When Marcel and Vanya St. Onge first saw the house, they didn’t like it. However, it was a dark, rainy day. They viewed the house more favourably on their second visit, which they had expected to be a waste of time. Despite cracked ceilings, the need for a paint job, and a kitchen built in the 1950s, the St. Onges saw the potential to create a place they could call their own.

Brigitte Lavoie purchased her condominium four years ago. She obtained a mortgage rate of 9.75 percent, a very good rate then. Recently, when interest rates dropped, Brigitte was considering refinancing her mortgage at a lower rate.

Matthew and Petra Steward had been married for five years and were still living in an apartment. Several of the Stewards’ friends had recently purchased homes. However, Matthew and Petra were not sure they wanted to follow this example. Although they liked their friends’ homes and had viewed photographs of homes currently on the market, they also liked the freedom from maintenance responsibility they enjoyed as renters. 

Questions 

1. How might the St. Onges have benefited from buying a home that needed improvements? 

2. How might Brigitte Lavoie have found out when mortgage rates were at a level that would make refinancing her condominium more affordable? 

3. Although the Stewards had good reasons for continuing to rent, what factors might make it desirable for an individual or a family to buy a home?