Costs of Buying An Edmonton Home
It's easy to focus on mortgage planning and completely forget about the plethora of additional costs of buying a home in Edmonton! While each purchase will have its own specific costs, and not all will apply to every home buying experience, there are a few standard costs that you can plan for:
Home Inspection Fees - It's recommended to always complete a home inspection for any home you are considering buying.
Land Survey Fees - A land survey will determine the exact property lines and are required when purchasing a resale home.
Land Transfer Tax - A percentage of the property may be taxed as part of a land transfer. First time buyers can apply for the First-Time Home Buyers' program to have the land transfer tax refunded.
Appraisal Fees - Many mortgage companies will require an independent appraisal of the property to determine it's value.
Legal Fees - A lawyer or notary will be required to review documentation, transfer the title and ensure everything is in order.
Mortgage Loan Insurance - If your down payment is less than 25%, expect to pay several thousand dollars for mortgage loan insurance.
Mortgage Application Fee - A few financial institutions will have their own application fee for mortgage requests. This fee will be returned if your application is denied.
Interest Adjustments - Depending on when your mortgage payments come out, there may be an interest adjustment costs. This could bump up or pro-rate your first mortgage payment.
Closing Costs - A number of adjustments may be made during the closing process, which could end up costing money. These adjustments are usually for things like pre-paid property taxes, city services or other irregular but recurring home ownership expenses.
Utility Service Charges - While some utility companies will move your service for free, others charge a fee. Consider basic utilities, cable and phone, postal services and any other services you will need to move.
Moving - Many buyers forget to factor in the cost of moving, which can cost thousands of dollars! Whether you're renting your own truck or hiring professional movers, plan for these moving expenses.