Prequalification vs. Preapproval: What’s the Difference?

• Prequalification gives you a general idea of what you might afford, based on your finances and credit score.

• Preapproval is more detailed. Your lender reviews your financial situation and provides a letter confirming how much you can borrow, often locking in your interest rate for a limited time.

Mortgage Brokers: Your Financing Ally

A mortgage broker acts as a matchmaker between you and lenders, such as banks or credit unions. They handle the paperwork and shop around for the best deal. The best part? You don’t pay them—the lenders do!

Understanding Your Mortgage: Amortization and Term

When it comes to mortgages, here are the basics:

• Amortization is the total number of years you’ll take to pay off your mortgage. Most people choose 20–25 years, though first-time buyers may qualify for 30 years under certain conditions.

• Term refers to how long your interest rate is locked in, usually for 5 years or less. Longer terms provide stability but often come with slightly higher interest rates.

You’ll also choose between:

• Variable Rate: Payments stay consistent, but the interest rate fluctuates. You can often lock in the rate if it begins to rise.

• Fixed Rate: Payments and interest stay the same for the entire term, giving you peace of mind.

And decide on:

• Closed Mortgage: Offers lower rates but limits extra payments and comes with penalties for early payoff.

• Open Mortgage: Higher rates but complete flexibility to pay off or refinance without penalties.

Home Inspection: Your Property’s Check-Up

Always include a home inspection as a condition in your offer. A professional inspector will thoroughly examine the property—from the roof and foundation to plumbing and electrical systems—and provide a detailed report. If major issues are found, you may have room to negotiate with the seller.

Conditional Offers: Covering Your Bases

Conditional offers include terms like securing financing, home inspections, or final walkthroughs. Your real estate agent will help you craft these conditions to protect your interests.

Deposit: Your First Move in Buying a Home

The deposit is your way of showing the seller you’re serious about buying their property. It’s part of the offer process and acts as a sign of good faith. You can pay it using a certified cheque, bank draft, or e-transfer (but remember, your bank may have daily limits for transfers).

When you make an offer—through an Agreement of Purchase and Sale prepared by your real estate salesperson—you’ll usually provide the deposit within 24 hours of the seller accepting your offer or on a date both parties agree on. There’s no strict rule for how much your deposit should be, but a larger deposit can make your offer more attractive to the seller. It shows you’re committed to moving forward with the purchase.

Homeowner’s Insurance: Protecting Your Investment

Before closing, arrange insurance for your new home. Insurers will ask about the roof’s age, furnace, plumbing, and more. Use your home inspection report to gather these details and shop around for the best rates.

Appraisal vs. Evaluation: What You Need to Know

• Appraisal: Conducted by a licensed professional to provide a formal valuation required by your lender.

• Evaluation: Done by your real estate agent using recent sales data. It’s less formal and not typically accepted by lenders but helps guide your offer price.

Appreciation vs. Depreciation: Your Investment Over Time

• Appreciation: Your home’s value increases due to market conditions, upgrades, or maintenance.

• Depreciation: Your home’s value decreases, often in a buyer’s market or if maintenance is neglected.

Land Transfer Tax: The Hidden Cost

When buying property, land transfer tax is unavoidable unless you are a first-time home buyer. The amount you pay is based on a percentage of the home’s purchase price and is due on closing day. Since this cost isn’t rolled into your mortgage, be sure to have extra cash on hand to cover it.

Down Payment: The Key to Closing

Your down payment is the lump sum you pay on closing day to finalize the deal. It’s separate from the deposit and your lawyer will require proof from your financial institution.

If your down payment is less than 20% of the home’s purchase price, you’ll need mortgage default insurance. This insurance is typically provided by the Canadian Mortgage and Housing Corporation (CMHC) or private companies like Sagen or Guaranty. The cost is added to your mortgage payments and protects the lender if you default.

If you’re putting down 20% or more, you can avoid this insurance, which saves you money. A greater down payment can increase your buying power somewhat.

Closing Costs: Budgeting for the Final Stretch

Closing costs cover legal fees, title insurance, property adjustments, land transfer tax, and more. These fees are paid on closing day and typically range from 1–4% of the home’s purchase price. Plan ahead to avoid surprises.

Your Real Estate Lawyer: Closing the Deal

Your lawyer ensures the property title is clear and checks for liens. They’ll also guide you through title insurance, which protects you from ownership disputes. Title insurance is a one-time fee included in your closing costs.

Final Steps and Beyond

On closing day, your lawyer will transfer funds and paperwork. Once everything is complete, you’ll receive your keys or lock code. Congratulations—you’re officially a homeowner!

Now the real adventure begins…..Welcome Home!

What to Look for in a Real Estate Agent

After years of working shift work as a nurse, I’m excited to share that I am now a licensed real estate agent! My journey in real estate began in 1996 when we bought our first home just before welcoming our youngest son. Since then, my family and I have bought and sold several houses, and I’ve loved every moment of the hunt for new places and preparing each home for listing.

I vividly remember one house that took a while to sell due to a flat market. We had countless showings, and each time we packed up our dog, Meg, her mat, and bowls, heading out the door anxiously awaiting feedback. Anyone who knows me understands that I thrive on solving problems. I wanted to know what we could do to make our home more appealing. Ultimately, it was a waiting game, but when we finally received an offer from a lovely family, we suddenly had just five weeks to find our next home! The search was stressful but rewarding, and three years later, we found ourselves selling again to buy a fixer-upper in the country.

Expectations of Your Real Estate Agent

As both a buyer and seller, you have certain expectations of your real estate agent. It’s essential to understand that real estate agents undergo rigorous training and must comply with laws and regulations designed to protect clients and ensure fair negotiations.

Communication is Crucial

One of the most important qualities to look for in a real estate agent is communication. I’ll never forget a time when we showed up for a walk-through of a property only to find our realtor had forgotten to schedule it. Thankfully, we were able to reschedule, but it highlighted how vital timely communication is in real estate. As your agent, I’m committed to being responsive. Your calls, texts, and emails will be answered promptly because I understand that waiting can be challenging.

Navigating the Buying Process

Buying a home involves many considerations: What is your budget? Do you have mortgage pre-approval? How will your monthly expenses change with a new home? There are so many factors to think about, from taxes and insurance to upkeep and renovations. I’ll help you navigate these decisions and prepare for the unexpected—like a broken hot water tank or the need for new furniture.

Skilled Negotiation

Whether you’re making an offer on a property or receiving offers on your listing, I’ll be there to guide you through negotiations. Every real estate agent is required to adhere to the guidelines set by the Real Estate Council of Ontario (RECO). Together, we’ll review the RECO information guide, which outlines your rights as a client and what you can expect from me as your agent.

If you’re selling your home, I’ll help you assess comparable properties to determine a competitive listing price. We’ll consider market conditions, the unique features of your home, and your timeline for selling.

Professional Presentation

When it comes to listing your property, presentation matters. I’ll ensure your home is showcased beautifully, whether through professional photography or high-quality images taken with my camera. I can offer suggestions for decluttering, staging, and maximizing natural light to make your home as appealing as possible to potential buyers.

Let’s Make Your Real Estate Journey Smooth

Whether you’re thinking about selling your current home or planning to purchase a new one, I’m here to help every step of the way. My goal is to protect and promote your best interests, ensuring you feel confident in your decisions. If you have any questions or are ready to start this exciting journey, don’t hesitate to reach out!

Renovation Adventure

In August 2021, we decided to sell our perfectly good newer house and move out of town to a large lot with a house built in 1971. It is a well built house but needed some updating and that’s where we came in!

City Home

Country House

We were up for a Renovation Adventure! (or so we thought!)  Chalk it up to watching too much HGTV, I guess. I had a firm vision of what I wanted in this bungalow-white kitchen, updated bathroom, ensuite, farmhouse style—you get the picture. 😊

Immediately upon moving in, we began the “tear down” process and learned Lesson One—Don’t live in a house you are renovating.

We decided to tackle the Primary suite and kitchen at the same time. (I’m a bit impatient when I have an idea)  The third bedroom was taken down to the studs and closets in the primary and the third bedroom were ripped out. Our plan was to make an ensuite in that third bedroom.

Third Bedroom —would become our Primary Ensuite…eventually. 

Our dream included a large walk-in shower, double vanity and a soaker tub but the room just wasn’t big enough so my soaker tube was quickly eliminated. If you have ever done a renovation, you will know what I mean when I say the process seemed painfully slow. We gradually saw the rooms take shape.

We added a “walk through” closet between the Primary Bedroom and Ensuite. IKEA PAX is a fantastic system! Once the drywall was up, we painted the bathroom, closet and bedroom. New luxury vinyl plank was installed throughout the main floor. I like the continuity from room to room. 

My favourite parts are the finishes where I can add some personality and farmhouse feel that I love.

I found a discounted dual sink bathroom vanity at our local Home Depot which I was excited about! (Who doesn’t love a good deal?) I love the look of black fixtures with the white throughout the bathroom.Then I added towers from IKEA on each side allowing me to use baskets for storage.  One of my favourite things about this bathroom is the way the sun bathes the room in light early in the morning.

We painted our Primary Bedroom the same creamy white (Alabaster from Benjamin Moore). I plan to add some colour with fresh paint but at the time it was just easier to paint everything the same white. Doing a whole home renovation means a lot of decisions to make! 

We love our Primary Suite! I still have plans for an accent wall behind the bed-a perfect winter project! 

These rooms gave us a little bit of quiet away from the chaos as our renovations continued!