Getting your ducks in a row.

Purchasing a home of your own is a thrilling achievement but navigating the process can be a daunting experience. That's why we're here to help.

The RE/MAX Jazz team is perfectly positioned to guide you through the many challenges and demands that will be unique to your circumstance. Every transaction is different, each with its own DNA. With our extensive experience, professional guidance, unparalleled service and negotiating prowess, we'll get you to your perfect place in a manner that is stress free and enjoyable.

As your personal cheerleaders, industry insiders and trustworthy representatives, we strive to give you the best of the best. In the years that we've spent in the real estate marketplace, we have honed our skills and crafted our expertise to cement our position as the foremost leader in Durham Region. Our seamless execution of thousands of transactions each year translates to a level of competence that is virtually unsurpassed. As a result, we've composed a step-by-step guide that empowers you to make confident decisions when buying a home with RE/MAX Jazz. Follow along to learn more!

Step 1: Decide to Buy

Before you even go looking for a home, you have to analyze your needs and lifestyle requirements as well as your hopes and desires. Think about the type of place you're looking for. Are you looking for a lot of bedrooms and bathrooms for your family? Do you want a pool in the backyard? How about garage space, location of the laundry room, and commuting distance? Do you want to live close to schools and amenities or do you want more privacy, with cows as your neighbours? In Durham Region, the selection runs the gamut! These are just some of the things you have to consider before you start looking for your new home.

Your home search should be a process of elimination not a process of selection. There are so many variables to take into account. The style of home means a lot but let's start with the different types of ownership to help narrow the options down. Freehold for example, is when it's all yours, while condominium is when you take care of the inside and pay your fees to an association that manages the outside. Your lifestyle should dictate which best suits you.

Now its time to dig a little further.

Step 2: Hire Us

Out of the thousands of real estate agents available to hire, we have the market knowledge, community engagement, and best-in-class service to help you make the best purchase for you.

We act as your wise counsel, your representatives, advisors, facilitators and consultants and we serve your best interests, and yours alone. Your trust is something we don't take lightly.

RE/MAX Jazz boasts an unwavering commitment to delivering a personalized, crafted approach that ensures you are educated in all aspects of home ownership and current market conditions so that your purchase becomes an asset able to achieve the highest potential value and equity growth.

We are highly trained and thoroughly experienced real estate sales leaders who know the neighbourhoods, communities, towns and cities that comprise the Region of Durham, and we know them inside and out. We offer you exemplary client services to help you accomplish your goal of real estate ownership and live your happily ever after.

We are Durham Region die-hards, radically sold out on the benefits of living in our amazing municipality, and we want to make you a believer too.

Step 3: Find your Home

There are a plethora of ways of finding your dream home, but before you go shopping, let's make sure you are financially ready. Nothing kills the buying mojo like rejection from the bank after you have fallen in love and submitted an offer. We need to ensure you have a realistic budget when you go shopping. We say "realistic" because home ownership should be a calculated joy, not a suffocating burden. You can use our very handy affordability calculator by clicking here.

One thing to keep in mind is your down payment. This is a percentage of the total cost of the home that you'll need to pay. The more money you put down, the more you'll save on monthly payments and the cost of borrowing. So we always say--start saving yesterday.

Another important aspect is to get pre-approved for a mortgage. When the lender approves you for a mortgage, it gives you an idea of how much you can afford to spend on your new house, and greatly increases your decision making power.

Keeping these things in mind, you are free to go window shopping! You can start searching for houses that meet your needs and wants in areas that appeal to you. Looking for houses can be really fun and exciting but beware of getting too caught up and emotionally invested just yet until we actually start walking though properties together. Our partnership is going to take us through a variety of homes and your education has only just begun. You can browse listings in your desired area using the smart listings search on our website, here. You can also sign up for Property Matching and have listings that meet your criteria delivered directly to your email inbox, here. Or contact us and we will be delighted to assist you in setting up your search.

Step 4: Make an Offer

Now that you've found the house that you are set on, it's time to make an offer. Not all offers are the same and in this market, strategy is everything. Here's where our professional negotiating skills, insight and tremendous experience really shine. We will help you with specific terms and conditions that will be included in the offer for your protection and benefit, and we'll make sure you understand all of it.

Making an offer is not just about the price. You have to carefully look at the other details included in the sale. Appliances, window coverings, or even minor renovations can also be part of the deal. Shorter or longer closing dates can also be specified in the offer as well as other terms that may be a requirement. Over the years, we have seen it all, so you needn't worry. Every transaction is special and unique and we are here to make it a smooth, enjoyable experience for you.

If there is something in the offer that doesn't satisfy the seller, counter offers or negotiations can also be presented to help get a price that you think is fair or terms that meet your needs. The main thing is that you are fully informed and decisions are yours and yours alone.

Step 5: Close the Sale

There will always be closing costs associated with the sale that need to be paid either by or on the closing date. These can include mortgage application fees, inspections, appraisals, legal fees, land transfer taxes and so on. We'll walk you through all of this too, so that you are prepared long in advance. We even have checklists, reminders and services leading up to and after the sale, so you are never alone in the process. But once that's all taken care of, and the keys are in your hand, you're the proud new owner of a piece of real estate, something that is recognized as a great accomplishment and privilege the world over!

Congratulations, and welcome to ownership! We knew you could do it!

Sales Representatives

A RE/MAX Jazz sales representative is a dedicated professional who represents your best interests, advocates on your behalf, counsels and guides you on your decisions, and educates you on all matters pertaining to the purchase of property. They save you time and trouble. And possibly even a lot of money. You see, real estate sales representatives have the home buying experience most people lack, because they live it 24/7, 365. They know all of the steps, all of the processes and all of the minute details that make a transaction happen. Great negotiators, like the sales representatives at RE/MAX Jazz, are worth their weight in gold to buyers.

A RE/MAX Jazz Sales Representative will:

• Fine-tune your wants and needs list
• Have full access to listing and government information
• Screen houses so as not to waste your time
• Arrange appointments
• Offer helpful advice and insight about the neighbourhood
• Introduce you to the trusted contacts who should be on your team, such as mortgage brokers, lawyers, and home inspectors.
• Be a valuable resource to you before, during, and after the sale
• Craft your offer and negotiate on your behalf
• Handle all relevant paperwork, pre-and post offer acceptance
• Ensure that your deposit monies are accounted for
• Prepare you for the moving process

Appraisers

Hiring an appraiser to appraise the value of property you are considering to buy may seem sensible but it is highly unnecessary. Your lender will want their own personal appraiser anyway, so you could be wasting valuable money. As well, a RE/MAX Jazz sales representative is competent and can do a "Comparative Market Analysis" for you, to establish a value range.

Lenders

In short, a lender is anyone who will give you money. There are private lenders and institutional lenders, like banks and credit unions. Even your brother-in-law can be your lender. Of course, when you're looking for a lender, you' re looking for a long-term relationship and terms and rates which are beneficial to you. As a result, you really have a lot options so do your homework and rely on the expertise of your RE/MAX Jazz sales professional to help you make the most informed decision.

Mortgage Brokers

This is a person who will do the leg work in finding the institution which offers the mortgage terms and conditions that are right for you. Much like an insurance broker, this professional works for you and can offer you an unbiased referral. Although most brokers are paid a finders fee by the lender, some will charge 2% of the total mortgage to find you a lender. The cloudier your credit history, the more likely there will be a fee! A good mortgage broker will be connected to all major lenders through the mortgage market.

Lawyers/Notaries

A lawyer is there to represent your interest, and to process the documentation required. The legal aspects differ from province to province. Your RE/MAX Jazz Sales Representative can recommend lawyers to advise you on the steps to be taken before the keys to your new home are presented to you. A lawyer helps ensure you are protected!!!

Home Inspectors

Have the home inspected! Whether you make it a condition of purchase or not, having the property pre-inspected by a qualified home inspector will give you the added confidence that you've made the right decision. Be very careful to verify the qualifications of your home inspector because there are no government standards or licenses for home inspectors. Some home inspectors in Canada do not have any form of accreditation. For your protection make sure your home inspector is a member of (PACHI) or (OAHI). This is your assurance that they have met their education requirements, have the experience and carry E & O Insurance.

Insurance Brokers

You'll want to make sure your property and valuables will be covered. A broker offers independent advice and can save you time, trouble and money. Plus, the bank will insist that you carry full insurance since your property is used as collateral against your mortgage.

Conventional and High Ratio Mortgages

To qualify for a conventional mortgage, you simply have to have a 25% down payment of the purchase price, with the mortgage not exceeding 75% of the appraised value.

If your down payment is less than 25%, then you qualify for a high-ratio mortgage. This type of mortgage requires loan insurance, which can cost an additional 0.5% to 3.75% of the mortgage amount. With this type of mortgage you could also be limited to a maximum house price.

Second Mortgage

Of course, if you cannot add on to your mortgage, you may consider a second mortgage. Each mortgage uses your home as security and gives the mortgagee the right to take your home if you default on your loan. The first mortgagee gets paid first in cases of default and has the best chance of recovering all of its money. So it only goes to figure that subsequent mortgages usually come with a higher interest rate.

Mortgage Features

Every lending institution is different, and each will have their own customizable mortgage options. When you're hunting for a lender and a home, see how the following features could be beneficial to you.

Prepayment

This is a wonderful option if you receive regular bonuses or if your income fluctuates throughout the year. With a pre-payment privilege, you have the right to make payments toward the principal portion of your mortgage over and above the monthly payments. A mortgage with a pre-payment option is closed. An open mortgage means you can pay the entire principal sum without notice of bonus.

Portability

If you still have time remaining on that fantastic loan you negotiated, portability is one option you'll want to discuss with your lender. Quite simply, it means transferring the balance of your current mortgage at the existing rates and with the existing terms and conditions, to your new home.

Assumability

Let's say that the vendor has negotiated a dynamite mortgage. With an assumable mortgage you, the purchaser, simply assume the obligations of the mortgage. This is a wonderful feature especially if the terms are more favourable than the existing market conditions would allow. Remember, when it is time for you to sell, you may still be liable for any mortgage you allow the buyer to assume. This means if the buyer stops making payments, you could be accountable for the payments. Be sure to have the subsequent buyer approved for the assumption of the payments, thereby avoiding this potential land mine.

Expandability

If you need additional funds down the road, will your mortgage terms allow you to increase the principal amount? Usually, your new rate will be a blended amount of the initial mortgage rate and the prevailing rates. It's a great option to discuss with your lender if you foresee large expenses in your future like renovation or education costs.

Mortgage Term

Over the course of your amortization period, you may have many different mortgages. The term is simply the length of time that interest rates, payment schedules and obligations to the lender exist. When the term comes to a close, you will have the option to renew your mortgage at your current or new lending institution. You can also put a lump sum toward the principal without restriction, or pay off your entire mortgage without penalty. If you wish to change the structure of your agreement during the term you may have to pay a substantial fee to the lender.

Choosing Security or Flexibility

Mortgages are available with closed, open and convertible options, with fixed or variable rates. The options you choose will reflect your beliefs about the market -- is it going up or down? -- and your short-term goals and desire for long-term security.

Amortization

This is the amount of time over which the entire debt will be repaid. Most mortgages are amortized over 15-, 20-, or 25-year periods. The longer the amortization, the lower your scheduled mortgage payments, but the more interest you pay in the long run.

Open Mortgage

This type of mortgage offers a great deal of flexibility, as it can be repaid in part or full at any time without penalty. This is a great mortgage if you believe interest rates are moving down or if you plan to move in the near future. The term may be limited to six months or one year.

Closed Mortgage

Here the interest rate is fixed for the full term of the mortgage, and you will have to pay a penalty to change the agreement conditions. This type of mortgage is ideal for buyers who suspect that interest rates will rise and who are not planning to move in the near future. This type of mortgage is usually available in a wide variety of terms.

Convertible Mortgage

With this mortgage, you'll enjoy the same peace of mind as a closed mortgage, plus the flexibility to convert to a longer closed mortgage at any time without penalty. If you think rates will drop, this will allow you to wait until you feel they have hit bottom, or if rates rise, you can lock in.

Yes, the government always wants in on the action, and your real estate purchase is unfortunately no different. Buyers in most areas will have to add Land Transfer Taxes to their closing costs, and in some cases, it can be hefty, so we must budget for it in advance.

These taxes, levied on properties that are changing hands, are the responsibility of the buyer. Depending on where you live, taxes can range from a half a percent to two and a half percent of the total value of the property.

Our province has a multi-tiered taxation system that can sometimes be difficult to understand. Here's a good example to help:

If you buy a property for $450,000 in Ontario, .5 % is charged on the first $55,000, 1 % is charged on the amount between $55,000 - $250,000, 1.5 % is taxed on the amount between $250,000 - $400,000, and finally, the $400,000-$450,000 range is taxed at 2%. Your total tax bill? $5, 475.00.

The following chart illustrates Land Transfer Taxes in Ontario:

Ontario

Up to $55,000 X .5% of total property value
From $55,000 to $250,000 X 1% of total property value
From $250,000 to $400,000 X 1.5% of total property value
From $400,000 to $2,000,000 X 2% of total property value
Over $2,000,000 X 2.5% of total property value

Please Note: In Metropolitan Toronto, buyers must pay a second land transfer tax - essential double the provincial levy. This tax is called the Municipal Land Transfer Tax (MLTT) and is calculated the same way.

When it comes time to make an offer, your RE/MAX Jazz Sales Professional will provide current market information, the history of the subject property and transparency of all communications that have occurred between the listing brokerage and themselves leading up to your decision to make an offer. All of this, combined with their sharp negotiating abilities and master planned offering strategy will aid you in the professional presentation of your offer.

Your RE/MAX Jazz Sales Professional will communicate the offer, sometimes known as an Offer to Purchase, to the seller, or the seller's representative, on your behalf. Sometimes there may be more than one offer on a property. Your RE/MAX Jazz Sales Representative will guide you through this process as smoothly and effortlessly as possible, representing your best interests always.

The Firm Offer

Usually preferred by the seller because it means that you are prepared to purchase the home without any conditions included. If the offer is accepted - the home is yours and the sold sign literally goes on right away.

The Conditional Offer

Usually means that you have placed one or more conditions on the purchase, such as "subject to home inspection", "subject to financing" or "subject to sale of buyer's existing home", to name the most common. The home is not sold until all the conditions have been met. Some conditional offers contain "escape clauses" that allow the seller to entertain other offers during the period of condition. All of these options will be explained by your RE/MAX Jazz Sales Professional.

Offer Acceptance

Your offer will be presented at the earliest possible opportunity. The seller may accept the offer, reject it, or exercise their right to submit a counter-offer. The counter-offer could be in reference to any number of factors, including but not limited to the closing date and/or the purchase price. The offer often goes back and forth until both parties have agreed on acceptable terms or until one or the other ends the negotiations. Your RE/MAX Jazz Sales Professional will offer insight, guidance and wise counsel to this process, and always advocate for you.