While your mortgage will cover the purchase price of your home, it's wise to consider the other expenses involved in buying a home.

 

1. Appraisal Fee - This is the fee for determining the property lending value for mortgage purposes. This value may or may not be the same as the purchase price of the home (Apprx $200-300) 

 

2. Home Inspection - The home inspector evaluates the structures and systems that make up your home and provides you with a written report. (Apprx $350-600)

 

3. Downpayment - will depend on the purchase price. See your lender for rate. 

 

4. Land Transfer tax - This is charged whenever a property changes hands and is based on the purchase price. Most provinces in Canada charge a provincial land transfer tax and some cities also charge an additional municipal land transfer tax. In some cases, first time homebuyers may be exempt from a portion of this cost. Contact your lawyer for approximate cost. 

 

5. Legal Fees - These fees vary by province and are subject to GST or HST where applicable. Ensure your lawyer's quote includes all related expenses and disbursements, not just legal fees.

 

6. Title Insurance - Title insurance is optional and covers problems that may arise due to encroachment issues (for example, a structure on your property is actually part of your neighbour's property and needs to be removed), existing liens against the property's title, title fraud, undischarged mortgages and other issues relating to the property's previous owners.

 

7. Pre-paid property tax & utility adjustments - You will be required to reimburse the vendor for any prepaid property taxes or utility bills.

 

8. Home Insurance - Protection for your home and contents

 

9. Mortgage Life Insurance - Costs vary but can be conveniently included in your regular mortgage payment.

 

10. Moving costs 

 

11. Home maintenance/repairs 

 

12. Appliances/furnishings 

 

13. Property Taxes 

 

14. Utility Costs ie: gas, hydro, rentals