The purchase of a new home can be really exciting. The feeling can be really good when the keys are handed to you. Getting to that point is an adventure that can be daunting and stressful, but if you follow some simple rules, the whole experience may be a nice one. Here are some tips to make it so:

First thing to do would be setting up some goals . What kind of home do you want? What area? What features (schools, parks, recreational facilities, proximity to work etc?). What price range can you afford? Answering these questions will allow you to make an effective plan for searching out a perfect home for you.

How much can you afford to pay? The rule of thumb is that your Total Debt Service (TDS) ratio should not exceed 40% of your monthly income. You can work this out by dividing your principal, interest, property tax, heating, half of condo fees and any other monthly financial obligations such as credit card payments, car payments, etc against your gross monthly income and multiplying by 100. You will also have to factor in closing costs. These will include some or all of the following: lawyers fees, land transfer tax, survey, home inspection, CMHC fees if you have a high-ratio mortgage, registration fees, compliance letters, title insurance, utility connection charges, etc. I can help you with all of these details.

Get pre-approved first through your mortgage manager or mortgage broker so that you can submit an offer confidently. I can help arrange meetings with your choice of different mortgage experts. Nothing is more frustrating than losing an offer on a home because your financing didn't go through, or that your offer was conditional on getting financing approved. (see mortgage)

Go to open houses, or I can arrange private showings of the homes you are interested in. Take notes to keep track of the homes you have visited. If you find a home you think is the one, have me make an offer. However, at this point, I will require a deposit, which varies by area and type of property, but is usually around 5-10%. The deposit will be held in the my trust account until the transaction closes, or is mutually aborted. If interest has accrued on the deposit it will be paid after closing.

Negotiating is a delicate matter when everyone wants the best possible outcome for themselves. The vendor wants the best price they can get, while you as the buyer want the best price you can get. There will be offers and counter-offers, and if there are multiple offers on the property, it may start to resemble a feeding frenzy as I go back and forth between clients and vendors. Again, know what your limit is, and how much you are prepared to go above it, if at all. I will advise whether it's worth it to sweeten the pot or walk away. Ultimately, it's your decision though.

At the closing phase, your lawyer and the vendor's lawyer transfer title and all the paperwork necessary to put your new property into your name. As stated above you will incur closing costs so make sure those are factored in. On the closing date, the keys will be transferred from the vendor's lawyer to yours, and you can walk in to your new home.