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paige on
September 20, 2010 |
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Like the rest of the country, Kelowna real estate has been impacted from the recent economic conditions of 2008 and sale prices have dropped. However, depending on location, this does not mean some sellers won’t get a price for their home they’ll be happy with and that will allow them to move ahead with their plans. The sale may take longer than in the past, but a little creativity can help get your home SOLD without having to drop the price too much.
Here’s a couple of creative tips that I’ve tried recently to help bridge the gap between a buyer and a seller.
Offer a “seller’s contribution.” Sellers can sweeten the deal by including assistance to the buyer in ways that do not require lowering the asking price. Examples include:
- Offer to pay a portion of the closing costs.
- Cover the buyer’s mortgage payments for up to the first six months. Depending upon the size of the mortgage the buyer can save several thousand dollars and the seller still gets the original asking price for the home. Again, depending on the mortgage, the seller will get more for the home than if he or she dropped the asking price by $10-, $20- or $30,000.
- Many condos, townhomes, and bare-land stratas have monthly strata fees. Paying the first year’s fees could be a big incentive to a buyer nearing the limit of his or her liquid assets.
- Offer to pay off a buyer’s bills. According to Realty Times, some loan programs allow sellers to pay off the credit card debt or auto loans of the buyer which will help him or her qualify for a better mortgage and prevent the need to buy a smaller, less expensive house.
Remember, everyone needs a home and with level-headed negotiations and the help of a professional real estate sales associate, you will be able to sell your home. Even with tougher economic conditions, it truly is a smart time to buy.
If you’d like to know how I can help with creative ideas on how to get maximum dollar for your house please call me directly at 250-862-6464 or email at paige@kelownahome.com
Talk to you soon…
Paige
Posted by
paige on
September 15, 2010 |
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Sometimes it makes me crazy to think of how many thousands of dollars I spend on my internet presence. My web page, my SEO, my twitter, facebook, and linkedin accounts, and the countless other places that see information from me. Last week, I had the one thing happen that helps me maintain my firm belief that the internet and how information is moved is a revolution that is just beginning.
I had a gal phone me from Vancouver. She had found my web page, read through all the information about me and decided from that alone she would call. We met and I listed her funky townhome in a great location at a super price. In particular she found the testimonials that I’ve received over the years to be very reassuring and she liked what she saw on the sellers information page.
With print advertising there’s no way to track who reads what and what people want to read. Google Analytics solves that with detailed information about what people are searching for, what they like in those searches and what they don’t. Keywords change from time to time and keeping on top of those changes helps drive more traffic to the product. Truly amazing what can be done! Twitter alone has increased traffic to my website in the last year by just over 40%. Who would ever have thought that possible a couple years ago.
The long and short of it is that if you’re not using the internet agressively to sell Kelowna homes, how will you find yourself in front of the people who want to buy?
Please call me directly at 250-862-6464 if you’d like more information on how to get your home listed on Kelowna real estate listings and to learn how the internet can help get your house sold! Of course, you can also check my twitter account at paigeguernsey or my facebook group page at kelowna real estate expert, Paige Guernsey
Talk to you soon…
Paige
Posted by
paige on
September 8, 2010 |
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Summer came and went pretty fast this year and real estate moved pretty slow! July sales were down 54% over 2009 and August showed a drop of 26%. This sets us up for the next cycle to be a buyers market. The phones have started to ring again in the last couple weeks and first time buyers are back. Real estate is a great investment and it appears that buyers are giving their collective heads a shake. Low interest rates, great prices, and a fantastic place to call home are some good reasons for buyers to “make the move”!
Peter Borszcz, a local real estate lawyer, has a great blog. This entry has some questions frequently asked by buyers.
1. Will this contract force me to buy this home?
A contract is a legally enforceable promise. Therefore, you are obliged to carry out its terms if the contract is firm and binding. However, a contract can be “subject to” the performance of other terms (for example, obtaining a mortgage). Most Realtors draft “subject to” conditions to allow Buyers time to find out more about the home they are buying and to ensure they are able to obtain financing to purchase it.
2. What happens if I can’t get financing or I am not happy with my home inspection?
Usually a Realtor has written in these items as “subject conditions”, if so, you will instruct your Realtor that you are “unable to waive or fulfill” you contract. If you are unable to waive or fulfill a subject condition, your obligation to purchase the home will cease.
3. Why do I have to give a deposit to the Realtor? Will I get it back if I back out of the deal?
A deposit is “earnest money” meaning that it signifies to the Seller how serious you are to proceed with the transaction. Your Deposit is not a “down payment”, as your cash in the deal (in addition to your mortgage) will be paid on the Closing Date. Whether a Deposit is returned depends on the factual situation which caused a deal to collapse (see below), however your Realtor cannot simply return your deposit without first complying with the provisions of the Real Estate Act.
4. If I can’t complete on the Completion Date will that be a problem?
The contract provides that “time is of the essence” this means that the strict timelines in the contract are enforceable by the Court. In the event that you fail to complete “on time” you may be liable for damages (money damages) or specific performance (where the court orders you the complete the deal). If you find out that the original dates will simply not work for you, please let your Realtor and Lawyer know so that they can attempt to obtain an extension for you.
5. If I back out the deal after removing my subject conditions, will I just lose my deposit?
Assuming that the Seller has not misrepresented and is able to complete, generally a Buyer cannot simply “walk away” from their deposit. Should a Buyer fail to complete a firm and binding contract, the Buyer may be liable to the Seller for all of the Seller’s damages including: a) loss of profit, b) interest costs, c) marketing costs, and d) legal fees. In many cases, the amount of the Seller’s damages may exceed the deposit. If you are considering this, please call your lawyer immediately.
6. I really like the bedroom light, how do I know this is included with the house?
Generally, all fixtures are included with the sale of the house. Fixtures are those items that are affixed (ie; attached to) the structure and foundation (eg; chandeliers). Sometime, exactly what “is” and “is not” a fixture has to do with the “degree of attachment” and this can be confusing for both buyers and sellers. Given this confusion, sometimes Sellers remove items (ie; wall shelving) when they move out, so if there is something of importance which you want included with the purchase of you home please let your Realtor know.
7. The property has an “in-law suite”, can I rent it out to other people?
A secondary suite can only be rented in the City of Kelowna or the District of West Kelowna where the property has been zoned “S”. If you require that the suite to be rented to afford to live in the property, we strongly recommend that you inquire with the applicable municipality.
8. If I own the property can I do whatever I want with it?
Although an owner can do many things with a property that a tenant cannot do, your ownership may be subject to restrictions that are found in local statutory building schemes, homeowner’s associations, strata councils, and municipal bylaws. If your purchase of the property is dependant on a change in structure (ie; major renovation) or use (ie; home based business) please discuss this with your Realtor.
9. If my spouse goes on title alone and we separate, will I have no claim to my house?
The Family Relations Act creates an interest in land upon the breakup of a marriage, even if there is no interest noted on the land title (subject to a prenuptial agreement or the Act). The Act allows for filing of an interest in land, upon marriage breakup, in the land title office.
10. A clause on my contract (i.e.; title search or tax advice) is “subject to review by the Buyer’s lawyer [or accountant]” what should I do?
Prior to subject removal, you should take the contract to your lawyer or accountant and discuss your proposed purchase with them. Your Realtor has placed this clause into your contract to ensure that you obtain personalized professional advice in a specialized area (such as tax or a title search).
11. What are my closing costs?
Closing cost vary with each transaction. These include Property Transfer Tax, Municipal Property Tax, Strata Documentation and Adjustment Fees (if applicable), Land Title Office Filing Fees, and Legal Fees. We provide all clients with a quote on Legal Fees and an estimate of the other costs you can expect after we receive your contract, to ensure there are no surprises on closing.
By Peter D. Borszcz
As always, if you’re thinking of making a move, please feel free to call me directly at 250-862-6464.
Talk to you soon…
