Buyer Information

The key to buying your home

Buying a home can sometimes be both exciting and overwhelming. This guide outlines the steps you and your Royal LePage REALTOR® will follow to make your search a successful one.

Determine what you can afford

Purchasing a home involves both one-time costs and on-going monthly expenses. The largest one-time cost is the down payment, which is usually between five per cent and 25 per cent of the total price of the property.

Mortgage insurance is typically required by lenders on down payments of less than 20 per cent. For a purchase of $500,000 or less, the minimum down payment is five per cent. A purchase price over that amount, requires five per cent down on the first $500,000 and 10 per cent down for the remaining portion.

In addition to the actual purchase price, there are a number of other one-time expenses outlined in this document that you might incur.

Obtain a pre-approved mortgage

A pre-approved mortgage protects you against interest rate increases while you look for your new home, and gives you a clear idea of what you can afford, saving you time by limiting your search to only viable options.

Once you’ve found the property you want to purchase, you will require the following in order to confirm financing.

  1. A copy of the real estate listing of the property
  2. A copy of the offer to purchase or the building contract.
  3. Documents to confirm employment, income, and previous year’s income tax assessments.

Typical one-time expenses

  1. Mortgage application and appraisal fee (if applicable), due at time of application.
  2. Property inspection (optional), due at inspection.
  3. Legal fees and disbursements, due upon closing.
  4. Property survey (sometimes provided by seller, optional) as needed.
  5. Land transfer, deed or property purchase tax (in Quebec within 3 months following signing), due upon closing.
  6. Mortgage interest adjustment and take over fee (if applicable), due upon closing.
  7. Adjustments for utilities, property taxes, ect., due upon closing.
  8. Mortgage insurance (if applicable), due upon closing and ongoing.
  9. Home and property insurance, due upon closing and ongoing.

Typical monthly expenses

Typical monthly costs incurred with home ownership are mortgage payments, maintenance, insurance, condo fees, property taxes and utilities.

The major elements of an offer

Price

Depending on local market conditions, your option of value, and marketing information provided by your Royal LePage REALTOR®, the price you offer may differ from the seller’s asking price.

Deposit

The deposit shows your good faith and will be applied against the purchase of the property when the sale closes. Your REALTOR® can advise you on an appropriate amount.

Terms

This includes the total price offered and the financing details. You may arrange your own financing or ask to assume the seller’s mortgage, especially if it has an attractive interest rate.

Conditions

You can decide to make a “firm” offer, which means that you’re willing to buy the property exactly as it is. Or, you could make the offer “conditional” on things like a property inspection, approval of financing or the sale of your existing home. Your REALTOR® will advise you on the options you may need to consider.

Inclusions and Exclusions

Certain fixtures or decorative items are included or excluded in the purchase price of the property, such as appliances, window coverings and light fixtures.

Closing or Possession Date

Generally, the day the property title is legally transferred and the transaction of funds are finalized, unless otherwise stated. The regulations surrounding closing and possession dates vary by province. Your Royal LePage REALTOR® will be familiar with the rules in your area.

How to make an offer

When it comes time to make an offer, your Royal LePage REALTOR® can provide current market information, expertise and advice and will assist you by drafting your offer.

Your REALTOR® will communicate your offer to the seller and/ or the seller’s representative, on your behalf. There may be more than one offer on a property registered at the same time. Your REALTOR® will guide you through this process.

Your offer is a legal document which specifies the terms and conditions of your purchase. The offer can be firm or conditional.

Firm Offer to Purchase

Usually preferable to the seller, because it means that you are prepared to purchase the property without any conditions. If the offer is accepted, the property is yours.

Conditional Offer to Purchase

This means that you have placed one or more conditions on the purchase. The property is not sold until all the conditions have been met or waived, in the province of Quebec, this is referred to as a “Promise to Purchase”.

Acceptance of the Offer

Your offer will be presented as soon as possible. The seller may accept the offer, reject it, or submit a counter offer. The counter-offer may be in reference to the price, the closing date, or any number of variables. The offer can go back and forth until both parties have agreed or one of you ends the negotiations.

Have the property inspected (optional)

Having the property inspected by a qualified inspector can give you some added confidence that you’ve made the right decision. After the inspection is complete, you will receive a written report plus estimated costs for any necessary repairs.

Hire a legal professional

A legal professional is there to represent your interests and to provide the legal documentation required. Your Royal LePage REALTOR® can provide you with names of legal professionals who specialize in real estate.

The legal process differs from province to province, your REALTOR® or legal professional will advise you on the steps to be taken before the keys to your new home are presented to you.

With you at every step

Royal LePage REALTOR® bring invaluable knowledge and expertise to the home buying experience and are dedicated to your needs from the property search and purchase, to your relocation. Please do not hesitate to call your local Royal LePage REALTOR® if you have any questions.

For more information about buying your new home, visit royallepage.ca.

4 W’s of Home Buying

There are countless questions you need to answer to understand exactly what you’re looking for and what you need when it comes to buying your first home, your next home, or your investment property.

Using the 4W’s – Why, Where, What and When – will help break down the overwhelming number of decisions you face when buying a property an get you closer to finding your dream home!

What type of home would you love to own at stage?

  • What is your budget? What have you been pre-approved for in terms of a mortgage?
  • Would you prefer a condominium, townhouse or detached? Bungalow, 2-storey, split-level, high rise, link? New or resale?
  • How big? How many bedrooms, bathrooms? Backyard or no backyard

When would you like to be moved in?

  • Do you have an ideal timeline or a deadline that you have to be moved by?
  • Are you early in buying process or have you been looking for a while?

5 Tips to Buying

1. Know exactly what you want

Get crystal clear on the type of home you’re looking for including size, location, old, new, # of bedrooms, garage, parking, etc. This well help narrow your focus on listings that are a good fit.

2. Get your financing pre-approved

In a competitive market, getting your financing pre- approved will give you an advantage at offer time. So, don’t leave this to the last minute do this now.

3. Be prepared to act fast

When the market is busy, good listings don’t last long. You don’t want to miss out! When you see a listing you like, review everything available online first, then schedule a viewing right away if you feel it could be the one.

4. Know your “no-regrets” price

Great homes in a seller’s market will often get multiple offers and sell over asking price. Ask yourself this, – “what is the highest amount your are willing to pay for this property with no regrets?” Losing out on a home for an amount you would have been comfortable with is disappointing. Be sure to run any numbers by your bank/lender.

5. Consider writing a letter or doing a video telling the sellers how much you love their house

Homeowners are emotionally attached to their homes. They take great pride in every room, every upgrade and feature and want their home to go to someone who will love it just as much as they do.

Some thoughts from our clients...

Fisher and his team are very knowledgeable, professional, and responsible. He helped us sell our house at a very good price, higher than our expectations. We couldn’t achieve this without his effort. He gave us very valuable suggestions, respect, and care about the client’s thoughts. He and his team helped to arrange everything in a very organizable approach, making the whole process easier for us. Highly recommend the team!

- Nancy Z.

Fisher is the best agent I’ve ever seen. He is really professional and helpful. He always puts his clients first! You won’t regret selling or buying your house if you choose Fisher!

- Ruohan G.

Fisher and the group were fantastic to work with. They handled two renting for me professionally. They were always available for questions. The process was very simple and well laid out. I would not hesitate to recommend the team.

- Yonghua H.

Fisher is my real estate agent for my third property. My previous agents are all good but not as experienced as him. He is so caring about his clients, in terms of listening and understanding their needs, representing their benefits, as well as solving their issues from all-around aspects. Moreover, he is the only agent I’ve ever seen to periodically organize activities to glue with his ex-clients. That is why he will be my agent for all my future properties.

- Steven Z.

Fisher is a very knowledgeable and thoughtful agent who always put his client’s interest first. He always goes the extra mile to make sure the clients are satisfied. He is a great negotiator with extensive experience. You won’t regret choosing Fisher to cope with any real estate business for you!

- Ben S.

Fisher is my agent. All I can say is that I wouldn’t want anyone else to represent me. Hands down the best agent I’ve ever worked with. I would seek his help again if I ever need a new house.

- Ricky Z.

Fisher is definitely one of the kindest agents I have ever met. While me and my husband were still in China, he helped us sort everything out and close the deal successfully. If I need to find another property for investment any time soon, Fisher will be my first choice as a responsible and informative agent.

- Jing H.

Fisher is a superb real estate agent. He is professional, well-informed, thorough, accommodating, hardworking, and thoughtful. He smoothly facilitated the purchase of our house. We could not be more thrilled with the service Fisher has provided.

- Fiona L

I would say it was the top experience with Fisher and the team that exceeded my expectations. Only when you sell a house can you realize how much work there could be behind and how that work makes a difference to the whole selling process. That’s where the precious experience and resources from a professional agent play an important role. We are pleased about how Fisher and his group helped us prepare the house before listing it on the market economically. We best utilized the money to fix things up and to moderately renovate part of it within just two or three days, shortly before it was just ready. Cleaning was thorough and staging was in, which best leveraged the feature of the house. The notifications of showings kept ringing on my phone so I knew the team had been busy showing the house to potential buyers every day. Thanks to Fisher for offering a worry-free experience and nailing a successful sale, especially in this tough market.

- Theresa T.

Fisher is an experienced, knowledgeable, patient, and professional real estate agent. He provided us with a number of useful suggestions. As a result, he was able to help us find a house that satisfied our needs at a reasonable price. Thank you so much!

- Yan G

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