Kendra Helps Buyer’s Just Like You!

Tips on Buying

While every financially significant investment poses risks, the 2014 Canadian real estate market offers more opportunities than ever before. Whether you are an experienced real estate investor with a sophisticated and diverse portfolio, or a first-time homebuyer contemplating the purchase of your first home, it's important to educate yourself on the latest economic and real estate market trends, the basics of the home buying process and to understand the unique local market trends impacting your neighbourhood(s) of interest.

Kendra provides homebuyers with expert advice, accurate market and property information in conjunction with the highest level of service and discretion. Kendra has prompt access to exclusive coveted properties, on the market —many of which may never be available to the public on MLS.

Kendra is available each step of the way to help you through the multitudinous of details associated with the property purchase process.

While every financially significant investment poses risks, the 2013 Canadian real estate market offers more opportunities than ever before. Whether you are an experienced real estate investor with a sophisticated and diverse portfolio, or a first-time homebuyer contemplating the purchase of your first home, it's important to educate yourself on the latest economic and real estate market trends, the basics of the home buying process and to understand the unique local market trends impacting your neighbourhoods of interest. It's also essential that you select a skilled an experienced real estate advisor to help you navigate the process.

Sotheby's International Realty Canada provides homebuyers with expert advice, accurate market and property information, prompt access to coveted properties and the highest level of service and discretion. We offer skilled and authoritative assessment of real estate opportunities, as well as exclusive access to some of the best properties on the market —many of which may never be available to the public on MLS.

Step 1: Ask yourself “why” do I want to buy?

You will want to figure out if a home purchase is really where you are at in life and if so, what will the strategy be to obtain it.

You should think about the type of purchase you need to match your lifestyle and stage of life. This process will include present and future phases.

Type of purchase: Is this home a first time acquisition? Are you a new investor or a seasoned one with a sophisticated diverse portfolio? Are you looking to move into a bigger home to alleviate a growing family or is this a transition from a home to a condo? Would you consider a home that will need light to heavy renovation requirements, or a home that is turnkey and ready to move into?

Lifestyle and Stage of Life: What is the location of the community you are looking to purchase in? People are influenced by neighbourhood affluence, walkability, shopping, restaurants, highway access, schools, day care, public transportation and your commute to work. What are my needs for this stage of my life? Are you empty nesting, retiring, looking for urban living, need to accommodate elderly parents or starting a family?

Step 2: Meet with a Mortgage Specialist

Before starting your home search, it's important to evaluate your financial situation, confirm your budget, familiarize yourself with mortgage options and secure a pre-approval from your lender. This will help you conduct your search with confidence.

Establish a Budget

As a general guideline, total monthly housing costs for your primary home, including mortgage payments, taxes, maintenance fees, insurance, interest charges and utilities, should not exceed 40 per cent of your gross monthly household income.

Confirm your Down payment

If your down payment amount is less than 20 per cent of the total purchase price, you will need to purchase mortgage loan insurance that guarantees the debt against default. In most cases this will be added to the mortgage loan.

Understand the different interest rates

Fixed: A fixed mortgage interest rate is a locked-in rate that will not change for the term of the mortgage.

Variable: A variable rate fluctuates pending market conditions while the mortgage payment itself remains unchanged.

Adjustable Mortgage Interest Rate: With an adjustable rate, both the interest rate and the mortgage payment change based on market conditions.

Open or Closed Mortgages

Closed Mortgage: A closed mortgage cannot be paid off, in whole or in part, before the end of its term. A closed mortgage is a good option if you'd prefer a fixed monthly payment and wish to predict your monthly expenses. However, because there are often penalties or restrictive conditions if you pay an additional amount, a closed mortgage may be a poor choice if you decide to move before the end of the term or if a decrease in interest rates is anticipated.

Open Mortgage: An open mortgage is flexible. You can typically pay off part of it or the entire amount at any time without penalty. This may be a good option if you plan to sell your home in the near future or if you intend to off a large sum of your mortgage loan. Most lenders allow open mortgages to be converted to closed mortgages at any time, though often for a small fee.

Amortization

Amortization is the length of time the entire mortgage debt will be repaid. Many mortgages are amortized over 25 years, but longer periods are available. The longer the amortization, the lower your scheduled mortgage payments, but the more interest you pay in the long run.

Conventional versus High Ratio Mortgages

Conventional Mortgage: A conventional mortgage is a mortgage loan that is equal to, or less than, 80% of the lending value of the property. The lending value is the property's purchase price or market value — whichever is less. For a conventional mortgage, the down payment is at least 20% of the purchase price or market value.

High-ratio Mortgage: If your down payment is less than 20% of the home price, you will typically need a high-ratio mortgage. A high-ratio mortgage usually requires mortgage loan insurance. CMHC is a major provider of mortgage loan insurance. Your lender may add the mortgage loan insurance premium to your mortgage or ask you to pay it in full upon closing.

Mortgage Terms

The term is the length of time that the mortgage contract conditions, including interest rate, are fixed. The term can be from six months up to ten years.

There are generally several term options for a mortgage and it's important to weigh the benefits and costs of each. A longer term (five years, for example) may allow you to plan ahead and protect you from interest rate increases, but may not offer you flexibility, should interest rates fall.

Obtain Pre-Approval

In markets where there is high demand and a low volume of the type of home you wish to purchase, written pre-approval is essential and will give you the competitive edge in securing your desired home. For example, in a scenario where a seller receives two similar offers, one accompanied by a letter that confirms financing preapproval, and another other without supporting documents, the former offer is frequently considered first.

This can be done in person with a specialist, over the phone or online.

For further inquiries please feel free to contact Kendra’s Mortgage Specialist:

Mortgage Agent
Email: erink@dominionlending.ca
Office: 416.690.2181
Mobile: 647.885.6940
Fax: 416.690.3587

Step 3: Meet with Kendra and Define your Goals/Budget

As your representative Kendra believes that it is never her job to tell you what to do, but most importantly her task is to educate and advise you on the latest economic and real estate market trends. Being educated will allow you to feel more confident in your decisions as you go through this assiduous process.

Now that you have been pre-qualified and you know what your budget is, it is time to get together with Kendra. She will go over what the home purchase process looks like so that there are no surprises along the way and you will receive a custom detailed Purchaser Package to take home and use as a reference guide for your exciting journey.

Kendra will discuss market trends, neighbourhoods, time lines, supporting services ie; lawyers/home inspectors, strategy, re-sale aspects and lifestyle requirements that may impact the purchase of your home.

Kendra has Advanced Access to Exclusive Properties.

In some neighbourhoods, homes are sold within days, or even within hours, of being listed on MLS and therefor prompt access to coveted properties is important. She will make this happen. Others are marketed and sold within a real estate company's network without ever being made available to the public. In some cases, she may be able to arrange for advance access to properties that are represented within her professional and company network.

Kendra’s Global Connections

With a network of over 600 offices in 45 countries, Kendra has unparalleled access to the global real estate market. She has the experience to facilitate international real estate transactions and to assist clients who wish to buy Canadian real estate from abroad.

Kendra’s Real Estate Specialization

Kendra assist clients in the purchase of real estate in more than a dozen real estate categories: single-family homes, condos, townhomes and multiplexes, as well as properties that demand specialized knowledge such as waterfront real estate, luxury real estate, golf properties, ski resort properties, rural real estate, vineyards and islands.

Kendra Knows How To Make Your Dream a Reality.

Kendra understands that finding your desired residence with the highest level of service and discretion are the building blocks for a successful purchase. Kendra will be at your side the entire time helping you. And in addition building a lifelong relationship.

Step 4: Conducting Your Home Search

At the end of the initial meeting Kendra will schedule an Orientation Tour. During this outing you will view properties in your desired neighbourhood(s) at the lower, mid and higher end of your price range. It is conducted to allow you to see where your expectations are at in regards to your budget. It will also allow Kendra to become clear on your wants/needs and teach you how to “look” at a house from a buyer’s perspective.

Coinciding with this step, your criteria search will be inputted into the MLS system and you will automatically receive properties that meet your desirable expectations. As you receive properties that you are interested in viewing or would like additional information about, you can send Kendra the MLS number located on the bottom left corner of the picture box. She will set up a viewing time and discuss any concerns she may have pre-seeing the home.

Step 5: Strategizing and Submitting an Offer

In Canada, an offer commits you to legal and contractual obligations as soon as the other party has accepted it. Prior to submitting an offer, Kendra will ensure you are clear on the legal obligations you are undertaking, should the offer be accepted.

Prior to writing an offer-Kendra will get to work on gathering decision making information such as: walkability, schools, day care, amenities, transit, recent area sales, background research such as previous sold price(s), renovations completed by the seller and possible re-sale value.

Most importantly, Kendra will determine the fair market value of the home and present to you a “current market assessment” to determine whether it is “good value” for its listed price or for your budget. Variables that impact the value of a home or property include its location, neighbourhood, community plan, proximity to amenities, lot attributes, views, property size, interior and structural condition, construction type, age, unique features, and the state of the local real estate market.

Factors that will be discussed when strategizing the offer include; other possible competitive bids (this will have a substantial impact on our offer process), the home owners objectives for selling and how many days the property has been on the market.

Details of the offer will typically include; your legal name and that of the vendor, the legal civic address of the property, the price you are offering to pay, inclusions (items in or around the home that are included in the sale should be specifically stated in your offer, such as appliances, lighting fixtures or window coverings), amount of your deposit, the date you take legal and physical possession of the home, legal “conditions” upon which the contract becomes final (such as satisfactory home inspection report or financing approval), and the date the offer expires.

Kendra advises that a professional inspection should be conducted prior to or after submitting your offer.

Step 6: Negotiating the Offer Successfully

After submitting an offer, you should be prepared to negotiate, not just on the initial price, but on all key factors, including deposit, inclusions, date for possession, and deadlines for condition removals. Ensure you know your budget and requirements prior to submitting your offer so you don’t commit to additional costs in the heat of the process.

In high-demand, low-inventory areas, you may find yourself bidding against other buyers. Some sellers in high demand niche markets may also intentionally list their home at a low price hoping to stimulate multiple offers. This doesn’t necessarily mean that the price will be bid up significantly over the asking price, but it does mean that due diligence is required on your part and Kendra’s to ensure the offer you submit is strategic, competitive and reflective of what are ultimately willing to pay for the property.

You can expect one of three responses to your offer: Accepted as is: the deal is complete and once signed by the seller, the offer becomes a binding legal contract.

Counter offer: the seller may make changes to your offer, such as adjustments to the price, closing date or conditions. You may accept the counter offer and close the deal by signing the document. Or, you may make another counter offer back to the seller.

Rejection of the offer: the seller may choose to reject the offer outright. You may re-submit a new offer at this time.

Once both parties come to an agreement, negotiations conclude and you move on to the next step in the buying process. You will have a set period of time in which to satisfy the legal conditions agreed to in your contract, such as completing a satisfactory home inspection report or securing financing. Only after your conditions are removed do you have a legally binding document.

Step 7: Closing the Deal

As this day nears, Kendra will provide you with a Closing Guide for you to reference and will monitor the progress of your transaction to ensure there are no last minute issues that need to be dealt with.

On the day you take possession, you will likely receive the keys to your new home near the end of the business day and they will be available for pick up at your lawyer’s office.

Your lawyer will co-ordinate with the sellers lawyer, the transfer of funds from the lending company, complete necessary documents and register your home at the Land Titles Office in your name.

Kendra Helps Buyer’s Just Like You!

Tips on Buying

While every financially significant investment poses risks, the 2014 Canadian real estate market offers more opportunities than ever before. Whether you are an experienced real estate investor with a sophisticated and diverse portfolio, or a first-time homebuyer contemplating the purchase of your first home, it's important to educate yourself on the latest economic and real estate market trends, the basics of the home buying process and to understand the unique local market trends impacting your neighbourhood(s) of interest.

Kendra provides homebuyers with expert advice, accurate market and property information in conjunction with the highest level of service and discretion. Kendra has prompt access to exclusive coveted properties, on the market —many of which may never be available to the public on MLS.

Kendra is available each step of the way to help you through the multitudinous of details associated with the property purchase process.

While every financially significant investment poses risks, the 2013 Canadian real estate market offers more opportunities than ever before. Whether you are an experienced real estate investor with a sophisticated and diverse portfolio, or a first-time homebuyer contemplating the purchase of your first home, it's important to educate yourself on the latest economic and real estate market trends, the basics of the home buying process and to understand the unique local market trends impacting your neighbourhoods of interest. It's also essential that you select a skilled an experienced real estate advisor to help you navigate the process.

Sotheby's International Realty Canada provides homebuyers with expert advice, accurate market and property information, prompt access to coveted properties and the highest level of service and discretion. We offer skilled and authoritative assessment of real estate opportunities, as well as exclusive access to some of the best properties on the market —many of which may never be available to the public on MLS.

Step 1: Ask yourself “why” do I want to buy?

You will want to figure out if a home purchase is really where you are at in life and if so, what will the strategy be to obtain it.

You should think about the type of purchase you need to match your lifestyle and stage of life. This process will include present and future phases.

Type of purchase: Is this home a first time acquisition? Are you a new investor or a seasoned one with a sophisticated diverse portfolio? Are you looking to move into a bigger home to alleviate a growing family or is this a transition from a home to a condo? Would you consider a home that will need light to heavy renovation requirements, or a home that is turnkey and ready to move into?

Lifestyle and Stage of Life: What is the location of the community you are looking to purchase in? People are influenced by neighbourhood affluence, walkability, shopping, restaurants, highway access, schools, day care, public transportation and your commute to work. What are my needs for this stage of my life? Are you empty nesting, retiring, looking for urban living, need to accommodate elderly parents or starting a family?

Step 2: Meet with a Mortgage Specialist

Before starting your home search, it's important to evaluate your financial situation, confirm your budget, familiarize yourself with mortgage options and secure a pre-approval from your lender. This will help you conduct your search with confidence.

Establish a Budget

As a general guideline, total monthly housing costs for your primary home, including mortgage payments, taxes, maintenance fees, insurance, interest charges and utilities, should not exceed 40 per cent of your gross monthly household income.

Confirm your Down payment

If your down payment amount is less than 20 per cent of the total purchase price, you will need to purchase mortgage loan insurance that guarantees the debt against default. In most cases this will be added to the mortgage loan.

Understand the different interest rates

Fixed: A fixed mortgage interest rate is a locked-in rate that will not change for the term of the mortgage.

Variable: A variable rate fluctuates pending market conditions while the mortgage payment itself remains unchanged.

Adjustable Mortgage Interest Rate: With an adjustable rate, both the interest rate and the mortgage payment change based on market conditions.

Open or Closed Mortgages

Closed Mortgage: A closed mortgage cannot be paid off, in whole or in part, before the end of its term. A closed mortgage is a good option if you'd prefer a fixed monthly payment and wish to predict your monthly expenses. However, because there are often penalties or restrictive conditions if you pay an additional amount, a closed mortgage may be a poor choice if you decide to move before the end of the term or if a decrease in interest rates is anticipated.

Open Mortgage: An open mortgage is flexible. You can typically pay off part of it or the entire amount at any time without penalty. This may be a good option if you plan to sell your home in the near future or if you intend to off a large sum of your mortgage loan. Most lenders allow open mortgages to be converted to closed mortgages at any time, though often for a small fee.

Amortization

Amortization is the length of time the entire mortgage debt will be repaid. Many mortgages are amortized over 25 years, but longer periods are available. The longer the amortization, the lower your scheduled mortgage payments, but the more interest you pay in the long run.

Conventional versus High Ratio Mortgages

Conventional Mortgage: A conventional mortgage is a mortgage loan that is equal to, or less than, 80% of the lending value of the property. The lending value is the property's purchase price or market value — whichever is less. For a conventional mortgage, the down payment is at least 20% of the purchase price or market value.

High-ratio Mortgage: If your down payment is less than 20% of the home price, you will typically need a high-ratio mortgage. A high-ratio mortgage usually requires mortgage loan insurance. CMHC is a major provider of mortgage loan insurance. Your lender may add the mortgage loan insurance premium to your mortgage or ask you to pay it in full upon closing.

Mortgage Terms

The term is the length of time that the mortgage contract conditions, including interest rate, are fixed. The term can be from six months up to ten years.

There are generally several term options for a mortgage and it's important to weigh the benefits and costs of each. A longer term (five years, for example) may allow you to plan ahead and protect you from interest rate increases, but may not offer you flexibility, should interest rates fall.

Obtain Pre-Approval

In markets where there is high demand and a low volume of the type of home you wish to purchase, written pre-approval is essential and will give you the competitive edge in securing your desired home. For example, in a scenario where a seller receives two similar offers, one accompanied by a letter that confirms financing preapproval, and another other without supporting documents, the former offer is frequently considered first.

This can be done in person with a specialist, over the phone or online.

For further inquiries please feel free to contact Kendra’s Mortgage Specialist:

Mortgage Agent
Email: erink@dominionlending.ca
Office: 416.690.2181
Mobile: 647.885.6940
Fax: 416.690.3587

Step 3: Meet with Kendra and Define your Goals/Budget

As your representative Kendra believes that it is never her job to tell you what to do, but most importantly her task is to educate and advise you on the latest economic and real estate market trends. Being educated will allow you to feel more confident in your decisions as you go through this assiduous process.

Now that you have been pre-qualified and you know what your budget is, it is time to get together with Kendra. She will go over what the home purchase process looks like so that there are no surprises along the way and you will receive a custom detailed Purchaser Package to take home and use as a reference guide for your exciting journey.

Kendra will discuss market trends, neighbourhoods, time lines, supporting services ie; lawyers/home inspectors, strategy, re-sale aspects and lifestyle requirements that may impact the purchase of your home.

Kendra has Advanced Access to Exclusive Properties.

In some neighbourhoods, homes are sold within days, or even within hours, of being listed on MLS and therefor prompt access to coveted properties is important. She will make this happen. Others are marketed and sold within a real estate company's network without ever being made available to the public. In some cases, she may be able to arrange for advance access to properties that are represented within her professional and company network.

Kendra’s Global Connections

With a network of over 600 offices in 45 countries, Kendra has unparalleled access to the global real estate market. She has the experience to facilitate international real estate transactions and to assist clients who wish to buy Canadian real estate from abroad.

Kendra’s Real Estate Specialization

Kendra assist clients in the purchase of real estate in more than a dozen real estate categories: single-family homes, condos, townhomes and multiplexes, as well as properties that demand specialized knowledge such as waterfront real estate, luxury real estate, golf properties, ski resort properties, rural real estate, vineyards and islands.

Kendra Knows How To Make Your Dream a Reality.

Kendra understands that finding your desired residence with the highest level of service and discretion are the building blocks for a successful purchase. Kendra will be at your side the entire time helping you. And in addition building a lifelong relationship.

Step 4: Conducting Your Home Search

At the end of the initial meeting Kendra will schedule an Orientation Tour. During this outing you will view properties in your desired neighbourhood(s) at the lower, mid and higher end of your price range. It is conducted to allow you to see where your expectations are at in regards to your budget. It will also allow Kendra to become clear on your wants/needs and teach you how to “look” at a house from a buyer’s perspective.

Coinciding with this step, your criteria search will be inputted into the MLS system and you will automatically receive properties that meet your desirable expectations. As you receive properties that you are interested in viewing or would like additional information about, you can send Kendra the MLS number located on the bottom left corner of the picture box. She will set up a viewing time and discuss any concerns she may have pre-seeing the home.

Step 5: Strategizing and Submitting an Offer

In Canada, an offer commits you to legal and contractual obligations as soon as the other party has accepted it. Prior to submitting an offer, Kendra will ensure you are clear on the legal obligations you are undertaking, should the offer be accepted.

Prior to writing an offer-Kendra will get to work on gathering decision making information such as: walkability, schools, day care, amenities, transit, recent area sales, background research such as previous sold price(s), renovations completed by the seller and possible re-sale value.

Most importantly, Kendra will determine the fair market value of the home and present to you a “current market assessment” to determine whether it is “good value” for its listed price or for your budget. Variables that impact the value of a home or property include its location, neighbourhood, community plan, proximity to amenities, lot attributes, views, property size, interior and structural condition, construction type, age, unique features, and the state of the local real estate market.

Factors that will be discussed when strategizing the offer include; other possible competitive bids (this will have a substantial impact on our offer process), the home owners objectives for selling and how many days the property has been on the market.

Details of the offer will typically include; your legal name and that of the vendor, the legal civic address of the property, the price you are offering to pay, inclusions (items in or around the home that are included in the sale should be specifically stated in your offer, such as appliances, lighting fixtures or window coverings), amount of your deposit, the date you take legal and physical possession of the home, legal “conditions” upon which the contract becomes final (such as satisfactory home inspection report or financing approval), and the date the offer expires.

Kendra advises that a professional inspection should be conducted prior to or after submitting your offer.

Step 6: Negotiating the Offer Successfully

After submitting an offer, you should be prepared to negotiate, not just on the initial price, but on all key factors, including deposit, inclusions, date for possession, and deadlines for condition removals. Ensure you know your budget and requirements prior to submitting your offer so you don’t commit to additional costs in the heat of the process.

In high-demand, low-inventory areas, you may find yourself bidding against other buyers. Some sellers in high demand niche markets may also intentionally list their home at a low price hoping to stimulate multiple offers. This doesn’t necessarily mean that the price will be bid up significantly over the asking price, but it does mean that due diligence is required on your part and Kendra’s to ensure the offer you submit is strategic, competitive and reflective of what are ultimately willing to pay for the property.

You can expect one of three responses to your offer: Accepted as is: the deal is complete and once signed by the seller, the offer becomes a binding legal contract.

Counter offer: the seller may make changes to your offer, such as adjustments to the price, closing date or conditions. You may accept the counter offer and close the deal by signing the document. Or, you may make another counter offer back to the seller.

Rejection of the offer: the seller may choose to reject the offer outright. You may re-submit a new offer at this time.

Once both parties come to an agreement, negotiations conclude and you move on to the next step in the buying process. You will have a set period of time in which to satisfy the legal conditions agreed to in your contract, such as completing a satisfactory home inspection report or securing financing. Only after your conditions are removed do you have a legally binding document.

Step 7: Closing the Deal

As this day nears, Kendra will provide you with a Closing Guide for you to reference and will monitor the progress of your transaction to ensure there are no last minute issues that need to be dealt with.

On the day you take possession, you will likely receive the keys to your new home near the end of the business day and they will be available for pick up at your lawyer’s office.

Your lawyer will co-ordinate with the sellers lawyer, the transfer of funds from the lending company, complete necessary documents and register your home at the Land Titles Office in your name.