The first question you're bound to ask is, "How much home can I afford?"
That depends on a number of factors:
- Your selected location. Are you set on a specific area? Downtown?
The suburbs? A rural setting?
- Your preferred type of home. Detached? Semi? Duplex? High-rise?
Link? Townhouse? New or Resale? There are a variety of home
styles you will want to explore.
- Your income. After all, it's not just the mortgage you have to
take into account. There are property taxes, utilities, and in some
cases condo or strata fees. As a general rule of thumb, your monthly
home-carrying cost should not exceed 30-35% of your income.
- Market conditions. Is it a buyer's, sellers or balanced market?
There are also additional costs to keep in mind. It's a good idea to
work out exactly what you want and what you can afford before you begin
the search. Be specific! After all, you don't want to suddenly come to
the realization that your dream house has come with a nightmare of bills
and expenses. Stick to looking at houses in your price range. The more
you've thought it out, the better your RE/MAX agent can meet your needs.
A part of deciding just what you can afford can be accomplished by meeting
with your bank or a mortgage broker and negotiating a pre-approved mortgage.
There are many types of mortgages and many different terms. Research all of
your options. This ensures that there are no surprises once you're ready to
make an offer.
Once you've figured out your monthly expenses and what you can afford, you
can start your search. It could happen that the first home you see is the
one you want; or you might look at home after home with none of them
catching your interest. Rest assured, the home you're looking for is out
there, and when you find it, you're ready to make an offer. If your offer
is accepted, the next steps are closing and moving into your new home.
Purchasing a home is easy once you put your plans into action. Now, click
on one of the navigator buttons and we'll help you get started.
