Considering buying a home for the first time in Kitchener? The following advice will help point you in the right direction.
The Kitchener housing market is very competitive, so you will want a strong pre-approval from a good mortgage broker or bank. At Altrua we review your file carefully so that when you place a competitive offer on a home, you can be confident that financing should not be an issue. With a 5% – 10% down payment in Kitchener, you may want to have a backup plan such as family who can step in as a co-signer or gift added down payment should there be an issue with the Mortgage Default Insurance (CMHC) or if there is a valuation for example. With 20% down payment, there are more financing options available in case there is an unforeseen issue with one of the ‘A’ low rate lenders. In any case, the more details and documents that can be provided upfront, the stronger your pre-approval will be and the less likely there will be an issue if you make an offer on a home.
Next make sure you are aware of the incentives that apply to you as a Kitchener mortgage application, and other mortgage applicants across Ontario. These include:
- First-time buyer plan- use up to $35,000 of RRSP per applicant.
- Homebuyer tax credit – Get up to $750 as a tax credit
- Land transfer tax rebate. In Kitchener, mortgage closing costs will help to cover any excess land transfer tax paid, beyond what the instant rebate covers.
Finally, work with a good local realtor that knows the Kitchener market well. This will help you to find the right home and win bids. incase there are multiple offers. Finally, they will work well with us as your Kitchener mortgage broker when the offer is accepted, to help provide a smooth and pleasant closing experience for you.
Connect with us at your convenience for more information!