First Time Home Buyers 4 Steps To Buying Your First HomeFirst Time Home Buyers Savings And RebatesTypes of Home Ownership In Vancouver

4 steps to follow if it's your first time buying a home in downtown Vancouver

Step 1 – Preliminary Qualification

- Mortgage Pre-approval

- Exclusive Buyers Agency

- Review Purchasing Costs

  • Property Transfer Tax (1% of the 1st $200K & 2% on the balance)
  • G.S.T (5%) brand new property (or substantially renovated properties) only
  • Legal Fees (Notary / Lawyer) average of $850 – $1500
  • Home Inspection (average $300 – $500)
  • Deposit (minimum 5% of purchase price) stored in Macdonald Realty Ltd In Trust

- Secondary Purchasing Costs

  • High Ratio Mortgage Premium (borrow over 80%) 1% – 3.15%
  • Appraisal Fee (average $350)
  • Survey / Certificate of Location (house only)
  • Strata Fee Adjustment
  • Property Tax Adjustment
  • Home & Content Insurance
  • Moving Fees

- First Time Home Buyers Rebates & Savings

  • Property Transfer Tax Rebate: First-time home buyers may be exempt from paying the P.T.T of the purchase price of a home priced up to $475,000. There is a proportional exemption for $475,000 to $500,000.
  • Registered Retirement Savings Plan tax free withdraw: C.R.A lets qualifying home buyers use up to $25,000 of their R.R.S.P’s to buy a home. Couples can use up to $50,000. The home must be the principal residence, the home buyers must not have owned a home within the past five years and the loan must be repaid with 15 years.
  • GST Rebate on New Homes: New home buyers can apply for a rebate on the 5% GST if the purchase price is $350,000 or less. The rebate is up to 36% of the GST to a maximum rebate of $6,300. There is a proportional GST rebate for new homes costing between $350,000 and $450,000.
  • BC Home Owners Grant: Reduces property taxes for home owners with an assessed value of up to $1,100,000. The basic grant gives home owners a maximum reduction of $570 in property taxes on principal residences in Greater Vancouver and the Fraser Valley.

Step 2 – Property Search & Selection

- Define your criteria of what type of condo you are looking for

  • Property analysis (needs vs. wants)
  • Neighborhood analysis (likes vs. dislikes)
  • Clarify what your budget will get you in your neighborhoods of choice

- Become an expert

  • Filter selected homes within your criteria
  • Tour selected homes within your criteria
  • Through process of elimination determine what home(s) are worth writing an offer on

Step 3 – Contract Negotiation & Transaction Management

- Pre-Offer Research (what is this home really worth)

- Making an offer

  • Draft Contract of Purchase & Sale
  • Determine Price & Date Strategy
  • Determine Terms, Conditions & Subject clauses (typical: inspection, financing, strata document
  • Offer Presentation (seller has the option to accept, counter or let offer expire)

- Once offer is accepted

  • Work through & remove all subjects (typically 7 day subject removal)
  • Financing (appraisal)
  • Home Inspection
  • Strata Documents (Insurance)

- Deposit placed into Macdonald Realty Ltd IN TRUST (Bank Draft) typically within 24hrs

Step 4 – Closing

- Select a Notary Public / Lawyer (will need to meet no later than 2 weeks prior to completion date)

- Change utilities (contact within 30 days of completion)

- Prepare for the move to your new downtown Vancouver condo

To discuss the process of buying downtown Vancouver condos in further detail please fill in the details below or contact me direct for a consultation on what your criteria will buy in todays market.