Buying a home: where to start?
Are you thinking about buying a home? Here are some tips to guide you through the entire process.
Your first step should be to establish a budget, i.e. calculate your expenses and your monthly income to determine how much you can afford to spend. Don’t just calculate the down payment you can afford—you should also take into account the many expenses associated with the purchase and maintenance of a property, including land tax, property transfer tax, realtor and home inspection fees, movers, renovations, landscaping, and interior decorating. Your credit rating must also demonstrate that you are solvent.
Talk to a lender about getting a pre-approved mortgage. Talk to your own bank first then shop around at the other banks and mortgage brokers. With a pre-approved mortgage you fix a price range that fits your budget.
Now you can begin your search for your dream home, either on your own or by contacting a realtor. Assess your needs; note the number of rooms you want, the type of neighborhood you’d like to live in, its schools, and commuting distance to work. Visit several homes so as to make the right choice. Before submitting a purchase offer, bring in a professional home inspector to evaluate and inspect the house. You may also need a surveyor to draw up a surveyor’s location certificate.
Once the offer is accepted, you will apply for a mortgage if you don’t already have one pre-arranged. The next step is to go to a lawyer or notary to complete the transfer of ownership. This involves signing the deed and any other documents that will allow you to take official possession of the house. After that, all you have to do is move in!
When establishing your mortgage budget, you should take into consideration all the costs associated with purchasing and maintaining a home.