THE STEPS OF THE BUYING PROCESS

We impart our deep knowledge of the Ottawa real estate and decades of expertise to you so you feel confident entering the market.

Buying a home is one of the most exciting milestones of your life. To prepare yourself for this moment, you need to know what to expect during the process. This step-by-step first-time buyer’s guide will help reduce the stress of buying a home and help you enjoy the journey as much as possible. From here, Shamir will work with you to build a customized plan based on your goals.

1. KNOWING YOUR STORY

Our initial discovery meeting is focused on getting to know you personally – delving into your unique story, your aspirations, and your specific expectations for your dream home. Our goal is to lay a robust foundation right at the outset, guaranteeing a seamless and enjoyable journey from the beginning to the end.

During this process, we will guide you meticulously through the home-buying steps in Ottawa, ensuring complete transparency and no unexpected surprises. We are also committed to assisting you in developing a comprehensive financial strategy, while providing insights into the current market trends. This approach ensures that you are well-informed and strategically positioned to achieve success in your home-buying venture.

2. GETTING PRE-QUALIFIED

Embarking on your home search journey begins with a clear understanding of your budget. The foremost step is obtaining a mortgage pre-approval, a process that can never be initiated too soon. Securing this pre-approval not only fortifies your standing when it's time to make an offer but also narrows your search to properties that align with your financial capacity.

Engage with your banking institution or a mortgage specialist to assess your current financial status. They will guide you through the pre-approval process, determining the amount you can comfortably afford. This pre-approval typically remains valid for a period of 90-120 days, giving you a solid timeframe to explore and select your ideal home within your pre-approved budget.

TIPS FOR GETTING PRE-QUALIFIED

1. Be prepared with your documents: Tax records, income statements, and IDs are just some of the items you will be required to provide.

2. Consider all your sources of income: Income from rent, monetary gifts from family, and more are all something to consider.

3. Get your pre-approval in writing.

4. Ask us for recommendations: If you don’t have someone to help, we would be happy to introduce you to one of our preferred partners.

3. COSTS TO BE AWARE OF

Understanding the various costs involved in buying a home is critical, as they can quickly accumulate in addition to your purchase price. To help you navigate these expenses with ease and confidence, we have meticulously detailed the common costs below:

DEPOSIT AND DOWN PAYMENT

In Ottawa, the standard deposit is typically between 1-2% of the home’s purchase price. It’s essential to have this amount readily available in your bank account, as it must be paid within 24 hours following the acceptance of your offer. Importantly, this deposit is not an extra cost but rather forms part of your overall down payment. It will be applied towards the balance you owe on the purchase price when you close on your new home.

CLOSING COSTS

Closing costs are typically 1-2% of your final purchase price. These are additional funds that you will need to have accessible for your closing (they are not included in your mortgage):

• Legal (lawyer) fees

• Land transfer tax

OTHER FEES

1. Home Inspections

2. Appraisal fees

3. Mortgage Insurance

Always consult your Mortgage Broker/Lender and your Daya Real Estate Partner to estimate your closing costs and fees.

4. CHOOSE A REAL ESTATE ADVISOR

Is it possible to search for, view, and even place an offer on a home without a real estate agent? Technically, yes. However, the real question is, why would you choose to navigate this complex process alone when you can have an experienced agent like myself handle it at no extra cost to you? I bring much more to the table than just alleviating stress. My role involves not only identifying potential properties and organizing showings but also managing the intricate details of the offer process.

More importantly, my in-depth understanding of the market is an invaluable asset. This knowledge enables me to guide you away from less desirable homes or areas, uncover hidden treasures in the market, and provide strategic advice to ensure you find your ideal home at the best possible price.

5. FIND THE RIGHT HOME

This phase of the journey should be one of the most delightful experiences, second only to the joy of moving into your new home. I will meticulously organize showings for homes that align with your interests and fit within your budget. As you explore these homes, I encourage you to take detailed notes on aspects you admire and those you don’t, while paying close attention to the finer details.

I am committed to walking you through each property, thoroughly explaining its features and potential shortcomings. This process is designed to offer you a comprehensive understanding of each home, ensuring you are well-informed about your potential investment. Remember, your evaluation should extend beyond the house itself. Take the opportunity to explore the neighborhood, observe the traffic patterns at different times, assess the parking situation, and consider the proximity to essential amenities like schools and grocery stores.

To help you organize your thoughts and preferences, I'll assist in keeping a record of each home we view. We'll then discuss your impressions, and you'll have the opportunity to rate each property on a scale from 1 to 10. Typically, these ratings lead to the following outcomes:

• 8-10 = Submitting an offer

• 7 = Possible offer

• 1-6 =No offer

6. MAKE AN OFFER

Initially, we'll conduct a thorough Comparative Market Analysis (CMA) to accurately assess the asking price and anticipate the realistic selling range of the property. In alignment with your specific requirements, budget constraints, desired timeline, current market dynamics, and the seller’s stance, we will craft a tactical approach. This strategy is tailored to maximize the chances of your offer being favorably received.

With my extensive experience in diverse real estate markets and a proven track record in handling various types of property purchases, I bring a wealth of expertise to the table. I am adept at leading negotiations and skillfully managing competitive bidding situations, ensuring that you emerge victorious in securing your desired home.

Upon preparing to submit your offer, which is formally known as the Agreement of Purchase and Sale, it’s crucial to focus on several key elements. These components include:

Offer Price

The amount you are willing to pay. This may be the final amount or the starting point of the negotiations.

Clauses

A clause is a term or terms necessary to include in your offer to protect you through the purchase process.

Closing / Completion Date

The date that you pay for and take title/ownership of the property.

Deposit

This is typically 5% (or more) of the purchase price and is payable by bank draft or certified cheque within 24 hours of offer acceptance or in some cases, with the offer, depending on circumstances.

Conditions

A condition is a clause the Buyer needs to waive or fulfill by an agreed time in order for a sale to be finalized. The most common conditions are: financing, inspection, lawyer review, and status certificate review.

Chattels and Fixtures

Otherwise known as inclusions and exclusions; these are the items that you wish (or the Sellers wish) to be included or excluded from your offer.

8. HAVE THE HOME INSPECTED

Typically, your offer will include a condition for a home inspection. This essential step is to confirm that the property is free from significant structural issues or extensive repairs. I will assist in coordinating this inspection, which can usually be scheduled within a few days after your offer is made, or in some instances, even prior to making an offer.

If the inspection reveals no major concerns, we smoothly proceed to the next step. However, should any significant issues be uncovered, you are then in a position to renegotiate your offer, taking into account the cost of necessary repairs. Alternatively, you have the option to withdraw your offer entirely if the findings are not to your satisfaction.

9. SELECT YOUR LOAN

Now is the opportune moment to reconnect with the mortgage lender who provided your pre-approval or pre-qualification. This is the stage where you'll make the critical decision of selecting your mortgage. Your lender will present you with a range of options tailored to your specific financial circumstances. These options may include fixed-rate or variable-rate mortgages, terms of different lengths like 15 or 30 years, and even specialized programs such as Vendor Take-Back (VTB) mortgages.

It's important to engage closely with your mortgage lender during this process. They will assist you in understanding the nuances of each option, helping you choose a mortgage plan that aligns seamlessly with your financial comfort zone and long-term goals.

10. GET A HOME APPRAISAL

Your lender will arrange for an independent appraisal of your new home to establish its market value. This appraisal serves a crucial role in the home-buying process, ensuring that the price agreed upon is fair and equitable for all parties involved. It's a key step in providing peace of mind that your investment is sound and in line with current market conditions.

11. CLOSING THE DEAL

Once your offer becomes firm, meaning all conditions outlined in the agreement have been met, the sale status changes to pending, remaining so until the designated Closing/Completion Date. Engaging a lawyer to oversee the closing process of your property is essential. We advise initiating contact with your lawyer at least 2-3 weeks prior to your closing date. This ensures all necessary arrangements are in place and confirms the scheduling for signing all required documents, which can conveniently be completed virtually. This is also the time to clarify details such as when and where you'll receive the keys to your new home.

*If you're in need of legal representation and haven't chosen a lawyer yet, we're more than happy to recommend one from our network of trusted and experienced partners.

On the day of closing, your lawyer will notify you once the transaction is finalized, indicating the successful transfer of funds. At this point, the property title will officially be transferred to you, marking the moment you gain access to your new home! It’s customary for the sellers to provide vacant possession by 6:00pm on this day, unless different terms were negotiated in your contract.

Congratulations on becoming a homeowner! This is a significant milestone, and we're thrilled to have been part of your journey.

8 REASONS TO BUY WITH DAYA REAL ESTATE

1. WE KNOW THE MARKET

Our educated team of experts eat, sleep and breathe real estate. We take our responsibility seriously to ensure you understand what is really happening in the current market (and why). We are committed to ensuring you feel knowledgeable and informed on real estate stats, trends, and the entire buying process.

2. WE OPERATE FROM OUR CORE VALUES

Relationships first, always. This is at the centre of what matters most to us. We intend to earn (and keep) your trust through the entire buying process and our commitment to “relationships, first” extends far beyond your purchase. Within the industry, we also have a valued network of Realtors and affiliate relationships to ensure we are not limited in the scope of service we provide to you.

3. YOU’LL ALWAYS KNOW WHAT HAPPENS NEXT

We’ve come to realize that one of the most important things we can do for our clients is always stay one step ahead to make sure you know what’s going to happen next. We make every effort to keep you updated and informed. While we might not always have the answer at our fingertips, we will let you know that we’re on it and will be getting back to you right away. When our professional opinion is warranted, you can trust that we will provide it. We will not only keep you updated on current market conditions or changes, we will provide honest feedback on a particular property or neighbourhood. This will ensure you’re well-equipped when it comes to making your final purchase decision.

4. OUR SERVICES ARE FREE

Did you know that there is absolutely no cost to you working with Daya Real Estate to buy or invest in real estate? When you buy a property, we are compensated by the Sellers, not by you.

5. WE ARE EXPERT NEGOTIATORS

Our extensive real estate sales experience, combined with our commitment to education in both sales strategies and the market ensures we have the upper hand at every negotiation table. Shamir has a Certified Negotiation Expert designation. Today’s market requires a competitive edge. By hiring Daya Real Estate, you have the best chance to get exactly what you are looking for at the right price and with minimal stress.

6. YOU HAVE AN ENTIRE TEAM WORKING FOR YOU

From your pre-approval and search process, to your accepted offer and moving day (plus everything in between), our team is dedicated to working hard for you. But wait! It doesn’t even stop there; we also work with an extensive network of service partners that are devoted to our clients and operate at the same level of excellence and expertise as we do (lawyers, mortgage brokers, inspectors, and more. Just ask and we can provide our recommendations!).

7. WE ARE PAPERLESS AND DIGITAL

We use industry-leading tools and technology to assist with your search process and manage your purchase. We can automate everything - you won’t have to print or scan a single thing. Through our paperless systems, our Buyers can sign documents in minutes from anywhere and on any device.

8. YOU’LL HAVE A REAL ESTATE EXPERIENCE WORTH TALKING ABOUT

Our job is to help ensure that your buying process is as easy and seamless as possible for you. We know it can be stressful, but with our help, it can also be really great too! We will do everything we can to make your real estate experience worth talking about. Over 80% of our business is referral based. That means our clients have had great experiences and recommend us or keep coming back. Our goal is to make sure you feel the exact same way!

BUYING WITH SHAMIR

%

BUYERS SPEND LESS

$

BUYERS SAVE MORE

*Data compiled from Ottawa Real Estate Board 2022

PREFERRED PARTNERS

Throughout your purchase process, you may need additional services and resources at various times. If you have your own contacts, we would love to work alongside them for your purchases. However, if you want recommendations, we have vetted expert providers in these categories:

Inspectors

Lawyers

Mortgage Brokers

Appraisers

Contractors

Cleaners

Movers

And more

Don’t hesitate to ask us for these recommendations. We will provide you with more than one in each category so that you can do your own research and due diligence before making a final decision.