What to expect when making the jump from renting to home ownership

Jennifer Queen, Realtor with The Queen Team, RE/MAX Professionals in Winnipeg, is shown in a handout photo. (THE CANADIAN PRESS /HO-Lisa Landreville)

Going from renting to owning is a major life upgrade — but now that your name is on an asset, you have to take care of it.

“Honestly, I think the biggest shock for people moving out on their own, and out from a landlord, is really that they don’t get to call the landlord now when something goes wrong,” said Jennifer Queen, Realtor with The Queen Team, Re/Max Professionals, in Winnipeg.

Properties require regular maintenance, especially houses — from eavestroughs, dryer vents and furnace filters, to water drainage away from the house, Queen said.

“If you’re new to this — you don’t have a parent or a family friend that can advise you — I would honestly hire a home inspector to come out, even post-purchase, just to familiarize yourself with the property and what to do,” she said.

Home inspectors should have checklists to share with you, she added. It would at least be a starting point with an expert, and you can always research more online.

“‘YouTube University’ is wonderful these days,” Queen said. “It’s also a matter of deciding what you’re comfortable with (fixing yourself), and where you need to hire the professionals.”

You can tap your agent for help finding reputable contractors, said Calvin Hexter, Realtor from the Calvin Realty Team, eXp Realty, in Edmonton. These networks are a part of their business buying and selling homes.

“One tool that I think is under-utilized is the Realtor,” Hexter said.

“The Realtor that assisted you to purchase the home should have a strong list of maintenance contacts they will provide you at any point after the sale. And this can go from electricians to plumbers, to HVAC techs, to roofers, to landscapers — really anybody. And there should be a level of credibility there as well.”

Condos are a bit easier and cheaper, he pointed out, since the board is responsible for the roof, exterior, windows, and so on. Your condo fees contribute to that. Owners are responsible for the property within those four walls, usually electrical, plumbing, furnaces and water heaters.

Online resources and videos are valuable, Hexter agreed, and researching spring and fall checklists are a good way to give your property a tune-up as the seasons change. There’s long-term value in educating yourself about home maintenance and general upkeep.

“(I wish) you almost did have to go through a little bit of a course before homeownership,” Hexter said.

“I think we’d have a lot healthier properties out there … as opposed to jumping into it and then just hoping everything is good, where in most cases it’s actually not.”

Additional new costs for first-time owners include property tax, home insurance and utilities, though some people may already be accustomed to paying the latter, depending on their rental agreement.

Having an emergency fund is a cornerstone of financial wellness, and homeowners should take this seriously, said Diane McCurdy, founder of McCurdy Financial Planning in Vancouver, and author of the retirement-planning guide How Much Is Enough?

Emergency funds can help with making your mortgage payment in case of job loss, pop-up expenses such as broken appliances, or special condo assessments stemming from major repairs or upgrades to the building that have to be paid by all homeowners.

“You have to be very aware of what’s happened in the past (with condo repairs),” McCurdy said.

“Are there any special assessments that are coming down the way so you don’t get any surprises? You really have to read those condo agreements, or have a lawyer or family member who has done this before, read them so you can see what’s happened in the past, what could possibly happen going forward.”

Somewhere between three months or six months of mortgage payments is a healthy emergency fund for homeowners, McCurdy added. “The more square footage you get, the more expenses, right?”

Queen’s own advice about emergency funds is tied to the property value. Major upgrades, such as new shingles, might not happen for years, but if you are tucking away savings annually, you can manage those bigger costs without debt.

“Usually I’m telling people, when they own a home, you should be budgeting about one to two per cent of your home’s value every year to plan to put back into your house,” Queen said.

Other surprise expenses, according to Investopedia, may include storm damage to homes, yard costs including fallen trees, termites or other pest infestations, and mold. You might also find yourself purchasing new items such as dehumidifiers or lawn equipment.

You showed saving discipline to buy a home, but now you have to keep going.

“If you want to be set up for success as a homeowner, versus a tenant,” Hexter said, “you would have the money for the down payment, and then have some money set aside for any large-ticket items that may come due during that ownership as well.”

This report by The Canadian Press was first published March 4, 2025.

Nina Dragicevic, The Canadian Press