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Energy Costs, Are They 20-40% of Your Mortgage Costs?

By
Real Estate Broker/Owner with Envelope Real Estate Brokerage Inc

With recent predictions that energy costs may increase by as much as 40% over the next few years, what percentage of your utility payments equate to your mortgage payment? If you do not have a mortgage payment, bear with me.If your mortgage payment is $1200 per month and your utilities such as water, electrical, gas or oil is on average $360 per month, then you are paying 30% of your mortgage cost to live.

So what, you may ask. With fixed income people, it's a big deal. If you are thinking of purchasing real estate it would behoove you to know exactly what the utility costs are.

If you plan to stay in your present home, it would be wise to concentrate on how you can control your energy costs and yet be comfortable. When you did decide to list your home for sale in London Ontario, your conservation saving improvements will warrant a better price than a home that does not conserve energy.

When buying real estate in London Ontario, do not just look at the price. What is it going to cost to maintain it?

 

Posted by

Ty Lacroix Broker of Record & Owner

          

'NOT ALL REALTORS* ARE THE SAME', One call or email to me and you will know why!

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Malcolm Johnston
Century 21 Lanthorn Real Estate LTD., Trenton, Ontario - Trenton, ON
Trenton Real Estate

Absolutely right Ty. There's very little point in owning something if you can't afford to maintain it.

Jul 30, 2010 05:48 AM
Ty Lacroix
Envelope Real Estate Brokerage Inc - London, ON

Malcolm: I have been on 3 listing appointments this week where the reason for selling is that they cannot afford to stay.

Ty

Jul 30, 2010 07:10 AM
Brian Madigan
RE/MAX West Realty Inc., Brokerage (Toronto) - Toronto, ON
LL.B., Broker

Ty,

It's interesting to see what an impact energy efficient appliances etc can make. A lot of money is spent on hrdro.

Brian

Jul 30, 2010 03:20 PM
Ty Lacroix
Envelope Real Estate Brokerage Inc - London, ON

Brian: The next few years will be quite interesting

Ty

Jul 31, 2010 02:23 AM
Kathy Clulow
Uxbridge, ON
Trusted For Experience - Respected For Results

Ty - the future cost to own/maintain/run a home should play a big part in the decision to buy a given property ..... your post is a very good example of the potential costs

Aug 02, 2010 08:51 AM
Ty Lacroix
Envelope Real Estate Brokerage Inc - London, ON

Kathy, the costs of maintaining a home have increased substantially over the years and should be reviewed yearly.

Ty

Aug 02, 2010 01:23 PM