Buying a Home in Pickering and Ajax, Ontario

Buyers Info

Buying a home in Pickering & Ajax house and dollar sign

You have found the first page of many pages and articles that will explain the entire buying process to you in detail.

In the pages that follow I will explain to you the costs of buying a home, the complete buying process, the emotional issues of home ownership, explain buyer agency, how to use your RSP’s when you purchase, show you many mortgage calculators, school considerations, best time of year to buy your next home, secrets and insight into buying your next home and more.  Or, maybe you are ready to begin your home search now

Before you get wrapped up in the excitement of buying a home, you need to prepare for things you may run up against in the mortgage application process. Following the steps below could save you tens of thousands of dollars or even mean the difference in whether you can buy your dream home or not.

1. Do – Pull Your own Credit from all 3 Bureaus and review thoroughly. Be sure and look at any public records like judgments, bankruptcies and tax liens. Sadly, many companies are quick to add negative items to your credit report but are slow to reflect the fact that you have satisfied them.

2. Do – Challenge and have any errors corrected on your report on ALL 3 bureaus. You can do this through the three bureau’s websites. They are www.transunion.com, www.equifax.com, and http://www.experian.com.

3. Do – Put together a budget to figure out how much house payment you can afford. Be sure and include 1/12th of your annual taxes and property insurance. Also, be sure and consider how you would cope if you had a drop in income such as one spouse loosing a job. Just because a lender or mortgage broker says you qualify for X price home does not mean you should buy a home at this price.

4. Do – Think about your needs and don’t get caught up in buying a home just to ‘keep up with the Jones’. As a part of this evaluation be sure and consider 1) School systems, 2) Commute time, 3) How quickly the home would sell if you had to sell it quickly, and 4) Any money needed to fix up the home to suit your needs, particularly if you borrow all or nearly all of the purchase price.

5. Don’t – Borrow significant money right before you buy a home. This includes cars, credit cards and personal loans. If you just have to buy a car, wait until after you buy the home. The extra debt can cause you to qualify for less home than you would without the debt. I can’t tell you how many people that could not qualify for the price home they wanted because of a recent car purchase. Deciding to buy a cheaper car after you bought a new home is far better than the other way around as a car depreciates dramatically and most homes increase in value. Plus you should get a tax deduction on the interest.

6. Don’t – Change from being salaried (W2) to being self employed at least a year and in most cases 2 years before trying to get a mortgage to buy a home.

7. Don’t – Pay off old judgments or old collections to try to improve your credit score. Often times this will LOWER your scores. If the lender requires you to pay these off or you just want to pay them off, you can do it during or just before or after closing on your home.

Planning ahead when buying a home can make the process much smoother, less stressful and save you a lot of money. Happy house hunting!

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Real Estate Slowdown? Where?

So all I have heard from the media lately is …. Housing market is going to flatline (National Post),  Housing market shows signs of cooling (CTV),  Housing market slows, Numbers are down, etc.  You are starting to get my drift !!

Don't know what to do?

Real Estate is healthy.

Well, I eat, breathe, sleep real estate and all I can say is: WHERE???  This sure isn’t happening in Durham Region or in the east end of GTA.   I can only speak of what I see and what I know.  I heard the President of CREA last week speaking at a Leadership Conference I was in and she used a line that stuck in my head. “Is this what you THINK or is this what you KNOW?”   And it is very true.

People run around saying all kinds of negative things and yet all the buyers I have that find the house they like, usually end up in multiple offers.  It is happening everyday.  SO?  I ask you – where is all this negativity coming from ???

Interest rates are at an all time low !  I remember in 1989 my mortgage was 18%…so let’s stop with all this “end of the real estate market” as we know it.  House prices are still 2-5% higher than last year and if the home is presented properly, it SELLS in a minimum amount of time.

Don’t feed the negative frenzy.  Agents are looking for listings because we have buyers and not enough good inventory out there.  If you want to sell you home quickly, do your homework.  Clean, fresh, less clutter, a good agent and comparable market price and you won’t have a problem.

So if you are thinking on buying or selling your home, don’t listen to all this nonsense.  It seems whenever the media has a slow day, they pick on real estate.  LOL  🙂

Real estate STILL IS and ALWAYS WILL BE your best investment.  Ask your parents, or think about 20 years ago if you knew then what you know now !!    The rate of  return is second to none !!  Ok, my rant is over !!

On that note, if you are thinking of buying or selling an want a candid honest opinion, I would be happy to come by and meet you and discuss it.

Have a super day !  Cheers xo

Thinking on Selling It On Your Own?

14 IMPORTANT FACTS TO CONSIDER BEFORE YOU TRY TO SELL YOUR OWN HOME

Lately, we see quite a few “For Sale By Owner” signs, and some owners think that selling their own home will not only save them money an commission, but believe they have an advantage over the sellers that have their home listed by a reputable Real Estate sales professional. Before you decide to take on this very important and legally complicated process…remember not even most Real Estate Lawyer’s recommend selling your own home yourself in today’s market. Here are a few of the reasons why:

1. You are limiting your exposure to potential buyers (less than 10% of what a good real estate broker will generate) which theoretically means your home will take ten to fifteen times longer to sell on the market.

2. The longer a home is on the market the lower the selling price is. Why? Because most buyers think that if the home has not sold after this long… there must be something wrong with the home.

3. The selling/buying process begins AFTER the buyer leaves your home. Most sellers think that all it takes is for someone to see their home, fall in love with the great decor… and the offer automatically will follow. Remember that the buying process begins after they leave your home. If a real estate sales representative does not represent the buyer, and they are looking on their own…they usually leave the home and start to talk themselves out of the buying process. Real estate professionals are trained on how to overcome buyers remorse–a very common occurrence.

4. Because of the limited exposure you will very likely end up with a lower selling price. Remember, in order to generate the highest price possible for your home… selling means exposure. You need the maximum exposure possible, to generate the highest price possible. Realtors have access to local newspaper ads, company ads, company/franchise websites, interactive websites with other Realtors, contracts with various web providers and TV, so you can have your home on Real Estate Channel, You Tube etc. 

5. Most buyers find it extremely awkward to negotiate or even to talk directly with sellers and therefore avoid FSBO properties.

6. Lack of negotiating experience and lack of pertinent information often will result in a lower selling price, or worse yet, a bungled contract and possible lawsuits.

7. The majority of qualified buyers are working with experienced real estate professionals.

8. Many serious buyers will pass by a FSBO home merely because they recognize that it is not in the real estate mainstream, this can some times make them wary.

9. As most local buyers now retain an experienced real estate sales person to represent them as their buyer-agency, you will probably be negotiating against an experienced professional.

10. Expected savings in broker’s fees will also be greatly reduced if you offer a selling commission to entice real estate sales representatives to bring potential buyers.

11. If you are planning to use a Lawyer to help you negotiate the offer, then your lawyer’s fees will be considerably higher.

12. Only real estate sales representatives have access to the up-to-date market information. News reports cannot approach the timeliness or specificity available to real estate sales people. Further, real estate sales representatives are involved in home sales much more frequently than the average homeowner is. This familiarity leads to a degree of expertise that provides an edge on negotiating and successful selling.

13. You only pay the commission to the real estate broker, if they successfully sell your home at the price you are happy with.

14. Accepting an offer is one thing, ensuring a safe and successful closing is quite another. Real estate transactions usually always have problems on closing. At times, expecting the Buyers and Sellers Lawyer’s to fight it out or resolve the problems, can sometimes mean the deal is lost. This is the time that your experienced real estate professional, can be the most important. Your Real Estate professional can act as a great mediator. Lawyers MUST act only on their client’s instructions and are not paid to negotiate.

Selling Your Ajax Home
Michelle Makos gets results !

This is not to say selling your home on your own cannot be done !   But for the most part, people do not want the added stress and worry.  There is also a huge issue with security.  As a private seller, do you know who you are leeting into your home?   When agents show your home, they are bonded and usually the people they are showing the homes to are qualified.

I wish everyone well who thinks selling a home is easy…. I personally take a lot of pride in my profession and feel that I work very hard for my sellers.   If you decide, you would like to have a reputable real estate agent represent you in the sale of your home, please give me a call.  I would be happy to meet with you and discuss what a professional Realtor can bring to the table.

It isnt just posting your home on MLS.   There is a lot more that give your home the extra exposure you need to sell it faster and for more money !   Hopefully one day, I get the opportunity to show you what I can do for you !  Call me, no obligation.  Michelle Makos  905-831-3300