7 Habits of Highly Effective Home Buyers – Part 2

By 179479 on Thursday, September 20th, 2018 in Uncategorized. No Comments

 

7 Habits of Highly Effective Home Buyers – Part 2

 

If you enjoy Leadership books, Steven Covey’s 7 Habits of Highly Effective People is a fantastic book! A few notable quotes from the book include:

 

“At some time in your life, you probably had someone believe in you when you didn’t believe in yourself.”

“How you treat the one reveals how you regard the many, because everyone is ultimately a one.”

“When the trust account is high, communication is easy, instant, and effective.”

 

Last week we covered Steven Covey’s first three habits, which included be proactive, begin with the end in mind, and put first things first. If you missed the article, visit our blog at WeSellLeduc.com.  This week we’re finishing up with the next four habits.

 

Habit #4: Think WIN WIN

Covey’s habit #4 thinking WIN WIN is about finding solutions that work for everyone involved, especially when it comes to negotiating on a property. During negotiations nobody wants to feel cheated or mistreated. If you enter negotiations with little to no flexibility, you’re likely to experience more resistance and push back from the other party.

Seeking WIN WIN starts with knowing what elements of your offer have more negotiating room. It’s possible these elements will line up favorably with the seller, and when they do, they’ll be more inclined to offer what’s more important to you as well.

Before you can get to an offer, you want to be thinking WIN WIN with the person you’re buying a home with. It makes it difficult, and if not impossible to know when you’ve found the right property when you’re not on the same page. Discuss in advance what features are most important to each of you and bring forward those that are the same. Any features that are different, determine on a scale of 1-10 exactly how crucial they are to you.  Those that rate an 8+ again would be brought forward to be a part of your property search. Any features that rate lower on the scale, you may choose to dismiss since they aren’t as high of a priority.

 

Habit #5: Seek first to understand, then be understood

When given the opportunity, we all want to share ‘good’ advice. There are times though that the advice doesn’t line up with the situation at hand. Good real estate advice can change depending on the market, the season, how many homes are for sale, pricing and more. Before seeking to be understood, it’s wise to meet with your Realtor to have a better understanding of the market within your price range and the buying process.  Ask as many questions as needed to gain added insight so that when you find the right home, you’re more prepared and confident to take the next step towards making an offer.

 

Habit #6: Synergize

Ken Blanchard, co-author of The Leadership Pill says, “”None of us is as smart as all of us.” When buying a home, you could do it all on your own, investing a lot of time and money, hoping for the best, or you can hire a team of professionals who are committed to working on your behalf. This extends beyond hiring a Realtor. You also want a home inspector, mortgage specialist, lawyer and beyond to support your home purchase. Depending on the results of your property inspection, you may have to hire a mold specialist, foundation specialist or an engineer to further investigate the property. As a Realtor I can offer real estate advice, however beyond that I provide a better service to you by referring you to trusted professionals in other fields who know their industry best. This way you’re supported with the most effective advice and support from start to finish.

 

Habit #7: Sharpen the saw

Covey’s 7th habit is about learning and growing along the way. If this is your first home buying experience it will likely feel overwhelming. There is so much to learn in a short period of time.  You may even experience a few unexpected bumps along the way.  Thankfully with the right support, you’ll be learning and growing from the entire experience to be better prepared the next time you buy a home, even if it’s 5-10 years away.

 

With these 7 habits being put to work, you’ll be a highly effective homebuyer in no time! Whatever it is that we can do to help, our team is excited to support you. Whether it’s as simple as answering questions about the market, setting you up on an automated property search, or helping you find the right home, we’re here for you!

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact Jason direct at 780-919-0004, LIKE our Jason Rustand Team Facebook page, email jrteam@shaw.ca or visit WeSellLeduc.com.

 

 


7 Habits of Highly Effective Home Buyers – Part 1

By 179479 on Thursday, September 13th, 2018 in Uncategorized. No Comments

7 Habits of Highly Effective Home Buyers – Part 1

 

We all want to succeed, especially when it comes to finding the right home. One path to success is identifying the habits that will help us get there. Just like how there’s no quick fix to building our integrity, there is no quick fix to finding the right home.  Many steps must come into place before this dream can be realized.

 

In the next 2 weeks, we want to share with you the 7 habits of highly effective home buyers. Buying a home is like planning a wedding in that various elements need to be organized before you’re ready for the big day.  Even if you don’t plan to buy for a few months, there are still steps you can put into place today to ensure you’re ready when the time is right.

 

Habit #1: Be proactive

In every market you can find properties that are priced well.  You want to have all of your finances lined up in advance, so that you’re in a position to make an offer when you find the right property. This means getting a mortgage pre-approval now. There are a few reason this is so valuable. First of all, most mortgage specialists can do a rate hold for up to 90 days. As rates continue to be amongst the lowest we’ve seen you want to ensure you’re getting the best opportunity possible. Also, your ability to qualify is highly dependent on your credit rating. If needed, you want to discuss strategies with your mortgage specialist to help build your credit so it’s in good standing when it’s time to apply for a mortgage. Lastly, before you start shopping for a home, you need to know how much of a budget you have to work with. This is especially true with the updated mortgage qualifications which require all buyers with less than 20% down be qualified at a higher rate vs. posted rates.

 

Habit #2: Begin with the end in mind

Before you set out to buy the best looking home in your price range, you want to ask a few key questions such as: How long do we plan to live in the property? Do our current wants support our future goals? For example, if you plan to get married, have children, or start a home based business; will the property you buy today still support these future goals? Do our wants and price point support the lifestyle we want to have? For example, based on your total housing expenses can you still travel, go for dinner, a movie or concert? Can we buy spontaneous gifts for others or ourselves? What neighborhood(s) are we drawn to and why? Is proximity to schools, playgrounds, transportation, or shopping important today and 5+ years from now?

 

Habit #3: Put first things first

Now that you’ve determined your budget and know what kind of a property will support your future, you want to get a realistic idea of what’s in the market. Thankfully you can do as much research as you desire from the comfort of your own home. You can search MLS.ca or visit our website at WeSellLeduc.com. You can drive around neighborhoods and inquire about local schools. To gain added perspective about schools feel free to visit Leduc Mamas Facebook page and ask what schools parents have enjoyed and why. You can visit open houses and show homes. One of the best things you can do is get set up on an automated property email list. This is a service provided by a Realtor where you’re automatically emailed any new properties that come to market in your search criteria. If you don’t already have a Realtor offering this service to you, feel free to contact us and we’d be most happy to get you started.

 

Be sure to check back next week for the remaining habits of highly effective home buyers.  Whatever it is that we can do, our team would be honoured to help you! Whether it’s as simple as answering questions about the market, connecting you with the right mortgage specialist, setting you up on an automated property search, or helping you find the right home, we’re here for you!

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact Jason direct at 780-919-0004, LIKE our Jason Rustand Team Facebook page, email jrteam@shaw.ca or visit WeSellLeduc.com.


How to Determine Your Offer Price

By 179479 on Friday, September 7th, 2018 in Uncategorized. No Comments

How to Determine Your Offer Price

 

Last week we reviewed 5 questions to help you know if you’re ready to make an offer on a property.  If you missed that article, you can see it on our blog at WeSellLeduc.com.  Once you know you’re ready, the next question always is, “How much do we offer?” Today we’re talking about 5 key factors that will help you determine your offer price.

 

  1. Comparable properties. Before writing an offer, it’s wise to have your Realtor perform a CMA (Comparative Market Analysis) to confirm what comparable properties are selling for in the neighborhood. This will help you determine a fair purchase price to settle on, however that doesn’t necessarily equate your offer price.  After receiving their Realtor’s advice, some buyers will set their offer price at 2-5% less than their expected purchase price. Others will offer what they’re willing to buy the property at. It becomes a one-time offer where the seller can choose to accept it, counter it, or reject it. We also see a smaller pocket of buyers who will offer a much lower price. A low offer can be justified when the property is listed higher than market value. However, when a property is already listed at a fair price, you risk the seller(s) not wanting to work with your offer at all when you offer too low.

 

  1. How many other properties meet your criteria? With a lot of competition, we experience a ‘buyer’s market’, which allows you to offer less. Keep in mind there are likely many other buyers in the market with a similar search criterion, especially when you’re looking within a lower to mid-price range. Currently in our market, the competition is stronger with those detached properties priced under $400,000 compared to those priced higher than $450,000.

 

  1. Days on market. If a property is new to the market, it’s unlikely the seller will negotiate a lot from their asking price.  From a seller’s perspective, they’ve probably had a fair number of showings, and they simply aren’t that motivated yet. On the other hand, when a property has been for sale for 3 months or more, motivation tends to increase. This is particularly true as showings become less frequent the longer a property has been on the market.

 

  1. Price reductions. If a motivated seller hasn’t sold their property in the first 30-60 days, they’ll likely consider reducing their list price. With a new price, comes exposure to new buyers, which means there could be increased competition. In this case, if the property is now at or below market value, we’d advise against offering too low of a price.

 

  1. Knowing a seller’s motivation is a strong indicator of how much to offer. This is one of the reasons why as professional Realtors we are to keep all personal information confidential. As a buyer, if you discover the sellers are going through a divorce or financial hardship, you may be inclined to offer less because you know their motivation is very high. This is also true for a relocation or if they’ve already bought another property. If on the other hand, the sellers are thinking about upgrading, but only if they get the right price, then you can clearly see the motivation is much less.

 

You can be assured that when you have a professional, integrity driven Realtor working for you, he or she will do everything in their power to help you achieve the best price on your future home.  Our community has many great realtors to choose from. If you don’t already have one, feel free to contact us today.

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time. For more info on this topic or others related to real estate, LIKE our Jason Rustand Team Facebook page, call us direct at 780-980-2828, email jrteam@shaw.ca or visit WeSellLeduc.com


Answer These 5 Questions Before Making An Offer

By 179479 on Friday, August 31st, 2018 in Uncategorized. No Comments

 

Answer These 5 Questions Before Making An Offer

 

Searching for the right home can bring out stress and indecision in all of us. You found the home you love, but it’s a little more than you were hoping to spend. The location is perfect, but you’re not sure about the bright green bedroom. So how do you know if you’re ready to make an offer? Answer the following questions to give you more certainty.

 

Does it fit my budget?

With the increased cost of housing over the past decade, it doesn’t take much for one to become “house poor”. If you haven’t heard of the term before, it’s when people spend a large portion of their income on their home, and have only a small portion left to live on.  Sure, they may be able to budget their bills and groceries, but if major expenses haven’t been accounted for, credit becomes the most viable resource.

 

So how do you know if it’s a manageable payment for you? Early in your research, determine what price point you’d like to spend. Visit a Mortgage Specialists’ or lender’s website to work out your average monthly payment based on the posted 5 year rates. Then, practice your new payments. Whatever is in excess to what you’re currently paying simply set that amount into a separate account. You’ll likely find these savings to be extra helpful to cover the cost of a property inspection and/or legal fees later.  If the additional expense is easily manageable, then you’re probably ready to write an offer within that price range.

 

Is the property listed for more than it’s worth?

We’ve seen many people over the years owe more on their home than it’s currently worth. This is quite devastating as it leaves a homeowner without options if they want to move. Hire a professional Realtor whom you can trust, and who will show you comparable properties to ensure the property is listed for market value. If it’s a fair asking price and you feel it’s the right home, then it makes sense to make an offer.

 

How is the location?

We’ve said it before that the one thing you cannot change about a property is the location. Ask yourself the following questions: How is our commute to work, school, shopping etc? Is the neighborhood safe and a good fit for us? How are the neighbours? If you feel good about these answers then it’ll likely a good location for you to consider.

 

How much work is needed?

Before starting your property search it’s a good idea to determine how much time and money you’re willing to put into a property. Many couples admit that major renovation projects nearly ruined their marriage. It’s inconvenient and often difficult to live through home improvements. Before making an offer, carefully assess the property’s condition, and estimate how much time and money you’re willing to invest. Give yourself at least an extra 15% margin for unexpected costs to show up.

 

What’s your gut telling you?

Can you envision yourself in the home? Are you excited about the possibility ahead? Does it feel right? Trust these instincts. If it feels like it’s the right home, then it likely is. If you’re going back and forth, feeling uncertain, then you may want to take a little more time to think it through before making an offer.

Do you have questions about the market? Are you planning to buy or sell a home? Contact us today! We’d be happy to answer all your questions, and when you’re ready, we’ll do everything we can to help the process be as smooth and enjoyable as possible.  It is always our highest honour to serve you!

 

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time. For more info on this topic or others related to real estate, LIKE our Jason Rustand Team Facebook page, call us direct at 780-980-2828, email jrteam@shaw.ca or visit WeSellLeduc.com

 


5 Steps to Ease the Stress of Selling Your Home

By 179479 on Friday, August 3rd, 2018 in Uncategorized. No Comments

5 Steps to Ease the Stress of Selling Your Home

 

Whether this is your first sale or your fifth, selling your home is one of the most stressful things you’ll endure. Staying hopeful and positive as you navigate this challenging process is imperative.

 

Here are some simple yet useful ways to help you ease the stress while selling your home.

 

  1. Hire a local, integrity driven Realtor. Hiring a local real estate agent means you’re working with someone who knows and understands the market they’re working in. Having a Realtor work for you helps reduce emotions during negotiations and lessens the risk of offense. A Realtor can also make suggestions on how to present your home, offer professional (and experienced) advice to ensure everything goes as smoothly as possible.

 

  1. Declutter your home. Decluttering is something we talk about again and again because it’s crucial during the sale. You want buyers to see your home, not how full of stuff it is. Before listing your home, get rid of things you won’t be bringing with you to your new home.  Always have dishes done, counters and floors cleaned, closets half full, laundry and vacuuming done and clean the bathrooms thoroughly. If this feels like too much, you may consider hiring a professional cleaner during your sale process.

 

  1. Plan day trips or a vacation. Planning a vacation as soon as your house hits the market will bring tremendous freedom. The first few weekends a house is on the market is typically when it has the most showings. Allowing your home to be easily accessible without you having figure out what to do each day could be invaluable to your selling process. Plan a day trip or an all-day activity such as heading to the beach, a mall or a weekend getaway. Think of this time as an investment in your personal well-being by lessening cleaning, scheduling and stressing.

 

  1. Maintain a healthy lifestyle. One of the best ways to ease stress when selling your home is adapting and maintaining a healthy lifestyle. Get plenty of sleep and exercise, eat healthy foods like fruits and vegetables, nuts, seeds and lean proteins that increase energy and clarity. Walk for 30-60 minutes each day or take your kids to the park and have quality time together. These added efforts will keep you physically, mentally and emotionally healthier, improving how you respond to potential stress.

 

  1. Accept the facts and be flexible. Any change in routine can increase stress. The longer your house is on the market, the more cleaning, showings, accommodating, scheduling etc. you will endure. Selling a house takes time so you want to have realistic expectations. Your property may realistically have more wear and tear compared to your competition. Your home may be worth less than you thought it was. Knowing the facts and being flexible will help alleviate the stress you’re already experiencing. Stay positive, hopeful and trust the process! When you hire an integrity driven Realtor who knows the local market, he or she will be honest about what you need to know even if when it’s difficult to hear.

 

Do you have questions about the market? Are you planning to sell or buy a home? Contact us today! We’d be happy to answer all your questions, and when you’re ready, we’ll do everything we can to help the process be as smooth and less-stressed as possible.

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact LIKE our Jason Rustand Team Facebook page, call Jason direct at 780.980.2828, email jrteam@shaw.ca or visit WeSellLeduc.com.

 

Referenced from https://www.ylopo.com/blog/2017/11/28/6-of-the-best-ways-to-manage-stress-when-selling-your-home

 


Tips to Creating an Outdoor Oasis

By 179479 on Friday, July 13th, 2018 in Uncategorized. No Comments

Tips to Creating an Outdoor Oasis

 

An outdoor oasis simply cannot compare to those in warmer climates. A few months ago, we were down South visiting friends. We spent lots of time in their pool, relaxed on their beach chairs and in the hot tub. We sat around their gas fire and our kids even watched an outdoor movie from floaties in the pool. In every way they had what I’d call an outdoor oasis.

 

Though it’s virtually impossible to compare, we do have some great ideas to update your outdoor space for it to be more enjoyable with friends and family.

 

First of all, if you haven’t already done so this year, an oasis-like feel begins with cleanliness. Power washing the exterior of your home, deck, and driveway offers a fresh feel as it removes all the dirt and build up. Maybe you’re like us where your deck and porch areas have been decorated with webs from giant sized spiders. These too you can spray away. Power washers are fairly inexpensive, especially if you can find a Canadian Tire sale. Or you can rent one from The Rental House starting at $27.

 

Next, see what areas may need painting or staining. How’s the condition of your deck, fence, porch, gazebo, trim, doors etc. If peeling, allow a full day or weekend to get a painting project done.

 

Patio furnishings adds a warm, colorful and welcoming ambiance to your deck or patio. Home Sense, IKEA, Canadian Tire and WayFair.ca offer a variety of options whether you’re searching for a full furniture set or smaller additional pieces, cushions, pillows or outdoor rug. For added color, add flower pots and planters.

 

If you prefer a private setting, consider building a privacy wall or buying a gazebo. Add strings of patio lighting for a soft and intimate setting. If your deck or patio space permits, buy a propane fire pit table to keep warm as the evening sun sets.

 

Water features are incredibly appealing, whether it be a small pond and/or a water fountain. The sound of water flowing has a way of easing and releasing stresses from the day. It’s important to utilize them on a regular basis to keep them in good working order.

 

Another attractive ‘water feature’ is having a pool or hot tub. If you’re fortunate enough to have a walkout basement, your lower patio is a perfect place for a hot tub. Though hot tubs are wonderful to have, they can be relatively costly for the initial purchase and installation.  The cost of maintenance even through the winter is fairly minimal. Pools are rare in our province, simply because the upfront cost to install is not worth the limited use each year. If you are fortunate enough to have a pool and don’t mind the maintenance, you are definitely among the minority. Interestingly, having a pool will do very little to increase the value of your property since it is a matter of buyer preference.

 

Lastly, landscaping is probably the biggest piece to creating an outdoor oasis. If you need a remodel or simply want a redesign, we highly recommend speaking with Jeff and Amanda Sawatzky with Anew View Landscaping at 587-274-4402.

 

Do you have questions about the market? Not sure if now is the right time to make a move? Contact us today! We’d be happy to answer all your questions, and when you’re ready, get to work for you!

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact LIKE our Jason Rustand Team Facebook page, call Jason direct at 780.980.2828, email jrteam@shaw.ca or visit WeSellLeduc.com.


Pros and Cons to Buying a New vs. Resale Condo

By 179479 on Friday, July 6th, 2018 in Uncategorized. No Comments

Pros and Cons to Buying a New vs. Resale Condo

 

There are significant differences between buying a new condominium and a previously owned (resale) unit. When deciding whether to purchase a new or resale condo, it is wise to consider the advantages and disadvantages of each.

Some Pros of Buying a New Condo:

  • You can often get a lower purchase price (depending upon market conditions). Lower price points are often offered in the initial sales stages to get the project ‘up and running’.
  • If you buy early enough, you can get a better selection of units and location within the building.
  • You can get a broader range of upgrades (at agreed upon additional costs).
  • Condo fees are generally lower compared to buildings that are 5+ years old.
  • You’ll most likely get new home warranty protection.

Some Cons of Buying a New Condo:

  • If show suites are not available, you cannot see what you are buying and must rely on sketches and floor plans.
  • Your initial deposit will be tied up for the duration of construction.
  • You will most likely end up paying GST, which is often built into the purchase price.
  • Construction of your unit may be delayed from the original projected date.
  • You may move into your unit while construction continues in others, which can be noisy, dusty, and disruptive.

Some Pros of Buying a Resale Condo:

  • You get what you see, for the most part anyway.
  • There are no lengthy waiting periods before you can move in unless already agreed upon in writing.
  • Deposits are typically much lower for resale purchases.
  • You can check out the community in advance to see how well the corporation is run, and if other owners/occupants are agreeable with your needs and lifestyle.
  • Landscaping and grounds areas are complete and likely more mature.

Some Cons of Buying a Resale Condo:

  • You have fewer unit options to choose from within the building.
  • Older resale condominiums may require more maintenance and repair than new ones.
  • The amenities that you may find desirable (for example, a workout room, whirlpool, security features) may not be available.
  • Older resale units may not be as energy-efficient as newer units.
  • Major repairs may be coming due that could require a special assessment to the unit owners if the reserve fund is underfunded.

Still not sure if condo ownership is right for you? Or are you planning to buy or sell a property? Contact us today! We’d be happy to answer all your questions, and when you’re ready, get to work for you!

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact LIKE our Jason Rustand Team Facebook page, call Jason direct at 780.980.2828, email jrteam@shaw.ca or visit WeSellLeduc.com.

 

Referenced from https://www.cmhc-schl.gc.ca/en/buying/condominium-buyers-guide/chapter-4-buying-a-condominium


Pros and Cons to Condo Ownership

By 179479 on Thursday, June 28th, 2018 in Uncategorized. No Comments

 

Pros and Cons to Condo Ownership

 

Condominium living can be an appealing housing option. It’s often more affordable and easier to care for as someone else handles maintenance and repairs, such as shovelling snow and replacing the roof. Many condominiums have enhanced security features over those found in single-family homes and offer a wide range of social, entertainment and recreational activities.

Wondering whether or not condominium living really is the right choice for you? Like most types of housing, condominiums have their advantages and disadvantages. Carefully consider all of these pros and cons when deciding whether or not a condo fits with your personality, lifestyle and finances.

 

Pros:

  • You have fewer maintenance and repair responsibilities.
  • You have access to on-site amenities such as a games, party, exercise and guest room. Some larger buildings may even offer a swimming pool, hot tub or sauna.
  • You will likely have enhanced security features in your building.
  • You’ll have peace of mind while you’re on vacation knowing your neighbours are close by.
  • You get to contribute feedback to condominium decisions. As an owner you have voting rights and can be elected to the board of directors.
  • You have a community that may offer a range of social and recreational activities, often geared to a specific lifestyle. The biggest example of this is found in age restricted buildings.
  • A simplified lifestyle and possible lower costs could allow you to do more of the things you love.

 

Cons:

  • You may not be able to decide when maintenance and repairs get done.
  • You may have to pay for amenities, whether you use them or not.
  • You may experience less privacy, space, and possibly more noise.
  • There is often limited visitor parking available for guests.
  • If a unit upstairs has a water leak, your unit may experience water damage too.
  • Though rare, it is still possible a special assessment can be charged for unexpected repairs.
  • You may experience a higher rental population which could affect care and attention to the building.
  • Some condos have restrictions on things like noise, parking, pets, balcony décor, smoking etc.

 

Still not sure what type of home ownership is right for you? Contact us. We’d be happy to answer any questions you have. Also, if you’re planning to buy or sell a property, call us today! We’d love to work with you. It is always our highest honour to serve you!

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact LIKE our Jason Rustand Team Facebook page, call Jason direct at 780.980.2828, email jrteam@shaw.ca or visit WeSellLeduc.com.

 

Adapted from https://www.cmhc-schl.gc.ca/en/buying/condominium-buyers-guide/chapter-3-the-pros-and-cons-of-condominium-ownership


Delayed Dreams of Home Ownership for Millennials

By 179479 on Thursday, June 21st, 2018 in Uncategorized. No Comments

Delayed Dreams of Home Ownership for Millennials

Millennials are considered to be within the age range of 22 and 37 years old in 2018. More millennials today are renting for longer or lengthening their stay with family while trying to save a property down payment our harder to afford housing market.

As of January 1, 2018, new mortgage rules subject buyers to stricter qualifying criteria, known as a ‘stress test’. The stress test determines if a homebuyer could still afford their principal and interest payments should interest rates increase. This stress test uses either the 5-yr benchmark rate published by the bank of Canada or the customer’s mortgage interest rate plus 2%, whichever is higher. *

We’ve seen the new mortgage rules greatly affect buyer’s ability to qualify for a mortgage, even if they can safely afford the monthly payment based on today’s interest rates. The stress test has forced buyers into a lower price range or out of the market completely.

With that said, what can you do to increase your down payment savings?

Budget! If you don’t tell your money where to go, you will have no clue where it went. Saving money is more successfully done when you have and stick to your budget. For two great online budget resources Google Gail Vaz-Oxlade budget worksheet, or Dave Ramsey budget tool.

Rent a room. Instead of having an entire place to yourself, consider renting a room or a basement suite to save as much as possible every month. With your landlord’s approval you could bring in a new roommate to help share the living expenses. Whatever money you save or collect, set it immediately aside into a house savings account.

Sell or downsize your vehicle. Vehicle ownership is costly! When you add up your monthly payment, insurance, fuel, maintenance etc. most are spending between $500-$1000 every single month. How much could you save each month by downsizing your vehicle? How much would you save if you took the transit, biked, walked, hired an Uber or rented a car when needed? If you and your partner have 2 cars, could you consider getting rid of one?

Live for less. If you buy books, try the library. If you watch TV, drop your cable and reduce movies to Netflix. If you eat out a lot, look for cheaper alternatives or eat at home more. If you buy a lot of clothes, buy gently used or set up a clothing swap. With a clothing swap, gather friends having them all bring gently used clothing. For every piece of clothing they bring, they receive a ticket that allows them to take other articles of clothing for free. Take advantage of free community events. Use Kijiji or BuyNSell groups for anything and everything.

Borrow from your RRSP. If you already have RRSPs, you can withdraw up to $25,000 ($50,000 per couple) to buy your first home. As long as your RRSP withdrawal is paid back within 15 years (every year contribute at least 1/15 back) it is not taxable. Speak with your financial planner for more.

These steps take time, however when executed diligently you will find yourself in a stronger homeownership position in far less time. We know you can do it!

If you’re considering buying or selling a home, be sure to give us a call! It is always our highest honour to serve you!

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact LIKE our Jason Rustand Team Facebook page, call Jason direct at 780.980.2828, email jrteam@shaw.ca or visit WeSellLeduc.com.

 

*Referenced: https://www.td.com/ca/en/personal-banking/products/mortgages/new-mortgage-rules/

 

 


What you need to know about home insurance – Part 2

By 179479 on Thursday, June 14th, 2018 in Uncategorized. No Comments

What you need to know about home insurance – Part 2

 

Welcome to part 2 of our insurance interview with our friend and insurance agent Kim Demchuk with Allstate Insurance.

 

Your homeowner’s policy is one of the most important pieces of insurance that you can purchase. The purpose of insurance to put the homeowner back in the same position prior to a loss, it provides coverage for sudden and accidental losses. Insurance is not a warrantee or maintenance package as it does not provide coverage for wear and tear or a maintenance issue.

 

As an Allstate Insurance Agent Kim encourages her customers to review the packages that may be available but recommend the All Risk, also known as Comprehensive coverage. By purchasing an All Risk package, you are provided with a package that is well rounded and provides for the unexpected. The policy is set up to cover you for everything which is why it is named “All Perils” with a list of exclusions where coverage is not provided and usually not available in the industry. Coverage that you would not have considered will be provided under this type of policy such as Ice Damning, Accidental Damage and mysterious disappearance.

 

A named perils policy provides basic coverage for only a limited listed of items – so essentially if you don’t find it on the list it is not covered. Perils such as theft can be very restricted where there must be visible signs of break and entry.

 

There are also special limits on certain items within a home policy. This may include jewelry, money, a collection and much more.

 

Insurance coverage will vary by Insurance carrier so we encourage you contact your agent to complete an annual review to ensure that your home is insured to the correct value, that you are getting all of the discounts available and that you have the proper insurance package. Ask your agent to review your home package – is it the All Risk Package? What are the exclusions to my policy?

 

Last week we also shared that a few years ago when we switched all of our insurance over to Kim, she was able to save us over 25% from our last company. We have been so thankful for her as she always is a quick text or phone call away. If you’d like to see how her rates compare, contact her at 780-800-0642.

 

Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  For more info on this topic or others related to real estate contact LIKE our Jason Rustand Team Facebook page, call Jason direct at 780.919.0004, email jrteam@shaw.ca or visit WeSellLeduc.com