thanks Barbara!
Too hard to rent in the US right now. Very difficult to find a new place if you're evicted. If the rental housing market worked that'd be another story.. the only thing I really value about home ownership is the legal control over the property and not being forced to move at someone else's whim, not being allowed to have pets, etc.
I think things were very different even 10 years ago.
Thank you for your own story.
We only rent from a large corporation they have over 90 buildings renting is their business we would never from a private homeowner , and we are in a pet free building which suits us fine Cheers 🇺🇸🍻🇨🇦
Where I live in Phoenix it would cost me $11K more a year to rent an apartment vs. payed for house. That’s even subtracting cost of property taxes and home maintenance. I can see some benefits or advantages but the cost doesn’t justify renting for me.
Until/if they raise your property taxes…which they will.
What is the value of your old house now and what did you sell it for 7-8 years ago or how much has it increased in value since you sold it?
You are not asking how much we have made on the house money during one of the largest bull markets ever!
@@ThisIsOurRetirement No, I'm asking how much you lost by renting instead of staying in your house?
Lost? They used the proceeds and its earnings to live the life they want (traveling, less chores, easy lifestyle). If they haven’t sold their house, they and the money would have been stuck in it, along with additional money spent on maintenance/replacement.
You forgot to mention the amount of income your money from the sale of your house can generate. It will pay the rent!
Yes it will Cheers 🙂👍🍻
That is the point, and I think many viewers missed it.
Thanks so much for this video. Re: for young people buying a home is forced savings, well, we live in ON and could not afford a home back in the day of 18% mortgage rates, so saved each pay check. Saving and investing were our habit before home ownership, plus working a full time and part time job. There was a guy, Sean Cooper, Scarborough, ON, who rented upstairs of his home, lived in the basement, worked full time and part time, used public transit and paid of his 200,000 mortgage in 3 years (age 29ish). Re renting: we are working and bought a smallish town house and did not upgrade. We will stay in the townhouse and pay property taxes and house insurance. Snow shovel: our municipality provides for a fee, if you are not disabled (then no fee). Property taxes: senior citizens pay less if their tax return shows lower income in retirement. Town house: we use the stairs now and plan to keep doing so. Blue zones, where people live over 100 years, they work and don't retire. Lawn mowing: we are slowing making the front with plants and xeriscape, and the back will be less grass to mow with landscaping before retirement, and we love a small garden. Vacation: we have found bonded house sitter companies and have used them, paying a reasonable fee. Retirement: we plan to work part time and vacation with the pay from the part time work. Noisy apartment neighbours: our street does not have noisy neighbours who party, but either renting or owning, you can get bad neighbours. Keep up the great work fellow Canucks :) Aging senior: we will pay for home care and use the provincial health system too. We have a home are budget started, and the part time job after retirement has health benefits. We are working with a good accountant to balance the work with retirement expenses. We are not stopping full time work yet.
Thanks so much for your comment
I also do not understand why some complain about high maintenance fee for the house owners. I have invested in my house 20 .000 for the roof change for the last 10 years. At the same time house went in price 100.000. If I want to change averything: roof, garage door, floors and windows (which of course I won't) in will cost me 100.000 and it will guaranteed to go in price again for 5 % a year, at least to cover all expenses . At the same you will keep living in a comfort of your own home. Snow, grass landscape maintenance: you always can hire people to do that and it still will be cheaper than rent, live in unpredictable neibourhood and lose property. Besides, when you are in your 80ties the least you want: this kind of uncertainty
Where do you get your $100,000 for the maintenance you talk about. It is the access to capital for home maintenance that is the issue and adds to homeowner costs.
This is just hypothetically. In worst case scenario. And obviously I do not need them right away, one step at a time. You are paying to keep living in a luxury and comfort of your own home that keep growing in price. I keep working. still do 6 numbers a year. So, this is not a problem. Which brings me to the point of negatives of Early retirement. I know tones of retired, but still working people who love their job and lifestyle and do not have plans to retire completely till 70 at least. That keeps them " young, sharp and ingaged@@ThisIsOurRetirement
Its that time again! Saturday lunch with Tina and Norm. Cheers!
Awesome great to be with you!
I’m pretty sure I couldn’t find rent control apartments here, the house is paid for, so not sure what else we could afford
You two are lovely. Really like listening your stories. God has blessed you both.
Thanks so much!
Renting makes sense if you are in a situation like yours--utilities included and rent control. Not so much otherwise. I don't understand how rent control can continue anywhere with the cost of utilities and maintenance for landlords going up. Is it subsidized by the government? If so, that will inevitably cause taxes to increase eventually, yes?
No subsidies from government, no tax payer money, our landlord has the economies of scale and new buildings in Ontario don’t have rent control.
I think the fact that I have never lived in a rent controlled area (like you do) really impacts that thought process for me! I have no desire to ever live in Ontario, not sure where else has rent control, but I will always own in order to protect my independence!
Also, My life includes 2 large dogs! Makes it impossible to rent, and I’m not about to give up having dogs for any reason.
Ontario does not have rent control
Ontario DOES have rent control - applies to any unit that was first occupied for residential purposes before November 15, 2018.
I think BC has rent controls
Sorry but absolutely it does !! and the yearly increase is only around 2% 🙂
Rent or Buy is very much a local/country decision and things rent control, security of tenancy etc. significantly influence that decision.
Agree, would be good if the videos made this point as it’s presented from the perspective of a stable rent controlled location. In the Uk I find there is a high chance of being asked to move out after a couple of years due to selling or owner moving back in
We are just sharing our story Kevin , so perhaps it can help others Cheers 👍🙂
It sounds like a great life for you. But everyone is different. We like having a free standing little cottage home which we own and can share with our cats. I've been here since 1983. We enjoy our hobbies here-wood working, sewing, beading, gardening, walking down to the beach or into the town center. We like having our own library, growing our own fruits and vegetables, and having a park like setting for the grandchildren to come and play that is private. So a home is much better for us and much less expensive than renting here in Southern California. My husband loves puttering in the garden. It helps to have a home paid for and controlled property taxes. No HOA and no landlord.
Thank you, enjoy listening to you each week from USA😊
You are so welcome
Renting the primary residence isn't necessarily sound cost containment most places these days IMO except for the small number of places that have rent control. Also it's highly individual preference. We downsized into a much smaller townhouse that checks all our boxes and mostly covers cost reduction and containment except for the wild card of a possible home owners association special assessment. As to renting vacation property, RVs boats, etc., rent for use is so the way to go...
Thanks for sharing your thoughts.
On the topic of vacation homes, when we retired a few years ago, we considered purchasing a cottage however it would’ve eaten up a good chunk of our retirement savings. We learned about fractional ownership (not a timeshare) and now have 5 weeks each year to enjoy our cottage and the time and money to travel the rest of the year. Our cottage has increased in value since we purchased it and the yearly fee…which equals what we used to spend for 2 weeks to rent a cottage, covers taxes, insurance, maintenance etc. We feel it’s the best of both worlds-owning only what you need.
Great solution we weren’t aware of fractional ownership of recreational properties, thanks for sharing!
For me, owning is security! Rents everywhere are skyrocketing and I feel renting is a waste of money in the long run. It all depends on where you own, but we can lock up and go where we want and feel our home is safe...Afterall it was vacant for 10 years! Our mortgage is affordable (fuxed) and we never plan on moving or selling again! This house will stay in the family and provide a vacation home in...PORTUGAL! Property taxes and upkeep are super affordable here and travel easy and pretty cheap! It all depends on many factors, but security is our number 1 criteria of importance!!
I feel the same way--solid security- and more privacy. Purchased the house in 1983. Similar homes in this area rent for 4,000 per month here by the beach in So Calif. And these are small homes. I don't care about selling and having the money to invest or splurge. Happy to live on a smaller income. The home with a big garden is a solid investment that we enjoy now which will later be passed on to the children.
Good fair comments below also. My issue is as one contributor commented --you don't
have real home security as the owner can make you homeless. You don't mention how the substantial house appreciation has been lost to you. The rental of vacation properties and everything else however makes perfect sense. Less hassle and less expensive . If it depreciates rent but if it appreciates buy if possible. Enjoy your retirement stress free and you have the right attitude.
We did great when we sold 7 years ago , and having invested the money 💰 in the largest bull market with no maintenance costs of a home . Also we have had wonderful life experiences in travel which is proving way more important to us Kerr . We rent from a large corporation who has over 90 buildings all they do is rent .Have a wonderful weekend Cheers 🍻🙂
I've never heard of this, that if you are on vacation and something happens to your home, (fire, pipe burst, etc.) that your insurance will not cover it. I guess I better double check our policy. My wife and I have been discussing this recently. I'm ready to retire (62). She is 11 years younger so will work for w while longer. We both have decent salaries, but we want to retire in her home country of Romania. We have considered just selling here and renting there.. ..interestingly, in Bucurest, apartments (buy or rent) have skyrocketed as it seems now everyone wants to move there. Anyway, thanks for the video, it really made me think this over now.
The insurance clause is in Canada because of the extreme winter weather. Good luck with your plans.
The other problem with renting is might have to commit to staying where you are forever because the rent cntrol wont help you if you need to move.
True Caroline but…….
Thank you. Again so informative and clear.
I was a "The Wealthy Barber" follower person way back so saved/ invested vs owning a home. Not the only reason as we moved a lot over the country for work. Housing in impossible now and rent control is a saviour, if you got in before it went crazy. I know is not cashing in on the fact that a house is doubled, and more, but facts are all those years of maintaining cost a lot and rising costs for everything involved in a home. o well investments can tank too. no ha Go renting! and travelling! and please preach saving. Is so under rated.
Housing bubble?
Hi Tina and Norm! I own my own home here in Ontaro.
I've thought about selling and or renting, in future I may.right now being A baby boomer, I am kind of stuck looking after my father with dementia who lives on the same street as me, so...been waiting... For a nursing home with no luck for him. He's 98 years old.meanwhile I have mobility issues as well
But I am thankful to have a house to call my own as so many young people don't! I can't complain. 👩 👴💙
Thanks for watching we do appreciate it 💕
Hi Tina and Norm! You have a great deal with rent control in Canada. Here in the US, it would cost me more to sell my condo and rent an apartment. Rent is going through the roof and there are really very few if any rent-controlled apartments here. Landlords can kick one out at any time by saying they want to renovate. If there were more rent controls, the landlords would most like;y have no incentive to maintain the units very well. New York City is known to have rent control. I am glad NOT to be living there. We can do reverse mortgages here to tap into our equity in our homes. That may be a better option here in the USA. If you were suddenly evicted have you thought of where you might live next?
There is not universal rent control in Canada. Norm and Tina are very lucky. In Ontario, any apartment building built after November 2018 does not have rent control. This was to encourage developers to build rentals.
@@SusanMiddleton1 If a building was built prior to 2018, then is rent control a guarantee for life as long as one pays the rent in Ontario?
@@jenniferlee7167 I guess there is always a way for the landlord to increase the rent - a special assessment for major renovations, for example. Right now in Ontario the maximum annual increase is 2.5% but the government could change this. If a tenant leaves then the landlord can increase the rent to whatever the market will bear for the next tenant. That's the problem in places like Toronto where the rents are unaffordable for some even with rent control.
If we ever sell we will pay big rent for as long as it takes to explore and vet interesting spots and their yearly weather
We certainly don’t regret selling and renting it gives us so much freedom to travel 🧳 where and when we want Cheers 🍷🌺🍻
In the UK I would think twice about selling up and renting. As far as I am aware rent control does not exist. Many apartments are heated by electric storage heaters hence high bills and being the UK the weather dictates several months of heating. There are increasing annual service charges and ground rent to pay. There are lease restrictions on what you can and cannot do. By owning my own home I feel more in control and if ever a financial need arises there is always the option of equity release.
Thanks for sharing 🙂👍
Just sold my house and extracted half a million from my house. The interest on that money alone pays my rent and living expenses, food and I’m able to save 100% of my income. I’m 15 years away from retirement but sitting on a house with tons of equity is a liability. I’ve empty nested and no longer want to pay taxes and upkeep or be vulnerable to market fluctuations.
Awesome!
Many places in Canada don’t have rent controls like you enjoy in Ontario. There is no protection against skyrocketing rents for seniors on a fixed income. Purchasing a small condo or a life lease apartment might be a better way to go. Yes, operating fees can jump, but likely not as much as rent. Also, how on earth did you get such a low rate on an rv rental? They range from $100 to $200 per night plus gas, plus campsite fees. Not the most economical way to travel! Bravo to you for the deal you got!
This!!!! We rented a class C once in the 80s (In BC) and it cost $1000 for the week, plus gas and milage. I'd like to understand just exactly what his $29 a night is covering. ;)
It was a relocation from Toronto to Vancouver, no campgrounds as it was April, they were all closed until we got to B.C.The company was selling the RV and wanted it taken back to their headquarters. We look out for good value deals.
@@ThisIsOurRetirement Sweet deal!!!
Happy Saturday Norm & Tina! Oh my goodness this video is so timely. Last night, my husband and I were talking about the impending doom of municipal property re-assessments here in Ontario. On top of that, municipal property tax rates rose by 5% in our community for 2023. With all the development here there’s no doubt taxes will significantly rise again in 2024. I have no doubt we’ll be priced out of this town before too many more years pass. Thanks for another thought provoking video. Enjoy the rest of your weekend. ;-)
Glad you enjoyed it Libby Ann , have a wonderful weekend Cheers 🙂🍻
I am not sure about renting your primary residence is the best financial thing to do in retirement. It may sound tempting but the risk of being kicked out later at the worst time of our life is not null. Yes Construction CPI is consistently much lower than real CPI and for a while it may sound a good idea to pass the inflated costs to the landlord but at some point that deal will have to break. You could end up in the street with your furniture quicker than you think. The second thing is the primary residence is the only investment I know in Canada with no taxation on the capital gain. Just make sure your primary residence fits your need during your senior years and does not become a maintenance burden. Downsizing and moving to a condo can be a good idea but for those living in the country moving to a small easy to maintain house can be good too. For anything else, I agree renting is often better than owning.
Imagined risk is just that, don’t let your own mind defeat you.
Great video Tina/Norm, cash in or out, the most important thing is to do what you feel will be good for you.cheers!😊❤
Absolutely!!
It sure is a problem with housing lately with sky high rents, mortgages and house prices that people in retirement got to make difficult decisions on how to live. Maintaining your home as you age can be physically challenging as well. Who wants to shovel snow, cut that lawn and get a huge surprise when you need a new roof, furnace, plumbing problems, etc.
Thanks
Your video makes a lot sense, and cents! My retirement plan includes selling my home and renting like you folks have done. Great video!
Our pleasure! Cheers 🙂👍
Hello Tina and Norm, Our first two apartment were rental properties in Germany, but then we bought an apartment and lived in there until we moved to the USA. The sale of our apartment provided us with our down payment for this house 27 years ago. If we move to an apartment, the rents will be higher than our mortgage on the house, but will be saving money which we spend on house renovation/repair/maintenance, lawn care service and home insurance. My wife is not convinced and does not want to move into a rental apartment. I am trying to convince her to move out to Portugal. Who knows, she maybe on board with this!!
Thanks for sharing Suleman 🙂
I think there is an audio issue. Volume up but can barely hear you. FYI
Yes, trying to fix it!
hey guys, great show again. Please work on the volume though. Had to crank computer way up to hear you, and then when the commercials hit my walls shake. Other than that, keep up the great work!
Working on it!
Hey guys, love your videos! But having some trouble the last couple of weeks hearing the commentary, even with the volume turned up.
Teething problems of a new mic system, will fix it!
Hey, on the topic of boats, have you ever thought of renting a Penichette and cruising down the Shannon Estuary?
No we haven’t it doesn’t really appeal to us but thanks for the suggestion Cheers 🙂🌺
I very much enjoy your videos!! I don't have anything specific about this particular video, but there's something about your newest videos on which I must comment. I love hearing Tina and Norm in stereo!!! I watch when I'm working in the garage and listen with headphones. So Norm in my right ear and Tina in my left matches the screen perfectly. Very cool!!
Wow, thank you! we are trying new microphones 🎤 and still dialling them in , thanks for your feedback it’s important for us to know Cheers 🍻🙂
Thank you but now the rent is very high not like the time you did
It’s all relative it was expensive 7 years ago and very expensive in the town.
Great information as always. Many Thanks Norm and Tina.
Our pleasure!Cheers Terry 🙂🍻
Love you guys and your videos. Thanks
We sold our home in NH and purchased in 55 and over community 10: years ago. Rents in NJ are very high. We have no mortgage. We pay a little over 400.00 month with taxes insurance and HOA fee . NJ has a senior tax freeze so our taxes will never go up. . We have our emergency fund for any large repairs . The HOA fee is low because we have very few amenities. No pool etc. Do you not find it a little uncomfortable that a future change by the landlord or land management company may make you seek another place to live? I think that is the biggest fear I would have about renting is knowing someone else can make that decision .
There are so many things you can worry about Judy, we are just getting along having nice experiences.
Renting that Airbnb contributes to the issues people are discussing below in regards to housing affordability and rental availability. Many real estate investors have switched to renting on Airbnb rather than putting it into the long term rental market. Which contributes to the shortage of available rentals as well as increases rents and housing costs. There are many factors to weight before making this decision and everyone has different circumstances. The rental market here is very unstable and rent costs are sky high (Canadian West Coast). I also don't want to have to move outside of a larger area like you did as I want access to health care at a major hospital should I need it as I age. The pro's are definitely the money from the sale of your home plus the ability to just shut the door and go on holidays. But for me, the cons outweigh the pro's at this point. That may change in 10-15 years.
Hi Tina and Norm, y'all packed for Portugal yet? Accommodations secured and flights booked?
No Lorraine we are in the Denmark Strait!
Which ship are you on?@@ThisIsOurRetirement
Your plan might work in the US if one rented in a low cost area. Otherwise rental prices have inflated so much that selling then renting would likely not be advantageous. The other option is to downsize significantly to lower maintenance and property taxes.
Good comment thank you!
Apartments in the Greater Toronto Area have in many cases tripled in the last 1-2 years. with no rent control in the immediate future, really makes one wonder what to do .
The luxury of an extended winter vacation seems out of reach $ for the common person ‼️
We can assure you we are common people, just live frugally and budget, allows us a few months away in winter. Any building outside the downtown Toronto core that is 10 years or over are rent controlled.
I've recently heard the Ontario gov't has cancelled rent controls. How will this affect you?
Thats news to us 🙂
Love your channel!!! 💗 Question..have you done a video on life insurance( maybe I missed it) if not what are your thoughts about it? Thanks😍
In our situation renting wouldn't be the best option. We live in an apartment and are owners. It is low maintenance living with the major works being taken care of by the Tech Committee. Next week we are off for 3 weeks and have no worries about safety or upkeep. Renting would gobble our nest egg faster than snow melts in sunshine....the rental situation here not being very well protected financially. Oh we have rights as occupier should we rent, we just don't have a very well protected pricing system. So for us, ownership is a no brainer. Temperatures are set to drop Tuesday- having just had more than a week with temperatures above 30 degrees ( celsius). Have. a great week. 😎🇳🇱🙋♀🇳🇿 👌🍷
We are fortunate to have rent control Anita which makes a huge difference, at the moment we are cruising off the coast
Of Greenland 🇬🇱 life is good Cheers 🙂👍💕
@@ThisIsOurRetirement Now that’s a lovely thing to be doing right now. Looking forward to the adventure video. Enjoy. 😎🍹
Always a pleasure to listen to you both. You are so rational and informative.
Thank you kindly!
What is striking to me is that they are only considering the monthly/annual budget of themselves with regard to renting vs owning. I am wondering what consideration is being given with regard to creating generational wealth. Your children can inherit a paid-off property, while renting monthly doesn’t create generational wealth. Some people may not care about that, I realize.
If you followed our story we sold our house and have invested all the money ( the generational wealth ) that you are worried about Cheers 🙂🌺🍻
Generational wealth is not only achieved by home ownership. The money that’s not invested in the home can be invested in the stock market or business, which can also produce similar, if not, better results, IMHO.
@@soldierhobby2038 you’re right, of course it can. But it seems much easier for people to spend the money in stocks since they are so liquid. Real estate has staying lower because it is not as liquid. Sure, it may or may not produce the returns of paper assets (or it may wildly outperform them),but there is something lasting and practical about a really good piece of real estate. Having both paper AND real estate is the preferred scenario in my opinion. And knowing that your children have a physical, real life place to literally be sheltered, as well as actual land…that you can plant things on…there’s just something primal and natural about it. There’s something about it (land and real estate)that satisfies human beings that digits on a screen or piece of paper can’t.
@@TheSwissChalet I so agree. We feel secure having a garden-flowers, fruit trees, and vegetables, and some grass. Real estate plus other assets. You never know what the future holds for your children.
Hi, Could you explain in more details, what is your rent controlled look like? Thanks, Adrian
Since we moved in 7 years ago , our increases have been just around 2 % a year which we think is awesome Cheers 🍻🙂
Whatever you decide, Rent or buy, the important thing is don't be financially constrained in retirement. It's awful.
I have rented now for over 3 years and now it is the cost containment and true about holidays our neighbor years ago went on a holiday and some one broke into their house pipe froze and a lot of damage and the insurance never covered them for that reason and I went to Florida last year and just lock the door trouble I get bored between the pedal bike and the gym and getting part time jobs
Glad it is working well for you!
I love all your videos and topics! I was wondering if you could do a video about retirement "nay sayers". It upsets me when friends and family tell us we are "too young to retire, you will be bored, you will run out of money, etc, etc". My husband and I worked hard all our lives, raised 3 amazing children, saving aggressively and living below our means. We love our family and friends dearly.❤ What are your thoughts and should we feel guilty for retiring early?
It is your life not theirs, make your own decisions, retirement is great, never bored. We just told family and friends, thanks for your thoughts, we are doing it anyway, it is what we want.
@@JimBland-f9j Thank you! Good advice...I concur!🥰❤
Early retirement allows you to enjoy your retirement life while you are still fit and healthy and able to do it , we are fortunate we don’t have to count every penny and do You Tube just as a hobby to give us memories and help others with their retirement Cheers 🙂☕️
Great comment totally agree 🙂👍
We also had friends thinking we were crazy ! but it’s our life and we have worked hard for it , what is the point of doing all the savings if you are not going to enjoy it in retirement Cheers 🙂🍻❤️
Renting gives you flexibility, but you are subject to a landlord and rising rents.
Rent from a large corporation all they do is rent Cheers 👍🙂
They’ve peaked.
Ownership subjects one to rising costs of repairs, maintenance, taxes, insurance, and home association costs.
It's a life style choice.... as the bulk of the baby boomers wealth is there house or cottage. I have family that sold there house and moved into a shoe box in the sky then Left and bought another house the lose of freedom and space was too much no backyard bbq, no garden, no fire pit on Sunday evening listening to The Hip....the husband went crazy stuck in the apt every day with the "women speaker"....it's not for everyone
So the shoebox on the ground was better 😂😂
Slick segway into the VPN promo. I own a couple of homes and while I can't be in two places at once , I always sort of fear returning to the other property only to have found it ransacked, or a raccoon invasion or some one squatting. I follow your advice on long road trips by renting cars with unlimited mileage and pile on 7,000-8,000 miles or so in 10 days maybe 2 weeks....hit a deer along the way , toss em your keys, have some type of mechanical failure, toss em your keys.. And it's just nice to drive a different brand or different type of car than what you own for a little while to get a sense of what you may or may not like in your next car purchase.
Glad you agree and that you enjoyed it Mark Cheers 🍻🙂
A really thought provoking video Tina and Norm. Renting is still very volatile here in the Emerald Isle so am not going to rush into anything.... very happy your decision is working out well for you. Stay well and happy. Catch you on the next one. 👍
Thanks so much!
Average price for a 2 bedroom in Vancouver is now $4000. A one bedroom is about $2600. If you never have to move, renting works. However, if you do things can turn out very differently. If you sell your home in Vancouver, which you can now do for about 2 million plus, and move into an apartment and never move, you rent increases will be reasonable. But again, if you move.....Also, if you invest your money and get say a 5% return, you would get say $100,000 a year in income it would seem rent would only be half of that so a win, but of course, you have to pay income tax on that. Timing is critical. I have know people who did this maneuver some years back and ended up bankrupt in their 90s living in fear of the building manager and being too frighten to ask for repairs in their increasingly run down rental. You really need to carefully consider all the angles when you do this. You also need to be confident that you have security of tenure in your rental accommodation. If it is a private rental, your landlord may need to sell and you are out on the street scrambling to find a place at the then current market rent.
We always recommend renting front a corporation for so many reasons from maintenance to them being lawful and needing clients for their business to exist.
I also plan to down size my current house or rent. Unfortunately, the renting in the US can be very expensive if your concerned with safety and security and live comfortably. Like your videos. You both are awesome. Btw, I live in Indiana, my town is next to I65 if your on it heading to Alabama shoals again.
I live close to you in Shelby county! Yes we also are retired and have lived in our home forty years. Rent is sky high and not sure if renting would ever be an option !
Thanks Christopher
Hi Tina & Norm good to see you both again I think it makes the difference when you meet someone who has done it .
Regards. Christopher Barker (Keep the good work up ) 😊🥂
Yes it does! have a good weekend Christopher Cheers 👍🍺
You guys are living the dream🤩. I totally agree with your points in this episode. Owning a retirement property,for one thing,does tie up funds and really kind of ties you down to taxes,insurance,repairs/upkeep….it just makes sense to do it the way you’re doing it. Have someone else be responsible for the big costs and enjoy your life with fewer strings! Sounds pretty good to me!👍👍👍
Will you be speaking to new travel requirement, i.e., ETIAS in an upcoming video? This comes into effect January 2024.
Yes
its an interesting debate rent versus buying guess at retirement selling up and renting or constantly travelling is a decision maybe based on the need to release funds from your home
*full watch every time💯Au🦘enjoy your weekend😎thumbs up👍*
You too Billy Cheers 🙂🍻
Good ideas on renting RVs and boats, etc, instead of owning!
Good day retirees, what could you recommend for investing in dividend stock? An app that is simple! I have never invested before and am a nubby to this but love the idea. Thank you and keep making these types of videos.
We can’t recommend any investments as we are not licensed to do so.
We totally agree with you on renting versus owning as we get older (70+ for us). But as others have mentioned, rent (along with house prices) in the USA have been insane recently. Here in
Florida the average rent showed a percentage increase from March 2020 to March 2023 of 45.77%, amounting to a whopping change from $1,459.73 to $2,127.86 per month. We hope by this will subside by the time we're ready to sell our nest egg and go back to renting.
The biggest mistake is relying on hearsay, do your own research it’s never as bad!
I also live in Florida, but am a home owner. Home prices have also risen by a huge amount in the past few years. I bought my current home in 2016 for $375k. It is now worth roughly $620k. That's a whopping 65% increase in just seven years! As you mentioned, rents have risen by a huge amount in Florida in the same time frame.
One thing to mention is there is a compromise between home ownership and renting and that is buying a condo. That will allow you to at least bank some of your home equity by downsizing into a condo. Additionally, not all areas of Florida are as expensive. So relocating to a cheaper area away from the coast can also help. Not to mention the hurricane threat is far less! 🙂
@@ThisIsOurRetirement In many places it is actually as bad as is being portrayed by many imo.
Your situation or any situation where rents are capped is extremely unusual from what I'm seeing.
Your plan wouldn't have worked here in Australia in one of our cities unless you have a lot more in savings/investments than I think you do.
We personally don’t like Condos 🙂
Which ship are you on now?
Windstar
How could you be in the Denmark Strait one day on Windstar when the nautical map shows her moored in Kusadasi, Turkey?@@ThisIsOurRetirement
Hi Friends. Another great video today. One thing is making me scratch my head; when you talk about renting vacation homes, does this mean that you decided to give up your lovely trailer that you purchased after you moved into the apartment? Oh how I wish you had been around when we should have been thinking about the future years. Carol
No we still have the trailer
Hi Tina and Norm, not sure if you all really know this Mert Can featured one of your video's 😊
Thank you for letting us know 🙂
Well we can debate this until the cows come home! But I have to say that you two hit the apartment jackpot. After watching you for a while, I gather you have a 2 bedroom 2bath spacious apt with in unit washer dryer, your own control of heat and air conditioning, a balcony and all in a rent controlled apt with only a 1% or 2 % increase per year and utilities included. This would not be available to 98% of us watching but good on you for being able to find this jewel
Our landlord has roughly 100 buildings virtually the same design and 14,000 apartments so we guess there are 14,000 families who have found this jewel. We are not counting the other 10 companies similar to them in Ontario.
Touché
Soviet-style “stack-em-and-pack-em” apartment blocks…we call them rabbit hutches. No thanks but when the SHTF it would be way too easy for the government to force people to load onto the “trains” when they live like this vs owning home and property and are armed and can defend it if needed. This might sound paranoid to some, but only those who haven’t bothered to study history.
hum I would not follow this strategy, as putting all my assets in funds and stock market, seems to me to put all eggs in the same basket, better to have shares/funds AND bricks ;-)
Enjoyed your brief history of owning to renting.
YOU did luck out getting rent control building. And a good one too.
Recently in NEWS in ont without rent control Rents are skyrocketing. Story of 2 sisters in GTA rent went up $7,000.
Yikes 😱 that is a lot , there are some GTA areas exempt also buildings built after 2018 have no rent control in Ontario Ben Cheers 🍻🙂
Property rates going up? I guess there is no such thing as "homesteading" in Canada like in Florida, my house has more than doubled in value, but the rates stay almost the same every year.
No William our governments love their property taxes!
Hi Norm & Tina, have enjoyed your content for a good while now. Interested you said you where in Suffolk. I live in Knodishall near Aldeburgh, where about sin Suffolk where you living. Great Vlogs 👍
Started in off in a tiny hamlet just outside Bury St Edmunds and then Stowmarket with Tina, then bought our first house in Attleborough.
@@ThisIsOurRetirement Thanks for the reply. I know Stowmarket quite well. I am originally a Scouser. Take care 👍
Love it, we are selling and have a new apartment ready for us. Can’t wait to just lock up and leave for long periods. Terrific piece of mind in retirement. We think alike.
Wonderful! we wish you all the best , it’s a lifestyle that is really working for us Cheers 🙂🍻
Was it primarily the economic factor/reason at the end of the day after 'running the numbers', that made your final decision on Rent vs Buy.?
Or were the positive economics just part of the 'equation' and together with other positive factors led you to the rent decision.
Enjoying your videos and thank you for sharing your helpful and practical experiences in retirement .... wishing you both all the best. 👍
It absolutely made sense to rent the numbers made it work Tony plus we got to invest the capital which really pays the rent 👍🙂
@ThisIsOurRetirement
Thank you both for the reply.
FYI, I came "off the boat," as they say, back in 1980 from Birmingham UK.
Successfully raised a family, and they're all grown now with 4 Gkids.
Decided to retire at 67 last year and find your vids very relevant and enjoyable. 👍.
Happy to be in our detached single family 2 storey house/home
Mrtgage still cheaper than renting. House will be equity for daughter
eh 😊 stay well
It can be equity in a house or house sold and all the money 💰 in the bank it’s the same thing Ken Cheers 👍🍻
And live where?; rent is ridiculously priced here in the Comox Valley; if need be we could rent out to/add 2 roommates in our house eh :)@@ThisIsOurRetirement
Thanks for the thoughtful video. We are solidly in the "owning for a safe haven for our young kids" phase. It is tempting to sell when we see how much our house has gone up in value. What could we do with that money? Not selling yet, hopefully the values hold and the wealth in our home can help us later down the line.
I think many viewers here are missing the point. All these concerns about rent control, although not completely unfounded, are less of a concern for a former house owner. In cases of higher rent, is also times of inflation and high interest rates, like right now. You will earn more from your nest egg in these times which compensates for increases in rent. Also, rent at large is a market price and can only go as high as the market will bear. Rent goes up? More than likely, your nest egg income goes up. I will agree, however, I have the same reservations about amateur real estate entrepreneurs as land lords than lack of rent control.
Definitely "food for thought" ! Well done, guys ! Stay safe and healthy and enjoy the weekend. Root for Texas to beat Alabama tonight ! 🤠🍺🍻🍷🍷🏈🏈🏈
Glad you enjoyed it Cheers 🇺🇸🍻🇨🇦
Rents are going up so much
They will not go beyond what the market will stand
Unfortunately minimal rent control in Australia and what is a corporation owned apartment 😂 Sadly Australia is a country with a vast majority of “mum and dad” investors who like the money AirBNB brings in for them. The current rental crisis here has highlighted this problem. I became a homeowner as a sole parent back in 2006 because being a rental tenant was untenable. There is a lot of noise at the moment by the Government about improving renters rights but that would upset a very large base of their voters.
Yes Australia has an affordable housing crisis and Canada too, governments are not pushing home building like they did post war.
There are many other personal considerations, at 60 I still want my space, my yard I can work in, my own garage. I'm not interested in living in an apartment box, with just a wall/floor/ceiling separating me from good/bad/noisy/stinky neighbors. You can always pay someone to watch the house if needed. If you sell your house you could pay the rent off the proceeds and interest for 30 years, but then you're heirs are left with none of it. Given the financial mess we're leaving them, they deserve something. Plus you're foregoing any appreciation on the value over decades. But as you say - it's a personal decision and I very much get a lot from watching your video's each week.
A house is still a box 😂😂
@@ThisIsOurRetirement but a garden is not a box!
Yes. I relate. My husband loves his garage and studio. We love our garden and growing some of our own food. We want to leave something solid for the kids.
I have a large dog. I will be owning through his life ( in the least) and then possibly rent. Where I live renting is FAR more expensive than owing ( I bought a small home with a small yard ) Renting a nice apartment here is about $2100( I pay $363 in mortgage. with added expenses not even close )
Great advise and so agree about renting especially in retirement.
We agree!
CHEERS from HERE!!!
Thanks