First-Time Homebuying - loewengroup.ppt

1. First-Time Homebuying Our guide to understanding and succeeding as a first-time homebuyer. Everything you need to know to buy your first home with confidence.

2. Buying your first home can be stressful, we get it. 

3. Buying your first home is undoubtedly an exciting time, but it can also be daunting, confusing and stressful.   Your friends and family may have already told you various and conflicting information. You know they aren't experts, so you want to research and learn for yourself.   But where do you go for this, how do you do it and most importantly, who can you trust? We don't profit from selling biased advice and solutions like your bank. So we hope you'll trust us in guiding you through first-time home buying, so you can begin to answer some of the most daunting questions and take the next step.

4. Follow our these three simple steps and you'll be buying your first home in no time flat! 1. Start Now There is a lot of information you need to know when buying your first home. The earlier you start the process, the better prepared you'll be to actually make your homeownership dreams a reality. Click the start here button now. 2. Get a Preapproval Income, credit and downpayment are what lenders look at when assessing you for mortgage financing. By working through these ahead of time, you'll know exactly where you stand when it comes time to buy your first home. 3. Trust your professionals Once you've been preapproved, you can start looking for your first home. Through the process, you'll use services from many professionals, such as Realtors, Lawyers, Home Inspectors, and Appraisers. We'll guide you every step of the way.

6. What is a First Home Savings Account? Do I want one?

7. First-Time Homebuying GuideCommon Questions. Where do I start? The best place to begin is to find out how much you could afford to borrow. The amount you qualify for depends on how much you earn, have saved for a downpayment and your outgoing expenses. It's always good to know how much is in your wallet before you go to the grocery store, shopping for a mortgage is no different! 

8. Can I really only afford as much as the online calculators and banks tell me? While the rules (i.e. stress test) have made it more difficult to qualify in recent years, there is still some hope. We take our time to get "creative", utilizing the varying underwriting guidelines of the over 35 lenders we have access to as your broker. Should I avoid the banks entirely? Short answer - Yes.  . 

9. As your broker, we already work with the banks, and we'll include them in your lender comparison report.  Since your bank can only offer single product solutions, they are only serving their own best interests. Meaning they won't educate you on alternative options, which might be better suit your needs. We, on the other hand, can offer you a wide variety of solutions.  They also have a slow turn around times and have low staff training, the same staff who get paid regardless of whether they provide accurate information. They come with clunky, manual processes that you can count on needing to be highly involved.  Modern brokers like us, on the other hand, offer a quick and convenient online experience. All while spending as much time as you need to help you understand the lending guideline landscape. 

10. What is the minimum down payment? Minimum down payment for your first (or fiftieth) home purchase is 5% of the first $500,000 and 10% on anything above that. There is a common misconception that after first home, the down payment is 20% - it is not.  Down payments can consist of your savings, RRSP's of up to $35,000 per applicant (first-time homebuyers only or if you've recently separated), gifted down payment, inheritance, and to clarify, can still even be borrowed (example from a line of credit or a loan).

11. What is the difference between deposit and down payment? A deposit is a sum of money, showing good faith to the seller as intent to move forward with your accepted purchase and sale agreement. The deposit is held in trust by the solicitor's office.  The deposit can be and generally is part of the down payment, so if down payment total is $50,000 and you've given a $25,000 deposit that counts towards the total (i.e. not in addition to).   For most geographic regions, deposits vary and are negotiable with the sellers. For some areas such as GTA, the deposit is the flat rate of 5% of your purchase price.

12. Please connect anytime. It would be a pleasure to help get you a mortgage for your first home.