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05-25-2013, 02:09 PM
  #39
Oleg Petrov
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Join Date: Jun 2008
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Quote:
Originally Posted by InglewoodJack View Post
I did only use 20 years of data, but my point stands: the value of your house should increase over the years. But like every investment, there is risk. You could buy a house, and your neighborhood could get crappy, there may be some unforeseen events (Ex. property in Chateauguay drops when the mercier bridge is closed, but shoots up when it gets fixed). Condos will also most certainly rise, depending on where you buy. Do you think a nice downtown condo is going to depreciate? Will a condo that costs 850 000 today cost 500 000 in 20 years? 200 000 in 30 years? No. With good upkeep, your house WILL rise, unless like I said, something out of the ordinary rises. And I can guarantee your house will always rise. Hell, my dad's childhood house in NDG was sold in like 1975 for 13 000, and we almost bought it back in 2009 for 298 000. Yeah, ~35 years and the effects of inflation do contribute to that, but houses have never not raised in value. Year to year they may drop, but in the long run your property will always rise in value (of course unless you own a factory or whatever)
I think we'll agree to disagree here. Let's just say that if you sign up for a 25 year mortgage, whatever you buy will certainly be worth more than what you paid for it in the end. However, using the last 20 years as an expectation of the appreciation is short-sighted and foolish.

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