My best advice to anyone starting a home search:

1.       Know what you can afford to spend:   

Plan to live within your means. The 'norm' to budget for all housing-related costs is 29%-32% of your gross monthly income.

2.       Get pre-qualified for your mortgage with as long a "guaranteed rate" period as possible:   

First obtain a copy of your credit history, then gather together your income, debt and income tax records. I am able to provide the names of well known mortgage brokers whom clients have been very pleased with.

3.    Make a list of must-haves in a new home and another of would-like-to-haves:    

You may want a double car garage and two full baths on the second floor but these features may put homes in the right neighbourhood out of your price range. Prioritize both lists and be realistic.  

4.       Don’t spend a lot of time looking at homes you can’t afford:   

This reduces the temptation to overextend your budget. After your first day or two out 'shopping', reduce your expectations and continue to look in the same neighbourhoods OR decide to start looking in neighbourhoods with lower price ranges for the type of home you want (usually further out).

5.       Realize the neighborhood you choose is more important than the house:  

It is all about Location. You can fix a house; a neighborhood is what it is.

 6.      Think about resale value:     

When you spot a home you like, consider how it will look to future buyers. Major road, over improvements for the value in the area, corner lots -- there are many factors to consider.

7.       Be realistic about your budget - calculate ongoing maintenance costs, taxes, insurance, utilities:

Again, the objective is to be able to cover all of your home-related costs using between 29-31% of your gross annual income.  You want to be able to afford a holiday, not just a roof over your heads. Knowing you can afford a vacation is more important than that extra bathroom!

8.       Know what your closing costs will be and ensure you have enough cash to pay for additional expenses:

These include lawyer’s fee, various adjustments for pre-paid utilities etc, moving costs, Provincial Land Transfer Tax and essential purchases eg. appliances if not included in the home.

9.       Understand what "market value" means in the neighbourhoods you choose:

Even in a recession, homes rarely go for so-called ‘bargain basement prices’ – realtors work hard to price properly. You need to ‘do the research’ by going out and looking at a ‘test batch’ then watching what they sell for.

10.   Get prepared  to act– the most desirable homes sell very quickly:

Once you know what you can afford, what closing costs and carrying costs to expect, then get ready to act fast when the right home comes along.

11.     Have the house inspected  and be prepared to walk away if there are costly issues:

A home inspections is essential to stay within your budget. Remember that the seller is obligated to fix a leaking roof but not a hole in the carpet.  If there are too many issues, be prepared to walk away - there are always "more fish in the sea".

Enjoy your home search - I'll make it enjoyable and stress-free!