Buyer Information

Finding the right agent

You want to find the right home, in the right location, at the right price - and you want to do it quickly, with minimum hassle. The best way to do that is to work with a professional realtor who understands your wants and needs, your time frame and your financial boundaries.

Why work with an agent?

You'll save time. An agent can locate homes that fit your needs and dismiss those that don't.

• You benefit from an experienced negotiator. Your agent will manage your offers and counter-offers, ensuring that you get the best possible price for your home.
• You'll receive the correct information. Your agent knows the neighbourhood and will provide you with information on local real estate values, taxes, utility costs, services and amenities.
• You can always count on great advice. Because your agent is familiar with the entire home purchasing process, he or she can advise you of your legal and financial options, and recommend appraisal, home inspection and contracting services.

Choose an agent who understands your needs

Here are a few questions to ask to help you determine if an agent is right for you:

• Will you be representing my interests?
• Do you have access to MLS information?
• Will you provide market evidence to support the price?
• Will you look after closing and possession details?
• Can you be contacted at any time?

Working With an Agent

As a homebuyer, you must work with your agent to find the home that's right for you. Communication is key - tell your agent what you want, and be specific.

• Offer a detailed description of your property needs and wants. If you will absolutely not consider a house without a hardwood floor, say so. And if air conditioning is a "nice to have" rather than a "must have," communicate that.
• Be specific about where you want to live. If you refuse to live outside a certain area, it might take longer to find you a home, but your agent will not to waste time looking elsewhere.
• Be honest about what you can afford.
• Respect and perform the terms of the purchase agreement.
• Keep an open mind. Agents know about those quaint little areas that you've never even heard of. You might find your dream home in a completely unexpected location.

The Elements of an Offer

Here's a quick reference to everything you need to know about making an on offer on a property.

1. Price
Depends on the market and the buyers, but generally, the price offered is different from the asking price.

2. Deposit
Shows the buyer's good faith and will be applied against the purchase price of the home when the sale closes. Your agent can advise you on a suitable amount to offer.

3. Terms
Includes the total price the buyer is offering as well as the financing details. The buyer may be arranging his/her own financing or may ask to assume your existing mortgage if you have an attractive rate.

4. Conditions
These might include "subject to home inspection," "subject to the buyer obtaining financing," or "subject to the sale of the purchaser's property."

5. Inclusions and exclusions
These may include appliances and certain fixtures or decorative items, such as window coverings or light fixtures.

6. Closing or possession date
Generally, the day the title of the property is transferred to the buyer and funds are received by the seller, unless otherwise specified.

Protect yourself with a home inspection

That gorgeous house on the corner lot may look great, but it could be hiding all sorts of expensive, annoying problems, from a leaky roof to faulty wiring to a moldy basement.

Make sure your home is solid before you buy it. A home inspector will determine structural strength, identify problem areas, provide cost estimates for any work required, and generate a report. It's a great way to avoid headaches and costly problems.

Home inspection costs range according to size, age and location of the home. Your Royal LePage sales representative can recommend a reputable home inspection service or arrange for an inspector to visit your property.

Personal Property Tour Tips

When visiting an open house or touring a property with an agent, make note of the following:

1. Take a look at general upkeep. Is it clean? Are lawns cut? Do walls need paint?
2. Test it. Try out lights, faucets, toilets, air conditioning and major appliances.
3. Check for water damage. Look at ceilings and drywall for stains and bulges.
4. Watch for "spongy" floors. Take note of soft, springy sections, squeaky or uneven areas - these can be a sign that costly floor repairs are needed.
5. Check doors and windows. Make sure they fit snugly in their jams and operate smoothly. Feel for drafts. Look for flaked paint and loose caulking and rotted wood.
6. Look at the foundation. If you see deep cracks or loose mortar and bricks, there may be a significant structural problem. Wet areas near the foundation are also a warning sign.
7. Hows the storage space. If you are moving from a home with large closets and a shed, make sure your new house is able to store an equivalent amount of belongings.
8. Measure. Make sure your furniture will fit into your new house.

Determine What You Can Afford

Buying a home involves both one-time costs and more regular monthly expenses. It's important that you take both into account when you're figuring out how much you can spend on a home.

The largest one-time cost is the down payment, which usually represents up to 25% of the total price of the property. Then, in addition to the actual purchase price, there are a number of other expenses that you may be expected
to pay for.

Typical One-Time Expenses:

• Mortgage application and appraisal fee (paid at time of application)
• Appraisal fee (paid at inspection)
• Property inspection (optional) (paid at closing)
• Legal fees (paid at closing)
• Legal disbursements (paid at closing)
• Deed and/or mortgage registration (paid at closing)
• Property survey (sometimes provided by seller) (paid at closing)
• Land Transfer, Deed Tax or Property Purchase Tax (in Quebec within3 months following signing) (paid at closing)
• Mortgage interest adjustment and take over fee (if applicable) (paid at closing)
• Adjustments for fuel, taxes, etc. (paid at closing)
• Mortgage insurance (and application fee if applicable) (paid at closing)
• Home and property insurance (paid at closing and on-going)
• Connection charges for utilities such as gas, water and electricity (paid on date of move)
• Moving expenses (paid on date of move)