Alberta residents who have dreams of owning their first homes may do well not to rush into their decisions. There are certain steps to take in preparation that can save potential buyers of residential real estate from disappointment. Too many people put their hearts on particular houses only to find they do not qualify for large enough loans.
A mortgage broker will scrutinise every aspect of a potential buyer's financial life, and knowing how one's finances look on paper can help prepare for the questions that will be asked. Buyers must also know what they can afford and have some idea of the price range at which to look, while also being sure the mortgage payments will be affordable. Choosing a home that is outside the affordable price range can bring about financial instability and disappointment.
The next thing a potential real estate buyer must consider is his or her credit score. Check the reports from the various agencies, and if scores are too low, it may take about a year to work on repairing one's credit. During this time, all debt payments must be paid on time to develop a credit profile showing an individual who can handle mortgage payments responsibly. Only after proper preparation will the time be right to begin making such an important purchase.
The thought of buying a first home may seem overwhelming, and some young couples in Alberta may wonder whether it would not be easier to rent forever. However, help is available. The support and guidance of an experienced residential real estate lawyer from the onset may be invaluable. A seasoned legal representative can provide valuable input and help potential buyers to assess their financial capabilities and choose properties they can afford. A lawyer can also scrutinise all legal documents before they are signed, ensuring the protection of a buyer's investment.
Source: FindLaw, "3 Tips for First-Time Home Buyers", Ephrat Livni, Accessed on Nov. 5, 2016