Curious how much you’d have to spend up front to buy a house in Calgary? I’ll share with you my experience!
I financed my first property in November of 2016 – a long-time dream of mine and my first step into real estate ownership. Prior to this, I racked hours and hours of research and number crunching under my belt. With a purchase this big, I really didn’t want to get anything wrong if I can help it.
Related Post: The Real Reasons Why I Haven’t Bought A House Yet
Finding the right house was a process too. I saw well over 50 homes in the span of 2 to 3 years and browsed probably hundreds more online before finding “the one”. In hindsight, I’m glad I waited. When I found my home, I was very sure of it as soon as I walked in and then all those “maybe this is it” homes paled in comparison.
Anyways, you’re probably not here to get all emotional with me! Here’s what it cost me to buy my first home up front.
The House By The Numbers
- Purchase Price: $440,100
- Down Payment (10%) = $44,200
- Mortgage Insurance (since DP was less than 20%) = $9,525
- Total Loan to Pay = $406,425
- Amortization = 25 years
- Interest Rate = 2.29% Fixed for 5 years
- Monthly Mortgage + Interest = $1,779
- 3 Bedrooms, 2.5 Bathrooms on 1,545 square feet + undeveloped basement
She’s a beauty isn’t she? She’s super cute on the inside too – the layout is extremely functional and the previous owners updated a lot of things so I don’t have to. The backyard is to die for! I’d love to do some entertaining and hanging out back there on warm summer nights or get a campfire going for when it gets cooler out. But all that with time!
(All photos taken by the previous owner and acquired at sale of property. Please message me if you’re interested in connecting with the photographer.)
The Closing Costs
- Down Payment (10%) = $44,200
- Realtor = $0 (Paid by the sellers and since I’m only buying with no home to sell of my own, I didn’t have to pay any commissions.)
- Mortgage Broker = $0 (Paid by my mortgage lender. We even got a free dim sum lunch when our broker took us out to celebrate!)
- Real Estate Lawyer = $1,400 all-in (Lawyer and office fees, Title Transfer, Real Property Report and other legal documents)
- Property Tax = $270 (I’m paying this annually but putting aside about this much monthly for when the annual bill comes due in June.)
- House Inspection = $300 (Well worth the investment!)
- Furnace Cleaning = $0 (Gift from parents)
- House Cleaning = $0 (I budgeted for this but the sellers got the place cleaned themselves and it was good enough for me!)
- House Insurance = $950 (I chose to pay this annually.)
- Moving Day = $100 (For the pizza and beers to feed our movers!)
- Moving Vans = $0 (Borrowed from friends)
- Movers = Priceless! (Thanks to my family and friends!)
Boom! Almost $50,000 dropped in one month! I haven’t even included in this number the groceries and housing supplies I bought so I could start living in the home but it does get expensive!
Furnishing a house is another can o’ worms and I would never recommend you go nuts in a furniture store with your credit card just to fill your empty rooms. It’s better to live in an emptier house for a few months and figure out what you do need (and what you don’t) and then acquire quality furniture over time. When I first moved in, I made use of furniture I already had and were donated by friends and family.
It was important to me that the house is move-in ready and luckily, there wasn’t anything that needed fixing, painting or renovating otherwise that would suck up more of my financial resources. So if you’re looking at a home and there are things that absolutely need fixing or renovating right away, make sure to budget for those too.
I hope this post helped give you an idea of what you’ll spend if you’re thinking of buying a home of your own. It’s always better to have a little more saved up than starting off your home ownership going into debt that you could avoid.
Are you selling a home? I don’t have experience with this yet but my girl Des on Half-Banked recently sold ‘The Boyfriend’s’ house and moved into a new home of their own so check out what she has to say.
Recommended: How Much Does It Cost To Sell A House?
Are you currently in the market for a house? Are you prepared to pay for the closing costs when you buy?
Homeowners, were there any surprise or unexpected expenses you didn’t budget for when you bought your home?