Step 2 - Starting our search
Now that we know your budget, we can start looking for a property. Most people at this stage have already begun looking online and have an idea of what they like. The more you can tell me, the better. It may help to write down and separate the "must haves" from the "want to haves". If you have no idea where to start looking, that's alright, I'll show you different areas that I think would fit your lifestyle or investment plan, and work within your budget.
Step 3 - Writing an offer / contract of purchase and sale
Once we've found the property you like, it's time to put a contract together and submit an offer to the sellers.
Offers can either be accepted, rejected, or countered.
For more information on the Contract of Purchase and Sale, click the video below.
Step 4 - Accepted Offer
An accepted offer means that both you (the buyers) and the sellers have agreed to the contract.
In most cases, this doesn't mean you've purchased the home just yet. It instead means that the sellers cannot sell it to anyone else except you for a certain amount of time. Generally this will be 5 to 7 days, but can be much shorter or much longer.
Step 5 - Subject Removal Period
Now that our offer has been accepted, it's time to work on removing our subjects. In the contract I've added terms like "Subject to Financing", and "Subject to Property Inspection".
These subjects are what protect you and allow us to do our research before you actually pay for the property. If there is something we find that doesn't work for you, this is our opportunity to back out of the contract.
For Example, "subject to financing" means that we need to ensure your bank or lender will provide the funds for you to close on this purchase. Once we know that they will, we can remove this subject.
Step 6 - officially sold
If everything looks great and all subjects can be removed, we'll sign the last documents to officially sell the property.
On the same day we sign this document, I'll need your deposit which is typically worth 5% of the purchase price. The other 95% of the purchase price will get paid on the completion date.
Step 7 - Completion and possession dates
Your completion day is the day that your lawyer files the paperwork to officially transfer the Title of the property from the sellers name to your name. It is also the day that your mortgage will start. Typically, completion is a day or two before possession.
The Possession day is the day you officially get the keys to your new property.
A step-by-step guide
to purchasing Real estate
Step 1 - Financing
The first step to purchasing Real Estate is to get pre-approved for a mortgage. Pre-approval will tell us what our budget is, and will allow us to write an offer on any property that we find.
To get pre-approved you can either book an appointment with your bank, or work with a mortgage broker. A mortgage broker is someone who will help you shop for the best deal. They’ll compare different banks/lenders to find you the lowest and best possible rate. They also aim to get you the highest budget possible that works with your finances.
Message me directly for recommendations on Mortgage Brokers.
* The content on this web site is provided for general information purposes only and does not constitute legal or other professional advice