How to buy a home in another province.
Now, this video is really for all of you guys from B.C,
all the way to Ontario calling us every week,
asking us "how do we buy a property here in Alberta?".
Now there's four ways that you can buy a home in another province.
And I'm going to use Alberta as an example since well, you guys,
as our subscribers are asking how to do that. Now, if you're paying cash,
there really is no constraints. However, like most people,
you'll probably need a mortgage.
So we're going to talk about the options that you have today.
As well as the documents that you need. Unlike Ontario,
BC, Manitoba, Nova Scotia, new Brunswick,
and Prince Edward island.
Alberta has no land transfer fee.
And not sure if you guys are aware,
but Calgary was rated the number 47th best city to live
in of the 100 best cities in a report,
I did cover that in a monthly updates.
And I'm going to leave the link up here for you guys.
So you guys have four options and two of the options is if you wanted to stay
in your current province.
And the last two other options is if you were to move here, okay?
So if you want to stay in your province,
the first option is you can buy a home as a secondary home. Now,
what this means is it's a home that you buy in a city outside of the one that
you currently live in and lenders are looking for family ties -
a reason for you to go to that other city and you can buy this with as little as
5% down.
The second option is to buy the property as a rental property,
and you'll need 20% down.
Now you will have a little bit higher rates.
It could be up to 0.25 percentage point,
depending on the lender.
And it's important to know that you should work with a mortgage broker that
understands how to finance a rental properties because of the complexity of
that.
There's a few extra layers and it's different than if you were to buy a home as
a primary residence.
So make sure you talk to someone that's experienced in that field.
My team has helped numerous families do this.
And what they do is they end up moving into the property months later.
If those two options aren't available to you,
then you would have to move here. And so your first option would be,
is to see if you can transfer here with the same company
you're employed with and you'll need as little as 5% down.
And the second option is you'll have to move here, get a job,
make sure you're not on probationary period. And then you can buy.
Now probationary period is usually for about three months and it typically
wouldn't apply if you're a professional, such as an accountant, a engineer,
or a lawyer, and you will see this in your job offer.
Okay? And if you do see it,
you can always ask to see if he can get that waive. Once you are off probation,
then you can buy the property. Here are the mortgage documents that you'll need.
If you are staying in your province and you're working remotely,
you will be required to provide a job letter stating that you are allowed to
work remotely.
What we get is a lot of calls from people who want to move here,
but not tell their employer. Guys,
you can't do that because all lenders will ask you for a job letter stating
that you can work remotely and lenders typically call the person on your
job letter to ensure that they get a verbal confirmation,
that everything on the job letter is correct.
If you're a contract worker or you're self-employed lenders will ask
for two years of tax returns. Now,
one thing that will not work is just a job offer.
You need to be an employee of the company.
Every application is unique and must be looked after individually.
I often get calls and people will ask me questions,
but I can only give you guys general advice. And that's not what you want.
You want specific advice based on your specific situation. Now,
I don't recommend you guys reading stuff on the internet about mortgage
financing, because number one,
it could be dated information or two rules could have changed.
So it's always better to pick up the phone and talk to a human versus Googling
something because it may not be accurate information.
Our team hears a lot of wacky stuff.
And you would be able to save a lot of headache by just pick up the phone and
just giving us a call.
Here's how the mortgage process works.
Once we have a conversation,
I'm going to send you an application with the application.
I'm also going to ask for a number of documents.
So we'll collect those documents. We're going to do an assessment.
And then you will hear from us with what your mortgage options are
as well as what you can qualify for.
So hopefully that's brought some clarity for you guys. You have four options.
If you want to come back to this video and make sure you save the video and
while you're at it, hit the like and subscribe button,
if you haven't subscribed.
And that way you can refer back to this video in the future. Now,
if you're moving from Vancouver or you're thinking about moving to either
Vancouver, Calgary, my business partner, Jaz,
he did a great video on Calgary versus Vancouver.
So I'm going to leave a link in the link up here and in the description below.
So you can see the differences and we compare, you know you know,
the jobs and the weather and some lifestyle pieces that may be important to you.
So make sure you check that out. My name is Felix Chan,
Realtor and Mortgage broker with the LiveInnerCity real estate team,
helping you keep real estate simple. And we'll see you in the next video.