An Article From Anita Deonandan - Steps Involved in Helping First Time Home Buyers Find Their Dream Homes in York Region and Beyond
As any 1st time buyer knows, the process of finding a home can be a stressful process, especially it being the first time. There are many factors to consider when buying a home which are completely foreign to a new buyer and there are so many parts and processes involved that an experienced realtor like myself can assist with.
Step 1: Financing
The pre-approval is always the first thing I ask for before I can determine an action plan for my buyers. This is the budget will be for purchasing a home. A pre-approval is what you will need from either the bank or a mortgage specialist. This is the amount that a lender will lend for the mortgage after considering several factors such as your income, your assets and your liabilities. Once all factors are considered, they will provide you with a maximum amount that can be spent without over-leveraging.
I’ve seen it happen where buyers create a budget but haven’t taken all factors into consideration and end up being declined for a mortgage on a home that they do not qualify for. Or on the other hand, a buyer may be very conservative in their spending and not realize that they may be able to increase their budget without over-leveraging themselves and, in turn, qualify for a better property with higher Return on Investment (ROI).
Step 2: Determining Location
The next step that is key when looking for a property is to narrow down an area that is preferred. The location is so important as it helps me to focus on whether or not, based on the criteria I have received, this area is suitable based on budget. There are areas of the city that will be more expensive as it’s more conveniently located, close to transportation, highway accessible, highly-rated schools, etc. This is a key factor to see if the budget is realistic for the area. If well-suited, that’s ideal. If the area and budget don’t align, then it’s time to discuss suitable alternatives. Either the budget will need to be revised, or we would need to expand our designated area.
Step 3: Determining the “Wish List”
The 3rd step is to really have a heart to heart with my clients and LISTEN to their entire “wish list” of things they would like for their new home. This is really key in developing a relationship of trust with my buyers. I need to demonstrate to them that I am listening! I can’t tell you the number of times I’ve heard from frustrated buyers saying that their realtor was showing them places that they’ve clearly stated they’re not interested in. I make it clear to my buyers that the wish list is important, but it cannot be expected that ALL needs will be met. We need to determine priority.
The “Wish List” is important because I keep detailed notes to refer to when I’m researching suitable properties for us to view. This helps when we start looking at properties and I can obtain feedback as to what is liked/disliked (i.e., If my buyer says that they don’t like red-bricked houses, I’m certainly going to omit them from the list going forward)!
Step 4: Seeing Every Property on the Market is Not the Answer
If my buyers are motivated and know that they will be moving, I will usually book no more than 6 properties per day. It should take no more than 2 days of showing 6 properties for the buyer to choose something. It can start to become blurry and confusing if seeing too many properties as the memory will not retain everything about every property.
Step 5: Protecting My Buyer’s Interests
It’s very crucial that my Buyer’s interests are always protected. When I am showing a property, I’m not only looking at the physical aspects of the property. I’m smelling for mould, I’m determining if there are any cracks, stains, sagging roofs, level floors, quality of windows, and the list goes on and on. I’m ensuring that you’re needs are protected.
Step 6: Negotiating The Offer
Once a property of interest is found and my buyer is ready to submit an offer, I kick into high-gear. This means researching the comparable sold listings in the area so that you are not overpaying for a property. I will negotiate with the seller’s agent to ensure that you are getting a fair deal and saving you as much money as possible.
Step 7: After the Deal is Firm
After the deal is firm, I ensure that my Buyer knows who the other players are that will assist in closing this deal. There are lawyers, mortgage planners, appraisers, movers, etc. The more the Buyer is aware of what’s happening at every step, the better.
Step 8: Keeping in Touch
After the closing and my Buyer has made the move to the new property I ensure that I keep in touch with them to see how everything is going. I don’t just want to have a client for “now”, I want to maintain a relationship with my Buyer’s where they know they have a friend in me for a very long time.
Anita Deonandan currently lives in the York Region and is an expert in the area. If you're considering moving to Richmond Hill, Vaughan, Aurora or Newmarket, Ontario don't hesitate to contact her directly at 416.917.6872 or Anita@Searchrealty.ca