Kevin Basran

WHEN BUYING A HOME WHAT SHOULD I DO TO GET STARTED

Make a Wish List

Before you begin shopping for a home, make a detailed "wish list" of what you need and want in a home.

The Basran Team will help you prioritize this list and suggest features that you may have overlooked. First, you need to decide upon a location. Think about factors such as school quality, crime rate and proximity to public transportation, shopping areas, work, parks, etc.

Second, you need to choose the type of housing you want (i.e., condominium or house; new or resale) and the amount of space you need.

Determine what you can afford

Before you start looking for a home, you and the Basran Team need to determine how much you can afford.  Current interest rates will affect the amount you can afford.  Talk to the Basran Team about various homebuyer incentive programs that can assist you with your purchase.

Down Payment

For a conventional mortgage, you will need to pay at least 25% of the purchase price as a down payment. However, if you qualify for the Canada Mortgage and Housing Corporation (CMHC) 5% down payment program, you can get a high-ratio mortgage where you receive up to 95% financing.

Although your down payment can't be borrowed, gifts from friends or relatives are fine. You can borrow up to $20,000 from your RRSP if you are eligible.

Mortgage

Most people buying a home need to borrow a portion of the money from a bank or other lending institution.

Completion and Other Costs

There are additional costs involved in buying a home. These include mortgage insurance, taxes, legal fees, house insurance, inspection reports, appraisal and survey fees. If you are a first time homebuyer, you may be exempt from the Property Transfer Tax.