A lot of people refer to debt and mortgage in the same breath when they discuss the mortgage of their Barrie Home. This is kind of amusing when you think about it because a mortgage is a debt with a breath of investment in it. Can it really be referred to as a debt when it is a rock solid investment opportunity as well? Barrie Mortgages and Debt

List all your debts

When you are making a budget and you need to list all your debts, your mortgage gets put down as part of the debts. When it is time to list your investments it may not be added. Why? Is it purely mindset that makes us think of a mortgage as a debt?

The glass is half full or half empty in this case. You can consider your mortgage as a heavy load to bear and have to struggle to make the payments every month or you can look at it as the best investment you’ll ever make and try to make extra payments to strengthen your investment.

“I don’t want to go into debt” is one of the common phrases you may hear from people that are still renting. Yet they are fine putting money into low rate savings accounts that don’t have the same ROI as the Barrie housing industry. Real estate may take a few bumps and bruises along the way, but it always bounces back if you wait out the storm.

Consider this. If the person that rents were to take that rent money and the money put into a savings account and add them together, that would probably cover the mortgage payments. Take on a debt? It’s all in how you view it. It is a long-term investment that is certain to pay off down the road.

Real estate is an investment – not something that can be compared to a new dress put on a credit card. That dress is a debt because it will depreciate over time while Barrie real estate is a tangible investment in something solid that will develop into a huge cash advantage down the road.

Is your home mortgage really a debt? It all depends on how you look at the glass – half full or half empty.

Filed under: BarrieBarrie Buyers informationBarrie Real EstateBarrie Sellers informationMortgage InformationSimcoe County

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