Buying a house in Penticton
As a homeowner, you know the responsibilities that go with owning your own home.
Hopefully, you have learned from past mistakes and are better prepared for what lies ahead.
In this article, we aim to help you through the process of buying a house or condo, based on knowledge gained from many years in the business. We hope that these tips will reduce any anxiety you may be feeling about purchasing one of life’s biggest investments.
You’re going to be living there for a while, so it’s important to get it right! Let’s get started…
Neighborhoods
This is the first question you should ask yourself. The location of your Penticton house can be just as important as its features and price!
Here are some things to consider:
- Does it need to be close to work? If so, try looking for real estate in areas with lots of public transit options or free parking available near home.
- Are the schools good? Ensure that your kids will get a quality education before buying into an area that doesn’t have great schools. This will require you to do some research beforehand. The local school board might be able to provide suggestions on which schools are best in your area (or worst), depending on your budget and where you want to buy.
- Is it close enough for frequent visits to your family? Getting some distance between you and your parents can be healthy, but it also means that they won’t always be able to drive over when the furnace breaks or the wife gets lonely.
- What are existing residents like? Find out more about what makes up a typical day for people who already live in the area. If there’s not much going on around you, consider moving somewhere with more of a sense of community life.
Financing
One of the first things to remember when financing a house is that you will need to put down at least 20% as a down payment. The more you can put, the better-and this will affect your monthly repayment amount and interest rates too!
Options
- Use your savings – if you have already been diligently saving money, consider using it as a down payment. It’s certainly less risky than borrowing from somewhere else!
- Get a loan from your bank – most people use banks or credit unions for loans, so this may be an option for you. Remember though: lenders typically require two years’ worth of contributions before they’ll accept them as a down payment.
It’s also important to note that they check your debt-to-income ratio, which is total household monthly debt divided by monthly income. The greater the percentage, the higher your interest rates will be!
Preapproval
Getting preapproved means that someone has looked over your current financial situation and has given you an indication of how much they are willing to lend you based on this information.
The process involves:
- Completing paperwork about assets and liabilities
- Providing a cheque for a deposit
- Providing a list of your monthly income and expenses
- Being interviewed by the lender.
Benefits of using a Realtor
Using a realtor will make buying or selling your house easier, not to mention that it’s always good to have someone on your side when entering into transactions this big!
A real estate agent can help you consider all the factors outlined in this article to ensure that you get the best deal possible. They can also offer their opinion on current market conditions, which may be useful if you need some guidance.
Some other things they do:
- Deal with negotiations and paperwork
- Offer advice and expertise about potential homes
- Answer questions about how different neighborhoods work
- Help you compare different properties and neighborhoods to find what’s right for you
How to find a good Realtor
Just like any professional service, it’s important to do your research before hiring someone. Make sure you find a realtor who is knowledgeable about the area you are interested in living in, as well as your price range and preferred location. You should also make sure they are experienced in the kind of home you want to buy or sell.
Home inspection
It’s certainly not required, and depending on what type of house or apartment you’re getting and where it’s located, some people just skip the home inspection. However, if you’re buying a used property in an older building, it can be a good idea.