New Home Living asked the experts at CMHC, CRHBA, and the ANHWP for their thoughts on the realities facing new homebuyers and what resources are available to help Calgarians through the daunting, life-altering experience.

Richard Corriveau, senior market analyst with the Canadian Mortgage and Housing Corporation, (CMHC) says issues surrounding new or resale homes share both similarities and differences.

“Whether you’re buying new or resale, buyers face the same things — cost escalation and shortage of product,” says Corriveau, adding active listings in the city are down to half of last year’s numbers at this time.

First-time buyers face many of the same limitations as other buyers, says Corriveau, adding that the market does make it easier in many ways these days, especially for those buying that first home. “You can purchase for as little as zero down, and while they may have climbed slightly, interest rates are still low and presenting great opportunities to buy,” says Corriveau.

To solve the cost escalation issue, he suggests taking the ownership plunge sooner rather than later. “It’s a great time to buy even if it is a seller’s market. If people are waiting for prices to come down, they will be waiting forever.”

In addition to employing market analysts like Corriveau who monitor and report on the homebuying and building markets, CMHC offers a slew of reading material to educate would-be buyers, many available online at http://www.cmhc.ca. Among free publications up for grabs are: Homebuying Step-By-Step; Your Next Move: Choosing a Home with Sustainable Features; Hiring a Home Inspector; Homeowner’s Manual; and the Condominium Buyer’s Guide. CMHC also helps new homebuyers by allowing them to put as little as five per cent down on a new home, by supplying lenders with Mortgage Loan Insurance.

Dennis Little, CEO of the Alberta New Home Warranty Program (ANHWP), also cites supply and demand as the No. 1 issue facing homebuyers, but says knowledge is the best way to land those dream digs.

Little also advises buyers read up on the process, with resources such as The Way Home, a guide from the ANHWP for anyone looking to buy a new condominium, or From Purchase to Possession, a detailed guidebook for those shopping for new single-family homes. Would-be buyers can download copies online at http://www.anhwp.com, or those who’ve already given deposits on digs with a registered builder can mail ANHWP the receipt and net hard copies.

Little says the ANHWP, which is also helps homebuyers by insuring deposits on homes during construction (if their builder is an ANHWP member), and with structural warranties on their homes after possession, is about protecting buyers — and learning what to expect is the best guarantee every time.

“Our attitude is prepare yourself to know what you are going through. It is a long-term relationship you will have with your builder you’re entering … we’re not looking at six months anymore (for possession).”

He says the most pressing issue for first-time homebuyers is the “hot” market, which is slowing delivery times for homes considerably, making the timeline buyers and builders are connected for close to two years.

Little also suggests purchasers in the new home market are smart to make sure their chosen builders are part of a registered warranty program, such as the ANHWP.

Donna Moore, executive officer of the Calgary Region Home Builders Association (CRHBA) urges any new homebuyers to plan before signing anything, or even setting foot in a showhome.

“For first-time buyers understanding what they will go through is a challenge. But through our website, the Canadian Home Builders Association- Alberta and the Canadian Home Builders Association there is a wealth of information to take away.”

Moore urges checking to make sure a builder being considered is a member of the CRHBA, as well as part of a registered warranty program — and another thing they can check out at http://www.crhba.com.

“Typically with new homes you are buying based on what you see at the sales centre, but you also get to be part of the decision-making process, select what you want and see it built,” she says.

The best time to ask questions is from the very beginning, she says, and to establish what you are responsible for as a buyer, as well as what to expect from your builder.