Buyer’s are often excited to find the perfect home. I understand and share in their enthusiasm. However, before I help you find the home of your dreams, here are 5 issues that we need to address first:

1. Making an offer on a home without being pre-approved.

It is as simple as filling out an on-line pre-approval form from a bank or mortgage brokers, and typically, you will have an answer within a few days. The pre-approval will indicate a maximum purchase price given your income, down payment, and current credit commitments.

2. Not having a home inspection.

When I write an offer on behalf of my clients, a home inspection condition is always included. In the case of multiple offers, my clients may consider removing the condition to improve their offer to the sellers.  I will always caution my buyers on this action as there is little recourse after the condition is removed, and structural or mechanical deficiencies are found.

3. Limiting your search to open houses, ads or the Internet.

As you will have realized, the good homes fly, and are sold really quickly—even before the open house happens! If you are constantly on Realtor.ca, you may think that you are watching as the new listings hit the market. However, what you might not know, is that there is a delay in what is shown on Realtor.ca, and often, real estate agents see properties before they are listed for sale. If you work with one agent as your buyer agent, their first priority is finding you a home and being pro-active on your behalf. If you are doing all the leg work yourself, you may be missing the perfect property.

4. Not considering long-term needs.

A funky two-bedroom studio will not accommodate a growing family for long, and a large 4 bedroom 2 storey home might not been the right choice for a couple that is looking to retire. Typically, people stay in their first home 5-7 years, then look to buy something that will accommodate a family. Once children leave home, downsizing to a bungalow or condominium might be in the  plan. I recently helped an older couple sell their condo because the husband hated the apartment-style living. It’s really important to explore different options with an agent, as there are many possible solutions that will meet your short and long term goals.

5. Not knowing the total costing involved.

Before you begin your search, you will need to know that buying a home requires some up-front money. First, you will need to produce a certified deposit cheque that is submitted once you have reached a deal with the sellers. This amount varies depending on the purchase price of the home. Also, at closing day, you will need at least 5% of the purchase price as a down payment, and there are closing costs on top of that. Closing costs vary depending on your area, but on average legal fees are around $1200. 

As a Buyer, you may  have questions about the buying process. Give me a call to discuss any of your concerns about buying your next home! Always remember, I love to work with buyers during this exciting time!