1. Lawyer fees. Lawyers will bill you for their time and services for everything from searching for the title, handling disbursements, registering the deed and mortgage paperwork. Pricing typically starts around $1000.
2. Utilities. When setting up a new account with utility companies, they usually enforce a one-time setup fee. As an incentive, some will waive this fee if you’re a first-time homebuyer, or if you arrange for automatic payments.
3. Property taxes. Where you live will affect the cost and frequency of your property tax payments. “If the previous seller has paid their taxes ahead of time, you, as the buyer, must reimburse them for the payments already made,” explains Marcel Leclerc of Halton Heritage Realty in Waterdown.
4. Renovations. Most homes require some improvements when moving in. Whether it’s as simple as a new coat of paint, or as big as a major renovation, get a quote immediately and include this amount in your overall budget.
5. Home inspection. Even brand new homes can have problems. (Ever watched Holmes on Homes?) Consider a home inspection the very first investment you make in your new house.
6. Land transfer tax. The price you pay for your home will dictate this cost. To get an idea of what you can expect to pay, search “Property or Land Transfer Tax” on your provincial website.
7. Insurance. Insurance costs can vary depending on where you buy and the condition of your home. Some things, like old wiring or oil furnaces, can even prevent you from getting insured. A home inspector can supply you with this information, as well as make you aware of any potential problems.
8. Bidding wars. In active markets, a bidding war sounds scary. But having a smart real estate agent can mean saving dollars and getting you the best negotiable price.
9. Mortgage fees. If your down payment is less than 20% of the purchase price of your home, Canada Mortgage and Housing Corporation (CMHC) requires that your mortgage be insured. These fees can be paid up front or tacked on to your mortgage. Go to cmhc.ca for full details.
10. Moving fees. Whether you’re hiring professional movers or renting your own truck, there are costs involved in getting into your new home. Other costs to consider include boxes and packing tape, cleaning products, address changes and of course complimentary food and drinks for family and friends who help you out.
Comment on "Hidden Fees"
Neither the author nor Wedding Bells necessarily agree with the comments posted below. Read our full policy
You must have a Weddingbells.ca account to article comments. If you do not have an account you can register now.
Post a comment