There are few things as exciting as being handed the keys to your first home. While you may already be dreaming of that moment, there are some pretty big decisions you’ll need to make before you get there. One of the earliest (and most important) is to create a home-buying checklist to ensure you know what to look for when buying a house.
Without knowing what to look for when viewing a house, it’s too easy to waste time on properties that won’t work for you. This is why knowing what you want and need is so important!
Here are a few factors to consider when buying a house.
What should you look for in your next home? Download our Complete Guide to Buying a Home in West Toronto to learn everything you need to know about the neighbourhoods, the market, the home-buying process, and a lot more!
Affordability
It may sound simple, but knowing how much home you can truly afford requires some thought and analysis. It is no secret that buying a house is more expensive than it appears at first glance.
What surprises some people is exactly how much they need to cushion their budget. To ensure you can comfortably afford your home, be sure to account for the following:
- All closing costs, including land transfer taxes. Remember that the City of Toronto has its own municipal tax that you must also cover.
- The condition of the property that you are thinking about purchasing. Don’t be fooled by beautiful appearances if there are things that fail a home inspection. Some of these repairs can get very expensive very quickly.
- Be sure to factor in your moving expenses and the cost to maintain your home over time. Even if it is in perfect condition now, some repairs and updates will be necessary in the future.
- Plus, you will have your monthly utility bills to factor in on top of your regular mortgage payments. These can also fluctuate from one month to the next.
Are you on the hunt for the perfect house? Our featured listings are a great place to begin.
Location
Most buyers have a dream neighbourhood in mind, but moving there isn’t always realistic. Some home hunters learn that their ideal community is out of their price range, impractical for their lifestyle, or that nothing suitable is available for sale in the area.
If this happens to you, your best bet is to have a few other options in mind. Chances are, there are similar neighbourhoods in the city that will work just as well for you. Real estate agents often refer to these areas as micro-niches or up-and-coming neighbourhoods. They can especially be fantastic opportunities for first-time home buyers.
Think about what you want most in a community, from your daily commute to local schools and green spaces. Above all, remember to make the most of your agent’s area expertise. At the Sidorova Inwood Team, Toronto’s West End is our home, too. We are uniquely positioned to help you find that perfect hidden gem you will love!
Speaking of locations, where should you begin the search for your new home in Toronto’s West End? You may find some inspiration in the posts below:
- What Are Toronto’s Most Affordable Neighbourhoods for First-Time Buyers?
- Best Toronto Neighbourhoods for Entertainment Lovers
- Best Neighbourhoods In Toronto For Young Families
The Right Layout
The exact dimensions of the home you buy may be closely connected to your budget. That said, there’s more to a house or condo than square footage.
The layout is one of the primary things to look for when viewing a house. Many people assume they want an open concept, but have you considered the benefits of a closed floor plan? There are pros and cons to both.
No one can deny the visual attractiveness of an open concept layout. However, separate rooms provide more privacy, which can be a lifesaver for a larger family.
When you’re touring homes, carefully consider what’s going to work for your situation.
- Is it important to be near the kids’ bedrooms at night?
- Will you want to keep an eye on them while you’re cooking dinner?
Answering these questions will help you narrow down your search.
Your Absolute Must-Haves
Being flexible and open to your agent’s suggestions are some of the keys to finding the right home in Toronto while staying within your budget range. Undoubtedly, there are some attributes that are “nice-to-have.” Upon reflection, you may decide that they are not 100% required, especially if you can negotiate better terms.
Other compromises will be completely off the table. That’s where knowing your must-have features and amenities comes in.
- Maybe living too far from transit is a big “no” for you.
- Perhaps a big backyard for the kids is non-negotiable.
Once you’re clear on what you absolutely need in a home (and what your deal breakers are), you’re bound to be more decisive—and that could mean less stress during your search.
Appropriate Maintenance Requirements
What type of homeowner will you be? While some buyers know they’ll have plenty of time and energy to dedicate to maintenance, others prefer a lot less hassle.
- If you’re the type to take pride in a beautifully-mowed lawn or some freshly-painted trim, a house may be right for you.
- If you highly value your free time and like to spend it out and about, condos may be more your thing.
While it’s certainly not the only consideration, maintenance is definitely worth considering—especially when you’re a first-time buyer!
Looking for a complete, “questions to ask when buying a house checklist?” Get even more insightful tips on everything from home inspections to creating compelling offers by reading the posts below:
- Home Buying Checklist
- Buying Your First Home: Preparing for Success
- 5 Questions to Ask About a Home Before Making an Offer
Estimating Your Home Buying Budget
Now that you know what to consider when buying a house, let’s take a closer look at how to create a realistic budget.
- Start by figuring out what the monthly after-tax income is for your household.
- Then, subtract all of your regular expenses from that amount to understand how much you’ll have left to put towards your mortgage.
- Keep in mind that you’ll likely take on higher maintenance and utility costs if you’re buying a bigger home, and you’ll need to factor that into your calculations.
- Check to see the latest guidelines for what you will need for your down payment. Currently, your purchase will require 5% to 20% upfront to make your purchase. If your home is $1.5 million or more, you will need the minimum amount of 20%. (Even when not absolutely necessary, a 20% down payment will save you on mortgage insurance.)
Talking to your agent can help you make a more informed decision about the price range you settle on. In the meantime, you can get an estimate by using our home buying calculators.
Preparing to buy a home? Our West Toronto real estate agents know the process inside and out! We’d love to walk you through it and connect you with a mortgage professional to know exactly what you can afford. Get in touch at 416-769-3437 or email info@sidorovainwood.com to get started!
