Purchasing your first home is an exciting milestone, but it can also be overwhelming if you don’t know where to start. As a first-time home buyer, whether you’re dreaming of a cozy bungalow or a modern townhouse, understanding the process and Newmarket’s unique real estate landscape will help you make informed decisions. To ease your journey Maizel Homes offers all the help you need for your first-time home buying. With years of experience and an in-depth understanding of Newmarket’s real estate market, Maizel Homes guides first-time home buyers through the process with ease.
1. Get Pre-Approved for a Mortgage
First, you need to get pre-approved for a mortgage. That will give you an idea of what your budget is, and it will also show the seller that you’re serious about the property. A local lender accustomed to Newmarket can help you with better rates. Our team connects you with trusted mortgage professionals to ensure you are fully prepared. Also, be sure to look at different types of mortgages available such as fixed-rate and variable-rate mortgages and the First-Time Home Buyer Incentive – a down payment assistance program that helps lower your mortgage payments.
2. Discover Newmarket’s Best Neighbourhoods
Newmarket has become a desired location due to its small-town charm and addition of modern conveniences. From the diverse shopping experiences at Upper Canada Mall to the serenity around Fairy Lake and proximity to top-performing schools like Bogart Public School, Assaf will be able to find the correct neighborhood that fits your lifestyle and long-term needs.
3. The Home Buying Process
Buying your first home can be overwhelming, but Maizel Homes simplifies the process. Here is how it is done:
- Guided Home Search: Our team takes all the time to address your needs and then provides you with an extensively researched list of houses that fit within your budget and specifications.
- Deals & Negotiation: Since Newmarket is such a competitive market, the professional negotiating skills we bring will assure you the best deal out there without you having to overpay.
- Closing Support: From inspections right down to final paperwork, Maizel Homes keeps it on track with no surprises along the way.
4. Plan for Extra Costs
Aside from your down payment, there are many costs you’ll want to plan for. These include home inspection fees, moving expenses, legal fees, and Ontario’s Land Transfer Tax-with a rebate available to first-time buyers. Our team will go over all these costs with you in advance, so you’re not blindsided.
5. Take Advantage of First-Time Buyer Incentives
As a first-time home buyer, you have access to a number of valuable programs:
- First-Time Home Buyer Incentive: Backed by the government, this program reduces your monthly mortgage payments by as much as 10% of the purchase price of the home in the form of a down payment.
- Land Transfer Tax Rebate: In Ontario, there’s a rebate available for first buyers amounting to as much as $4,000 against the provincial land transfer tax – significantly reducing upfront costs.
Utilize the First Home Savings Account (FHSA) to Maximize Your Savings
A fantastic opportunity for first-time buyers is the First Home Savings Account (FHSA), which allows you to save up to $40,000 tax-free. With annual contributions capped at $8,000, the FHSA provides tax-deductible contributions, meaning you can reduce your taxable income and save on taxes. Plus, any investment growth within the account is also tax-free, and you can withdraw funds to purchase your first home without needing to repay the money, unlike the Home Buyers’ Plan (HBP).
For couples, the benefits double. Both partners can open an FHSA, potentially contributing a combined $80,000 towards a down payment. If, for any reason, you don’t end up buying a home, the funds can be transferred to an RRSP or RRIF without tax penalties
Maximize Your Down Payment with the Home Buyers’ Plan (HBP)
The Home Buyers’ Plan (HBP) just got better with Budget 2024, which increased the withdrawal limit from $35,000 to $60,000 for withdrawals made after April 16, 2024. This means that first-time homebuyers can now access more of their RRSP savings to put towards their first home. For couples, this allows a combined withdrawal of up to $120,000, giving you a significant boost in your down payment funds.
The HBP allows you to withdraw from your RRSP tax-free, with the understanding that it must be repaid over 15 years, starting the second year after your withdrawal. Each year, you’ll need to pay back 1/15th of the amount withdrawn, or it will be added to your taxable income for that year.
By combining the FHSA and HBP, you can access a significant boost to your down payment, up to $115,000 tax-free. The FHSA offers tax advantages with no repayment obligations, while the HBP allows you to tap into your RRSP with a 15-year repayment plan. At Maizel Homes, we’ll help you navigate both of these tools, ensuring you maximize your savings and use them effectively to secure your first home.
6. Why Invest in Newmarket?
For those who invest, Newmarket is a lot more than a great place to live; it’s a smart investment. With top-rated schools, proximity to major highways like the 404, and ongoing infrastructure development like the Viva Rapidway, the town is in rapid growth. A balancing act of suburban tranquility and urban accessibility continues to fuel the Newmarket real estate market.
Mark Valentin of Newmarket, a first-time home buyer, had this to say about working with Maizel Homes:
“As a first-time home buyer, it was a great pleasure to have experienced it with Maizel Homes! I would like to give a big shout-out to Assaf who has been there since day one from guiding us throughout the whole process. I can’t be any more pleased of the amount of knowledge and experience Assaf has offered us. We thank you and will definitely recommend him to friends and family!”
Another satisfied client Alex Skybird had this to say:
“We were looking for a house for so long (almost a year) Assaf – never gave up on us. Kept helping, no matter what… Very smart and reliable real estate agent! You can feel free(as a customer), to ask any questions after all! We got our house couple days ago! Thank you, for your patience and help!”
The Maizel Homes Difference
What’s different is the personalized care, the local expertise, and the relentless commitment to client success. Our team won’t just help you buy a home but will help you find the perfect first home for your future. Whether it’s negotiating a great price, providing insider knowledge on Newmarket’s hottest neighborhoods, or walking you through incentives, Maizel Homes will be with you every step of the way.
Ready to Make Your Move?
There has never been a better time than now to invest in Newmarket’s thriving real estate market. Allow Maizel Homes to make your first home-buying experience smooth and rewarding. Contact us today and start finding your dream home!