Puchasing First Home

[Guest]

I have just started looking for my first home and was wondering if anyone had any tips on what to look for when im touring a home. Iv looked at three homes already and was interested in two of them, but didnt work out cause I was too late. Its funny when I looked at the two homes that I like they both have been on the market for 6 months and someone comes in and purchases them right before me. Im not big on having a septic tank and a well, but it might come down to that so if anyone has one of them let me know if its worth it. Thanks guys

[BillM]

Get your financing squared away before you even start looking.. Also avoid CMHC fees by putting down 25% or more of the price of the house (This is what I did).. You are also allowed to borrow up to 25k from an RRSP interest free for 15 years (I did this as well).

[glen]

I don't like paying for water and sewer. Get a good inspection before you buy it.

[rob v]

do your homework. KNow what you want. find out what the place is worth (not what they're asking). get your financing in place and know your limits before you go looking. location, location, location. HOME INSPECTION - and not from an inspector referred to you by your real estate agent (esp if the agent is working for the seller too !!). don't be afraid to walk away.

[Guest]

Get your financing squared away before you even start looking.. Also avoid CMHC fees by putting down 25% or more of the price of the house (This is what I did).. You are also allowed to borrow up to 25k from an RRSP interest free for 15 years (I did this as well).

 

 

All those im good with. With the RRSP I can get a home buyers plan but have to pay it back within 15 years. Its pretty sweet that I can do that if not I would have to save a bit more. But you can only qualify for a HBP is you are a first time home buyer and have at least 20% downpayment. Thanks again

[Guest]

do your homework. KNow what you want. find out what the place is worth (not what they're asking). get your financing in place and know your limits before you go looking. location, location, location. HOME INSPECTION - and not from an inspector referred to you by your real estate agent (esp if the agent is working for the seller too !!). don't be afraid to walk away.

 

 

Ya I have been searching for a home inspector on my own cause my dad was saying too that the real estate agent could be working for the agent. They would try and sell me a cardboard box if they could lol.

[woodenboater]

pre approval for financing and in most cases home inspection is a condition I would recommend. do not let yourself get caught in a bidding war beyond the value of the home, it then becomes a matter of winning and beating the other buyers. a good agent will keep you in check.

 

there is no dream home so go for the home that nails most of your wish list.

 

good luck, home ownership can be scary but it's worth the aggravation !

[chris.brock]

I'd rather be on a well/ septic system, then you're not tied to the fees for city water and drainage

 

home ownership is the way to go, renting is money down the toilet

[timmeh]

I would recommend looking at far more houses than 3, unless you're looking in a small area and there aren't many on the market. The more you see the better you'll be able to identify what you like and what you don't.

 

Also think about seeing a place two or three times before putting an offer in. If you find a place you really like, take a few days to think about it, then take a second tour through the house. You'll often notice things (good and bad) that you didn't see the first time. Since you're a first time buyer bring family with you if you can, again always nice to have second opinions.

 

And don't let agents make you feel rushed in any way. Take as much time as you need to feel comfortable.

 

And, as mentioned, get a home inspection, and find the inspector yourself.

[HTHM]

Any final offer is negotiable. Don't allow an agent to pressure you into a deal.

[fish_fishburn]

Looking at homes this time of the year can be tricky. Most home inspectors wont get on a roof to inspect if there is snow on it. Watch for icicles they tell you alot about the insulation value in the attic. 20% down will save you paying CMHC mortgage insurance. First time buyers are also exempt from provincial land transfer tax. Get a good agent, if he/she is just opening doors for you with no imput on what their seeing while looking at homes with you, get a different one.

 

No worries with a septic system and well if everything works and the water quality is good. Get the septic pumped at the Sellers expense if it hasnt been done in the last two years and get a water sample done. Do this yourself with guidance from your Realtor. Make sure your agent does a CMA (comparative market analysis) for you before you put in an offer to show you that the property is priced right. Why pay more than you have too. Sometimes agents will tell a Sellar there house is worth more than it is, to get the listing. And ask lots of questions, even if you think they are dumb. Also ask for an SPIS (seller property information statement) before making an offer, and go over it thoroughly with your agent.

 

Buying a used home is like buying a used car, Buyer Beware. This is where a good agent will save you alot of grief down the road.

[Woodsman]

If on a septic system ensure sewers are not coming to the area or factor the cost in you bid.

In many places once sewers come to the area you are forced to hook up at 15 -20 grand your cost. No option of not hooking in.

Also with a well & septic system ensure everything is up to current code and a bacteria test is good.

The system may have been to code when installed & no longer up to current code. If any work is required on the system the contractor is required to upgrade to current code.

With septic systems there are different types with different upkeep costs. The larger the # of residents the more frequent the service required.

If you have a weeping bed look for trees in the area of the weeping bed. Roots can block off the runs of pipe or tiles.

The newer peat systems require changing out of the peat every so many years.

I walked away from one place last year due to problems with the well/septic system the owner would not address. Needed 10 grand in updates.

[Billy Bob]

Wait until spring if the area's you are looking at have any chance of flooding....Also spring brings out more homes on the market and that's GOOD for a buyer...more housing on the market means a better deal for you..

 

I am against a home inspection, per say....better off taking a friend/family member home owner who has experience in home repairs...home inspectors are over rated IMHO.....my son had one and I seen many things I would have pointed out that he didn't.

 

Edited to add.......

 

Don't know if it's different up in Ontario/Canada...but here the agent is PAID by the seller and thus legally is bound to represent the SELLER not you the buyer...and that's even if it's your agent showing someone else's home...so keep that in mind...the real estate agent has the SELLER'S best interest in mind...but of course that's after his own interest $$$

Edited January 7, 2013 by Billy Bob

[torco]

can't speak to the well/septic part of the debate as I live in a city but definitely take your time and set a reasonable budget given your finances and stick to your plan. I know of some peoples experiences where agents often showed them homes just out of their price range in an effort to up sell.

[I'mHooked]

Don't know if it's different up in Ontario/Canada...but here the agent is PAID by the seller and thus legally is bound to represent the SELLER not you the buyer...and that's even if it's your agent showing someone else's home...so keep that in mind...the real estate agent has the SELLER'S best interest in mind...but of course that's after his own interest $$$

 

It is different in Ontario. The buyers agent is not bound to the seller at all. They do a split of the commission on the selling price of the house, but buying agent only represents the buyer under normal circumstances.

[davew3]

When checking out the house, do your own inspection as well.

 

Check the fuse/breaker box, see if it is labled properly. Check the wiring, copper, aluminum. take a a wall plug tester.

 

Check the furnace, age, rental, owned?

 

Check the water heater, see if there is a service sticker on it.

 

Go up and check the attic yourself, see how much insulation. See if the bathroom has a vent and where does it vent to.

 

Check all basement walls, look for stains.

 

Check all windows and doors for insulation and seal.

 

These are things you can do and don't take much time. And i am sure others can tell you more. I have no experience with septic or such. But my brother in law sure has spent a bundle on his.

 

Good luck.

Edited January 7, 2013 by davew3

[Billy Bob]

In NYS you can get a agent to represent you the buyer....but this is NOT the norm here.....but then you would have to PAY that agent to represent you...much better off having a real estate lawyer represent you on the closing details...

[woodenboater]

For most issues one might not need an inspector but a home inspector (do they have civil engineering backgrounds ?) should/would be able to flag any issues. For example, a member here had wall crack issues which I'm sure most of us wouldn't know the seriousness of beyond it's a crack in the wall. An inspector would be able to warn us of major repair bills so forewarned is forearmed.

 

Set beside the price of a home and potential expenditures, the cost for an inspection is piddly imo.

[lookinforwalleye]

Ya rent a apartment!

[Guest]

Thanks for the info guys. There where things I didnt know that I know now. Just gonna take my time and not get bullied by the agent. Thanks

[captpierre]

Big picture.

 

We are at the start of a housing correction. There is talk of a 25% correction in some areas.

 

I would be in no hurray to buy my first home now.

 

Snoop around to see what you want in a home. # bedrooms/baths

 

proximity to work, schools

 

New vs old. An older home can be a money pit.

 

If you have a boat -where to store. In many subdivisions there are bylaws prohibiting parking on the driveway.

 

I wish I had a wide or double garage door. Can't get my boat in.

[davew3]

Some other things, find out how old the roof is? If you can, go up and walk around looking for weak spots or missing shingles. If there is a garage, make sure it operates correctly.

 

Talk to the neighbours about the community if you can. Moving in beside someone who you feel you won't get along with can be a pain in the butt. Especially if they do not like fishermen or hunters. (boats, atv's)

 

Ask about water pressure, flooding, other services.

 

Good luck.

[adempsey]

If you feel your agent is bullying you it's time for a new agent. They should do nothing but provide information to you, not try to sell you on something.

 

Look at the neighbors yards. If it's full of crap and not maintained, move on. Talking to your potential neighbors is a good idea too.

 

Make sure to ask the agent representing the house about grow-ops and other odd things. I almost bought a house that someone took their life in. The agents typically won't disclose that kind of information unless you ask or really look into the details on paper. Things like that can make it impossible to resell your house.

 

Definitely get an inspector. I don't know how much collusion their is if they are recommended from your agent. You already signed an agreement with your agent so if you're going to buy a house it will happen regardless of what they do. So, they should be honest about it. The bigger problem is the inspectors aren't really regulated and take absolutely no responsibility if they were wrong or miss something.

 

So, as mentioned, educate your self a bit and do your own inspection. Turn on taps, check electrical, look for stains/cracks, loose/curled shingles, etc..

 

Ask about flooding as well. I think their is a way to find out if their has ever been any insurance claims for flooding, but I never did that myself.

 

Some people don't like to live near a lot of electrical lines or cell phone towers as well. So for resale those might be a consideration.

 

 

Good luck!

Edited January 8, 2013 by FishLogic