Hello folks,
This is my first time posting here so hopefully this is all allowed. I'm not sure what to do in this scenario but would be interested in your thoughts here. Long story short, as the title says, I'm interested in knowing your thoughts on if purchasing a home is worth it with this context.
Here is my current financial situation for context:
TFSA: ~$60,000
RRSP: ~$68,000
FHSA: ~$15,000
I don't really have any major debt or liabilities. I have about $2,500 remaining in student loans in the federal OSAP portion so it's at 0% interest so I'm not really in a rush right now to pay it all off even though it's a small amount. I don't really carry credit card debt anymore or have a car either.
Here is my current personal situation for more context:
- 30yo, single income, no kids and I'm essentially moving forward under the assumption this is going to remain the case for most if not all of the rest of my life (not pessimistic, just don't really want to bank on something that isn't guaranteed anymore)
- I moved back home last year temporarily after a long-term relationship ended to figure things out and I've just been saving as much as possible in the meantime
- I make about $87,000/yr and because I'm back at home for the time being my savings rate about 70-80% of my take home pay every month give or take
- My family has indicated they are likely looking to sell their home in the next 12-18 months give or take. They've changed their mind on this in the past but I kind of want to take what they're saying a face value rather than assume they will stay here longer
- If i continue to live here at my current savings rate I'll likely max out all of the remaining room in my TFSA, RRSP, and FHSA within the next 12-18 months or so which falls about in line with my family's timeline
Here is what I'm trying to figure out moving forward and would appreciate your thoughts and perspectives on:
- I'm debating if it makes sense to purchase a condo in Toronto currently (I live here and I'm from here) or potentially where I was previously living before my LTR ended (it is fairly far from the city though), there's a unit I'm considering putting an offer in on but I think I could rent something similar and save about $500/month and invest the difference. I think rationally renting instead of buying currently would make sense given the current economic climate but I'm not sure if I'm thinking too short term right now, life could change, rents could go up, home values could fluctuate, I may need to move somewhere else in the future depending on how life shakes out. It's a nerve-wracking concept making a huge financial commitment on a single income so I'm just curious to get other perspectives and what others would potentially do in this scenario to gain a bit more perspective moving forward.
Thank you in advance!