HOW TO SUCCESSFULLY PURCHASE A NEW PROPERTY
To avoid disappointment, make an appointment with your bank to assess your financial situation and what your real borrowing capacity is before you begin looking for property. Your borrowing capacity will be calculated based on your income, your debts and the cash available for purchasing a property.
This step will not only ensure that you do not visit properties that are above your budget, but you can also reserve an interest rate that will protect you from possible increases for a period of several months.
If you do not have a contact at your bank, ask your realtor to recommend a mortgage representative at the institution of your choice; brokers work with these representatives on a daily basis and can refer you to help simplify the whole process.
In addition to the mortage loan that you will create for the purchase of your property, do not forget to calculate the “start-up expenses” not included in the transaction;
- the inspection
- bank evaluation expenses
- CMHC warrantee
- the notary
- transfer tax (taxe de Bienvenue) • municipal and school taxes
- moving
Now that you know exactly how much money you have to buy a property, you can start dreaming and visiting!
Contact your broker to register you in a free automated search using the criteria that you have established for your dream home!
If you do not have a real estate broker, ask around to find one that knows the area that interests you and will work to protect your interests during negotiations.
Avoid working with same broker displayed on the sign of your dream house as the dealer has an active contract with the seller and is committed to protecting their interests. Instead, try to work with a single broker who understands your tastes and goals and who will be your ally.
Good luck with your purchase!