Why buy?

Two out of three Canadian families own a home – that's one of the highest rates of home ownership in the world. And for good reason.
It is also a good investment. With the increase in house prices, it is all the more important for first-time buyers to get a foot on the first rung of the property ladder.

• Homeownership is the single largest source of savings for Canadian households.
• Unlike other investments, which can be quite volatile, the increase in the value of homes is relatively steady. The average house price in Canada has increased every year since 1998.
• The return on your investment in your home can be substantial. In 2004, the average house price in Canada rose to a record $227,210 – a 9% increase in just one year and a 27% increase over four years.
• Homeowners can use the equity in their homes as security for other loans.
• Building equity in your first home is the first step on the property ladder. It gets you into the market, keeps you in touch with increasing house prices, and puts you in a good position to trade up to bigger and better houses as your circumstances allow.

Home Buying Advice that Helps Put You In a House

First time home buyers might feel better to know that they're not the only ones who feel confused about the home buying process. Nearly all home buyers feel the same way, even if they've bought a house in the past, because it's easy to forget the steps you took to get into a home once the event is behind you.

Get Prepped in Home Buying Basics

Before you begin, get educated about the home buying customs where you live. Relatives or friends who live in another state might have some good general advice for you, but chances are the process is very different in their area, so avoid the mistake of relying solely on their advice to make important decisions.
Aside from speaking with a real estate agent, it is always advisable to speak to a bank loan officer or mortgage broker? They look at home buying from a different perspective, but can usually give you a basic overview of the process.

Home Buying Questions to Ask

1. What types of disclosures are sellers in your area required to give to buyers? Brian and Myles will give you a sample copy of typical disclosures.
2. What types of home inspections are standard in your area? Are there other inspections that the agent recommends?
• How much do the inspections usually cost? It is usually between $300 and $400 per house and you receive a hard copy with details on your home from the inspector
• When are inspections done? They are done often a few days after you have an accepted on a property.
3. Is a survey required for most transactions? Yes, your lender will request this information.  Brian and Myles will obtain a copy from the seller for you if they have one on file.
4. Other than loan costs, what's the average total cost for other closing fees?  Brian and Myles will provide a detailed expense sheet for your closing costs.
5. How long does it usually take to close on a home once an offer is accepted?  It depends on your specific needs and if the home is vacant, tenanted or owner-occupied.  If the home is tenanted and you plan on moving into the home, it can take 60 days for closing.  If the home is occupied by the seller, it can take as little as 1 week, although 30 days is quite common for closings.

Always Keep a Cool Head

Even simple problems can be a burden when you have so many details to take care of, so don't over-react if you hit a few snags on the way to closing. Keep a cool head and work with the people helping you through the transaction to resolve any issues that pop up.
For an in-depth First Time Home Buyer Package provided by the Greg Nowick Team, please click here to view as a pdf.