Every listed home should meet the basic expectations of any buyer; it should have a sound roof, functioning gutters and downspouts, foundation without cracks, functioning heating and/or air-conditioning system, solid subflooring, and safe and secure electrical wiring. With financer-mandated home inspections, any shortcomings may be require to be remedied to get buyer financing approval.
Houses for sale in Ottawa are sometimes priced lower than market value, which means they have more buyers looking at the house (even buyers who can’t afford it). This is creating bidding wars between buyers and ultimately leading to an over asking sales price. Your real estate agent can help guide you through this elaborate offer process.
It is important to understand that the market value of a home is determined by the prices of comparable homes recently sold in the area. Always ask your real estate professional which areas are more desirable and why. This can help you choose how much you want to spend on your home. Here are other things/costs to keep in mind during the home buying process.
Closing Costs?
Before making a home purchase there are many things to consider, hidden fees are one of them. Here is a list of closing costs you may expect:
- Appraisal Fees
- Inspection Fees
- Lawyer Fees
- Land Transfer Taxes
Extra Costs?
There are also ongoing costs associated with owning a home. Some of these costs include the following:
- Property Taxes – These depend on the location and size of the property.
- Maintenance and Repairs – Things like the roof, furnace, and A/C are more costly repairs for a home, but you also have to keep in mind all the small repairs throughout the year
- Home Insurance – This is sometimes bundled in with your mortgage payment
Do You Have a Mortgage Broker?
Having a reliable mortgage broker is extremely beneficial when it comes to finding the best rate for your mortgage and can take a lot of the stress out of the buying process.
How Much do Utilities Cost?
Utilities can vary a lot from house to house, do some research on the property you want to purchase so there are no surprising charges. These are some (not all) of the utility costs you may expect:
- Electricity
- Gas
- Water/Sewer
- Trash/Recycling
- Telecommunications (internet, cable, phone, etc)
The best way to get an estimate is to ask your real estate agent to ask the Sellers what they pay. Otherwise, you can contact the providers for each cost.
After speaking to your mortgage broker, they will be able to tell you what you can afford to buy. This is when you can start your search! When looking for homes there are the basics that you want to know about each home. Your real estate agent will be able to give you information to any questions you may have.
Buying a home is more than simply entering a google search for “Homes for sale near me. Listed below are all questions you and your agent should ask for any homes of interest:
Are there any problems currently with the house? Have there been any in the past?
Leaks, foundation cracks, roofing issues, etc. should all be relayed to a serious buyer.
How old is the roof, A/C, furnace, windows?
These three things are the most costly to replace, having them recently updated would mean that you don’t have to worry about that extra cost for a while.
Have there been any improvements to the home?
Additions and improvements usually bring value to the home. Sometimes it brings more value to the Sellers than Buyers.
What is the heating system?
A modern heating system is more appealing to buyers, natural gas and forced air.
Are there any safety hazards?
Mold, pests, poor air quality, etc., can all devalue a home, and are certainly not a selling feature.
Is the home still under Tarion Warranty?
Tarion Warranty is a new build home warranty program. You can expect to be covered (for certain things) up until a certain number of years.
Is the home stigmatized?
Has someone passed away in the home? Has someone grown marijuana in the house? These are both examples of stigmas of a house, things that devalue a house.
How is the neighbourhood? Crime rates?
Always look online and ask your agent about the neighbourhood and crime rates.
A real estate professional can help you navigate the purchase of your home, answer any questions, and alleviate some of the stress that comes with this investment.
