THINKING ABOUT BUYING A HOME?

Before deciding which house to buy, consider your lifestyle, current and anticipated housing needs and budget. It’s a good idea to create a prioritized list of features you want in your new home; you'll quickly discover finding the right house involves striking a balance between your "must-haves" and your "nice-to-haves."

If you love to cook and entertain, you'll appreciate a well-equipped kitchen with ample cabinets and counter space. If you’re a gardener, you'll want a yard with plenty of space. If you work from home, you’ll need a room that will provide you with adequate workspace. If you have a couple of vehicles, you may require a larger garage. Love outdoor recreation and have an RV, ATV, boat or sled you may require additional storage or yard space. Use this list as your search guide.

Next, think about what you might need in the future, and how long you are likely to live in this particular home. If you're newly married, you might not be concerned with a school district right now, but you could be in a few years. If you want a “mortgage helper”, you may want to look at homes that have legal suites or a side entrance so you can add one in at a later time.

It’s important to think about your new home’s location just as carefully as its features. In addition to considering the distance to work, evaluate what matters to you in terms of services, convenience and accessibility, such as shopping, police and fire protection, medical facilities, school and daycare, traffic and parking, trash and garbage collection, even recreational facilities.
We will discuss where you want to live and what’s most important to you.
You can view available homes on the internet to get an idea of areas you would like to live in, the type of home you would like as well as pricing. As your Realtor®, I will analyze the data, answer questions, share my professional expertise, and handle all the paperwork and legwork that is involved in any real estate transaction. As a CENTURY 21® Fusion professional, in Saskatoon, I can help you narrow your choices by sharing market trends and local information.

TIP: It’s also important to consider the type of home that suits you best. Is it an apartment-style condominium, a townhouse or detached single-family home? Do you want brick, stone, stucco, wood, vinyl siding, or something else? Do you prefer a new home or an older one?

Now that you know what you're looking for, the next step is figuring out what type of home you can afford. A review of your income, savings, monthly expenses and debt will be necessary.

Early in the process, you'll want to get pre-qualified for a mortgage. It enables you to move swiftly when you find the right home, especially when there are other interested buyers. It also indicates to the seller that you are serious and can afford to buy the property. A pre-approval is a simple calculation done by a mortgage lender that tells you the amount you'll be able to finance through a loan and what your monthly payment will be.

The price you can afford to pay for a home will depend on several factors, such as:

• Gross income
• The funds you have available for the down payment, closing costs and cash reserves required by the lender
• Your debt
• Your credit history
• The type of mortgage you select
• Current interest rates

Another figure that lenders use to evaluate how much you can afford is the housing expense-to-income ratio. It is determined by calculating your projected monthly housing expense, which consists of the principal and interest payment, property tax payments and insurance premiums on your new home loan (also known as PITI).

Each buyer is unique, and a mortgage professional can help you find out just what you can afford. Your income and debts will typically play the biggest roles in determining your price range. There is a lot to understand that when it comes to buying a home. The mortgage lender knows that you may have a lot of uncertainties, such as; Do I have enough job history to qualify? Is my credit score high enough? Do I have enough credit history? These are just a few of those burning questions that the majority of Buyers have. The mortgage lender knows the loan process can seem daunting, but they’ll fill in those gaps. Rather than rush a loan out the door, they choose the path of care because they want to help home buyers: “Build wealth through homeownership.”

Buying a home while selling an existing home has its own set of considerations; this section provides expert buying advice and can help you navigate these challenges successfully.

What If You Already Have a Home?

Buying a new home and selling an existing home at the same time has its own set of challenges. With my knowledge and the proper planning, you can be assured everything will go smoothly.
Before putting your house on the market or committing to buying a new one, we will take a look at the prices of houses in the areas where you'll be selling and buying. We will determine a realistic value based on the sale prices for similar houses, so we can assess both your buying and selling position.

What if you're unable to time the sale of one house with the purchase of another? You may not own a home for a period of time, in which case you'll need money in the bank and a temporary place to live. Or, you may own two houses at once. That's why it's important to have a backup plan. Here are some options to consider:

• Research short-term rental and storage options (family, friends, storage facilities, containers).
• Bridge financing (a short-term loan) for the down payment on a new home backed by the equity in your old house.

Buying a Second Home

Buying a second home isn't all that different from buying a first home. Affording it usually depends on your ability to qualify for a mortgage on the second home. A second home could be a getaway for family vacations or holidays, a future retirement home, or having renters making the mortgage payments on your investment.

Keep in mind that if you purchase an investment property, the interest rate on your new mortgage might be slightly higher and your down payment requirements will be higher than a standard mortgage. Work with your lender to create a customized loan program with the best combination of interest rates, and terms that meet your needs.

TIP: A second home can be a good investment. To make the most of the opportunity, be sure you factor in sources for your down payment and monthly expenses (including the costs of maintaining the property).