Real Estate Blog

10 Most Common Questions Home Buyers Ask – Answered!

Buying a home is a thrilling yet complex journey, whether you're a first-time buyer or a seasoned investor. To help you navigate this process with ease, we've compiled the 10 most frequently asked questions by home buyers and provided expert insights based on over 15 years of experience in the real estate industry.

1. When is the Best Time to Buy a Home?

There’s no definitive "best" time to buy a home. While less competition and lower prices might be found in winter, inventory is often limited. The right time to buy is when you’re financially prepared and find a home that meets your needs and budget. Work closely with your agent to be ready to act swiftly when the perfect property appears.

2. How Much Should I Save for a Downpayment?

For first-time buyers, a minimum of 5% of the home’s purchase price is required. If you put down less than 20%, you’ll need mortgage insurance. For subsequent home purchases, a 20% downpayment is typically required. Additionally, factor in costs like legal fees and closing expenses. For example, on a $932,629 home, a first-time buyer's downpayment would be around $46,631, while 20% would be $186,525.

3. What are the Closing Costs?

Closing costs generally range between $16,000-$17,000 on a $925,000 home, excluding first-time buyer rebates. These include:

• Legal Fees: $1,500 for a real estate lawyer.

• Home Inspection: $400-$600 to ensure the property’s condition.

• Title Insurance: Around $400 to protect against fraud and unforeseen issues.

• Land Transfer Tax: Approximately $15,000, though rebates are available for first-time buyers.

Remember to budget for moving costs, utility setup fees, and any new furniture.

4. What’s the First Step in Buying a Home?

Your first step should be to connect with us, as through our RSVP (Rocca Sisters Valued Partners), we can connect you to everything you need including consulting a mortgage agent. This helps set realistic expectations for your budget and financing options. With a clear financial plan, you can focus on finding homes within your price range and avoid the disappointment of unreachable offers.

5. How Does a Realtor Help?

A realtor provides invaluable guidance, from finding suitable properties to negotiating offers. They act in your best interest, helping you navigate the buying process smoothly and efficiently. When you choose a trusted team like ours, you gain not just an agent but a lifelong partner in your real estate journey.

6. Can I Buy and Sell My Home at the Same Time?

Simultaneously buying and selling can be done, but experience is necessary to orchestrate this.We are here to help you explore your options. In some cases, you may need to sell your current home before buying a new one to meet lender requirements.

7. Should I Get a Home Inspection?

We highly recommend getting a home inspection with some properties. It can reveal critical issues that might influence your decision. With some properties it may not be necessary or sometimes a “mini inspection” in a competitive environment is the best way to go. We can help guide you through this based on your individual situation.

8. What If I Change My Mind About a Home?

Backing out after signing an offer is possible but could cost you the deposit and potentially lead to legal consequences. Sellers may sue for damages. It's crucial to be certain before committing to an offer.

9. How Do I Know If I’m Ready to Buy a Home?

You’re ready to buy if:

• You have saved enough for the downpayment and closing costs.

• You’re financially secure to cover mortgage payments and have an emergency fund.

• You’ve partnered with the best team in town and we’ve helped you through a buyer's needs analysis.

10. Should I Buy Instead of Rent?

In many cases, buying can be more financially beneficial than renting, especially when mortgage payments are comparable to rent. However, the main barrier is often the downpayment. With a solid savings plan and guidance from a mortgage agent, transitioning from renting to owning is attainable when the time is right.

Ready to embark on your home buying journey? Our team is here to support you every step of the way. Contact us to start your home search with confidence and ease. If you want to know more about our buyers journey & needs analysis contact us for a chat today! 905.335.4102 | info@roccasisters.ca