If you have any other questions or need more detailed
information, please contact me.
Q. Why use a Real Estate Agent to buy or sell ?
A. Valuable Service to guide you through the entire process, ensuring a memorable, safe and successful, cost effective transaction for one of life’s largest decisions.
Q. How to effectively compare Real Estate Agents / Companies ?
A. Do your research – compare - get solid references. A poor choice could hinder your important family move and even result in lost opportunities.
Q .Who pays commission on the sale?
A. Generally, the vendor, although there are other alternatives.
Q.How much is the commission?
A. The commission is variable based on service & circumstances relevant to the sale. Rates can be discussed.
Q. Why shouldn’t I try privately or at least enlist a limited service broker?
A. These are sometimes an option, however, experience proves that I’ve been fortunate in working for hundreds of extremely satisfied people who recognize and value my service and results. Just ask for references!!!
Q. Are there any tax implications?
A. Yes and No. GST/PST applies on the sale price of new construction, however, on resale purchases, GST/PST applies only on the Commission as it is a taxable service. Also, in some instances, there may be tax deductions in regards to the purchase of a house. Homes containing a business with a transfer of ownership may be subject to income tax.
Q. What is the difference between Evaluations and Market Value?
A. Evaluations or Municipal Assessments are for tax purposes and may not always reflect market value accurately. Market Value is a detailed process comparing recent sales of similar properties and current competition accordingly within specific market conditions.
Q. How can I establish the value of my home? A. Your Real Estate Agent’s knowledge, practical experience and proper guidance, along with a comparative market analysis (consisting of similar recent sales, expirees and current ompetition) will permit you to make an informed decision.
Q. Should I sell before I buy?
A.In most cases - yes, although there are some exceptions and alternatives, dependent on the current market and available inventory. Specific properly drafted clauses in the agreements can protect you accordingly
Q. How can I buy my first home without any Real Cash down?
A. The CMHC and the RAP Program allows for first-time home owners to use RRSP's or to borrow to purchase RRSP's in order to use the tax deduction towards your down payment. Most financial institutions will actually finance 95%, although some conditions apply.
Q. Is it better to own than rent?
A. Yes, generally speaking Principal residences are also exempt from capital gains tax
Q. What is a Certificate of Location?
A. The Certificate of Location is a document and survey plan describing the property and buildings in terms of measurement and conformance to local zoning and by-laws.
Q. Should we wait (possibly continue to rent another year)?
A. Well, as you prolong the decision, attempting to put more cash aside, real estate values are continuing to appreciate.
Example:
Rent 1 more year @$1,000/month = 12,000/year.
$175,000 home appreciation @ 5% = $8,750.
Accumulated extra savings towards downpayment = $3,000???)
Net Loss = $17,750
AND we know where the interest rates are today – what about tomorrow? The same home could easily increase your payments by $1,600/year with a simple 1% increase in rates
Q: What is Pre-Qualification?
A: Pre-qualification is a financial process confirming a purchaser's ability and affordability in regards to an eventual home purchase as well as giving the purchaser the opportunity to reserve a specific interest rate for their mortgage.
Q: What mortgage terms are available and which are the best options?
A: Banks now allow up to 35 year terms - this can be favorable to younger buyers in order to reduce your monthly mortgage payments early on in the process although, it is recommended to increase annual payments on the capital over time in order to fully capitalize on this arrangement.
Q: What is title insurance?
A: Title insurance is often not all that necessary although well recommemded in certain transactions. Usually recommended by the Real Estate agent or the notary handling the transaction, and most often paid for by the seller (reasonable cost) it covers title defects relevant to the certificate of location, legal documents, etc.
Q: Other questions and concerns? contact me
