Tips for First-Time Home Buyers


1. Before you start looking for your first home get your financing arranged. Get pre-qualified "In Writing." The bank will advise you what price range of home you can afford based on your current income and depts. Your Realtor is in a much better position to negotiate a better price for your first home if you are already approved at the bank. By getting pre-qualified will assure you the very lowest interest rates for 60-120 days depending on lender. If the rates drop during that time frame you will get the lowest rate and will never go above that lowest rate.

2. Find a good Realtor that will work in your best interests, someone who is a full time Realtor, and willing to work along with you, explaining the entire buying process from beginning to end. Your Realtor will make buying your first home simple and straight forward.

3. Help your Realtor with the following information (list of wants and needs)

(a) Decide where you want to live

(b) Basic requirements such as number of bedrooms, size of home, style of home, school locations, parking requirements, transportation if required.

(c) New Homes ?, Re-Sale Homes ?, Townhouse ?, Condominium ?

(d) If you choose a Townhouse or Condominium. You may encounter some restrictions. Pets, Children, and future Rentals must be taken into consideration.

Townhouses and Condominiums also have a monthly maintenance fee required by the strata corporation. This fee could range from $80 - $260+ depending on the individual project.

4. Once you have decided to put an offer on a home, there will be some buyer clauses to consider:

(a) Ask for a copy of the Property Disclosure Statement (PDS), this document will give you a history of the property based on facts and knowledge of the seller. This document should form a part of the contract.

(b) Ask for Title Search Documents, these documents will let you know what is registered against the property i.e.: statutory right of ways, easements, liens, mortgages, any court action and anything else that could be a concern.

(c) Request that you have a Professional Home Inspection

There are a number of reasons why a home inspection should be included:

* To ensure you are not surprised by major defects

* So you can be advised about the various elements of the home included - heating and cooling systems, structural, electrical, plumbing, drainage, roof condition and much more

* To learn about how the mechanical systems work and need to be maintained.

* Most home owners are not expert in the numerous components of house construction

* A third party can be objective as there is no emotional attachment

Ask your Realtor for a list of Qualified Home Inspectors

* Cost can vary, ask for a quote before hiring the inspector of choose (payment upon completion of inspection)

What is Next ?

Once you are satisfied with all of the "subject to clauses" you will need provide all of the paperwork, (contract of purchase and sale) to a Lawyer or Notary Public.

Request for a list of Lawyers or Notary Public