Top Ten Ways to Find BIG Savings
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- Buy your next home from a builder. New construction usually sells for less than established neighbourhoods and appreciates quickly. You benefit from a brand new home that won’t need major repairs for many years.
- Save big on real estate agent commissions by selling your home privately. Use private sale websites like www.bytheowner.com to reach potential buyers at a fraction of the cost of a commission-based sales agent.
- Secure a lower mortgage interest rate by choosing a shorter term or open variable mortgage at your next renewal. Round up your accelerated bi-weekly payment to the next $100 to pay down the principle even faster.
- Avoid leasing: Leasing is the most expensive way to own a vehicle! You lock yourself into monthly payments and have nothing to show for it at the end. If you want a new car, buy it, pay it off as quickly as possible and start saving up to buy the next one with cash.
- Buy used cars privately to avoid dealer markups and save the GST! Look for a motivated seller and an efficient, low-mileage vehicle.
- Insist on a vehicle with favourable reliability ratings and get it serviced by a reputable, private mechanic to avoid the inflated repair charges at the dealership.
- Choose higher deductibles on your auto insurance and challenge yourself to become a safer driver. As your vehicle ages, drop collision coverage for further savings.
- Apply for a 30-year term life insurance policy while you are young and healthy. Quit smoking at least a year before you apply.
- Invest directly with a low-fee mutual fund company: you will get free, unbiased investment advice and your money will grow faster without hefty fees.
- Use your RRSP contributions to bump your taxable income down to a lower tax bracket. Complete the tax form T1213: Request to Reduce Income Taxes Deducted at Source to boost your paycheque based on your planned RRSP contributions.
