Real Estate – ANALYSIS – Page 2 – The Evans Real Estate Group Blog

The Real Estate Bargain Bin

Where to find the best deals? Here are the best ‘bins’ to keep your tabs on:

1. Estate Sales

An unfortunate effect of the beautiful lives we all lead, is that one day we will eventually pass away. What happens to a person’s home once they pass? Quite often, the family sells the property and gives the proceeds to whichever direction the will intended, and all the bills and debts are paid.

Why is this an opportunity? Quite often these Sellers are looking to unload their property quickly and just want it SOLD so they can move on – giving YOU, the buyer, an opportunity to walk in and potentially acquire the property for a discount.

2. Power of Sale

High credit card balances? Line of Credit out of control? Budget completely blown? Many people will answer YES to this question, and to these people, sometimes it is just TOO MUCH and they need to sell their homes to downsize and decrease their debt payments. Sometimes these people can’t even pay the mortgage or taxes, and the bank will seize the property and appoint a Realtor to sell it to re-coup the loan!

Why is this an opportunity? Again, motivated Sellers – that’s the key. These people need to sell their home and get their bills paid asap. Money talks, and if you can get yours in front of them first – it might give you an edge.

3. Handyman Specials

Nice personality, but needs a little lipstick? Look no further than your neighbourhood ‘handyman specials’. These homes come from a variety of sources – from those that can’t keep a house to those that tried to flip but flopped. Pick up these homes at a bargain!

Why is this an opportunity? Well, a property that is hard on the eyes is often hard to enjoy. A property that is hard to enjoy is hardly valuable, and hence comes at a discount because there is little to no demand in the regular everyday market. These sellers realize quickly that their home wont sell for the average price, and may need simply be in dire need to move on.

4. Private Sellers

These Sellers have opted to sort through a riff raff of buyers themselves, and learn to pre-qualify them, negotiate with them, and close them. Let me tell you – not as easy as it sounds. Some of them even decide to work exclusively with un-qualified buyers that share the highest level of incompetence and advertise that they do not want agents to bring quality buyers to them!

Why is this an opportunity? Knowledge is power, and these folks, quite often, have little of either. Now there will be the odd exception, however the mass of these sellers did not price their homes correctly and can therefore not defend their price properly, they do not know how to negotiate (and are not even aware of) terms and conditions in a contract that can make a deal even MORE favourable than a low price, and therefore are not best suited to get the best advantages in a deal. Now I have never, and will never be unethical or unprofessional with a Private Seller, however; when I represent a buyer it is my obligation to get them the best deal possible.

Tricks of the Trade: I am able to manipulate the MLS database to search for homes by Seller (i.e. Contains “ Estate” or “Bank”) and can also search by keyword (i.e. Contains “handyman”, “tlc” or “flip”). Furthermore, I can have listings that match these criteria automatically sent to my clients inboxes the minute they are uploaded by other realtors, bypassing the overnight delay by the Ottawa Real Estate board, and therefore giving my clients a window of opportunity to view listings before the public does. This also really limits the homes my clients see to what they really want, instead of filtering through a hundred listings that “might work”. Pretty much any information that is related to a listing, I can transform into search criteria and can sort, sift and organize automatically and have sent out. These aren’t generic searches either (price range, location criteria), I’m talking digging deep and going above and beyond to get the cream of the crop. With regards to private sellers, most are open to working with me once I talk to them about the calibre of buyers I work with and the other ways in which I can help them, but they are really leaving themselves open to all kinds of pitfalls. Not only is pricing an area where they are at a disadvantage, but they are also (quite often) not well versed in legal matters (yes – contracts are complex legal documents), but also in the coordination and timing of all the related professionals that will all play a role in the success of the deal.

I hope you enjoyed the insight into the Real Estate Bargain Bin!

If you would like access to the BINS, and keep your tabs on any of them, simply visit www.RealEstateBargainBin.info

Cheers!

Real Estate - ANALYSIS

Discount Brokerages – Farewell to the Average Realtor?

With the deregulation of the MLS system a possibility in the near future, many discount brokerages have started to spring up, and are getting a great deal of notoriety. Why? Well – to save on commission of course! Why use a Realtor when you can list your home privately? That’s a very good question, and it’s really opening up the eyes of sellers are Realtors alike. I will not turn this into a “why use a realtor” piece, but rather try to offer my explanation of why they have come about, and what their role will likely become. You see – you could ALWAYS sell your home on your own; the first home was sold privately, as were thousands after it. Somewhere along the lines the need for some professionalism to this trade was needed, so regulatory bodies, proper training and licensing came in place. For a very long time, sellers were very happy with the results Realtors were getting – but then something happened. Some Salespeople began doing less and less work, putting signs up and then never being seen again, uploading listings on the internet and sitting idly by hoping for a buyer. You see, in my opinion, many salespeople got into this business thinking it was easy, and once you got your license you could put signs up all over town. Well, times have changed. Sellers started thinking, “I can do that!”, and you know what? They’re right! They absolutely can! It doesn’t take much work to put a sign up!

An interesting fact in my industry is that 5% of the Salespeople make 95% of the sales, meaning that an overwhelming 95% of salespeople make up for only 5% of sales! Some only sell a few homes a year, and some never sell any! I would argue that a large portion of that 95% is the portion that is simply putting up the signs and listings, and is the portion that has frustrating the home selling public, and has therefore brought this discount revolution upon themselves! The top 5% do not want these underachievers in our industry any more than public wants one to sell their home.

You see – the top 5% in Real Estate are true professionals. These people and/or teams have tremendous systems in place that provide sellers with a full array of services and really know how to get homes sold. Mark my words – no private seller can do the job that these top 5% can. The network, the database of consistent buyer/sellers, the brand power, the advertising budgets, the marketing experience and the negotiating skills of this 5% will bring more money to the table 99 times out of 100 than any private seller. In fact, Discount Brokerages don’t have issues with the top 5% because they know that professional results require professional intervention, and that money spent here is not a cost, but rather an investment– that is a tried, tested and proven FACT that either side will attest to. Discount Brokerages are not trying to argue that they can do better than the top 5%, but rather a portion of that 95% we speak of.

So what to make of these discount brokerages? You know what? I think they will take out a HUGE chunk of that 95% mass of Realtors, and leave the industry with two very simple selling models: 1) Full Service, Highest Achieving and Top Selling Professionals (the 5%), and 2) a few discount brokerages that will offer some combination-type packages to suit whatever the aspects the seller feels they can not handle on their own. This is a GOOD THING and is great news for everybody. For you – the selling public, because you will now have as many choices as you can bare, and for me – the Realtor, because there will always be a need for full-time, full service professionals to rely upon. Not everybody has the time, the knowledge, or the ability to do what I do – or what my other fellow professional Realtors do. The cream will simply rise to the top.

What about those Realtor’s that leave the market, having their piece of the pie eaten up by private discount brokerages? Guess what- many of them aren’t leaving the market, but are likely the very ones that are starting these discount shops! The business savvy ones are going to lead the pack to discount bliss, and yes – many will fall between the cracks.

Consider this: Farewell to the Average Realtor? Or Re-Branding of the Average Realtor?

Real Estate - ANALYSIS

The 4.5 Best Tips To Attract More Buyers and Make Them Pay More For Your Home.

1. Price Your Home Right

This is by far the most important part of the selling process; after all, anyone can sell a house if it’s priced below what the true value should be, right? Heaven forbid you price yourself too high, and then your home might not sell at all. Don’t rely on other comparable listing prices – aim for SALE prices. Remember – properties for sale are also properties that haven’t sold, so why would you base your price in relation to them? You want to SELL, so find out what the comparables SOLD for, and price accordingly.

Try This: Contact the Land Registry office in Ottawa at http://www.ontario.ca/en/ services_ for_residents/STEL02_165696 for sale prices. Another great way to obtain these prices would be to get a Comparable Market Analysis (CMA) from a Realtor.

2. Provide Maximum Exposure

This is Marketing 101: More Exposure = More Buyers = Higher Demand = Higher Sales Price. You need to make sure you are getting as much exposure as possible; an internet posting and a Home Depot sign on the front lawn will simply not suffice in this day and age.

Try this: Spend some time uploading your listing on as many websites as you can, and use keywords in your listing description that will come up in searches. Put an information package together on your property and send it out to the top-selling agents in the area, and leave some at home for potential buyers.

3. Take Your Home Seriously

Is there ever was a time – this is it. You want to make sure that your home is portrayed in the best light as possible. Potential Buyers should feel privileged to purchase a home as desirable as yours, right?

Try This: Clean and de-clutter. Invest in some storage organizers and get your home in order. Revive your home with a Spring Cleaning regardless of the season. If you can’t take great pictures, pay someone to. Professional photography brings out the best in your home, and will give it that WOW factor.

Have a look at www.FitToSell.ca for ideas!

4. Focus Marketing on ‘Premium Paying’ Buyers, and Filter out Bargain Hunters

Why would anyone shop purely for private sales? To find a bargain, that’s why! Don’t attract a swarm of bargain hunters and set yourself apart from the rest.

Try This: Insist that buyers either bring a letter from their lending institution saying that they are qualified to purchase a home such as yours, or that they are accompanied by a Realtor. Not only should Realtors should only be showing a buyer properties that they are qualified to purchase, those very buyers that are working with Realtors understand that they are viewing homes with commissions ‘built-in’, and are therefore prepared to purchase a home that will have a slight premium attached to it. Which would you rather, a swarm of bargain hunters, or a swarm of premium payers? Realtor’s attract premium payers because Buyers trust the brokerage, feel confident in it’s abilities and reputation, and require professional results. Offer as much money to a cooperating brokerage as you feel comfortable. You will attract the cream of the crop Realtors and Buyers – and the Realtors will have more incentive than ever to close a deal with more commission at stake, so you may very well be able to re-coup the commission in your price and/or negotiations.

4.5 Consider a Professional

Remember, homeowners have ALWAYS had the ability to sell their homes privately, right?

So ask yourself – why was the industry ever created in the first place?

A few reasons include (but are not limited to):

Professional execution of the four points listed above
Strong negotiations that retain money and protect interests
Ensuring the coordination and cooperation of all parties involved (lawyers, inspectors, appraisers, engineers, other Realtors, other buyer/sellers), so that a deal is not fumbled due to miscommunication or incompetence.
Professionalism and experience to protect clients from various legal pitfalls.
Proper completion of various legal documents
Full time efforts and advocacy for properties

Would you spend a dollar to earn two? With a good Realtor, commission is an investment that will NET you more money at the end of the day (Notice I specified – with a GOOD Realtor?).

After all, what is more important – how much you invest in a professional, or how much money you NET?

I trust this information was helpful to you! If you have any questions or concerns, please do not hesitate to contact me at any time personally at (613)868-4383

For a FREE and NO-OBLIGATION Comparable Market Analysis of your home, email me at MarcEvans@remax.net

Ask about the 6 smartest home renovations!

Personal, Real Estate - ANALYSIS, Thought Process - THOUGHT PROVOKING, Uncategorized

Who’s Bottom Line is Being Negotiated Here? Not Mine, That’s for Sure.

When representing a Buyer I often get asked, “Is your commission negotiable?” Quite often, my reply is, “Well, anything is negotiable – but my bottom line does not move, I’m sorry.”

How rude.

Really?

The way I see it, and I am confident that any good Realtor sees it – is that they are worth something. My time is worth something, so is my effort and my results. But enough about me – what about the client?

How does a discounted commission effect the people whom we represent? For one – Buyers signed up under Buyer Agency Agreements (BAA) have me and my entire brokerage behind them finding them the best deal possible. In this BAA we talk about big bad commission and how much money we are going to make by doing all of this work. Quite often enough, the commission is set at 2.5%. I let my buyers know that in the event that the listing end is NOT offering 2.5% to my brokerage, then they will be responsible for the difference up to the stated amount (i.e. Listing offering 1.5% and Buyers agree my brokerage should get 2.5% – the BUYERS will pay the 1% deficiency). I also tell my buyers that there will be a deficiency BEFORE the offer is made, and that they may have to pay themselves. So what do they do? What would you do? Let say the offer price is $250,000 and you now realize you will have to pay me a $1000 shortfall. What would you do? Just as I thought – you would offer $249,000 and pay me. So who’s pocket does the money come out of? RIGHT! – the SELLERS (they got $1000 less in their pocket, and the Buyers still paid the regular price in the end).

So tell me – why are sellers only offering 1.5% up when the offers coming in are going to be 1% less to make up the difference?

What’s worse is that it is possible that these Sellers who are not offering a fair commission to cooperating brokerages, are not getting fair exposure to buyers because other Salespersons may be hesitant to show properties that aren’t paying! These Sellers are often seen as headaches to a lot of people (sorry to say, but Im being honest) – when it doesn’t even make a difference to how much $$ is involved! Why make yourself a headache for no reason? Why put a big X on your forehead for NO REASON?

So the money comes out of the SELLERS pocket regardless, and now the seller is hurting their chances of getting the BEST kinds of Buyers in to their house (qualified by buyer agents aka they HAVE MONEY), AND they have set the stage for a potential deal with two picky and unhappy parties. Who wins? The sellers don’t, I know that much.

So what about the Seller that has a Professional Real Estate Salesperson list their home for them and who agrees to take a hit on their commission to get the business?

To this Seller I have one question: Do you REALLY want a Salesperson to price, list, negotiate, and close on your home – one of the biggest investments in YOUR life (not theirs), one that is supposed to represent your best interests and fight for you and your bottom line – if they can’t represent their own best interests properly, fight for themselves or their own bottom line? Do you? What if I told you this discount commission you are ‘saving’ is actually coming out of your pocket REGARDLESS in the form of a % difference on incoming offers to pay the buyer agent? WHAT IF the salesperson employed is giving you a certain % of their effort for your certain % of pay?

You shouldn’t want that. You should want a strong, smart, resourceful and determined Salesperson that will not only stand up for themselves, but stand up for YOU and YOUR INVESTMENT and YOUR MONEY.

I wouldn’t hire a discount army to defend my country and I wouldn’t hire a discount doctor to look after my loved ones. I don’t even want a discount dry cleaner to clean my suits for Pete’s sake! Why would anyone want a discount Realtor to represent them with hundreds of thousands of dollars in the balance?

Do a good job, deliver what you said you would, and make me happy and you will get my business.

This country was founded on hard work that relied on honourable businessmen with integrity and an unbreakable work ethic. When my grandfathers were working in the bush and risking their lives to feed their families, or working with the military to rescue my relatives from abroad – they did so with by being strong, prepared, qualified, honest, smart, determined, and hard working.

As they were – so am I.

I will not negotiate my bottom line, and I will not negotiate yours.

Real Estate - ANALYSIS, Uncategorized

Selling Your Home Yourself? Remember These 5 Important Points

PRICE – Pricing the Home – MOST MONEY POSSIBLE

Know exact Value (Past Trends and Comparables)
Know Acceptable Mark-up (Street Specific)
Price to Situation (Low if you need to sell, higher end all else)
Do NOT overprice (worst thing you can do)

EXPOSURE – Marketing the Home – BEST ODDS OF MOST MONEY

De-Clutter and Stage
Signage (Front Lawn + Directional’s)
Print Advertising (Magazine, Newspapers)
Website Advertising
Local Advertising (Flyers, Feature Sheets in local stores)

QUALIFY – Qualified Buyers – BRING MONEY TO THE TABLE

Make sure they have been pre-approved
Verify personal circumstances to make sure they can act and aren’t wasting your valuable time
If they are working with a Realtor, you can be assured they are qualified

NEGOTIATE – Watch bottom line – KEEP MONEY IN YOUR POCKET

Remember your pricing strategy and stick to your guns
Play the Buyer’s role and try to identify your own weaknesses
- Deal with them before the Buyers do

CLOSING – Secure it – FOLLOW MONEY TO YOUR BANK ACCOUNT

Contracts, Clauses and Conditions
Schedule Conditions and Manage them
Be diligent until deal is tendered

Be smart, be prepared, work hard and a Profitable Sale can be made – I do it all the time.

To get you started, I would be glad to offer you some of the basic sales statistics in your area to give you a better idea of how to price your home– no obligation.

If at any time you would like to hear how I can significantly increase the odds of bringing good money to the table, keep it in your pocket and make sure it gets to your bank account – please do not hesitate to ask me. It’s my job and I am very good at what I do.

Real Estate - ANALYSIS, Uncategorized

SPOTLIGHT: Spring Valley Trails (Claridge in Orleans/Navan)

Curious about all the buzz about the new Claridge Homes in the Mer Bleue Conservation area? Have you been hearing about these homes but haven’t had the chance to get out there yet? In this piece I will be taking a closer look at this development and giving you an insiders peek at what has been eating up the new home market share in Orleans / Navan.

First and foremost, I should provide you with the Spring Valley website, which is http://www.claridgehomes.com/Find%20A%20New%20Home/Spring%20Valley%20Trails/index.html .

Second, a little history…

In 1971, Bill Malhotra immigrated to Canada and took up jobs as a consulting engineer and then Chief Structural Engineer for the city of Ottawa, where he developed a strong understanding of the local development community. In 1986, Mr. Malhotra built his first home and started the Claridge Homes Group of Companies which now employs more than 150 full-time people and has become a market leader in home building and high-rise property development. Enough History.

Fast forward to today: One of their more recent developments is Spring Valley Trails, located in the Mer Bleue conservation area in Navan.

Entry to this development starts at $231,900.00

One of the major appeals of this area has to be the surrounding environment and its appeal to the outdoor enthusiast. This community is riddled with stunning views, sprawling parklands and walking trails that will attract buyers just as much as the homes themselves will ( don’t worry – I’ve included pictures!)

Spring Valley Trails has a variety of bungalows, semi-bungalows, singles homes varying frontages to give you as much yard as you desire, semi-detached homes and the ever row-unit townhome models. Between these five housing types, there are up to THIRTY NINE models to choose from, so you can find a great match to suit your personality and lifestyle.

Some of the more popular features and finishes in these homes include:

Embossed, colonial-style steel sectional, overhead garage door
Architecturally styled, exterior and brick details as per plan
Central vacuum system rough-in
Water saver low-flush toilets
Pre-moulded or Roman tub in ensuite bathrooms as per brochure
China sink in all bathroom vanities as per brochure
Gas burning fireplace as per brochure
Solid oak handrails and spindles as per plan
Quality crafter kitchen cabinets and countertops from builders standard samples
Pre-cast patio stone walkway
One year warranty with Claridge Homes

It should be noted that the official website boasts over 80 features and finishes in their new homes!

Furthermore, they are offering a special bonus offer on their Semis and Towns that see a fridge, stove, dishwasher, finished basement recroom and gas fireplace (excluding the Avondale model) all included! Singles are offering included hardwood in living/ dining and lower hall area, ceramic in main and ensuite baths and nine foot ceilings!

To get to the Sales office, you can go down Page Road, then right after Navan road you would turn right down Renaud. Alternatively, you can take Mer Bleue down to Renaud and go right as well.

Merbleue01

Note: These photos are slightly outdated.

Merbleue02

Quick shots of surrounding environment:

Merbleue03

Friends of mine who have recently purchased a Claridge home have said the following:

“We chose to buy from Spring Valley Trails because of the amazing location in the rapidly growing area of Orleans. They have gorgeous floor plans, many of which have that open concept which we truly adore. The prices were quite reasonable, and while we chose to purchase some upgrades, the base models were also very attractive and of high quality.”

Another one said :

“Here are some of the reasons why we bought our Claridge home (which, P.S. we’re moving into in about TWO WEEKS TIME! Eeeeee!)

Spring Valley Trails offered us great incentives which included hardwood flooring on the main level, ceramic tiles in the kitchen, foyer, and bathrooms, a finished basement, air conditioning, a gas fireplace, and $1250 towards appliances.
We are outdoor enthusiasts and love the location of this new development. It’s very close to the Mer Bleu Conservation Area and the Navan Township.
The Trim and Innes (Avalon) areas boast beautiful homes, but we find it much too congested for our liking. Although it will grow, Spring Valley Trails is tucked away from the busy shopping and traffic on Innes Road but still provides great access to everything we need.
We wanted to buy into Phase 1 of a new development to allow for a greater profit when we sell.”

For more information on Spring Valley Trails, please feel free to contact me at any time! It would be my pleasure to provide you with any kind of information or services that I can.

I’m here to help!

All the best,

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Real Estate - ANALYSIS

Sales Wave – Ottawa Condo’s

A good friend of mine wants to sell his condo in the beginning of the new year.

He tells me he wants to catch the ‘sales wave’ to make sure he throws his condo in the market at the best possible time, when buyers are out in the masses and he can target the largest and most active market.

I point him to the Ottawa Real Estate Board Sales Statistics, and show him a Trends Analysis for the Ottawa Condo Class…

Here is the wave of activity:

CondoTrends

I would advise him to get prepared in January and February, then make his jump in late Feb/early March.

Surfing

Get it?

On the other side, if you miss the tail end of the Fall wave, you might have to wait for the next one in the Spring!

Cheers

Real Estate - ANALYSIS

Fallingbrook/Princess Louise Insight

Hi Rob,
Thanks for writing.
You’re area is Fallingbrook/ Ridgemount, which mainly consists of the Pricess Louise Crescent and the smaller crescents that come off of it. Did you know you live right next to Adam and Zeyad Elsaadi?
Here we go…
Within the past 12 months there have been 118 total sales in your direct area.
The top 10 highest selling homes are all on different streets, so there is no real ’sweet spot’ per se. I do notice however, that you have many 4, 5 and 6 bathroom houses!
No real consistency in features either besides two car garages and big yards. Some have incredibly landscaped backyards, very spacious and unique living areas and others have very rich flooring. What this means is that you can play to both your strengths and whatever natural feature your current home has, and really blow the market away with one or two huge selling features. There seems to be no magic upgrade that is doing it for everyone in this area.
Specifically on Briarfield would be a good way to look at things. Maybe I can narrow a valuable trend or two down. Lets see…
9 homes on Briarfield in the past 12 months.
208K to 234K for an average of 221K and 28 days on market on average.
The consistencies I find with the top three on Briarfield are Hardwood floors, excellent paint jobs and one more extra – be it hardwood upstairs, a deck in the back, or a beautifully finished basement.
The bottom three all need a paint makeover! IF YOU HAVE UGLY PAINT in YOUR HOUSE when you TRY to sell – eesh. I will come over and paint it myself if I have to! This is a consistent factor amoung the cheapest houses on your street. The other factor is cheap flooring. Now carpet and laminate arent necessarily bad – but the wrong kind or quite frankly an ugly kind, are bad! If you are making some upgrades and decide to stay on a tight budget – go real heavy on the workmanship and overall appearance.
One thing I noticed – REALLY INTERESTING. No one has upgraded kitchens or bathrooms. Ok, I should quantify that – no one has DRAMATICALLY updated kitchens. Quite often you see some that have stainless steel appliances, or the granite counter tops. NOPE, not here! Looks like you can get away with some average upgrading in those respects (which is weird because they are usually the biggest selling feature). For that matter, if you really want to stand out, maybe you want to be the only one with dramatic upgrades in those areas.

I hope that gave you an idea of what the sales acitivity is like in your area, and what kind of features are getting what kind of response when it comes to buying and selling.

Thanks again for asking,

Cheers

Keep the questions coming folks!

Want an analysis on you’re area? Just ask!

house

Real Estate - ANALYSIS

Two TOP SELLING Streets in Queenswood Heights

Danniston Crescent and Turnberry Road!

Danniston is off of Wildflower and backs on to the ravine, while Turnberry is just down Wildflower on the other side of Des Epinettes.

What did they have in common BESIDES upgraded kitchens, bathrooms and hardwood floors?

Hardwood on the main level stairs
Interlocked and landscaped backyards
An in-ground pool

What about the top selling features in other Orleans pockets?

Convent Glen, Chapel Hill, Fallingbrook, Avalon – What do you want to know?

poollandscape