Before You BuyWhether it is your first or fifth home purchase, educating yourself with the current market is an imperative step to understanding the process of securing your next property.  Prior to your offer however, there is a logical progression which should be taken to ensure your search is effective.


Find The Right Agent

You are going to be spending a fair amount of time with your agent looking at homes and strategizing on offer nights, so you should not only like being around them but you should trust their guidance.  Make sure your agent is in tune with the current market and knows the market history.  Look at their sales records and read testimonials.  Sit down with this person and get a feel for their approach.  Make sure they have a clear understanding of what you are looking for, and ask what their process is from the first search to final closing.  It is a very important selection in your purchase process, so take the time to find the right fit.

Get Pre-Approved For Your Mortgage

Unless you fall into the very small margin of Torontonians who don’t require a mortgage, this first step is crucial to set a parameter for your searching guidelines. There are many different kinds of lending institutions, offering a wide range of loan opportunities.  Shop around for the right lender and mortgage product as they vary from each institution.  I have a list of my preferred mortgage professionals I am happy to recommend to you.  I trust their guidance, and my clients have always been pleased with their service.

Prepare Your Deposit

Real estate can trade hands very quickly in Toronto, so best to be as prepared as possible.  When the time comes to put an offer in on a property you will be required to submit a deposit cheque with your offer, which is typically 5% of the offering price.  The deposit can be submitted with your offer, or within twenty-four hours after acceptance.  The difference between these two options will depend on the sale scenario of each property, and I will guide you to know which is most appropriate in your case.  I recommend you have this cash in an account that can cut a certified cheque or bank draft within 24 hours.  Please speak to me further about potential banking holds and RRSP options for this purpose.

Know Your Closing Costs

Not only will money be coming out of the bank for your deposit and down payment, but you will also have to have access to cash at the point of closing to pay for your closing costs such as your Land Transfer Tax (Provincial and Municipal), legal fees, title insurance, disbursements, moving costs and adjustments.  I have a detailed list of such fees in my Buyer Information Package which I would be happy to provide to you for further understanding.

Get To Know The Paperwork

Review an ‘Agreement of Purchase and Sale’ prior to submitting an offer.  This way you will understand the many pre-printed clauses within the agreement, and are not trying to understand legal jargon when trying to participate in an offer presentation.  I am happy to review it with you to describe each clause in layman’s terms or answer any questions you may have.

Get Started!

I have a detailed list of my services as your Buyer Agent which systematically take place during the course of our working relationship.  It’s a successfully proven method which can be tailored to meet your timeline as needed.  I look forward to speaking with you more about it.

For a printable checklist of items you should prepare prior to your purchase, please email me directly or here.