(Independently owned and operated)
Making Edmonton Real Estate
Dreams a Reality
Dreams a Reality
For Buyers
Finding the right agent
You want to find the right home, in the right location, at the right price - and you want to do it quickly, with minimum hassle. The best way to do that is to work with a professional realtor who understands your wants and needs, your time frame and your financial boundaries.
Why work with Melanie?
Melanie understands your needs
Here are a few questions to ask to help you determine if Melanie is right for you:
My experience with buyers is that with each transaction, the process becomes new to them regardless of how many homes they have purchased. The process appears daunting but I will guide you through it step-by-step. Rest assured, your interests are my prime concern.
You want to find the right home, in the right location, at the right price - and you want to do it quickly, with minimum hassle. The best way to do that is to work with a professional realtor who understands your wants and needs, your time frame and your financial boundaries.
Why work with Melanie?
- You’ll save time. Melanie can pinpoint homes that fit your needs and dismiss those that don’t.
- You benefit from an experienced negotiator. Melanie will manage your offers and counter-offers, ensuring that you get the best possible price for your home.
- You’ll get the right information. Melanie knows the neighbourhood and can give you accurate information on local real estate values, taxes, utility costs, services and amenities.
- You can always count on great advice. Because Melanie is familiar with the entire home purchasing process, she can advise you of your legal and financial options, and recommend appraisal, home inspection and lawyers.
Melanie understands your needs
Here are a few questions to ask to help you determine if Melanie is right for you:
- Will you be representing my interests?
- Do you have access to MLS information?
- Will you provide market evidence to support the price?
- What costs are associated with buying a home?
- Can you be contacted at any time?
- What does a Buyer Agreement mean?
- Will you look after closing and possession details?
My experience with buyers is that with each transaction, the process becomes new to them regardless of how many homes they have purchased. The process appears daunting but I will guide you through it step-by-step. Rest assured, your interests are my prime concern.
Working with Melanie
Let me do the searching for you. The best buys aren’t in the newspaper ads; most great opportunities are on "hot sheets" that are available every morning to salespeople with access to MLS information.
My job is to:
As a homebuyer, we work together to find the home that’s right for you. Communication is key - be specific of what your needs are. I will do my utmost to satisfy them.
Let me do the searching for you. The best buys aren’t in the newspaper ads; most great opportunities are on "hot sheets" that are available every morning to salespeople with access to MLS information.
My job is to:
- Provide information on the property and the area
- Negotiate a price and terms that are agreeable to both buyer and seller
- Help arrange a source of financing
As a homebuyer, we work together to find the home that’s right for you. Communication is key - be specific of what your needs are. I will do my utmost to satisfy them.
- Offer a detailed description of your property needs and wants. If you will absolutely not consider a house without a hardwood floor, say so. And if air conditioning is a "nice to have" rather than a "must have," communicate that, too.
- Be specific about where you want to live. If you refuse to live outside a certain area, it might take longer to find you a home, but do be open to suggestions. Often specific needs are found in neighbourhoods you may have not considered.
- If you know, tell me what you can afford. If not, let me help you arrange a pre-approved mortgage so you know for sure what your price range will be.
- Communicate your likes and dislikes for each property you see. It will help me narrow down the possibilities.
- Respect and perform the terms of the purchase agreement.
- Keep an open mind. I know about those charming little areas that you’ve never even heard of. You might find your dream home in a completely unexpected place.
The elements of an offer
Here’s a quick reference to everything you need to know about making an on offer on a property.
1. Price
Depends on the market and the buyers, but generally, the price offered is different from the asking price.
2. Deposit
Shows the buyer’s good faith and will be applied against the purchase price of the home when the sale closes. I will advise you on a suitable amount to offer.
3. Terms
Includes the total price the you, as the buyer, is offering as well as the financing details.
4. Conditions
These might include "subject to home inspection," "subject to the buyer obtaining financing," or "subject to the sale of the purchaser’s property."
5. Inclusions and exclusions
These may include appliances and certain fixtures or decorative items, such as window coverings or light fixtures.
6. Closing or possession date
Generally, the day the title of the property is transferred to you and funds are received by the seller.
Here’s a quick reference to everything you need to know about making an on offer on a property.
1. Price
Depends on the market and the buyers, but generally, the price offered is different from the asking price.
2. Deposit
Shows the buyer’s good faith and will be applied against the purchase price of the home when the sale closes. I will advise you on a suitable amount to offer.
3. Terms
Includes the total price the you, as the buyer, is offering as well as the financing details.
4. Conditions
These might include "subject to home inspection," "subject to the buyer obtaining financing," or "subject to the sale of the purchaser’s property."
5. Inclusions and exclusions
These may include appliances and certain fixtures or decorative items, such as window coverings or light fixtures.
6. Closing or possession date
Generally, the day the title of the property is transferred to you and funds are received by the seller.
Qualifying for a mortgage
I can arrange to have you pre-qualified for a mortgage before you start shopping for a home. It’s easy, and you’ll avoid possible disappointments down the road if you fall in love with a place, then find out you can’t afford it. Plus, once you do find the perfect home, it will mean you can make an offer immediately.
Here’s how mortgage approval works: the amount of money you qualify for, plus the amount of cash you can put down equals the amount you can afford to spend on a home. Most lending institutions won’t allow more than about 30% of your income to support a mortgage. If you have other debts, they usually won’t allow your debts and your mortgage to exceed 40% of your income.
Finalizing your mortgage
Once you’ve found the home you want to buy, you’ll need to finalize your financing. You’ll need to provide your lender with the following documents:
1. A copy of the real estate listing of the property. If the home is still to be built, the mortgage lender will need to see the architect’s or builder’s plans and details on lot size and location.
2. A copy of the offer to purchase or the building contract.
3. Documents to confirm employment, income and source of pre-approval.
4. If you have a pre-approved mortgage, it’s a simple matter of finalizing a few details with your mortgage specialist.
I can arrange to have you pre-qualified for a mortgage before you start shopping for a home. It’s easy, and you’ll avoid possible disappointments down the road if you fall in love with a place, then find out you can’t afford it. Plus, once you do find the perfect home, it will mean you can make an offer immediately.
Here’s how mortgage approval works: the amount of money you qualify for, plus the amount of cash you can put down equals the amount you can afford to spend on a home. Most lending institutions won’t allow more than about 30% of your income to support a mortgage. If you have other debts, they usually won’t allow your debts and your mortgage to exceed 40% of your income.
Finalizing your mortgage
Once you’ve found the home you want to buy, you’ll need to finalize your financing. You’ll need to provide your lender with the following documents:
1. A copy of the real estate listing of the property. If the home is still to be built, the mortgage lender will need to see the architect’s or builder’s plans and details on lot size and location.
2. A copy of the offer to purchase or the building contract.
3. Documents to confirm employment, income and source of pre-approval.
4. If you have a pre-approved mortgage, it’s a simple matter of finalizing a few details with your mortgage specialist.
Choosing a neighbourhood
You’re not just buying a home - you’re buying a location. And even the most perfect house won’t feel right if you’re in the wrong neighbourhood. Educate yourself about the area so you’ll choose wisely - and end up being happy with your decision.
You’re not just buying a home - you’re buying a location. And even the most perfect house won’t feel right if you’re in the wrong neighbourhood. Educate yourself about the area so you’ll choose wisely - and end up being happy with your decision.
- Are you close to shopping and recreation? Being close to stores, parks, recreational facilities, a post office and dry cleaners will save you time.
- Do people in the area take care of their homes? Explore the neighbourhood, keeping an eye out for signs of neglect (overgrown lawns, houses in need of paint, trash and junked appliances littering yards). A run-down neighbourhood can drive down your property value.
- Are there schools nearby? If you have children, the proximity and quality of schools is key. Some schools will provide data (i.e. average test scores) that can determine quality. Talking to neighbours with children can be helpful, too.
- Is there good access to transportation? Living near public transport and/or major highways can mean an easier commute to work.
- Is it safe? Check with the local police department - they may be able to provide statistics about break-ins or other crimes.
- Will the home increase in value over time? Homes in some neighbourhoods appreciate faster than others. Research the selling prices of homes in over the year or two to predict future trends. I will be able to provide helpful data.
- Is it quiet? Listen for traffic noise, barking dogs, airplanes and any other noises that might bother you. Return to the neighbourhood at different times of the day to get an accurate impression.
Protect yourself with a home inspection
That gorgeous house on the corner lot may look great, but it could be hiding all sorts of expensive, annoying problems, from a leaky roof to faulty wiring to a mouldy basement.
Make sure your home is solid and secure inside and out before you buy it. A home inspector will determine structural and mechanical soundness, identify problem areas, provide cost estimates for any work required, and generate a report. It’s a great way to avoid headaches and costly problems that can turn a dream home into a money pit.
If you decide to go ahead and buy a home with issues that have been flagged by your inspector, you can base your offer on how much potential repairs and upgrades may cost.
Home inspection costs range according to size, age and location of the home. I can recommend several reputable home inspection services and arrange for an inspector to visit your property.
That gorgeous house on the corner lot may look great, but it could be hiding all sorts of expensive, annoying problems, from a leaky roof to faulty wiring to a mouldy basement.
Make sure your home is solid and secure inside and out before you buy it. A home inspector will determine structural and mechanical soundness, identify problem areas, provide cost estimates for any work required, and generate a report. It’s a great way to avoid headaches and costly problems that can turn a dream home into a money pit.
If you decide to go ahead and buy a home with issues that have been flagged by your inspector, you can base your offer on how much potential repairs and upgrades may cost.
Home inspection costs range according to size, age and location of the home. I can recommend several reputable home inspection services and arrange for an inspector to visit your property.
8 things to look for when you buy
When you fall in love with a home, the things you like about it can blind you to its problems. Next time you go to an open house or tour a property with an agent, keep your eyes open with these top tips:
1. Take a look at general upkeep. Is it clean? Are lawns left uncut? Do walls need paint? If the small stuff hasn’t been taken care of, there’s a good chance that bigger issues have been ignored as well.
2. Test it. Try out lights, faucets, toilets, air conditioning and major appliances.
3. Check for water damage. Look at ceilings and drywall for stains and bulges. Water that works its way in through a leaky roof or a cracked foundation can rot wood, create mildew and destroy possessions.
4. Watch for "spongy" floors. Take note of soft, springy sections, squeaky or uneven areas - these can be a sign that costly floor repairs are needed.
5. Check doors and windows. Make sure they fit snugly in their jambs and operate smoothly. Feel for drafts. Look for flaked paint and loose caulking - if wood isn’t protected from moisture, it will rot.
6. Look at the foundation. If you see deep cracks or loose mortar and bricks, there may be a significant structural problem. Soggy areas near the foundation are also a warning sign.
7. Make sure there’s enough storage space. If you are moving from a home with large closets and a shed, make sure your new house is able to store an equivalent amount of belongings.
8. Measure. Make sure your furniture will fit into your new house.
These tips are for your own first (or second) look at a home. For true peace of mind, you should always hire a certified home inspector before you buy.
When you fall in love with a home, the things you like about it can blind you to its problems. Next time you go to an open house or tour a property with an agent, keep your eyes open with these top tips:
1. Take a look at general upkeep. Is it clean? Are lawns left uncut? Do walls need paint? If the small stuff hasn’t been taken care of, there’s a good chance that bigger issues have been ignored as well.
2. Test it. Try out lights, faucets, toilets, air conditioning and major appliances.
3. Check for water damage. Look at ceilings and drywall for stains and bulges. Water that works its way in through a leaky roof or a cracked foundation can rot wood, create mildew and destroy possessions.
4. Watch for "spongy" floors. Take note of soft, springy sections, squeaky or uneven areas - these can be a sign that costly floor repairs are needed.
5. Check doors and windows. Make sure they fit snugly in their jambs and operate smoothly. Feel for drafts. Look for flaked paint and loose caulking - if wood isn’t protected from moisture, it will rot.
6. Look at the foundation. If you see deep cracks or loose mortar and bricks, there may be a significant structural problem. Soggy areas near the foundation are also a warning sign.
7. Make sure there’s enough storage space. If you are moving from a home with large closets and a shed, make sure your new house is able to store an equivalent amount of belongings.
8. Measure. Make sure your furniture will fit into your new house.
These tips are for your own first (or second) look at a home. For true peace of mind, you should always hire a certified home inspector before you buy.
Credit checks explained
A credit check is a routine part of qualifying for a mortgage. If you don’t have a good credit history, getting financing for your home can be a challenge.
Here’s how a credit check works:
Your personal credit history is compiled by credit bureaus, which create a credit report by collecting information from banks, retailers and other public records. The report generally goes back 6 or 7 years, and shows your credit and debit cards, bank accounts, personal loans, mortgages, etc. It shows creditors’ names, account numbers, current balances - and a detailed payment history. The report will also show public information like marriage, divorce, liens, judgments that have been entered against you, bankruptcy, etc.
The lender uses the credit report to determine whether they will lend you money. If they have concerns about something in the report, the lender will ask you for an explanation.
The lender will also use the report to verify other information on your mortgage application, like employment status and address (including the name of your landlord and perhaps rental payment history). They will also be able to see inquiries made by other creditors over the period of the report. (This information can be useful to a lender to show what other avenues of financing you might have tried and may raise questions about why another creditor declined to lend it to you.)
Honesty is the best policy
If you think there might be any credit problems, tell the lender up front and ask about their policies before you apply. There’s no point in trying to hide something that will show up in your credit history. Get a copy of your credit report before you apply for a mortgage - you may be able to avoid surprises and possible delays.
Take a look at your credit report
Because the report contains information about you, you have a right to see a copy of it. Equifax, one of Canada’s largest credit bureaus, will mail consumers a free copy of their personal credit file on request. For more information, call Equifax at 1-800-465-7166.
If you disagree with something in your credit history, you have the right to challenge it and ask that the information be corrected. For example, perhaps the report shows that you were over 90 days late paying a bill but does not indicate that you withheld payment pending a settlement of a dispute with the creditor. Or perhaps you were late with a particular payment because you were away. Whatever the explanation, contact the credit bureau to clarify the matter.
A credit check is a routine part of qualifying for a mortgage. If you don’t have a good credit history, getting financing for your home can be a challenge.
Here’s how a credit check works:
Your personal credit history is compiled by credit bureaus, which create a credit report by collecting information from banks, retailers and other public records. The report generally goes back 6 or 7 years, and shows your credit and debit cards, bank accounts, personal loans, mortgages, etc. It shows creditors’ names, account numbers, current balances - and a detailed payment history. The report will also show public information like marriage, divorce, liens, judgments that have been entered against you, bankruptcy, etc.
The lender uses the credit report to determine whether they will lend you money. If they have concerns about something in the report, the lender will ask you for an explanation.
The lender will also use the report to verify other information on your mortgage application, like employment status and address (including the name of your landlord and perhaps rental payment history). They will also be able to see inquiries made by other creditors over the period of the report. (This information can be useful to a lender to show what other avenues of financing you might have tried and may raise questions about why another creditor declined to lend it to you.)
Honesty is the best policy
If you think there might be any credit problems, tell the lender up front and ask about their policies before you apply. There’s no point in trying to hide something that will show up in your credit history. Get a copy of your credit report before you apply for a mortgage - you may be able to avoid surprises and possible delays.
Take a look at your credit report
Because the report contains information about you, you have a right to see a copy of it. Equifax, one of Canada’s largest credit bureaus, will mail consumers a free copy of their personal credit file on request. For more information, call Equifax at 1-800-465-7166.
If you disagree with something in your credit history, you have the right to challenge it and ask that the information be corrected. For example, perhaps the report shows that you were over 90 days late paying a bill but does not indicate that you withheld payment pending a settlement of a dispute with the creditor. Or perhaps you were late with a particular payment because you were away. Whatever the explanation, contact the credit bureau to clarify the matter.
Glossary of terms
Amortization period: The actual number of years it will take to pay back your mortgage loan.
Appraised value: An estimate of the value of the property, conducted for the purpose of mortgage lending by a certified appraiser.
Assumability: Allows the buyer to take over the seller’s mortgage on the property.
Closed mortgage: A mortgage that locks you into a specific payment schedule. A penalty usually applies if you repay the loan in full before the end of a closed term.
Condominium fee: A payment among owners, which is allocated to pay expenses.
Conventional mortgage: A mortgage loan issued for up to 75% of the property’s appraised value or purchase price, whichever is less.
Down payment: The buyer’s cash payment toward the property that is the difference between the purchase price and the amount of the mortgage loan.
Equity: The difference between the home’s selling value and the debts against it.
High-ratio mortgage: A mortgage that exceeds 80% of the home’s appraised value. These mortgages must be insured for payment.
Interest rate: The value charged by the lender for the use of the lender’s money, expressed as a percentage.
Maturity date: The end of the term of the loan, at which time you can pay off the mortgage or renew it.
Mortgagee: The financial institution or person that lends the money.
Mortgage insurance: Applies to high-ratio mortgages. It protects the lender against loss if the borrower is unable to repay the mortgage.
Mortgage life insurance: Pays off the mortgage if the borrower dies.
Mortgagor: The borrower.
Open mortgage: Allows partial or full payment of the principal at any time, without penalty.
Portability: A mortgage option that enables borrowers to take their current mortgage with them to another property, without penalty.
Pre-approved mortgage: Qualifies you for a mortgage before you start shopping. You know exactly how much you can spend and are free to make a firm offer when you find the right home.
Prepayment privileges: Voluntary payments that are in addition to regular mortgage payments.
Principal: The amount borrowed or still owing on a mortgage loan. Interest is paid on the principal amount.
Refinancing: Paying off the existing mortgage and arranging a new one or renegotiating the terms and conditions of an existing mortgage.
Renewal: Renegotiation of a mortgage loan at the end of a term for a new term.
Second mortgage: Additional financing, which usually has a shorter term and a higher interest rate than the first mortgage.
Term: The length of time the interest rate is fixed. It also indicates when the principal balance becomes due and payable to the lender.
Title: Legal ownership in a property.
Variable rate mortgage: A mortgage with fixed payments that fluctuates with interest rates. The changing interest rate determines how much of the payment goes towards the principal.
Vendor take-back mortgage: When the seller provides some or all of the mortgage financing in order to sell their property.
Amortization period: The actual number of years it will take to pay back your mortgage loan.
Appraised value: An estimate of the value of the property, conducted for the purpose of mortgage lending by a certified appraiser.
Assumability: Allows the buyer to take over the seller’s mortgage on the property.
Closed mortgage: A mortgage that locks you into a specific payment schedule. A penalty usually applies if you repay the loan in full before the end of a closed term.
Condominium fee: A payment among owners, which is allocated to pay expenses.
Conventional mortgage: A mortgage loan issued for up to 75% of the property’s appraised value or purchase price, whichever is less.
Down payment: The buyer’s cash payment toward the property that is the difference between the purchase price and the amount of the mortgage loan.
Equity: The difference between the home’s selling value and the debts against it.
High-ratio mortgage: A mortgage that exceeds 80% of the home’s appraised value. These mortgages must be insured for payment.
Interest rate: The value charged by the lender for the use of the lender’s money, expressed as a percentage.
Maturity date: The end of the term of the loan, at which time you can pay off the mortgage or renew it.
Mortgagee: The financial institution or person that lends the money.
Mortgage insurance: Applies to high-ratio mortgages. It protects the lender against loss if the borrower is unable to repay the mortgage.
Mortgage life insurance: Pays off the mortgage if the borrower dies.
Mortgagor: The borrower.
Open mortgage: Allows partial or full payment of the principal at any time, without penalty.
Portability: A mortgage option that enables borrowers to take their current mortgage with them to another property, without penalty.
Pre-approved mortgage: Qualifies you for a mortgage before you start shopping. You know exactly how much you can spend and are free to make a firm offer when you find the right home.
Prepayment privileges: Voluntary payments that are in addition to regular mortgage payments.
Principal: The amount borrowed or still owing on a mortgage loan. Interest is paid on the principal amount.
Refinancing: Paying off the existing mortgage and arranging a new one or renegotiating the terms and conditions of an existing mortgage.
Renewal: Renegotiation of a mortgage loan at the end of a term for a new term.
Second mortgage: Additional financing, which usually has a shorter term and a higher interest rate than the first mortgage.
Term: The length of time the interest rate is fixed. It also indicates when the principal balance becomes due and payable to the lender.
Title: Legal ownership in a property.
Variable rate mortgage: A mortgage with fixed payments that fluctuates with interest rates. The changing interest rate determines how much of the payment goes towards the principal.
Vendor take-back mortgage: When the seller provides some or all of the mortgage financing in order to sell their property.
Closing the deal
Closing day is the day you become the official owner of your home. However, the entire closing process usually takes a few days.
Typically, you visit your lawyer’s office to review and sign documents relating to the mortgage, the property you are buying, the ownership of the property and the conditions of the purchase. Your lawyer will also ask you to bring a certified cheque to cover the closing costs and any other outstanding costs.
Once your mortgage and the deed for the property are officially recorded, you become the official owner of the property and your lawyer will call you to pick up the keys to your new home.
Closing day is the day you become the official owner of your home. However, the entire closing process usually takes a few days.
Typically, you visit your lawyer’s office to review and sign documents relating to the mortgage, the property you are buying, the ownership of the property and the conditions of the purchase. Your lawyer will also ask you to bring a certified cheque to cover the closing costs and any other outstanding costs.
Once your mortgage and the deed for the property are officially recorded, you become the official owner of the property and your lawyer will call you to pick up the keys to your new home.
Determine what you can afford
Buying a home involves both one-time costs and more regular monthly expenses. It’s important that you take both into account when you’re figuring out how much you can spend on a home.
The largest one-time cost is the down payment. Then, in addition to the actual purchase price, there are a number of other expenses that you may be expected to pay for.
Typical One-Time Expenses
Other costs may include landscaping, decorating, furnishings, appliances and repairs. Typical monthly costs include mortgage payments, maintenance, insurance, condo fees, property taxes and utilities.
Buying a home involves both one-time costs and more regular monthly expenses. It’s important that you take both into account when you’re figuring out how much you can spend on a home.
The largest one-time cost is the down payment. Then, in addition to the actual purchase price, there are a number of other expenses that you may be expected to pay for.
Typical One-Time Expenses
- Mortgage application and appraisal fee (paid at time of application)
- Appraisal fee
- Property inspection (optional but advised)
- Legal fees (paid at closing)
- Legal disbursements (paid at closing)
- Deed and/or mortgage registration (paid at closing)
- Land Transfer (paid at closing)
- Mortgage interest adjustment and take over fee (if applicable) (paid at closing)
- Adjustments for taxes, etc. (paid at closing)
- Mortgage insurance (and application fee if applicable) (paid at closing)
- Home and property insurance (paid at closing and on-going)
- Connection charges for utilities such as gas, water and electricity (paid on date of move)
- Moving expenses (paid on date of move)
Other costs may include landscaping, decorating, furnishings, appliances and repairs. Typical monthly costs include mortgage payments, maintenance, insurance, condo fees, property taxes and utilities.