Ultimate Guide on buying a home

Looking for a Home

Searching for your new home can be troubling for some. There are many factors to consider when purchasing your home such as location, budget, future goals, proposed developments in the area, and many more. Real Estate professionals can work with you to help you in this process and ensure that everything goes smoothly.

Realtor

When buying a property, it is important to find yourself a Realtor who is reliable and someone you can talk to when finding a home. A Realtor plays a very important role and their job is to:

• Help you find a home

• Write an Offer of Purchase

• Negotiate on your behalf to help you get the best possible outcome

• Provide you information about the area and assist with finding other professionals such as Mortgage Brokers, Property Inspectors, and Lawyers who help with completing the purchase.

• Do their due diligence and help you review important documents regarding your purchase like Strata documents, Title Search, PDS, Bylaws, Zoning, etc.

Making an Offer

Once you have found a property, and you have secured financing, it is time to work with your Realtor to write an offer to purchase the home and present the offer to the seller.

Writing the offer is a legal proposal to purchase a property. THIS IS A CONTRACT. If for whatever reason you change your mind about the property, it is possible to revoke your offer, but there can be some legal consequences to doing so. Please seek professional advice to ensure you are following the correct procedures. Figure out necessary subjects that you may need when purchasing the home, such as “subject to financing”, “subject to inspection”, etc. to put in the offer to ensure you are protected. Subject free offers are also a consideration when purchasing a home. If your offer is accepted, the terms are legally binding. If you have concerns about the offer or the property, it is always recommended to hire a lawyer to look over the transaction.

WHAT IS INCLUDED IN AN OFFER TO PURCHASE

• Purchase Price

• A Deposit

• Conditions/Subjects

• Terms

• Closing Date

• Possession Date

• Adjustment date

Offer Accepted

These are the steps from accepted offer to subject removal:

• Obtain financing approval from your lender. It is time to send off the Contract of Purchase and Sale, Property Disclosure Statement )PDS), and property feature sheet to your mortgage specialist. For Strata properties, they may request strata documents and a Form B

• Review all documents. 

  • The Property Disclosure Statement, which informs you of any known issues with the property. 

  • The Title Search, for items attached to the title of the property.

  • For Detached: Permit history, oil tank scan certificate, zoning, unauthorized/authorized suites, etc.

  • For Strata: Strata documents, any renovations that were done with strata approval, etc.

• Deposit. Ensure funds are available, and obtain a bank draft made out to the brokerage of your Realtor in trust (“Stonehaus Realty Corp.”

• Insurance for the property. I recommend obtaining an insurance quote for the property.

  • For detached homes, lenders insist on property insurance because the property is their security for your mortgage. Property insurance covers the replacement cost of your home, meaning premiums may vary depending on its value. Please consult an Insurance Broker to assist with your needs.

• Get a home inspection. Their job is to inform you on the condition of the property. They will tell you if something is not working right, and what needs to be changed or is unsafe. If there is some work that is required, I will help with recommendations on the issues that arise.

• Contract changes. If there needs to be changes in the contract, be prepared to sign an addendum. This could open up the contract and can provide the seller a way to get out of the contract.

• Removal of subjects. Once you have fulfilled the conditions, there should be written notification given to the seller that you are, in fact, removing the subject clauses.

• Get utility bills. I recommend requesting utility bills such as electric, gas, water & sewer, etc. This will give you an idea of what to expect when you own the property.

Move In!

Once subjects have been removed, financing and legal documents have been signed, and your deposit is in the bank, then the home is yours! The Realtor you hired will advise you when you will be getting the keys to your new home (Possession Date) and will help coordinate with you. If you need help with movers, I can provide you with some recommendations.

Contact Property Manager to arrange move in (Strata) - This is an important step to add when you are preparing your move into a new strata property.

Set up Utilities - Making sure that your new home has the essentials: Power, Heat, etc.

BC Hydro - Click Here!

New Westminster Electric - Click Here!

Fortis BC Natural Gas - Click Here!

Change your Address! - You can get a checklist for address changes from here to help with your move!