REAL ESTATE BASICS: What Every New Immigrant OR First Time Home Buyer Should Know About Buying Real Estate In Canada
Canada remains one of the countries attractive to the eyes of the people who plan to migrate. Currently, Canada has maintained its open doors to immigrants. This gives chance to people in any part of the globe to experience the Canadian way of life. And with this, real estate, especially residential, continues to grow in demand. These immigrants are investing in Canadian properties for a place to live in. Moreover, there is an expanded market reach for real estate in various regions of Canada, like what we are seeing now throughout the entire Province of Ontario.
There are only a few factors to consider when buying a property in Canada. One is that you have to choose the best real estate brokerage firm to assist and guide you through the purchase of your desired property that meets your financial capabilities and satisfies your needs. This brokerage firm should be regulated by the local real estate board and association for your security. You have to ascertain that the real estate agent has a valid license number, and registered to represent on the buy and sell sides of properties in Canada. In this regard, you will be dealing with the right person to trust in acquiring a property that is best for you.
A real estate broker or representative knows the current real estate values and gives assistance on competitive and realistic appraisals. He or she offers a worry-free transaction associated in purchasing a property with regard to any documents needed. The real estate broker or representative would take charge on inquiries, appointments, and negotiations that deals with the contracts and ultimately the purchase and sale agreement.
A good real estate broker or representative, or even your lawyer, will know of various financing and mortgage options available to you and how best to qualify for the loan. Although not as common, there is nothing stopping you from paying for the purchase entirely from your own funds. However, people who decide to buy a property in Canada usually arrange for a down payment from their own funds to partially pay for the purchase of the property, and then would arrange for an affordable mortgage payment plan with a lender to come up with the rest.
When purchasing a property, make sure that you are in the strongest negotiating position possible to get your price. To do this, take into consideration all positive points of the property and how to balance the competing interests of both the buyer (yourself) and the seller. Complete your due diligence before hand, and obtain a mortgage commitment prior to putting in an offer so that you can use the condition for financing as additional leverage in your negotiations. Realizing the big picture in how the price, deposit, closing date, timing and conditions are important to each party in different ways, is key to having control over your negotiating position.
The need to have an agreement is imperative. Drafting the Agreement of Purchase and Sale is used as the initial contract often called an Offer to purchase. This is an agreement where you have to know all the details included with the property that you intend to buy. Just like any legal document, this agreement should be put into writing before closing the deal. The agreement should be a precisely-worded document. It should contain all the conditions that should be legally met by both the seller and the buyer. This means that both parties are contractually obliged to follow this agreement under law, so that to complete the process and transaction of purchasing and selling.
Everything should be included in this agreement, such as if any detachable part of the house or furniture is included in the purchase of the property. The agreement should be precise and clear with no room for interpretation because it should all be self-explanatory. However, it should also enumerate every detail of the items included in the purchase to avoid any misunderstandings after the purchase. A buyer should have a first-hand idea on what he or she wants to be included in the property and the agreement. Oftentimes, the agreement includes conditions to allow the buyer time to confirm financing and conduct and review a home inspection to ensure everything is in the right condition before exchanging. This is one of the home security camera benefits as it’s a selling point for potential buyers.