BUYING A HOME

Buying a home is one of the most exciting and fulfilling times of your life and it is most likely one of the most significant financial investments you will ever make. You and your Realtor will share this experience together and it is important that you have a feeling trust and respect for the real estate professional you have chosen who will help you through the home buying process from start to finish.

Realtors are bound by a very strict code of ethics and professionalism and they are required to hold membership in their local real estate board. Realtors represent Buyers and Sellers and at times (but less frequently) both the buyer and seller. At all times the Realtors first obligation is to insure your protection and satisfaction with all aspects of the buying process.

Some of the services that your Realtor will provide are:

• Helping you to determine your needs with respect to what type of property best reflects the balance between what your dreams are and what you can afford
• Advise you on the community and neighborhoods that best suit your needs
• Help you to find properties that are available for purchase and make appointments to view them
• Advise you and give you contacts with further professionals who will be required. For example, Certified Home Inspectors, mortgage specialists, engineers etc.
• Prepare your offer to purchase explaining all contracts and terms, present the offer to the sellers or their representative and negotiate the best deal possible on your behalf

By choosing a Realtor with whom you sense a feeling of confidence, you will enjoy your home buying experience and eliminate much of the stress and worry that is often associated with a purchase of this magnitude and you will also save time and money.

The following is some useful information that will assist you when you are buying your home:

DETERMINE WHAT YOU CAN AFFORD

By having advance knowledge of what your price range is for your home purchase you can eliminate the disappointment of finding what you feel is your perfect home then finding out that you do not qualify for financing that will allow you complete the purchase. If this is your first home purchase the best way to prepare is to be ‘Pre Approved” through your financial institution. To do this you will need to make an appointment with you r banker and supply your personal and financial information such as your employment status, income, debts, assets, marital status, dependants and other obligations etc.

Most banks are competitive with their rates and it often is wise to shop for the best rates and terms between several financial institutions. Also their rates given upon pre approval will be guaranteed for a specific time frame so you need not worry if rates go up while you are looking for your home.

SEARCH FOR YOUR HOME

Often in this age of internet and computer technology, potential home buyers are very aware of what they want and what is available through searching the web. Your realtor will further assist you in finding and evaluating properties that are best suited to your needs. As you search you will compare each potential home to your priorities that you have already determined and try to find the one that comes as close to fulfilling your dreams as possible while also remaining practical and functional for your lifestyle.

WHAT TO LOOK AT WHEN VIEWING HOMES

NEIGHBORHOOD – Is it in close proximity to the things you need? Schools, shopping, bus routes etc. Does the neighborhood have a traffic pattern you can live with? A big consideration if you have pets or small children. Is it noisy? Is the neighborhood in good repair? Are your neighbors house proud or is there a junk yard next door? Are the neighbors too close or too far away? What zoning applies to you r home and the surrounding homes?

EXTERIOR OF THE HOME – Is the home in good condition from the outside? Look at siding, roof, chimney, gutters and downspouts, paint, windows, decks, stairs, railings etc. Is there landscaping issues to be considered such as steep slopes or rocky areas? Are there easements or rights of way that could interfere with your enjoyment of the property?

INTERIOR OF THE HOME – Is the interior of the home in good repair and does it have the floor plan that you are looking for? Does it have an open concept, high ceilings, finished basement, large rooms, enough bedrooms, a practical kitchen? Look at flooring and appliances, lighting, stairs, fireplaces, moldings, tubs and showers, basements and crawl spaces storage, garages etc. If the home is perfect for you but you can’t stand something simple like the color on the walls - remember that this is purely cosmetic and can be easily altered.

MECHANICAL CONSIDERATIONS – What type of heating does the property have and what are associated costs? Look at plumbing and electrical systems to determine if they are in need of upgrading or repair. Hot water tanks, oil tanks, heaters, furnaces air conditioning, wells and septic systems if applicable. Is the home insulated and have energy efficient windows? How is the water pressure?

THE OFFER PROCESS

You have found the home that is perfect for you and you are ready to make an offer. Your Realtor will draw up an offer to purchase and will include in this offer not only the offer price but also clauses or subjects that will have to be fulfilled in order for you to complete the purchase. If your initial offer is rejected the deal is over but if there is a counter offer that comes from the seller your Realtor will negotiate on your behalf until an acceptable conclusion is reached.

COMPLETION

Once your offer is accepted, you have the obligation to pay the deposit as stated on the contract within the time frames specified and also remove the conditions (subjects/clauses) on or before the dates specified. For example, if the purchase is subject to a property inspection then you will have the home inspected, review the results and, if satisfactory, remove that subject by declaring it fulfilled.

You will need to finalize your mortgage and send a copy of the offer to purchase to your financial lender. Your bank will then likely organize an appraisal of the property by contacting you Realtor.

You will need to also have Home Owners Insurance set up before the day of completion and you will hire a lawyer or Notary to do the necessary legal paperwork to complete the purchase.

CLOSING DAY

The day of closing is the day specified on the contract of purchase and sale as the day you will have legal ownership of the home. Often, the possession date is the following day at noon.

The closing day will have the bank providing funds to your lawyer or notary and you will pay the balance of the funds owing including your down payment, legal fees, property taxes and other remaining costs. Your lawyer/notary will pay the seller and register the home in your name with the Land Titles Office.

You will now be given the keys to your new home and are able move in!

CONGRATULATIONS!!