Buying your first home in Ontario is an exciting milestone, but it’s also a complex process that requires careful planning and informed decisions. With over 15 years of experience and thousands of successful deals, I, Lez Gomez, am here to help you navigate this journey with confidence. In this guide, we’ll explore the top tips to help you buy your first home in Ontario while making financially savvy decisions.
1. Understand Your Budget
The first step is knowing how much home you can afford. Consider your income, monthly expenses, and potential mortgage payments. Don’t forget to include additional costs like property taxes, insurance, and utilities. Using a mortgage affordability calculator can provide valuable insights into your price range.
Ontario.ca – Land Transfer Tax Refund
2. Get Pre-Approved for a Mortgage
Before diving into house hunting, get pre-approved for a mortgage. This process determines your borrowing limit and signals to sellers that you’re serious. Working with an experienced mortgage broker ensures you get the best terms and rates.
CMHC First-Time Homebuyer Resources
3. Research the Ontario Real Estate Market
Ontario’s housing market varies greatly depending on location. In urban areas like Toronto, you’ll find competitive prices, while smaller towns might offer more affordable options. Research neighborhoods for their average prices, proximity to amenities, and future growth potential.
Government of Canada – First-Time Home Buyer Incentive
4. Save for Your Down Payment
In Canada, the minimum down payment is 5% for homes under $500,000. For homes above this value, the percentage increases. Saving more for your down payment reduces monthly mortgage payments and may help you qualify for better rates.
Ratehub.ca Mortgage Affordability Calculator
5. Account for Closing Costs
Closing costs in Ontario can range from 1.5% to 4% of the home’s purchase price. These expenses include:
- Land transfer taxes
- Lawyer’s fees
- Home inspections
Planning for these ensures there are no surprises during the final stages of buying your home.
Government of Canada – Home Buyers’ Plan
6. Don’t Skip the Home Inspection
A home inspection is essential to identify potential issues like structural problems, outdated wiring, or plumbing concerns. It’s a small investment that can save you thousands in unexpected repairs.
OREA Resources for Homebuyers
7. Be Ready for a Competitive Market
Ontario’s real estate market can be intense, especially in urban areas. Stay prepared to act quickly when you find a home you love. However, never let the pressure push you beyond your budget.
CMHC – Home Inspection Checklist
8. Explore Different Mortgage Options
Choosing the right mortgage is critical. Fixed-rate mortgages offer stable payments, while variable-rate options may save you money if rates decrease. Discuss your goals with a mortgage broker to identify the ideal product for your situation.
Ontario Property Tax Estimator
9. Take Advantage of Ontario’s First-Time Buyer Programs
Programs like the First-Time Home Buyer Incentive, RRSP Home Buyers’ Plan, and Ontario Land Transfer Tax Refund can make buying your first home more affordable. Learn how to leverage these resources to your advantage.
Government of Canada – Mortgage Stress Test Guidelines
10. Work with Trusted Professionals
Surround yourself with a reliable team:
- A skilled real estate agent to find the right home
- A knowledgeable lawyer for the paperwork
- A mortgage broker (like me!) to secure the best financing
Law Society of Ontario – Finding a Lawyer
How Lez Gomez Can Help You
As a licensed mortgage broker with over 15 years of experience, I’ve helped countless first-time buyers in Ontario achieve their dream of homeownership. Whether it’s navigating the pre-approval process, securing competitive mortgage rates, or understanding government programs, I’m here to simplify the journey for you.
📞 Call me at: 416-723-1313
📧 Email: info@lezgomez.com