Buying your home in MiltonMilton Realtors
Great, you are looking at buying a home!
Be excited - be really excited!!
Buying a home - especially your first home - is a time of heightened energy and excitement and most often an emotional roller coaster filled with many disappointments before you finally find the one... and your offer is accepted... and meeting all obligations to close... and taking possession... and moving all your stuff in... and making it yours... and calling it your home.
Let us help you make the most of this time so you can truly enjoy the experience and get the end result you are hoping for. We will make sure you are prepared so you don't miss any opportunities, we will show you homes you wouldn't find on your own, we will make sure you don't fall for the wrong home, and we will help you make the most of your resources so you will make it to the finish line with energy to spare.
Be prepared - be really prepared!!
The following information is aimed at making the most of your time and money and all resources when buying a home and giving you a great start to help you prepare.
First things first. Before looking for a new home, you will need to know how much home you can afford and get pre-approved for a mortgage. You can’t buy a home until you are on top of your finances, have enough of a deposit, have chosen your mortgage options, and have your lender’s approval for the mortgage.
Step 1 – Know What You Can Afford
Knowing what you can afford begins with being on top of your finances, your income, your expenses, and your savings. You will need enough money for a down payment and mortgage payments on top of all your living expenses before you can buy a new home.
Start with our calculators to see how much you can afford and what your payments might look like:
Step 2 – Select Your Lender and Mortgage Options
Selecting a lender and mortgage options may seem like a daunting task, especially if you are buying your first home, but rest assured with some research and help from a few experts you will be able to make good decisions on mortgage terms, amortizations, interest rates and types of mortgages that work for you.
With so many mortgage lenders and options available you will do well to invest some time to shop around - it is always a good idea to compare at least three different lenders.
Start with your Bank and see if they can give you a good rate and terms – then see if another bank can do better.
Talk with a Mortgage Broker or two and see if they can help you find the best rate and terms. Brokers work with many different lenders and they know how to navigate the options to find a good fit for your specific needs.
Step 3 – Get Pre-Approved for a Mortgage
Be aware there is a difference between getting 'pre-qualified' and 'pre-approved' for a mortgage - and be careful who you share your personal information with.
Before you look for a new home you need to know how much your bank or lender is willing to lend you. To get pre-approved for a mortgage your lender will need to know your income, debts, credit history, bank balances, and how much you have for a down payment. You will get your mortgage pre-approval in writing and it will show when it is valid (normally valid for 120 days) and will include a guaranteed interest rate and terms.
Keep in mind that even with a pre-approved mortgage your lender will not lend to you until they know that the home they are buying with you is worth what you are paying – and will normally order an independent appraisal of the home before they approve your mortgage.
See also Government of Canada's web page: Getting pre-approved and qualifying for a mortgage
We can help you with financing too
We are here to help and will look at your financial situation and show you what you can afford and will have many options you may not have thought of for getting more of what you want within your budget.
Let us help you better understand the actual costs of home ownership and mortgage options and financing.
We can also refer you to trusted lenders and mortgage brokers we work with here in Milton.
Now that you know how much home you can afford and are pre-approved for a mortgage you can begin searching for your new home. Here are some quick tips for making the most of your time and making sure you don’t miss any opportunities.
Step 1 – List Your Requirements
Write out a list of what you need and want from location and number of bedrooms to what type of properties and features you like and don’t like. The more specific your list, the easier it will be to find homes that are worth visiting – and the easier it will be for others (like your Realtor) to help you.
When searching for homes keep updating your list of requirements and take notes as you find what works for you and what doesn’t. Keep an open mind as almost everyone needs to give up on something like location, price, number of bedrooms, or finishes. Don’t lose track of what is most important to you.
Step 2 – Find Your Realtor
While you can search listings and find a few homes that fit your requirements, you really need a Realtor to help you find the best home and make an offer and negotiate and help you close the purchase and protect your best interests. Firstly, not all listings make it to the public so without a Realtor you won’t have access to everything available. Also, you will need a Realtor to let you in and show you the homes you want to look at in person… so it makes sense to find a Realtor first. Don’t be like so many people who pick the first Realtor they meet, and don’t pick the Realtor selling the home you want to buy as that would be a conflict of interest on their part. You will want a Realtor that works for YOU to get YOU what YOU want and need.
Buying a home is likely your largest investment ever - and the right Realtor will make the difference between a successful purchase and a nightmare legal battle.
Contact Anthony & Julie to book your free assessment and no obligation meeting.
Step 3 – Find Your Home
Anthony and Julie have better tools and resources for finding homes than the public do. One of the first things we will do for you is to setup custom search queries for you using the information you have provided – from your List of Requirements from step 1 above and from what you tell us in our meetings and as we look at homes together.
Even though many listings never make it on-line for the public to find, it is still very helpful for you to continue looking so you have a better idea of what is available and what you like and don’t like.
Search on-line here: Property Listings
You found a home you are truly excited about it, and it meets your requirements, and you can afford it, and you want it … so now is the time for making an offer and negotiating.
Anthony and Julie will work with you to draft your ‘Agreement of Purchase and Sale’ which is the legal binding agreement detailing:
- the price you will pay,
- what is included such as appliances / furniture / window dressings,
- conditions such as financial approval / passing inspections / who pays for repairs, and
- everything that is needed to make the deal go through.
When you send your offer, the seller can:
- accept it,
- reject it, or
- send you a counter offer
We will work with you in this negotiating process to make sure you understand:
- what you are compromising in order to make the deal go through,
- how to win the deal when there are multiple offers, or a ‘bidding war’, and
- when to walk away from a bad deal
To make the deal go through all conditions in your ‘Agreement of Purchase and Sale’ must be met and then you need to provide a deposit that is held in trust until closing, which is normally 5% of the purchase price.
You found your new home, your offer is accepted, all conditions have been met, and you paid your deposit… and all that is left is ‘closing’ and moving in. In ‘closing’ you will be working with your lawyer and lender to finalize the paperwork, make your down payment, take possession and get the keys.
We never allow our clients to buy the wrong home. We know what to look for when it comes to finding a good home and what to watch out for when it comes to hidden expenses. Many of our clients have thanked us for talking them down before making a bad decision.
We never lose sight that it is our job to watch over your best interests in getting you the right home.