Archive for the ‘Chris’ Blog’ Category
Posted on: March 2nd, 2017 by Chris Scott
Early this year my clients were all set to hit the market. We had a price locked in and papers were signed. Before hitting the MLS my stager Heather met with my clients and put together a game plan to get the house ready. They had it freshly painted and every room was wonderfully staged. I came in to do a video and we got all the marketing pieces in place. Just before we launched our listing the exact same model came for sale around the corner.
The thing is, it came to market at $60,000 less! I think I spit my coffee out when I saw that. I immediately went and previewed the house. Same square footage and both had unfinished basements. My listing had hardwood on the stairs and in the master bedroom where they only had carpet. There were no other major differences: except cleanliness and effort put into the preparation of the house. We decided to go ahead and compete with this other house. Fortunately for us, we were able to secure a buyer before the other listing. During the negotiation, this other property was certainly brought up but we still managed to secure top dollar for our clients. We obtained 99% of our list price while they only received 95% of their list price. This equated to an additional $83,000 in my client’s pockets.
This is a great case study on why preparing your home for sale can have a huge payoff. Having a professional guide you through the process and negotiate in your best interest is crucial for getting top dollar.
Posted on: February 22nd, 2017 by Chris Scott
Of all the applications for virtual reality, real estate might be the most practical. How would you like to view a home sitting in the comfort of your living room?
I believe this will be the way initial showings will be conducted in the years ahead. The technology already exists to complete a great VR walkthrough. I experienced it myself at a recent tradeshow. It truly felt like I was in the house. I was so excited about this I have added it as part of my services. The challenge is that consumers don’t have the headsets. It isn’t quite mainstream enough yet. My personal opinion is that almost every household will have some type of VR gear in the next 3-5yrs. It can be just a $30 google box that I am pictured with or something a little more high-tech. The future is going to be weird. I just imagined a family sitting around the dinner table with their VR headsets on. Yikes, sometimes more technology is not necessarily better.
MY PREDICTIONS:
A better version of the google box or something Apple is secretly working on will be the mainstream choice for consumers. Smartphones will be the tool that people will use to get their VR fix. I see phones that are curved or have the ability to be curved into the box to create a cool experience. This will allow home shoppers to take walkthroughs of homes and really narrow their list down before seeing homes in person. When they have their short list I will be sending my self-driving car to pick them up. Some aspects of VR I am excited about. I just hope people will not substitute real life experiences for those manufactured by VR. To understand this you must try VR, It truly feels real. It will be interesting to see how we develop and use this technology in the years ahead.
Posted on: January 26th, 2017 by Chris Scott
As an Ottawa Realtor I am often asked about the closing process with a lawyer. I have included an example letter from an Ottawa lawyer to highlight what happens behind the scenes. The closing date is the day when you finally take legal possession of your new home. This date is specified in your Agreement of Purchase and Sale. The final signing usually happens at the lawyer or notary’s office. The purchaser will receive their keys to their new home and the vendor will receive their funds from the sale. The closing date is often at least 3 weeks after the vendor has accepted the offer. This is to allow the lawyer time to collect all the required conditions in order to complete the deal.
Please view the example letter below:
This letter is to help prepare purchasers of the required conditions before and on the closing date. It includes the following details:
- Closing Date
- Fees and Disbursements
- Title
- Mortgage
- Insuring Title to Your Property
- Intended Use and Characteristics of the Property
- Fire Insurance
- Utilities
- Keys
- Signing
- Identification
Posted on: January 19th, 2017 by Chris Scott
It was a beautiful sunny morning in the capital. I was driving on Arlington Avenue, a quiet Centertown street with a speed limit of 40km/hr. heading to show a house to a great client.
As I approached the house I saw my client and waved. I had to do a 3 point turn to park on the opposite side of the street. I checked my mirrors and went to make the turn. As I made my turn, out of nowhere, a car smashed into the front of my SUV. It happened so fast. They were travelling over 130 km/hr. The only reason I survived was because their back-end smashed into my front end as they were swerving out of control. Another split second and there would have been no avoiding me (he would have hit my driver’s side) – I would not be writing this blog.
What happened next was shocking. When I realized I wasn’t hurt I looked up a saw that the car that hit me, crashed into other parked cars. I expected them to finally stop but no, they started speeding away! That is when the police cars flew by. About eight in total. One police car stopped to ask if was okay. It turned out the driver had just robbed a bank and was in a police pursuit. It was like being in a movie. So after all that excitement, we were just standing outside of the listing we were scheduled to see. I was shaken up but thought we are here so we might as well take a look as we wait for police to come back. Clients come first! It would have been a better story if he bought the house.
It was a strange feeling afterwards, walking to get my rental car downtown. I felt different, I knew I had just been very lucky to walk away. Hard to explain the feeling but it was an introspective one. Weird, freak accidents can happen anywhere at anytime. It is important to live every day to the fullest. Sounds cliche but it is true. I felt very lucky to be alive. I often reflect on that feeling I had-of pure gratitude. So important not to take anything for granted.
BTW- cops got their man a few blocks away in a foot pursuit. My client found a great house about a week later.
Posted on: January 18th, 2017 by Chris Scott
I am pleased to provide you with my year-end review of the real estate market for the Qualicum area.
The average sale price of a home sold in Qualicum rose by 3.4% to $542,971. When we look more closely, we can see that it is the 2-storey, hi-ranch, and split level category that supported this rise, as these homes sold on average for $596,658 which is about a 9.8% increase over the last year. Bungalow prices slightly dropped to $474,967 or 1.9% decrease.
Where the biggest real estate change can be observed is in the total days on market. In Qualicum, much like the rest of Ottawa, total days on the market continues to increase. Year-to-date, the average time to sell a home in Qualicum is 61.0 days. For bungalows, it has taken 42.7 days to sell this style of homes which is only a 0.7% increase over 2015. Yet for the 2-storey, hi-ranch, and split level category, it took 75.4 days, on average. The is a large 42.8% increase from 2015.
And how do sale prices stack up against listing prices? In Qualicum, this figure is a 0.9% slight decrease over last year.
The average monthly listing dropped from 11.5 in to 2015 to 7.9 in 2016. The highest vs lowest listing months also dropped. One thing to note is the highest listing month in 2015 was June but in 2016 it was March. Both for 2015 and 2016 December was the lowest active listing month.
If you would like to know your home’s value, please fill out our Home Evaluation Form here: SELLERS HOME EVALUATION
[1] All data from Ottawa Real Estate Board © 2016.
Posted on: January 12th, 2017 by Chris Scott
I am pleased to provide you with my year-end review of the real estate market for the Stittsville area.
In December, 17 homes were sold in Stittsville compared to 12 homes in December 2015. In terms of sales since January, Stittsville has seen 472 sales this year compared to 481 over the same period last year. That is a modest decline of 1.9%. This decrease in sales volume has had no negative impact on sale price though.
The average sale price of a home sold in Stittsville rose by 1.4% to $423,364 from $417,543 last year. When we look more closely, we can see that it is the single detached home category that supported this rise, as these homes sold on average for $471,004 which is about a 1.9% increase over the last year. Row home prices are also up slightly to $316,988 or 0.9% increase.
Where the biggest real estate change can be observed is in the total days on market. In Stittsville, much like the rest of Ottawa, total days on the market continues to increase. Year-to-date, the average time to sell a home in Stittsville is 65.5 days. That number is up from 59.7 days average last year. For row homes, including semi-detached homes, it has taken 49.8 days to sell this style of homes, yet for a detached home, it took 72.6 days, on average. Last year, these numbers were 50.5 and 63.7 days respectively. The average days on market for the entire Ottawa Real Estate Board and for all residential home styles combined was 85 days, January to November.[1]
And how do sale prices stack up against listing prices? In Stittsville, this figure stands at approximately 97% which is a 2.2% increase over last year.
If you would like to know your home’s value, please fill out our Home Evaluation Form here: Sellers Home Evaluation
All data from Ottawa Real Estate Board © 2016.
Posted on: January 4th, 2017 by Chris Scott
Imagine going into a bidding war on a house against one of your best friends.
Well, I was the Realtor caught in the middle.
It was a cold, snowy night in Ottawa. I was on my way to show a house that had just come on the market to some really close friends of mine. It looked to be a perfect fit for them. It had only been on the market for a few hours. As I approached the house I got another call from another couple who also happen to be very goods friends of mine who wanted to see the same listing. You have to understand that these two clients were also very close friends themselves (in each others wedding party’s close). My first thought when I got the call was that this was going to be awkward. But really….what was the chance of this house being “the one” for both of them?
Well, that question was answered about an hour later. After showing it to each of them back to back; my first thought was bang on. This was going to be awkward!
They both loved the house and wanted to place an offer on it. We couldn’t find a solution where everyone was happy. So…. they went into a bidding war. What are the chances of facing off against a good friend for the same house!!!
I excused myself from dealing with my second friend (because they were call #2) and set them up with a top Realtor in another office. That way everything we did was confidential and I wasn’t in a more awkward position of representing both parties.
Naturally, the client I was working with ended up securing the house. In the end, my inspector Sean uncovered some issues the seller was trying to conceal. That was the end of that house. In the daylight some of the whackiest neighbours I have ever seen were also revealed……but that is a story for another day.
All that agony, awkwardness, sleepless nights and no deal!
We have laughed about this many times since. Both clients found great houses shortly thereafter and we are all still good friends today. It could have been a lot worse!
Posted on: November 16th, 2016 by Chris Scott
On Monday, the Ontario Liberal Government announced it is doubling the rebate on the land-transfer tax for first-time homebuyers to $4,000. This effort is to encourage first-time home buyers. The increased rebate will take effect January 1, 2017.
According to the Ontario Finance Minister Charles Sousa doubling the refund will result in over half of first-time home buyers in Ontario not paying the land-transfer tax on the purchase of their first home.
This tax break may be the just the right encouragement to help Ottawa first-time home buyers buy a place of their own. The average purchase price for first-time home buyers in Ottawa is $368,000 which means they will pay no land-transfer tax because of the new rebate.
– Chris Scott
Posted on: October 11th, 2016 by Chris Scott
The Federal Government is taking steps to ease emerging risks in the country’s housing market. The new measures should slow the injection of foreign cash and will tighten the eligibility rules for prospective borrowers. The sizzling Toronto and Vancouver markets are out of reach for many Canadians and some fear that foreign investment money in these markets has helped drive up prices. There is also growing concern that Canadians have too much debt.
Beginning on October 17, 2016, all insured mortgages will have to undergo a stress test to determine whether a borrower could still manage to make his/her mortgage payments if the rates went up or their income went down. Currently the test will be to ensure all insured borrowers can qualify based on the posted rate for a 5-year rate mortgage (now 4.64%).
On November 30, 2016, several eligibility rules will tighten on mortgages where borrowers made down payments of at least 20% of the purchase price.
The Government plans to tighten a loophole on an exemption that allows homeowners to avoid paying capital gains on tax on the sale of a principal residence such that this exemption will only be available, going forward, for Canadian residents and families will only be allowed to designate one home as their primary residence.
Other key measures that will affect all insured mortgages is a maximum amortization of 25 years, a maximum purchase price below $1 million, only owner-occupied properties being eligible and a total debt service ratio of 44% at the time a loan is approved.
Experts believe these measures will serve as a “tap on the brake” that could lead to a “slight, additional slowing of a market that is already slowing”.
New consumers unable to meet these requirements could be shut out of the market and even consumers with existing mortgages might be unable to easily switch lenders. It remains to be seen whether the changes will have a cooling effect on hot housing markets or how much more difficult it will be for would-be homeowners to secure mortgages.
If you have any questions about this – or anything else related to real estate, please give me a call.
Chris
Posted on: September 24th, 2016 by Chris Scott
It’s hard to believe we got off to a quiet start this year. The market has been so hot as of late. We have had some record-breaking months in units sold. August was another hot month. There were 1484 homes sold in August – a 16.4% increase over the same month last year. This represents the best August on record for the Ottawa Real Estate Board.
The average price of a residential property is up 2.5% compared to August of last year. For August we were at $389,786.
Condos made a big jump last month compared to August of last year. Condo prices are up 11%. The average price of a condo in Ottawa for August was $262,166.
These stats are monthly. This past month there were more than usual 1 million+ homes sold which could account for some of these increases.
It is an interesting market. On the one hand you have all of these positive statistics and then I look at the average time on market. The average home is taking 92 days to sell. That is up 34% from August last year. For condos it is taking even longer to sell at 106 days on market – up 12%.
There is more competition on the market right now. Lots of inventory with builders – especially downtown condos. I predict a strong finish to the year.
By the way – Ottawa was just named the 2nd best city in Canada to raise a family!
Chris
