Purchasing a New Home is Very Exciting, but Can also be Stressful, Especially on your First Home. We Guide you through Our Seamless Process, Ensuring a Stress-Free and Efficient Transaction

When your down payment amount is at least 20% of the purchase price or greater, the mortgage is considered “Conventional” and does not require mortgage insurance. If your down payment is less than 20% of the purchase price it is considered “High-Ratio”, mortgage insurance is required at your expense.

Mortgage Insurance cost increases as down payment percentage decreases, with minimum down payment of 5%. The good news is that the lender will add this amount to the mortgage so that you don’t have to pay it all at once.

The lender will provide this document to layout the terms and condition that must be met prior to them funding your home purchase.

Some conditions include income and employment verification, proof of down payment, and appraisal.

An appraisal is a formal report produced by a certified home appraiser for the primary purpose of determining the value of the home. Most lenders will require this to be completed on all transactions. In some cases, a computer-based valuation method may be okay, which can save you on costs.

This is a detailed inspection of various part of your home to ensure there are no hidden issues. While the seller is required by law to disclose any known issues, via the Property Condition Disclosure Statement, it’s recommended that you ensure you are aware of any other issues.

This is income from the property itself that helps you qualify for the mortgage. The most common and accepted form is basement or suite income from renters living in a portion of your home. All things being equal, you will qualify for a larger mortgage with a mortgage helper than without one.

By law, you are required to have Fire/House Insurance for your home, just like you would have car insurance for your car.

Similar to car insurance, Fire Insurance protects both you and your neighbours in the event of damage resulting from a fire at your home.

This is a tax charged to you by the Provincial Government when your purchase a property or land.

The tax is generally 1% of the first $200K, a further 2% of the amount between $200K and $2M, 3% of the value between $2M and $3M, and 2% on any amount above $3M

There are some rebates for first time home buyers and other scenarios, click here for a full list

Once we have met all the loan condition of the lender that we choose together, you will need to arrange a signing appointment with a real estate lawyer, and we can help with this as well. The lawyer charges legal fees for two main reasons: 1) to give you legal advice and ensure you understand the terms of your mortgage; and 2) to register the lender’s charge on the land title (or deed of the property). There will also typically be a fee for title insurance, which lenders require to ensure their charge on title is unencumbered.  

This lawyer prepared document shows the accounting of the purchase transaction, with debits and credits to you and the seller. It’s similar to your bank account statement, as it shows a final balance. Examples of debit are the purchase price of the home, legal fees, and any property taxes that have been paid by the seller but cover a period after you take possession of the home. Examples of credits are the mortgage funds from the lender, any deposits you paid the seller, and any down payments you bring for closing.

This is the date that you actually legally own the property, and when the remaining purchase funds are transferred to the seller

This is the date that you physically have access to the property, and usually coincides with the closing date (exceptions to this would be if you agree to let the seller stay in the home for a period of time after the closing date).