Great Your Ready To Purchase!
Buying a home means we need to get you prepared and I am here to help you with that. Here are some points for you to look over:
- Decide the most important criteria we should be looking for. Make a list of the number of bedrooms, bathrooms, garage options, acreage, etc.
- What type of home are you looking for? A house with a yard, a strata town-home or condo, mobile home in a park, 55 plus complex, a leased land property etc.
- Keep an eye on new properties that come up for sale in the search portal as well as ones that have sold. This will help you to understand the difference in pricing for other neighboring communities as well as for distinct types of properties e.g. strata, freehold, leased land etc.
As Your Agent
Buying a home can be both exciting and stressful. Our agent/client relationship will be based on expertise, trust and mutual respect. After all, I will be acting for you throughout the process. I have a fiduciary duty to act in your best interests, to be completely transparent and accountable to you. Your needs come before all others.
Here’s how I can help:
- Live online preview of a property with you, in times when a personal showing is not doable.
- Inform you of the current market conditions.
- Discuss and analyze your wants and needs in regard to your budget and your qualification.
- Show you homes that fit into your selected criteria.
- Coordinate the work of other professionals, such as home inspectors, mortgage professionals and lawyers or notaries that you will need during the purchasing process.
- Negotiate with the seller on your behalf.
- Ensure all the required paperwork, contracts, disclosures etc are fully completed and accurate. That you have adequate time to get things done plus meet the deadlines.
- Work with you to resolve any challenges that may arise.
Before we go ahead and begin looking at all the wonderful properties out there, you will need to speak to a mortgage professional or a lender to determine what price range we should be looking in.
- The down payment required by you financial professional will be a percentage of the purchase price. This will have a direct bearing on the size of your mortgage payment. Larger down payment means smaller monthly payment as you would be financing a lesser amount.
- The amortization period is the time it would take to pay off your mortgage eg: 25 years. This is also used to calculate your monthly payments. A longer amortization period would mean a smaller monthly payment.
- The term of your mortgage is the time you are under contract with the lender. This is normally 5 years or less. When your term is up, you could either payout the balance of your mortgage, re-mortgage with the same lender or go to a new lender depending on your needs. The term does not affect the payment amount, this is just the length of the contract.
- The interest rate can also determine the size of your monthly payment. A higher interest rate means you are paying more interest on the mortgage.
- A mortgage professional can help you find a balance between interest rate, amortization period and down payment to make your monthly payments affordable to you.
You’ve found the perfect home, lets make and offer!
First we will look at price and determine if the property reflects current market conditions. Some properties can sit for a very long time and the market may have changed in that time. Then we can discuss what price you are comfortable offering given the market conditions.
- Together we will determine which terms to include in the offer such as financing, home inspection, property insurance etc. that are appropriate to meet all your needs.
- We can discuss what items you find important to include in the offer but being careful not to focus on extras too much as it’s the house and property you should be focused on. We don’t want to lose a deal over a hot tub.
- We may need to negotiate if the seller counters the offer. The seller will either accept your offer, reject it or make a counter offer based on things like price, closing date or other conditions. A counter off is not a terrible thing, it means the seller is willing to talk. It is important when negotiating to make sure that what you’re asking for is fair and equitable, be polite and collaborative, stand your ground on your “needs” be flexible on your “wants” and know when it’s time to walk away.
If all went well and you have an accepted offer then it’s time to work on the conditions in the contract.
You will now need to bring in a few professionals to help get you to the finish line and make sure the investment you’re about to make is sound. I can put you in touch with these people and make recommendations. Here are a couple of key people you should be talking to:
- Your mortgage professional: you will need to get all the required documents to you mortgage professional that were required to get your mortgage in place. VERY important.
- A home inspector: it is always recommended to have a home inspection to ensure you have all the details to avoid any unpleasant surprises later. A home inspector will check your property for any structural damage; perform a thorough examination of the heating and cooling system, plumbing and electrical systems, the roof, attic, walls, ceilings, floors, windows, doors, foundation, basement and more; then prepare a complete written report detailing all their findings and go over it with you so you understand if anything is of concern and what can be done to fix it. The inspector will also let you know what they were unable to inspect and why.
- A legal professional: Decide on a lawyer and contact them to ensure they will be able to meet your time line to get everything done for the completion date on your contract. The lawyer will review the agreement of purchase and sale, do a property title search, check that your home complies with current building and zoning codes, ensure utilities and property taxes are paid up, review the mortgage agreement, and get all the paperwork ready for closing.
- Closing costs: these fees need to be paid by or on the closing day and include mortgage application fees, inspections, legal fees, insurance, registration and more. This is normally done through the lawyer as well.
This is when title is transferred into your name and you officially take ownership of your new home.
Congratulations! You bought a home 🙂