75 Scarden Ave
Community:Tam O'Shanter-Sullivan - Toronto
Buying Your First Home or Condo
There may be nothing as exciting as the purchase of your first home... the great feeling you get when the keys are handed to you and you're standing in your new living room. Getting to that point is an adventure. It can be daunting and stressful, but if you follow some simple rules, the whole experience will be a positive one for you. Below we present some tips and steps to make sure that you realize your dreams.
Set Your Goals
Your first task to set your goals. Buying a House in Toronto can be challenging so do your homework. Write down key elements of what kind of home do you want? in what area? with what features (schools, parks, recreational facilities, proximity to work, etc?). in what price range can you afford? make sure you review the first time home buyer program as there may be special programs for first time buyers. Answering these questions with the help of your agent will allow you to develop an effective plan for searching out that perfect home. Make sure you source out and pick a trustworthy, experienced, full time agent in order to make the process go smoothly. This is likely one of the most important steps in the process. Your agent can set you up on Listings match so that you receive new listings in the area you desire and at the price range you can afford directly from the Toronto Real Estate Board database. That way you will never miss out on a hot new listing. Your agent can also arrange all the showings on the listing you choose to see as well as negotiate the contracts on your behalf. Having an experienced agents will add a wealth of value to the process.
Know Your Limits
How much can you afford to pay? The rule of thumb is that your Total Debt Service (TDS) ratio should not exceed 40% of your monthly income. You can work this out by dividing your principal, interest, property tax, heating, half of condo fees and any other monthly financial obligations such as credit card payments, car payments, etc against your gross monthly income and multiplying by 100. You will also have to factor in closing costs if your offer is successful. These will include some or all of the following: lawyers fees; land transfer tax; survey; home inspection; CMHC fees if you have a high-ratio mortgage; registration fees; compliance letters; title insurance; utility connection charges, etc. Your agent can help you with all of these details.
Nothing is more frustrating than losing an offer on a home because your financing fell through, or that your offer was conditional on getting financing approved. Get pre-approved first. We offer free pre approvals for you as part of our service. We have licensed mortgage agents and bankers with extensive knowledge of various mortgage products at our disposal which we can connect you with to get pre-approved . We will use our resources to shop fot the best mortgage rate on the market for you and guarantee to get you setup with your mortgage with no hassles.
This is the fun part. Go to open houses, or get your agent to arrange private showings of the homes you are interested in. Take notes to keep track of the homes you have visited. If you find a home you think is the one, have your agent register an offer. At this point, the listing agent will require a deposit, which varies by area and type of property, but is usually around 5%. The deposit will be held in the listing agent's trust account until the transaction closes, or is mutually aborted. If interest has accrued on the deposit it will be paid after closing.
Negotiating is a delicate dance whereby everyone wants the best possible outcome for themselves. The vendor wants the best price they can get, while you as the buyer want the best price you can get. There will be offers and counter-offers, and if there are multiple offers on the property, it may start to resemble a feeding frenzy as agents go back and forth between their clients and the vendor. Again, know what your limit is, and how much you are prepared to go above it, if at all. Your agent will advise whether it's worth it to sweeten the pot or walk away. Ultimately, however, it's your decision.
The Winning Offer
Congratulations! Your offer was accepted! Now comes the closing phase, where your lawyer and the vendor's lawyer transfer title and all the paperwork necessary to put your new property into your name. As stated above you will incur closing costs so make sure those are factored in. On the closing date, the keys will be transferred from the vendor's lawyer to yours, and you can walk in to your new home and crack open the champagne.
Hope you are keeping well. It has been a pleasure doing business with you as well as having a friend. You always seem to care about me as a person and thank you for that. You always listen to what I had to say and we had many laughs. Thank you for getting the home inspector Rob …
Hope you are keeping well. It has been a pleasure doing business with you as well as having a friend. You always seem to care about me as a person and thank you for that. You always listen to what I had to say and we had many laughs. Thank you for getting the home inspector Rob and lawyer Allen to help me out. They were wonderful people to deal with. A gift came for me today and I was very excited. I ran out to Home Depot and use the gift card towards a gas BBQ. Woo Hoo!!!!!! Now I am really cooking lol. Thank you so much Alex, you are a very special person. I wish you much success in the future.
Alex was able to locate a house with all of our must have's and more. His expertise and professionalism is outstanding. We were extremely impressed with his correspondence by getting back to us quickly if we had any questions during the entire process. He is truly a one stop shop for your home …...
Alex was able to locate a house with all of our must have's and more. His expertise and professionalism is outstanding. We were extremely impressed with his correspondence by getting back to us quickly if we had any questions during the entire process. He is truly a one stop shop for your home buying needs. Thank you again Alex for all of your assistance; we appreciate it.
Jeff & Sara