Although we might say first time buyer questions, in all honesty most of these points are valid any time you are buying and a quick review is never a bad idea.

First Time Barrie Homebuyers

For a first time Barrie homebuyer, buying a home elicits emotions of fear and excitement. Buying is a long-term expensive venture. You need to be well prepared in order to make a wise real estate investment decision and arm yourself with important knowledge on real estate pricing, bank regulations and mortgage requirements in order to make an informed investment choice.

Here are some tips that can help you along the way.

Don’t settle for less

Price is not the only factor to consider when it comes to a purchasing a home. The quality of the home is a very important consideration. You may be tempted to get a better deal as you are shopping but if the house has problems that you really aren’t equipped to handle then you’re not really getting much of a deal anyway. There is a temptation to buy a Power of Sale or a fixer upper. Just remember that there really isn’t anything out there that could be considered a ‘bargain’ and unless you have expert knowledge in how to fix homes, better to go with something that is in good order.

Read everything before you sign

It is common for first time Barrie homebuyers to simply skim through any paperwork that appears complicated and lengthy. Don’t be one of them. If you are using our services then you should allow at least one hour to sign paperwork. We will explain everything to ensure that you understand what you are signing, this is legal contract and it’s very important you understand your obligations as well as those of the Seller. Be sure to ask any questions you have as well. It is your responsibility to know and understand everything you sign and if anything happens later you cannot use the excuse that you did not read a document.

Present your Case

The circumstances of every buyer are different. The bank or lending institution will consider your circumstances carefully. When making the decision to lend funds to you they will consider many factors however, you should know that one of them is ‘Are you credit worthy’ and another one is ‘What are they lending against?’ I.E. is the Barrie home worth what you wish to borrow. Other considerations might include; is the buyer purchasing the home for his own occupation or for a rental? This helps the bank decide on the interest rate and how best to handle the homebuyer.

Mortgage Analysis

The bank will offer you a mortgage based on many different factors. They may pre-approve you for a loan based on an amount they feel you can afford to pay back. Remember that this is the bank’s assessment of what you can afford – not yours. Don’t pick out a house based on what the bank says you can spend on one. Crunch some numbers and come up with a reasonable amount on your own and then start looking. You would be well advised to speak to at least two lenders, one of which could be a mortgage broker. Mortgage brokers have access to many different types of lenders and may offer different types of mortgages.

Hidden Charges

A first time Barrie homebuyer should be quick to note any hidden charges relating to a mortgage. Insurance, commissions, lawyer’s fees etc are additional costs to the mortgage. There are certain costs that you may be able to negotiate and as your real estate agent we can help you discern what , if any, the fees may be and we can also let you know which ones can be worked with.

Replacement and Repairs

A homebuyer should take into consideration the need to repair and replace certain things in the home that are broken. The buyer and the seller have to agree on who takes care of the bill relating to these items. These can be broken locks, windows, doors or any other outpoints throughout the house. These are all additional costs to the cost of purchasing the home. Any repairs to be undertaken by the seller should be completed before the purchase is finalized. When we are drafting a contract for you we will discuss any items that have been found in the home inspection report and amend the contract as necessary to ensure your wishes are expressed. Remember in Real estate law, there is no such thing as, ‘You said you would…..!”, if it isn’t in writing it doesn’t exist.

These tips will help you know what to expect and help you be better prepared when planning your first home purchase. The more you understand about buying a property as a first time Barrie homebuyer the more control you’ll have, and you may end up saving some money in the process. Of course you would be well advised to find a good Realtor to help you with some of these points, when we are acting for a Buyer, providing you are purchasing a home listed on the MLS our fees are free to you. Consults are also free. GIve us a call.

Ian Hocking, Sales representative,

705 252 7939

Filed under: Barrie Real EstateMortgage InformationStatistics

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