Any tips for first time house buyer?

[Didona84]

You have a really good rent price at the moment, ideal to save as much as you can.

It is really hard to find anything move-in ready under a million in GTA and surroundings.
Beware of townhouses, as they are often managed by strata which adds monthly fees you cannot really control, so on top of the mortgage you have another regular expense that is not negligible.
The prices are still ridiculous and with the interest rates rising not sure whether to buy now or wait for a possible drop in prices .

 

[steaky]

You have a really good rent price at the moment, ideal to save as much as you can.

It is really hard to find anything move-in ready under a million in GTA and surroundings.
Beware of townhouses, as they are often managed by strata which adds monthly fees you cannot really control, so on top of the mortgage you have another regular expense that is not negligible.
The prices are still ridiculous and with the interest rates rising not sure whether to buy now or wait for a possible drop in prices .

Did you forget about municipal property taxes?

 

[RickyT]

The rule of thumb is income x 5 is the maximum mortgage you can afford. So $80K * 5 = $400K.

A decent 1BR+DEN in GTA (Say Vaughan, Mississauga, North York) probably runs you closer to $600K. So you should have about $200K saved up at this point.

Pay attention to property tax, condo maintenance fee, transfer tax (1 time), legal cost.

With that said, go to a mortgage broker and get pre-qualified.

$200K saved up, what kind of world do you live in?

They make 80K combined before paying rent/bills. There is no way possible to save anywhere close to that, it would take years.

 

[steaky]

$200K saved up, what kind of world do you live in?

They make 80K combined before paying rent/bills. There is no way possible to save anywhere close to that, it would take years.

How many years? What kind of world do you live in that you cannot have $200K saved up?

 

[RickyT]

How many years? What kind of world do you live in that you cannot have $200K saved up?

Around 10-15 years I'm guessing? Bills/rent/food/car etc.. It would be very hard to save 200K on a combined 80K income. You would literally be left with little to nothing to save each month.

 

[a21]

Our house income is on lows, ~$80,000 per year. But will increase soon.

We are currently renting 2 rooms for $1300 in toronto, everything included, (lot of people said this is cheap), but its basement rooms.

We are planning to buy a house, even townhouse is fine. In GTA or outside GTA, not too far from GTA.

Our credit score is above 800.

Is there a guide for first time house buyers? Any tips from senior members here?

Hello,

Hope you are doing well. I have been member of this forum from last few years. I came across this thread. I see, its from April 2022, if you are still thinking to buy, I would be glad to assist in any information needed regarding home buying and mortgage approval process. I am CPA, CGA (Chartered Professional Accountant) and Real Estate Sales Representative for more than 10 years. I have extensive experience working with First Time home buyers and genuinely understands the challenges faced throughout the whole process of mortgage approval through finding the suitable property till settling down in your new home. I have diversified experience in Mortgage, Real Estate and Accounting industry.
Let me know, if i can assist you with any information or services regarding this.