Most people buying a home need a mortgage. Too often, in the past, arranging a mortgage was left to the very end, sometimes even after a house was bought, forcing borrowers to scramble for financing.

How things have changed! Today it’s important to shop for a mortgage before you purchase a home, since most lenders will “pre-approve” buyers for a mortgage. Some lenders will even do it over the phone or on the Internet.

It’s a no-cost, no-obligation deal that lets you know before you go house hunting or sign an offer to purchase, how much you can afford to buy based on how much you can afford to borrow.

When getting pre-approved for a mortgage, see how long the rate commitment is good for; it differs from lender to lender.

With a pre-approved mortgage, you can confidently negotiate the purchase of a home, knowing the mortgage financing is arranged, subject to final property appraisal and a formal credit review.

According to a Canada Mortgage and Housing Corporation study, resale house prices rose faster than inflation in 23 of 27 major Canadian cities between 1971 and 1996-even in years when inflation ran rampant throughout Canada.

The principal residence tax exemption makes the capital gains from that increase in prices tax-free too.

And the power of leverage magnifies that return even more, since you’ve earned those gains on your down payment, not on the purchase price.

If you buy a $150,000 house and five years later it’s up 5%, you’ve made 1% a year; but that assumes you paid all cash for your house. With a 25% down payment, you’ve really earned 4% a year tax-free on the money you invested. And if you buy a house with only 10% down, over five years your annual tax-free return is 10%.

Of course, if you can avoid it, never buy a house with the smallest possible down payment, as mortgage interest is not tax deductible. But when tax-free capital gains are added to the power of leverage, real estate remains a good investment.

When you have decided to buy a home or property, the services of a qualified real estate professional are of utmost importance.

The ideal sales agent will have a good working knowledge of local real estate market conditions and be prepared to deliver a high standard of service to customers. Most importantly, a good agent will save you time and money.

Here are the advantages of working with a sales agent:

When buying a house:

Agents are experienced negotiators who will manage your offers and counter-offers.
An agent is familiar with the neighborhood and can give you information on local real estate values, taxes, utility costs, services and amenities.
An agent is familiar with the entire home purchasing process and can advise you of your legal and financial options as well as recommend appraisal, home inspection and contracting services.
An agent can pinpoint homes that fit your needs and dismiss those that do not, saving you time.
An agent knows the potential problem areas in a home and can guide you away from “lemons.”

Unison Realty Group Ltd. and its agents have over thirty years of combined experience. We will find you what you want and leave you as a satisfied customer. We sincerely hope you will let us use our experience to your benefit.

Before you move it is a good idea to follow these recommendations

If you own your present home:

Make the necessary arrangements to have your gas, water, and electric meters read on the day you leave disconnect it. Then have the bills forwarded to your new address.
Have your telephone, cable TV, water, gas and electrical disconnected.
Arrange for moving company, as you know that you have the date that your getting key for your new home.

If you rent your present home:

Give appropriate written notice to your landlord and make arrangements for the return of any money owing to you on your deposit.

At your new home:

Make the necessary arrangements for the gas and electric utilities, water softener, telephone and cable TV to be connected on the day the sale closes.

General:

Get “Change of Address” cards from the post office and send out well before your moving day.
Have the post office forward your mail to your new address.
Cancel any contracted services and pre-authorized cheques.
Inform gardening, dry cleaning, garbage pick-up, newspapers, magazines, diaper and other home services. Arrange for service at your new address.
Obtain a letter of introduction from Unison Realty Group Ltd. to help establish new accounts. Transfer trust or bank accounts and securities.
Cancel or transfer social, athletic, civic, religious or business affiliations and memberships.
Arrange for transfer of medical, dental, prescription and optical records.
Change the address on your driver’s license(s) effective the day of the move.
Collect all items out for cleaning, repair or storage. e.g. fur coats, dry cleaning.
Make special arrangements for the moving of perishables, such as plants.
Make special arrangements for the moving of your pets.
Dispose safely of all flammable liquids as it is illegal for movers to carry them.