Why do you want to buy a home?
- You want to invest in something that you hope will be worth more some day.
- You like the home, its location, size, or neighbourhood.
- You want to own, not rent.
Be a smart investor and do your homework before you buy. You'll be less likely to end up with something you can't afford, or that isn't worth what you pay for it.
Five steps to buying a home
- Before you start looking, decide how much you can afford to spend. If you aren?t sure, get advice from your financial institution or your real estate agent.
- Plan how you'll save for your down payment.
- Set up a loan to pay for your home even before you start to look. This is called a pre-approved mortgage.
- Remember that interest rates go up and down. You can?t always predict what's going to happen in the short term.
- Know all the costs. Talk to your lawyer and a home inspector or a real estate agent. They can advise you on all aspects of buying a home, including all of the costs. An inspector can make sure the home is in good shape, with no surprise repairs coming soon.
Remember: Buying a home is a big move
Most people think buying a home is one of the best things they can do with their savings. Make sure you invest wisely.
Content in this section is provided in partnership with the Investor Education Fund, a non-profit organization promoting financial literacy to Canadians. To find out more go to GetSmarterAboutMoney.ca.
