Choosing which home to buy isn’t a quick decision. It takes time to search the current market, comparing available home types and their current prices, the pros and cons of different neighbourhoods as well as key things to look out for when attending a walk through.
The same goes for selling. Depending on market conditions, is it the right time for you to sell? Do you know the current market value of your home and is it where you thought it might be? Do you have a plan for selling your home; have you set out a timeline, do you know which key features to highlight and are you wanting or needing support from a professional Realtor®?
We know buying or selling your home is a big decision. One that undoubtedly comes with excitement, but can also be a mixed bag with other emotions, stress and perhaps some uncertainty. To help alleviate some of the latter, we’ve asked a selection of our expert agents to answer some of your most commonly asked questions.
Whether you’re buying or selling, we recommend taking a read…
BUYER Q&A’S
Q. Is it best to get a home inspection before making an offer?
A.
It depends. If the buyer finds themselves in competing offers over a home they really love and can afford to pay market value for, then having the inspection done beforehand will have multiple benefits.
Conducting an inspection allows a buyer to obtain good insight into which items or areas need repair, helping to decide what they should offer on the home.
It also depends on the type of property and whether it is detached or attached, as well as the age of the home. As an agent, I always recommend undertaking a home inspection, and strongly recommend it when I know my buyer is a part of a multiple offer situation, and know that by having inspected the home, the seller will feel the buyer is well prepared and already done the due diligence needed. After all, in multiple offers it is a small price to pay to potentially secure a dream home and at a better price!
Katayoon Webb
Personal Real Estate Corporation
Vancouver
Q. Can I back out of buying a home if I have already made an offer?
A.
There are 3 ways you can back out of an offer;
1. If the offer has NOT been accepted, you may rescind your offer in writing
2.If the offer HAS been accepted, you may rescind your offer within the mandatory 3-day buyer rescission period. If you do so you will be expected to pay a fee of .25% of the offer price to the seller
3. If your offer is subject to certain conditions, you may back out of an offer if in doing your due diligence those conditions cannot be met within your subject removal period deadline
Lisa Billett | Village Real Estate Group
Personal Real Estate Corporation | Associate Broker
Vancouver
Q. How early should I get pre-approved for a mortgage before making an offer on a home?
A.
Buyers should get pre-approved for a mortgage as soon as they start seriously thinking about purchasing a property, and here’s why…
- They will find out the maximum amount of a mortgage they qualify for
- This mortgage amount combined with their available cash tells them the maximum price they can afford
- This allows them to focus on properties they can afford, which is very important when buyers start looking
- Pre-approval also provides the size of monthly mortgage payments, which the buyer needs to be comfortable with
- It also speeds up the process once they make an offer because the bank will already have most of their information
- The pre-approval process normally includes an interest rate guarantee for several months in case the rates go up
Buying real estate can be stressful, and getting pre-approved provides knowledge and assurances that significantly reduces that stress. In summary, the Tarrant Team recommends buyers get pre-approved at the very beginning of the buying process.
Sue Tarrant | Tarrant Team
Associate Realtor
North Vancouver
Q. What are some of the key benefits to investing in property over continuing to rent?
A.
- Equity building: When you own a property, you’re building equity with each monthly mortgage payment. This equity can be a valuable asset that can be used for future investment or as a source of financial security.
- Appreciation potential: Vancouver’s housing market has typically shown strong appreciation making property a potentially lucrative Investment. Over time the value of your property may increase, providing you with a substantial return on your original investment.
- Stability and Predictability: Owning a property can offer greater stability in terms of monthly housing costs. While rents can rise over time, a fixed-rate mortgage ensure your monthly payments remain consistent, allowing for better financial planning.
Cheryl Davie | Hill and Harbour Group
Personal Real Estate Corporation
Vancouver
Q. What is the difference between the closing date and the possession date when purchasing a home?
A.
The closing date is the date when the financial elements of a transaction are dealt with, and the money is handed over. It’s the time when adjustments such as property taxes, hydro/gas, Strata fees, (if applicable), etc., are also adjusted and either refunded or credited to the seller or buyer. It is up to the seller to have the property insured up until midnight of the closing date. As of 12:01a.m., it is the responsibility of the buyer to protect their interest and have insurance in place.
Possession date is the date when it has been agreed that the buyer will move in. Most people opt for this to be the day after closing. However, during negotiations, it may be that a buyer agrees to allow the seller more time to vacate the property.
Lisa Johnson
Associate Realtor
Whistler | Sunshine Coast
Q. How many homes should I look at before making an offer on one?
A.
The short and the sweet of it is as many homes as possible in your approximate price range to help narrow down your search and prioritize your ideal options.
Hannah Garcia
Personal Real Estate Corporation
Whistler
Q. What are some of the key benefits to working with a Realtor®rather than buying or selling a home privately?
A.
1. Expertise in local housing market trends: Realtors® closely follow current housing market trends, including factors such as interest rates, economic conditions, and regional price variations. They can offer insights to guide your buying or selling decisions
2. Familiarity with local neighbourhoods: Realtors® can provide valuable information about neighbourhoods, school districts, transportation options and amenities in the area, helping you to find the right community for your needs
3. Negotiating: Realtors® can help you understand the financial aspects of the deal, inspections, and any necessary documentation
4. Finance: Realtors® can connect you with mortgage brokers or lenders to explore financing options available. Not to mention assisting in how to position the home for sale in the marketing and design of what helps add value to the home
5. Knowledge of zoning and development: Take Vancouver, where there are strict zoning regulations and a strong focus on sustainable development. Realtors® can help you understand zoning laws, development potential and any upcoming changes that may affect your property
6. Handling multiple offers: In a competitive market, it’s common for properties to receive multiple offers. Realtors® are skilled at handling these situations and can help you craft a competitive offer or navigate a bidding war effectively
Matt Kerr | Team Kerr
Personal Real Estate Corporation
Vancouver
Q. What are some potential issues with a home to keep an eye out for on a walkthrough?
A.
During an open house keep an eye out for obvious signs of DIY renovations, water damage, and pests. Does the home look clean and well cared for? This is a good indication of how the current homeowners have looked after the home.
Pay attention to the condition and age of the roof and mechanical systems. A new roof or furnace can be expensive, and you will want to factor these items into the cost of the home. Exterior maintenance and landscaping should also be on your radar to ensure the overall condition of the property.
If you’re thinking about putting in an offer, include an inspection clause and hire a professional home inspector who will point out any red flags that could add to the cost of the home while tempering any minor issues that may be easier and less costly to address.
Suzanne Callaghan & Jenny Gill | Jenny + Suzanne
Personal Real Estate Corporation
North Vancouver
SELLER Q&A’S
Q. What’s the difference between my homes assessed value and its market value?
A.
The major distinction boils down to their respective purposes and who’s responsible for determining them.
When we talk about market value, we’re essentially discussing what your property could realistically sell for in the open real estate market. This figure is pivotal during the buying or selling process because it serves as the basis for setting the asking or offer price.
Now, on the flip side, assessed value is primarily concerned with property taxes. This is the value that your local government uses to calculate the amount of property tax you will owe each year. It’s worth noting that the assessed value is typically based on a snapshot valuation taken in July of the previous year. And here’s the twist, it often ends up being lower than the actual market value of your property.
Neal Sikkes
Personal Real Estate Corporation
Squamish
Q. What are some ways I can help my home to sell quickly?
A.
- Bring a stager in to help give you advice and get your home ready to sell. This includes the process of decluttering areas of your home, rearranging furniture, and receiving advice on making the house show its best!
- Feature a ‘Coming Soon’ post on social media to build up anticipation for the house before it hits the market
- Have all the documentation and information of your property ready prior to listing so when your home does hit the market you can provide all interested parties with what they need
Brooke Clarke
Associate Realtor
North Vancouver
Q. What are some of the key benefits to having a Realtor®help market my home?
A.
How much time do you have?! In all seriousness though, there are a multitude of reasons to have us market your home. But one I feel very strongly about is our ability to make the process EASY and SUCCESSFUL for clients, starting from the prep stage.
I have been helping a lot of families downsize, and well before we get to listing their home, we are strategizing and advising – sometimes for years! There’s a lot to do – paring down items, cleaning, “staging”, timing the market… let us help from the very beginning! Not only does that take a huge load off families, but it also results in the best price.
We’re sensitive to the fact that it is a big transition for people, so our goal is always to set our clients up for success.
Michelle Wong
Associate Realtor
Vancouver
Q. In a situation where my home has received multiple offers, how do I (together with my agent) best go about choosing one?
A.
First, the seller must understand the factor(s) that are the most meaningful in the decision-making process. Is it price, dates, or even who they want to sell to? For example, some sellers do not want to sell to a developer but to a family who wants to live in their home. Once these are understood, this will help guide the process.
The second most important part is understanding the contents and risk of each of the offers presented. This is where the skill and guidance of your Realtor® comes into play.
Terry Osti
Personal Real Estate Corporation
Okanagan
Q. What are some beneficial ways I can prepare my home for potential buyer viewings?
A.
Buyers need to be able to picture themselves living in your home. It can be difficult for a buyer to do this if your home is chocker-block full of personal items that reflect your own personality. So, it’s always a great idea to declutter and choose your most universally appealing items to keep out.
Decluttering usually makes a space feel bigger and brighter too! On the days when buyers might visit for a viewing, your home will look it’s best if you declutter even more and put away many of the items you use on a daily basis, clean, open/lift window coverings, try to avoid cooking distinct-smelling foods, and fresh flowers can go a long way towards making a space feel beautiful as well.
Lindsay McIvor
Associate Realtor
Squamish
Q. What are some of the musts to disclose to potential buyers?
A.
As Buyers Agents, our primary role is that of an Advisor. Even Expert Negotiator comes as a close second. We’re disclosing everything – the home’s fair market value based on current market stats and recently sold properties, a detailed written document review so buyers know everything about the home there is to know, zoning and any developments in process in the neighbourhood – just for a start.
Our Buyers’ job is to tell us what they love, and our job is to make sure they’re seeing both the upsides and downsides to a property and how both affect value today and resale potential down the line.
When we secure a property for our clients, we want it to be one that we’re excited to sell for them in the future when they’re ready to make their next move. Full disclosure means research and context and taking the long view. And it helps our Buyers make real estate decisions with both their head and heart.
Mary Cleaver | The Mary Cleaver Group
Personal Real Estate Corporation
Vancouver
Q. Should I sell my current home before purchasing a new one?
A.
This is really market dependant and client specific.
In certain neighbourhoods and price points, purchasing before selling makes sense as the risk factors are lower. If you can negotiate a long closing and know you have a saleable home and will price it well then you should be ok.
If you’re in an area where there is a lot of inventory and competition, then I would suggest selling first so that you guarantee that you have sold.
Every client’s situation is unique and will play a role in what to do first. Some clients have the ability to hold two properties while others have a place to go and live should the dates not align. If you are a client who is risk-averse, then selling first would be the way to go. It’s always good to discuss the pros and cons of each scenario with a licensed Realtor® before making a decision on what to do first.
Soriah Kanji
Personal Real Estate Corporation
Vancouver
Q. How can I find out the current value of my home?
A.
At Styles + Hetherington, we generally figure out the current value of a home by searching through recent sales in the nearby neighbourhoods. We compare similar properties to determine the value. We may adjust the price accordingly based on specific factors such as location, condition of the property, age of the home, additional bedrooms or bathrooms, etc. Once we choose our comparative properties, we will put together a more comprehensive market analysis to review. We also have the ability to utilize a House Price Index (HPI) calculator. This takes specific types of properties (Single Family Home, Condo, or Townhome) in a specific neighbourhood. We can enter the purchase price, month and year it was bought, and it will determine in a general sense what the value would be based on the overall market appreciation since the day it was purchased to today’s date.
We rarely use the BC Assessment valuations as they are often too old to be a direct comparison to the actual value in the market today.
Shannon Styles & Mark Hetherington | Styles + Hetherington
Personal Real Estate Corporation
Okanagan
Q. How long does it typically take to sell a home?
A.
It doesn’t matter whether we are in a balanced, buyer, or seller’s market, having your property camera ready is the most critical, and the first step to selling quickly.
The second step is obtaining quality photographs and videos of your property so that you can best market your home, and the third step is finding the right marketing price point – the sweet spot – designed to attract buyers to your home. We never want to leave money on the table for our sellers. It is strategic!
Helen Grant
Personal Real Estate Corporation
North Vancouver
Q. What are some of the key features to highlight when it comes time to selling my home?
A.
When listing a home, one should always showcase differentiators about the home from the competition in the market. Some examples include promoting an oversized lot, a unit that’s on the quiet side of a building, a home that has been renovated to a quality and finish unparalleled in the market. Buyers want to know that they have found something special, something unique.
We also try to identify who our target market is and showcase features that buyers will connect with. For example, for a single-family home in Edgemont, the buyers will likely be a family. As such, we will highlight the quality of schools, a flat yard, walkability, features about the home that cater to family, such as large mudroom, pantry, open concept design, ample storage, large rec space for the kids etc.
On the other hand, if we are marketing a condo in lower Lonsdale, we will likely have a buyer who is single (or a couple), often a retiree or a first-time buyer. For these buyers, amenities, walkability, and close transit are important highlights in addition to low maintenance fees, the fact that a building has been well-maintained, views will be preserved/unobstructed, building amenities etc.
When creating a marketing plan, we try to always put ourselves in the buyer’s seat and go from there!
Alexa Baughen | The Den Real Estate Group
Associate Realtor
North Vancouver
At Stilhavn, we we understand the unique opportunities and challenges that our markets have to offer, and will be our pleasure to talk you through any questions or concerns you may have. Reach out to one of our market-leading Realtors® today.
