Buying a home can be both exciting and scary, whether it is your first time or fifth time. There are many options out there, but what is best scenario for you? How do you know if you are financially ready and can afford a specific home? What is the actual buying process?
Check out the 5 steps below to help with your purchase:
Step 1: Make sure you save at least 5% for a down payment
Now you can make a down payment with as little as 5% but you will need to have mortgage loan insurance included in your mortgage. If you have a 20% down payment then you will not be required to purchase mortgage loan insurance.
Step 2: What can you afford?
Get mortgage approval either through your bank or a reputable Mortgage Broker. There are many online mortgage and affordability calculators that can help you determine what you can afford and your approximate monthly or biweekly mortgage payment. Check out the handy calculator to the right.
Step 3: Make a budget and get adequate insurance
Even though you may be able to afford the down payment, make sure you know what expenses will be coming in monthly. Knowing your monthly expenses will also give you insight on what Real Estate purchase is best for you. Contact an Insurance Agent or Broker for information on how to keep your new home adequately insured.
Step 4: Access Information on Government Tax Rebates
First time homebuyers may be eligible for many tax incentives like: RRSP withdrawal for new homebuyers, GST/HST new housing rebate and first time homebuyers’ tax credit. These resources can be accessed online.
Step 5: Use The Coxworth Connection’s Buying Experience
I, or a Selected Buyer Specialist, will sit down with you and find out what type of home you want and research where you would like to live. We will give you insight on the Real Estate market and answer your questions about purchasing.
I have many years of negotiating experience and will make sure you get the best deal. My knowledge and expertise will help you navigate through the buying process and explain Real Estate terminology that may not be familiar to you. I can even help you find a Mortgage Broker or Lawyer to finalize your new home purchase.