One of the main things that holds some renters back from buying their first home is coming up with the downpayment. The cost of living continues to rise, and in the Greater Calgary Area healthy housing market, so do home values. It is a wise idea to set saving for a downpayment as a priority in order to reap the benefit of homeowner equity. Educated consumers find out what their options are, then do some creative thinking as to how to save money starting today.

Depending on how much of a downpayment you can afford, here are your mortgage options:

• Conventional mortgage (25% downpayment)
• High-ratio mortgage (minimum 5% down)
• No downpayment mortgage

High-ratio and no-downpayment mortgages have lower downpayments, but they require a higher mortgage loan insurance premium. This premium is added to the amount you borrow. As a first-time buyer, you can also use money saved in your RSP toward a downpayment with a maximum of $20,000 per person. Using a $250,000 purchase price as an example, the following chart depicts the different downpayment options:

Consider the following possibilities to help you save what you’ll need to enter the new home marketplace.

• Simply start saving by having a pre-determined amount of money transferred from your chequing to your savings account each month.
• If you are a first-time buyer, use money from your RSP as a portion of your deposit.
• Consider moving to a less expensive rental unit and save the difference each month toward your downpayment.
• Pay off your credit cards or consolidate them to reduce your debt and the interest you’re paying.
• Consider a second job with the income going directly toward saving for your downpayment.
• Borrow from family; relatives may be happy to help.
• Pass up luxuries such as movies and eating out, and deposit the money you would have spent into savings.

A home is the largest investment most Canadians make in their lifetime. When you decide to purchase a new home, the reputation of the builder is one of the many items you'll want to consider. Buying from a builder with a solid reputation for providing quality and excellent service brings you peace of mind.

• Ask people who have purchased from the company previously about their home and their buying experience.
• Take a drive through completed neighbourhoods by that builder and look at the architecture and streetscapes.
• Tour model homes whenever possible for a first-hand look at design, quality and craftsmanship.
• Visit the builder's website and read about the company's history, accomplishments, awards, etc.
• Most new home builders in the Greater Toronto Area are also members of the Greater Toronto Home Builders' Association-UDI (www.gthba.ca). Look for the "Building Confidence" logo, or call GTHBA-UDI directly at 416-391-HOME (4663).
• The U.S.-based consumer research firm J.D. Power and Associates now offers ratings on new home builders in the GTA - you can access these findings at www.jdpower.com/canada.
• For a more comprehensive look at builders, check with Tarion Warranty Corporation (www.tarion.com). You can look up a specific builder and access a record of the company's possessions, chargeable conciliations and claims history dating back 10 years. Tarion updates this information quarterly.

It's protection for you, and one of the major reasons why so many people choose to purchase new over resale. Tarion Warranty Corporation is a non-profit, private corporation that was established in 1976 to protect the rights of new home buyers, and regulate new home builders. Tarion administers the Ontario New Home Warranties Plan Act, one of North America's most comprehensive warranty programs. This organization ensures that builders uphold the requirements outlined in the legislation, and protects customers if those obligations are not fulfilled.

New home owners receive deposit protection, protection against delayed closings or occupancies without proper written notice, and protection against defects in work and materials, major structural defects, and in some cases, unauthorized substitutions.

Your new home or condominium suite is warranted for a total of seven years from the day you take possession. In the case of condominiums, coverage also includes the areas residents share, which are called the common elements, and takes effect the day the condominium is registered. The warranty stays in effect, even if the home is sold before the warranty period is up. Maximum warranty coverage has increased from $150,000 to $300,000 for all new homes with a possession date on or after July 1, 2006. Depending on the item, the coverage lasts for one, two or seven years.

The statutory one-year warranty begins the day you take possession and ends the day before the first anniversary of this date. This warranty is provided by your builder and requires that:

• your home is constructed in a workmanlike manner and is free from defects in materials;
• your home is fit for habitation;
• your home has been constructed in accordance with the Ontario Building Code; and
• your home is free from major structural defects as defined by Tarion.

The two-year warranty coverage is also provided by your builder. It begins on the day you take possession and ends on the day before the second anniversary of this date. This warranty covers:

• Water penetration through the basement or foundation walls;
• Defects in materials, including windows, doors and caulking, or defects in work that result in water penetration into the building envelope;
• Defects in work or materials in the electrical, plumbing and heating delivery and distribution systems;
• Defects in work or materials which result in the detachment, displacement or deterioration of exterior cladding (such as brickwork, aluminum or vinyl siding);
• Violations of the Ontario Building Code affecting health and safety (including, but not limited to, violations relating to fire safety and the structural adequacy of the home); and
• Major structural defects. (Major structural defects are specifically defined in the Ontario New Home Warranties Plan Act and discussed in more detail in the Seven-Year Warranty.

• Any defect in work or materials that results in the failure of a load-bearing part of the home's structure or materially and adversely affects its load-bearing function, or
• Any defect that materially and adversely affects the use of the building as a home.

Tarion also works to educate new home purchasers about their warranty coverage and how they can maintain their warranty. The organization provides:

• a Homeowner Information Package that Tarion requires new home builders to pass along to all new home buyers in Ontario on or before the Pre-Delivery inspection of their homes, which explains the statutory warranties for new freehold and condominiums in the province; the responsibilities of the buyer, the builder and Tarion; and the process Tarion uses to address statutory warranty claims.
• a Contact Centre that manages hundreds of thousands of calls each year to answer warranty-related questions
• New Home Buyer Seminars
• a walk-in Customer Centre in Toronto where customers and builders can meet with Tarion staff or drop off warranty forms
• a comprehensive website (www.tarion.com) with a "Find a Builder" section, where you can review the company's track record
• Customer Service Standards that outline what builders are required to provide in after-sales service
• Construction Performance Guidelines that help you understand what is included in your statutory warranty coverage
• the Tarion Awards of Excellence, Ontario's premier customer service awards for new home builders

At Mattamy Homes, we thought it would be helpful to outline the major steps in the order they will occur as you advance from purchaser to homeowner.

1. Sign Purchase and Sale Agreement – Sales Administration staff will enter the required information and send copies to the purchaser’s lawyer.
2. Lawyer and Bank review agreement – Sales Administration staff will send copies to the lawyer, Sales Office, the purchaser and the purchaser’s lawyer
3. Pick up Agreement from Sales Consultant – Sales staff will call the purchaser to set a pick-up time.
4. Exterior colour appointment (detached only) – Someone from the Sales Office will contact the purchaser to come in once the colour packages have been determined by the architect. The selections will be displayed in the Sales Office.
5. Design Centre Open House – Every weekend, Mattamy holds an open house so purchasers can come in well before their official appointments, look around and become familiar with the myriad of choices they will be presented with.
6. Mail Design Centre Information Package – In some cases, depending on the community, Mattamy will mail this package to the purchaser; in others, the purchaser will receive the package when the Agreement is signed.
7. Design appointment – The Design Consultant assigned to each specific purchaser will contact that person to come in and choose colours, features and finishes, and arrange for requested structural changes, where possible. In some cases, the purchaser may have two Design Centre appointments.
8. Mattamy University – Customer Service will inform our purchasers of the date and time for this educational seminar presented by Senior Builders that is an opportunity to meet your neighbours and ask questions about the building process.
9. Home start (excavation, foundation) – The start of construction on your future home is an exciting step.
10. Construct roof – The home takes on even more character as the building goes up.
11. Book movers – A Sales Representative or Customer Service Representative will call to remind purchasers to book a mover for the specific date that ties into their closing date.
12. Framewalk appointment – At a prearranged appointment, a member of the building team will guide purchasers through their home before it is dry-walled, review any structural changes requested at the Design Centre appointment and answer questions.
13. Information update - Purchaser to provide Sales Office with Lawyer information, and bank with documents; contact Post Office, telephone, gas, cable, etc. to advise them of your moving date.
14. Kitchen cabinets installed – Again, this is an exciting step in the finishing of your home.
15. Schedule appointment to sign closing documents with lawyer - Customer Service will remind the purchaser of these responsibilities.
16. Contact bank to ensure everything is in order - Customer Service will remind the purchaser of these responsibilities.
17. PDI appointment – The purchaser will be informed that a PDI Representative will guide them through their home for the Pre-Delivery Inspection.
18. Closing day – home delivery appointment – The builder will take the purchaser through the completed home on closing day.
19. 30-Day Warranty Service form – Onsite Customer Service will contact the purchaser about this form.
20. NRS Customer Service Satisfaction Survey – Purchasers are informed that they will receive this survey one month after closing.
21. Curbs, sidewalks, driveways, sod installed - Onsite Customer Service will contact the purchaser with dates.
22. Year-End Warranty Service request form - Onsite Customer Service will contact the purchaser about this form.
23. Year-End inspections - Onsite Customer Service will contact the purchaser with dates and times.
24. NRS Customer Service Satisfaction Survey – Purchasers will be informed that they will receive this survey one year after closing.

At Mattamy Homes, we believe it is important to keep the lines of communication open throughout the New Home Buying Process, from before you move in until you have lived in one of our communities for more than one year. Listening to what our homeowners have to say helps us to ensure that we are with you every step of the way.