Case Study - Affordability Analysis
Scenario: Retired Couple, with equity from the family home. Looking to purchase a home outright and potentially invest in a 2nd home to further supplement income.
'Traditional' Home
Ownership
Purchase of a bunglow in Approximately 600 sqft
Purchase of Condo: $420,000
(Average listing price found on MLS)
Hybrid Living
Ownership
Purchase of a unit with land lease. ???Sqft of indoor living space and ???sqft of outdoor living space..
Purchase of 1 Units: $159,000
(Based on the Hampton Package)
Hybrid Living Ownership & Investement Unit
Purchase of a unit with land lease. ???Sqft of indoor living space and ???sqft of outdoor living space..
Purchase of 2 Units: $318,000
(Based on 2 Retreat Packages)
Mortgage
Downpayment
Mortgage Principal
$420,000
$420,000
$0
Mortgage
Downpayment
Mortgage Principal
$159,000
$159,000
$0
Mortgage
Downpayment
Mortgage Principal
$319,000
$319,000
$0
Monthly 'Traditional' Home Ownership Expenses
Monthly Hybrid Home Ownership Expenses
Monthly Hybrid Home Ownership & Rental Expenses
Mortgage Payment*
Property Tax
Land Lease
Insurance
Utilities
Repairs & Maintenance
AirBNB Management Fee
TOTAL Ownership Expenses
$0
$122.00
$346.00
$100.00
$350.00
$479.99
N/A
$1,397.99
Mortgage Payment*
Property Tax
Land Lease
Insurance
Utilities
Repairs & Maintenance
AirBNB Management Fee
TOTAL Ownership Expenses
$0
$0
$500.00
$26.44
$100.00
$416.67
$0.00
$1,042.44
Mortgage Payment*
Property Tax
Land Lease
Insurance
Utilities
Repairs & Maintenance
AirBNB Management Fee
TOTAL Ownership Expenses
$0
$0
$1,000.00
$52.88
$200.00
$616.67
$75.00
$1,944.55
CPP/OAS Income*
Rental Income
TOTAL INCOME
$3,000.00
N/A
$3,000.00
CPP/OAS Income*
Rental Income
TOTAL INCOME
$3,000.00
N/A
$3,000.00
CPP/OAS Income*
Rental Income**
TOTAL INCOME
$3,000.00
$2,500.03
$5,500.03
Monthly Cashflow left for Other Living expenses such as Groceries, Cellphone, Travel, Savings etc
$1,602.01
OAS/CPP Income is based on average amount for retired individual in Ontario. This does not include additional savings, pensions or RRSP available.
Monthly Cashflow left for Other Living expenses such as Groceries, Cellphone, Travel, Savings etc
$1,957.56
Ability to Rent your Unit if you travel for extended periods in the winter months. Potential of making over $25K/Year in Rental Income.
Monthly Cashflow left for Other Living expenses such as Groceries, Cellphone, Travel, Savings etc
$3,555.48
**Rental income is baed on renting a minimum of 26 weeks/year @ $1,,154.00/week. Stats from AIRDNA©