Be Aware of Current Market Conditions
While in a lengthy upturn, the Toronto real estate market changes quickly. Keeping up on average prices, neighbourhood stats, and near-term market trends is advantageous on both the buy and sell sides.
Get Pre-Approved For Your Mortgage
Unless you fall into a fraction of Torontonians not needing a mortgage, this first step is crucial. There are many different lending institutions offering a wide range of loan opportunities. Shop around for the right lender and mortgage product. I have a list of preferred mortgage professionals I can recommend.
Prepare Your Deposit
Real estate moves quickly in Toronto. When the time comes to put in an offer, you’ll be required to submit a deposit: typically 5 percent of the offering price. The deposit can be submitted with your offer, or within 24hrs after acceptance. I recommend you have this cash in an account from which you can write a certified cheque or bank draft within 24 hrs. We can speak further about potential banking holds and RRSP options.
Know Your Closing Costs
Money will be coming out of the bank for your deposit and down payment. In addition, you’ll have to pay for 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.
Get To Know The Paperwork
Review an ‘Agreement of Purchase and Sale’ prior to submitting an offer. It’s important to understand the agreement and avoid trying to interpret legal jargon when participating in an offer presentation. I always go over paperwork with my clients and am available for questions at every juncture.
I always discuss these details with my clients at length, but please email me directly for more info.