Introduction:

At Mitten Real Estate Team we are pleased to bring you this week's Blog article which  focuses on the typical expenses that you can expect when you are buying or selling your home.  We are bringing this article in the hopes that it will be a useful resource to both our current and potential clients.  The information we are providing is part of our  “Buyer Assistance Program”  and has been designed, after years of successfully assisting people to find and acquire the perfect property for them and to assist our clients in achieving thier real estate goals.  We will also provide information on the expenses that sellers can expect which derived from our "Seller's Assistance Program", which seeks to educate sellers on all the cost of selling.

Buyer Expenses:

One of the things which is important to buyers is that they know what the typical expenses involved in a purchase will be.  Accordingly we have put together the following outline of typical expenses which one would see in a typical purchase in the area which we service. It should be noted that each transaction is unique and may carry with it unique expenses and in order to ensure that you are fully apprised of all expense on your transaction you should work with a reputable real estate agent that you trust.

1.)     Home inspection:                                   $450.00 - $900.00

A Home inspection usually occurs after a buyer puts an accepted offer on a home, they will have the home inspected by a qualified home inspect to determine if there are any problems with the home before the buyer removes the subjects on thier offer.  This is very important in protecting buyers from hidden problems with a home.

2.)         Appraisal:                                                $150.00 - $400.00

An appraisal of the homes value is often times required by a bank before they will provide financing to the buyer, some banks do provide the appraisal for free while others may require potential buyers to pay for the appraisal.

3.)         Site Survey:                                            $400.00 - $600.00

A Site Survey essentailly shows the position of the buildings on the property to ensure that any buildings are infact within the property boundaries and are not over any property lines. A  Site Survey may be required as a condition of financing, alternativley title insurance can often times be obtained.  In Some cases there may already be a fairly recent site surey for a home however it is not always avalible in which ase a buyer may have to pay to have one produced.

4.)         Property Transfer Tax:                          1% on the first $200,000 and 2% there-after.

The Property Transfer Tax is a government imposed tax which buyers must pay when they purchase real estate.  There are certain exemptions that you may qualify for, so please contact us if you are thinking of buying or selling and we can disscus if you qualify for any exemptions.

5.)         Legal Fees:                                             $750.00 - $1500.00

6.)         Property Tax Adjustment:              Cost is dependant on the property taxes for the property.

The Property tax adjustment results from a monitary adjustment based on the amount of time the buyer and seller own the property during the purchase year.  

For Example if the buyer took possesion of the property on October 31, they would have to repay the seller for the remaining two months worth of property taxes which the seller would have already paid to the municipality.  Conversly. if the sale took place in march the seller would have to repay the buyer for property taxes due later in the year (that cover the whole year) that have not yet been paid by the seller.

7.)       Septic Inspection:                                       $600.00- $1,000.00

A Septic inspection is only required if the home uses a septic system to treat sewage.  If the home does use a septic system it is important to have the septic system inspected by a qualified septic inspector to insure it is in good working order (a new septic system can cost in excess of $20,000 - $30,000) or if repairs are required.

8.)        Water Test:                                                    $300.00 - $500.00                                                       

A Water Test is only usually required if the home is using a well.   A water Test is usually taken by taking a sample of the water from a property to a lab where they determine if it meets the standards set for drinking water.

9.)     Home Insurance:                                Cost is dependant on the replacement value of the home 

10.)   GST:                                                     Not usually payable on used residetial real estate 

GST is payable on all real estate,  EXCEPT USED RESIDENTIAL REAL ESTATE.  However thier are a few exceptions to this exemption.     This means that purchasers of bare land and new construction homes are usually required to pay GST while most purchasers of used residential real estate (for personal use) are not usually required to pay GST.

Seller Expenses:

In Addition to thier being costs associated with buying real estate there are also cost associated with selling real estate.  the following list should provide a good idea of what costs you can expect to incur when selling real estate.

1.)  Real Estate Fees:                                          Typicall 7% on first 100,000 and 2.5% there-after.

The real estate fees are split between the buyer's agent and the seller's agent.  The Real Estate Fees cover the cost of determining the value of the home, Marketing and advertising, MLS fees, strata documents,advise on sale preprations, negotiations, real estate agents time, equipment and signs, etc...  Real Estate fees are usually only payable if your home is suscessfully sold.

2.)  Legal Fees:                                                  $500.00 - $600.00

3.)  Prepayment Penalty for Mortgage:               Depends on mortgage terms.

A Pre-Payment Penalty on a mortgage cost depends on the terms of the mortgage.  Often times a bank may make a seller pay a penalty for paying off the mortgage early. In some case the bank may wave this penalty but in other cases they may require a seler to pay it.

4.) Property Tax Adjustment:                       Depends on time of prucahse and cost of property taxes

As was discussed in the buyers expenses section, this is a monitary adjustment based on the amount of time the buyer and seller own the property during the purchase year.  

For Example if the buyer took possesion of the property on October 31, they would have to repay the seller for the remaining two months worth of property taxes which the seller would have already paid to the municipality.  Conversly if the sale took place in march the seller would have to repay the buyer for property taxes due later in the year (that cover the whole year) that have not yet been paid by the seller.

Conclusion:

As always if you have any questions about this article or any other real estate realted questions please feel free to contact us we would be happy to assist you  we can be contacted through this website or you can call us directly at 604-882-8384.

 Additionally to be sure you are fully and correctly informed of all of the cost realted to your purchase and sale and to recieve the best quality service please employ us to assist you, we would be honored to assist you with your next home purchase or sale.

Sincerely,

Doug, Bonnie and David Mitten

(Mitten Real Estate Team)

Introduction:

This week for our latest blog article we would like to give you some advice on how to keep you home safe while you are away or on vaction.  Since theft and vandlism is something that every home owner worries about while they are away we hope this article will be a useful tool in helping to keep you home safe while you are away.

Idea #1:  Suspend newspaper delivery and arrange for someone to pick up your mail, this will prevent mail or newspapers from stacking up, which gives aways that you are not home.

Idea #2:  Ensure all doors and windows are locked - for sliding glass doors, use locks specially designed to prevent the door from being lifted out of its track.

Home Window Lock

Idea #3: Use timers to turn lights, and possibly the TV or radio, on/off during the day and night.

Home Light Timer

Idea #4:   Have someone cut/water the lawn if you plan to be away for more than a week.

Idea #5:  Turn the volume down on the telephone so anyone outside can't hear it ringing for extended periods.

Idea #6:  Leave a generic message on your answering machine - never say that you are away on vaction.

Idea #7:  Secure all tools and ladders so they can't be used to break into your home.

Idea #8:  Trim shrubbery around doors and windows so there's nothing to conceal the actions of would-be intruders.

Idea #9:   Leave blinds or curtains in normal position - don't close them completely.

Idea #10:  Consider installing security bars on basement windows, especially those shielded from view or in the back of the house.

Idea #11:  Close and lock the garage door. You might even want to unplug your electric garage door opener and put a lock in the track of the garage door to prevent it from being forced open.

Garage Door Lock

Idea #12:  Remove anything of extreme value and put it in a safe place while you're gone.

Idea #13:  Make sure your home insurance doesn't expire while you're out of town and that it provides adequate coverage for your belongings.

Idea #14:  Tell someone where you're going, how to reach you in case of an emergency and when you'll be back.

Idea #15:  Ask a reliable neighbour to 'keep an eye' on your home and report anything suspicious to police.

Idea #16: Consider asking someone you trust to "house sit", especially if you plan to be away for an extended period of time.   If you notice signs of forced entry when you return home, do not go inside! Call the police from your cell phone or a neighbour's house.  Do not enter the house until you know there is no one hidding inside as many criminals may have weapons and be very damgerous or even mentally un-stable so it is best to avoid any chances of a direct confict.

Conclusion:

To Conclude we hope these ideas will help you keep you home safe while you are away on vacation.  If you have any real estate questions or are thinking of buying or selling your home we would be please to assist you.  You can contact us through this site or call us at 604-882-8384.

Sincerely,

Doug, Bonnie and David Mitten

(Mitten Real Estate Team)

Introduction:

This week at Mitten Real Estate Team we are pleased to bring you a market update on Fort Langley.  This article was created as part of our ongoing market research and we hope it will be informative to both our current and prospective clients.  If you have any questions please feel free to ask!

Community Description:

Fort Langley is Langley's oldest community and is the Birth Place of British Columbia were the original decloration creating british columbia as a british colony was signed.  For a short Time it was also the capital of the new territory.  The Current Fort is about 4km up stream from the orriginal location.

Fort Langley National Historic Site

Present Day Fort Langley is a unique community that maintains its 'small town' feel and combines it with beautiful scenery and views of the Fraser river.  Building codes have also encouraged the area to have a unique heritage look.  In addition Fort Langley is host to several interesting festivals each year as well as weekly farmers markets for most of the year making it a truly unique place to live.

Fort Langley Hall 

Acreages:

During September 2014 Ther were 2 sales of acreages which was up from 1 sale in september 2013. The prices increased 8.4% for acreages in Fort Langle which is strong increase however the average days on the market required to sell saw a notable increase.  Thus is would seem that although prices have risen that they may level off somewhat near term based on this data.

Single Family Detached Homes:

In september there were 2 sales of single family detached homes in Fort Langley, which was down compared to 4 sales in September 2013.  However prices increased 6.33% from one year ago, additionally the days on the market required to sell also saw a notable decrease.  This data would suggest to us that although prices saw a solid increase over the last year if other factors stay the same prices mat continue to increase in ths segment as demand for this type of homes is strong and supply continues to be limited leading to price increases.

Townhomes:

Townhomes are still a fairly small market segment in Fort Langley, most of the townhomes are part of the 'New'  'Bedford Landing' area of the fort.  Unfortunatly there were no sales of townhomes in september 2013 which meant we could not analyze current market compared to one year ago.  However in the chart below is a summary of the market activity in the segment for Seotember 2014:

Apartments:

Apartments are still a fairly small market segment in Fort Langley, most of the Apartments are part of the 'New'  'Bedford Landing' area of the fort.  Unfortunatly there were no sales of townhomes in September 2013 which meant we could not analyze current market compared to one year ago.  However in the chart below is a summary of the market activity in the segment for Seotember 2014:

This week at Mitten Real Estate Team we would like to bring you the latest report on the Fraser Valley Housing market, produced by the Fraser Valley Real Estate Board.

SURREY, BC – The Fraser Valley Real Estate Board processed 1,419 sales on its Multiple Listing Service (MLS®) in
September, an increase of 25 per cent compared to the 1,131 sales during the same month last year, and an
increase of 9 per cent compared to sales in August.

The Board’s president, says, “Similar to this past summer, this is the busiest September we’ve had
since 2009 with sales of all property types combined out‐performing the 10‐year average by 13 per cent.
“Residentially, the single family detached home remains the preferred property type. From North Delta to Mission,
sales increased in every Fraser Valley community compared to last year with the price range of $400,000 to
$699,999 garnering almost sixty per cent of our total detached market.”

New listing activity was also brisk in September with the Board’s MLS® receiving 2,758 new listings, an increase of
16 per cent compared to last year, taking the total number of active listings by month‐end to 9,156, a decrease of
7 per cent compared to September 2013.

Werger adds, “An important factor underlying the housing market is consumer confidence and in our region that
confidence has been bolstered by the stability of home prices. Since March, the benchmark price of our three main
residential property types combined has remained flat, increasing by only 0.6 per cent.

“Long‐term, the value of single family detached homes has increased at a faster pace than it has for attached
properties, particularly in areas such as Surrey, White Rock, Langley and Abbotsford where we’ve seen many new
townhome and condo developments. The supply of new inventory has affected the price of resale product.”
The MLS® Home Price Index (MLS® HPI) benchmark price of a detached home in September was $569,800; an
increase of 3.1 per cent compared to September 2013, when it was $552,900. In the last six months, the
benchmark price of a detached home has increased by 1.1 per cent.

In September, the MLS® HPI benchmark price of Fraser Valley townhouses was $299,600; an increase of 1.1 per
cent compared to $296,200 in September of last year, and in the last six months has increased by 0.8 per cent. The
benchmark price of apartments decreased year‐over‐year by 4.7 per cent, going from $203,100 in September 2013
to $193,600 last month, and has decreased by 0.9 per cent in the last six months.

As Always if you have any questions about this article or any other real estate realted questions please feel free to contact us we would be happy to assist you.  We can be contacted through this site or you can call us directly at 604-882-8384.   Please check back next week to see our latest analysis of another local real estate market in the Fraser Valley.

Sincerely,

Doug Bonnie and David Mitten.

(Mitten Real Estate Team.)