Buying your first home? Here’s how to get ready to make offer

Understand all the fees before buying a condo

Condo buyers should have a professional legal review of the status certificate, which details financial and legal information about the unit and condo corporation, Saunders pointed out. First-time buyers don’t anticipate some of the information in these certificates and what that means for their future costs. 

“That can actually show you the historical trend of changes to maintenance fees, any issues in the building that might cause changes to your common expenses, and things like that,” Saunders said.

“We work a lot with that younger demographic buying condos, that’s one of the biggest things we see during the transaction process. People are surprised about these fees that they didn’t really fully understand before taking ownership of their property.”

Getting ready to buy means a lot of research and online calculators, he added—legal fees, mortgage insurance for buyers who don’t have a 20% minimum down payment, and land transfer taxes, from which some first-timers and provinces are exempt.

Factor in the cost of home repairs

Buyers also need to be prepared for a lifestyle change if they are pursuing cheaper property, Pike said, especially if they are moving from urban to rural.

During the pandemic, she saw buyers fleeing Ontario and British Columbia, snapping up less expensive, rural properties in Nova Scotia. It did not go well for everyone, she said. Driving to a store or gym or doctor could take an hour.

“It’s not just buying a house and, you know, looking at the ocean,” Pike said. “Or buying something that’s inexpensive. There are a lot of things that come with it, if you’re buying rural.”

Another thing that surprises buyers: a lot of homes need work. Unless you are fortunate enough to be in the high-end market, it’s possible many listings within your price range could need tens of thousands in repairs, Pike said. Many buyers are not prepared for those costs, she added.