Buying with Confidence

First-time homebuyers and seasoned purchasers will all run into the same process of how to purchase a home. The question they may ask is, “how do I purchase my next home with confidence, knowing that I hit every step with strength?” There are nine steps to purchasing your next dream home.

Step One: Speak with your local mortgage broker. Before falling in love with new potential homes, it’s best to speak with your local mortgage broker to see what is within your budget. Your mortgage broker will get you a “Pre-Approval,” which is another way of saying they’ll estimate how much money you are pre-approved for. Your mortgage broker is going to do a financial health check. They’ll check three vitals 1) Your income, 2) your credit score, and 3) your down payment. To learn more about what it takes to get pre-qualified, check out our blog on The Three Secrets of Getting Your Mortgage.

Step Two: Talk with your local real estate agent. Once you have a clear idea of what mortgage amount you qualify for, your real estate agent will have a better idea of what home you are searching for.

Step Three: Decide on what neighborhood, building type, and property features you are looking for in your new property. Deciding which community to move to varies from person to person. You may choose to move into a community because it has a great school. Another person may want a safe neighborhood, and someone else may want to be closer to work. Are you dreaming of a downtown condo with a nice view? Will you go for a detached two-story home for your family, or will you enjoy a bungalow for easy maintenance? Each of these properties will have unique features to you; maybe you want a gym to work out, a pool in the backyard, or possibly a place to grow your garden. This step truly depends on your dreams and goals.

Step Four: Go to showings. You found properties that fit your search, and your realtor books an afternoon full of appointments. You go to the showings, and you rate each property— take time to pick and choose which one will be your dream home.

Step Five: Submit offers. Are you willing to bid for your dream home? In this current market, you will face the situation of bidding. There are two ways to submit, bid for a home with multiple interested parties or submit an offer on the house with no other contesting offers. You might find a home that you think would be perfect for you, but it ends up three other couples would think it would be perfect for them as well. Do you bid or move on to other homes? Your choice depends on budget and willingness to stick it out through the counteroffers.

Step Six: Go over the details, address any issues, and visit the property one more time. Let’s say you submit a conditional offer; then the seller accepts your conditional offer, it’s time to fulfill all the conditions. Have your agent write the Schedules with conditions that represent all your interests. Request a survey of the property. Get an inspection to go down into the details for any issues. Your conditions may cost a couple of hundred dollars or even about a thousand; however, it’s worth the investment if you see yourself living in the house for years to come. There may be a case where you send in an offer with no conditions; this is typical for people bidding on a home. The no-condition offer is desirable for the seller but risky for the buyer.

Step Seven: Get Prepared for Closing. A small but essential step. Having good communication with your mortgage broker, real estate agent, insurance company, and any other parties involved to have a smooth closing. A big bill that no one can avoid is taxes. Land transfer taxes cost thousands of dollars, and if you move to Toronto, you can expect to pay double. Cross the tees, dot the i’s, and tie up any loose ends before the day of closing will give you peace of mind.

Step Eight: Before moving in, consider these few things. Before moving into your dream home, you may want to give it a personal touch. Consider hiring a professional cleaner to get the living space a fresh smell. Maybe get your new home repainted to your liking. Or Consider minor renovations for any personal hobbies or preferences.

Step Nine: Tips on managing your move-in. Moving can be hectic. A list of small tips to think about: create a checklist, notify people and companies where you’re moving, declutter before you start packing, invest in quality moving boxes, have different colour packing labels, use the correct size box, don’t leave space in the box, and take your time. Moving day can be stressful. Ask your friends and family to help by enticing them with a pizza afterward.

These are the nine complete steps for moving into your dream home. Use it as a checklist for the next time you move. Please reach out to me if you have any questions about getting a Pre-Approval or buying your next dream home. Make it a great week!

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