Double your house-buying power!

I was walking down the street when I saw this a bus-stop ad for a vancity ‘mixer’ mortgage. It took me a moment to figure this one out.. basically you can share a mortgage with friends now.

Haven’t you always wanted a place to call your own? I bet you have one or two friends that have always wanted a place of thier own as well.. Now you can BOTH have that place of your own together! This arrangement combines the pride of ownership with the convenience of a room-mate!

Think of the advantages!

This effectively doubles your buying power- Never have to buy food again, just mooch off your roomie! A little short on the electricity bill this month? No problem! You’ve got a room-mate to take up the slack. I can’t imagine why everyone wouldn’t go for this deal – what could possibly go wrong with this arrangement?

This deal combines the low cost of co-habitation renting with a chance to get exposed to the vancouver housing market.. Think there’s still some upward momentum to this market? Now you can finally buy that half-a-condo you’ve always wanted and avoid being priced out of the market forever!

As long as you are always in complete agreement with your friend about all things mortgage-oriented then this is the ideal way to get into the market. What a great creative new way to increase affordability! Take a cash-advance out on your credit card for a down payment and you’re on the road to riches!

5 Comments
newest
oldest most voted
Inline Feedbacks
View all comments
vanhattan
vanhattan
12 years ago

Hey POPE, Decided to look up your ad and it is from Van City. Personally I feel that it is about time that financial people recognize the finincial contributions that my partner makes to my household. Not everyone is in a "traditional marriage". I think that the finincial contributions and credit history of the person that I live with should be considered when applying for a mortgage. Your viewpoint is rather myopic and borderline judgemental when you opine that this is a boneheaded move. Yes I purchased my home "all by my lonesome self" and I would not have been a "greater fool" as you say by adding my partner to the mortgage.

the pope
the pope
13 years ago

thanks for the link johnm -Its curious how he mentions that sales are in a slump since 2005, but that it cant last because of 'steady employment, low interest rates, and the arrival of tens of thousands of immigrants per year'.Nice to know that we've reached the stage where those factors are now set in stone and will forevermore remain unchanged!

John M
John M
13 years ago

This from today's Halifax Chronicle Herald. "Vancouver real estate hits stratosphere". I'm astounded that ScotiaBank started exotic zero-down mortgages last Friday. Canada does not need this. Cheers, "John M" from Halifax and http://housingdoom.com/

digi
digi
13 years ago

I remember living with friends and it being an issue who got the best room, etc. This was for renting, I can't even begin to imagine the problems involved in co-owning. I guess the one way this could work is if one partner lives in the place and the second does not and just holds it as an 'investment', but what happens if prices go down? What if one person wants to sell to cut losses and the other wants to hold on for the long term? What a mess!

bc_cele
bc_cele
13 years ago

I mentioned this a few weeks back at VHB and it seemed to shock people. Overall, it won't have much of an impact on the market, but it could convince some greater fools who hang around even greater fools to buy a house that neither could afford alone. Let's just say that as someone whose had some pretty intersting roommates before, I belive that buying a home with a friend has got to be one of the biggest bonehead moves going.