Five Questions To Ask Yourself Before Buying A Home

Tanya LaRose 0 comments 01.10.2019

#1. What is the cost of using a buying REALTOR®?  It is a common misconception that you save money by not using a buyer's agent. However in residential real estate, the commission is usually paid by the seller regardless if a buyer's agent is involved or not. Therefore you might as well take advantage of the free benefits an experienced real estate professional will bring to the table. Note that there are rare scenarios where a buyer is required to pay their REALTOR® out-of-pocket, but this would have to be fully disclosed and agreed upon in a signed document.

#2. Do you know what kind of buying REALTOR® you would like to work with?  It is important to research REALTORS® before working with one. What kind of credentials do they have? Do they have positive reviews from helping other buyers purchase their homes? What are they able to contribute to your home search process?  Don’t be afraid to ask your potential buying REALTOR® what sets them apart from the others.

#3. What kind business are you supporting by giving your REALTOR® business? In a generation that represents responsible consumerism more than ever, a thorough understanding of your REALTOR® should be mandatory. Do they give back to the community, therefore allowing you to give back through your purchase? Are they known for ethical practices within the real estate industry? Do they have kids which means, in turn, your support is helping with sports teams or college funds? Do they have a giant comic book collection and your support will help them double that collection? It is your responsibility, as a responsible consumer, to support a REALTOR® whose values align with yours.

#4. Can you trusts your REALTOR®? If you’ve done your proper due diligence as a future real estate consumer, you can rest assured that your REALTOR® will carry out their fiduciary duties to the best of their abilities. If your agent is a REALTOR®, and not just a real estate agent, they are bound to a code of ethics. It essentially stipulates that REALTORS® legally owe their client a list of fiduciary duties such as honesty, protecting your best interest and confidentiality. The code of ethics is strictly enforced and discrepancies can lead to serious REALTOR® penalties such as thousands of dollars in fines or lengthy suspensions from practice.

#5. How does your buying REALTOR® protect you? In Saskatchewan, REALTORS® are required to keep full files of all documents in all transactions for seven years. Consequently if you have any questions or lost paperwork for your home for resale or refinancing, which often happens, you can count on that safety net. Secondly, your buying REALTOR® has access to all MLS® data which can protect you from overpaying for a property, which is especially common when purchasing “For Sale By Owners”. REALTORS® are also heavily insured by Errors And Omissions so if for some reason a mistake is made, you could be shielded by this. Lastly, with a skilled REALTOR®, you are protected from being manipulated and/or blind-sighted during negotiations.

How To Buy Your First Home (April Fool’s Edition)

Tanya LaRose 0 comments 01.04.2019

1. Look At Your Bank Account – If the current balance is anything but zero, you’re ready to buy.
2. Hire 7 Real Estate Agents To Help You Evaluate Homes – Why? Because 7 is lucky!
3. Compile A List Of Interesting Homes – Be sure to include acreages, condos, fixer uppers, and new builds. No buying strategy? No problem. Looking at 50+ homes is great exercise.
4. Schedule Your Showings – You want to only book your showings directly with the listings agents, never mind the agents who have been putting in several hours helping you evaluate homes.
5. Put In Your Offer – You will want to put in more than one offer, at one time, through several different agents. How else do you expect to increase your odds of getting a home?
6. Back Up Plan – If none of your low ball offers are accepted through an agent, that doesn’t matter. You can do it better yourself! Find a “For Sale By Owner” and get them to give you a lower price by offering to proceed without a home inspection.
7. Save On A Lawyer – Did your 70 year old uncle practice law 20 years ago? Perfect! You can hire him to close the sale on your home for a fraction of the price.

 

• DISCLAIMER: The preceding is entirely fictional and could have disastrous repercussions, please do not follow any of these steps.

9 Nightmarish Home Reno’s with a Horrible Return on Investment

Tanya LaRose 0 comments 31.10.2018

 

1. Swimming Pool – A luxury item that, for the cost of installation, will definitely not improve your home value dollar for dollar. Plus those maintenance costs might be viewed as a deterrent as well.
2. Faux Grass – Niche items like faux grass are not popular enough for buyers to equate a higher property value than an immediate comparable with regular grass.
3. Sunroom – Another niche item but this one is highly dependent on climate and demographic justify the value in its presence.
4. Garage Re-model – Man caves are very popular these days but are considered superfluous to most buyers, especially large families.
5. Custom Closet Re-model – Closets may seem like a small project but can get away on you so approach this one with severe caution.
6. Master Suite Addition – Although it would probably bring the home to the top of the list among most house hunters, the cost may not be substantiated as a benefit over having not completed the addition at all.
7. Home Theatre – A theatre is luxury item that may not speak to the majority of buyers, especially in towns or cities with a smaller population.
8. Combining Bedrooms to Enlarge One – In this scenario, empty nesters may opt for this but it does not improve your home value in the slightest and often ends up lowering property value.
9. Chasing Trends – Shag rugs and stipple ceilings are a great example of accents to your home that may repulse buyers in a few years so choose wisely.

How To Differentiate The 3 Values Attached To Your Home

Tanya LaRose 0 comments 01.06.2018

1. Comparable Market Analysis

Source: REALTOR®

Description: The current fair market value of your home. It is a detailed report that compares your home to similar homes based on several different factors including age, location, size, condition, amenities, etc.. The CMA also takes into consideration active, expired, and sold listings. It is then interpreted by your REALTOR® into a price range, often with a marketing plan to support higher or lower pricing.

Use: In preparations to put your home on the market for a successful sale. It can also be used as a benchmark when planning to raise home equity.

 

2. Property Assessment Value

Source: The City Of Saskatoon

Description: A mass assessment completed every four years that is based on property characteristics The City has on file such as, permits, maps, land titles, and sales data. The exact formula is calculated for tax determination only and is not a reflection of what the property would sell for.

Use: To allow the city to configure each properties annual taxes and equitably distribute the tax load. Furthermore, it is used to budget and distribute funds to the city, library, and school boards as needed to operate.

 

3. Appraisal

Source: Appraiser

Description: An inspection and report often utilizing three different approaches in factoring value.

1. The cost approach which identifies current building costs, labour rates, and material prices to determine how much it would cost to build this house today.
2. The income approach which forecasts the amount of income the property will produce in the foreseeable future.
3. The sales comparison which considers other similar properties that have sold, neighborhood statistics, etc..

Use: Your lender may require an appraisal prior to approving a mortgage in order to verify the collateral for the loan. Other scenarios may also include asset division during a divorce, to pursue a reassessment of property taxes, or during estate planning.

Savvy Spring Buyers & 5 Reasons They Are Winning

Tanya LaRose 0 comments 01.05.2018

1. Effective Investing – With holiday expenses far behind and possibly a generous tax return under your belt, it would be wise to invest extra funds into an appreciating asset such as a new home or rental property instead of heading to that car dealership lot.
2. Better Quality Home Inspections – When the perimeter of a house is covered by four feet of snow and the shingles are completely covered, home inspectors cannot identify those future costs for any potential repairs. Without snow, the thoroughness of the exterior inspections can save a buyer huge costs down the road.
3. Higher Supply – For everyone who did not want to move in -40 Celsius weather or for those families who need to move by the end of the school year, a new set of homes consequently hit the market and an overall seller competitiveness is raised.
4. Motivated Sellers – As the new set of homes hit the market, the older listings tend to become frustrated and overlooked. It is an opportune time for your agent to delicately negotiate an excellent deal you.
5. Enjoyable Experience – Packing up all of your belongings to move to your new home can be 10X more enjoyable in the spring. You may already be doing some spring cleaning, you can purge any unneeded items, the warm sun will be on your face when you load the truck, and a lush green backyard will be waiting at your new home - just in time to fire up the BBQ for your first house warming party.

Honey Do List: 7 Spring Starting Tips For Homeowners (Interior Edition)

Tanya LaRose 0 comments 02.04.2018

1. General Cleaning – Time to deep clean! Wash walls, floors, light-fixtures, underneath appliances, above cabinets, windows, window coverings, and carpet. Removing any dust, mites, and allergens will make for a healthier spring.
2. Investigate Thoroughly – Houses change over the years so you will want to investigate every corner and crevasse to ensure there is no mould growth, dampness, or openings that might be an access point for any insects or rodents.
3. Observe Plumbing – You will want to take a look at all of the plumbing in your house from bathrooms to the kitchen and mechanical room alike. Make sure there is no sweating, bulging, or leaks on any of the pipes. If you find something irregular – call the plumber.
4. Touch-Up Caulking – If the caulking is in rough shape, you may want to skip the touch-ups and completely strip and re-caulk to ensure your doors and windows look their best for spring.
5. Air-Filter Replacement – Replace those dirty air filters or if you have a re-usable filter, take it out for a good vacuum and wash.
6. Dehumidify – Depending on your mechanical space, you may be able to manually lower the humidity in the house. If you are in an older house, buy a quality dehumidifier for those higher temperatures.
7. Complete A Safety Inspection – Check all of the smoke and carbon monoxide detectors to ensure they are functioning properly. Also be sure to include a fire distinguisher in the kitchen.

10 Tips To Protecting Your Home While Away On Vacation

Tanya LaRose 0 comments 01.02.2018

1.      Arrange for someone to shovel the walkway or mow the lawn – this will give the impression that the home is being kept.

2.      Inform your post office that you will be away for an extended period of time – nothing screams “nobody is home” louder than an overflowing mailbox.

3.      Set timers – exterior lighting, TV’s, music players, and anything else that can be automatically turned on without your presence is a great deterrent to anybody who might be watching your house.

4.      Do not leave a copy of the key anywhere outside – these can very easily be found by burglars who know all of the “typical” hiding spots.

5.      Do not close all of the curtains – especially if you normally leave them open, you will want to close a few and leave some open with clear view of light or TV on.

6.      Alert your alarm company – so they can be sure to send the police immediately upon any alerts, and if you do not have an alarm you can call around to a few companies to see if they have any specials going on like free installation prior to your departure.

7.      Lower your thermostat or air condition – in order to prevent an unnecessarily high bill upon your return, but if it is very cold outside you will want to take necessary precautions that the pipes do not freeze.

8.      Have someone check in on the house – in case emergency access is needed or even just to water the plants, it is ideal to leave a trusted friend or family member with a copy of the key.

9.      Turn your phone GPS off – as various apps publically identify your location automatically and may leave your empty house vulnerable to people you do not personally know.

10.   Minimize social media – because broadcasting that you are in miles away from your home defeats the purpose of many of the aforementioned precautionary measures you may have taken.

5 Major Fails When Staging Your Home To Sell

Tanya LaRose 0 comments 02.10.2017

Home staging is often referred to as the lipstick of a home, it is not entirely a necessity but it can add 10X the appeal in terms of visual triggers. Especially considering the proven value it brings in selling a home by attracting more showings, minimizing the amount of time the home spends on the market, and maximizing the final sale price. Using professional staging as a marketing tool can be especially beneficial in down markets when a $2,000 staging package can save you $10,000 in price reductions. However, this attractive visual trigger can quickly become a deterrent. Much like lipstick stained teeth, certain things are never acceptable because you only get one chance for a first impression. Of course there are always exceptions, but these are the rules in avoiding disastrous home staging.

1. The “Lived In” Look – No such thing exists in effective staging. The way you place the furniture to live in your home is much different than the way you place the furniture to sell your home.
2. Severally Out Dated – Staging can be completed in many varying styles. However, if your home was built in 1960 and it has never had any interior upgrading, you are better off to allocate your staging dollars into getting rid of those shag carpet walls (Yes, they do exist!).
3. Much Too Small – It’s not the size of the staging, but the size of the home that can be a deal breaker. If your home is less than approximately 800 square feet, you are better off to leave it vacant so that it is represented in its most spacious looking state.
4. Lacking Cohesiveness – It is almost never necessary to stage every room in a home. You want potential buyers to draw inspiration from the rooms that are staged and still be able to view vacant rooms in order to visualize their own furniture. However, each staged room must be consistency in staging density, colours, and style. A flow during the walk-through must be evident, one way to achieve this is through the use of strategically chosen and placed accessories.
5. The Cheaper Route – If you or the staging company you hired has a comforter laying over a set of cardboard boxes in the shape of a bed, save your money and leave it vacant. Bad staging is worse than no staging!

Contact award-winning REALTOR®, and the owner of www.upstaginginteriordesigns.com, Tanya LaRose for more information on how to effectively stage your home for a successful sale.

 

READY. STAGE. SELL.

Tanya LaRose 0 comments 03.02.2017

Home staging is an age old selling technique that is finally reaching mainstream media. Studies show that staged homes sell in a shorter period of time and for a higher amount than homes that are not staged. Both vacant and fully-furnished home can benefit from professional staging. It is important to know that staging does not cast a wide net hoping to attract random buyers. The following are areas that an effective consultation with a staging professional will result in:

1. The staging must assess the style of the home to correctly coordinate it with appropriate furniture and accessories that will appeal the most to the target buyer.
2. The staging will present a lifestyle to the target buyer that aligns with their needs, wants, and aspirations which results in more pliability during negotiations.
3. The staging will present your home in the same way multi-million dollar companies sell their products, without lack, in an attractive manner ready to be marketed by your real estate agent through photography and showings.
4. The staging will provide a warm and welcoming environment during in-person showings that will results in potential buyers falling in love with the home.
5. The staging will include elimination of buyer deterrents such as dirtiness, clutter, repairs, updates needed, and smells (among other things) while replacing them with attractive items such as luxurious soaps, scented candles, and fresh flowers.

Common Misconceptions About Real Estate Agents

Tanya LaRose 0 comments 16.11.2016

 

1. You will hurt an agent’s feelings if you tell them you are already working to another agent. – When other agent’s approach you, the biggest courtesy you can show is by immediately making it clear that you already have representation. Additionally, you will sabotage your results if you attempt to work with several agents – nobody wins.
2. Your agent gets a kick back from mortgage lenders, home inspectors, and other professionals they refer you to. – It is actually against the law for a REALTOR® to make any secret profit or receive remunerations from anyone other than their client without their client’s fully informed consent. The remuneration is prohibited from two sources: the other party to the transaction and a third party.
3. If you pay less on commission, you will make more on your house. – Discount brokerages push this message but the truth is that the commission paid goes into the quality of advertising and expertise that is proven to bring higher offers. Like anything else, you get what you pay for.
4. You will get a better deal if you buy directly from the seller’s agent. – Untrue. The seller’s agent is under fiduciary duties to protect the best interest of the seller. Although there is the option to agree to dual agency, you will most likely get a better deal if you have your own buying representation to negotiate on your behalf. Plus, you aren't responsible for the buying agent fees!
5. Real estate agents say anything to make a sale – It is against the law for REALTORS® to make false statements or misrepresentations. By failing to disclose all material facts, the real estate agent is subject to punishment ranging from substantial fines to the loss of their license. Although there are bad apples in every bunch, any reputable agent will not risk this.