Buyers Overview

Find Your Home

Angelo will provide you with a full explanation of what to expect so you are not faced with any surprises along the way and will help you identify what you want in your new home.  He will compare your needs, wants and budget with what is available on the market.

Angelo will accompany you to view properties and assess their suitability and price.

Regardless if the property is listed with Royal LePage or another brokerage, Angelo can provide you with detailed information on currently available homes and or solds. Being a highly skilled negotiator, Angelo will assist you in negotiating an offer and drawing up a legal contract, Angelo’s code of ethics assures that you will receive the highest level of service, honesty and integrity.

For more information on the buying process please contact Angelo. Be sure to request a copy of his Buyer’s Presentation Package that outlines and describes the process and expectations at the time of purchase.

Working with a Realtor: Agency relationships form the basis of Real Estate Services. Agency is a way for other people to act on your behalf.

PDF Copy of Working With a Realtor

Getting Pre-Approved for Your Mortgage

Getting pre-approved for your mortgage allows you to know exactly home much home you can afford before you go out and look at properties. A pre-approval can also protect you against interest rate increases in the time you are looking for the perfect home. Getting pre-approved also allows you to make an offer confidently knowing that you can afford the amount you are putting on paper.

Pre-approval involves meeting a Mortgage Specialist that determines your financial standing and gives you different options for financing. One type of mortgage may be great for one person but totally unsuitable for another. Discussing these options beforehand give you peace-of-mind and takes a lot of the guesswork out of finding the right home that you can afford.

I have a number of Mortgage Professionals that I use to best suit the needs of each individual client. Depending on your financial situation, I will help choose the right one for you.

The Importance of Home Inspections

Buying a home is one of the largest purchases you will make in your lifetime. It only makes sense to make sure what you are buying is fundamentally sound. A Home Inspection by a qualified home inspector from a reputable Home Inspection company ensures that this investment is a wise one.

A Home Inspector gives you a comprehensive run-down of the structural and mechanical systems of your new home and highlights any areas of concern of possible problems that could be a nuisance in the future. Your Home Inspector can also suggest practical solutions for problem areas and preventative measures to ensure the comfort and quality of this most important purchase. A summary is provided detailing the scope of the inspection, areas of concern and estimates on the cost of correction. This summary is a great “snapshot” of the house at time of purchase and can be used as a reference tool when it comes to doing any renovations or improvements to the home.

You are not only buying an inspection, but also peace-of-mind in knowing what exactly you are buying. The costs of Home Inspections vary according to the company used, the size, age, location and type of home. I have a number of trusted Home Inspection companies that I use on a regular basis to give my clients the peace-of-mind they deserve.

Homeowner’s Insurance

The purchase of a home is the most important asset not only in regards to dollars and cents but also in the fact it is the place you reside. Insurance is a must to protect your largest asset and yourself as well. Most mortgage lenders require some form of insurance equal to the amount of the outstanding mortgage or building value as a minimum. A Homeowner’s Insurance policy should also be considered to protect against the loss due to fire.

There are a wide range of insurance options available including Mortgage Insurance, Life Insurance (that covers the cost of the outstanding mortgage), Disability Insurance, Loss of Income Insurance, and Contents Insurance (which covers a wide array of losses that can occur with the ownership of a home). I suggest contacting your Insurance Agent to get the specifics of different policies available and the costs involved in protecting your interests.

How Much Can You Buy?

The purchase of a home is the largest investment of many people’s lives. This purchase not only includes the payments at time of purchase but also the ongoing payments of mortgage amounts, interest and carrying costs associated with owning a home.

The largest cost is the down payment, usually between 5-25% of the total price of the property. In addition to this amount, a deposit is submitted with an offer to purchase. This deposit is credited towards the down payment on closing. Other fees that need to be accounted for on closing include legal fees, Land Transfer Tax, closing adjustments and mortgage fees.

There are a number of ways to figure out the amount of mortgage you can afford and the amount of down payment needed to purchase. Most importantly is the amount of money you have available for down payment and the amount of income you receive. These amounts are weighed against the amount of mortgage you are applying for. These calculations take into account the amount of debt you are going to incur in relation to the debt you already owe. These ratios determine how much mortgage you can afford in a normal year and then is broken down into the payment schedule you decide upon. For most Canadians, mortgage payments are made on a monthly or bi-weekly basis.

Legal Advice

The process of buying and selling Real Estate involves many steps and requires the utmost in care and diligence. A legal professional is a key player in the transferring of Real Estate interests. Not only does your Lawyer represent your interests, they also oversee the transferring of Title and the accompanying legal documentation involved. Your lawyer is responsible for searching Title to make sure you are getting clear title and the home you are purchasing can be legally sold.

I have dealt with many Lawyers in my years of Real Estate. I can suggest legal professionals that have served the interests of my clients in the past and that have earned my trust and confidence. Often the purchase and sale goes very smoothly with no problems. When problems do arise, it is imperative to have the right professional protecting your interests.

Buyer’s Agency Agreement

This is a formal agreement that gives me the authorization to represent your interests in searching for and negotiating a deal on your behalf. This agreement sets out the areas of interest, the type of property you are looking for and is required when I act as Buyer Agent representing you when purchasing a home.

PDF Copy of Buyer Representation Agreement

Elements of an Offer

Once you have found the home you are looking for, it is time to put in an offer. There are few elements that essential to making an offer.

Price
The amount you are willing to pay for the property. I will guide you with relevant market data and experience to figure out the best price for you.

Deposit
The deposit amount is a sign of good faith that you are going to complete the agreement and pay for the rest of the purchase price. The deposit amount is credited towards the purchase price on closing. Depend on the price of the home you are buying, I can advise you as to the proper amount.

Terms
Includes the purchase price and financing details.

Conditions
There are times when an offer is submitted where conditions are included for either the Seller, the Buyer, or both. These conditions can include a home inspection clause, securing financing, the sale of another property, making sure the well and septic systems are in good working order. Conditions are used to protect parties so that they have time to assure themselves that they can fulfill the agreement.

Inclusions and Exclusions
Often a home is sold with appliances, furnishings, pool equipment, light fixtures or other decorative items. All items that are staying with the property are clearly spelled out so that all parties involved know exactly what is staying and what is going to the old owner. It is important to have the right professional protecting your interests.

A Conditional Offer
A Conditional Offer has one or more conditions that need to be fulfilled in order to firm up on the deal. These conditions could be subject to a home inspection, subject to finalizing financing, or on the sale of a purchaser’s property just to name a few. In the case of a conditional offer, the property is not sold until the conditions have been met.

Once the offer is prepared and signed, I will present at the earliest convenience. The Seller may accept the offer, reject it outright, or submit a counter-offer also known as a sign back. In the case of a sign back, the Seller is making an offer to you based on the offer you submitted but with some changes. These changes could include price, closing date, a change in the conditions or other changes to the terms. The offer can go back and forth until it is accepted or one of the parties involve breaks off the negotiations.

PDF Copy of Agreement of Purchase and Sale – Freehold

PDF Copy of Agreement of Purchase and Sale – Condo

PDF Copy of Confirmation of Co-Operation

What is Mortgage Loan Insurance

Mortgage loan insurance is typically required by lenders when homebuyers make a down payment of less than 20% of the purchase price. Mortgage loan insurance helps protect lenders against mortgage default, and enables consumers to purchase homes with a minimum down payment of 5% — with interest rates comparable to those with a 20% down payment.

Typically, your lender will pass this cost on to you. The premium payable is based on a percentage of the home’s purchase price that is financed by a mortgage. The premium can be paid in a single lump sum or it can be added to your mortgage and included in your monthly payments.

Mortgage loan insurance is not to be confused with mortgage life insurance which guarantees that your remaining mortgage at the time of your death will not be a burden to your estate.

For more information please visit:

Canada Mortgage and Housing Corporation

or

Genworth Financial Canada