Understanding the Closing Costs on Homes for sale

Published - September 9th 2016 2 minute read.

Searching the Grey Bruce Real Estate Market can be an exciting experience, especially if you are a first time homebuyer. The first thing most people do is to start looking up listings online. Whether it is innocently getting ideas of what you are looking for, or eagerly starting your search for that perfect home. It is quite common for first time homebuyers, as well as those who have purchased many times in the past, to start their search on their own before contacting their trusted Grey Bruce Real Estate Agent. This can result in the dreaded "falling in love" with a home that is beyond your budget, or thinking you can afford a home but failing to take the Closing Costs into consideration. These costs can be much higher than anticipated, especially if you have never experienced purchasing a home before and do not know what to expect. That being said, they are an unavoidable part of any Real Estate transaction. Some of these costs are the responsibility of the Sellers but most fall on the Buyer. Here are a few of the Buyer's closing costs and how they can affect your budget and down payment.

Land Transfer Tax — The Land Transfer Tax is calculated as a percentage of the purchase price of the home, not the listing price. This is a provincial tax, however Toronto has an added Municipal Land Transfer Tax as well. If you are a first time homebuyer you may be exempt from a portion of this cost.
Legal Fees and Disbursements — Hiring a Real Estate Lawyer is absolutely unavoidable. The lawyer will check to ensure there is no legal reason to hinder your purchase as well as much more. These costs vary from firm to firm but generally range from $1,500 - $2,500 and are subject to HST in Ontario.
Title Insurance — An optional expense, acquiring Title Insurance will protect you incase any problems arise due to encroachment issues, title fraud, un-discharged mortgages, or any other issue relating to the previous owner of the property. For homes with one or more past owners it is highly recommended for peace of mind.

Reducing Closing Costs on Grey Bruce Homes

Purchasing Homes for sale across Grey Bruce or South Georgian Bay will come with fees that are anticipated as well as some that are not. It is always recommended that you speak with a REALTOR® that knows the Grey Bruce area as your first step, one who can help you to understand the costs involved and guide you in making the right decisions.

Have questions about buying real estate and don't know where to begin? Connect with the best real estate agents to guide you.

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Understanding the Closing Costs on Homes for sale

Reducing Closing Costs on Grey Bruce Homes

Have questions about buying real estate and don't know where to begin? Connect with the best real estate agents to guide you.

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