Anshu Arora LLM, MSc, PMP

Cell 604-828-7331 | yourbcagent@gmail.com

Ready to Buy?

When it comes to buying a home, many Canadians need to borrow money to pay for it, and they don’t usually pay for the full cost of the home all at once. Most Canadians finance the purchase of a new home in two steps:

1)    They make an initial down payment on the house using money they’ve saved.

2)    They borrow funds from a lender (such as a bank), then make regular payments to pay off the mortgage.


Benefits of Home Ownership?

You Build Equity Every Month

Your equity in your home is the amount of money you can sell it for minus what you still owe on it. Every month you make a mortgage payment, and every month a portion of what you pay reduces the amount you owe.  That reduction of your mortgage every month increases your equity.


A Mortgage is Like a Forced Savings Plan

Paying that mortgage every month and reducing the amount of your principal is like a forced savings plan. Each month you are building up more valuable equity in your home. In a sense, you are being forced to save—and that’s a good thing.


Long Term, Buying Is Cheaper than Renting

In the first few years, it may be cheaper to rent. But over time, as the interest portion of your mortgage payment decreases, the interest that you pay will eventually be lower than the rent you would have been paying. But more importantly, you are not throwing away all that money on rent. You gotta live someplace, so instead of paying off your landlord’s home or building, pay off your own!


What Can You Afford?

If you haven't already gone through the mortgage pre-qualification process, you will need to meet with a lender or mortgage broker. They will establish how much of a mortgage you will qualify for. Mortgage rates vary considerably and it is paramount that you shop around for the best rate, terms and options.


Fine Balance between NEEDS Vs. WANTS

Needs

Adequate square footage for comfortable living.
Sufficient bedrooms for your family
Sufficient bathrooms
Comfortable eat-in kitchen
Garage or basement for storage needs
Backyard for children’s play area
Easy access to school


Wants

Specific flooring, paint, exterior color
Pool
Jacuzzi
Bay windows
Built-in entertainment center
Brass lighting fixtures
Skylights


I will find you a home that includes all of your Needs, and as many Wants as possible, while remaining within your budget!


 

Home Purchase Expenses

 

In addition to the downpayment, there are some additional costs that are incurred, such as

 

 Legal Fees & Disbursements

 GST (if applicable)

 Property Transfer Tax

 Property taxes and adjustments

 Home Inspection Fee

 Survey Fee

 Appraisal Fee

 Mortgage Loan Insurance Premium (if less than 20% down)

 Moving Expenses


For more information on Grants and Rebates for Property Owners and Buyers, visit Real Estate Board of Greater Vancouver



Reciprocity Logo The data relating to real estate on this website comes in part from the MLS® Reciprocity program of either the Greater Vancouver REALTORS® (GVR), the Fraser Valley Real Estate Board (FVREB) or the Chilliwack and District Real Estate Board (CADREB). Real estate listings held by participating real estate firms are marked with the MLS® logo and detailed information about the listing includes the name of the listing agent. This representation is based in whole or part on data generated by either the GVR, the FVREB or the CADREB which assumes no responsibility for its accuracy. The materials contained on this page may not be reproduced without the express written consent of either the GVR, the FVREB or the CADREB.