Buying a home is a big first step and you have no equity so you need cash! Don't forget that there are additional costs associated with purchasing a home beyond the official price of the home.
Here are some costs to consider when looking to purchase your first home:
Have you saved enough for your down payment? If you are a first time home buyer and the home you are purchasing is less than $1,000,000 you can qualify for a down payment of 5%. If the home is more, or you are buying a second home or an investment property you are going to likely require 20% down. Remember that the down payment may not necessarily be the same as the deposit.
Before purchasing your home some lenders will require an appraisal of the home to determine whether they want to lend on that particular property. Usually around $200-$400
Home Inspection Fee
You should always get a home inspection down on any used building and possibly new depending on the reputation of the contractor or developer. Anywhere from $400-$1000 depending on type of property.
You will require a notary or lawyer to finalize all documents for your sale to close. These range greatly buy are usually in the ballpark of $1000-$1500.
Property Transfer Tax
If you are a first time home buyer then you are PTT exempt for homes below $450,000(+/- $25,000). Any second or subsequent properties are charges at a rate of 1% on the first $200,000 and 2% on the balance.
If you have any questions, I am here to help with your purchasing needs.