Your first homein Ontario, step by step.
The rules here are not the rules at home. Six steps, in order, with the traps marked, written for families who arrived in Canada recently.
In order. Skip none.
Most trouble comes from doing step four before step one. Pre-approval first, then the budget that includes the taxes, then the search.
Mortgage pre-approval
Newcomer programs at the big banks accept foreign income history and a shorter Canadian credit file. Get this before you look.
The real budget
Price plus land transfer tax, legal fees, and a 5 to 20 percent down payment. Under 20 percent needs mortgage insurance.
Buyer representation
In Ontario your agent signs a representation agreement with you. Maryam explains every clause before you sign.
The offer and conditions
Financing and inspection conditions protect you. In competitive areas sellers push for none. Know what you are giving up.
Inspection and appraisal
A home inspection costs about $550. The lender's appraisal confirms the price supports the mortgage. Both happen inside the condition period.
Closing
Your lawyer registers the title and moves the money. Bring government ID, the balance of the down payment and the closing costs.
- Land transfer tax
- A one-time tax paid by the buyer on closing.
- Bully offer
- An offer submitted before the seller’s offer date.
- Status certificate
- A condo’s financial and legal snapshot. Always read it.
- Assignment
- Selling a pre-construction contract before the building is done.
- Title insurance
- Protects against title fraud and survey problems.
- Closing costs
- Everything you pay on closing day besides the price.