aToronto Real Estate Agents | Julie Kinnear

As a buyer, you have to make sure to know how the market works before you step in, or you risk missing out on the property of your dreams when you find it. Here are the core questions most buyers have. Feel free to send us one of your own.

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More questions and answers...

1. If I'm interested in a property, how can I determine if the list price is fair?

   We will look at the property's sales history and comparable recent sales to help assess true market value.

2. How do I know what price to offer for a property?

   Based on comparable recent sales and our extensive experience, as well as any other relevant factors such as competing offers, we will recommend an offer price that will protect your best interests and give you your best chance to get your dream property.

3. Do you do short or long term rentals?

   The MLS system was primarily designed for sale properties as opposed to properties for lease - please contact us for a referral to an agent working specifically with rental properties, and for other great renters' resources!

4. Do I need to have a home inspection done on every home I'm interested in?

   In some cases, the sellers might already have commissioned a recent home inspection by a reputable home inspector to save you the trouble! It is also possible to purchase a property conditional on a subsequent home inspection. We will help you determine on a case by case basis whether an inspection is recommended.

5. What happens to my deposit while I await closing?

   Your deposit is held in the listing brokerage's trust account until closing, when it is applied towards the purchase price of the property and related costs. If an interest bearing clause was part of your original offer, you may be entitled to the interest accrued on the deposit once the property has closed.

6. How does the new Toronto Land Transfer Tax affect me?

   This depends on your circumstances - for instance first time buyers will receive a rebate on the tax for purchases up to $400K. For others, the tax matches the existing provincial tax. Check out our comprehensive article for all the details on the Toronto Land Transfer tax

7. How do I go about finding open houses?

   If you are a client of the Julie Kinnear Team, we will send you a comprehensive list of all the open houses happening in Toronto's desirable neighbourhoods every single weekend! If you're just browsing, feel free to contact us for open house information on specific properties - or you can check out MSL.ca for their list.

8. Can I get a lockbox code from you and just visit a house myself?

   For the protection of all parties to a trade in real estate, you must be accompanied by your Buyer Representative when visiting a property (unless the seller is holding a public open house)

9. What is your referral policy?

   The majority of our business comes from friends, family members and happy clients who introduce us to their friends and work with us again and again. Of course we also meet new clients who've found us on this site! Please visit the By Referral Only page on our website to find out more about how the way we work benefits you.

10. Should I buy first or sell first?

    Each strategy has its advantages & disadvantages depending on your unique situation. Contact us and we will be happy to help you craft a strategic plan that works best for you.

11. Can you tell me more about bidding wars?

    Bidding wars, known in our industry as multiple offers, occur when there is more than one offer on a property. We can often advise you in advance whether a property is likely to have multiple offers. If you're interested in putting in an offer, we will let you know of any competing offers so that we can adjust our offer strategy.

12. Should I buy new or re-sale?

    While we work primarily with residential re-sale properties we do occasionally assist our clients with purchasing newly constructed properties. When we meet we can discuss whether your needs are best served by re-sale or brand new properties!

13. When should I make my offer conditional?

    A condition inserted into the offer means that the contract will not be firm and binding until certain things are fulfilled or waived (i.e. you getting financing from the bank, or your lawyer reviewing status certificate documents in the case of a condo) Conditional offers are considered weaker than firm offers, and may harm your chances of getting your dream property - we will discuss your best options with you.

14. When should I make my offer conditional?

    A condition inserted into the offer means that the contract will not be firm and binding until certain things are fulfilled or waived (i.e. you getting financing from the bank, or your lawyer reviewing status certificate documents in the case of a condo) Conditional offers are considered weaker than firm offers, and may harm your chances of getting your dream property - we will discuss your best options with you.

15. Do you know any mortgage brokers or financing specialists?

    Yes! As referrals are the backbone of our business, we would be happy to refer you to several trusted colleagues in mortgage financing. Please contact us for this information.

16. How long should a closing take - how soon before I can move in?

    Most closings are from 30-60 days from the date of acceptance of the offer, however this can vary based on buyer & seller needs and other practical concerns. Our systems help ensure a smooth closing for you whether it's a leisurely wait to move in or a quick closing!

17. I saw a great house on MLS.ca but when I drove by, it was already sold?

    MLS.ca imports its information from the Toronto Real Estate Board, and there can be a time lag of up to 3 days. In addition, it often takes a brokerage a couple of days to report a property as sold, depending on administration. For the inside scoop on whether a property is really still on the market, please contact us.

18. If I just want to get in to see some houses, why do I need a Buyer Representative?

    A Buyer Representative does a lot more for you than just open up a house! In our consultative role, we listen carefully to your deepest needs & values so we will know how best to help you find the best property. We negotiate with your best interests in mind, acting as an intermediary between you and the seller & insulating you from costly mistakes. Finally we handle the (literally hundreds!) of transactional details so that you don't have to.

19. Is a Buyer Representative's service free to me?

    Yes! The Buyer Representative is typically compensated by the listing agent for the property once a purchase has been made, so we act on contingency when working for you.

20. Do I need a real estate lawyer if the offer documents are pretty standard?

    Yes. Though the Agreement of Purchase & Sale and related documents may be standard, and of course we will explain all of their ramifications, your lawyer will need to search title for the property to ensure it is free from encumbrances. They also provide many more important services. If you do not have a real estate lawyer please contact us so we can recommend one to you.

21. How much do I have to put down on a property when making an offer?

    Offer deposits are generally 5% of the offer price, rounded up. Getting a certified cheque or bank draft for this amount can make a great difference to sellers, especially in a multiple offer situation - you will be seen to be prepared, confident and serious about buying the property.

22. What are homes selling for on a certain street?

    We'd be happy to send you information on recent sales on a particular street - to satisfy your curiousity, show you how your investment is doing, or as part of your buying or selling research! Just let us know the street and we will send you the most current data.

23. Offers are being accepted by fax on a property I'm interested in. What does that mean, and how does that affect my chances of getting my dream home?

    Our clients frequently encounter this situation when offering on homes - it most often means the sellers are out of town. To help increase your chances of getting the home, since the sellers will not get to meet us face to face, we will write a letter to the sellers introducing you and letting them know more about you!

24. What happens if I buy a house and the sellers don't deliver on their promises?

    Occasionally this happens...it's unfortunate. Our course of action depends on what they have failed to deliver on - for instance, if the house is not in broom swept condition we will contact the sellers' agent to ask them to rectify this. More serious issues often will involve your lawyer. We will advocate on your behalf to help ensure you are compensated!

25. Do I get a better deal if I buy a house being sold by the bank?

    Sometimes homes are listed as 'Power of sale', which means the mortgage holder has obtained the right to sell the home and retain the proceeds when a mortgage is in default. These homes are listed at fair market value, though there may be room to negotiate.

26. What's a CVA?

    A Current Value Assessment is what the City has valued a property at for the purpose of calculating property tax. It may or may not be close to the actual market value of the property.

27. What is an SPIS?

    A Seller Property Information Statement is an optional form that sellers can fill out when listing their homes. The seller warrants as to certain information pertaining to their home, such as their knowledge of any structural problems, details on mechanical systems and upgrades etc. If you are interested in a specific property we can let you know if there is an SPIS available and send you a copy of it.

28. Hi Julie, our offer has been accepted on the house we're interested in, tommorow I'll be giving them my 10,000 deposit,I'm having second thoughts.. could I still backout from it?

    Hi there! This issue needs to be discussed with your agent - there are a number of circumstances where you may be able to depending on the terms and conditions of their offer. On the other hand you may not. We cannot comment definitively as each situation is different - we're glad you have an agent to consult with! Best of luck.

29. Hi Julie, I am planning to move to Toronto by April next year. Right now I am working in Abu Dhabi, United Arab Emirates and I am visiting Toronto on 3rd July 2008. Will it be possible for me to buy a property in a good neighbourhood in Toronto while I am still working in UAE. By July end 2008, I will have my PR Card done. Awaiting your reply, regards,Aju C.Paul

    Hi Aju,

    For sure you can purchase a home while still living abroad! We recommend you speak with a mortgage broker about all your financing options. We have numerous mortgage brokers to choose from - if you don’t know one you can try Calum Ross' team at www.calumross.com or Carrie Davidson at cdavidson@dominionlending.ca . They're experienced in helping people from overseas realize their housing dreams. They will let you know specifically what government documents you need to obtain financing.

30. Hi Julie, My husband and I are immigrating to Canada and have just applied for visa's etc. It takes around 48 months in the UK for everything to go through. We have enough points to get in, so it's just a question of waiting.....could you advise us of neighbourhoods in Toronto that would suit our requirments please? We would like to buy a house with at least 2 bedrooms and a garden (we have a dog) and we would like the house to be on the lake shore. We would like to be within a 30/45 min commute into central Toronto for work. I know that 48 months is a long time away but we are starting to do our research and would really welcome your input. I look forward to hearing from you. Kind regards, Debbie

    Hi Debbie,

    Congratulations on getting the ball rolling to move here! It sounds like a long process but we'd be happy to help you through it. You can read about the neighbourhoods we specialize in on our website - each neighbourhood has a thorough write up with lots of information and statistics so you can see what homes are selling for. The best way of course is to visit Toronto for yourself to get a feel for the neighbourhoods - there is the Beach in the east end which is on the water, also downtown if you are interested in condominiums, and several west end neighbourhoods might suit your needs. To see listings of available homes, please fill out the buyer profile on our website - it's a link on the left hand sidebar.

    Look forward to guiding you home in Toronto!

31. Hi Julie, we have made an offer on a house and it has been accepted. One of the conditions we put on the offer is a home inpection, another is our house selling. We are thinking of having the inspection done immediately (before our house sells), is this a good idea? Our thinking is that if for some reason we are asked to waive our conditions to keep our offer ahead of another offer then at least we will have done the inspection first. Also, if something serious is discovered in the inspection we can back out before our house sells or before wasting too much time. Any input would be greatly appreciated, thanks.

    Hi Christie,

    What a great question! Definitely something to speak with your agent about because it could depend on the wording on your offer. For example, if the sellers are allowed to consider other offers with only 24-48 hours to notify you of them and to force you to waive all conditions or else lose to the offer offer, it definitely would make sense to have the home inspection now. Otherwise you could be forced to simply waive all conditions or risk losing the house, and you might be ready to waive the condition that your own home be sold if there has been lots of interest in the home, but would have to rush to get that inspection at the last minute. Again, it really depends on the exact wording of the offer so please check with your agent! Good luck with all your plans.

32. We put an offer for a house A with 2 conditions, inspection and buyer arranging financing satisfactory to him at his sole discretion within 5 banking days. Our banker gave us lot of trouble to get the mortgage papers and we withdrew the offer on night of 5th banking day. we got the mutual release letter and deposit back in 3 days.Now, we are buying another houseB at exactly the same amount. This time we sorted things with bank as we started the process earlier and closed the deal. The seller of house A said he is going to sue us as it is the same amount and now we are Ok with financing and buying another house. Based on your experience, what do you do in these situations?

    We are not in a position to give any legal advice. Technically there is no law against not firming up an offer, if the condition states your sole discretion. You may want to discuss this situation with your lawyer and Realtor.

33. Hi Julie, I have made the deposit of $5000 , bought house for $310000,condition is waived. The closing is 11th march, but i am thinking to back out as I think even though the mortgage is approved I am having difficulty arranging finances. Can I back out will the seller put any litigation on me. Please advise

    Once conditions are waived you are responsible for buying the home. The seller will have opportunity for recourse and has a legal case. Most times if a buyer backs out of a deal like this, the property goes back on the market and the buyer will have to pay any difference in sale price as well as any costs for damages (ie the seller has extra carrying costs, issues with their potential new mortgage etc.).
    J.

34. We are moving to Canada - Toronto in May from the UK. How much deposit do you need to put down on a house when we buy? we are looking for a short term sub let and to buy really quickly.

    Hi there, traditionally you will need to 5% down. Anything less than 20% requires a mortgage insurance that your bank can arrange for you.

35. What happens if the buyer puts a offer with no finance needed or home inspects. They put a $5000 deposit. They have signed the offer. But the next week they claim one of them have lost their job. What happens to their deposit.

    Their deposit is held until the situation is sorted out, and is used towards any damages caused to the seller.

36. We have been in Toronto for 6 months under a work permit visa and we plan to apply for permanent residency next year. Is it possible for us to purchase a house now? thanks.

    That is best answered by a mortgage professional. Sorry that's not our specialty. Good luck!
    J.

37. Do I need to ask the seller if he would accept a price that I offered before I put an offer? That is do we need to agree on the price first before I put the offer? If we agree on the price verbally and then I put an offer. Can he come back to change the price?Thank you!

    You don't need to ask the seller first if they would accept a certain price before submitting an offer. The negotiation process will begin when your signed offer is presented to the seller. In Real Estate, an offer is only binding if it is in writing.

38. Julie sold house closing July 23,2010. On July 19, 2010 buyer claimed more work to be done to house than he can afford. He signed off all conditions after inspection. Can he back out on us?

    It would be best to seek advice from your lawyer regarding this situation.
    Good luck!

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