WHEN we say in this column that a new home is a good investment, it often only gets taken one way. Unfortunately, some people see the word investment and only think of it in terms of money. We invest in stocks, bonds or precious metals to make money, so naturally, many people think that an investment in a new home has a goal of making money.
Recent years in our local market has proven that to be true, but also limited in scope. Real estate reports indicate that in eight of the last nine years, values in the resale home market have increased by double digits.
Couple that with the fact that Winnipeg has less than half the listings per capita than Calgary or Saskatoon and again one could not be faulted for buying a new home for the expressed purpose of seeing it appreciate in value before selling it in a local market that has tremendous demand.
However, most of us are also investors in lifestyle and well-being. A new home is more than just money. It's where we want to live, where we want to develop friendships with neighbours; where we want our children to go to school; where we want to shop and want to raise our family.
A new home can be a new beginning. Many people grow up in one neighbourhood and then, when it comes time to buy their own new home, look in that familiar neighbourhood because it brings a sense of comfort.
However, what they often fail to take into account is that although that neighbourhood was a tremendous place for them to be raised, it might not offer the same amenities a generation later.
The excitement of a new beginning in a new home allows you the opportunity to choose your future. Living within a reasonable distance of where you like to shop is a consideration. Some people are influenced by the proximity of green space. Others look for community clubs and recreational and social contacts.
A new home permits you to shape your future and the future of your family. Whether you are the first house built on the street or the last, you are part of a new and thriving neighbourhood that is going to grow together to establish its own identity.
Mike Moore is president of the Manitoba Home Builders' Association.
