How does Buying a Home work?

The flow

We will get to the key elements of Buying a property but here’s basically how it all flows…

1. After speaking to your Mortgage Broker you know exactly how much you are approved to spend and you have researched and chosen the best Realtor® for you.

2. Sign the documents to make it all go! Here is some of what will need to be filled out initially:

• Consumer relationship Guide – This shows the different types of relationships you can have with your Realtor when buying or selling. It also explains the duties your Realtor has to you and the duties you have to your Realtor.

• FINTRAC – This form is a validation of your identity for the Government to ensure you are not a financing terrorism or attempting to complete a Real Estate transaction to launder money (for real).

• The Exclusive Buyer Agreement – This form is the meat and potatoes of how your relationship with your Realtor® works.

3. You and your Realtor have narrowed down "your want and need list" so you both know exactly what to look for and exactly where to look for it.

4. You hit the streets and begin walking through potential properties. Since walking through multiple properties helps you further narrow your search down (and is key to knowing what properties are worth) walk through as many homes as you can stomach.

6. Eventually you find the one! Now, you and your Realtor® put together an Offer to Purchase to specifically lay out your Terms for Buying the home.

It is normal to make an offer with basic conditions attached to it. The most common condition is Subject to a Home Inspection. This allows you time to hire a professional to inspect the home and ensure nothing is wrong. The second most common condition is Subject to the Buyer Securing Financing. This just means your bank agrees with the homes’ value and gives final approval of your financing application by a certain date.

7. After some quick back and forth, your Offer is accepted and you move on to getting the home inspected while your Lender lines up the financing.

8. Once those conditions are lifted we fast forward to about a week before possession day when both parties will sign documents with their designated lawyer. On possession day, when the Sellers’ lawyer verifies funds have been received, you get the keys!

Find the right Realtor®

There are more than 5000 Realtors® in the Calgary area and just under 20% of them do over 80% of all recorded sales. Your first logical step is to find a Realtor® in that 20% category. Since there are no specific sales statistics made public, how do you do that? Start with a google search something like: Jason Todd Calgary Realtor. What comes up? Do they have google reviews? Do they have a website? Do they have Social Media links? This easily searchable information presents a great snapshot of how serious the agent takes their profession.

Find at least 2 well reviewed agents with a professional online presence and call them for a quick chat. Then, as low tech as it sounds, go with the one that feels right to you. Trust your gut! 


Know what you can spend

You can't go shopping if you don't know what you can spend. So, call your Mortgage Broker.

First you run through your overall financial picture with your Broker to get a rough budget number. Then, you will submit all of the required documents needed to get a precise budget number. Never, start shopping until you have submitted all of the required documents to your Mortgage Broker. This will save you and your Realtor® a ton of time and headache.

Once the documents are in, it is best practice to get a letter from your Broker stating you are fully pre-approved. This goes a long way to making stronger, more confident offers.

Decide exactly what you want

How many bedrooms do you need? Do you need to be close to a certain school? How close are you to work? Do you need a garage? This is a big long term purchase that requires you knowing exactly what you need in every category imaginable. Take your time, think it out be patient as you search. You will find the right one!

Make an Offer

Eventually you find the one! 

You wisely got pre approved so you know you can 100% afford it. You went through every aspect of your life and are 100% confident this home fits your family perfectly. You have looked through many many homes so you know exactly what to offer and what to expect your final price to be. Basically, you have done everything right.

Now, you and your Realtor® put together an Offer to Purchase. 

Get ready to move in

Now that the Offer is done you begin preparing for possession day. Make sure you have lined up your utilities and internet install and have set up your Home Insurance (and proof of it sent to your Lender). You will visit your Lawyer 1 week to 10 days before the big day to sign all of the documents. On possession day, when the Sellers’ lawyer verifies funds have been received, you get the keys! 

Book a 5 minute chat

Buying a home is a big deal and exciting - Let's book a 5 minute chat and see where you are at. No strings attached. I'm here to answer your questions. 

5 minute chat

Data is supplied by Pillar 9™ MLS® System. Pillar 9™ is the owner of the copyright in its MLS®System. Data is deemed reliable but is not guaranteed accurate by Pillar 9™.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.