Step-by-Step Guide to Buying Your First Home in the GTA
Buying your first home is an exciting milestone, but it can also feel overwhelming. With so many steps involved, it’s important to understand the process and be well-prepared. Here’s a step-by-step guide to help you navigate buying your first home.
Step 1: Assess Your Financial Readiness
Before starting your home search, evaluate your financial situation to determine how much you can afford.
Check Your Credit Score – A higher credit score can help you secure a better mortgage rate.
Save for a Down Payment – In Canada, the minimum down payment is:
5% for homes under $500,000
10% for homes between $500,000 - $999,999
20% for homes over $1 million
Factor in Additional Costs – Budget for closing costs (approx. 1.5-4% of the purchase price), land transfer tax, legal fees, and home inspections.
Step 2: Get Pre-Approved for a Mortgage
A mortgage pre-approval helps you understand how much you can borrow and strengthens your offer when you find the right home.
Shop around for the best mortgage rates.
Choose between fixed and variable rates.
Get a pre-approval letter from your lender to show sellers you’re a serious buyer.
Call the Clarke Team to verify the information given to you by a mortgage adviser. We have saved our clients thousands of dollars in the past.
Step 3: Define Your Must-Haves and Wants
Make a list of what’s essential in your new home.
Location: Proximity to work, schools, amenities.
Home type: Condo, townhouse, detached home?
Number of bedrooms, bathrooms, and other key features.
Future resale potential and neighborhood trends.
Step 4: Find a Real Estate Agent
Working with an experienced real estate agent can simplify the process.
Agents provide market insights, negotiate on your behalf, and guide you through paperwork.
They have access to listings and off-market properties.
A good agent will help you avoid common first-time buyer mistakes.
Mississauga homes have different aspects of them in comparison to Toronto homes, Burlington homes, Oakville homes, Cambridge Homes, Milton homes, etc. All of these aspects impact affordability, and so its important to chose an agent with the right experience who will work in your best interest.
Step 5: Start House Hunting
Once you know your budget and preferences, start touring homes.
Attend open houses and schedule private showings.
Take notes and compare properties.
Be prepared to act fast in competitive markets like Mississauga, Burlington, Oakville, and Hamilton.
Step 6: Make an Offer
When you find the perfect home, it’s time to make an offer.
Your real estate agent will help you determine a competitive offer price.
You may need to negotiate on price, closing date, or conditions.
Common conditions include financing approval, home inspection, and review of the property’s status certificate (for condos).
Step 7: Secure Financing & Conduct a Home Inspection
After your offer is accepted:
Finalize your mortgage with your lender.
Conduct a home inspection to check for any issues.
If necessary, renegotiate based on the inspection results.
Step 8: Close the Deal
In the final stages:
Hire a real estate lawyer to review contracts and handle the closing process.
Pay closing costs, including land transfer tax and legal fees.
Transfer utilities and prepare for moving day.
Step 9: Move In & Enjoy Your New Home!
Once the deal is closed, it's time to move in! Celebrate your achievement and settle into your new space.
Final Thoughts
Buying your first home is a significant investment, but with proper planning and the right support, it can be a smooth and rewarding experience. If you're thinking about buying your first home in Southern Ontario, including Mississauga, Burlington, Toronto, Oakville, Cambridge, Milton, Hamilton reach out today—I’d love to help you find the perfect place to call home!
