Working with first time home buyers is one of the best aspects of my job. I have put together the following resources to help you get started. Whenever you are ready to take that plunge, let me know. You might surprised at how quickly I can help you find the perfect first home. 


Read what some of my satisfied clients are saying!

 

 

Tips for First-Time Home Buyers

(NC) - Buying your first home is a major life event. You will have many decisions to make both before and after you find the right home, including financial decisions. Here are a few tips to make financing your first home a little easier.


1. Get pre-approved for a mortgage.

A pre-approved mortgage gives you an edge. Before you even go house hunting, you will know your maximum mortgage amount, the interest rate and the amount of your monthly mortgage payments. A pre-approved mortgage may also put you in a stronger bargaining position when you make an Offer to Purchase because the seller will know that you are a serious buyer.

2. Determine your home price range.

With your financing already figured out, you can concentrate on finding the right home within your price range. There are two things to consider when determining how much you can afford to spend on a home.

    * How much do you have for your downpayment?
    * How much can you afford for your monthly payment while still enjoying life?

To help you answer these questions, you can either call your financial institution or go to your branch and talk to your personal banker. Some financial institutions have tools on their websites that can help you calculate what you can afford. Just enter your information in response to a few questions and the calculations will be done for you.

3. Determine your downpayment amount.

You can buy a home with as little as 5 per cent of the purchase price. However, if you have a downpayment of less that 25 per cent it will mean your mortgage must be insured by an insurer such as Canada Mortgage and Housing Corporation (CMHC). The amount of your downpayment will determine whether you need mortgage insurance or not.

Your insurance premium will depend on the amount you are borrowing and the amount of your downpayment. Premiums usually vary between 1.00% and 3.25% of the mortgage amount.

4. Consider tapping into your RRSPs.

If you qualify as a first-time homebuyer, you and your spouse can each use up to $20,000 from your RRSP savings towards your downpayment. This money will not be included in your taxable income, as long as you repay the amount withdrawn from your RRSPs within 15 years.

5. Be aware of additional costs.

Your mortgage will cover off the greater part of the purchase price of your home, however, there are other costs associated with buying a home. These are called closing costs and they usually range between 1.5% to 3.5% of the total cost of your home. Here are a few examples of the additional expenses you may incur when buying a home and the approximate costs of each.

    * Appraisal fee - $150-$200
    * Home inspection fee - $300
    * Property survey - $750-$1,000
    * Land transfer tax - $2,000
    * Legal fees - $1,300-$2,500
    * Sales tax - 6%
    * Title insurance - $250
    * Home Insurance - $450/year

Also, don't forget to consider general expenses such as moving and home decorating costs.

- From News Canada

Homebuying Step by Step

The Home Buyer's Guide

Home Ownership Info

The new home buyers' tax credit – do I qualify?

(NC)—Are you looking to get into home ownership for the first time? The federal government's 2009 budget has made it just a little more enticing by introducing a new tax credit for first time home buyers. The home buyers' tax credit (HBTC) allows a credit for up to $750 starting in 2009.

“It's another government incentive for first time homebuyers” advises Bernice Dunsby, RBC's senior manager of home equity financing. “Although some of the eligibility conditions are the same for both the home buyers tax credit and home buyer's plan, they are two different programs. Your eligibility for the HBT credit will not change whether or not you also participate in the home buyer's plan, so it makes sense to take advantage of both if you qualify,” added Dunsby.

How do you qualify for the Home Buyers Tax Credit?

You, and anyone you purchase the home with, must be considered a first time home buyer to be eligible for the tax credit. The home must be used as your principle residence, and if you purchase with your spouse, common-law partner, or even a friend, then either one of you can claim the credit (or share it). However, the combined total cannot exceed $750.

- News Canada