Home Buying:

Know your Ability First:

Before you start shopping for your home make sure you have sought financial advise from your banker, accountant or mortgage broker. This "education" will enable you understand your financial situation; which in turn helps you understand the type of house you can afford. Thereafter you should talk to your real estate lawyer, real estate agent or mortgage broker. Real estate agents will typically start the search process for you. At this stage you should have a fair idea of the type and value of house you are able to buy.

Choose an experienced Real Estate Agent:- You will be well served if you have a knowledgeable Real Estate Agent to help you in your search and to represent you when it is time to make an offer. With a skillful real estate agent you will have a professional that can help you get relevant information about homes, neighborhoods, value etc; and assist you negotiate the best price for the home you have chosen. Your Agent’s Commission will usually be paid by the seller.
Arrange your financing:- In many cases it is actually advisable to first secure a pre-approval of mortgage. Many sellers are motived at the bargaining table when they see that you have your financing already lined up. However, you can still secure financing following the acceptance of your offer to purchase the real estate. Note that The lender will also want to approve the property to ensure it has sufficient value for the mortgage. You should always include financing condition(s) in your offer as an exit strategy in the event you do not get final approval of the mortgage. Do not waive the financing condition until you have a definite approval from the lender. A mortgage broker, unlike a bank will be able to give you choices of lenders, as they "shop around" your application to get you the best possible rate.
Choose a real estate lawyer:- Ensure that the real estate lawyer you use to help you with your real estate purchase contract has experience in real estate transactions. We offer unrivaled service in this area and will work hard for your to ensure that your closing goes smoothly and efficiently.

You should find out any costs associated with the closing that this not apparent to you at this stage. This will help with a smooth closing process. These costs are referred to as closing costs and your real estate lawyer should be able to provide at least an estimate for your earlier on during the retainer.

The Agreement of Purchase and Sale:

When you have found a home and are ready purchase your real estate, make sure you understand the agreement of purchase and sale. Understand the other costs associated with buying a home. How much is the property taxes are, how much the monthly utilities are et cetera?

Your Real Estate Agent will make an offer to the sellers on your behalf. The offer will contain all the essential terms of the contract and may be accepted, rejected or countered by the seller as part of the negotiations. Once accepted by both parties, it becomes a valid and binding final contract. It is important, that you understand all the terms and conditions in the offer before signing. Ensure that the personal properties (blinds, fixtures etc) are specified as included or excluded in the agreement.

Always include some conditions in your offer for your protection. Make the purchase subject to items such as financing, selling your existing home, a home inspection or other conditions.

To avoid future problems, it is very important to review the terms and provisions with your real estate lawyer before signing. Alternatively, you can include a condition that the real estate purchase is subject to your lawyer's review and approval.

Is is prudent to make the real estate purchase conditional on a satisfactory home inspection. The cost of a home inspection is a small price to pay for the peace of mind you will have knowing there are no surprising major expenses down the road.

See Your Lawyer Before Signing the Agreement

As a lawyer we are trained to read, interpret and advise on the terms of a contract. Your agreement of purchase and sale is a contract that has far reaching implications regarding the process of the purchase of your home. It is important to have your lawyer review any contract before you sign it. Real Estate Agents typically will prepare the agreement of purchase and sale, but lack the legal preparation necessary to give you the advise that you need. If you are under pressure to sign the contract, at least make the agreement conditional upon a real estate lawyer's review or approval.