When you have decided to buy or sell a home, the services of a qualified real estate professional are of utmost importance.
The ideal sales agent will have a good working knowledge of local real estate market conditions, be prepared to deliver a high standard of service to customers, and have the support of a large real estate company. Most importantly, a good agent will save you time and money.
Your property is not something you sell everyday. In fact, for many people it is their largest asset. A house is very complex to market and the process needs to be well organized. To do the job properly a plan is needed.
Your Royal LePage Real Estate Professional can prepare a personalized plan for you containing all activities intended to market your property. At Royal LePage, your property will be aggressively promoted through Royal LePage's own property advertising publications and Internet site, other Royal LePage offices and Real Estate Professionals, the MLS information library (unless it's an exclusive listing), and mailings to potential buyers in your area.
When you have decided to buy or sell a home, the services of a qualified real estate professional are of utmost importance.
The ideal sales agent will have a good working knowledge of local real estate market conditions, be prepared to deliver a high standard of service to customers, and have the support of a large real estate company. Most importantly, a good agent will save you time and money.
Here are the advantages of working with an agent:
The market ultimately determines the true value of your property.
Before you compare your home to similar properties and establish a competitive list price, the following points should be considered:
A comparative market analysis is an indicator of what today's buyers are willing to pay for a home. It compares the market activity of homes similar to yours in your neighborhood. Those that have recently sold represent what buyers are willing to pay. The homes currently listed for sale represent the price sellers hope to obtain. And those listings that have expired were generally overpriced or poorly marketed.
Your Royal LePage Real Estate Professional will prepare a comparative market analysis for your home based on the most current market information. Together you and your Real Estate Professional will establish the proper list price for your home.
Some factors that may reult in overpriceing of a home may include:
Many sellers believe that if they price their home high initially, they can lower it later.
Often, when a home is priced too high, it experiences little activity. Gradually the price will come down to market value, but by that time it's been for sale too long and some buyers will be wary and reject the property.
On occasion, the price is dropped below the market value because the seller runs out of time. The property sells for less than it's worth.
You may think that interested buyers "can always make an offer," but if the home is overpriced, potential buyers looking in a lower price range will never see it.
Those who can afford a home at your asking price will soon recognize that they can get a better value elsewhere.
As soon as a home comes on the market, there is a flurry of activity surrounding it. This is a crucial time when Real Estate Professionals and potential buyers sit up and take notice.
If the home is overpriced, it doesn't take long for interested parties to lose interest. By the time the price drops, a majority of buyers are lost.
The actual number of years it will take to pay back your mortgage loan.
An estimate of the value of the property. Conducted for the purpose of mortgage lending by a certified appraiser. This appraisal is not to be confused with a building inspection.
Allows the buyer to take over the seller's mortgage on the property.
A mortgage that locks you into a specific payment schedule. A penalty usually applies if you repay the loan in full before the end of a closed term.
A common payment among owners which is allocated to pay expenses.
A mortgage loan issued for up to 75% of the property's appraised value or purchase price, whichever is less.
The buyer's cash payment toward the property. The difference between the purchase price and the amount of the mortgage loan.
The difference between the home's selling value and the debts against it.
A mortgage that exceeds 75% of the home's appraised value. These mortgages must be insured for payment.
The value charged by the lender for the use of the lender's money. Expressed as a percentage.
A fee paid to the municipal and/or provincial government for the transferring of property from seller to buyer.
The end of the term, at which time you can pay off the mortgage or renew it.
The borrower.
Applies to high-ratio mortgages. It protects the lender against loss if the borrower is unable to repay the mortgage.
Pays off the mortgage if the borrower dies.
The person or the financial institution that lends the money.
Allows partial or full payment of the principal at any time, without penalty.
A mortgage option that enables borrowers to take their current mortgage with them to another property, without penalty.
Qualifies you for a mortgage before you start shopping. You know exactly how much you can spend and are free to make a "firm" offer when you find the right home.
Voluntary payments in addition to regular mortgage payments.
The amount borrowed or still owing on a mortgage loan. Interest is paid on the principal amount.
Paying off the existing mortgage and arranging a new one or re-negotiating the terms and conditions of an existing mortgage.
Re-negotiation of a mortgage loan at the end of a term for a new term.
Additional financing. Usually has a shorter term and higher interest rate than the first mortgage.
The length of time the interest rate is fixed. It also indicates when the principal balance becomes due and payable to the lender.
Legal ownership in a property.
A mortgage with fixed payments, but fluctuates with interest rates. The changing interest rate determines how much of the payment goes towards the principal.
When the seller provides some or all of the mortgage financing in order to sell their property.
One step which is inevitable in the home selling process is a visit from a professional house inspector.The following are steps which should be taken to ensure your inspection is a success. It is a good idea to be aware ahead of time of any serious problems which may be present in your home so you will be prepared to deal with them.
First impressions are lasting impressions. You will want to make sure the buyers looking at your home are left with the best possible impression. Your Royal LePage Real Estate Professional can help you achieve that goal.
The single most important decision you will make with your Royal LePage Real Estate Professional is determining the right asking price for your property.
Once you've achieved a realistic sales price, you can count on your property being professionally marketed and promoted to bring more buyers to your door. You can also expect to sell your home for the best possible price in the lease amount of time.
When it comes to home renovations, one plus one does not necessarily equal two. The money invested in improving your home will not always translate into an equivalent return in the selling price of your home. However, with planning it is possible to both increase the salability of your home and even profit from your home renovations.
Renovations do not have to be extensive or expensive to earn a high rate of return. In fact, one of the cheapest and simplest improvements yields one of the highest paybacks. According to a study (1999 Renovations and Home Value Survey) by the Appraisal Institute of Canada (AIC), a fresh coat of paint on interior walls returns an average 73 percent payback. So, a $1,500 paintjob could be expected to increase a home's selling price by $2,625 (a $1,125 profit).
To maximize salability ensure that your new décor is modern and tasteful. Choose shades of white and tame versions of popular colours. Steer away from too many personal touches and custom work if you plan to re-sell. It is unlikely that your investment will be recouped and it may prevent the quick sale of your home. Also, try to keep renovations in harmony with the fashion of your neighbourhood.
The kitchen and bathroom are key areas to focus your renovation attentions. With average paybacks of 72 and 68 percent respectively, new fixtures, cabinets and tiles could be well worth the money and/or time and effort. The AIC's study highlighted the top ten renovations and the average rate of return:
According to another study (Prepare to Sell by HomeGain.com in California) smaller changes to a home can also reap hefty rewards. Any addition that brightens your home (such as new light fixtures) should be returned in the selling price by an average 84% of the cost of the renovation.
As an expert on home sales trends in your neighbourhood, your Royal LePage Sales Professional can suggest which areas of your home could benefit from renovation and increase its value and salability. Click here to locate a Sales Professional in your area.
The first formal step in marketing your property is to enter into a Listing Agreement - a contract that commits Royal LePage to actively market your home for a specified period of time. It also commits you to a pre-established marketing fee that is to be paid upon the successful closing of the sale.
Your Royal LePage Real Estate Professional may require the following documents:
Note: In many provinces you will be required to sign a property condition disclosure statement.
Depends on the market and the buyers, but generally, the price offered is different from the asking price.
The deposit shows the buyer's good faith and will be applied against the purchase price of the home when the sale closes. Your Royal LePage Real Estate Professional can advise you on the suitability of the amount of the deposit being offered.
Includes the total price the buyer is offering as well as the financing details. The buyer may be arranging his/her own financing or may ask to assume your existing mortgage if you have an attractive rate.
These might include "subject to home inspection", "subject to the buyer obtaining financing", or "subject to the sale of the purchaser's property."
These might include appliances and certain fixtures or decorative items, such as window coverings or mirrors.
Generally, the day the title of the property is transferred to the buyer and funds are received by the seller, unless otherwise specified (except in Manitoba and Quebec).
Note: IN B.C. the Possession Date is usually 1 to 3 days after the closing.
Royal LePage Benchmark
110, 7220 Fisher St SE Calgary, AB T2H 2H8