Dexter Realty Buyer's Guide

DEXTER REALTY

BUYER’S GUIDE

Congratulations on

taking this rst step

toward buying a

home!

Buying a home, whether it’s your rst time or your fth,

can be a little overwhelming. While it’s easy to get swept

up in the excitement, it’s even more important to keep

your eye on the big picture. Your new home might be the

single most valuable purchase you’ll ever make—one that

can increase your future net worth as you build equity in

your home.

We have condensed four decades of in-house expertise

into an easy-to-use guide for rst-time home buyers and

seasoned investors alike.

When it comes to buying a home, we know real estate

stakes are high. That’s why we set our standards even

higher.

Key questions

Choosing the right realtor

Dexter’s promise

Mortgages & pre-approvals

Making an educated offer

Contents

Conditions, inspections & waivers

Closing costs

Preparing to move

Moving checklist

Notes

Key questions

to decide before

purchasing a home

Pride of home ownership can be one

of life’s greatest joys and biggest

accomplishments. It is an exciting

time, and our hope is that this guide

will offer helpful insights and peace

of mind during your home buying

journey.

Let’s get started.

When embarking on your journey,

the rst step is to focus your

search through the answering of

key questions. These will help you

determine where you want to live,

what type of home you’re looking for,

and ultimately separate the “must

have” features from the “would be

nice to have” features in your new

home.

• What type of home are you looking for? Single family,

semi-detached? Apartment or townhouse?

• What about the age of the home?

• How many bedrooms and bathrooms do you need?

• What are you looking for in a kitchen or family room?

Do you want a separate dining room? What is your

preferred layout?

• What are your high priority features? Hardwood

oors, ensuite, replace? View?

• What other types of rooms do you need? Main oor

laundry room, home ofce?

• What about parking & storage space?

• Is proximity to transit & schools important?

• Is energy efciency important? Newer windows or a

high efciency furnace?

• How is your daily commute? How easy is it to get to

the places you need to go?

• How close do you need to be to transit, shopping,

schools, hospitals?

• Are there any important location factors? Backing on

to parks, road trafc?

• What size of yard or balcony are you looking for? Is

the backyard important? Or is a side yard okay? What

about the front yard?

• What other landscaping features are important?

A fenced yard, play areas, pool, gardens?

• Is it important what direction the house or condo

faces?

• How much do you want to invest beyond the

purchase price of the home in terms of nancial or

sweat equity, if you can’t nd all the features that you

want?

• How long do you plan to live in your new home?

This can impact the type of home, the location

and how much you will spend.

• If you are looking for a condo, is the possibility of

having a pet important?

Invariably there will be tradeoffs, but rest assured that

the right REALTOR® is here to help you sort through

your options and help you nd your new home.

Choosing the

right REALTOR®

What do we mean when we talk about “the right”

REALTOR®?

We mean nding the professional real estate agent

whose expertise and approach to nding a new home will

perfectly compliment your particular style.

Why work with a REALTOR®?

In the purchase of a property, you’ll be negotiating with a

home owner who has an experienced REALTOR® working

for their best interests—and you deserve the same. But

the reasons for working with a professional agent, backed

by a reputable brokerage, don’t stop there.

First, it’s important to understand whose interests

REALTORS® are legally bound to serve in a

real estate transaction.

The Listing Agent

The Listing Agent is under contract with the home seller to

market and sell their property for the best possible price.

A listing agent can:

• Arrange a showing of a property of interest.

• Act in the best interest of the seller at all times.

• Provide details about the property.

• Cooperate with agents working with buyers.

Your Personal REALTOR®

As a buyer, when you engage the services of your own,

personal agent, you get an experienced professional

working in your best interests, who provides:

• Showings for all properties that match your search

criteria.

• Expert advice on essential clauses such as home

inspections and nancing, to ensure you’re fully

protected.

• Expert negotiation of the offer to purchase

to achieve the best possible price and terms,

for you the buyer.

• Expert advice on market value and inclusions, and

insight into when you might want to walk away

from an offer.

• Discovery and disclosure of all information about

the property, including liens, warranties, disclosures,

market statistics and planning activity in the area.

As your Personal REALTOR®, your agent’s job is to

ensure you are an educated buyer in all aspects of

your home buying process.

It’s our goal at Dexter Realty that every buyer enjoys the

highest standards of professional service from their Real

Estate Professional.

Dexter’s promise

Dexter only accepts the most dedicated, empathetic,

and motivated agents. When we use the title of “agent”

to describe our 160+ team members, that designation

was earned, not given.

Our clients can rest assured that they’re always getting

the cream of the crop—we wouldn’t have it any other

way.

We don’t just follow the standards for quality—we set

them. We’re meticulously above-board in every dealing.

Our agents and clients alike take condence in the

faultless integrity that denes our very DNA.

Integrity, we believe, is what ultimately denes the

highest level of service. It’s also a fundamental aspect of

what denes us as a company. That’s why we’re careful

to have honest, thorough discussions with each and

every one of the buyers we work with. We don’t inate

expectations or badger clients into making a quick

purchase, because our goal is your best experience, not

a fast sale. We’re happy to show you every property of

interest and to seek out others that meet your

“must haves”—we’ll support you in your search for as

long as it takes to nd the home you want at a price

you’re happy to pay.

A Reputation Earned

Through our unwavering dedication to our clients, we

earned our place as the company to use in the Lower

Mainland.

No one gets lost in the shufe at Dexter. A proud

independent brokerage, we’re big enough to be

effective, compact enough to offer an unmatched

level of personal attention. This care is reected in

our approach to every segment of the marketplace,

extended to customers of every kind and any price

range, and seen in every Dexter agent from anywhere in

the Lower Mainland.

Each buyer’s purchase is of the utmost importance

to their lives—and we feel the same way about their

success. Enjoy the security and condence that comes

from dealing with professionals who care.

Well Informed

Being well-versed in rules and regulations requires

ongoing commitment, not just a license. We’re typically

the rst to hear about any changes to British Columbia’s

real estate process. Our agents are so well informed that

others often compliment their professional skills, even

when representing the other side on a contract.

Dexter Realty is completely independent and not

afliated with any nancial institution, which means that

if we are asked to help arrange nancing, we are free to

seek the best rates and terms. There is no conict and

no bias. Our loyalty is to you alone.

That’s the quality of professional you deserve to have on

your side, making sure you get the best deal and avoid

any unwanted surprises.

What to know

about mortgages

The mortgage industry is a highly competitive eld, one

where interest rates can change at any time. Partnering

with a reputable mortgage broker or nancial institution

to help you nd the right mortgage product, at the best

rate, is a key aspect of the home-buying process.

What is pre-approval?

Put simply, pre-approval is conrmation that a lender

has stated, in writing, that you qualify for a mortgage

loan based on your current income and credit history.

This approval usually species a term, interest rate and

mortgage amount, and will be valid for only a specied

amount of time. So if your search for the perfect home

takes a bit longer, you may need to re-do your

pre-approval.

While there’s really no downside to getting a mortgage

pre-approval, there are a lot of potential benets—

especially if you’re house hunting in a competitive city

like Vancouver. Not only can this conrmation of your

mortgage give you condence that you’re looking in

the right price range, but it can also let sellers know

you’re serious about buying a home. In a multiple-

offer situation, a pre-approval might be the difference

between losing that perfect home and a successful offer.

Benets of Pre-Approval

While it is not mandatory, mortgage pre-approval is

strongly recommended—particularly for rst-time

buyers—as it can offer several advantages that can save

you time and money.

Know your budget

Start your search with the condence of knowing what

you can afford, and what you’d be looking at for monthly

payments.

Simplify your search

Save time by focusing on properties in your ideal price

range.

Save money

Rate guarantees and mortgage terms can save you

money for years to come.

Enhance your credibility

With a pre-approval in hand, you are announcing that

you are a serious buyer and that your nancial situation

is sound.

Get a better deal

That credibility can translate into negotiating power.

Sellers like to know that buyers already have nancing

in place, and can be more willing to negotiate with those

buyers—which can mean you ultimately get a better

price

5 easy steps to get your mortgage

pre-approved

1. Talk with a mortgage specialist.

There are hundreds of options to choose from when it

comes to lenders. Independent mortgage brokers tend

to offer the most options because they do not just work

with one lender. However, if you have a good relationship

with your bank or nancial institution, contact them as

your rst step towards nding the right mortgage for

you. But be sure to compare rates.

2. Complete and submit your application with the

mortgage broker.

They will collect your nancial and personal information

in order to nd out how much mortgage you can carry.

This can be done online if your schedule is too busy for a

face-to-face meeting.

3. Gather all the necessary documents.

The mortgage broker will give you a list of documents

that the banks/lenders need to nalize the mortgage.

4. Verication of your details.

They will do their checks and balances to make sure

that you are not getting in over your head.

5. Obtain a copy of your pre-approval.

This is a powerful negotiating tool. The seller of your

dream home will feel more condent that you are the

right person.

At Dexter, we only recommend trusted advisors.

And while we don’t have any industry afliations,

we also don’t hold back when it comes to telling our

clients about the best in the business. In the mortgage

industry, that’s Jerry and Stephen Jackman of

ThinkMortgage.com

Making an

educated offer

You’ve found the right REALTOR® and secured your

mortgage pre-approval. And now you’ve found that

perfect new property, the one that meets your

“must haves” and ts in your budget.

Fantastic! You’re doing everything right, and you’re

ready to work with your REALTOR® to make an offer.

What happens now?

1. Your REALTOR®

will conduct a detailed CMA

(Comprehensive or Comparative Market Analysis)

complete with comparable active and expired listings,

recent solds and historical data relevant to determining

the market value of the home. This will empower you

to make an informed decision.

2. Your REALTOR® will then prepare an offer that

protects you, follows your instructions and matches

your schedule and needs.

3. Your REALTOR® will explain the details of the offer,

the terms and suggest options for specialty clauses

ensuring you know exactly what you are agreeing to.

4. Your REALTOR® will present and negotiate the offer

on your behalf to get you the home that you want at the

best price and terms available.

5. You will need funds for a deposit—typically

approximately 5% of the purchase price. This can be

paid upon acceptance or upon subject removal, and will

go towards your purchase price on closing.

What happens next:

• The seller may accept your offer—congratulations!

• The seller may reject your offer—not common, but it

can happen and your REALTOR® would endeavor to

nd out why.

• The seller may counter your offer, changing the terms

of the offer and presenting that counter offer to back

to you.

• Negotiations then continue until agreeable terms

between the seller and yourself are reached, or until

your REALTOR® knows an agreement cannot be

reached and it is time to walk away.

Conditions, home

inspections and

waivers

Your offer has been accepted.

Congratulations! Now we need

to satisfy the conditions of your

successful offer.

This usually involves performing a home inspection,

getting the rest of your personal information and the

property information to your mortgage broker or bank,

and arranging for any other information that might be

necessary, such as surveys, reviewing the title and any

strata documents. Your REALTOR® will help you make

all the necessary arrangements to ensure that the entire

process runs smoothly before the deadline, and help

obtain answers for any questions you might have.

Finding a Home Inspector

Home inspections allow you to scrutinize the details of

the home and can be vital in saving you from unpleasant

surprises. Your Dexter REALTOR® will be happy to

recommend a number of highly reputable home

inspectors.

We advise considering the following when making your

nal decision as to which inspector to bring onto your

team, and what to look for when working with them:

• Ensure that the home inspector is a qualied and

licensed professional.

• Ensure the home inspector checks for visible issues

with plumbing, electrical systems, the roof, insulation,

walls, ceilings, oors and windows, and the condition

of the foundation. They can also check that included

chattels, like furnaces and air conditioners, are in

proper working order.

• Ensure your home inspector gives you an up-close

and personal look at your new home. It takes at least

3 hours to go through all the systems and complete

the home inspection, and, if there are any problems,

you'll want to see them rst-hand. Your inspector will

also give you maintenance tips and recommendations

for easy x-ups, if necessary.

• Ensure that in the end, you receive a detailed report

that summarizes the condition of your home.

• At that point it is your decision whether or not you

proceed with your purchase, or walk away from the

property.

Closing costs

You’ve done it all—identied your needs, found the right

REALTOR®, gotten pre-approved for a mortgage, found

the home of your dreams and had your offer accepted.

With the help of your REALTOR®, you have navigated

negotiations, conditions, home inspections and waiver.

So all that’s left to do is hand over your down payment,

collect your mortgage funds, pay the seller and get the

keys, right? Not quite.

You’re near the end of your journey. But there are still

some nal costs between you and your new home.

You may have to pay fees, taxes and legal fees when the

purchase of your new home closes. Here are some costs

to consider. Please note that all prices are approximate:

GST 5% OF PURCHASE PRICE ON NEW

CONSTRUCTION. THERE IS A

POTENTIAL REBATE ON THE GST*

INSPECTION $400 TO $800 – WE CAN PROVIDE

YOU WITH A LIST OF QUALIFIED

HOME INSPECTORS WHICH YOU

CAN CHOOSE FROM

PROPERTY

PURCHASE

TAX

THE TAX IS CALCULATED AS 1%

ON THE FIRST $200,000 AND

2% UP TO $2,000,000, 3% UP

TO $3,000,000 AND 5% ON THE

BALANCE.

FIRST TIME HOMEBUYERS ARE

EXEMPT FOR PURCHASES UNDER

$500,000 AND PARTIALLY EXEMPT

UP TO A MAXIMUM OF $525,000

(HAVE TO BE A RESIDENT OF BC

FOR ONE YEAR).

SURVEY

CERTIFICATE

(HOUSES)

$250 TO $350 – THIS CERTIFICATE

THAT SHOWS THAT THE HOME

AND OUTBUILDINGS ON A

PROPERTY DO NOT ENCROACH

ON OR CROSS PROPERTY

LINES. THE VENDOR MAY

BE IN POSSESSION OF THIS

CERTIFICATE AND IT IS NOT

NEEDED FOR STRATA BUILDINGS

(USE THE STRATA PLAN).

STRATA

COST

ADJUSTMENT

THE VENDOR WILL BE

COMPENSATED FOR STRATA

FEES AND PAID AFTER

ADJUSTMENT DATE.

FORM A

(STRATA)

$50 – REQUIRED BY THE STRATA

ACT TO SHOW VENDOR DOES

NOT HAVE OUTSTANDING

STRATA FEES.

INSURANCE

BINDER

$35 – NECESSARY TO SHOW

THE MORTGAGE LENDER THE

PROPERTY IS SUFFICIENTLY

INSURED.

PROPERTY

TAX

ADJUSTMENT

THIS AMOUNT WILL VARY

DEPENDING ON THE AMOUNT

OF THE PROPERTY TAXES AND

THE CLOSING DATE OF THE

PURCHASE. PROPERTY TAXES

ARE TRADITIONALLY DUE ON OR

ABOUT JULY 1

OF EACH YEAR.

IF ONE PURCHASES A PROPERTY

BETWEEN JANUARY 1

AND

JUNE 30

THEN THE SELLER

WILL OWE THE PURCHASER

TAXES AS THE PURCHASER

WILL BE RESPONSIBLE FOR

PAYING THE YEARS TAXES COME

JULY 1

. IF ONE PURCHASES A

PROPERTY BETWEEN JULY 1

AND DECEMBER 31

THEN THE

PURCHASER WILL OWE THE

SELLER TAXES AS THE TAXES

WILL HAVE BEEN PAID FOR

JULY 1

. PROPERTY TAXES ARE

ADJUSTED TO THE EXACT DAY

THE PROPERTY IS TRANSFERRED.

* GST REBATE – 36% OF THAT PORTION UP TO $350,000, PHASED

OUT UP TO $450,000

* BUYERS WHO ARE NOT CANADIAN CITIZENS OR PERMANENT

RESIDENCE ARE SUBJECT TO A 20% TAX

INSURANCE INSURANCE IS AN IMPORTANT

PART OF OWNING A HOME,

WHETHER THAT HOME IS

A STRATA PROPERTY OR A

DETACHED HOUSE. YOUR

OFFER SHOULD BE SUBJECT

TO OBTAINING INSURANCE

COVERAGE AND REVIEWING

THE COSTS INVOLVED. FOR A

STRATA PROPERTY, THERE WILL

ALREADY BE AN INSURANCE

POLICY IN PLACE FOR THE

STRUCTURE. YOU WILL WANT

TO RECEIVE A COPY OF THIS

POLICY AND SPEAK TO YOUR

OWN INSURANCE AGENT AS TO

WHAT ADDITIONAL COVERAGE IS

NEEDED.

Preparing to move

Congratulations, you're about to

move into your new home!

Typically you will have anywhere from 30-90 days to

get everything ready for your home. This period could

be shorter or longer, though, depending on what you

need and have agreed upon with the seller. The closing

date is when you take ownership of your home. You

take possession a day or two after, typically, and that’s

when you’ll be able to move in.

It is a good idea to get things organized well in advance

of the closing date to reduce the stress of the move.

Lawyers/Notaries

Your REALTOR® will send your lawyer/notary the

information about your purchase. You will need to

provide them with additional information such as:

insurance, down payment information, fee payments,

adjustment payments and possibly other signed

documents that they ask you for. You will then meet

with the lawyer/notary about a week before the

closing to nalize everything & sign all the required

documents.

Down Payment and Closing Costs

Make the necessary arrangements to have the funds

available when the lawyer asks for it. Liquidating some

assets can require some additional time.

Movers

Whether you are using professional movers, renting a

truck or getting a bunch of friends together, plan and

organize it early.

Insurance

The lawyer/notary will need a copy of your home

insurance before closing so that the nancial institution

will release the money to them. Call your insurance

broker with the property information. They might also

want to know the age of the house, the condition of the

roof, furnace, electrical system, as well as other general

information.

Change of Address

It’s time to start giving out your new address to

everyone. Use our checklist to make sure you have

everyone covered.

Utilities

It is important that you call the local utilities to get their

services changed into your name. These include phone,

internet, television, gas, electricity, water, and any rental

agreements. Remember, too, to cancel the services at

your old address.

Moving checklist

There are few times in our lives that are busier than when

we’re moving homes. We’ve compiled this checklist to

help you feel condent you’ve covered all the details as

you approach—and reach—the big day.

6 Weeks Before

Get estimates & hire a mover. Here are several questions

to ask:

F Are on-site estimates offered?

F How is pricing determined?

F Will the movers pack items? (If so, additional cost?)

F What insurance is included?

F What additional charges may arise?

F Or, call and get an estimate on renting a moving

truck.

F Get all estimates in writing, and request signed

copies.

F Contact your insurance company for additional

coverage (optional).

F Create a binder to hold all move-related

paperwork (checklist, contracts, receipts)

5 Weeks Before

F Conduct a room-by-room survey. Sort items to

keep, donate, discard & sell.

F Organize & hold a garage sale, if desired.

F Have valuable items appraised. Photograph or

videotape—note any damage.

F Phone to arrange for transfer of homeowners/

rental insurance.

F Locate health practitioners in the community

you are moving to, make arrangements to have

standing prescriptions at a pharmacy near your

new home.

F Notify kid’s schools, transfer records.

F Register at a new school.

4 Weeks Before

Gather packing supplies, including:

F Boxes (various sizes, wardrobe & specialty boxes)

F Box cutters

F Tape (packing, masking, blue painter's)

F Tape dispensers

F Wrapping materials (bubble, plastic, tissue paper)

F Labels

F Fill out the Change of Address form with the post

ofce

F Send friends and family a “we’re moving”

announcement

3 Weeks Before

F Pack contents of garbage, attic, and storage areas,

as well as other infrequently used items.

F Mark boxes and furniture with appropriate labels.

F Label & number each box. Keep a master

inventory list with contents of each box.

F Make arrangements to have electricity, phone, gas,

water, sewer, garbage/recycling, cable/satellite

disconnected in your old home the day you leave

and installed in the new home the day before you

arrive.

F Call a locksmith to have your new home changed

on moving day or shortly thereafter.

F Arrange to have a cleaning company prepare the

new home before you arrive, if desired.

2 Weeks Before

F Pack the bulk of your items.

F Notify magazines, newspaper deliveries, banks,

and credit card companies of your new address.

1 Weeks Before

F Print an information sheet for the movers. Include

new address, directions & your cell phone number.

F Finish packing. Set aside enough clothing for the

week ahead plus a suitcase to pack.

F Place small valuables & important documents in

a box/bag. Ask a friend to hold onto it until your

settled, or keep it in a safe place on moving day.

F Discard any hazardous materials that cannot be

moved in the moving truck.

Create a last-out, rst-in box with all day to day

necessities, including any of the following that are

acceptable:

F Bedding & Towels

F Toiletries & Toilet paper

F Basic tools

F Cleaning supplies

F Medications

F Snacks

F A few dishes

F Make sure essential tools are handy (screwdrivers,

wrench, pliers, tape etc.)

F Consider hiring a cleaning company to come in and

do a quick clean after the movers leave or schedule

a day that you will come back and make sure

everything is in place for the new occupants.

Moving Day

F Do a walk through before the movers arrive to

make sure everything is packed & labeled.

F Make sure there are no items left behind.

F Give keys to your Dexter REALTOR®.

F Arrange for someone to direct the movers at your

new home.

Moving Into Your New Home

F Test faucets, toilets, utilities, smoke detectors &

phone systems.

F Begin to unpack.

F Flatten boxes. Set them out for recycling or store

for future use.

F We recommend getting new locks or re-keying

the current locks at your new home and making at

least 2 copies of your new keys.

Within 30 Days of Your Move

Pick up mail being held at the local post ofce and

change address for the following:

F Driver’s License

F Bank

F Revenue Canada

F Auto Registration

F Nexus Card (if you have one)

Would you like a printed copy of this document?

It would be my pleasure to provide you with one if you'd like.

* By providing your information you give Dexter Realty permission to contact about their services.

South Granville

560 – 2608 Granville Street

Vancouver, BC V6H 3V3

604.263.1144

Yaletown

1399 Homer Street

Vancouver, BC V6B 5M9

604.689.8226