Cannabis professionals can avoid the uncertainties that come with renting and enjoy the benefits of homeownership with the support of Salal Credit Union.
Chris Wise, Mortgage Origination Manager
The cannabis industry remains shrouded in persistent misconceptions, especially concerning financial aspects like securing a home loan. My name’s Chris, and I’m the Mortgage Origination Manager for Salal Credit Union. As someone with 20-plus years of experience helping people purchase real estate, I wanted to share some insight and answer some frequently asked questions from our members who work in cannabis cultivation, product manufacturing, and retail. I also wanted to do a little myth-busting.
What’s the biggest myth surrounding getting a home loan if you work in cannabis?
Unfortunately, one of the biggest misconceptions is that working in the cannabis industry automatically disqualifies you from getting a mortgage. The truth is, you absolutely can secure a mortgage. Still, it’s crucial to work with financial professionals who understand the unique nuances involved, and have the experience to properly guide you through the process. I often speak with cannabis industry employees who assume that renting is their only option, and I like being able to provide more opportunities to them.
What are some of the benefits of homeownership—as opposed to renting—that cannabis professionals can enjoy?
Having a stable monthly payment makes a big difference in budgeting for the future and living life with some peace of mind. As opposed to rents that will most likely only increase over time, owning a home means you can have a fixed-rate mortgage, and that provides financial stability. Your insurance and property taxes may change over time, but your monthly payment remains steady.
Another thing to consider is that renting won’t help you build wealth, but homeownership will. As you make mortgage payments, you’re investing in your property. So over time, as your property appreciates in value, you’ll accumulate more wealth. And you’ll start to save money relatively quickly. After around six years as a homeowner, your mortgage payment will most likely be lower than a renter’s monthly payment. If you include the tax savings of homeownership, six years drops to around three.
I’ll also add that if you own a house, nobody can terminate your lease and force you to move out unexpectedly. Also, if you have kids, you can ensure they are able to stay in the same school district and not have to uproot to a new situation.
Do homeowners benefit from anything non-financial that renters do not?
There are many benefits to being a homeowner, starting with control and flexibility. Homeownership gives you the freedom to make changes, personalize your space, and enjoy the benefits of making improvements to your property. Renters often have limited options when it comes to types of housing inventory. And something I find particularly important is the sense of community involvement that comes with homeownership. You become a part of your community and can contribute to its pride and appearance. You have a financial stake in your neighborhood’s success.
What else should a cannabis employee know about applying for a home loan?
Homeownership is attainable for anyone who works in the cannabis industry. Don’t let any uncertainties or misconceptions hold you back. I know that accessing traditional banking services can be a struggle. It’s an all-cash business for many, and that can certainly lead to financial instability. But there are financial experts at Salal who can help you apply for and secure a home loan, build wealth, and achieve your financial goals—some of which you may never have known you had! Explore your options and take advantage of our expert advice.
Salal’s Commitment to the Cannabis Industry
Salal Credit Union recognizes the hurdles faced by cannabis professionals. Our goal is to break down the barriers that prevent industry members from buying homes. By providing access to banking services and educating borrowers, our aim is to make homeownership a reality.
Salal members receive the tools they need for financial success, regardless of their profession. Reach out today to discover how our financial experts can empower you to maximize your financial resources and establish a secure financial future.