For many people, Canada is considered as the second location for their second home. Many people want to move to Canada just for better prospects and opportunities. Canada is very much popular for its spectacular scenario and political and social stability. Canada welcomes home buyers from all over the world. You can get so many benefits of having a home in Canada.
The government of Canada is very much helpful and flexible as well. There is no particular restriction in order to buy a home in Canada. To buy a home in Canada you will need a good credit score, money to pay the mortgage and find a good real state agent to help you.
Canada’s property market is actually a buyer’s market. So, this makes the country attractive for foreigners and especially for the residential property. Before buying a home in Canada, you will have to know these processes and follow these as well.
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Decide what type of home you want to buy it
First of all, you will need to decide if you want to buy a house or a condo.- Condos – is a unit in a building with many units. Usually, the homeowner pays a monthly fee to the company that manages the building. The monthly fee includes building maintenance, exterior repairs, landscape and sometimes heater. Generally, a condo is less expensive than a house.
- Houses – When comes to houses, you can choose from detached houses and semi-detached. Detached houses are properties that do not share a wall with another house. On the other hand, semi-detached and townhouses do share a wall with another. Keep in mind, as a homeowner, you will have to pay all additional expenses, These are such as; Property taxes, Home repairing costs, Water and Heating, Electricity, Landscaping;
Know about foreign ownership
Canada has an open-door policy for foreign ownership. There is no particular restriction for foreign ownership as well. You can buy a home even if you are not yet a permanent resident of this country. This fact does not affect your owning property in Canada. Generally, as the permanent resident, the foreigner has the right to live and buy home or property in Canada. On the other hand, as a non-resident, you will also have the right to buy the property or house in Canada and live there. In order to buy property or home, the same rule is applicable for both resident and non-resident foreigners.Choose the location
At first, you will have to select a perfect location for your house. You should decide where to live. Each and every city of Canada has a different type of weather and prices. Toronto and Vancouver have the most expensive prices in the country. To decide the location, keep in mind things like job opportunities, schools, transportation, and supermarket.
Make finance for your home
There are many home buyers who need a mortgage loan in order to buy the home in Canada. You can easily get the mortgage loan from the bank and other types of a financial institution such as credit unions and insurance companies. Check with your bank the financial options that they can offer you. Usually, if it’s your first home, the bank only requires 5% of downpayment. Find careful the best deal for your loan.A good credit score
There are many people who have the question of how to buy a house in Canada as a permanent resident? They should know that a good credit score is very much important while you are trying to get a mortgage. If you want to buy a home in Canada, then you will have to start building your credit score as soon as possible. A way to build up your credit score is to create a credit card with one of the Canadian banks. Initially, they will offer a secured credit card, which will require you to put a certain amount of money as a security deposit. Make sure to use the credit card to create and pay the bills in full on time. Be careful and don’t cross your budget, because this will hurt your credit history.Inspection of the home
A home inspection consists of a visual examination of the physical structure and systems of the house from the roof to the foundation. If you don’t have the experience, You should pay for a professional home inspector to inspect the home for you. After you choose your dream home, then you will have to do a proper inspection. Without an inspection, you should not buy a home in Canada. So, you will have to depend on some professional home inspector. You will have to check the detailed inspection of that particular property. Ask for reference in your local community. After choosing your home inspector, If possible, try to be in the home during the inspection. As a first-time homebuyer, be there, it’s a fantastic learning opportunity you get to learn all about the home and the way it works. Usually, People are given 10 days to get them a home inspection done. If you write it up in your purchase agreement a contingent upon the inspection, you will be protected in case of finding something expensive during the inspection. After the results of the home inspection, you will get to decide when you will buy a home or not.Understand the tax system
Both the federal and the provincial governments impose the tax system. There are other types of federal, local and provincial taxes are payable by the individuals. It is very much important to understand the tax process. You should also know that how it can affect the process of acquiring a home in Canada. Non-residents of Canada have different types of tax rates in various areas of Canada. If you want to buy a house in Toronto for example, then you will have to pay the four types of different taxes. These are such as:- The property tax
- The income tax
- The land transfer tax
- Non-resident speculation tax
Real estate agents
You will have to hire a trustworthy real estate agent for yourself. They can help you to buy a home in Canada. They will surely:- Arrange some home visits.
- Listen to all kinds of needs.
- Arrange some sort of professional home inspection.
- Help you a lot in order to get a good price.