Buying a house is an exciting milestone, but it can also be a bit scary, especially if you're new to Ontario after immigrating to Canada. There are many factors to consider beyond just the house itself. This guide will walk you through the top 10 things to look for to help make your home buying experience as smooth as possible.
From deciding on the ideal location and neighborhood vibe to budgeting for taxes and any needed repairs or renovations, you'll go into your purchase with open eyes. Most importantly, work with trusted legal experts to guide you through all the requirements and protections as a new immigrant. With the right preparation, you can find your perfect "home" and joyful milestone in this new chapter of life.
1. Location, Location, Location
The neighborhood you choose is just as important as the house itself. Consider these factors when evaluating locations:
Urban vs Suburban Living
- City living (e.g. Toronto): Convenient access to jobs, entertainment and public transit, but noisier, busier and pricier with smaller properties
- Suburbs (Mississauga, Oakville, Burlington etc): More space and affordable prices, but longer commutes of 30-60 mins to downtown. Family-friendly communities.
- Small towns (Guelph, Kitchener-Waterloo, Barrie): Quieter pace, lower costs, but fewer amenities and job options. Best for slowing down.
Proximity To:
- Jobs/Offices
- Top-Rated Schools
- Public Transit Routes
- Grocery Stores, Shopping, Parks, Hospitals
The proximity to amenities and transit can dramatically impact your daily quality of life, so evaluate what matters most to your lifestyle.
2. The Commute
Speaking of location, consider your daily commute time to work or school if you'll be driving. A shorter drive can significantly improve your quality of life and mental health.
Pros of a Shorter Commute:
- Less stress from sitting in traffic
- More time at home with family
- Lower transportation costs
- Better work-life balance
Cons of a Longer Commute:
- Easily an hour+ each way into Toronto during rush hours
- Heavy traffic on major highways like 401, 427, QEW
- More vehicle operating costs for gas, maintenance
- Can negatively impact your overall well-being
If possible, try to find a home that keeps your drive under 30 minutes each way. But also think about traffic patterns and having easy access to major highways if you do need to travel frequently.
In downtown Toronto, consider neighborhoods with accessible subway stops to avoid driving altogether. In the suburbs and smaller cities, commute times are generally shorter but still investigate public transit options.
3. Explore the Neighborhood
Once you've narrowed down your ideal area, spend time exploring your top neighborhood choices. Drive or walk around at different times to get a true feel for the following:
Noise Levels
Are there calm, quiet streets or does it feel noisy from busy traffic, running trains, barking dogs or neighbors?
Traffic Patterns
How congested are the main roads during rush hours? Are side streets jammed from families coming and going?
Parking Availability
If you'll need on-street parking, get a sense of how challenging finding a spot could be, especially in the evenings.
Overall Safety and Activity
Do you see people out walking with kids/pets? Does it feel lively or deserted? Looking for signs of an active, secure community.
For Families:
If you have or plan to have kids, also research school district rankings online. Look at ratings, reviews, test scores and key stats like student-to-teacher ratios to gauge quality. Finding a home zoned to top schools can make life much easier.
Also identify family-friendly amenities like parks, rec centers, libraries and kid-friendly restaurants and attractions in the area if access to these amenities is a priority.
4. Evaluate the Property
Of course, the actual house is a huge consideration. Once you've found a few options you like, schedule visits to get an in-depth look.Interior:
- Walk through each room with a critical eye
- Take photos/videos and make notes
- Look for any signs of issues needing repair, like:
- Cracks in walls or ceilings
- Water stains
- Outdated electrical or plumbing
- Old windows and appliances
- Squeaky floors or sticky doors
- Musky or mildew smells signaling mold
- Pay attention to natural light levels and room sizes - make sure furniture will fit!
- Test outlets, run faucets, open/close windows to check conditions
Age of Home:
- Newer builds (10-15 years old): Feature the most modern, open layouts with amenities like walk-in closets and en-suite baths. Generally more energy efficient too. However, smaller yards or lot sizes are common, as well as potentially higher property taxes in growing/developing areas.
- Older homes: Tend to offer more interior and yard space, but may require more maintenance, repairs or even major renovations over time. Inspect condition closely and budget for any work needed. But older homes often have unique character and opportunity to renovate to your style.
As you tour, envision your family's life there long-term. Ensure the layout flows nicely and rooms are the right sizes for your needs. Pay close attention to any glaring issues that could quickly become expensive headaches after moving in.
5. Outdoor Space
Having a nice outdoor space can vastly improve your quality of life in Ontario where the summers are beautiful. But these areas also require maintenance like mowing, raking leaves, shoveling snow etc. Consider your desired lifestyle and preferences for how much upkeep you want.Yards (Pros):
- Great for kids and pets to play safely
- Ideal for outdoor entertaining like BBQs, parties
- Personal outdoor oasis with privacy
- Space for landscaping, gardens, firepit etc.
- Often largest in suburban areas
Yards (Cons):
- Require cutting the grass, raking, shoveling snow
- Can be time-consuming chores if you dislike yardwork
- Some condo communities don't allow things like sheds, kids' play structures
Patios and Balconies:
- Nice for getting fresh air or small plant/herb gardens
- Lower maintenance without a full yard
- Good outdoor living options for condos/townhomes
Consider if you'd enjoy maintaining a yard yourself or would prefer the convenience of outdoor maintenance being covered by condo fees for shared greenspace.
6. Age and Potential Renovations
Something else to keep in mind is the age of the home and any needed or desired renovations.Older homes (25-100+ years old):
- Pros: Often more interior space, larger lots and yards, full of character and architectural charm
- Cons: May require renovations over time like new roof, HVAC, electrical work, plumbing. Features/layouts feel outdated
Newer Homes (10-15 years):
- Pros: Modern amenities and layouts reflecting today's trends (open concepts, walk-in pantries, spa-like ensuites etc), more energy efficient
- Cons: Potentially higher property taxes if in rapidly-developing area, smaller yards/lots
Additionally, rural fixer-uppers can sometimes be found at bargain prices but require extensive work. City center homes often cost more but need less renovating.
Consider your budget, timelines, skill set and design vision:
Do you want a turn-key move-in ready home just needing decor changes?
Or are you excited to take on bigger renovation projects over time to make it your dream space?
Would living through months/years of construction be too stressful?
Make an honest assessment to ensure the home's condition matches your goals and abilities. Renovations also impact your living situation, so factor those potential costs, stress and timelines into your decision.
7. Property Taxes
Something surprising for many new immigrants is just how much property taxes can vary across Ontario cities and towns. Tax rates will likely be one of your biggest recurring homeownership costs, so budget accordingly.In general, you can expect higher property taxes in larger cities and rapidly growing areas such as:
Toronto: ~0.615% of home's assessed value
Example: $1,000,000 home = $6,150 in annual property taxes
Mississauga: ~0.713%
Example: $1,000,000 home = $7,130 annual taxes
Meanwhile, taxes tend to be lower in suburban/rural communities:
Barrie: ~1.421%
Example: $1,000,000 home = $14,210
Kawartha Lakes: ~1.314%
Example: $1,000,000 home = $13,140
As you can see, there can be massive discrepancies in what you'll pay annually just based on the municipality. And these rates also tend to rise over time, disproportionately impacting higher-priced homes.
Be sure to carefully calculate the expected property tax burden for any home you're considering and factor it into your overall budgeting. Work with your real estate lawyer to fully understand the tax implications.
8. Legal Expertise
Speaking of real estate lawyers, hiring one is highly recommended - especially if you're an immigrant still getting accustomed to Ontario's real estate laws and regulations. Their expertise can be invaluable for protecting your interests.An experienced real estate lawyer can:
- Thoroughly review all contracts and documentation
- Conduct a title search to check for any liens or disputes over the property
- Ensure you understand all legal terms, responsibilities and obligations
- Properly structure the deal if any cross-border financial issues due to immigrating
- Handle all paperwork for deeds, mortgages, transferring property taxes etc.
- Represent you if any legal issues or disputes arise
As a new immigrant, a lawyer fluent in translating complex legalese into plain language can make the entire process much smoother. They act as your knowledgeable guide and advisor from start to finish.
9. Home Inspection
One of the most important steps when buying any home is getting a professional home inspection before finalizing the purchase. An inspection could reveal any major issues and repair costs you'll need to negotiate.What a Home Inspection Covers:
- Structural condition (foundation, framing, etc)
- Electrical systems
- Plumbing & water/waste pipes
- Heating/Cooling (HVAC)
- Roof condition & age
- Windows, doors, insulation
- Appliances
- And much more
The certified inspector will assess every visible and accessible component of the home. Then they provide you with a detailed report, including photos of any problem areas and estimated repair costs.
With this report in-hand, you can make an informed decision on:
- Requesting the seller repair certain items before finalizing
- Renegotiating the sale price based on repair needs
- If major issues, walking away before making a costly mistake
A home inspection gives you vital insight into a property's true condition so you can proceed with open eyes. It protects you from nasty surprises and expenses you didn't anticipate.
10. Your Long-Term Plan
The final consideration is thinking about your long-term plans and timelines for this home purchase. Is this meant to be a "starter" home you'll eventually outgrow, or your "forever" home to settle into for decades?For Young Families:
- You may prioritize finding a moderately-sized 2-3 bedroom home in a stellar school district to start
- But know you'll want to upsize to a 4+ bedroom place once kids arrive or get older in 5-7 years
- In this case, avoid over-renovating since you'll be moving again before too long
"Forever" Home:
- Prioritize a highly functional layout with flex spaces to adapt as household needs change
- Open concepts, in-law suite potential, walk-in pantry, big basement for playroom etc
- Amenities and features to accommodate aging comfortably over 20-30+ years
Retirement Home:
- Seek single-story living, low-maintenance requirements, wide doorways
- Proximity to healthcare, shopping, entertainment for this life stage
Having a vision for your future goals and timelines is crucial. It ensures you don't outgrow your "starter" too fast or renovate a home you'll leave soon after. Or prevents buying a property lacking needed accessibility if aging in place.
Conclusion
The home buying process comes with its fair share of stress, paperwork and difficult decisions - but keeping these 10 key considerations in mind will help you confidently find the right Ontario home as a new immigrant.
From locking down your ideal location and neighborhood vibe to budgeting for taxes, anticipated repairs/renovations and accounting for your long-term plans, you'll go into your purchase with open eyes.
Remember, having trusted legal experts by your side provides invaluable guidance and protection throughout. And don't skip the home inspection - that report could save you from making an expensive mistake.
With some patience and the right preparation tailored to your family's specific priorities, you can secure the perfect new home to start building beautiful memories and community connections in Ontario. Congratulations on this exciting milestone!