A choice you can live with...

Save time, disappointment and maybe even money.
Work out exactly what your needs are before you start house hunting.

Getting Started

For most Canadians, owning their own home is a lifelong dream. It brings with it pride of ownership, security and the feeling of control over which improvements are made and how much they cost. There's also the chance your home will increase in value, making it a sound financial as well as a lifestyle investment.

When buying a home, you have to juggle three important factors — your prospective home' s location, style and cost. For example, your goal may be to buy a single family detached home in an urban neighbourhood for $135,000. But you may have to settle for two out of three. An urban semi-detached home may be available for your price, or you may need to look in the suburbs for the price and style you want.

Location, Location, Location – Location is an investment too!

Your choice of location depends primarily on where you work and whether you want to commute, and also on your family lifestyle.

Do you want to live near recreation facilities such as a golf course or skating rink? How close are your children's schools? Is public transportation available?

Urban living usually offers the largest range of home styles and often is closer to amenities such as restaurants and theatres. On the other hand, you may get more for your money in the suburbs.

If there is no public transportation, living in "the burbs" may cost you more than you think. Any money that you may save on the actual cost of your home may be easily gobbled up if you need to purchase another vehicle.

Suburban homes often have larger lots and larger square footage than urban homes in the same price range.

While suburban homes can have the advantage of being newer, amenities like shopping or playgrounds may not be available yet in a new subdivision.

If you're considering moving to an unfamiliar neighbourhood, take time to drive or walk around it, both during the day and in the evening. Make some notes. It's also a good idea to travel the route to and from your work

There are many other factors you should consider when choosing the location of your home. For example, have property values risen or fallen in the neighbourhood?

Future development can also affect property values and property taxes, so you'll want to consider whether there are any changes to zoning proposed or any major developments planned.

To do this, contact the local municipal office regarding planning and zoning bylaws. Is a high rise office tower going in next to your home? A new highway? Zoning bylaws may also affect your own plans, such as conducting a business from your home.

Some real estate representatives suggest that, if you're considering the future resale value of your home, it's wiser to buy a modest home in the best neighbourhood you can afford than the most expensive home in a modest neighbourhood.

How close to home are the services you need?

·  Transportation ·  Work ·  Doctor/dentist ·  Places of worship ·  Shopping ·  Police department ·  Hospital ·  Schools ·  Fire department ·  Recreation

2.5 km?   5 km?   7.5 km?   10 km?

Think about what kind of house you want.

Types of housing:

Single family detached

A freestanding home which sits on its own lot and is occupied by only one family.

Semi-detached

A single family home that is joined to another one by a common wall.

Duplex

Two units, one above the other. The owner may live in one unit and rent the other.

Row or townhouse

One of several single family homes joined by common walls. These can be condominium or freehold units.

Link or carriage

Houses, freehold or condominium, joined by garages or carports which provide access between the front and rear yards. Builders sometimes join basement walls so that link houses appear to be single family homes on small lots.

High rise condominium

Multi-story residential building containing condominium units. A condominium is not a type of house but a form of ownership.

Mobile or manufactured

A factory-built, single family dwelling that is transported to your chosen location and placed on a foundation.

New or Resale

There are advantages and disadvantages to both new and resale homes. Newer is not always the better choice. Here are some of the characteristics of both that may help you make your choice.  In either case, it never hurts to ring a few doorbells in the neighbourhood you choose, and ask the homeowners for their views on location, builder quality and satisfaction (if new) and services.

New Homes

Advantages

• You may be able to upgrade or choose certain items such as siding, finish materials, colour schemes, flooring, cabinets, plumbing and electrical fixtures.
• Appliances may already be included in the purchase price.
• The latest building code, electrical and energy-efficiency standards will apply. A builder warranty is usually available in all provinces and the Yukon (but not the Northwest Territories). This can be important if a major system, such as plumbing or heating, breaks down.
• Unless you are a builder, warranties do not apply to homes you build yourself.
• There may also be incentives provided by the provinces and prospective borrowers should consult provincial or local authorities in this regard.

Disadvantages

• Neighbourhood amenities, like schools or shopping, may not be complete if the house is in a new development.
• There may be construction noise and traffic.
• There may be little to no landscaping or trees.
• The 7% GST applies to new housing. However, there is a rebate, to a maximum of 2.5%, on homes which cost less than $450,000. In some provinces, the GST has been replaced by a Harmonized Federal and Provincial Sales Tax known as the HST.
• With the current housing boom, many new homes are often not constructed as well as their older counterparts. If you are considering having a new home built, be prepared for an emotional roller coaster ride.  You may want to consider having a professional home inspector oversee the building process for you. Consult your lawyer and never sign a contract without having it reviewed by your lawyer first.
• Often builders are not able to deliver on time, you may have to arrange for alternate accommodation in the interim

Resale Homes

Advantages

• It will probably be in an established neighbourhood.
• Landscaping is usually done and fencing installed.
• It may have upgrades such as a built-in swimming pool or finished basement.
• There is no GST unless the house has been renovated substantially, and then the tax is applied as if it were a new house.
• An older home will in most cases, not be prone to settling further. Most new homes go through a breaking in period where "nail pops" and cracks may appear.
• Some older homes are better constructed than many of the newer track houses

Disadvantages

• Maintenance costs will likely be higher than for a new house.
• You may require a professional home inspector to check for structural or other problems, such as a leaky basement or faulty roof.
• Older homes may fall victim to failed weeping tiles, poor or inadequate insulation, water penetration, mold and mildew, wood rot, outdated electrical, plumbing, heating and cooling systems. Have it inspected by a professional first to be sure of what you are getting.
• You may need to redecorate, or even renovate
• Appliances may need to be purchased.

This information is provided as a service to our web site visitors.  While we attempt to ensure that all information is accurate and a fair depiction of real circumstances, it is to be used solely for information purposes. Home Inspectors® may not be held responsible for the accuracy of any of the above information. Re- production of any of this information is strictly prohibited without written permission of Home Inspectors®. 

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