Home Buyer's Guide
Your comprehensive guide to buying a home in Calgary. From financing to closing, I'll help you navigate the entire process with confidence.
Buying or selling in Calgary?
Home Buyer's Guide
Everything you need to know about buying a home in Calgary. Follow this guide for a smooth and successful home buying journey.
1. Prepare Your Finances
Before you start looking for homes, it's crucial to get your finances in order and understand what you can afford.
Check Your Credit Score
Your credit score plays a significant role in determining your mortgage rate. Obtain your credit report and work on improving your score if needed.
Save for a Down Payment
In Canada, you'll need at least 5% of the purchase price for a down payment on homes under $500,000. For homes over $500,000, you'll need 5% on the first $500,000 and 10% on the remainder.
Budget for Additional Costs
Remember to budget for closing costs (1-4% of the purchase price), home inspection, appraisal fees, legal fees, Land Titles registration fees (Alberta has no land transfer tax), title insurance, and moving expenses.
2. Get Pre-Approved for a Mortgage
Getting pre-approved for a mortgage gives you a clear picture of what you can afford and shows sellers you're a serious buyer.
Shop Around for Lenders
Don't settle for the first mortgage offer. Compare rates, terms, and conditions from multiple lenders to find the best option for your situation.
Gather Required Documentation
Be prepared to provide proof of income, employment verification, tax returns, bank statements, and information about your assets and debts.
Understand Your Options
Learn about different mortgage types (fixed vs. variable rates), amortization periods, payment frequencies, and special programs for first-time buyers.
3. Find Your Dream Home
With your budget established, it's time to start looking for homes that meet your needs and preferences.
Define Your Must-Haves
Create a list of non-negotiable features (location, number of bedrooms, etc.) and nice-to-haves to focus your search and make decisions easier.
Research Calgary Neighborhoods
Consider factors like proximity to work, schools, amenities, transit options, and future development plans when choosing a neighborhood.
Tour Properties Strategically
Take photos, notes, and videos during viewings. Consider visiting at different times of day to get a feel for traffic, noise levels, and the neighborhood.
4. Make an Offer and Negotiate
Once you've found the right home, it's time to make an offer that reflects the property's value and your budget.
Research Comparable Sales
Look at recently sold properties in the area with similar features to determine a fair offer price.
Include Conditions
Protect yourself by including conditions in your offer such as home inspection, financing approval, and review of property documents and title search.
Be Prepared for Counter-Offers
Negotiations are common in real estate transactions. Decide in advance your maximum price and which terms are flexible.
5. Close the Deal and Move In
The final stage involves finalizing your mortgage, completing legal paperwork, and preparing for moving day.
Finalize Your Mortgage
Work with your lender to complete the mortgage application process once your offer is accepted.
Hire a Real Estate Lawyer
A lawyer will handle title searches, prepare closing documents, manage the transfer of funds, and register your ownership.
Final Walkthrough and Closing Day
Conduct a final inspection of the property before closing. On closing day, sign legal documents, pay closing costs, and receive your keys.
Buying Guides
I've prepared the following guides that detail some of the subtleties and issues relating to buying in the Calgary real estate market. Click on any guide to read the full article.
First-Time Home Buyer Programs in Canada
First-Time Home Buyer Incentive (Closed)
This Government of Canada program closed to new applications in March 2024. It offered 5-10% of the home's purchase price to put toward a down payment, as a shared equity mortgage with the government.
Home Buyers' Plan (HBP)
Withdraw up to $60,000 tax-free from your RRSP to put toward your down payment. You'll need to repay this amount within 15 years.
First-Time Home Buyers' Tax Credit
Receive a $10,000 non-refundable income tax credit, providing up to $1,500 in federal tax relief to help offset closing costs.
Ready to Start Your Home Buying Journey?
Let me guide you through the process of finding and purchasing your dream home in Calgary. With my expertise and personalized approach, you'll have a smooth and successful experience.