Q: I've got too much debt!   I can't afford a home yet!

A: Part of your eligibility for a mortgage is based on your Gross Debt Service (GDS) or Total Debt Service (TDS).   Your monthly obligations (mortgage, taxes, loans, car payments, etc.) are considered against your monthly income.   Depending on the lender, these ratios can vary from 28% to 42%.   So the amount of debt you have isn't relevant, it's how much your payments are!

Q: If I want to buy a home, how much commission do I have to pay?

A: None!   In most cases, commission is paid to the seller's brokerage, and a percentage of that amount is paid to buyer's brokerage.  In certain cases, the seller may not be willing to pay commission to the buyer's agent.  This will always be disclosed in advance on the Confirmation of Co-operation and Representation, which spells out not only how each party is represented in a transaction, but also how the brokerage (or brokerages) is getting paid.

Q: What kind of expenses should I expect once the deal closes?

A: A real estate lawyer is a crucial part of the process.   Fees differ between firms, so you'll have to get a quote when the time comes.   You should plan on paying no less than $1000 and not much more than $1500, depending on the transaction.

Use this link to calculate the Land Transfer Tax for the price range you're considering. Keep in mind that first time buyers get up to $2000 off the LTT (or up to $227,500 without paying the tax.)

A home inspection is very important as well, and usually cost around $350 plus HST.

You may also have to take care of adjustments for property taxes and filling the oil tank, depending on the property and time of year.

Other considerations, for both buyers and sellers:
- Moving costs
- If you're buying a condo, it will cost $100 plus HST to request the status certificate
- Pre-listing home inspections
- Staging (we'll take care of the consultation fee, you can decide how much of the work suggested you care to take on)
- CHMC fees (added to your mortgage)
- Tarion Enrolment (new homes only)

Part of my obligation to buyers and sellers is to make them aware of all costs related to a transaction - we will discuss them with you when we begin working together, and put together a final and more accurate number when we have an offer.

Q: What's this I hear about a home inspector?   I'm pretty handy; can I just do it myself?

A: A home inspector is extremely important when purchasing a new property.   They are trained and certified in structures, foundations, electrical, plumping, windows, roofing, and more.   They get paid a flat fee by the buyer, and will give you a report at the end of their visit telling you if they found any faults and what a potential solution is.

While most general contractors, tradespeople, handy uncles, etc. could do an inspection, licensed home inspectors have a dedicated routine, thorough checklist, and have usually been through 100s of homes, and are better qualified to give you the full picture.

We recommend to all our clients, and all buyers in general, to insist on a home inspection by a certified professional in your offer, and if his or her findings are not to your liking, you can back out on the deal.   There's not much worse than finding out that your dream home is about to fall apart after you've paid for it!
There are lots of great inspectors in Kingston - we recommend Alex Campbell - ACQSPEC to our clients.

Q: I'm getting ready to sell my house, what do I need do?
A: It's not an easy task, certainly, but the more work you put into your house before offering it for sale, the better price you'll be able to get in the end.  

Cleaning and reducing clutter is key.   You'll also want to go through room-by-room and make a list of anything that needs attention: chipped paint, damaged drywall, loose doorknobs, cobwebs, torn or stained carpeting, unsafe outlet covers, etc.   Many buyers want to move into a house without having to do any extra work, so the more you do, the more potential buyers you have!
You may wish to consider bring a Home Staging Professional through your home.  As mentioned above, the initial consultation is provided complimentary.  After the stager comes through with a list of suggestions, you can prioritize and budget for the most important work.