A guide to rental suites. Creating a rental suite may involve renovations, which means upfront costs. But think of it as a long-term investment.
When you rent out a suite in your property, your debt-to-income ratio becomes more favourable. Maria Ziegler on Unsplash
A Guide to Rental Suites and Laneway Homes
The mortgage-helper
With an additional source of income streaming into your bank account each month, you may even be able to accelerate your mortgage payments. So, you could pay off your mortgage sooner than expected, freeing yourself from the shackles of home loan debt. Plus, you’ll save on interest over your loan life.
To renovate or not to renovate
Creating a rental suite may involve renovations, which means upfront costs. But think of it as a long-term investment. Over time, the rental income can cover not only your mortgage payments but also the cost of the renovation. And if you ever decide to sell your property, a legal secondary suite could increase the value of your home. It reaps benefits now and in the future.
This article originally appeared on The Guide on REW.ca.
