If you are planning on buying a house or condo, you may know that there are going to be those dreaded closing costs. But how much are the closing costs going to set you back when it comes time to fork out the money for your dream home!
Here is a list of the most essential and typical closing costs associated with buying a house in Calgary.
Closing Costs before You Move In:
Your Deposit on the home can be anywhere from $2,000 upwards of 5-10% of the value of the house. The cost of this depends on who you are buying from and what price range you are purchasing in.
Inspection Costs can include a Home Inspection and, or a Condo document inspection, a home inspection can be around $500, and the condo document inspection can be approximately $400-$500 as well.
Bank Appraisal can cost around $300. If you do have this cost, many times, your mortgage broker or bank can get this waived, so make sure you ask.
Closing Costs On Possession Day:
Legal Fees are paid when you meet with your lawyer to sign all the documents when closing on your new home. This is approximately $1,000 to $1,500
Remaining Balance of the Purchase Price is owed when you meet with your lawyer on closing. This will be a combination of the remainder of your down payment (minus what you paid for your deposit), mixed with the amount of your mortgage.
Speaking of Mortgages, you may have CMHC Fees or Mortgage insurance fees can be $2,000 or more. This cost is calculated and included in your mortgage, however, ask your broker or bank for the breakdown, so you are aware of what it is.
GST will only apply for newly built homes, but this is a cost you must be aware of if you are purchasing a brand new home.
Home Insurance will need to be in place for your possession day, so this will be a combination of home and content insurance that you will need to set up. This cost is around $1,500 or more per year.
Closing Costs On and After Moving Day:
Moving Costs are totally dependant on the size of the house, which equates to the amount of 'stuff' you are moving. $1,000 or more is very typical.
Connection Fees for Utilities will vary
Immediate Expenses for Maintenance and Repair costs will vary. Use your home inspection as a guide to determine what requires immediate attention once the home is yours.