PAGE 26, WEDNESDAY, MAY 14,19 80, WFIITBY FREE PRI DOLLaR unefI Set housebuyer budget before you start lo R ETIREMENT HOME. Luxury Living " Rogstered Nurse " Televlsion Lounges " Fireplace & Conversation Pit " Heaftfi Club wth Sauna & Whilpool " Lirery e Chapel/ Auditorium The Facilities: " Dining Rooms " Ample Parking " Horseshoes & Shutl leboard " A Sorvery For Between-Meai Snacks " Vlsitng Lounges " Porsonal Laundry Facilities " Cali Systema * Craft Rooms * Private & Double Accommodation * 80 Beds * Total Individuai Heating & Air Condflionlng * 24 Hr. Supervision * Excellent Meals by a Nutritionist * Beauty & Barber Shops Reserve " NOW" For Fail Accommodation Forfurther inquinies please contact: Mrs. Rowena Kerr R.N. Ballycliff Lodge Ltd. 70 Station St. Ajax 683-7321 oking By Murray Bumack, CA If you are wondering whether you can afford to buy a bouse, just take the lime to work oui a simple budget. You have to add up ail the ýcosîs that will be involved and compare themn with the money you have to spend. Stant by working oui your disposable income. Take your total earnings and deduct income tax and the expenses for the necessities in life .- food and clothing. The amount you have left is roughly wbat you can ex- pect to work with for house- buying. Do you have any securit- ies? Savings or bonds that Dolar Sene offers general financial advice by mem- bers of The Institute of Chartered Accountants of Ontario. you can convert into cash for a downpayment? Add these onto your working capital. Now you stant deducting. I suggest you look for a bouse in a price range where you can afford a minimum downpayment of 25 to 35 per cent. Financial institutions will let you pay less, but the less you pay to stat wih, the more you pay in the end. When you find a house, unless you can paY al cash, y~ou will have Io negotiate a m1origage. Shop 1round for terIns because the rates do vary. You also have to decide how much you want to pay off each year. 1 suggest YOu try t0 reduce vour principal by $1,000 to $2,000 a year -- the idea is to pay it off as quickly as you can. If you are considering a $75,000 bouse, you should budget for total interest and princi- palpayments at a minimum of $8000to $9000 annually.- Other cosis you have to plan for are legal fees, the cosi of having your lawyer search the titie and arrange the mortgage; realty taxes and insurance. Your lawyer will be able to advise you on the costs involved. You also have to budget for heating costs. Even in a mild winter such as this, they can run to $700 and $800. Al bouse owners are faced with maintenance bills. You would be surpris- ed at how costs for routine repairs add up. I suggest' CONT D FROM PG. 26