Buying

Buyers Guide

Step 1: Decide to Buy

Before you start looking for a home, you must understand your needs. Think about the type of place you’re looking for. Some question you need to ask yourself:

  • What are my top areas?
  • Am I looking to live there short term or long term?
  • Do I want to live close to a school or a mall?

Thinking about your needs will help you determine what type of house is the perfect fit.

Along with your needs, you need to familiarize yourself with different types of ownership to help narrow down the perfect home. Freehold is when it’s all yours, a condo is when you take care of the inside and pay your maintenance fees to an association, and co-op is similar to a condo, but you rent a unit in the building and pay maintenance and repair fees. Once you have narrowed down some qualities, its time for step 2!

Step 2: Get Preapproval 

In this market, where properties sell within days, it is highly advised to get mortgage preapproval completed. This will help determine what amount you are approved for when it comes to mortgage and allow you to look at houses in your budget.

Step 3: Work with a reliable Agent 

Now it’s time to look for a good agent. It is important to choose wisely. The realtor will be acting as your representative in your transaction, and you will need someone to look out for your best interests. You will need someone that you can trust and someone who understands what you want. Actually, this step is easy, just give us a call!

Step 4: Find your Home

There are many ways of finding that dream home! First, before you go shopping you have to make sure you are also financially ready. Make sure to have a budget when you go shopping. You can use our very handy affordability calculator in the Resources tool. 

One thing to keep in mind is your down payments. This is a percentage of the total cost of a home that you’ll need to pay. The more money you put down, the more you’ll save on monthly payments and cost of borrowing. Another important aspect is getting pre-approved for a mortgage. When the lender approves you for a mortgage, it gives you an idea of how much you can afford to buy your new house.

Now it’s the fun part- HOUSE SHOPPING! To get a feel for what’s in the market, we suggest you see various homes, different sizes, areas and styles so you understand your preferences and what fits your budget best.  

Step 5: Make an Offer 

Now that you’ve found the house that you are set on, it’s time to make an offer. Not all offers are the same and here’s where your real estate agent comes in. They will help you with specific terms and conditions that will be specified in the offer like the price you want to pay, financing conditions, or other things like inclusions and exclusions.

Not only is it about the price of the house but you must carefully look at the other details included in this sale. Appliances, chandeliers, or even minor renovations can also be part of the deal. Shorter or longer closing dates can also be specified in the offer.

If there is something in the offer that doesn’t satisfy the seller, counter offers, or negotiations can also be presented to help get a price that you think is fair.

Trust your realtor’s advice during this process. They know best!

Step 6: Close the Sale 

Now the final step – Closing. There will be closing costs associated with the sale that need to be paid either by or on the closing date. It can include mortgage application fees, land transfer tax, inspections, and legal fees. But once that’s taken care of, you are ready to move in!

First Time Home Buyers

Buying a house for the first time is a big and important decision in your life. As your representatives who look out for your best interest, we would like to introduce you to the First-Time Home Buyers’ Tax Credit. 

First-Time Home Buyer’s Credit (FTHBC) is a government program geared towards buyers like you. The objective is to reduce costs associated with purchasing a home. As a first time buyer, you are eligible for a 15% income tax credit on a maximum of $5,000 of home purchase costs such as legal fees and land transfer taxes. It can be claimed for the taxation year that you acquired the house.

You are considered to be a first time buyer if neither you and your spouse or partner has owned and lived in another home in the year of the purchase or in any of the four previous years.

RRSP Home Buyer’s Plan

The Home Buyer’s Plan (HBP) is a government program that allows home buyers to withdraw up to $25,000 from their Registered Retirement Saving’s Plan (RRSP) to put towards buying or building a new home. Before you can withdraw funds, you have to be entered into a written agreement that specifies whether you will be buying or building your new home.  You also must occupy this space no later than a year after buying or building this new home.

To take advantage of this program you have to be considered a first-time buyer. You are not a first-time home buyer if you (or you and your spouse) has owned a home which you have occupied as your principal place of residence in the past 5 years.

Once those conditions are met each person can withdraw up to $35,000 tax-free from their RRSP for a new home. Couples, including common-law, can withdraw up to $70,000. You will not pay income tax on these amounts as long as these funds will be repaid into an RRSP in the future.

Existing homeowners can also use this program to purchase an accessible home or a home for a disabled dependent relative. The intended individual must qualify for the Disability Tax Credit (DTC) and this home must be more accessible or better suited to the care of this individual.

(Note: Verify information with Mortgage Broker as each situation varies.)

WHY BUY WITH US?

  1. We provide end-to-end services to all Buyers which includes: 
  2. Completing a Buyer Needs Assessment. 
  3. Educating you about the current housing market condition. 
  4. Discussing and sharing the best housing options that best fit your needs, budget and location. 
  5. Negotiating a great deal with the seller.
  6. Assisting you in Home Inspection and Mortgage Approval Process. 
  7. Resolving any challenges that may arise from purchasing a new home. 
  8. Providing the highest quality of service allowing you to feel comfortable and confident in the process.