Buying a home is one of the most important events in an individual’s life. It’s important to follow a few simple steps before embarking your new journey.
Buying a home can be considered a rather daunting task. Getting pre-qualified for a mortage makes it easier for you to purchase the home of your dreams. You’ll want to ensure you have a commitment on paper from your bank or mortgage broker. You will also want to make sure that your interest rate is locked in for a period of time. Once pre-approved, you will know the following information:
Getting pre-approved will save you time and also ensure you don’t fall in love with a home outside of your price range.
If you need help steering through this process, don’t hesitate to contact Dominique Milne.
You will incure some costs during your home buying process, including building inspection fee, land tansfer tax, legal fees, title insurance, mortgage and/or life insurance, moving costs, etc.
Title Insurance can be purchased to protect the Lender and/or Buyer against any defects resulting from title irregularities, survey flaws, title fraud, unregistered easements and other conditions that could exist at the time of purchase.
It also provides coverage for any existing by-law violations (such as a building being too close to a sidewalk or other property, or a driveway being too wide), encroachments, legal rights of access and other title-related problems that could devalue the property.
You will pay a one-time provincial tax based on a percentage of the purchase price of the property, which is calculated using a sliding scale. For example, if you purchase a property in Ontario, for $300,000, 0.5% is charged on $55,000, 1% is charged on $55,000 to $250,000, and 1.5% will be charged for the range between $250,000 and $400,000. Your total land transfer tax bill will be $4,475. Your lawyer will pay it to the government on the closing date.
Estimate your Land Transfer Tax