Buying a home is one of the biggest investments that you will make in your lifetime. There are costs that you will need to budget for that are sometimes overlooked in purchasing your home.
- Down Payment – The down payment is the dollar difference between the purchase price and the amount of your mortgage on your home. To receive a conventional mortgage, you will need to put down 20% percentage of the purchase price. A conventional mortgage will provide you the best mortgage rate possible based on your credit worthiness.
- Home Inspection – The home inspection will ensure that you are aware of any deficiencies in the home and is well worth the $300-$500 it will cost you
- Land Transfer Fees –Land transfer tax varies across Canada. In Toronto you pay a provincial land transfer tax and a Toronto land transfer tax. This link provides a calculator for those buying a home in Toronto. http://www.torontorealestateboard.com/buying/LTT_calculator/ltt_calculator.htm
- Legal Fees – You will need a lawyer to close your home. He will review the offer, handle the mortgage and do a title search and register a new title.
- Appraisal Fees– If you are taking out a loan, the lender will want to ensure that you are not borrowing more than the home is worth. This generally will cost approximately $200.
Do you need knowledgeable advice? Let me help you ensure that the purchase or sales of your home is a success. You can reach me at www.thompsonsells.com