Buyer
Choosing and Working with a Real Estate Agent
Once your budget is determined, it is time to find an Agent. As buying a home is probably one of the largest investments you will ever make, it is very important that you choose an agent knowledgeable in this field, and one that you feel comfortable working with. Working with a competent real estate agent will save you time, money and frustration. I believe that I can help you get the best property at the lowest overall cost, and with minimum inconvenience. I would be very pleased if you would consider me as your Buyer’s Agent!
The Fact - Costs of Buying A Home
Down Payment Requirement
Where down payments can come from…
- RRSP
- Savings
- Gift
- Equities, etc.
- Credit Cards
- Line of Credit
Appraisal fee
- Approximately $275.00 + GST (if required by lender)
Survey Certificate
- Approximately $350 (if required by lender)
Home Inspection fee
- Approximately $550 +
Mortgage Default Insurance
- 0.5%-3.75% of loan amount (depending on how much cash you can put toward the loan) This insurance is mandatory, if your down payment is less than 25% of the purchase price and can be rolled into the mortgage
Title Insurance
- Approximately $9 50+ disbursement + GST (full service including legal fees)
Legal Fees
- $950 (approx) + plus GST (if you choose to retain a lawyer, this has no connection to Title Insurance. You will choose to deal with a lawyer directly and exclusively OR use the services of the title insurance company).
Property Transfer Tax
The tax payable under this Act is
(a) 1% of the first $200 000 of the fair market value of the taxable transaction, and
(b) 2% of the remaining fair market value of the taxable transaction.
Full exemption to this tax - first time home buyers, with 25% or less down payment and buying a property with a purchase price under $425,000.
http://www.sbr.gov.bc.ca/business/Property_Taxes/Property_Transfer_Tax/tax_rates.htmHST - Starting July 1, 2010
- Applicable on new construction only (12% depending on purchase price).
Property Tax Adjustment
- Prorated from date of purchase.
Condominium Maintenance Fee
- Prorated from date of purchase.
Other costs
- As a rule of thumb you should have, in addition to your down payment, cash on hand to cover costs such as hookups for phone, power, cable, gas, oil, water, etc. and moving expenses.