Leaving the lower mainland
Affordability in both the ownership and rental market are on many people’s minds as we move into 2018. Recent times have shown unprecedented growth in property values. In previous years I would meet many more people who would like to stay in the same area. Both for selling and buying but the price gap for many buyers is growing increasingly wider between what they own and what they want to move up to.
A condo owner moving from a one to a two bedroom condo similar in age and location. Let’s say in an average neighborhood might expect to pay 40% more for the extra square footage and extra bedroom. 5 or 10 years ago that extra 40% would translate to about and extra $50,000 in the purchase price. But in today’s market prices that same 40% looks more like $100,000.
The increased pricing gap has put many owners in a position where they can’t financially take the next step. They are looking for alternatives.
Some popular search areas for buyers looking to leave the lower mainland but still remain as local as possible are Mission, Chilliwack and Abbotsford. The outlying areas of the Okanagan and Vancouver Island and many are even considering going beyond the provincial borders to Alberta. To communities like Calgary and Edmonton.
If you are considering selling your home in New West, Vancouver, Burnaby, or the Tri-Cities. To relocate outside of the lower mainland. We can definitely help with that! And connect you with a good trustworthy agent to help you search for your next space. We have wonderful partners who work in Victoria, Nanoose, Parksville-Qualicum, Coldstream, Calgary and Edmonton just to name a few!
Selling or Buying a home, for sale by owner
Selling a home
For sale by owner used to be more common, but, with the real estate market moving at a feverish pace, many sellers are choosing to sell on the regulated open market rather than doing it on their own. Someone selling their home this way benefits from increased exposure. A seller also has the added assurance that comes from being a part of a system with check and balances. Despite this, some owners still chose to sell it off-market.
So, what happens when a buyer finds a private sale or off-market purchase?
Buying a home
If you are looking to buy a for sale by owner, you could go to the owner personally or you could hire a realtor to represent you. Some for sale by owners will even cover the costs of the buyer bringing their own agent, while others will require that the sale remain private.
Insurance and laws
One big concern for many buyers with off-market property transactions is the lack of disclosure requirements and the lack of coverage by the provincial errors and omissions insurance which may cover you in the event a licensed Realtor makes a mistake. It is important to remember that the laws, oversight, and insurance that apply and protect you when you use a provincially licensed REALTOR® do not apply to an owner selling privately.
If you are considering for sale by owner as a possibility when buying a home, why not get in touch with us to see what we can offer in our buyer’s representation package?
Finding a Good Real Estate Agent
You might be surprised to learn marketing sets and compensation models are non-standardized within the local real estate industry. In fact the Canadian Competition Bureau forbids it! The CCB requires each realtor to develop their unique package of services and rates. A realtors service license might not tell you much about the quality or type of services they provide. All agents whether they are, residential, commercial, part time, full time, top 10% or a posting only group hold the same BC license to sell real estate.
A lot of home sellers and buyers make the mistake of assuming all licensed realtors are the same. When in reality nothing could be further from the truth. When selecting a realtor think about what is most important to you. Each agent brings unique and different client service strategy to the table.
Some common points to consider:
Are you looking for a long term trusted advisor or a quick transaction with the cheapest fees?
Do you want a big team where you are always talking to different members or a single point of contact with an exclusive agent?
Do you want a specialist who only works in your niche or small geographical area or a generalist who spans territory beyond your area of interest and may help you in areas you had not previously considered?
Each scenario has its pros and cons.These were a few examples of questions we encourage home buyers and sellers to ask themselves before they start interviewing real estate agents.
Your realtor is your choice. It would be impossible to think a single agent or business model could be best suited to serve every client. If there is any doubt in your mind you haven’t picked the right agent it can’t hurt to get a second opinion. Which ever realtor best suites your personal preference, one thing is for sure, the realtor population is just as diverse as the clients that hire them!
We offer initial consultations and opinions of value free of charge! Call today to book your appointment!