Real Estate 2018: What to Expect

January 3rd, 2018 Posted by Blog No Comment yet

As we head into a new year, the most common question I receive is, “What’s the outlook for real estate in 2018?”

It’s not just potential buyers and sellers who care; current homeowners also want reassurance about the value of their investment. No one knows exactly what 2018 will bring, but I’ve outlined expert predictions on where the market is headed and how government interventions are expected to impact the Canadian housing market in the year ahead.

HOUSING PRICES WILL REMAIN HIGH IN URBAN CENTRES

Although the Toronto real estate market did experience a slowdown in 2017, housing affordability will remain a major issue in both Toronto and Vancouver in 2018. According to the Royal Bank of Canada’s most recent Housing Trends and Affordability Report, as of Q2 2017 it cost more than 75 percent (Toronto) and 80 percent (Vancouver) of median household income to cover the average cost of owning a home.1

In an effort to stabilize prices, both the Ontario and British Columbia governments enacted a 15 percent tax on foreign investments in housing. However, according to the PricewaterhouseCoopers report on Emerging Trends in Real Estate: Canada and the United States 2018, “Industry players are skeptical that recent tax moves … to curtail foreign investment will have a long term cooling impact on housing affordability in Toronto and Vancouver.”2

In its Canadian Regional Housing Outlook, TD Economics predicts ”The decline in sales activity in both Vancouver and Toronto has helped to redistribute the balance of power from a pure seller’s market, back towards buyers, as evidenced by the sales-to-listing ratios. But, first-time homebuyers sitting on the sidelines waiting for higher interest rates to trigger a market crash may be holding their breath for a while. Prices are likely to only reset back to levels that existed prior to a year of exorbitant gains.”3

The high cost of living has forced a growing number of millennials to seek alternatives to traditional housing. The 2016 census found 47.4 percent of young adults in Toronto and 38.6 percent in Vancouver live with a parent. PricewaterhouseCoopers predicts a rise in multi-generational and multi-family homes, a move towards larger condominiums to suit growing families, and a flight from urban cores as new public transit projects make commuting more feasible.2

What does it mean for you? If you’re a current homeowner, you can expect your investment to hold its value and continue to appreciate over the long term. And if you’re considering selling this year, contact me to request a free Comparative Market Analysis to find out how much you can expect your home to sell for under current market conditions.

If you’re a potential buyer who has been waiting for real estate prices to drop, don’t expect a fallout any time soon. Governmental bodies have taken steps to slow down skyrocketing prices, which has helped to balance the market. Now is a great time to buy. And if traditional housing options don’t fit your budget, I can help you find alternatives to meet your needs.

GOVERNMENT INTERVENTIONS WILL HELP TO STABILIZE THE MARKET

Skyrocketing real estate prices have caused Canadians to take on a growing amount of debt. The federal Parliamentary Budget Office (PBO) reports that the average household indebtedness is up to 174 percent of disposable income, and they predict it will reach 180 percent by the end of 2018. Coupled with rising interest rates, the share of income that will go towards debt payments is expected to reach historic proportions.4

Regulators at the Office of the Superintendent of Financial Institutions (OSFI) have attempted to curb the potential fallout with interventions, the latest of which went into effect on January 1. These new regulations raise the requirements for mortgage borrowers with down payments of 20 percent or more. They are now required to qualify for a mortgage at an interest rate two percentage points higher than their current rate to ensure they can manage payments when interest rates do inevitably rise.

A similar “stress test” was enacted in 2016 for borrowers who put down less than 20 percent, but that regulation impacted a much smaller percentage of buyers.

According to Jeremy Rudin, the head of OSFI, “We clearly see the potential risks caused by high household indebtedness across Canada, and by high real estate prices in some markets. We are not waiting to see those risks crystallize in rising arrears and defaults before we act.”5

All federally regulated financial institutions will be obligated to utilize these requirements for both new mortgages and mortgage renewal applications of borrowers applying to switch lenders. It is not mandatory to apply the test at mortgage renewal for existing borrowers. Since credit unions are regulated provincially, they are not required to follow the new OSFI rules, although some may choose to be prudent.

What does it mean for you? With new rules in effect, if you’re a buyer, your purchasing power may be impacted. If you’re concerned you may not be able to meet these requirements, securing your mortgage through a credit union may be an option. I am following this issue closely. Give me a call so we can discuss how these new rules will affect your home search.

If you’re considering selling your home this year, these regulations could alter the type of buyer who will be willing and able to purchase your home. I have expertise in this area and know how to market your home to a changing demographic.

5 YEAR MORTGAGES WILL MAKE A COMEBACK

Expect interest rates to rise in 2018. Bank of Canada has indicated that borrowers should expect to see rate increases this year … and notably, nearly half of Canadian mortgage holders are set to renew their mortgages in the next 12 months. Combined with the new, more stringent “stress test” requirements, a greater number of homeowners will be opting for five-year-fixed rate mortgages over the historically popular variable rate mortgages.6

According to LowerRates.ca, “Since January 2014, 56% of Canadian borrowers who applied for a mortgage through LowestRates.ca have gone variable, compared with 43% of those who got a five-year fixed. But this past August, there was a shift, where the five-year-fixed rate mortgage saw a sharp increase in applicants, with 59% of users on the LowestRates.ca site opting for this option versus only 39% opting for the variable mortgage.”7

What does it mean for you? If you’re in the market to buy, act now. Rising interest rates will decrease your purchasing power, so act quickly before interest rates go up. Give me a call today to get your home search started.

And if you’re a current homeowner who is set to renew your mortgage, you may want to consider locking in a five-year-fixed rate. Contact me if you would like assistance navigating your options.

2018 ACTION PLAN

If you plan to BUY this year:

  1. Get pre-approved for a mortgage. If you plan to finance part of your home purchase, getting pre-approved for a mortgage will give you a jump-start on the paperwork and provide an advantage over other buyers in a competitive market. The added bonus: you will find out how much you can afford to borrow and budget accordingly.
  2. Create your wish list. How many bedrooms and bathrooms do you need? How far are you willing to commute to work? What’s most important to you in a home? I can set up a customized search that meets your criteria to help you find the perfect home for you.
  3. Come to my office. The buying process can be tricky. I’d love to guide you through it. I can help you find a home that fits your needs and budget, all at no cost to you. Give me a call to schedule an appointment today!

If you plan to SELL this year:

  1. Call me for a FREE Comparative Market Analysis. A CMA not only gives you the current market value of your home, it’ll also show how your home compares to others in the area. This will help us determine which repairs and upgrades may be required to get top dollar for your property … and it will help us price your home correctly once you’re ready to list.
  2. Prep your home for the market. Most buyers want a home they can move into right away, without having to make extensive repairs and upgrades. I can help you determine which ones are worth the time and expense to deliver maximum results.
  3. Start decluttering. Help your buyers see themselves in your home by packing up personal items and things you don’t use regularly and storing them in an attic or storage locker. This will make your home appear larger, make it easier to stage … and get you one step closer to moving when the time comes!

I’M HERE TO HELP

While national real estate numbers and predictions can provide a “big-picture” outlook for the year, real estate is local. And as a local market expert, I can guide you through the ins and outs of our market, and the local issues that are likely to drive home values in your particular neighbourhood. If you have specific questions, or would like more information about where I see real estate headed in our area, please give me a call! I’d love to discuss how issues here at home are likely to impact your desire to buy or a sell a home this year.

Sources:

  1. Royal Bank of Canada’s Housing Trends and Affordability Report –
    http://www.rbc.com/newsroom/_assets-custom/pdf/20170929-ha.pdf
  2. PricewaterhouseCoopers Emerging Trends in Real Estate 2018  –
    https://www.pwc.com/ca/en/real-estate/assets/Real_Estate_ETRE_2018_PDF.pdf
  3. TD Economics Canadian Regional Housing Outlook –
    https://economics.td.com/canadian-regional-housing-outlook-aug-2017
  4. Office of the Parliamentary Budget Officer –
    http://www.pbo-dpb.gc.ca/en/blog/news/HH_Vulnerability
  5. Financial Post
    http://business.financialpost.com/personal-finance/stricter-osfi-rules-on-mortgage-lending-will-do-more-harm-than-good-fraser-institute
  6. Bank of Canada Financial System Review November 2018  –
    https://www.bankofcanada.ca/wp-content/uploads/2017/11/fsr-november2017.pdf
  7. Maclean’s  –
    http://www.macleans.ca/economy/money-economy/canadians-rushing-to-lock-down-five-year-fixed-rate-mortgages/

20 Home Gadget Gift Ideas to Fit Any Budget

December 6th, 2017 Posted by Blog No Comment yet

Looking for the perfect present for a loved one this holiday season? I’ve rounded up 20 of our favourite gift ideas. And since I work in real estate, I focused on items that add enjoyment, comfort and, in some cases, major value to your home.

From music lovers to home chefs, I’ve got something for everyone. And I’ve included a range of price points to suit any budget, from under $100 to major splurge … in case you’re feeling extra generous this year. I hope you find this list useful in identifying gifts your friends and family will love. And maybe some of these items will make your wish list this year, too!

Approximate Price Ranges

$ – under $100

$$ – $101 to $300

$$$ – $301 to $700

$$$$ – Splurge

LET IT SNOW

Heat things up this holiday season! Keep your loved ones cozy all winter with these gifts that add warmth and a touch of luxury.

Tabletop Fireplace – $

On cold nights, nothing beats the comfort and glow of a fire. Whether you’re looking to cozy up on the couch with a good book, or enjoy a relaxing night in the backyard with family and friends, a tabletop fireplace is an easy way to light up your evening. The HOMCOM Ventless Tabletop Bio Ethanol Fireplace runs on bio ethanol and can be used indoors or outdoors, no vent required.

Towel Warmer – $$

Who wouldn’t love to wrap themselves in a warm towel when they step out of the shower on a cold morning? While heated towel racks are available in a variety of styles and price points, the Amba RWP-CB Radiant Plug-In Curved Towel Warmer is an entry level version that gets good reviews. Modern and elegant, this model plugs into a nearby outlet for easy installation and is made of rust-resistant stainless steel. Turn your daily shower into a spa-like experience!

Smart Thermostat – $$$

Now you can wake up to a warm house, even if you like it cool while you sleep. After using the Nest Learning Thermostat for a week, it will start to recognize your patterns and adjust the temperature automatically to your preferences. In its third-generation, Nest claims to pay for itself over time in energy savings. It uses sensors and your phone’s location to check if you’ve left the house, then sets itself to an Eco Temperature. And this smart-thermostat knows when you typically get home from work and can heat things up before you return. If your schedule changes, you can even adjust the temperature remotely from your smartphone.

Radiant Floor Heating – $$$$

Radiant heating has been a popular alternative in new construction to traditional forced-air heating systems. And new technology has made it easier and less expensive to retrofit existing homes with radiant heating. According to BobVila.com, “radiant floors are heated either with electric resistance cables or hot water flowing inside tubing” beneath the floor. It’s energy-efficient, effective, and doesn’t blow dust and allergens around the way forced-air systems do. Not only will you love stepping onto a heated floor on a cool morning, you’ll be adding value to your home, as this is an appealing upgrade to buyers when it comes time to sell.

ROCK AROUND THE TREE

It’s holiday music time! Music lovers are sure to appreciate these gifts guaranteed to enhance their listening experience throughout the home.

Showerhead Speaker – $

Whether you enjoy singing in the shower, or listening to your favourite podcast, the Morpilot Rainfall Shower Head with Waterproof Music Jet syncs with any bluetooth-enabled device so you can stream your favourite audio directly into the shower. It even includes a dual microphone so you can answer phone calls. And the waterproof speaker easily detaches from the showerhead so you can bring it with you from room to room while you get dressed.

Voice Controlled Smart Speaker – $$

Google Home not only streams music on demand via voice control, it can also serve as a central hub for numerous other smart-home devices. Now you can change the channel on your TV, make a phone call, turn on your lights, set your thermostat and lock your front door, all without lifting a finger.

High-End Wireless Speaker – $$$

If you prefer a premium speaker, the Sonos Play:3 is the mid-range option in the brand’s line of wireless speakers. It delivers rich and robust sound with a sleek design that can placed horizontally or vertically to fit almost any space. Sonos speakers sync with Amazon Echo and Alexa, which enable you to control the speaker with voice commands. And you can easily add additional speakers from the Sonos line for an enhanced, surround-sound experience.

Whole Home Audio System – $$$$

The sky’s the limit when it comes to whole-home audio systems, and for a premium sound system you can expect to make a significant investment. Companies like Yamaha offer a wide variety of components, all designed to work in conjunction to give you a customized whole-home audio and home theater system to suit your needs.

ADD SOME SIZZLE TO THE SEASON

Home chefs will love these gifts, perfect for holiday entertaining and home cooking all year long. Not only will they bring excitement to the recipient, everyone in the family will benefit from the delicious dishes these gifts are sure to inspire!

Bread Maker – $

Warm, fresh bread can make any meal feel special. With a bread machine like this one from Hamilton Beach, you can enjoy fresh rolls, pizza dough, cakes, jams, flatbreads and croissants with minimal effort. Plus, there’s a gluten-free setting, which makes this a perfect gift for anyone avoiding gluten in their diet.

Air Fryer – $$

Air fryers are one of the hottest new cooking gadgets this year, and for good reason. With the Philips Airfryer, you can fry your favourites foods using only a tablespoon of oil (or less). It also grills, roasts, steams and even bakes, giving you more quick and easy options for feeding your family and entertaining guests.

Smart Sous-Vide Machine – $$$

Sous vide is a method of cooking in which food is vacuum-sealed in a plastic pouch and then placed in a water bath to cook at a precise temperature. The new Mellow Smart Sous Vide Appliance hits the market this holiday season and promises to make sous vide as easy and foolproof as a slow cooker. Its built-in cooling system keeps your food cold until it’s ready to be cooked … so you can stick a piece of salmon in before you leave for work, choose the time you want it to be ready, and dinner will be done when you get home.

High-End Oven Range – $$$$

To really heat things up in the kitchen, any home chef would love a new high-end range, like this 36” Dual Fuel Range with Six Burners from Sub-Zero Wolf. With ten custom cooking modes—including one for proofing dough and one for dehydrating—and a temperature probe alert, this oven makes cooking almost foolproof. And the timeless stainless steel design will enhance the beauty of any kitchen. Investing in a high-end range not only adds enjoyment to meal preparation, it’s highly desired by home buyers … something to consider if you plan to list your home within the next few years.

SPARKLE AND SHINE

Holiday lights aren’t the only way to make a home sparkle. These cleaning gadgets and appliances will keep your home clean and shiny all year long … and hopefully bring some joy to the cleaning process!

Portable Deep Carpet Cleaner – $

Anyone who has pets or young children will love the convenience of a cordless and portable spot cleaner like the Bissell Little Green Cordless Portable Spot/Stain Cleaner. Spray, scrub, and suction to remove spills and stains from carpet, furniture, rugs, auto interiors, and other upholstered items.

Robotic Vacuum Cleaner – $$

Robotic vacuum cleaners have been around for years, but new technology has made them more effective and lowered the cost significantly. The ECOVACS DEEBOT N79 Robotic Vacuum Cleaner provides a good mix of features and value. It offers several cleaning modes and moves easily from rugs to tile to carpet. You can also control it with your smartphone using the ECOVACS App.

Dishwasher – $$$

While a high-end dishwasher with all the bells and whistles can certainly be a good investment, there are some great values on the market for those with a more modest budget. For example, the Maytag Built-In Undercounter Dishwasher in Stainless Steel gets consistently great reviews for its powerful motor that disintegrates bits of food to deliver sparkling clean dishes, even without rinsing. And its elegant exterior will upgrade the look of your kitchen … all without breaking the bank.

Washing Machine – $$$$

If anything can make laundry exciting, it’s a new washing machine like the Samsung Front Load Washer with AddWash. Its innovative door-within-door design allows you to add to the wash mid-cycle if you forget something, and its Smart Care error-monitoring technology enables easy trouble shooting using a smartphone app. And best of all, its SuperSpeed feature cuts down on the time it takes to wash a load.

KEEP THE GRINCH AWAY

Nothing is more important than the safety of you and your family. Protect your loved ones—and deter intruders—with gifts that keep you and your home safe and secure.

Smart Light Bulbs – $

The Philips Hue White A19 Starter Kit is a good entry-level investment in smart lighting technology. Now you can automate your lighting and control your lights from your smartphone using the Philips Hue App. Deter burglars by making it look like someone’s home when you turn your lights on remotely. And stay safer by never entering a dark house again. Plus, it has several options to enhance the look and ambiance of your home lighting.

Video Doorbell – $$

Watch over your home and greet visitors from your computer or smartphone with a video-enabled doorbell, like the Ring Video Doorbell Pro.  Adjustable motion sensors alert you when someone is approaching your door, and live video and audio allow you to see and talk to visitors without opening the door, even if you’re away from home. The best part is, they’ll never know you’re not home if you don’t tell them.

Smart Lock – $$$

Control and monitor your locks from anywhere with a smart lock like the August Smart Lock Pro + Connect. Now there’s no need to leave a key under the doormat or give a copy to the housekeeper. You can activate keyless access remotely, and even lock up when they leave, all from your computer or smartphone. And no more fumbling around for your keys in the dark. Similar to keyless entry for your car, Smart Lock Pro automatically unlocks your door when you approach.

Security System – $$$$

An in-home security system is still one of the best ways to protect your home and family from intruders and alert you to the presence of smoke or carbon monoxide. Some companies, like Vivint, can integrate your security system with video monitoring, a doorbell camera, smart locks, garage doors and even your thermostat. Prices vary depending on the options you select, and a monthly monitoring service is required, but a home security system can bring peace of mind knowing your family and home are protected.

I’M HERE TO HELP

As a real estate professional, I get to visit people’s homes every day and talk to buyers and sellers about their favourite features. So I have a unique insight into the elements that truly make a house special, bring joy to homeowners and add value to a home.  Did I miss your favourite home-related gift? If so, I’d love to hear about it. Please share in the comments below!

If you do decide to “splurge” on a home upgrade, contact me for recommendations on the best options for your particular home. Buyer expectations and preferences vary depending on price point, style of home and neighbourhood. I can run a comparative market analysis to find out how the upgrade you’re considering will impact the value of your home, before you make the investment.

Welcome Home: 10 Tips to Turn Your Neighbourhood 
Into a Hometown Haven

November 1st, 2017 Posted by Blog No Comment yet

“Communities work better (students perform better, crime rates are lower, kids are safer, people live longer) when neighbours know one another better. Knowing your neighbour on a first-name basis…is a surprisingly effective first step.” 
Robert Putnam, Harvard Public Policy Professor and author of Bowling Alone

While advancements in technology have made it possible for us to connect with people from around the world, numerous studies show that it has led to a decline in face-to-face interactions.1

Places where we used to strike up casual conversations—such as a doctor’s office waiting room, bus stop or grocery line—are now filled with people looking at their smart phones, barely acknowledging those around them.

Even many families dining together or relaxing in the evenings can be caught spending more time focused on screens than each other. Is it any surprise that we’ve experienced a steady decline in community involvement?

In his book Bowling Alone, Harvard Public Policy Professor Robert Putnam “draws on evidence including nearly 500,000 interviews over the last quarter century to show that we sign fewer petitions, belong to fewer organizations that meet, know our neighbours less, meet with friends less frequently, and even socialize with our families less often.”2

How is this shift impacting our overall well being? A study by Oregon Health & Science University researchers found that having limited face-to-face social contact nearly doubles an individual’s risk of depression.3

CONNECTING WITH YOUR COMMUNITY

If you’re considering a move to a new city or neighbourhood, you may be worried about replacing the comfort and support of family and friends you’ll leave behind. Or perhaps you have completed a move but would like to meet more people, build friendships and strengthen your support system.

In this blog post, we’ll explore 10 ways you can utilize technology to foster in-person connections with your neighbours, make friends and get engaged in your local community.

1. JOIN YOUR NEIGHBOURHOOD’S SOCIAL NETWORK

A growing number of neighbourhoods are utilizing private social networks like Canadian-based GoNeighbour and U.S.-based Nextdoor. These platforms are designed specifically to connect neighbours and include an address verification process.

Residents post about a variety of topics, including neighbourhood news, recommendations for local businesses, lost pets, etc. These platforms are a great way to stay up-to-date on what’s happening in your neighbourhood, but don’t just use them to connect virtually. Extend an invitation to your neighbours to attend an in-person event, such as a park playdate for families, an informal soccer game or a potluck block party.

2. ATTEND A PLACE OF WORSHIP

If you have a religious affiliation, joining a local place of worship is great way to meet people and get involved in your community. Aside from attending services, most religious institutions also host extracurricular activities to foster fellowship amongst the congregation.

Whether you are looking to join a church, synagogue, mosque or temple, there are a variety of online resources available to help you find a match in your area, including:

To make the most of your affiliation, look for opportunities to meet in smaller group settings. It’s a great way to form interpersonal relationships with people who share your beliefs and values.

3. FIND AN INTEREST GROUP

Whatever your favourite hobby or pastime, you’re guaranteed to meet people who share your interests when you join an interest group!

The website Meetup.com has over 32 million members in 288,000 groups in 182 countries. You can search for a group in your area that appeals to you … from book clubs to running groups to professional networking, they have it all.

If you don’t find what you’re looking for, you can start your own group for a monthly fee. The site makes it easy to ask (or require) members to pitch in to cover the cost. It also enables you to promote a corporate sponsor on your page, so you may be able to find a local business to cover the cost.

Most people who join Meetup are there for the same reason you are … to meet people who share their interests. So it’s a great place to make like-minded friends in your community.

4. LEND A HAND

Volunteering your time and talents is another good way to get engaged in your community and meet those who share a similar mission.

Most nonprofit organizations rely heavily on volunteers. Find one with a cause you’re passionate about by visiting VolunteerMatch.

You can search by cause, location and keywords, and filter your results to include opportunities that are suitable for kids, seniors or groups. Another option is to search for volunteer positions that require specialized skills. Perhaps you’re musical or maybe you’re good with computers. There could be an organization in your area that needs your talents or skills.

Lotsa Helping Hands is another site focused on connecting volunteers with those in need. Members can request help or search for opportunities to assist others in their area. Most of the volunteer opportunities involve aiding neighbours who are ill or elderly by delivering meals, offering rides to appointments or just stopping by for a visit. This can be a great way to make a direct impact on your neighbours who need a helping hand!

5. TAKE A CLASS

Taking a class is a wonderful way to develop a skill while meeting people who share your interests and passion for learning.

Whether you want to brush up on your Spanish, finish your novel, or learn how to tango, most community colleges offer inexpensive, non-credit classes on a variety of topics.

And if you are pursuing a degree, forego taking your courses online. Opt for the traditional route instead. There’s no substitute for being part of a live community of your peers.

To search for a community college in your area, visit the SchoolsInCanada.com or American Association of Community Colleges.

6. ATTEND AN EVENT

Attending a live event is another way to engage with members of your community. From festivals to fundraisers to retreats, Eventbrite is a great place to search for events in your area. You can filter your search by category, event type, date and price to find something that fits your interests, schedule and budget.

Be strategic about the type of event you choose. For example, while attending a large festival might be a fun way to feel engaged with your community, it might also be harder to meet people. A retreat or a networking event may offer more opportunities for one-on-one interaction.

7. SHARE YOUR STUFF

Everyone’s talking about the rise of the “sharing economy” with the popularity of Uber and Airbnb. But there’s also been a rise in “sharing communities,” which facilitate the free exchange of goods among neighbours to reduce consumption and keep usable items out of landfills.

Nonprofit groups like The Freecycle Network are made up of people who are giving (and getting) stuff for free in their own towns and neighbourhoods. Members can post “offers” of free items or “wanted” items they need.

The company Peerby has a similar goal of reducing consumption by encouraging neighbours to lend and borrow items they don’t often use. For example, you can offer to share your blender, rake or ladder. Maybe you need to borrow a drill, cake pan or moving trolley. Peerby enables you to request items to borrow from your neighbours and encourages you to register items you are willing to lend.

The Little Free Library is another innovative way neighbours are participating in a sharing community. Stewards build or purchase a box to house the library and fill it with books they are willing to give away. The library is usually placed in their front yard or in a public outdoor space. Visitors are encouraged to take a book they’d like to read, and in exchange leave a book for someone else to enjoy. With over 60,000 libraries in 80 countries, the organization estimates millions of books are exchanged annually among neighbours.

8. SUPPORT A COMMUNITY GARDEN

Community gardens have become increasingly popular in both urban and rural areas across North America. Not only do they beautify a neighbourhood, they also foster community, encourage self-reliance, reduce family food budgets, conserve resources, and provide opportunities for recreation and exercise.

The mission of the American Community Gardening Association is to build community by increasing and enhancing community gardening and greening across the United States and Canada. The organization’s website enables you to search for existing community gardens in your area. If there isn’t one nearby, you might considering starting one. The site provides helpful tips and resources for organizing a garden in your neighbourhood.

9. CARPOOL WITH A COWORKER

In the spirit of joining a “sharing community,” carpooling offers many similar benefits. It presents an opportunity to form a bond with coworkers and/or neighbours during your daily commute. Additionally, you can save money on gas, reduce wear-and-tear on your vehicle, lower carbon emissions, and in many cities reduce your commute time by taking advantage of high-occupancy vehicle (HOV) travel lanes.

The success of ridesharing companies like Uber and Lyft has spurred a new wave of carpooling websites and apps that aim to revolutionize the way we commute by making it easier and more convenient to carpool. While many of these are still in their infancy stages, they are expanding into new markets and improving functionality at a rapid pace.

Kangaride Local, Scoop and Waze Carpool are just a few examples, and more are popping up every day. They are currently available in limited markets throughout Canada and the United States, but are becoming prevalent in more cities as residents opt-in. Check to see if any of these are available in your local area.

Alternatively, you can try posting on your neighbourhood’s social network to see if one or more of your neighbours are commuting to a nearby location. Take turns driving and start benefiting from all that carpooling has to offer!

10. PARTICIPATE IN WORLD NEIGHBOURS DAY

The organizers behind World Neighbours Day promote it as “an invitation to share a moment with your neighbours, to get to know each other better and develop a real sense of community.”

In Canada it’s held on the second Saturday in June, and in the United States it’s held on the third Sunday in September. Participants are encouraged to organize gatherings with their neighbours to build relationships that “form the fabric of our communities.”

You can participate by attending or organizing a gathering in your neighbourhood. Examples include: a block party, outdoor movie screening, book exchange, charity bake sale, volleyball game, etc. Anything that brings neighbours together in a fun and relaxed setting is a good choice!

Gatherings can be promoted through your neighbourhood’s social media network, blog or listserv, or you can go the old-fashioned route and hand out flyers door-to-door. Whatever you do, be sure to make your gathering inclusive and welcoming to all.

BE A GOOD NEIGHBOUR

As with anything in life, you will get out what you put in. It can take time to build lasting and meaningful friendships with your neighbours, but the effort you make is likely to pay off tenfold.

The tried-and-true way to make friends, expand your circle, grow your support system and get engaged in your community? Be a good neighbour yourself.

What are the best ways you’ve found to meet and engage with your neighbours? Share your success stories or challenges in the comments below!

Sources:

  1. Lengacher, L. (2015) Mobile Technology: Its Effect on Face-to-Face Communication and Interpersonal Interaction. Undergraduate Research Journal for the Human Sciences –
    http://www.kon.org/urc/v14/lengacher.html
  2. Putnam, R. (2000) Bowling Alone. New York: Simon & Schuster –
    http://bowlingalone.com/
  3. Bergland, C. (2015 October 5) Face-to-Face Social Contact Reduces Risk of Depression. Psychology Today
    https://www.psychologytoday.com/blog/the-athletes-way/201510/face-face-social-contact-reduces-risk-depression

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Why Real Estate Investing Makes (Dollars and) Sense

October 4th, 2017 Posted by Blog No Comment yet

INTRODUCTION

Turn on the television or scroll through Facebook, and chances are you’ll see at least one advertisement for a group or “guru” who promises to teach you how to “get rich quick” through real estate investing. The truth is, much of what they’re selling are high-risk tactics that aren’t a good fit for the average investor. However, there is a way to make steady, predictable, low-risk income through real estate investing. In this blog post, I’ll examine the tried-and-true tactics that can be used to increase your income, pay off debt … even fund your retirement!

WHY INVEST IN REAL ESTATE?

One of the basic principles of real estate investment lies in this fact: everyone needs a place to live. And according to the Government of Canada’s Average Household Expenditures data, housing is typically a Canadian’s largest expense.1

But there are other reasons why real estate is a great investment choice, and I’ve outlined the top five below:

1. Appreciation

Appreciation is the increase in your property’s value over time. History has proven that over an extended period of time, the value of real estate continues to rise. That doesn’t mean recessions won’t occur. The real estate market is cyclical, and market ups and downs are natural. The Teranet–National Bank of Canada House Price Index shows a steady increase in Canadian home values since its inception in 1999.2

While Canada made out relatively unscathed, most of us can recall the sharp downturn the United States housing market took in 2008. Properties there took several years to recover their value. However, in the vast majority of markets, the value of real estate does grow over the long term. In fact, the Case-Shiller National Home Price Index recently reported that U.S. home prices are now at an all-time high.3

While no investment is without risk, real estate has proven again and again to be a solid choice to invest your money over the long term.

2. Hedge Against Inflation

Inflation is the rate at which the general cost of goods and services rises. As inflation rises, prices go up. This means the money you have in your bank account is essentially worth less because your purchasing power has decreased.

Luckily, real estate prices also rise when inflation increases. That means any money you have invested in real estate will rise with (or often exceed) the rate of inflation. Therefore, real estate is a smart place to put your money to guard against inflation.

3. Cash Flow

One of the big benefits of investing in real estate over the stock market is its ability to provide a fairly steady and predictable monthly cash flow. That is, if you choose to rent out your investment property to a tenant, you can expect to receive a rent payment each month.

If you’ve invested wisely, the rent payment should cover the debt obligation you may have on the property (i.e. mortgage), as well as any repairs and maintenance that are needed. Ideally, the monthly rental income would be great enough to leave you a little extra cash each month, as well. You could use that extra money to pay off the mortgage faster, cover your own household expenses, or save for another investment property.

Even if you only take in enough rent to cover your expenses, a rental property purchase will pay for itself over time. As you pay down the mortgage every month with your rental income, your equity will continue to increase, until you own the property free and clear … leaving you with residual cash flow for years to come.

As the owner, you will also benefit from the property’s appreciation when it comes time to sell. This can be a great way to save for retirement or even fund a child’s college education. Purchase a property when the child is young, and with a little discipline, it can be paid off by the time they are ready to go to college. You can sell it for a lump sum, or use the monthly income to pay their tuition and expenses.

4. Leverage

One of the unique features that sets real estate apart from other asset classes is the ability to leverage your investment. Leverage is the use of borrowed capital to increase the potential return of an investment.

For example, if you purchase an investment property for $100,000, you might put 10% down ($10,000) and borrow the remaining $90,000 in the form of a mortgage.

Even though you’ve only invested $10,000 at this point, you have the ability to earn a profit on the entire $100,000 investment. So, if the property appreciates to $120,000 – a 20% increase over the purchase price – you still only have to pay the bank back the original $90,000 (plus interest) … and you get to keep the $20,000 profit.

That means you made $20,000 off of a $10,000 investment, essentially doubling your money, even though the market only went up by 20%! That’s the power of leverage.

5. Tax Advantages

An often overlooked reason to invest in real estate is the tax benefit. When you record your income from a rental property on your annual tax return, you get to deduct a number of expenses associated with the investment. This includes “rental expenses, such as homeowner’s insurance, property taxes, maintenance fees, advertising, mortgage interest, utility costs and property management fees.”4

You may also qualify for the Capital Cost Allowance (CCA), which is depreciation that can be claimed on your property. Be sure to consult a tax professional, as you may be responsible for repaying this deduction when you sell the property.

Even if you’re not interested in owning a rental property, your personal residence can serve as a tax-free investment vehicle. Generally, when you own an investment property you pay a capital gains tax on any profits you make when you sell the property. However, when you sell a principal residence, you are exempt from paying these taxes. That means, you can purchase a property, live in it while you remodel it, and then sell it for a tax-free profit a couple of years later. This can be a great way to get started in real estate investing.

TYPES OF REAL ESTATE INVESTMENTS

While there are numerous ways to invest in real estate, we’re going to focus on three primary ways average investors earn money through real estate. We touched on several of these already in the previous section.

1. Remodel and Resell

HGTV has countless “reality” shows featuring property flippers who make this investment strategy look easy. Commonly referred to as a “Fix and Flip,” investors purchase a property with the intention of remodeling it in a short period of time, with the hope of selling it quickly for a profit.

This is a higher-risk tactic, and one for which many of the real estate “gurus” we talked about earlier claim to have the magic formula. They promise huge profits in a short amount of time. But investors need to understand the risks involved, and be prepared financially to cover additional expenses that may arise.

Luckily, an experienced real estate agent can help you identify properties that may be good candidates for this type of investment strategy… and help you avoid some of the pitfalls that could derail your plans.

2. Traditional Rental

One of the more conservative choices for investing in real estate is to purchase a rental property. The appeal of a rental property is that you can generate cash flow to cover the expenses, while taking advantage of the property’s long-term appreciation in value, and the tax benefits of investing in real estate. It’s a win-win, and a great way for first-time investors to get started.

And according to the Canada Mortgage and Housing Corporation Rental Market Report, Canada has continued to see steady year-over-year growth in the rental market, spurred in part by an influx of immigrants and an aging population.In fact, Canada is home to some of the hottest rental markets in the world.

3. Short-term Rental

With the huge movement toward a “sharing economy,” platforms that facilitate short-term rentals, like Airbnb and HomeAway, are booming. Their popularity has spurred a growing trend toward dual-purpose vacation homes, which owners use themselves part of the year, and rent out the remainder of the time. There are also a growing number of investors purchasing single-family homes for the sole purpose of leasing them on these sites.

Short-term rentals offer several benefits over traditional rentals, which many investors find attractive, including flexibility and higher profit margins. However, the most profitable properties are strategically located near popular tourist destinations. You’ll need an experienced real estate professional to help you identify the right property if you want to choose a property that allows  short-term rental (local and condo bylaws vary) and be successful in this highly-competitive market.

DOES REAL ESTATE INVESTING SOUND TOO GOOD TO BE TRUE?

We’ve all heard stories, or maybe even know someone, who struck it rich with a well-timed real estate purchase. However, just like any investment strategy, a high potential for earnings often goes hand-in-hand with an increase in risk. Still, there’s substantial evidence that a well-executed real estate investment can be one of the best choices for your money.

Purchasing a home to remodel and resell can be highly profitable, as long as you have a trusted team in place to complete the remodel quickly and within budget … and the financial means to carry the property for a few extra months if delays occur.

Or, if you buy a house for appreciation and cash flow, you can ride through the market ups and downs without stress because you know your property value is bound to increase over time, and your expenses are covered by your rental income.

In either scenario, make sure you’re working with a real estate agent who has knowledge of the investment market and can guide you through the process. While no investment is without risk, a conservative and well-planned investment in real estate can supplement your income and set you up for future financial security.

If you are considering an investment in real estate, please contact me to set up a free consultation. I have experience working with all types of investors and can help you determine the best strategy to meet your investment goals.

Sources:

  1. Government of Canada Average Household Expenditure  –
    http://www.statcan.gc.ca/tables-tableaux/sum-som/l01/cst01/famil130a-eng.htm
  2. Teranet and National Bank of Canada House Price Index  –
    https://housepriceindex.ca/#chart_compare=c11
  3. S&P Dow Jones Indices Press Release –
    https://www.spice-indices.com/idpfiles/spice-assets/resources/public/documents/574349_cshomeprice-release-0829.pdf?force_download=true
  4. Intuit TurboTax  –
    https://turbotax.intuit.ca/tips/dos-and-donts-cca-for-rental-property-explained-6377
  5. Canada Mortgage and Housing Corporation Rental Market Report 2016 –
    https://www.cmhc-schl.gc.ca/odpub/esub/64667/64667_2016_A01.pdf?fr=1505674487269

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The Consumer’s Guide to Hiring an Amazing Real Estate Agent

September 6th, 2017 Posted by Blog No Comment yet

When you’re buying or selling a home, it’s crucial to work with a qualified real estate agent. Not just a professional, but an amazing agent and a market expert. So how do you ensure you’re hiring an amazing real estate agent?

There are currently more than two million real estate professionals in North America.1,2 With so many options to choose from, how does a prospective home buyer or seller choose the right agent or broker? According to the National Association of Realtors®, trust and reputation are the top deciding factors consumers use when hiring an agent.3

But how do you measure trust and reputation … and what criteria can be used to help you make your decision?

In this guide, I’ve outlined the top attributes that amazing agents possess, as well as the questions you can ask to make sure you’re working with the right market expert to achieve your real estate goals.

5 ATTRIBUTES OF AN AMAZING AGENT

As we mentioned above, not all real estate professionals are the same. And it’s easy to be overwhelmed by the options and information about working with real estate professionals to buy or sell your home. In fact, many real estate markets are oversaturated with agents.

To help you understand what makes top agents and market experts stand apart from the competition, following are five key attributes of an amazing agent:

1. A Pricing Specialist

If an agent has their real estate license, they know the basics of the transaction process. They know what goes into buying and selling a home. However, there’s a difference between knowing the process and navigating it for an ideal result. This ideal result often means buying or selling a home for the best price.

For buyers, amazing agents have a strong understanding of market trends, competition, and how to make your offer attractive to sellers. They can help you identify and secure a deal to ensure you get the home you want, within your desired budget.

If you’re selling a home, market experts have experience pricing homes optimally for the market, and creating pricing plans to minimize the time spent selling the home. This will help you sell for your desired price, and avoid costs like additional mortgage and utility payments.

Takeaway: Whether buying or selling a home, pricing can be tricky. Market experts can help navigate best-possible pricing strategies, and also secure the home you want within your budget.

2. An Effective Time Manager

It’s common to underestimate the amount of time it takes to buy or sell your home. The average real estate agent may not be utilizing the latest tools and technology to make the transaction easier and more cost effective for their clients. Market experts have tools and strategies at their disposal to minimize the amount of time you spend on the process.

For sellers, market experts can make sure you only deal with qualified buyers, not the “window shoppers” who can waste your time. We also utilize the latest marketing practices to advertise and price your home effectively, ensuring it gets sold quickly.

When looking to buy a home, inexperienced or ineffective agents may waste your time by showing you homes that are not a good fit for you. A market expert knows how to prioritize your needs and wants to find you the ideal home within your budget. They also know how to spot “red flags” and can steer you away from homes that are likely to turn up major issues in a real estate inspection, saving you time and money.

In addition, well-networked Realtors can gain access to the hottest listings before many websites do. Their extensive professional networks can help identify “pre-list” homes before they’re officially on the market. This can be invaluable in a highly competitive real estate market.

Takeaway: Even a well-intentioned agent may not have the skills, tools or technology to make the experience easy for you. There are lots of hidden activities that may take up unexpected time, and a market expert will save you time and energy.

3. A Market Insider

While most agents can pull market stats about a neighbourhood, community or city, they may not understand important trends or developments that would affect your transaction. These can include the state of the school district, issues with condo boards, new businesses in the area, zoning rules or trends in home prices.

Market experts live and breathe local real estate and know the trigger points for buying and selling in this market. We also stay current on effective marketing and negotiation practices, resulting in our track record of success.

For sellers, we understand what features of your home and neighbourhood are assets in the selling process. And for buyers, we share a deep understanding of market factors, including school and neighbourhood quality, crime statistics, speed of sales and more.

Takeaway: Getting relevant and specific market knowledge can be difficult and time consuming, which is why many real estate agents don’t have it. Whether you’re buying or selling a home, a current, knowledgeable and connected real estate agent is often the best source of information about a city, neighbourhood, or even street … we’re literally conducting market research every day.

4. A Strong Negotiator

Amazing agents truly set themselves apart in their ability to negotiate. Unfortunately, a large portion of agents don’t commit their full time to increasing this key skill.

Real estate negotiations can be challenging, even for seasoned professionals. It takes skill, experience and a knowledge of how to fight for your client’s best interests. While any agent can enter negotiations to buy or sell a home, they may not know the effective strategies to exit those negotiations with the result you want.

The best Realtors focus on negotiation as a key skill. We understand what to do before entering negotiations (establishing the upper hand to set up the best outcome), as well as during the process (when to offer or accept concessions).

Takeaway: Many agents can feel the stress of the negotiation process, and may agree to terms of the buyer/seller. Working with a market expert will help ensure you get the best deal, not just the fastest deal.

5. An Effective Closer

Closing a deal fast is often a good thing. For buyers, it means you found the home you wanted quickly. For sellers, it often means you can avoid the added expenses of mortgage and utility payments, and maximize the value of your home sale.

However, an agent solely focused on speed can make decisions that aren’t in your best interests. Top real estate professionals know how to not only achieve your real estate goals quickly, but in the right way to avoid potential pitfalls.

Just like negotiations, the paperwork and process of closing a real estate transaction are complicated. And they can be overwhelming for the average agent who hasn’t handled a lot of transactions. Sales contracts, property disclosures, occupancy agreements and even maintenance records need to be executed with precision. Your agent not only needs to be familiar with these, but also stay current on any changes in requirements or regulations.

Market experts have a strong understanding of real estate contracts, timelines, clauses and contingencies within the closing process. In fact, avoiding pitfalls during the closing process is where many sellers find a thorough Realtor is a huge asset.

Takeaway: Many agents don’t have a firm understanding of contracts. Because a real estate transaction often involves a significant investment, even a small mistake can mean serious trouble. With that in mind, it’s often best, and most responsible, to work with a true market expert.

5 QUESTIONS TO ASK YOUR REAL ESTATE AGENT

So how do you know if you’re working with an amazing agent?

The first step would be to “shop around.” Many people work with the first agent they come across without a firm understanding of their level of experience, knowledge base, skills and attributes. It’s always a good idea to interview a number of agents before selecting one. If you have referrals from people you trust, then you may only need to interview 2-3 agents.

However, it can be tough to know what to ask in the interview process. Here are some questions that can help you qualify the best agent to help you achieve your real estate goals:

1.     Can you send me some information about yourself?

Look for professionalism and consistency. What are their professional accomplishments? Also, try to identify how they approach their work. Look for a business person who has a strategy and solid support system. If they’re a newer agent, ask about their relevant education, professional and market experience and/or their team’s dynamic and accomplishments.

2.     Can you tell me about the types of transactions you have been involved with and how you handled unanticipated issues?

It doesn’t matter how many years you have been in Real Estate if you’ve always done the same thing. Longevity is not as important as the varying number of situations, circumstances and issues an agent has been involved with during transactions. Feel free to also ask “How will your experience help me in my particular buying/selling process?”

3.     What will you do to keep me informed?

Do you want daily or weekly reports from your agent? Will the agent be able to meet these expectations? Determine how much communication you want, and then find an agent who will give you the attention and time you want and deserve.

4.     Can you provide me with further resources I may need?

From market reports and pricing trends to school performance and crime statistics, top agents have resources at their disposal. In addition, market experts have built strong relationships with their extended team of professionals, and can often get expedient service or be able to “cash in a favour” for you should a need arise.

5.  Seller only: Can you share with me your plan to market my property? Many agents will simply put your home in the MLS and wait for it to sell. An amazing agent should have a detailed plan of how to get your home exposure on social media, to their local networks, and more.

GET STARTED

Now that you’re armed with the 5 Attributes of Amazing Agents and the Top Questions to ensure you work with the best possible real estate agent, you’re ready to start interviewing agents.

I’d love an opportunity to win your business. Schedule a free consultation with me to find out how true market experts can help you achieve your real estate goals!

Sources:
National Association of REALTORS – https://www.nar.realtor/field-guides/field-guide-to-quick-real-estate-statistics
Financial Post – http://business.financialpost.com/personal-finance/mortgages-real-estate/canada-housing-bubble-agents/wcm/b49d4e3a-bd8d-4d1c-9566-bd3d80c8e23a
National Association of REALTORS –
https://www.nar.realtor/reports/highlights-from-the-profile-of-home-buyers-and-sellers
National Association of REALTORS – https://www.nar.realtor/field-guides/field-guide-to-quick-real-estate-statistics

 

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Top 12 Apps for Homeowners and Renters

August 2nd, 2017 Posted by Blog No Comment yet

 

 

More than 77 percent of people own a smartphone.The average person checks their smartphone 46 times a day, with people under the age of 24 checking it an average of 74 times a day.We check it while we’re waiting in line and during our leisure time, whether we’re scrolling through social media, reading emails or getting up-to-date on the latest news.

Smartphones are not only a useful tool for communication. With the following apps, you can get organized (whether you plan to buy or sell), save money, learn about the homes in your neighbourhood and get inspired for your next renovation project. If you’re like 81 percent of people, you have your smartphone with you during most of your waking hours; let it help you stay organized and make your life easier.3

Apps For Homeowners: Get Renovation Inspiration

These apps not only offer ideas for your next remodel or home décor project, some of them even give you a preview of what your home may look like once it’s finished.

1.) Houzz
The Houzz app is the number one app for home design and it’s no wonder; the app gives you access to all the inspiration, blogs and design ideas from the Houzz site on your phone or tablet. The app features View in My Room 3D, which allows you to view products in your home before you buy. Just take a photo of the space and a 3D version of the product will appear. Browse products, save photos of designs you’d like to view later and connect with local professionals in your area. Whether you’re gathering ideas for your next renovation and décor project or you’re just browsing, the Houzz app will satisfy all your design needs. (Android, iOS)

2.) iHandy Carpenter
Make sure the photos, shelves, mirrors and other artwork you hang are even and aligned with this helpful app. It’s an all-in-one tool kit that features a plumb bob, surface level, bubble level bar, ruler and protractor. No need to purchase these tools separately; just hold your smartphone up to the wall and the app will take care of the rest. (iOS, Android)

3.) Handyman Calculator
When you need to do more than measure the size of a room, the Handyman Calculator will also calculate the cost of materials, amount of time spent on a project and more. Track your time, create a to-do list and save all of your calculations to the app’s notepad. You’ll store all of the information you need in one place—your smartphone. (Android)

Bonus App for Homeowners:

BrightNest
From keeping things clean to making them colourful, Brightnest, developed by Angie’s List, is loaded with suggestions on how to make your home a better place to live. With categories of customized tips (money-saving, cleaning, eco-friendly, healthy, cooking, and creative) there are plenty of great ways to pull inspiration from the app. BrightNest will help you tackle important home tasks with easy-to-follow instructions, a personal schedule and helpful reminders. (iOS, Android, Web)

Apps For Sellers: List & Sell Your Home Quickly

Are you a homeowner who is thinking of selling? If you’re preparing to sell, you know there are a lot of tasks to complete before putting your home on the market. These apps help you manage your to-dos so you can list and sell your home more efficiently with fewer distractions.

4.) Docusign
Use the DocuSign app to complete approvals and agreements in hours—not days—from anywhere and on any device. Quickly and securely access and sign any documents. The benefit to using the app (over your desktop computer) is you will receive push notifications when a document is waiting for your signature and you can view and organize all your docs on-the-go. Using the easily downloadable app, receive and sign documents for free. You can receive and sign documents for free, but will need a paid account to send documents; pricing starts at $10 a month. (iOS, Android, Windows, Web).

5.) Wunderlist
Designed for use on the Web and mobile devices, Wunderlist is a well-designed to-do list and task management program that makes it easy to create a list and add tasks, due dates and reminders. Organize your ideas or focus into separate lists or create tasks within one list. You can also email them with whomever you collaborate, such as a spouse or your real estate agent. (Android, iOS, Windows Phone, Web)

6.) Real Estate Dictionary
Not sure what all those industry specific terms mean? Search thousands of words and phrases from real estate, mortgage, and financial dictionaries for clear, in-depth definitions. This is a handy app for anyone who’s buying or selling and wants to learn more about the process. (iOS, Android)

Bonus App for Sellers:

Jiffy
If you need a handyman or plumber to fix a few things up before selling, or need help installing a dishwasher or washing machine, Jiffy can connect you with qualified tradespeople if you live in the Toronto or Ottawa areas. All tradespeople and services featured on the site have been rated 4 or more stars. Additionally, they have proof of insurance or a license where required. Click on service and the app shows both the standard and after-hours rates. You can also request an appointment or have someone come right away. (iOS, Android)

Apps For Renters: Get Ready to Buy

Not ready to buy a home just yet? These apps will help you get into the perfect rental while you save money, build a budget and get on track for homeownership.

7.) Mint
Do you know where your money goes each month? Manage your bills, budget and credit score all in one place. Mint is a free app that helps you view your complete financial picture and track your spending. We recommend this app to anyone, but it’s especially useful for renters who need to crack down on their spending in order to save for a down payment. Use Mint to look for areas you can cut spending in order to save a little extra each month. (iOS, Android)

8.) Mylo
Mylo makes it easy to turn spare change into investments. Simply link your cards and the app will round up your purchase and put the loose change into your Mylo account, where it’ll be automatically invested. The app uses the same security measures that all major Canadian banks also use, so you can rest easy that your money is safe. Although it’s currently only available for iOS, the app is in development for Android devices.
(iOS)

9.) Credit Karma Canada
If you’re preparing to buy, boosting your credit score is likely a goal you’ve set. Credit Karma is a free app that allows you to safely monitor your score and receive updates on ways you can improve it over time. The company recently launched a beta version of its successful program in Canada. It provides financial calculators and educational articles to help you better understand what credit is all about. Check as often as you want, and it doesn’t hurt your score.  (Web)

Bonus Apps & Tools for Renters:

Wally
Wally is a personal finance app that helps you compare your income to expenses, so you can understand where your money goes each month, and set and achieve goals. Wally lets you keep track of the details as you spend money: where, when, what, why, & how much. We love how simple it is to set a personalized savings target and scan receipts. (iOS, Android)

Carrot Rewards
Get rewarded and save money for living a healthy lifestyle with Carrot Rewards, an app created by the federal government to promote wellness. Collect SCENE points, Aeroplan Miles, Petro-Points, or More Rewards points by completing surveys, quizzes and learning about how to reduce your risk of chronic disease and increase healthy living. Currently only available for residents of ON, BC, NL,  the app creators announced they’re working on making it available to all Canadians soon.­ (iOS, Android)

Apps for Buyers: Find the Perfect Home

When you’re ready to buy, there are several apps that can help you stay on top of the process. Whether you’re browsing online at different neighbourhoods and homes and can’t seem to remember where all your saved data and information went or you want to save an important task or a neighbourhood or listing clipped from the Web, these apps help you keep it all straight.

10.) AroundMe
Discover what’s located around the homes you’re interested in. The AroundMe app allows you to search for restaurants, gas stations, movie theatres, banks and more near your location. Open the app when you’re viewing a home and see what’s nearby. (iOS, Android, Windows Phone)

11.) Evernote (Free for the Basic version, $34.99 per year for Plus and $69.99 per year for Premium)
Collect ideas, notes and images in one place to access later on your computer, tablet or smartphone. Categorize your notes so you can find them quickly and easily and share them with others in a group notebook. Add the Web Clipper feature to your browser and clip and save articles, blogs and images from the Web. Whether you’re collecting research on a business idea or you’re looking for inspiration for a home renovation, Evernote can help you keep it all together. (Web, iOS, Android)

12.) Canadian Mortgage App
Although there are many free mortgage calculators available for download, this app from CMHC will help you assess the monthly payment, closing costs, the maximum loan and more of the homes you’re interested in. These numbers should be used as a guide, work with your agent and mortgage professional to learn exactly what type of loan you’ll qualify for. (iOS, Android, BlackBerry)

Bonus App for Buyers:

Google Maps
Google Maps is a must-have for anyone who’s house hunting. When you’re ready to visit a property or check out a neighbourhood, you can use Google Maps to give you turn by turn directions to the house. You can use their satellite view to get a good idea how far important things like schools, parks, shopping, bus stops, and restaurants are to a home you are interested in and check out the other houses on the street. (Web, Android, iOS)

Ready to move beyond the app?

If you’re thinking of buying or selling your home, or know someone who is, keep me in mind because I’m happy to help!

Source: 1. Pew Research Center, January 12, 2017 www.pewresearch.org/fact-tank/2017/01/12/evolution-of-technology/
2. Deloitte, 2016 global mobile consumer survey: US edition https://www2.deloitte.com/us/en/pages/technology-media-and-telecommunications/articles/global-mobile-consumer-survey-us-edition.html
3. Gallup, July 9, 2015 http://www.gallup.com/poll/184046/smartphone-owners-check-phone-least-hourly.aspx

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Real Home Value Calculator: Assessed Value vs Market Value 

July 5th, 2017 Posted by Blog No Comment yet

Assessed Value vs Market Value

Understanding a home’s true market value is about more than pictures, software assessments and price-per-square-foot. Whether you’re a current homeowner thinking of selling or are house-hunting, it’s crucial you understand what factors affect home valuation. By partnering with a local market expert, sellers will avoid pricing their house out of the market (the kiss of death in real estate) and buyers will ensure they get a good deal on their next home.

So, how do you accurately calculate a home’s value? After all, the value a home is assigned by its town or county and the one it’s given when it’s listed are often dramatically different from one another. Which one is accurate and what does it all mean? Read on to learn more.

Assessed Value vs Market Value: What’s the difference?

When it comes to home value, you’ll often hear two terms, assessed value and market value.

A home’s assessed value is often the lower number of the two, and is the value given by your municipality. Investopedia defines assessed value as “the dollar value assigned to a property to measure applicable taxes.”1 Although property tax laws vary, assessors commonly arrive at this number by taking into account the following:

  • What comparable/similar homes are selling for in your area.
  • The value of recent improvements.
  • Income from renting out a room or space on the property.
  • How much it would cost to rebuild on the property.

A home’s market value, or Fair Market Value, is the price a buyer is willing to pay or a seller is willing to accept for a property. A skilled real estate professional will arrive at the value using a variety of metrics, including:

  • External characteristics, such as lot size, home style, the condition of the home and curb appeal.
  • Internal characteristics, such as the number of rooms and their size, the type and condition of the heating or HVAC system, the quality and condition of construction, the flow of the home, etc.
  • The sales price of comparable homes that have sold in your area.
  • Supply and demand; that is, how many buyers and sellers are in the area.
  • Location; that is, the quality and desirability of your neighborhood and other community amenities.

Why are these values often so different? An assessor usually estimates your property’s market value during a reassessment or if you make a physical change or improvement to it.2 As a result, a property may not be reassessed for many years. While your home’s market value may fluctuate with the market, your home’s assessed value is more likely to remain steady.3

What Determines a Home’s Value?

You’ve likely heard the motto of real estate: “Location, location, location.” This means a home’s value relies on its location. While the home and structures on the property will likely depreciate over time, the land beneath it tends to appreciate. Why? Land is in limited supply and a growing population puts increased demand on the housing supply. As a result, values increase.4

Other factors that affect your home’s value include the function and appearance of the property, how well the home and other structures are maintained and whether the home is a lifestyle property, such as a ranch style with mountain views or a cottage on the lake.

Ultimately, the best indication of a home’s value is the overall supply and demand of the market. This is why I recommend you partner with a real estate professional who takes all of these factors—the assessed value, local market conditions, home features and has physically walked through and experienced your home— into consideration to determine the most accurate market value.

How to determine if a property is comparable to yours.

Both assessed value and market value are partially determined by the sales price of similar, or comparable, homes in the area. To determine if a home is comparable to yours, look for the following characteristics:

  • Lot size
  • Square footage
  • Home style or similar architecture
  • Age
  • Location

Or, if in a condominium:

  • Square footage
  • Style: luxury, standard, loft
  • Layout
  • Amenities
  • Location
  • Proximity to Transit
  • Maintenance Fees

While you may not find a home with the same exact characteristics as yours, you’ll likely find a few that are close. To account for any disparity, adjust the sales prices of the comparable properties. Look at the differences between your property and the one in question and determine if the differences increased or decreased the sales price and by how much. For example, if your home has two bathrooms and a similar home only has three, estimate how much that extra bathroom increased the sale price of the similar home. The adjusted sale price is the estimation of what the property would sell for if the properties were exactly the same.

Where can you find comparable sales?

Fortunately, you can find comparable home sales in your local newspapers or online news as they may offer some real estate information in the form of quarterly sales reports in the business or real estate sections of the newspaper or articles on particular property sales.

Or – call me! I regularly do Comparable Market Analysis of homes in our local area.

How to calculate your home’s value.

By answering a few questions about your home, property and the local market, you can begin to estimate your property’s value.

Home Value Questions:

When was your home last assessed?

What was its CMA assessment value?

What is your area’s average sales price?

What is your area’s average price/square foot?

Structure:

  • Is the architecture and exterior structure of the home consistent, superior or inferior to other homes in the area?
  • Does the era or genre (Modern, Victorian, Bungalow, Condo, Cottage, etc.) add a premium based on current design trends?
  • How does the floor plan and room size proportions of the home compare to other homes on the market?

Interior Structure:

  • How does the kitchen compare to others on the market?
  • Updated or outdated
  • Floor plan
  • Appliance packages
  • How does the Master Suite compare to others on the market?
  • Size
  • First/second floor
  • Updated or outdated
  • Access to Master Bath
  • How does the Master Bath compare to others on the market?
  • Updated or outdated
  • Shower and bath
  • Flooring

Outside Areas:

  • Are there views, outdoor living areas or recreational areas?
  • Pools
  • Ponds
  • Patios
  • Balconies
  • Terraces
  • How does the landscaping and hard-scaping compare to the market? (e.g., built elements such as walkways, patios, decks, etc.)

Overall Condition of Home

  • What is the level of repair needed to compete with other homes?
  • Does the home need to be staged? How does it show?
  • What curb appeal projects are necessary to be consistent with others on the market?

If you want to accurately assess a home’s value, it’s crucial to know about the market activity of our local area. I can help! Give me a call to get the scoop on the local market.

Sources:

  1. Investopedia

http://www.investopedia.com/terms/a/assessedvalue.as

  1. Municipal Property Assessment Corporation

https://www.mpac.ca/HowAssessmentWorks/PropertyAssessmentAndTaxation

  1. Realtor.com

http://www.realtor.com/advice/sell/assessed-value-vs-market-value-difference/

  1. Investopedia

http://www.investopedia.com/articles/mortgages-real-estate/08/housing-appreciation.asp?lgl=myfinance-layout

 

 

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What’s Your Home Buying Power?

June 12th, 2017 Posted by Blog No Comment yet

Do you have a clear picture of what your money can get you?

What’s Your Home Buying Power?

If you’re in the market for a new home or investment property, one of the first questions you’ll probably ask is, “What can we afford?” Many buyers become so caught up in how much they can afford that they don’t realize their total buying power—that is, the total amount of purchasing potential they actually have.

Buying Power Defined

Your buying power is comprised of the total amount of money you have available each month for a mortgage payment. This means the money you have each month after fixed bills and expenses. Any money you’ve saved for a down payment, the proceeds from the sale of your current home, if applicable, and the amount of money you’re qualified to borrow all impact your buying power as well. When you take all of this into account, you may find you are able to purchase a larger home or a home in a more desirable neighbourhood, or you might realize you should be looking for homes in a lower price range.

What About Housing Affordability?

Housing affordability is a metric used by real estate experts to assess whether or not the average family earning an average wage could qualify for a mortgage on the average home.1 Although this figure is essential to creating a comprehensive overview of the real estate market, it’s not a factor you should consider in your home search. What may be considered affordable to you based on your income and other factors may be different than what’s affordable to the average buyer.

Why Buying Power Matters

A common misunderstanding is that a home’s list price determines whether or not you can purchase it. Although it’s important to look at the price tag, it’s essential to consider what your monthly payment will be if you own the home. After all, the purchase price doesn’t include the housing-related expenses, such as annual property taxes, homeowner insurance, associated monthly fees and any maintenance or repairs. Figuring out the payment will prevent you from overestimating or underestimating your buying power. After all, you’ll live with your monthly payment, not the sales price.

Once you have clarity on your buying power, you’ll be able to buy the home you want, instead of settling for a home because you feel it’s the only one you can afford. It will also prevent you from becoming “house poor,” a common term for someone who’s put all their money toward the down payment, leaving them nothing left over for fees outside of their monthly house payment. Both scenarios can negatively impact the lifestyle you want to live. Understanding your buying power can help you get the home you want without sacrificing the lifestyle you desire.

If you haven’t sold your current home yet, a Comparative Market Assessment (CMA) will give you a general idea of how much you may get for your home based on what other homes have sold for in your area. Contact me for a FREE CMA!

Calculating Your Buying Power

You might be wondering, “How do I know what my buying power is?” Buying power is calculated by adding the money you’ve saved for a down payment and/or the money you made from selling your home (minus fees and mortgage payoff) to all of your sources of income and investments that could be used to make your monthly payment. Make sure to include your monthly pay, commissions or tips, dividends from investments, payments from rental properties or other monthly income you receive as well as the loan amount you’re willing to finance and qualify for.

Most lenders advise buyers to spend no more than 35 to 45 percent of their pretax income on housing, meaning all your income and sources of revenue prior to paying taxes. Make sure you factor in not only your mortgage payment, but also property tax and home insurance to the cost of housing.2 However, other financial experts advise spending no more than a very conservative 25 percent of your after-tax income on your housing expenses.2  Whether you plan to spend the average, play it conservative or split the difference is up to you.

Traditionally, mortgage lenders have targeted the ideal housing expense amount to be a ratio of 28 percent or less.3 

However, these figures bring up an important point: you don’t have to spend all of your savings and available monthly income on a mortgage payment. It’s important to set money aside for regular home maintenance, unexpected repairs and monthly fees, such as condominium common fees. While the above ratios are commonly accepted, a lender will look at your total financial picture when they decide how much they’re willing to lend. It may be tempting to take out a large loan in order to purchase the home of your dreams, but keep in mind the less money you have to borrow, the stronger your buying power may be.

4 Things That Impact Buying Power

1. Credit score. A great score can help you lock into a lower interest rate.

2. Debt-to-income ratio. The lower the ratio, the better risk you may be to lenders as long as you have an established credit history.

3. Assets, including the documentation of where the money for the purchase is coming from and the mix of your investments.

4. Down payment. The more you’re able to put down, the less you will have to borrow. With a down payment of 20 percent or more, you won’t have to purchase additional mortgage insurance and you may also be able to negotiate a lower interest rate.

How to Save for a Down Payment

If you’re thinking of buying a home one day, one of the first steps to take is to start saving for a down payment. Here are some tips to make saving easier.

First-time buyers:

1. Set a savings goal. One way to figure out how much to save is to use the average sales price for homes that are similar to what you want and figure out your target down payment percentage. For example, if homes are selling for $500,000 in your area and you want to put 20 percent down, you’ll have to save $100,000. Set a goal to save that amount within a specific time frame; just keep in mind the longer you save, the more the average selling price will change.

2. Cut back on expenses. Review your monthly expenses and look for ways to save. Twenty-nine percent of buyers cut spending on non-essentials items and 22 percent cut spending on entertainment while they were saving for a home.4 Think about items you can live without or cut back on temporarily while you’re saving.

3. Look for ways to boost your income. Get a side job or sell items online or at a garage sale to increase your income in a short amount of time. Be sure to save any windfalls you get, including your annual income tax refund or work bonuses.

4. Become familiar with tax breaks for first time homebuyers. Your province or municipality may offer special programs, such as rebates, for first-time buyers to use.

5. Ask your family. Thirteen percent of all buyers, and 24 percent of first-time buyers, were given money from family or friends to use toward the down payment of their home.4

Repeat buyers:

More than 52 percent of repeat buyers used the proceeds from the sale of their primary residence toward the down payment on their next home.4 Similarly, 76 percent tapped into their savings accounts.4 If you’re thinking of buying another home, here are more ways to save more money, in addition to the tips listed above:

1. Rent a room. If you have an income flat (or mother-in-law unit) attached to your home, rent it out and channel the income into a high-interest savings account.

2. Make your money work for you. If you don’t plan to buy for at least five years, invest it and let the compound interest work for you. Discuss this option with your financial planner or broker to see if this is ideal for you and your goals.

3. Tap into your RRSPs. If you have RRSPs, you may be allowed to borrow a portion of it for your down payment. Remember, it’s a loan so you’ll have to pay it back. The best part is the withdrawal is not taxable as long as you repay it within a 15-year period.

If you want to buy an investment property

Whether you’re buying a second home or a rental property, here are a couple tips to save for a down payment.

1. Tap into your equity. If you’ve paid off or paid down your mortgage on your primary home, you may be able to tap into your equity to purchase another property. Contact your lender to learn more about a HELOC or home equity loan.

2. Get a partner. Find a friend or relative who’s willing to purchase property with you. Typically, you’ll split the costs and profits equally. Just make sure to work with a lawyer to create a partnership agreement to fit your situation. 

Don’t forget to factor in property taxes and insurance. These are often added to your principal and interest of your mortgage payment—the money used to pay down the balance of your loan and the charge for borrowing the money. Since these numbers vary, contact the Municipal Property Assessment Corporation for the current property tax rate and your insurer for a home insurance quote. Once you have these figures, divide each by 12 to estimate how much they’ll add to the above payment amounts.

Do you want a clearer picture of your buying power? Would you like to see what kind of homes you can get with your buying power? Give me a call!

Sources: 1. National Association of REALTORS https://www.nar.realtor/topics/housing-affordability-index/methodology

2. Moneyunder30.com https://www.moneyunder30.com/percentage-income-mortgage-payments

3. Credit.com https://www.credit.com/loans/mortgage-questions/how-to-determine-your-monthly-housing-budget/

4. National Association of REALTORS, 2016 Profile of Home Buyers and Sellers

Top 5 Home Design Trends of 2017

May 3rd, 2017 Posted by Blog No Comment yet

Architecture modern design, concrete house, night scene

The current trends are all about utilizing rich colour, maximizing texture and creating comfortable interiors you can’t wait to relax in. Use these trends to get inspired to makeover your home’s interiors and create spaces you love that also appeal to your personal style. Remember, if you plan to sell in the next few years, you may want to avoid doing anything dramatic and instead incorporate small changes that would appeal to buyers.

Why are these trends gaining popularity?

The underlying theme of these trends is creating a home environment you love; one that appeals to your emotions and feels like a retreat from the stresses of the world. Although the home is a place where you can relax and spend time with loved ones, work expectations are beginning to blur the line between work and home. Even if people don’t work from home specifically, many are stretching their work hours into their evenings and weekends to complete work projects.

It’s no wonder the Nordic concept of hygge (most often pronounced “hue-gah”) has become a hot trend. A centuries-old concept, incorporating hygge in the home means creating simple and comfortable spaces that make you feel cozy and safe and appeal to your senses.1  The emphasis is on simplicity and fostering positive experiences, whether you’re spending time with family, reading a good book or catching up on work emails.

WARM AND RICH COLOURS.

Whether you want to play with a bold colour or stick with neutrals, one thing is clear—paint is the foundation of a great design. Painting your interiors has a return on investment of about 75 percent and is a relatively inexpensive project to complete, costing between $25 to $100 for paint alone.2  If you’re thinking of refreshing your home’s interiors with a coat of paint, popular colours include warm taupe, fresh green and dark tones. These colours are popular choices because they evoke feeling of warmth and coziness when you walk into a room.

Wondering how to pair these colours? Taupe is the perfect alternative to traditional neutrals, such as grey and white, and goes well with cool blues, earthy greens and deep shades of wine.  Green goes well with other earthy shades, such as copper and moss, as well as deep plum and bright pink. If you’re hesitant to paint your walls green, incorporate it into your home by way of accent pillows, rugs, lamps, vases and other accessories or add a few house plants.

If you’re interested in adding more drama to a room, include bold, dark colours.  Dark shades add colour and sophistication to any space. Plum and dark grey pair well with pale blues, warm whites and light grey.

Try one of these Colours of the Year: 

Poised Taupe – Sherwin Williams
Greenery – Pantone
Shadow – Benjamin Moore

RICH MATERIALS.

Lux materials create a space in which you can’t wait to kick off your shoes and relax at the end of the day. The Danes use a mixture of materials and pattern as a way of adding character and interest; however the overall look still needs to adhere to a colour palette to prevent it from looking distracting.

Natural materials and textures allow you to maximize the comfort of the bedroom, living room or family room. Wood accents give rooms an earthy feel. Incorporate rustic wood sculptures, trays and furniture into your space. Choose furniture made with sustainably harvested wood certified by the Forest Stewardship Council (FSC) or use reclaimed wood for an environmentally friendly alternative.

If natural elements aren’t your style, but you want to add more visual interest to your room, try mixing patterns. Although it may have been avoided in the past, mixing stripes, florals and geometric prints actually help ground a space as long as the patterns feature complimentary colours or different shades of one colour. If you’re worried about going overboard and making your room look “busy,” focus your mix in one area of the room. For example, add throw pillows in a variety of patterns to your sofa.

GOING GREEN.

According to a recent study from the American Psychological Association, people are more stressed than ever, with 24 percent of adults reporting they’re experiencing “extreme stress.”3  Top sources of stress include work and money. By incorporating small changes, like making your house more energy efficient, you can start to lower your bills and get back to relaxing and enjoying life like the Danish do (who consistently top the polls as the happiest people).

Save money on your energy bills by sealing the “envelope” of your home, which includes the windows and doors, walls, floor and roof. The better insulated your home is, the less heat will escape and the lower your energy bill (and stress level) will be.

The most heat loss occurs through the walls of the home: up to 35 percent of heat loss, to be exact.4  Ceramic insulating paint is a space-inspired coating of paint mixed with ceramic compounds and applied to interior or exterior surfaces. It seals your walls and prevents heat from escaping, which means reduced energy bills all year long.

THE FUNCTIONAL HOME OFFICE.

Twenty-four percent of employed people do some or all of their work at home.5  Since more people are working remotely than ever, home offices are becoming more popular. Even if you don’t plan on working from home, a home office gives you a place to pay bills, work on personal projects, plan your family’s schedule and more. Home offices tend to be multifunctional, serving as a guest room when family and friends visit, and have the potential to meet other needs that arise.

The key idea behind hygge is to enjoy the environment around you and for each room to be a sanctuary to sink into at any given moment. Your home office is no exception! Maximize your productivity, efficiency and focus by painting the walls shades of green or blue.6  If space is an issue, create a nook by installing docking and tech cabinets that are big enough to store a printer and other small office equipment and files without taking over the room.

If you don’t have room in your home for an office, look no further than your backyard. Shedquarters, small structures or sheds built in the backyard for use as an office or home-based business, are an attractive option for homeowners who don’t have a room to dedicate to an office and don’t wish to add on their homes. while the jury is out on how much value these structure add to a home, they can convert easily into a storage shed if you plan to sell in the future.

SPLURGING ON KITCHEN RENOVATIONS.

The kitchen is often the busiest, most hectic room in the house and one of the top renovation projects with a high return on investment.7  We do more than cook meals there; it’s where homework is done, bills are paid, weeks are planned and more.

Kitchen remodels consistently show a respectable return on investment. According to the 2017 Cost vs Value Report from Remodeling magazine, a minor kitchen remodel touts an 80.2 percent return on investment.8  You don’t need to overhaul your entire kitchen to make it more hygge. Smaller additions can transform it into a relaxing and functional space you enjoy spending time with friends and family in.

What does a “minor kitchen renovation” entail? In addition to replacing the fronts of your cabinets and drawers, it also includes replacing out-of-date appliances and fixtures. You may also consider replacing countertops. Quartz and quartzite are becoming more common as are other green laminate options, including ones that mimic stone, wood and concrete. Laminates install in less time, often over the existing countertop, make it an ideal choice for busy homeowners as well. Other hot kitchen trends include incorporating sustainable materials like bamboo into your countertops and floors and water filtration systems.

Want to improve the look and feel of your home’s interior? Are you thinking of upgrading to a home that better fits your changing needs? Call me — I’d love to help you achieve all of your home-related dreams.

Sources:
1. Time, Hygge, the Nordic Trend That Could Help You Survive 2016
2. Quality Smith
3. American Psychological Association, 2015 Stress in America
4. Department of Energy
5. Department of Labor
6. Entrepreneur, How the Color of Your Office Impacts Productivity
7. Realtor.com
8. Remodeling Magazine, 2017

Increase Your Home’s Value Up to 28% with These 5 Tips

April 5th, 2017 Posted by Blog 3 comments

Great curb appeal not only makes your home the star of the neighbourhood, it can also improve its value and help you sell it for more. Whether you’re thinking of listing your home or just want to make your home the envy of your neighbours, here are several ways to increase your home’s curb appeal.

1. Make your home’s exterior look like new.

For many potential buyers, the condition of the exterior of a home can offer clues to the condition of the interior. The first place to start when boosting curb appeal is the exterior of your house.

Paint. Paint is the best way to make your home appear newer. While you can paint your home yourself, if it’s large or more than one story, consider hiring a professional. Painting has a 55 percent return on investment.1

Maintain your siding. Over time, weather and the elements can make your home’s siding appear dull and dirty. Use a pressure washer to clean stains, spider webs and accumulated dirt and grime, or use a soft cloth and a household cleaner to get into those small nooks and spaces. Although the average life expectancy of siding ranges from 60 to 100 years, depending on the material, extreme weather may reduce this number. Replacing worn or damaged siding will boost curb appeal and may help your home sell for more.

Paint or replace garage doors. If your garage doors are in good condition, give them a new coat of paint. If they’re beginning to show their age, consider replacing them. Not only will new garage doors improve the look of your exterior, they’re also more energy efficient and better insulated than older models.

Maintain your fence. Replace rotted or worn posts and panels and freshen it up with a coat of paint. If you have a hedge that serves as your property’s border, keep it trimmed and in good shape.

2. Pay attention to the small details.

The small details tie your home’s exterior together and help it stand out from others in the neighbourhood.

Paint front door, trim and shutters. This inexpensive improvement adds brightness to a home, whether you choose a bold colour, a neutral tone or classic white.

Install new door fixtures and be sure they match in style and finish and complement the style of your home.

Update your house numbers. Make sure potential buyers and guests can find your home. If the numbers have faded or need an update, replace them. If choosing a metallic finish, make sure it matches the finish of your exterior light fixtures.

3. Tend to your driveway and lawn.

A well-designed and managed landscape may add up to 28 percent to the overall value of your home.2 Additionally, professionally done landscaping not only adds value, it may help your home sell faster as well.

Place a border along your driveway or walkway made of brick, stone, pavers or another hardscape element to add visual interest to a plain driveway.

Maintain your green space. If you have grass, a well-maintained, green lawn makes your home look inviting and picturesque. However, in many parts of the country, water conservation is becoming more important. Xeriscaped landscapes incorporate drought-tolerant, often native, vegetation with water-saving drip irrigation and mulch. Xeriscaping has a cost savings of 36 cents per square foot annually through reduced irrigation and maintenance costs.3 Additionally, these landscapes are virtually maintenance free, which makes it an attractive option for busy buyers.

Include trees and shrubs to create texture and add interest to your landscape. Planting a few types of trees and shrubs of varying heights, widths and flowering times boosts your home’s curb appeal year-round.

4. Make it feel inviting.

It’s no secret that emotions play a role in a person’s decision to purchase a home. Stage the outside of your home to evoke warm feelings.

Stage your porch. If you have a front porch, make it feel more inviting by including seating, such as a chair or loveseat, an outdoor rug and a small table. If space is an issue, incorporate small decorative touches, such as a festive wreath or potted plant.

Hang flower boxes on your front porch railings and/or below your windows. If you don’t want to affix flower boxes to your home, purchase nice planters and containers and place them around your porch or on your front steps.

Choose flowers and plants that bloom at different times of the year for year-round appeal. For example, bulbs not only bloom all spring, they also multiply and come up every year. Perennials often flower for most of the year and will prevent you from having to replant them every year.

If you don’t have a green thumb, choose low maintenance plants and flowers. Flowers such as lavender, rosemary, and zinnias are a few low-maintenance and drought-tolerant options.

5. Boost Your Online “Curb Appeal.”

For those interested in selling, it’s important to know the effect online curb appeal has on a home. The better impression your home gives online, the more likely buyers will want to see it in person. Here’s how to get your home ready for its listing debut.

Stage your home. Staging shows your home in its best light and helps potential buyers picture themselves living there.

Hire a professional to take photos. A photographer has the skills and equipment to shoot your home in the best light and make it look its best.

Include a short video tour of the home. Videos are becoming a popular way to give buyers a glimpse of the home before they step foot in it.

Before you start a home project, keep these four things in mind:

1. Why are you renovating? In other words, is your intention to update your home and get it show-ready or do you want to sell it for more money? Don’t fall into the trap of undertaking major renovations that may not pay off when you sell. If your home is in good shape, a few inexpensive updates may be enough to make your home attractive to buyers.

2. The style of the neighbourhood. Whenever you renovate your home, make sure the project fits with the style of the neighbourhood and rules of the homeowner association. For example, an HOA may limit the choice and number of trees you can plant on your property. Similarly, a tall hedge border may not fit in a neighbourhood of low, picket fences.

3. Permits. If you’re planning an extensive exterior renovation, you may need a permit from your municipality or other authority.

4. Budget. A budget keeps your project’s costs and scope in check. Make a list of the improvements you’d like to make, set a realistic budget and stick to it. If you’d like advice on improvements you can make to boost your home’s curb appeal, give me a call.

Are you thinking of boosting your home’s curb appeal or renovating your home before you list? Do you want help making your home more appealing to potential buyers online and in-person? Give me a call and I’ll help you present your home in its best light.

Sources: 1. Certified Staging Professionals

2. Ottawa Citizen, July 17, 2015

3. REALTOR.com