This blog is about me, Paige Guernsey, and the things that happen around my job as a Kelowna Real Estate agent with Coldwell Banker Horizon Realty. I talk about listings, sales activity, market conditions, market trends, promotions, green real estate, and sometimes funny things that happen to me during the course of my day. There's links and videos to great information as well as access to my 2 websites, kelownahome.com and greenkelownarealestate.com
I’ve been to court 4 times in the last month seeking the court’s approval on foreclosure sales. All but one had multiple bids!
Balanced Real Estate Market?
Last year most of the foreclosure sales I attended did not have multiple bids. Having more than one bid usually means the price is going up. In the last 3 sales recently the prices were bumped up on multiple bids an average of $17,000 each! The higher prices help to maintain prices in any given strata complex or neighborhood. This is of course good for homeowners in the area.
More Kelowna Foreclosures coming?
Last year at this time we hovered at just over 100 court ordered sales. Today there are 153. The prediction is that there are more coming as those folks who need to sell and have been waiting for the market to change are finally faced with the fact that things aren’t changing drastically any time soon.
Foreclosure information
With 25 years Kelowna real estate experience and having handled a large number of court ordered sales and/or foreclosures I’m able to answer all you questions surrounding this process. A foreclosure or court ordered sale is much different than a regular arms length transaction. Call Paige Guernsey, an experienced Kelowna real estate agent, direct at 250-862-6464 for more information.
There are many misconceptions in the buying public regarding a foreclosure. Most think you can get a price on a house that’s far below market value. Not always so.
4 MAJOR STEPS
1) Know what you’re getting into
2) Getting your offer accepted
3) Court Acceptance
4) Possession
KNOW WHAT YOUR GETTING INTO
The Bank of Canada requires that foreclosing banks attempt to get the most amount of money for each property. This involves appraisals and real estate agents with market evaluations. Homes that are well kept and/or vacant will usually receive a value close to the other homes in the neighborhood. If the home is in poor condition, this too will be reflected in “market value”. I can help you determine what the best market value for any given property is, regardless if it’s a foreclosure or not.
Buying a foreclosure involves a Contract of Purchase and Sale and a Schedule A. The Schedule A spells out that the property is being purchased “as is where is” and that the bank does not make any representations or warranties about the house. This paperwork is very different than a regular arms length transaction in what we’ll call a “normal” transaction between a buyer and a seller. You should read it carefully and have a very clear picture of what “as is where is” means.
GETTING YOUR OFFER ACCEPTED
Working with a bank on offers usually takes quite a bit longer than working with a seller who’s looking to sell the home they are living in. Consider there may be a time difference and different levels of management the paperwork has to go through before any type of acceptance or counter offer is made. Also, banks are generally closed on the weekends. Banks generally get “low ball” offers and most often there is a lot of negotiating back and forth before price and terms are met that are mutually agreeable. They don’t like to see a lot of “subjects” but it is possible to get an offer accepted with some subjects. Any offer made to a bank on a piece of real estate has to also be “subject to court approval”. This is because the court has the final say if an offer is accepted.
After your offer is accepted, and your subjects are removed, it’s filed at the appropriate law court and becomes public knowledge. Most Kelowna foreclosures happen at the Kelowna Law Courts, but sometimes they’re in Kamloops or Vancouver. A court date is set after this step, and is most often about 2-5 weeks after the filing.
COURT ACCEPTANCE
On the day of court, I would HIGHLY recommend that you attend with your realtor. Often other buyers will attend court with a sealed bid to present to the presiding Master. These buyers will also have taken the time to check the court filing to find out the accepted offer price and usually their offer price will be higher. This means that there are “competing bids” and if you’re wishing to be the successful bidder then you will have an opportunity to change your original offer.
The Master has the final say on which bid to accept and not only will be looking for the best offer price, but a sizeable deposit made by way of certified cheque or bank draft attached to the offer. For possession, a successful bidders Contract of Purchase and Sale will usually read a certain number of days after court approval. For instance, it’s advisable to put “10 BUSINESS DAYS AFTER COURT APPROVAL” on the contract for Completion, Possession, and Adjustment dates. This allows for regular banking hours and weekends.
POSSESSION
After all that, moving day is here! Earlier we talked about the Schedule A and that there are no representations or warranties made by the bank. Although moving in on possession dates usually go smoothly and hold no surprises, it’s imperative to understand that there is the possibility that the house won’t look the same as when you viewed it last. Occasionally disgruntled homeowners may do damage on moving out or take unexpected things like kitchen cabinets!
With so many details surrounding foreclosures, it’s critical to work with someone who knows the process. If you’re considering purchasing a Kelowna real estate foreclosure, call Paige Guernsey direct at 250-862-6464. With many years experience around foreclosures and court ordered sales I can help you navigate the sometimes bumpty waters to a successful conclusion! If you’d like a list of current homes for sale in Kelowna that are under foreclosure, send me an email at paige@kelownahome.com.
There are a few homes in Kelowna that have some scary history behind them. A seller is not required anymore to disclose these stigma’s, like murder or suicide, to the buyer. Some buyers care and some don’t.
I rented a house not too long ago while we were building and there was definately some spooky things that happened there. Lights coming on in the middle of the night, apparitions moving around at night that were clearly visible, smoke alarms going for no reason. If you believe in ghosts, I’d have to say this “ghost” was friendly and had a sense of humor. My family was all aware of it being around but never had any fear. Here’s a list of 11 ways to “GhostProof” your house.
Need help selling your haunted house? Call Paige Guernsey direct at 250-862-6464 and get her 25 years experience selling real estate working for you.
Check out this interesting article on all the components of building and whether they are better or worse today than they were 50 years ago. Many cities in Canada and the United States have homes that are older than 100 years… some even 200 years! This article deals with all things “building” from craftmanship, affordability, longevity, waterproofing and more.
Having been involved with building homes in Kelowna over the last 22 years, I can help you with all the decision needed to be made. From which lot to purchase, how to get the best financing, and all the latest trends in design you’ll be getting expert advice! Call Paige Guernsey direct at 250-862-6464 now.
First timers and move up buyers till lead the pack of purchasers heading for the finish line.
(Click on the image to enlarge).
The segment showing investors and buyers looking at recreational property has been slowly growing and last month was a solid 20% of home buyers in Kelowna. Check out my last couple blogs dealing with investments and recreational properties.
Looking to invest or buy some recreational property? With 25 years experience in Kelowna real estate, I can help find the perfect property for you. Call Paige Guernsey direct at 250-862-6464 today.
Why could I get Prime minus .90 last week and today it is Prime minus .25?
A great question says Mortgage Brokers Association of BC. Check out this informative article on the how’s and why’s of banks and interest rates. Thanks to Brenda Dilley of Mortgage Alliance for this. If you’re looking for a fantastic mortgage broker (remember, using a mortgage broker ensures you’re getting the best possible mortgage for you and your needs and it doesn’t cost YOU a cent!). Brenda can be reached at 250-808-1000 or dilley@telus.net.
If you’re looking for an experienced, full time realtor in Kelowna or through the Okanagan Valley, Call Paige Guernsey at 250-862-6464.
I’ve been working with an investor looking for the ultimate investment… one that pays for itself. We just wrapped up the paperwork and they’re the proud new owners of a gorgeous townhouse with a built in tenant! In my work as a Kelowna real estate agent, I come across some interesting property with medium to long term goals and the possibility of substantial gains.
Waterfront Possibilities
It wasn’t that long ago that waterfront property on Okanagan Lake was well under the $500,000 mark.
ABBOTT STREET
In 1999-2000, waterfront Kelowna homes were selling on Abbott Street for between $400 – $500,000. Today, homes in the same area on Abbott street have been selling for between $2.5 and $5 million dollars!
This home is on Manhattan Avenue and currently for sale at $370,000. It’s in a cozy waterfront neighbourhood in Kelowna’s North end. Being an area of older homes, visionaries have been buying, renovating or re-building on Manhattan, and creating an entirely new neighborhood in this growing and changing part of Kelowna. Newer, larger homes on Manhattan and right on Lake Okanagan, have been selling recently for between $1.3 and $1.55 million. Close to Knox Mountain and the secluded Poplar Point, living here means you can walk or bike most everywhere. A few blocks away from the downtown core of Kelowna, you’ve got easy access to the growing cultural district, Prospera Place for hockey games and concerts, Kelowna Art Galleries and Museums, as well as some of the best restaurants in town!
ANOTHER HIDDEN GEM
Years ago I worked with an investor on this property very close to Manhattan Avenue. Real estate prices were quite a bit higher then and the numbers didn’t quite work for my client. It’s for sale again. To buy this, rent it out, and watch the neighbourhood change in the medium to long term range (5-10 years) could be an amazing opportunity to capture real estate equity for your financial portfolio.
Looking for an investment opportunity in Kelowna and a good real estate agent who can help? Call me, Paige Guernsey, at 250-862-6464.
The trick is knowing how to do it. Most people are under the impression that buying a property that’s in foreclosure is going to save them a lot of money… not necessarily so. For a purchaser, buying a foreclosure is quite different than buying a home through a normal arm’s length transaction. First of all, an accepted offer is what triggers a court date. If that offer happens to be yours, then any subsequent buyers wanting to bid on the home can attend the courthouse, find out what the original offer is (I know that sounds strange, but it’s public infomation), and show up on the court date with a higher offer in a sealed envelope. Secondly, there is no Property Disclosure Statement but rather a Schedule A from the bank or lender saying they don’t make any warranties on the property. It’s really very important to every buyer considering a foreclosure that they not only work with a realtor experienced around this process, but that complete a thorough fact finding mission about the home, property, and neighborhood.
Knowing your way around the foreclosure process.
There are so many small details surrounding the foreclosure or court ordered sales. This article is an example of things that can go wrong. If you’re wondering about this possible money saving route, please call Paige Guernsey direct at 250-862-6464. I’ve been involved in several foreclosures and can help you navigate the waters successfully.
The Realtors of the Central Okanagan Mainline Real Estate Board (OMREB) have been compiling stats each month on the profile of buyers. The July pie chart shows that a healthy number of buyers are moving up from their present home (about 31%) and a growing number of buyers are looking at recreational or investment property (almost 15%). That number is almost on par with the number of first time buyers out there. Looking at the pie chart for June 2011, the number of move up buyers was slightly lower than July at 27%. Interestingly the first time buyers were lower in July at 14%, down from 24% in June. It’s a great time to be a buyer in the Okanagan Valley. Below is a video on a great and successful strategy to use when looking to hammer out the best deal possible.
Looking for a great real estate agent? Call me on my direct line at 250-862-6464. Talk to you soon…
Recently a full side by side duplex sold on Highland Avenue in the Glenmore neighborhood of Kelowna. I analysed this property for investors and found there was potential to make a profit. The profit would involve renovating, stratifying, and selling each side separately. Check this video out and see how we did it.
If you’re wondering about investing in Kelowna real estate, call Paige Guernsey, an experienced Kelowna realtor for 24 years on my direct line at 250-862-6464.
I’ve been to court 4 times in the last month seeking the court’s approval on foreclosure sales. All but one had multiple bids!
