Official Buyer Guide
Choosing Your Quarterback
For likely the biggest investment of your life, you need a great support system around you. Choosing to work with Dan Clarke means you are choosing someone who is dedicated to achieving your goals, eliminating stress, providing an educational, enjoyable experience, negotiating on your behalf at a high level, and ultimately, finding the perfect home for you at the right price.
Dan brings with him a Rolodex of the city’s top professionals from lawyers, to movers, to trade and services—to simplify and streamline the process for you. Attention to detail, market knowledge, negotiation expertise, and genuine care are the foundational traits he has built his provincially recognized business on. He is excited to go to bat for you, and looks forward to guiding you through a successful journey towards your new home!
Receiving A Mortage
Pre–Approval
The first step in the home buying process is to establish how much your financial institution or mortgage broker will loan you. Your broker will find the right mortgage product for you at the most attractive rate, and generally locks in this rate for 3 months time. The pre-approval application process dives into your credit history, income, debts, down payment amount saved, and employment history, amongst other documents, to finalize your mortgage. The benefits of receiving a mortgage preapproval include the following:
1. Saves you time by ensuring you are looking at the right property types, in the right neighborhoods, at the right price points.
2. Strengthens your offer by going in without a condition on financing approval, improving your chances.
3. Provides less stress by knowing exactly what your purchasing power is throughout the search/offer process.
Asking The Right Questions & Establishing Your Wish List
1. What type of home are you looking for? (Condo or Freehold?)
2. What area(s) are you most interested in?
3. How many bedrooms and bathrooms?
4. Do you want a fixer-upper or move-in ready?
5. How much are you willing to reinvest after the purchase?
6. How important is outdoor space?
7. How important is proximity to transit, highways, parks, schools, etc.?
8. How long do you envision living in your new home?
9. How important is an ensuite in the principal bedroom?
10. Do you want a rental unit?
11. How many parking spots do you need?
12. What are your must-haves? (e.g. finished basement, modern kitchen)
13. What’s your ideal layout or floor plan?
14. Are you ready to rock and roll?
Gaining The Market Knowledge
This step is typically when one evolves from a dreamer, to a thinker, to ultimately, a buyer. This generally entails screening listings electronically, previewing properties online, viewing homes in person, tracking sales prices, experiencing different neighborhoods and home types, asking questions, and potentially refining your previous wish list. Working with Dan, you will receive exclusive access to brand new MLS listings matching your unique criteria as soon as they hit the market, as well as all the relevant market data and statistics to ensure you are making an informed, educated decision. Following this period of time, when a good thing comes, you will recognize it, and feel prepared to act!
Offer Process
You’re educated, feel ready, and you’ve found the one! The written offer you submit to the seller’s details the following information:
• The price you are offering
• The amount of your deposit (due to the listing brokerage within 24 hours of offer acceptance - generally 5% of the purchase price)
• Closing date/date of possession exchange
• Conditions (if any) that need to be met prior to the deal becoming firm and binding
• Inclusions/exclusions in the deal (e.g. furniture, light fixtures, appliances, etc.)
Your offer will be collaboratively comprised, ensuring you have all the relevant information based on past sales and market data to have an accurate sense of the value of the home. Dan will then present and negotiate the offer on your behalf and fight hard for you—protecting you from overpaying for any home. Depending on the nature of the bidding environment, negotiations could last anywhere from a few hours to several days. The seller can accept it, reject it, or sign back a counter offer. It is a nerve-wracking process—but do your best to enjoy the ride!
Closing & Moving Prep
Congratulations!
Your offer has been accepted, you’re about to become the proud owner of a new home! Once the deposit is paid and all conditions are met, the agreement becomes firm. At this stage, your lawyer steps in to review documents, check the title, and manage the transfer of funds. Before closing, ensure your lawyer has the necessary funds and a copy of your home insurance. You may also want to hire movers and update your address with utility providers and other services.
To avoid surprises, here are some additional closing costs buyers should note:
• Balance of the down payment
• Provincial land transfer tax
Toronto land transfer tax (if applicable)
• Legal fees and disbursements
• CMHC mortgage insurance premiums (applicable if down payment is less than 20%)
• Property survey (if applicable)
• Title insurance (at times included in your legal fees)
• Adjustments for prepaid utilities, condo fees, etc.
