Purchasing your first home: what you need to know
- Edith Parinas
- May 7
- 4 min read
Written By: Guertin Poirier Avocates/Lawyers
Few things are more exciting than purchasing your first home. Few things are more, stressful, either! At Guertin Poirier Avocates/Lawyers, we strive to make the process as smooth as possible so you can focus on the more important things. Whether it’s changing jobs, getting your kids ready for their new school or moving your pets or plants to a new environment, we understand that moving takes a lot of mental, physical and emotional energy. We are here to support you on the legal side of your transaction while keeping this
in mind.
As our gift to you, we offer all first-time homebuyers a $100.00 discount on our legal fees. This is our way of helping you with this important investment! You will also receive up to a $4,000.00 rebate on the Ontario Land Transfer Tax if you qualify as a first-time homebuyer in Ontario.
No two purchase transactions are exactly the same, as each requires special care and attention. In this post, we will explain the general process of purchasing a home and what we at Guertin Poirier Avocates/Lawyers will do for you as part of that process.
Types of Purchases
Differences in the buying process arise depending on the type of home you are purchasing:
A new home;
A resale home;
A rental property that you will inhabit;
A New HomeIn the case of a new home purchase, The Ontario New Home Warranty Program (ONHWP) applies. This program is being administered by the Tarion Warranty Corporation and is made to ensure that all new-home and condominium builders in Ontario abide by the laws and regulations of the industry. It also protects you, as a consumer, by intervening when
builders fail to fulfill their warranty obligations.
It is the responsibility of your builder to enroll your home in the Tarion Warranty Program. As part of this process, you will be required to perform and sign off on a final inspection and will be provided with several documents for your records.
As part of our fixed price for new-home purchases, we review all such documents to ensure that your new-home purchase is a solid investment from a legal perspective, and that the home you purchase meets the ONHWP requirements.
A Resale Home
If you are buying a previously owned home, you are not covered by any formal warranty. It is your responsibility to inspect the property, or have it inspected at your expense (or at the homeowner’s expense in certain conditions).
As part of our fixed price for resale home purchases, we play a critical role in advising you about the health of the property from a legal perspective, ensuring that the vendor has the right to sell the house, that no one else has any claim to it, and that there are no substantial utility account arrears that you may inherit. Should there be any issues to your title to the property, we resolve them.
These services, in conjunction with a home inspection, will help ensure that you can feel confident in your purchase and that your investment is a sound one.
A Rental Property That You Will Inhabit
If you purchase a multiple-unit dwelling, you take on the responsibilities of the existing tenant agreements.
Tenants are protected by the Residential Tenancies Act and by their leases. It is your responsibility as buyer to review the leases, know the tenants’ rights and obligations, and your rights and obligations as landlord.
As part of our fixed price for rental property purchases, we review and help you understand all terms of the leases, such as their duration, who pays for utilities, and so on, and we ensure that your rental property purchase is legally sound and prevent surprises as a new landlord.
Offer to Purchase and Conditional Offers
The legal component of buying a home begins with your offer to purchase–the agreement of purchase and sale. This agreement identifies the property you are purchasing, the buying price, and the terms and conditions of the offer. Terms and conditions may include a variety of items that you and the seller have agreed on such as:
- the purchase price;
- the closing date;
- inclusions and exclusions, such as appliances, draperies, machinery, materials and other items specified as part–or not part–of the sale price;
- conditions that may apply to the offer, such as a building inspection or financing conditions (see #3 below); and
- the dates by which conditions must be waived for the offer to proceed.
You can expect us to review your agreement of purchase and sale and advise you of your rights and obligations, as well as any special clauses.
Conditions of Purchase
Most offers are conditional–that is, they do not proceed until specified conditions have been waived. Throughout the course of formalizing the offer, these conditions must be acted upon and either waived–allowing the transaction to proceed—or enacted, which can result in termination of the offer to purchase. Examples of typical conditions are:
- purchase subject to report from a building inspector for a resale home;
- purchase subject to buyer selling an existing home;
- purchase subject to buyer receiving mortgage approval from a lender; or
- confirmation by seller of certain elements pertaining to the home, such as
insulation, rights-of- way, disputes, zoning, second mortgages, etc.
The Green Light
Once all conditions have been reviewed and waived, your Agreement is considered “firm and binding” and the transaction is ready to proceed. As your lawyer, we will perform a variety of duties and tasks that are designed to ensure that you can close on the property per the agreement and ensuring that your investment is legally sound.
If you’re a first-time homebuyer and want to make sure every legal detail is covered, we’d love to support you.
Reach out to our team at 613-744-4488 or opendoor@guertinpoirierlaw.ca - and don’t forget, we offer a $100 discount to first-time homebuyers!
In partnership with Mortgage Broker Edith Parinas, Visit edithparinas.com for mortgage insights, pre-approval tips and helpful checklists.
– Edith Parinas
'The Mortgage Broker ~ The Yogi ~ The Blogger'
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