10 Steps to House Buying
Congratulations! You’ve decided to buy a new home! Where do you start?
1.Pre-Qualifying your Mortgage: Determining What You Can Afford
Before you start shopping for a new home, get pre-qualified to confirm what you can afford. Contact your Meridian Pacific Broker and let them work thought the numbers for you. They have up-to-date mortgage rates and can explain closing costs and down payment options. They will take all the information needed to have you pre-qualified. They will also advise you on what documentation they will need later in the process.
2.Realtor: Find the right one for you
Not all realtors are created equal. Select a realtor you are comfortable with that is familiar with the area you are looking in. You may have to interview more than one to find the best one for you. If you don’t have one, Meridian Pacific Broker would be pleased to refer one from their professional network.
3. Home Search: Finding Your Dream
It’s time to start looking. Working with your realtor, narrow down what you want your new home to look like and what features it should have. Keep in mind “need” vs. “want”. Your realtor can help you put a game plan together and start the visual part of the process.
4. Making an Offer: You’ve Found It!
Once you’ve located the home you want, it’s time to make an offer. An offer is based on numerous criteria and you need to utilize your realtor for this. As your expert they will:
* Advise you on how to create an offer that will have the best chance of being accepted.
* Ensure your financial position by including any necessary subjects.
* Present the seller with a written document – the contract – detailing what needs to be done by both parties to complete the transaction.
* Negotiate on your behalf.
You will need to write a cheque for a nominal amount to go with the offer.
5. Accepted offer: What’s next?
Your offer has been accepted and now you need to get all your ducks in a row. The first thing you should do is take a deep breath!
Now you need to call Meridian Pacific Broker and let them know you have an accepted offer. They will go through the mortgage with you and let you know if they need any additional information. They will require a copy of the offer to get the approval for you. Remember your pre-approval (step 1) is just a guideline. Getting final approval for your mortgage needs to be done prior to removing subjects.
6. Getting an Inspection
After your offer has been accepted, your property needs to be thoroughly examined – this means a home inspection. Your agent will help you coordinate this. If you are purchasing a strata unit you will need to review the minutes and your realtor will help you with this. Once the inspection is complete, call Meridian Pacific Broker to make sure financing is in place, discuss the results with your realtor, and, if your realtor agrees all is well, remove your subjects. You’ll now need to write a cheque for a deposit, usually 5% of the purchase price.
7. Pre-closing Preparation: Closing in on the Closing
As the closing date approaches, nerves can become frayed, but if you stay on top of what you need to do, you’ll be fine. Pick a lawyer or notary for your conveyance — Meridian Pacific Broker would be happy to recommend one from their professional network if you do not have one. Make sure you let your realtor know which lawyer/notary you’re going to use.
Make an appointment with the legal office 2 weeks prior to your closing date. Ask how they want the final payment – it is usually certified cheque or bank draft.
8. Closing: Get ready!
Closing is the legal transfer of real estate from one person to another. During a closing, numerous legal documents are signed and the collection and disbursement of funds occurs. You should have 2 pieces of id, a void cheque, and the correct amount of down payment and closing costs with you. These documents are usually signed a week or so before the closing date.
9. Preparing for the move
Now you own a home, and with that home comes a list of companies you need to contact. Before closing, you will have to arrange electricity, gas, phone, internet, cable and other necessities. Get the movers arranged to get you into your new home.
10. Move and enjoy!
