6
DOWN PAYMENT
In the past it was possible to borrow for a down
payment, with a credit card, for example. This is
no longer possible. That means you need to have
accumulated some savings before getting into this
type of acquisition. If you have an RRSP, it is possible
to use that for your down payment through the
federal government’s Home Buyers’ Plan (HBP).
HOME INSPECTION
You’ve found the house of your dreams, but be careful!
Following through with a decision to buy based
solely on your feelings isn’t the best way to purchase
a home. Have the house inspected before making an
offer to buy, because if your offer is accepted you will
be obligated to follow through with the transaction.
Obviously it is to your advantage to work with a real
estate agent who is subject to real estate law. He or she
works for you and will be able to answer any of your
questions concerning your purchase.
What You Need to Know
buying your new home
TIPS AND FINANCIAL ADVICE
FOR BUYING A HOME
Buying a first home is one of the biggest decisions a
person will make during their lifetime. It is a process
that needs to be followed with careful planning and
consideration, never rushed. Find out everything
you can on the subject of mortgages and home-
buying. For example, you should know that having
a mortgage doesn’t always cost less than renting
because a home owner must take into account both
recurring and one-time expenses, such as municipal
and school taxes, maintenance costs, property
transfer duties, and legal costs. If you have done your
BEFORE
homework and decided to become a home owner,
the next step is to consult a representative at your
financial institution. Once you are clear about your
assets and liabilities, you will be able to estimate
an acceptable debt level. This should not exceed 40
percent of your gross revenue, including all your
existing debts.
