Sweet domino effect

A few months ago I was asked to come to a town home by the son of the elderly owner, his sweet mom.  I'd been there a year before, having been recommended to the son by a trusted Rotary connection.  Previously it was clear that the dear woman who owned the place was not ready yet to make a move -- and there was a lot of "stuff" to clear out.  So, I made suggestions about how to ready the home for sale and kept in touch.


When I returned this time, it was all systems go.  The woman was moving to a place closer to her son that also provided meals and transportation.


Shortly after listing I met a fine local couple who were ready to downsize from their family home.  The time had come for them to do less yard work, shoveling and home maintenance.  So, the idea of a small strata community suited them perfectly.  They bought the town home. 


In reviewing their family home, I advised them not to start any upgrades but rather to sell it in its current condition -- very clean but dated.  This would allow first time home buyers a chance to get into our market.  Given the family neighbourhood, access to schools and parks and great view I rather suspected a young family would jump at this if the price was affordable.


The couple listed their home with me at a reasonable price and within a week we had an offer and a back up offer.  The home sold higher than list price due to competing offers.  A young couple with a dog moved in and are loving the neighbourhood and the big fenced yard with fruit trees.  They are in heaven, the dog is in heaven and the neighbourhood is enjoying them.


I've heard this week from the first seller -- she is love, love, loving her new carefree lifestyle!  She calls it "hotel living."  The couple who bought the town home are loving it and loving that when we recently got walloped with a huge snowstorm they have very little impact....just a wee driveway to shovel.  All the "heavy lifting" of snow removal was done by a company included in their strata fees. 


In short, moving when the time is right results in great joy; not just for the person moving, but for the sweet domino effect it puts into motion.


When the time is right for you, call me.  You need a trusted Realtor to guide you through the right steps to achieve the maximum return on your investment and the sweetest process along the way.


Most people I've helped to simplify or downsize remark that they wish they had done it 5 years ago!  So don't delay....you've earned a carefree slice!

Appraisal vs Assessment vs Market Evaluation

Not surprisingly it is confusing to homeowners to hear about different ways to determine what their home is worth.  This will help.  In a nutshell:


1.  Appraisal.  An appraisal is done by a professional appraiser often appointed by lawyers and/or banks.  Appraisers do rely on real estate information and keep a close relationship with Realtors.  They base their findings on different formulas to come up with a value on the home based on comparable past sales, land size, square footage, home condition, etc..  In divorces, estates, inheritances, mortgage lending and other legal discussions this is the route often needed.  If you are refinancing, for instance, the bank may certainly want your holdings appraised by a real, live professional going into your home, using hard data.


2.  Assessment.  This is the amount you are taxed on as a home owner.  This information is not a reliable gauge of home value.  For one thing, the sales information assessments are based on is sometimes 2 years out of date.  More importantly, rarely does this involve anyone actually being in your home.  You might have fixed your home up as a state of the art Taj Mahal  and receive a low assessment based on averages for your home square footage.  Do not be alarmed or excited about your assessment as it pertains to market value.


3.  Market Evaluation.  This is done by a professional Realtor and is perhaps the most useful for a real value discussion.  A Realtor uses not just past sales, but their awareness of neighbourhoods, available inventory, market trends and a host of factors influencing the local market.  i.e. Now some consideration to a challenged Alberta economy would impact Okanagan values.


So, when you want to know what fair market value is for your home, call a trusted Realtor.  When you need a legal document for court proceedings, call a LOCAL appraiser.  Don't sweat your assessment, if you think its out of line, you can appeal....but in most cases it is undervalue and you may wish to buffer your tax burden by accepting a lower value on paper.

Dangers of Real Estate T.V.

Call it a busman's holiday, but I enjoy watching real estate shows on t.v.  To a point.  They also worry me because, while you can pick up some good ideas on renovating and how real estate works, you can also be misled.  A couple examples:


Putting in or receiving an offer on a home does not make it sold!  (Except in the VERY, VERY rare instances of a subject free offer.)  So, when the cute guy comes along and based on a verbal acceptance of a buyer's offer price, asks who wants to put the sold sign up -- well, that's just phoey.  (You understand "phoey" is a polite term for something you don't want to step in.)


Ditto the drama encouraged in those shows about the way clients speak to their Realtor or renovator.  Again, except in VERY, VERY rare circumstances where it might be justified, it's also just phoey.


I can tell you truly Realtors understand much of what we do involves working with people under stressful conditions.  This does not mean most would carry on with an abusive client.  No way, no how.


Also, no Realtor in their right mind would show a client a home 300,000 above their spending limit as a reality check.  Are you kidding me?  "Let me show you something you can't get, so you will hate everything you can afford."  I don't think so.


Another reality check.  Renovators are VERY, VERY rarely designers!  You're going to be lucky to have all the sawdust and gyp rock dust gone.  Don't expect that you're going to come home to a staged, designer produced "reveal."


So, enjoy the shows, enjoy the homes....but understand these shows are designed as entertainment not documentaries!