Sep
28
2017
Posted by Brian Lamb Marketing and Associates

Deciding on what type of home to purchase can be confusing. With an endless supply of different types of homes available for purchase –from condos to townhouses to fully-detached homes.  The type of home you buy will depend on your lifestyle and budget. You will also need to think about your current and future needs before you start searching for a home.

Size requirements
Is the house the right size for your needs and does it have the right combination of bedrooms, bathrooms and other living areas?

Lifestyles 
Do you plan to have children? Do you have teenagers who will be moving away soon? Are you close to retirement? Will you need a home that can accommodate different stages of life?

Can the home grow with you over the next 5 to 10 years? Find a home that can grow and change with your needs. If you don't plan to be in the home for a long period of time, then certain aspects of the home may not concern you, such as extended stairs or location from other amenities.

Your budget
Budgeting is also an important part of preparing yourself for the purchase of a home. Once you have the money available to make your home purchase a reality, you should weigh the following options to help decide what type of home is right for you:

Condo – A condo makes a great first home because it typically costs less than a townhouse or a detached home, which translates into a smaller down payment. But there are, however, monthly maintenance fees you must take into consideration when budgeting for a condo. Condos are also ideal for those who do not want to maintain a lawn or worry about clearing snow away from walkways and driveways.

Townhouse – Townhouses are typically vertical in design and some even come with attached garages. They blend the privacy of a single-family home with the benefits of the exterior condo maintenance, which is usually done by the homeowners’ association. Many townhouses are built in what are called planned unit developments (PUD), clustered communities that have areas for residential and commercial use, and public areas such as schools, parks and the like.

If condo life is not your style and you’re not looking for a big yard to maintain, a townhouse may be your best home purchase option.  A townhouse costs less than a fully-detached home and results in cheaper property taxes as well.

Many townhouses also come with monthly maintenance fees unless they are freehold townhouses. In situations where you pay a monthly fee, however, you won’t have to worry about outdoor maintenance or snow removal.

Detached Home –If it’s privacy you’re seeking as well as a larger yard, a detached home is your ideal choice. Still, prices can vary drastically based on such variables as whether you’re seeking a spot in the city, a place in the suburbs or a more rural location.

Other considerations
The size of the property is an important thing to consider before you head out shopping. While everyone has their dream home in mind, this is not always a practical purchase choice, especially if this is your first home purchase.

When it comes to location, think about which area or neighbourhood you’d like to make your purchase, and which home features are absolutely essential, including what you can live without and what aspects are entirely out of the question.

Take a look at real estate ads for the area(s) you’re interested in to see what’s on the market and the price ranges. Also drive around a few neighbourhoods and see what’s for sale or visit Open Houses. This can help crystallize what you want or don’t want in a home.

By making your first purchase modest and affordable, you will be putting money towards a mortgage that will build equity in that home. And once you’ve paid down a significant portion of that first home’s mortgage, you will then have more money to put towards an upgrade into your dream home.

Sep
28
2017
Posted by Brian Lamb Marketing and Associates

The relationship between sales and listings in the marketplace today suggests a balanced market. If current conditions are sustained over the coming months, we would expect to see year-over-year price growth normalize slightly above the rate of inflation. However, if some buyers move from the sidelines back into the marketplace, as TREB consumer research suggests may happen, an acceleration in price growth could result if listings remain at current levels.

However, Residential sales in Canada are forecast to decline 10 per cent by end of this year, after reaching a record high in 2016, as a result of the recent intervention by federal and provincial  governments. Strong economic fundamentals are underpinning consumer demand and are expected to keep home sales at elevated levels through 2018.

"British Columbia's position as the best performing economy in the country is bolstering consumer confidence and housing demand," said Cameron Muir, BCREA Chief Economist (British Columbia Real Estate Association) "Strong employment growth, a marked increase in migrants from other provinces, and the ageing of the millennial generation is supporting a heightened level of housing transactions. However, a limited supply of homes for sale is causing home prices to rise significantly in many regions, particularly in the Lower Mainland condominium market."

Jun
15
2017
Posted by Brian Lamb Marketing and Associates

Buying or selling real estate can be a tricky process. There are hundreds of commonly used terms that could make up a language of their own. Here are some home buying terms that you will most likely encounter when you purchase your home.

Amenities
Features that enhance and add to the value or desirability of real estate. Common amenities include swimming pools, professional landscaping, gourmet kitchen and so on.

Amortization
This is a schedule that outlines your loan payments for the duration of the home buying loan. It details how much of each monthly payment goes toward the principal and how much goes toward the loan interest. Initially, the bulk of your payments will be applied toward the interest.

Appraisal
An estimate of the value of property, made by a qualified professional called an “appraiser”.

Bungalow
A one-storey house, cottage, or cabin.

Breach
Violation of an obligation in a contract.

Broker
A real estate professional who has acquired a higher level of training and experience than a sales agent. A minimum number of classes must be taken along with passing a state  exam to acquire a broker’s license. Generally they are a legal representative or a proprietor of the office. Brokers usually charge a fee or receive a commission for their services.

Building Code
A set of stringent laws that control the construction of buildings, design, materials and other similar factors.

Condominium
A large property complex that is divided into individual units and sold. Ownership usually includes a non-exclusive interest in certain "common properties" controlled by the condominium management.

Close
The final procedure in a home sale in which documents are signed and recorded. This is the time when the ownership of the property is transferred.

Closing Costs
Expenses in addition to the purchase price for buying and selling a property.

CMA
Comparative Market Analysis. A CMA is a report that shows prices of properties that are comparable to a subject property and that were recently sold, are currently on the market or were on the market, but not sold within the listing period.

Conventional Mortgage 
A first mortgage issued for up to 75% of the property’s appraised value or purchase price, whichever is lower.

Counter Offer
An offer made by the seller back to the buyer altering one or several terms and/or conditions of the offer as originally written.

Deed
A legal document that conveys (transfers) ownership of a property to a buyer.

Earnest Money
Along with an offer, buyers can make a deposit on the home to demonstrate the seriousness of the offer. When an earnest money deposit is made, it is held by an escrow until closing. It is then added to the down payment.

Escrow
Funds held before closing by a third party, usually including the earnest money deposit. Future taxes and homeowners insurance, held by the mortgage company after closing, are also considered escrow.

FSBO, For Sale By Owner
This term refers to property that is being sold without a real estate agent. FSBO is also used to refer to the homeowner who is selling the property.

Foreclosure
The process after home buying is complete by which a lender repossesses and resells a property after the owner has defaulted.

Investment Real Estate
Real estate that generates income or is otherwise intended for investment purposes rather than as a primary residence. It is common for investors to own multiple pieces of real estate, one of which serves as a primary residence, while the others are used to generate rental income and profits through price appreciation. The tax implications for investment real estate are often different than those for residential real estate.

Land
Property or real estate, not including buildings or equipment that does not occur naturally. Depending on the title, land ownership may also give the holder the rights to all natural resources on the land. These may include water, plants, human  and animal life, fossils, soil, minerals, electromagnetic features, geographical location, and geophysical occurrences.

Land Value
The total value of the land, including any upgrades or improvements to the land.

Land Transfer Tax
Payment to the provincial government for transferring property from the seller to the buyer.

Lien
This is a legal claim that keeps the property from being sold until the lien is paid off.

MLS - Multiple Listing Service
An organization that collects, compiles, and distributes information about properties listed for sale by its members, who are real estate brokers. Membership isn’t open to the general public, although selected MLS data may be sold to real estate listing websites. MLS’s can be local or regional.

Real Estate Agent
A person with a state/provincial license to represent a buyer or a seller in a real estate transaction in exchange for commission. Most agents work for a real estate broker or realtor.

Title Insurance
An insurance policy that protects a lender’s or owner’s interest in real estate property from assorted types of unexpected or fraudulent claims of ownership. It’s customary for the buyer to pay for the lender’s title insurance policy.

Zoning
Government (usually municipal) laws that control the use of land within a jurisdiction.

 

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