Buying your first home is such an important and exciting decision. Sometimes in the excitement, we forget some key financial decisions. We thought we would write them down for you.

Prepare a Monthly Budget
First-time home buyers have likely used a budget before. Here we suggest looking over it again, and making some adjustments. When you are renting, some expenses such as property taxes, some utilities, and home repairs are the responsibility of the landlord. So now that you are about to be a first-time homeowner, it’s critical to add those lines into the budget. We suggest testing the budget out before you buy your new home. See if you can make the numbers works. Keep an eye on the budget every single month. Make adjustments, and ensure you are comfortable before you buy that home. Perhaps those 2 lattes you buy every day might have to go. The trade-off is well worth it, we assure you.

Watch Your Credit
Really, this should always be done, regardless of if you are renting, you own, or still live with your parents. Your credit is critical to home ownership (among many other things). Mistakes can be made. Identities can be stolen. It’s critical to ensure your personal credit remains in good standing, and accurate. For those individuals whom avoid credit, now would be the time to start building your good credit. If you have avoided credit cards in the past, obtaining a mortgage will prove challenging if no credit appears on your report. Obtaining a great rate on a mortgage is also impacted by your credit rating.

Understand Debt
You have likely heard people say there is a different between good and bad debt. There is a difference. Healthy debt is things like mortgages and student loans. Bad debt – and this is a big one – is consumer debt. Holding a balance on your credit card makes lenders believe you are a ‘spender’, not a ‘saver’. They will not perceive you as a healthy risk for their mortgage product. Beyond lender perception, the interest rates on that balance are just absurd. Pay off your credit cards each month. Refer back to our first point, build that budget… and stick to it. You will save a bundle.

Don’t Drain Your Savings Account
While it can be tempting for many first-time home buyers to put every last penny of savings towards your down-payment, we caution against this. While most people perform a home inspection when purchasing a home, inspectors can’t see it all. Homes, like cars, need maintenance. Employment changes can happen as well. It is critical to ensure you have a buffer of savings put aside for life’s surprises.


First time home buyer? Moving to Toronto? Are you part of a Toronto relocation with your employer? We can help you with all steps of the process, from finding a new home, temporary accommodations in the meantime, destination services, settling in services, move management, and so much more. So many steps of the move can be handled in advance, so when you arrive we can get you settled much faster. When moving to Toronto, we can help with all aspects of the relocation. We’d love to hear from you, so call us today to book your complimentary private consultation.


Once you are all settled into your new home, let us help you with a relaxing Caribbean get-away with a private luxury villa rental in St Martin/ St Maarten, St Barth’s or Anguilla. Caribbean villa rentals are a cost-effective way to travel. Ask us how!