Are you thinking about buying a new home?
The home-buying process can be confusing and difficult without the proper resources, but with the right information, you will be just fine.
By now, you probably know what houses are in your price range and what areas you are interested in buying in. What’s next? Aside from your down payment and mortgage payments that cover the purchase price of your new home, you have to start thinking about closing costs as well.
Closing costs come into play once the purchase of your home is finalized. These costs are different in each province and sometimes even vary city-to-city. It is important to have a good real estate agent or knowledge of the process, mortgage or lender services assistance and lawyer or notary; this way you are aware of all of the financial obligations, rules, regulations and pertinent information.
What are closing costs?
The term ‘closing costs’ is a blanket term for any payments associated with the purchase of the home that aren’t included in the original price, and that come once the purchase is complete.
- Home Inspection Fee
- Appraisal Fee
- Legal costs and disbursements
- Land transfer tax
- GST/New Home Warranty
- Mortgage Application and Processing Fees
- Down payment
A top-to-bottom inspection of the house to make sure it is up to scratch before you make your purchase.
Professional opinion on the market value of the home.
Examples include home insurance, fire insurance, or other insurance costs protecting your assets from unforeseen damage.
To protect your legal interests and out of pocket fees for searches, registrations, etc.
Also known as land registration fees. This cost varies by province.
If you are buying a new home, you may be obligated to pay these costs.
Insurer charges a fee to process the application.
Around 20% of the purchase price.
We offer more detailed information on our website that will provide you with a more in-depth look into the cost associated with buying a home, read more here.
The costs for many of these services range by province and by the level of service provided – start early and get estimates from the companies you can so you know what will be coming out of your bank account. The dedicated staff at Northwood Mortgage™ provide stability, savings and service. Contact us to find out more information or to book a consultation.