Buying a home is a complicated transaction and probably the most significant purchase most families can make. To effectively navigate the real estate market’s labyrinth, you need a real estate agent with the acumen and foresight to get you to your new destination, a new home. Helen West, at CIR Realty, is the right person for the job. In this home buyer’s guide, we will explore the details of first-time and multiple-time home buyers to help you understand what your Calgary real estate agent is doing to make your dreams come true.

The Home Buyer’s Guide

Right now, Calgary real estate is hot, hot, hot with lots of competition for available properties. To get a leg up on the competition, you need a trusted advocate that knows the market. When selecting a Calgary real estate agent, don’t hesitate to ask tough questions about your future purchase or how it will be facilitated.

The Process, How it Works

To get an insured mortgage from the Canadian Mortgage and Housing Corporation (CMHC), you need a five percent down payment on homes valued at less than $500,000. Between half a million dollars and a million dollars, a downpayment of ten percent is required, and anything over a million dollars requires a fifty percent downpayment.

Downpayment Sources

Savings
RRSPs
Funds borrowed
Land
Proceeds from a property sale
A gift from an immediate relative
Equity grant

Cash Flow is Important

If you buy a home with less than a twenty percent down payment, your mortgage will have a high ratio. It protects the lender from default, and the insurance premium will be added to the monthly mortgage payment. If you have a ‘market value’ down payment or a 20 percent down payment (whichever is less), you could be in line for a conventional mortgage with no premium attached.

Home Buyer’s Checklist

A pre-approval for a mortgage is essential. You don’t want to find your dream home and find out you can’t swing the deal because you can’t afford the mortgage. Your bank is a source for your mortgage, but stringent conditions may disqualify some applicants. A better decision is working with a mortgage broker; they can access multiple lenders at competitive rates. When dealing with the financial side, your credit history is essential, as is the dwelling you seek. Condos and homes differ in treatment on the financial side, as the pre-approval will vary on each purchase. A mortgage broker can calculate your maximum price, give you quality advice, and a pre-approval is free. It is one way to lock in the best possible interest rate for your mortgage. Before you calculate your down payment for the home of your dreams, remember that ancillary costs drive the purchase price. If you hire a home inspector (highly recommended), they come with a cost of $300-$750; an appraisal costs $200-$500, plus GST on a new home and the cost of legal fees of up to $2000.

Think About Your Wish List

The Must-Haves: These are things you can’t live without.

Nice to Have: Things you can do without, but a bonus if you can get them.

The Deal Breakers: Things that you absolutely don’t want.

Other Considerations:

Public transit
Amenities
Parking
Urban vs. Suburban
Lifestyle
Costs

Pick Your Team

A dedicated real estate agent with market knowledge
A lawyer with years of experience in real estate
A mortgage broker in Calgary who is reputable and well-regarded.

House Hunting

Technology has been a boon for real estate; pictures and videos can entice buyers and help narrow the purchase field. Once you have identified a property, inform your real estate agent and arrange for a viewing. Also, you can have new listings sent directly to you – via email – through your realtor or the Multiple Listing Service (MLS) in Calgary.

The Viewing

When attractive properties that are priced right hit the market, a motivated buyer must be ready to act with a sense of urgency. Make a list of properties you find attractive and would like to view with your agent. Don’t be surprised if you find a wild card or two in the listings you are reviewing, as excellent properties always come to the market.

Make an Offer

This is where the rubber meets the road, and at times some buyers have been known to get ‘cold feet.’ Your agent will put together the offer to purchase outlining the terms and conditions you will accept. Once the document is created, you will read it and sign it. Your agent will forward it to the seller’s representatives for acceptance or decline.

Close the Deal

Your offer has been accepted, and now more work is to be done before the deal can close. You need to deliver the deposit – your agent will help there – your offer will determine the deposit amount, so make sure you are liquid for the amount.

Conditions to be met

Depending on the offer, details like a home inspection, financing and condo review condition need to be addressed.

Taking Possession

In general, you will get the keys to your new home when some technical details have been spoken to. The lawyers will handle the documents, the title will be transferred to you on the closing date, and the purchase funds will be transferred to the vendor. It takes time for all this to come together. So temper your expectations and expect it to happen in the afternoon. Last but not least, you get the keys and can move in at your leisure or ASAP.

No one is more qualified than Helen West Realty to satisfy your home-buying needs. For the past quarter century, she has been involved in the Calgary real estate market – first as an investor and now as a real estate agent in Calgary. Helen is a trusted name in real estate in Calgary. She is a member of the Calgary Real Estate Board (CREB), Real Estate Council of Alberta, Leading Real Estate Companies of the World, and Luxury Portfolio International. When you want to go to the market, let Helen be your guide. For help with your sale or purchase, contact Helen for a FREE, no-obligation home evaluation with Helen West Realty.

Call us at 403-608-2520 for a no-obligation discovery meeting.

We speak fluent English and Chinese.

能用流利的英文和中文为你服务