The Four Step Method To Buying A Home
Step 1: Get your mortgage
Contact
your lending institution to find out how much you can be pre-approved
for before spending time hunting for your new home. Remember to ask the
lending institution for a commitment letter with the details of your
pre-approval. Also, remember that the closing date of your purchase
needs to be within the period for which you are pre-approved.
During the pre-approval process you will fill out an application
stating your assets and liabilities, income, and other personal
information. You will also be required to provide income confirmation
(usually with a letter from your employer and a pay stub with
year-to-date figures). Finally, you will be required to provide written
confirmation of your down payment. This may be satisfied by a bank
statement showing the source of down payment funds or statements of
investments (stocks, bonds, etc.).
Step 2: Find a suitable property.
Choose the
location where you would like to live and then let Vineet do the work
of finding available listings. In order to help you with your search, Vineet will pay you a visit and show you listings on his laptop that meet your requirements. Using the Listings page, you can browse for detailed information on properties. Vineet will email you the listings that best match
your needs, allowing you to view homes at the click of your mouse.
Go out and have some fun! Finding a new home should be an
exciting time in your life. Whether you are looking for your first home
or a cozy spot to retire, shopping for a new home should be an
exhilarating experience. Having the right information can make home
shopping so much easier. Let Vineet provide this for you by filling out
the Get Help Buying questionnaire.
Step 3: Make an offer.
After searching a bit
and finding a home that meets your needs, you will want to make an
offer. Hopefully, you have seen a few comparable homes and are able to
determine if the asking price is reasonable. Vineet will assist you with
this, negotiating the price on your behalf.
Once you have decided on a price, Vineet will write it up an offer
and present it to the seller. The offer will be in the form of a
purchase contract that includes subject clauses allowing you cancel the
offer in the event you decide not to purchase the property. In the
offer, you will stipulate a time frame that the seller has to accept or
to counter your offer. If the seller counters, you may accept the new
price or reject it and counter again. Eventually you will settle on a
price that is accepted by both parties. At this stage, a five percent
deposit must then be given to Vineet to confirm your commitment to the
purchase contract.
Once the offer is accepted, Vineet will send a
copy to your lending institution. The lender will review the offer to
ensure that the amount corresponds with your pre-approval. The lender
will also perform an appraisal of the property to ensure that its
market value is fair relative to the purchase price. (Note, it is also
advisable to have a building inspection done. This will provide you a
thorough study of the property in terms of structural and other
necessary repairs. Vineet can help you arrange this.) Once the appraisal
has been done, you will get a written confirmation of the approval of
your mortgage. At this time you will remove your subject clauses from
the offer and the offer becomes a contract that is firm and binding.
When
all documentation has been met on your mortgage approval, the lender
will send mortgage documents to your lawyer. Your lawyer will then do
the appropriate title searches and prepare documents to register the
mortgage and to transfer title of the property to you. Approximately
one week prior to your closing date, you will be asked to go to your
lawyer's office with your down payment and any associated closing fees
(less any deposits made). This is paid through a certified cheque. You
will sign all mortgage documentation at this time and your lawyer will
then transfer title of the property to you on the closing date.
Step 4: Congratulate yourself!
You made it!
You are now the owner of a new home! Start making plans to move in. If
you need help selling your current property, you can list it with Vineet
by contacting me CONTACT VINEET!
"Can you see the benefits of working with a good Agent to guide you through this process?"