Buying an Edmonton home is surely one of the biggest financial investments you will ever commit yourself into in your lifetime. Aside from the Selling Price of the home, you will also need to consider other expenses associated with the purchase.
Here are some that you will need to add to your computation:
1. DOWN PAYMENT – Let’s start with the most obvious. Down payment’s are usually in the 5% range. It will depend on your mortgage company.
With the new Canadian mortgage rules, home buyers who will avail of a mortgage with less than 20% down payment will be required to qualify for a higher interest rate. Ouch!
Learn more here:
2. EARNEST MONEY – As defined by Investopedia:
Earnest money is a deposit made to a seller showing the buyer's good faith in a transaction. Often used in real estate transactions, earnest money allows the buyer additional time when seeking financing. Earnest money is typically held jointly by the seller and buyer in a trust or escrow account.
3. CLOSING EXPENSES – These usually refer to Land Transfer Tax, Legal Fees, Title Insurance and Provincial Sales Tax on CMHC Insurance.
4. HOME INSPECTION – Although optional, home inspection is still one of the most important home buying activities that every buyer should consider. You wouldn’t want to learn that there are leaks, cracks and broken ventilation a week after you have paid the seller and moved in to your new property. That would be totally stupid.
Typical home inspection will cost between $250 and $400, this will all depend on your home inspector of course.
You can check out our recommended home inspectors here: Edmonton Business Partners
5. HOUSE MOVING COST – The amount will depend on the quantity of items and distance of new property from your old home.
There are plenty of moving companies you can choose from that’s operating in Edmonton. Here’s a yellowpages.ca list that you could browse. Edmonton House Movers
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Note: Remember, you can access all our available Homes For Sale in Edmonton through our Edmonton MLS Listings page.
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