January 2018

One of the things that you'll spend a lot of time thinking about when you're purchasing a home is homeowners insurance. Homeowners insurance helps protect property owners from damage to their possessions and property in the event of an incident like a fire or break-in. How much does home insurance cost? Knowing what to buy, when to buy and what kind of coverage is right for you can help you through the home buying process.

Is It Required?

Homeowners insurance is not required by law, but it will be required by your mortgage lender if you have to borrow money for a home. Before your lender will grant the loan, you'll need to produce proof of purchase of home insurance. Once you've made an offer on a property, start contacting homeowners

Prospective Canadian homebuyers should be aware that they may pay approximately 4 percent of a home's selling price in closing costs. These costs quickly add up and a budget should be created to account for the fees and specific events that may require payment before closing on a home.

Get more information on closing costs and associated events that can easily exceed a homeowner's original budget.

Initial Cash Outlays

When homeowners want to purchase a home they will give an Offer to Purchase. At this point a deposit is required that will eventually be used as part of the full down payment of a home. The minimum percentage expected in Canada is 5 per cent. While this amount will be part of the eventual down payment, homeowners need to be