Joe And Doug Williams

Prepping for a Home Search

15 May 2018
Joe And Doug Williams

By no means is this exhaustive – but here is a quick primer on some things you should do while preparing to buy a home. The last step listed is “call us” – but you can do that first – and we can walk you through the entire process.

  • Mortgage pre-approval: Speak with a mortgage professional – and get an accurate idea of what you will be approved for. The better information you provide – the better pre-approval they can produce.
  • Budget: Go a step further than a mortgage pre-approval and prepare a budget. Decide what you would actually like to spend monthly. Owning a house presents a lot more expenses than renting (responsible for all utilities for example). Factor in saving for repairs in your budget. A good rule of thumb: assume annual repair costs of around 1% of the value of the home. Just because the bank will give you a certain amount doesn’t mean you should take it. Everyone has different lifestyle preferences, savings goals, and financial demands (dependents for example).
  • Estimate your upfront costs: Down payment, land transfer tax (calculators are available), legal fees, home Insurance, and moving costs are big ones.
  • Organize deposit money: Your deposit will count towards your downpayment, but it is paid when you make an acceptable offer. The typical deposit size is 5% of the purchase price (negotiable). You may need the deposit money at a moments notice – so it should be accessible. That means having the money in a chequing or savings account – or borrowing from a line of credit, and paying yourself back (with investments that may take a few days to withdraw from).
  • Reflect on what you want from your next home – location, lifestyle, look, feel, level of upgrades. Make a list of must haves & preferences.
  • Give us a call!

We hope this a good start. We are happy to walk you through the process in detail. Call us anytime to chat – and we always appreciate your referrals to friends and family.