|
|
|
|
| Home Buying |
The first step in the home buying process is to find out exactly
what kind of funds you have available - either with a mortgage
or if you're lucky - cash. In Canada, you will have to be
pre-approved by the prospective lender (if you require a
mortgage) who will issue a certificate showing how much you have
been approved for. When you find the property of your dreams,
you are then able to enter into negotiations straight away
knowing that barring disasters, the financing is in place. One
extra bonus is that the rate will be held for 3 months - unless
they go down! Next on the list is to research where you want to
live - it's definitely worth enlisting the help of a Realtor for
guidance. The seller pays all the fees involved with the
realtors so it's free advice - they will however earn more
commission if they sell a house that they are listing.
Basically, the selling commission is split in half. One half
goes to the realtor who LISTS the property for sale, the second
half is paid to the realtor who introduces the buyer - so if
they do both its all theirs!
The Realtor will know what is on the market and for how long, if
it is a fair asking price for the market conditions/area, show
you around the homes |
on offer and help you when it comes to
making a purchase offer.
When we were home buying, our realtor sat with us and discussed
the area and budget. He told us our options, drove us all around
the town to show us the different areas and left us a list of
houses in our range. When we had decided which we were
interested in he made appointments and took us around the homes
to view them. Eventually, we decided to build a new home - he
handled the negotiations and we ended up with the home we had
always wanted!
If you are looking to build or buy a new home you can deal
directly with the builders representative. However, unless you
know the "ins and outs" of the process you may as well enlist a
realtor to help you out. Some builders reps may offer you a
discount if you don't as then they won't have to split the
commission. For a couple of thousand dollars it doesn't seem
worth it to miss out on expert advice acting in your interests
to guide you to a reputable builder and ensure you aren't messed
around. You will have the choice of floor plans or can have your
own design custom built in the location of your choice. You will
have to pay GST at 3.5% on the purchase and will have all the
usual |
|
|
expense associated with a new house - landscaping,
curtains etc. Also, most builders will give you an appliances
"allowance" at a particular store. You choose your appliances at
the builders discounted rate, if you want to pay more for a
better model that's fine. You may also be able to buy other
electrical items at the discounted rate as well - always ask! Do
ensure the builder is a part of the Provincial new homes
warranty program for your own protection. You will have a
standard 1 year builders warranty, followed by an additional 4
years cover from the new homes warranty. This is extendable to
10 years total for a small fee depending upon the Province you
are in. (We paid approximately $250.00). Being a member of the
warranty program is vital for a builder to show their quality so
normally they will not jeopardize this by poor workmanship or
failing to honour warranties. If you buy a new home you may be
able to use the builder's lawyer free of charge to do the
paperwork. They will always act for the builder in case of a
dispute but this can save you money in normal circumstances.
Otherwise, you will have to pay for your own lawyer to carry out
the legal work and to close the deal. It is worth finding |
a
lawyer who specialises in real estate. By the time the
additional costs (searches/title registry etc.) and GST are
added the fees may be close to $1,000. Most lenders will make
the mortgage offer subject to an appraisal on the property. This
may be worth doing as a condition on your offer to buy to make
sure the house is ok or to give you some negotiating leverage if
you want one to restore. Remember, though the houses are well
built, they are mainly wooden and perceptible to a whole host of
problems that may be expensive to fix. For example, most roofs
will need to be replaced every 20 years or so. Problems found
several months after purchase can ruin your home buying
experience. More, detailed information can be found at
http://www.onestopimmigration-canada.com/canadianhomes.html
which includes the housing types on offer, insurance, monthly
costs and lots more!
About the author:
The author immigrated to Canada in 2003 and has constructed a
free information website
http://www.onestopimmigration-canada.com about Canadian
Immigration based on his family's experiences.
|
|
|
|
