It's a question many homebuyers need to ask themselves before diving into home ownership. Whether you're buying the property as an investment, in which case you'll need to figure out how much you can rent it out for, or buying the property as a place to live, your first step is to figure out how much house you can afford. Many homebuyers looking for a place to live are likely wondering, when is the right time to enter the market. For anyone who bought a home during Q2 of 2014, they chose a good time to purchase since affordability improved, mostly thanks to dropping mortgage rates, according to the RBC's recent Housing Trends and Affordability Report. But affordability hasn't changed much over the past year, but with rising rates expected by 2015, the situation would worsen then. The RBC report looks at the affordability of different types of homes based on a household's monthly gross income compared to housing costs. If a family wanted to purchase a two-storey home, it would cost them an average of 48 percent of their income. If they wanted a detached bungalow, it would cost them 42.5 percent of their income and if they wanted a condo, it would cost them 27.4 per cent of their income. Of course, affordability differs in each province with buying a home being more difficult in some provinces compared to others. Homebuyers in British Columbia may have a difficult time buying a two-storey home or a detached bungalow with that type of property requiring about 72 per cent and 67 percent, respectively. of a family's household income. While buying a home in the Atlantic region is much more inexpensive with a two-storey home and a detached bungalow having affordability levels of 34.5 percent and 29.7 percent, respectively. But the first step before shopping for a home is determining your gross debt service (GDS) ratio and your total debt service (TDS) ratio. Both of these calculations compare household income to the debt you have. Your GDS should not be greater than 30 to 32 percent, which means the amount of housing costs, which includes your mortgage, property taxes, utilities, and condo fees, should not account for more than one-third of your income before tax. While your TDS should not be more than 37 to 40 percent, but this ratio also includes your housing costs, along with any other debt, such as student loans, credit card debt, a line of credit or a car loan.First-time homebuyers have upped their real estate budgets and homebuyers need to make sure they don't lose their heads during a bidding war. Housing is expensive and if you're buying a newly built home, it's in your best interest to claim an HST rebate from the CRA. Rebate4U can help you receive the most HST housing rebate that you're eligible for. Our priority is to provide our clients with the most professional and quality service in obtaining rebates for their new and renovated homes. We are proud to offer our clients the most personal and attentive service, and we make sure that all of our clients are 100% satisfied.

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HST housing rebate

25 October 2024

Can You Apply for the HST Rebate More Than Once?

Those who’ve already applied in the past once may be considering applying again with a new home. If you want to apply again for the HST Rebate on New Homes, here’s what you should know.

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HST housing rebate

17 October 2024

How the HST Rebate Can Make Your Renovations More Affordable

Renovating a home is an exciting yet expensive endeavour. Whether you're adding a new room, upgrading your kitchen, or modernizing your home's exterior, costs can quickly add up. Fortunately, if you're planning renovations or have recently purchased a new home, there's a financial break available that many people overlook—the HST rebate. The HST Rebate in Ontario can...

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Condos

30 September 2024

Signs You've Made a Mistake on Your New Condo HST Rebate Application

Read on to learn the signs you've made a mistake on your new condo HST rebate application!

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Houses

13 September 2024

Benefits of Tearing Your Home Down to Its Studs

Renovating your home by tearing it down to the studs can seem like an extreme measure, but it's often the most effective way to transform your living space. This process involves stripping a house down to its basic framework and rebuilding it with modern materials, updated systems, and improved layouts. Whether you're fixing structural issues or reimagining your home, going down to the...

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HST housing rebate

29 August 2024

Why Apply for the HST Rebate If You're Renting Your New Property for the Academic Year

If you’ve recently purchased a new condo or home, and do not anticipate occupying it immediately as your primary residence, then it can be financially beneficial to consider renting it to a student if you’re located near a post-secondary institution, as you may be able to apply for the New Residential Rental Property Rebate. As part of the HST Rebate in Ontario, the NRRPR allows...

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HST housing rebate

15 August 2024

How to Get Money Back on Your Summer Home Rebuild

Many new and existing homeowners in Ontario take the warm summer months to complete their summer construction projects. If you’ve been working on a significant home renovation or building a brand new home from the ground up, then you could be eligible for the HST Rebate in Ontario. The popular rebate program is offered to residential home buyers and is meant to help homeowners save on the...

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HST housing rebate

25 July 2024

Can Rental Properties Qualify for the HST Rebate in Ontario

Homeowners have allways had great opportunities to benefit from HST rebates in Ontario. However, now renters have similar opportunities, if you meet the eligibility criteria. Contact Rebate4U for more!

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HST housing rebate

17 July 2024

How to Get Money Back from Your Home Construction with the HST Rebate in Ontario

Opting to build your own home from scratch has numerous benefits including the fact that you can obtain an HST Rebate. Contact Rebate4U for a free consultation!

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Newly built homes

21 June 2024

Benefits of Building Your Home with the HST Rebate in Ontario

Buying a new home in Ontario is a significant investment and a challenging process in the region’s competitive real estate market. As a result, many prospective home buyers look to buying land or properties that need large-scale renovations instead of buying directly from a builder or a ready-to-live-in, listed property. Understanding the financial benefits of building your own home with the...

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HST housing rebate

11 June 2024

Frequently Asked Questions About the HST Rebate in Ontario in 2024

The new housing rebate is a fruitful opportunity for residential property owners and buyers across Ontario who fit the eligibility criteria. The HST Rebate in Ontario is applied to newly built or renovated homes and when applicable, can result in tens of thousands of dollars back into the pocket of the home buyers. When approaching the application process for the HST rebate on new homes or newly...

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