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Is Edmonton’s Real Estate Market Slowing Down?

As prices of homes for sale in Edmonton and surrounding areas remain stable, we have seen increase in inventory in 2018 and decrease in number of sales compared to last few years.

The average price for a single family detached home in March of 2018 was $444,091 up by 0.43% from last month and up by 1.06% from March of 2017. The condo prices were down by 1.1% at 234,212 from $236,808 last month. Total of 1,294 residential properties have sold in the 3rd month of 2018, 23% more than in February and 11.73% less than in same period last year. The inventory increased to 7,963 residential properties available compared to 6,797 last months and 6,806 in March of 2017.

Average Days-On-Market were down by 5 day at 60. All the information in this article has been provided by Realtors® Association of Edmonton!

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Brought to you by: Edmonton Homes For Sale, Edmonton Real Estate

For More details visit our website: https://activelistings.ca/ or Call us : (780) 965-5208

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The Emotional Rollercoaster Of Selling Your Home

This doesn’t apply to everybody, since there’s a huge difference between one sale and the next.

You might be an unemotional condo-investor who is selling simply to move into another asset class.

But if you’re selling or buy a new house in Edmonton, Alberta, you have a family, and you’re spending the necessary 4-6 weeks getting your house ready for sale, the following blog post is going to outline the insane range of negative emotions you’ll go through.

Don’t say I didn’t warn you…

Emotions

Real estate: it’s truly the most unique “investment” in the world, is it not?

I mean sure, you can “invest” in rare coins – some of which might truly be one-of-a-kind, and thus it makes for a more “unique” investment.

But real estate is the only investment that we physically live in.  Unless, of course, you are an antique car collector who has fallen on hard times…

So when it comes time to sell your house, you can put a sign on the lawn the day after signing the papers with your Realtor, or, as most people in Edmonton do, you can plan, strategize, and spend often two months getting your house ready for sale.

The process can be extremely trying, but it can also be lucrative.

One thing it is never: fun.

While almost every sale ends in jubilation and celebration, a majority of the emotions a house-seller experiences are negative.

Here’s a quick snapshot of a few of the emotions you might go through when putting your family home up for sale:

Doubt

This comes before just about anything else.

While I’d like to think that most people have a “glass half full” mentality, even in a hot market, sellers are always filled with doubt.

I can sit down with a seller and go over the last three sales in their area, and they still seem to think, “Well, we can’t get that price.”

Can’t, or won’t?

“We just won’t.  I just don’t see it,” they’ll often tell me.

I had a seller tell me last month, “I wouldn’t pay that number for my house,” in response to me informing him and his wife what I figured their house would sell for.  He refused to believe they could achieve that price, because he wouldn’t pay that himself.

Well no kidding, he wouldn’t.  He paid $900K for the house, and now I’m telling him he’ll get $1.6M for it.

Some seller doubt is based on disbelief, and some is based on nerves.  But most sellers do doubt their house, and themselves, at one point or another.

Anxiety

I almost feel silly explaining this, since it’s so incredibly obvious.  Of course a house-seller is going to be anxious!

Whether it’s during the listing, before offers, or at the onset – you’re going to be anxious at one point or another, or in many cases, all the way through.

A lot of the anxiety comes after the very first meeting with the listing agent, since “the road ahead” seems so daunting.

Some single-family houses take weeks to prepare.  You need to remove about 60% of your possessions, and that’s before the stagers come in to take away your furniture and replace it with theirs.  You need to complete minor repairs, more often than not something needs to be painted, all of this work comes in tandem with raising your family, and living your lives.

Some of the “doubt” I referred to above stems from the anxiety of looking at the plan ahead, and wondering if you’re really prepared for it.

Fear

The doubt that you can feel with respect to the market value of your home often turns into downright fear about what could, or couldn’t happen.

I get these “what if” scenarios all the time.

Sellers want to know, “What happens if we don’t get any offers?”

Imagine under-pricing a house for multiple offers, after staging it, and getting it ready for six weeks – and you’re thinking about not getting any offers?  In a neighbourhood where there have only been TWO listings in the last three weeks?

The fear can be incredibly irrational, but that doesn’t mean it’s not there.

Disgust

This is when things get really, really personal for a home-owner.

I’ve said on many occasions that I’m fascinated with the public’s belief that it’s their inherent right to trek through somebody’s home during an “Open House,” and it’s not a privilege.  People lose sight of the fact that this is somebody’s home, and not just a showroom.

So sellers can take it really, really personally when other people enter their home, and critique it.

I recently had a house staged by “professionals,” and my client took half of the stagers stuff, put it in a box, and left it on the front porch.

My client was disgusted and appalled at the cheap crap the stagers put up on her walls, in her house, and you know what?  She had every right to be.

Stagers do not always have the best taste, or the best selection of high-end furniture.  Their job is often to bring in furniture that fits a room, or fits a colour pallet, or “works with the space.”  So when it comes to the “fluffing,” they often leave behind cheap crap from Homesense.

My seller came home last month and saw one of those “Live Everyday, Laugh Every Moment, Love Everyone” posters adorning her kids’ playroom, and she was instantly disgusted.

She had a very nice, albeit personal piece of art there, and the stagers felt it didn’t really “fit,” (which it didn’t), so they took it down, but they replaced it with some cheap, clichee piece of Homesense crap that just about made my seller cry.

By the same token, a seller who happens to be home for an open house, or get a little too much feedback from their agent, can be disgusted by the things people say.

Jealousy & Resentment

The chances are very high that your listing will be competing with another listing, and if you live in a “community” where you know people, the chances are excellent that you’ll know the person selling the house up the street.

In the weeks leading up to your listing, you might watch as one of the people in your community – whether it’s somebody in your mommy-group, or a dad that you help coach soccer with, or somebody you know from the dog park, sells their house and often gets a pretty penny for it.

There’s a good chance that you’ll be happy for them, and have nothing but good things to say about the sale of their house.

But a lot of the time, I see sellers personalize the situation, and jealousy results.

“How can they get that price for their home?  She doesn’t have a decorative bone in her body, and he’s a slob!”

Negative emotions are far, far stronger than positive emotions, and if a seller is stressed, anxious, doubtful, or afraid, then seeing a neighbour’s house sell can end up making that seller more than a little jealous!

Perfectionism & Obsession

When do you stop working on your home?

At what point do you draw the line?

When is the home truly “ready” to put on the market and show to the world?

Is it ever ready?  Do you want to be there every day, to check up on the house, and nit-pick about things that only you notice?

Your teenage son has been using the baseboards in the guest room as a golf tool to help his putting stroke, and you didn’t paint it because only you notice those tiny scuff-marks, and no buyer is going to get down on hands-and-knees to inspect it.  But you know it’s there.  So do you get out the paint on the third day of the listing and start working away?

Sellers often obsess about items in the home that only they would notice, or even care about.

Certain things that have bothered the sellers day-in, day-out, through living there for years, will suddenly seem all the more important.

Remember the episode of Breaking Bad where Mr. White spots a fly in the underground lab, and he forces Jesse Pinkman to spend hour after hour trying to catch the fly – which he deemed “the contamination”?  Well sometimes, in some cases, sellers get like that…

Displacement

Many sellers will actually move out of their house for a week when it’s being sold.

Other sellers will just stay out of the house until 9pm when they’re sure showings are finished.

Either way, it can confuse the hell out of you, and your children as well.

Some kids might enjoy staying at “Aunt Jenny’s” house for a week, but others complain unmercifully, “I wanna go hooooooome!”

And sellers themselves often revert back into a child-like state, where they simply long for their own bed, and to sit on their own couch, and to be able to go to their own house and not have to worry about running into a complete stranger going through the kitchen cabinets.

You know when you go away on a two-week vacation, and you come home to find that your house is pretty much the way you left it, but yet something about the return feels so surreal?  Yes, it’s kind of like that for home sellers…

Indifference

This is just shy of “defeat,” but after the decision-making process that leads you to sell, the 4-6 weeks of getting the house ready, and all the fear, doubt, and anxiety that comes during the listing, many sellers eventually act as though they no longer care.

“It is what it is.”

“Well get what we get for the house.”

The process can be so long, so trying, and so stressful that some sellers will throw their hands up and say, “I just want this to be over.”

Can you wait another three days to get your windfall of money on offer night?  Of course you can, but much of the time, sellers act as though they’re indifferent to what happens, and that’s partly as a defence mechanism to protect against the potential of an unsatisfactory outcome.

Relief

This isn’t a negative emotion in the same way as those above, but it’s a bit more downtrodden then the “excitement” or “jubilation” that you’d expect to feel after your home is sold.

Many sellers are so relieved to have the process “finally over” that their happiness is delayed.

Or if they do experience happiness when they sign the Confirmation of Acceptance on the offer, that happiness is often short-lived as they immediately fall into a state of relief.

 

Buying a single-family, freehold property in Edmonton isn’t easy, nor is the process that comes with it.

And at the risk of having you fire back, “Oh, cry me a river,” I might suggest that being a home seller isn’t easy either.

Sure, you get the pay off in the end, but it comes at a cost.  Your life is turned upside-down for a period of time, and the sale process can consume you.

What’s the simplest advice I can give you?  Be prepared.

Be prepared for an emotional rollercoaster for you and your entire family, but just know that every seller in your position goes through it…

When A 3-Bedroom House Isn’t ACTUALLY A 3-Bedroom House

If you’re a buyer looking at freehold houses right now, you’ll undoubtedly be analyzing several aspects of the home such as size, style, and layout.

When it comes to entry-level, single family freehold homes, aside from location, the layout is the most crucial part of any property.

I’m seeing a lot of 2-bedroom houses listed as 3-bedrooms, and a lot of true 3-bedroom houses aren’t necessarily conducive to “growing families,” as I’m told by some of my buyer clients…

3-BedroomSemi

Quick question to start this blog off: does a bedroom in the basement “count” as a bedroom?

And along the same lines: who is counting?

I wrote a blog last month called “Making Sense of the Condo Den.”

In the blog, I referred to the “plus-one,” or the “+1” as it appears on MLS.

The original intention of the +1, before people started using it to refer to a small nook adjacent to the front hall in their condo, was to represent a room below grade in freehold properties.

Living + Dining + Kitchen + Master Bedroom + 2nd Bedroom + 3rd Bedroom = 6 rooms.  But there’s a rec-room and a 4th bedroom in the basement, so the house is “6+2” rooms, and the bedroom section of the listing would show “3+1” due to that 4th bedroom below grade.

Of course, that’s how the +1 was intended.

Nowadays, MLS is a free-for-all, with agents doing whatever they please, with little fear of repercussion.  Don’t shoot the messenger.

Having already examined the “Condo Den” issue in last month’s blog, today, I wanted to look at how the various floors in a freehold property are laid out, specifically paying attention to the bedrooms.

Having been a father for ten months, and still living in a condo, I can’t profess to be the expert on what it’s like to raise young children and how best to set up your home as a result.

But having worked with many buyers over the years who have one, two, or three kids, I can tell you that the way a house is laid out can be a deal-maker, or deal-breaker.

From what I’m told by my clients – you want to be on the same floor as your kids.

Now this isn’t for everybody, of course.

And it depends on what age your children are.

If you’ve got a 4-bedroom house, with two bedrooms on the 2nd level, and the Jack-and-Jill bedrooms that share a bathroom on the 3rd level, it’s perfect for your 14 and 16-year-old children who want to be away from their parents.  Having their own floor, means having their independence.

But for young families?  For first-time parents, or parents with two very small children?

From what I’m told, having the bedrooms on different levels is far from ideal.

Consider the following floor plan, which I would call a very “standard” 3-bedroom layout in any entry-level, semi-detached house in Toronto:

3-Bedroom05

Pretty standard, right?

Forget the main floor, as it’s not important in today’s blog.

What we’re looking at is the upper level, where we see two bedrooms separated by a wall, and at the back of the house, there’s a master bedroom.

In this case, the master has an ensuite, so this isn’t really entry-level, but rather it’s a slight step up.  A true “entry level” home would have one bathroom shared by Mom, Dad, and the kids.

The point I’m making is that assuming this is a 2-storey house, there are three bedrooms on the 2nd level.

And that is what most of my clients with young children prefer.

Not all of them, keep in mind.

I have one set of buyers right now that I raised this issue with.  I told them, “The master bedroom is on the upper level, and I know many of my buyers are looking to be on the same floor as their children.”

They said, “That doesn’t bother us at all.  We’ve got an audio/video camera over the crib, and we’re fit – we can climb up or down a flight of stairs.”

But I go with the feedback I get, and judge everything in real estate on a relative basis.  If 8/10 of my clients with small kids want to have their bedrooms on the same floor as those children, then I figure it’s a point bringing up with all of them.

Let’s look at four other floor plans with three bedrooms, where the bedroom layout needs to be scrutinized by the buyer to determine if it works for the family.

1) Master Bedroom On 3rd Level, w/Ensuite

3-Bedroom04

In many cases, this is preferable to the layout provided above.

Here we have essentially a “master level” for the parents, with a 4-piece ensuite bathroom.  The bedroom is fit for a king-sized bed, and you can picture a slew of built-ins or dressers in a room that’s 13 x 20.

It’s fantastic – 2 1/2 storeys are better than 2, right?

But if you’re a couple with a newborn and a 2-year-old, how do you feel about living on a different floor than your kids?

2) Third Bedroom On Third Level

3-Bedroom03

This differs from the first floor plan because the master bedroom is on the 2nd level, and one of the “Kids” bedrooms is on the 3rd level.

But the difference between the two floor plans isn’t merely a label on who’s room it is.

This changes the entire living situation for the parents.

Having a “Master Suite” on the 3rd floor, and two kids below you, is something that a lot of folks can make work.

But now we have a bedroom down the hall from the master, and then a bedroom above?

That’s just not going to work for a family with two small children.  Is it?

I’m asking, because the feedback I get would suggest “no,” but I’m curious to hear from the readers as to whether you’d have your 5-year-old living one level above you.

3) Third Bedroom In……Basement?

3-Bedroom02

This isn’t a 3-bedroom house.

This is a 2-bedroom house, plain and simple.

To call this a 3-bedroom house is like, oh so many other fabrications on MLS.

A client asked me last night, “When it says ‘ensuite’ for locker on MLS, what does that mean?”

I told her, “It means there is no locker.”

Sure, in a 1980’s condo, there could be a massive storage room that acts as a laundry facility, and holds enough food to save for Armageddon.  But in a new condo, when somebody says “ensuite” for locker, it means they’re referring to their hall closet as a locker.

Same goes for this silly below-grade basement acting as a “third bedroom.”

By traditional standards, this is not a bedroom.  This is a “+1,” and on MLS, under bedrooms, it should say “2+1.”

But on MLS, anything goes.

And it’s up to the buyer, and the buyer agent, to identify what this property is, how it’s laid out, and whether or not it could work for the family.

4) Third Bedroom In Basement…..or….1/2-Storey

3-Bedroom01

This one is interesting.

This is basically the same as #3, but, it adds the 1/2 storey up top.

As with #3, this house has two bedrooms on the 2nd level, and one in the basement that they’re calling a third bedroom.

But, they have a “loft” on the third or 1/2-storey.

So if they couldn’t get away with calling this a “3-bedroom” and it’s actually a “2+1” as was #3 on the list, perhaps they can call that loft a third bedroom, as with floor plan #2?

Define it however you like, but does it work for you and your family?

That’s what you have to decide.

And ultimately, what price are you paying for the home?

Let’s use #4 as an example, for a moment, and pretend that basement bedroom doesn’t exist.  Pretend it’s unfinished storage.

Then what have you got?

Is this a “Two-plus-loft?”

Because I’ve seen a ton of east-side houses lately that are 2 1/2-storeys, listed as a 3-bedroom, but where the third bedroom is essentially a finished attic space.

Does that work for a 2-child family?

The shame of it is – most of these are Victorians, which are gorgeous, and yet somewhat impractical.  And because of the beauty and rarity of Toronto Victorians, they sell for more money.

Do you want to pay more money for a less practical home?

So let me put it to the readers, both those with kids and those without: how do you feel about the layout of the five floor plans shown above?

If you have no kids, one kid, two kids; young kids or grown kids, let me know what’s a deal-breaker, and what’s not.

The Disparity Between MLS & Realtor

There are two major issues that are on my mind, and as usual, one of these can be directly attributed to the questionable ethics of a fraction of Realtors out there…

disparity

Every day.

Every single day, I receive at least one email from a client saying, “How about this listing – C102985,” or the client has provided a link to a property they’ve found on http://www.realtor.ca (formerly http://www.mls.ca), and the property turns out to be sold.

Why?

Because when you search on http://www.realtor.ca, you have access to the “public” website which is far from the same as the database that we as Realtors have access to every day.

Sure, http://www.realtor.ca is essentially fed from our database at http://www.torontomls.net, but they aren’t in synch and this causes countless headaches.

When a property is sold conditionally, it is updated on our MLS system to reflect this.  But the same can’t be said for the public website where thousands and thousands of eager buyers search on a daily basis.

Shrewd marketing on behalf of the Toronto Real Estate Board might say, “This is why you need a Realtor working on your behalf!”  But personally, I’m wondering why we can’t do something to solve this ongoing problem.

 

It has to be somewhat frustrating and discouraging for buyers to surf http://www.realtor.ca and bookmark properties they are interested in, only to find out that they are all sold!

Consider this – when a property is sold conditionally on financing and inspection of the status certificate, it is often conditional for almost two weeks.  That means that a listing could come onto the market on Monday, be uploaded to the http://www.realtor.ca website, on Tuesday (it takes a day to get it up on the public site), be sold on Wednesday, yet remain as “available” on http://www.realtor.ca for another fourteen days.

Notice that four out of the seven listings say “SC” for sold conditionally.

I have access to this information, but the public doesn’t.

I know, each day that I see these same listings on the MLS system, that these properties aren’t available.  But the public just sees seven condominium listings, all “available for sale.”

Most of my buyers are incredibly discouraged and saying “Everything is selling!  Everything is sold!”

I don’t know how I can blame them, given the current system we work under…

But I have an even bigger problem right now with underhanded tactics used by shady agents out there.

Here is my complaint…

I can’t tell you how many times I’ve gone to book a showing for a property available for lease, and the receptionist at the listing brokerage either says, “That property has been leased,” or “Sorry, no more showings on that property.”

I often check back a week or two weeks later, and the properties are still up on the MLS system.

Why?

And just what is my conspiracy theory?

Picture the following: You’re a Realtor – a very poor one.  You have very little business, and you want to drum up some clients fast!

You list a property for lease, and once you successfully lease it, you simply leave the listing on MLS.  Leaving the property on MLS means it stays on http://www.realtor.ca, and this will generate plenty of inquiring phone calls from the general public.

When you receive these cold calls from the general public, you’ve got the conversation down to an art form: “Which property?  Oh, I’m sorry, but that unit has been leased…..what are you looking for….how can I help?”

Bam!  Instant client!

You tell the inquiring person on the other end of the line that the property she’s calling about has been leased, but you tell her about four more similar properties within the same building.  The next day, you take her to see these properties, and you lease her one.  You make some money, and think “I’m gonna keep doing what works!”

I suspect that this is very common amongst a certain group of our 28,000 Realtors in the GTA.  I know which type of person they are, and which brokerages they generally work for.  But I have to stop short of disclosing that…

I honestly can’t tell you how many properties I see on the MLS system that have been there for 122 days.  Try and book a showing for the property, and the answer will be “Sorry, no more showings on that property.”

What does that mean?  No more showings.

If there are no more showings, then take the damn thing off MLS!

The other day, I tried to make an appointment for a townhouse at 3 Everson Drive at Yonge/Sheppard, and the receptionist told me “Sorry, no more showings.”  I asked her to please page the listing agent so I could speak with him.

The listing agent called me, and I asked him why the property is still on MLS when there are no showings allowed.  He answered my question with a question: “Why the hell do you care?”

I told him that I obviously had a client interested in 3 Everson Drive, and I wanted to know why his MLS listing was on MLS if it wasn’t available to show.  He simply said, “You can’t show it.  It’s not available to show.  That’s all I can tell you.”

So I challenged him – I said, “Then take it off MLS, now!”

He said, “Thanks for the advice,” and hung up.

There is no doubt in my mind that this agent is fully intent on leaving this listing up on MLS indefinitely, and soliciting cold calls from the general public as they view the property on http://www.realtor.ca.  This tactic is providing the agent with a steady stream of leads that he can try and turn into buyers.

He’s getting clients!

Take this a step further, and there are the properties on MLS that actually state in the Broker’s Remarks “No More Showings.”  These properties are listed for sale on the MLS system, but they say “No More Showings.”

Man, I wish I could say who this is!  But I can’t…

The Active Listings Real Estate Board actually has rules in place regarding showings, and listing a property on the MLS system and not allowing showings is vehemently against the rules!  In fact, if you were to suspend showings over Easter weekend for a period of three days, the rules dictate that you actually have to remove the listing from MLS!

Try telling this to the hoards of agents who have what I call “fake listings” on MLS for a half-year at a time.

As Realtors, we are encouraged to rat out our colleagues by emailing dis@trebnet.com, but I honestly don’t see the point.

There are too many shady agents using too many underhanded tactics to ever start cracking down on them.

It’s times like this that I see the comparison of the Realtor to the used car salesman.  Shady, untrustworthy, gleamy-eyed, and just looking for the next sale; the next fix…..like some sort of addict.

The key to success in this industry is to build your business for the long term.  Realtors who are always looking for a quick buck from an unsuspecting buyer or lessee will never have a steady business, and will ultimately fail.

But where those Realtors fail, there are hundreds waiting to take their places…

How to rent an apartment in Toronto

Renting an apartment in Toronto is no easy task these days. Rent is expensive and the competition for decent, well-priced units is fierce, but there are a few tips and tricks that will help you in your quest for a rental unit that meets your needs.

home for sale in edmonton

Here’s how you can find your own unicorn space to call home.

Pick an Area

Some of the most expensive listings in Toronto are right by the subway. However, if you’re willing to live a little bit away from Line 1, you can still find a well-priced place in an underrated part of the city. Do your research before sticking a pin in a super popular (read: expensive) part of town or getting your heart set on a shiny new condo.

Map out your listings

Thanks to our crazy real estate market, we now have plenty of apartment listing websites like Activelistings, View It and RentSeeker. Check these sites often because you never know when something good will hit the market.

Don’t be afraid of alternative sites

Take caution when using Kijiji and Craigslist, but if you’re careful, you might find some gems here. Bunz Home Zone is also a great resource, especially if you’re looking for a short term rental or a sublet.

Use a Realtor

You probably won’t need a realtor if you’re renting an apartment, but it doesn’t hurt to check in with an expert, who might also be able to show you some condo listings that are still within your budget.

Do your research

Before you go out on viewings, research the buildings you’re going to be visiting. Have they been on the Bed Bug Registry? Have they been in the media for all the wrong reasons? Be informed before you get out there.

Come prepared

If you’re going out to look at apartments, come ready with cheques, employment letters, your credit score and references (make sure your references know to expect a call). The market is fierce right now and if you’re not prepared to make quick decisions, someone else will be.

Pulling together a new-home binder

Purchasing and moving into another house is a brilliant and energizing life-minute. I’d jump at the chance to state the procedure of physically getting to that new home is similarly as energizing, however in all honesty, now and then the way toward moving can feel somewhat disorganized and muddled.

Packing up all the stuff in the old house and cutting ties with that home, and after that moving boxes upon boxes to the new place, influences the best of us to feel somewhat tense.

As an approach to decrease pressure and keep things as sorted out as could reasonably be expected, I prescribe to my customers, they make a ‘new-home cover’.

Trina Hodges, Sherwood Park, Active Listings, Strathcona County, Real home specialist, Remax, Remax Elite

Building your binder

A new-home binder is an easy and inexpensive way to keep important reminders and documents in one place when you’re moving.   To start, you’ll need a binder, dividers, a three-hole punch, plastic page protectors, and a three-ring zipper-pouch.

After you fill your binder with the supplies mentioned above, start labeling the dividers with category names.

Here’s some categories to get your started:

To do’s: include a print-off of a full-page monthly calendar so you can write in important dates; a page for immediate to-do’s and one for less time-sensitive to-do’s should also be included. Remember to put in a list of all utilities, along with a spot to check off if you’ve arranged to disconnect and reconnect services at your old and new home.

Kid’s corner: keep important documents from school here so they don’t get lost in the chaos (school calendars, spelling words, reading lists, etc.).

Legal documents: include contracts, land title documents, site plans, etc.

Finances: put correspondence with your bank here and information on things like your mortgage; add in a monthly bill reminder page so no bills go unpaid.

Estimates: at the front of this section, keep a page for on-going repairs that are required in your new (or new-to-you) home; include any estimates you’ve gathered from various companies.

Warranty: Alberta New Home Warranty  and any warranties for new appliances or furniture you buy go here.

Phone numbers: keep a running list of important phone numbers for quick and easy access (e.g. service providers, kids’ school, doggie daycare, lawyer, home builder, etc.).

3 Reasons to Create Financial Projections Before Borrowing from Friends and Family

There are numerous reasons why you should take obtaining from loved ones genuinely and ensure you get thingsin composing with a standard advance assention from activelistings or another respectable source. One approach to demonstrate that you are serious, and to secure the two gatherings, is to make an arrangement of budgetary projections to impart to your bank before you leave all necessary signatures.

There are 3 key reasons why budgetary projections are essential when acquiring from loved ones:

  1. Can You Realistically Pay the Loan Back?

In the first place, the way toward making an arrangement of point by point money related projections will compel you to investigate regardless of whether you will have the capacity to pay back the advance, and in what time period. Numerous business visionaries have hopeful desire of paying back the advance rapidly, yet the test is that most beginning period organizations require the greater part of the trade they can get out request to develop, so a forceful payback term is conceivably extremely harming to the business. The straightforward general guideline is that it is smarter to state it may take you 10 years to pay back the advance, and rather you pay it in 5 as opposed to anticipating a 5 year payback and extending it to 10.

  1. The amount Room for Error is There?

Making an arrangement of budgetary projections additionally enables you to decide how much space for blunder there is with respect for your capacity to pay back the advance. Do you have various wellsprings of reimbursement? Or on the other hand does everything depend on securing that one tremendous Wal-Mart contract? It is essential for the bank to see how much hazard is included with the advance. Perhaps you have a normal everyday employment and you could pay back the advance from your compensation if the business didn’t take off not surprisingly. Or on the other hand possibly you have an individual bank account that you could take advantage of on the off chance that you totally expected to. On the off chance that your projections demonstrate that everything needs to go precisely appropriate for you to have the capacity to pay off this credit, you should impart this to your moneylender early with the goal that they comprehend what they are agreeing to accept.

  1. An Accountability Plan

At last, your money related projections can fill in as a responsibility design. Without projections it will get extremely old every month when you need to email your moneylender and say that you can’t pay this month, or that you will be in the not so distant future. The loan specialist will expect you are simply ripping them off. In the event that you had an unmistakable arrangement with projections from the begin, at that point you can plainly demonstrate where your projections varied from reality and effectively clarify why you can’t reimburse this month. This shields you and the moneylender from hard emotions.

So before you request that business advance this Christmas, make an arrangement of projections to begin with, and do it the right, proficient approach to protect connections and kinships.

5 Things to Remember When Adding Locations to Your Business

When adding a location to your business, you need to choose a place that matches your expectations. In short, you must have the true picture of the place. However, having that picture can be difficult, especially when you are inexperienced. Here are five things you should consider before adding a business location.

The Population of the Place

View the population in two dimensions. First, know your customers and their proximity to the proposed location. Second, the community profile must match your expectations. Consider the economic situation and the general business environment in the community.

Accessibility

Determine how accessible the place is for staff, customers and suppliers. Examine the traffic flow within the area and the available parking lots. Determine whether the place is suitable for people with disabilities. The place should also make it easy for the suppliers to transport products to the business premises.

Competition

Determine whether your competitors operate in the same place. Moving to a place that has multiple competitors is not healthy because they can make marketing tough. However, it can be a good thing in situations with comparison shopping as you can benefit from the customer overflow associated with such setups.

Local Laws

Local laws can affect how you operate in the future. Get to know the location laws and zoning restrictions. When it comes to zoning restrictions, understand the location and where your business would fit in. You don’t want to set your day care center next to a liquor store. Don’t forget to consult your lawyer to determine other crucial regulations that could affect your business such as tax implications and registration.

Capital

Sit down with a financial analyst and engage him or her thoroughly to help you determine the amount of capital required for the new investment. He or she will also help you with the logistics and identify possible hidden costs that could arise when you move to a different location. After the analysis, they will advise you on the right step to take. Many of them will refer you to lending institutions that will best suit your financial plans.

Moving to a new location can be a safe decision if you think before you act. You need to critically analyze everything that might affect the business while on the other side. Organize your every move throughout the process, from the location to the equipment needed throughout construction. Find companies like Active Listings that will work with you and your schedule hassle free. Remember to use the advisement of partners and experts alike so that your move will be a profit, not a disadvantage.

Home Inspection Checklist: What to Look for When Buying a Home

The buy of a house is a major venture, and you will need to ensure you know the intricate details of your new house before leaving all necessary signatures. Home inspections are an important part of the buying process; knowing what to look for when viewing a home will ensure you know exactly what you are buying. Here’s six points to keep on your home inspection checklist

home for sale in edmonton

Inspect the plumbing

Turn on all the taps throughout the kitchen and the bathrooms to ensure it’s all in order. You’ll want to make sure the water pressure and drainage is up to your standards. Listen for running toilets, and even give each a little shake. Wobbly toilets can let out water and moisture, leading to problems down the road. And don’t forget to keep an eye out during your whole visit! Water stains on walls or ceilings could mean a leaky pipe.

Focus on the foundation

Don’t worry if there are little cracks in the foundation – it happens. But be weary of cracks that are both horizontal and vertical, for those you may need to call in a pro. You can also look for gaps along the doors and windows, that’s a sign of a shifting foundation.

Open and close everything

The windows, the doors, the cabinets – open and close everything to make sure they’re all in working order. Do the windows slide easily, or do they stick? Are there screens missing where there should be screens? You’ll also want to watch for cracking paint along the windows. If the wood feels soft when you press it, it could be rotten. You should also check to make sure all doors lock and unlock easily, from both the inside and the outside. And poke around the cabinets; take a look inside each for any red flags like moisture or discolouration.

Get Outside

Walk around the outside of your home and into the backyard to inspect the grounds. Are there trees that appear dead that might be a hazard? Is everything in good shape aesthetically, like the grass, walkways and decks? Take a second to notice the privacy level in the backyard, too, to make sure they meet your personal standards.

Weather conditions, like rain or snow, might limit or prevent how much outside inspection you can do. But take that opportunity to review other features, like leaks throughout the house on the walls, ceilings or through the roof.

 

Check the connections

Where are the electrical plugs and switches? Are there enough in each room, and are they all in opportune places? Note how old they appear, older electrical switches could be a sign of old wiring. Is there internet access wired already? Some older homes may not be set-up, which would lead to additional expenses. You may even want to check your mobile phone signal in different places throughout the house, some basements or corners might have little or no reception.

Consider general livability

Even if the whole house is in great shape, you still have to live there. Layout is very important – check for any oddly shaped rooms that may require new or custom furniture, for example. Consider where you prefer bathrooms and bedrooms – most buyers look for a bathroom on the main level, and one closer to the bedrooms (if the house is multiple stories.) Parents often prefer their children’s bedrooms on the same level as their own. Aesthetically, if there is wall paper or paint that needs to be replaced, would you be happy prioritizing the most problematic areas of the house, or do you think most rooms need an immediate refresh? While this is a smaller expense when weighted against some other renovations, the time and cost will add up.

As a general rule, you will want to visit your potential new home at least twice before signing; you never know what you’ll notice the second time around. You might even consider bringing a neutral third party with you to help with your inspection. If you think you have found your dream home, you may be glossing over some important features, and a friend – armed with this home inspection checklist – might be able to help point them out.

Townhouse vs Single Family Home: Which is Right for You?

When trying to decide between a regular single family house and a townhouse, there are many things one must consider. Are you looking for a house with lots of charm or are you looking for something with a modern look? Do you want a big yard and a beautiful garden or would you prefer not to get your hands dirty?

In many cases, choosing what kind of home to purchase comes down to your lifestyle needs and personal preferences, but it’s still never an easy decision. To help you find the place that’s right for you, we have broken down some of the key pros and cons to consider when choosing between a townhome and a house.

TOWNHOUSE

Why this option might be a good fit for you:

  • Low-maintenance: Many townhomes are governed by Homeowners’ Associations that assume responsibility for exterior maintenance including snow removal, landscaping, repairs, and cosmetic upkeep.
  • Cost: Townhomes are generally less expensive than detached homes. As an added bonus, they also often offer updated features like stainless steel appliances, hardwood floors, and granite countertops.
  • Security: With neighbours in close proximity, townhomes offer a unique sense of security. It is especially comforting when you go out of town to know that your neighbours will be there to keep watch over your space.
  • Amenities: Many come with amenities including parks, swimming pools, tennis courts, and more. These common areas are maintained by the Homeowners’ Association and their use is included in your fees.

Things to consider:

  • Privacy: Townhomes are essentially homes with shared walls. This is something to consider if you enjoy loud music or if you are frequently entertaining guests.
  • Uniformity: Many townhomes have a distinct exterior look that does not vary among the units. The yards, maintained by the Homeowners’ Association, will also generally follow suit. Many developments have a list of restrictions as to what you can and cannot do to change the interior of the townhouse as well.
  • Storage: Most townhomes will not offer much in the way of storage. If you have a lot of stuff, you may need to consider renting a storage locker.
  • Yard: Townhomes typically have a small backyard space, which is in close proximity to the neighbouring unit. This is something to consider if you enjoy a large yard or if you have a dog that requires space.

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SINGLE FAMILY HOME

Why this option might be a good fit for you:

  • Higher re-sale value: According to a recent study by the Canadian Real Estate Association, the average price of a Canadian home increased in 2013 by 10.4 per cent. The ability to modify and improve your residence with renovations and additions is a strong selling feature for the single family home. You also have the freedom to enhance the exterior with landscaping and other more major improvements.
  • Privacy: There really is no better form of privacy than having a space to call your own. When you purchase a single family home, you own the land it is on and the ground beneath it. You also have the option to fence in your property for additional privacy.
  • Space: Detached homes offer the space and ability to accommodate a growing family or entertain a group of friends. Most single family homes come with a substantial property which allows space for a deck, BBQ, and outdoor entertaining.
  • Character: Many single family homes were built decades or even centuries ago, offering homeowners a rich sense of history and character that you can’t find in the newer developments.

Things to consider:

  • Repair costs: With age and character come repairs. If your new single family house is of the older variety, make sure you have some extra money in the bank to handle any repairs that might arise. Some common problems with older homes include poor insulation, drafty windows, and weathered roof shingles. Repairs to the exterior of the house, or interior issues like heating, plumbing, electrical, and any other small thing that pops up will be your responsibility.
  • General maintenance: When you own a single family home, you are also responsible for the property that comes along with it. This includes regular upkeep like snow removal, raking the leaves, and gardening.
  • Living space: While older single family dwellings offer character, not all of them work for today’s way of living. It’s not uncommon for older houses to have a few small and strangely located bathrooms or tiny closed-off kitchens. Newer townhomes often offer islands in the kitchens, better light and en-suite bathrooms.

Whether you decide to buy a single family house or a townhome, it may be difficult to find something in your ideal location in your price range. After all, heading out into a sea of bricks and mortar without extensive research can be extremely intimidating. With Active Listings, you can search for homes via location (specific house, landmark, neighborhood, city, region) and set filters based on price, year sold, and yes, housing type (condos, townhouse, etc.)

There are most certainly many other variables to consider in your decision-making process. Active Listings urges you to conduct your own due diligence and consider all variables that matter to you, and seek the advice of local experts who knows your neighborhood of interest.