Once you've found the house and made an offer, you have to get approved for a mortgage with a particular rate of interest, make the inspection and wait... The mortgage broker will let you know who is going to be your particular lender and how much will be the rate of interest you'll pay. If you are giving 5% or less of initial, you have to have a mortgage insurance that will guarantee the bank their money in case you can't pay.
So, how long do you have to wait for the closing date? Well, that depends on different factors, did you sell your house? did the sellers found a house? Do you have the money? etc. The wait can be from 2 weeks to 6 months, in our case we are waiting 2 months from the date of the offer.
What do we do while we wait? Get the money!!! These are the things you need to pay when buying a house of $336.000 with $10.000 of deposit and 5% of downpayment:
- Lawyers and transaction Fees: aprox. $900
- Land Transfer tax: aprox. $3500
- Mortgage fee (CMHC fee+ references): aprox. $380
- DOWNPAYMENT: $16800 (5%) - $10.000 = $6800
So, after paying $10.000 with the offer, we still need to pay aprox. $12.000 more the day of the closing ;) So, don't forget to add all the other things you need to pay when buying!
And when calculating what you are going to pay monthly for your house, don't forget: