The steps to becoming a homeowner are not the same everywhere you go. Just within Canadian borders, these steps vary from one province to the next. Let’s go over the main steps people looking to purchase a property in Quebec need to take.
Buying a Property in Quebec: Financing
To become a property owner in Quebec, one needs to make a down payment equivalent to at least 5% of the property’s purchase price. For example, a $300,000 property will require a minimum $15,000 down payment. A mortgage provided by a financial institution may serve to cover the remaining balance. In Canada, the maximum amortization (reimbursement) period for such a loan is set at 25 years. Before even beginning to look for a new home, it is recommended that potential buyers get pre-approved for a mortgage by their financial institution. They will then also be made aware of the maximum amount they may borrow to purchase a new home. Some homeowners insist that visitors have completed this step before accepting to show them their property. Read our Mortgage Glossary for First-Time Homebuyers »»»»
Buying a Property in Quebec: Research
The best way to find a property for sale in Quebec is online. The DuProprio network lists over 26,000 properties that are for sale across Canada. Another way to go about your search is to walk around a neighborhood to look for “For Sale” signs and to write down the phone numbers of the owners. You will then need to call to schedule a visit of their property. In some cases, you will be able to see a property without having to schedule a visit by attending an open house.
Buying a Property in Quebec: The Offer to Purchase
When a buyer is ready to acquire a property, he presents a formal offer to purchase (or promise to purchase). This document outlines all the details pertaining to the sale (namely the sale price, list of inclusions, occupancy date and conditions).The owner may then choose to either accept or decline the offer, or to present a counter-offer. If both parties agree, the offer to purchase is signed and both parties are then required to fulfill their obligations.
Read our tips on making an offer on a home.
Buying a Property in Quebec: The Conditions
An offer to purchase often comes with certain conditions. The sale is finalized once all the stipulated conditions have been met.
For example, it is common for an offer to purchase to be conditional upon the buyer being approved for a mortgage. In order to complete the transaction, the buyer will need to provide proof of financing from his financial institution.
Learn about 8 contract conditions for homebuyers.
Buying a Property in Quebec: Transfer of Ownership
The final step in buying a property is going before a notary. The buyer is to choose the notary and cover the fees. The notary is responsible for paying the seller, for registering the ownership of the property to the buyer’s name and for handing the buyer the final deed of sale. The new owner will then be given the keys to the property and the transaction will officially be finalized!