You decide that you want to have a place to call home. However, the process of looking, finding and paying for your dream home can be stressful and overwhelming, especially for first-time homeowners.
What are the steps involved when buying a home? We at GT Mortgages will give you a brief guide to the process in the hope that your homeownership journey will be seamless.
1. Decide whether homeownership is right for you?
It is not enough to desire to own a real estate property. You need to plan for it. Check your finances, are you in a position to pay for a house? If possible have a budget on the amount that you can comfortably set aside for the down payment and additional costs.
You will need money for insurance, land registration, home inspection, legal fees, moving costs, etc.
2. Find out which mortgage options are available to you
You have probably heard of mortgage pre-approval. It is advisable to know the mortgage options that you qualify for before the house hunting process begins. Use a trusted mortgage expert for this.
Pre-approval is a process; you can learn more about it on 3 Things You Need To Know about Mortgage Pre-Approval.
3. House Hunting
Now that you know which mortgage you can qualify for, it is now time to focus on the kind of home that you would like. Have a long-term view of the house and not just what you desire now. What size would you want the home to be?
Do you want to live in the suburbs or right in the central business district? Find a reliable realtor who will negotiate the best prices for you and one who has your interests at heart. Get hold of a Real Estate Lawyer, he or she will explain to you the intricacy of the home buying process, and give you advice before you append your signature to any document.
4. Make an Offer
After visiting several houses and are lucky to find a property that meets the criteria of your checklist, it is time to make an offer to the seller. It is a document that includes your name, closing date, conditions, etc.
The seller has three options, to accept, reject or counter the offer. Negotiation is typical at this stage to ensure that both you and the seller get the best deal.
5. Finalize the Deal
If the seller accepts your offer, you can then go ahead and complete your financing by getting approval for a mortgage. Use your lawyer to polish the details about insurance and conditions of the offer.
6. Closing Date
It is the day when you take legal possession of the property. You will likely meet in your lawyer’s office to complete the paperwork involved, finalize payments, receive the deed and key for the house.
Maneuvering the Toronto mortgage market can be daunting to many. With the help of our expert mortgage agents, you will be able to find a mortgage product that meets your needs. The house buying process will no more be an overwhelming task for you.
