1. Where to start

Q. I’ve already got a headache, where do I start when buying a home?

A. Buying a home should be an amazing experience. The problem is how to squeeze in time for likely the biggest investment of your life.

The first place you want to start is with figuring out what you can afford – a mortgage pre-approval. Once you’ve determined your dollar range, you can then define what you are looking for in a home.

Do a bit of homework yourself by checking out MLS.ca.
Then turn to a realtor who will work with you to find the appropriate neighborhood.

2. Forever and ever a renter

Q. With all the chatter about how high house prices have risen, there is no way I can afford a home, is there?

A. Of course you can. In the last week we sold a penthouse for $120k, a 2-bedroom home in the Danforth for $230k and a condo in the Queens Quay for $295k. There are always deals to be had. Didn’t your mother tell you to shop around?

Here are some numbers; with a $36,000 income, you can get around a $200k mortgage and $960 monthly payments. With a $48,000 income a $260k mortgage ($1,250) and with $60,000, $320,000 ($1,500).

3. Becoming a landlord, a good thing

Q. My friends brag about their tenants taking care of their mortgage by renting out a suite. What is this about?

A. There are pros and cons to becoming a landlord (i.e. having an extra suite in your home). Remember Mr. Roper from Threes Company? The cons are that you will always be on call. The pros are that your mortgage payments will be paid in part by your tenant ($300k mortgage- $1,500 payments less basement tenant of $750). It all comes down to getting a good tenant.

4. Thoroughness of the home inspection

Q. My basement is backed up with water due to roots in the main pipe. Should my home inspector be responsible for this?

A. No - the home inspection is typically a visual inspection. At the time of inspection, you do not own the house and therefore you are not allowed to do anything that may damage it even for the purpose of inspection.

More to come…