How to Buy a House in Canada: 6 Easy Steps

Although it may seem like an uphill battle (especially with the current status of the Canadian real estate market), buying a home is an extremely rewarding experience.

After working hard and saving even harder, you're finally ready to start looking for a home. However, if you're entering the Canadian real estate market for the first time, you may not know how to buy a house yet.

That's why we've put this guide together!

After reading today's guide, you'll know how to buy a house like a pro and be ready to make an offer on your dream home.

Continue reading to get started!

How to buy a house in Canada in 6 simple steps

Whether you’re buying your first or second home, the process is significantly easier if you have a well-thought-out game plan.

Our step-by-step guide can help you get started on your house-hunting journey and make it easier to find the right home at the right price.

Our steps to buying a house in Canada include:

• Find the right real estate agent
• Calculate your budget and estimate your related expenses
• Get pre-approved for a mortgage
• House hunt and make an offer
• Schedule a home inspection
• Sign on the dotted line

Step #1 — Find the right real estate agent

Buying a house in Canada is much easier if you have an experienced real estate agent by your side. An experienced real estate agent can help you find potential homes in your preferred areas and back you up when it comes time to make an offer.

Before interviewing prospective real estate agents, you should prepare a list of interview questions. We suggest adding the following questions to your list:

• Do you work full-time or part-time?
• How many clients do you currently have?
• What's your area of expertise?
• Can you provide a list of references?

Step #2 — Calculate your budget and estimate your related expenses

If you feel like you're ready to buy a home, you're probably pretty confident about your finances. That being said, it would be remiss for anyone to consider buying a home without calculating a budget and going over related expenses that may (or will) pop up throughout the process.

Taking the time to calculate your budget gives you a clear idea of what types of homes you can afford to purchase. It also gives you a better understanding of the locations you can afford and how much you can spend on additional upgrades or services down the line.

Additionally, taking the time to estimate your related expenses, like home insurance, will further help you map out your financial strategy.

Step #3 — Get pre-approved for your mortgage

If you want to learn how to buy a house, then you should take a moment to learn about the benefits of getting pre-approved for a mortgage.

Getting pre-approved for a mortgage is a relatively simple process that lets potential home buyers know how much their lenders are willing to lend (based on a number of individualized factors).

Taking the time to get pre-approved for a mortgage also allows you to lock in a set interest rate. This protects you from unforeseen interest rate fluctuations that may occur before you close.

Step #4 — Start house hunting and make an offer

When it comes to the steps to buying a house, there's no denying that house hunting is one of the most enjoyable parts of the process.

Going house hunting gives you a chance to see your favourite living spaces in person (or virtually, if you prefer). Seeing the inside of a home with your own two eyes gives you invaluable information about the overall quality and "vibe" of the living space. House hunting also gives you a chance to envision your furniture and personal items in the space.

After finding the right space for you and your family, it's time to make an offer on the home. Having an experienced real estate agent will make this part of the home-buying process much easier, especially if you need to negotiate the price of the home.

If your offer is accepted, you can move on to the next step. If your offer wasn't accepted, don't feel discouraged! You can continue making offers on other homes until one of them is accepted.

Step #5 — Schedule a home inspection

This is one of the most overlooked house buying steps; home inspections give you important information about the overall quality and integrity of the home you’re about to purchase. 

If the home inspector notices any problems with the property (for example, structural issues), you can use this as leverage to renegotiate your offer. If the inspector doesn't find any issues with the home, you can feel confident about the integrity of the property that you're purchasing.

Step #6 — Sign on the dotted line

After coming to an agreement with the seller, it's time to officially buy your new home! Make sure that you fill out all of the necessary paperwork and make the required payments to your real estate agent, lawyer, home inspector, etc.

Additionally, you'll need to update your utilities and transfer all of your services to your new address. Lastly, don't forget to change your address on your car insurance policy! Failing to change your address can count as insurance misrepresentation.

Speaking of insurance, did you know you can save as much as 25% when you team up with an online insurance brokerage like Surex?

Save up to 25% on insurance in Canada with Surex

Buying a home is an enormous financial commitment, so you most likely want to do everything you can to protect your new property. If you're thinking about buying home insurance for your new home in Canada, you should consider contacting one of our team members at Surex.

Our insurance advisors can help you find and compare the best insurance quotes in Canada, making it easier for you to get access to the highest-quality insurance available.

Want to get started? Contact one of our advisors over the phone or online to get your quotes in ten minutes or less! While you're comparing quotes with your insurance advisor, don't forget to ask about the pros of bundling multiple policies with the same provider!