Shannon Bashir

If you asked a group of people where they think the hub of the house is located. The answer would most probably be the kitchen.  It is the hub of the home and a great deal happens right in that space. Everybody loves to hang out and chat in the kitchen, it’s the magnet that attracts friends and family and the location in your home where all the action is.

If you are renovating your kitchen, I would highly recommend adding an island to the design. Most everyone could use the extra prep space, and who wouldn’t love the storage that pot & pan drawers provide. If you have an electrician performing part of your reno have him/her install a couple of receptacles into the island, it’s inexpensive but very useful and much safer than running extension cords. Top that off with receptacles that also include USB chargers for your devices.

Also, turn your new island into an eating and breakfast bar by extending the countertop at least 12” past the cabinetry. This will create easy access seating so family members can help prepare dinner, have a quick meal, or perhaps finish their homework. It’s also a great place for that laptop to work from home or for quick access to that special recipe you have saved.

A kitchen island is a hot commodity and may very well help you sell your home in the future. But don’t worry about that, do it for yourself and for what it will add in fun and functionality.

Are you throwing free money out the window?

No matter how small and insignificant it seems, free money should be grabbed!

Did you just get hired with a company offering a Group RRSP Plan? Or perhaps you took a job some time ago but didn’t join the company plan? If that is the case, it may be time to revisit HR.

Most companies offering a Group RRSP will allow you to put 3-5% of your earnings into a company plan where they match a portion or possibly all of your contribution. Many would consider this free money. Even a modest 25% match is an instant 25% return on your investment, that is hard to achieve elsewhere.

Many people believe they can’t afford to contribute to an RRSP and forego the deduction without really understanding the benefits. Every year that passes, more “free money” is left on the table.

Your RRSP contribution is deducted prior to taxes being paid, so technically you will pay less taxes each month. When these automatic RRSP deductions are moved at “source” you will not have the chance to spend the money, and really won’t notice the difference.

For example, if you have an income of $4K per month, contribute 3% to the company RRSP Fund, and your employer matches your 3%, you will have $2,880 in your Group RRSP at year end! Your monthly contribution of $120 is deducted prior to taxes, therefore you won’t notice the full $120 missing from your cheque.

Once your deductions are set up at source, it is amazing how quickly we adapt. Your new cheque amount will quickly become the “norm”, and you may forget you are actually saving for your future – now that is a bonus!

An additional benefit is first time home buyers can borrow up to $35,000 from their RRSP for a down payment tax free ($70K if both are first time homebuyers). Note that this is considered is a loan from your RRSP and must be repaid within 15 years.

Time passes very quickly and soon enough another year will have gone by. Make it a priority today to schedule time with HR to discuss your company RRSP plan. Have them set up your contribution so it changes as your income changes. You will be happily surprised a few years from now.

Somehow September snuck up without us paying attention, perhaps it’s because many of us work out of our homes these days, and no longer need to venture outside. One day becomes the next, and then it’s the weekend again. Maybe you haven’t left your home for several days, this can easily lead to a humdrum existence.

Something as simple as packing a sandwich to go across the street to the park will brighten your day. It is truly amazing how rejuvenating it can be to sit and watch the waves and feel the breeze on your face.

With fall around the corner we should take time each day to enjoy the sunshine. Whether a short walk or coffee in the park, I’m sure you’ll agree it just makes life “that much better”.

Get creative, even when it rains you can still have a picnic in your car and watch the birds. The key is to just get outside.

Are you waiting on the sidelines, listening to others tell you that house prices will continue to plummet, hoping you can snag a deal?

Many of us are, but please keep in mind that the pendulum will sway back and forth, making it very hard to predict what and when price changes will happen.

I have been looking at market data and properties for sale every day and have noticed an interesting trend. Even though there are properties showing price reductions, I am also seeing quite the opposite with some properties bumping back up. What might be the reasons for this? It may be something as simple as the property wasn’t priced correctly to start with and they have decided to make an adjustment, or, they were just testing the market to see where they might fit in but what if something else is going on?  

No matter what you hear or read, nobody has that crystal ball that will tell you when to “jump in”. In order to make an informed decision, my suggestion is to determine your “comfort zone”. If you found the perfect property last year, at what price would you have been happy to make an offer on that specific property?

In Greater Vancouver, the July sales were 9.4% above the 10 year sales average. This confirms that people are taking advantage of the very attractive interest rates which are still below 2% on a 5 year term! If interest rates rise even just a little bit while you are waiting for prices to drop, you will not realize the savings.

The only time you will be aware prices have reached the bottom, is when they’ve already started to climb back up and you have the numbers available to make a comparison.

Now is the time to get your ducks in a row. You don’t want to be scrambling around in the dark when you find the right place. You want to be prepared to take the next steps when the home of your dreams is on the market.

Let me do the footwork while you enjoy the experience. My job is to make it easy for you. Remember, a Buyer’s Agent doesn’t cost you a dime, but they are invaluable.

What’s the value of regular exercise? Do you exercise regularly?

I’m not a personal trainer, nor do I play one on TV.

However, it doesn’t take much to know the benefits of exercise, especially today when many of us are spending hours sitting in front of our computers, then winding down our day sitting in front of the TV with a few snacks perhaps. If you are experiencing bouts of lethargy, stiff legs, a sore back, or feeling sleepy during the day, perhaps it’s time to get moving.

For those of us working from home, the weeks go by with Mondays quickly becoming Fridays rolling through the weekend, only to start all over again. Work, Eat, Sleep. Breaking up your day with a work out will not only make you feel better physically and mentally, you may also become more productive. Working out releases’ endorphins which make you happier and less stressed. To top it off, it is well known that people who exercise or are active, don’t get sick as often as those that are sedentary. As we are heading into flu season we could all use the benefits of working our way up to regular exercise.

If you don’t want to hit the gym, consider natural exercise. Basically doing something fun where you inadvertently end up exercising. Could be something as simple as grabbing a couple of badminton rackets and batting the birdie around. No need for a net.

When you are home hunting, consider how much value you place on having a gym in the building or room for your own equipment? Are you the type of person more likely to work out if you could roll out of bed, throw on your gym clothes and head downstairs? If you had to shower, get dressed and drive somewhere, how long will you keep up your routine?

Take your workout for a test drive, you might find it quite refreshing.

You are ready to go home hunting …

To ensure an enjoyable and constructive experience, you need to be prepared. This requires some homework to really know your Needs vs your Wants.

Plan to set aside some quality time to brainstorm the expectations and features of your next home. Then make a list with two columns marked NEEDS and WANTS.

Now imagine walking through your new home room by room, envision each space, what does it contain, what do you Need, what do you Want?

Do you like to cook? How important is the size of the oven or whether the range is gas or electric? If the oven is too small Cornish hens may be on the menu at Thanksgiving, or you may not be able to use full size baking trays for that secret cookie recipe.

How much laundry do you have to wash each week? It’s easy to overlook the value of full size appliances if you want those king size sheets washed in one load.

Storage is a big one for condo owners, you may have seasonal items that have to be packed away, so a locker is important. If the condo doesn’t have a locker, would in-suite storage suffice? Consider everything you own and decide where things will go, the last thing you want to do is purchase a place that becomes overly cluttered because items don’t have a home.

Outdoor space is another factor to consider when making your list. Do you want a deck or a patio? Main level condos usually have a larger patio and potentially, a yard with great access for entertaining or kids and pets. How important is a property with a balcony? Do you like to BBQ? Do you wish to grow veggies or face a specific direction?

Is parking important or do you take the SkyTrain? You may want a property within a .5km radius of a station so it is an easy walk even on a Vancouver winter day. Do you want a private garage or is a parkade ok?

Hopefully this has provided some insight into what you should think about, and what is important to you. Other areas to consider may be your furniture and whether it will fit in certain rooms, closet space and fitness area. Remember, this is a work in progress, if you do the homework, you will know when you find the right home.

I’d love to help you walk through this process, please don’t hesitate to call

Shannon 604-828-9095

You may have watched the UK TV series where the Brits are constantly trying to get on to the Property Ladder. It is very expensive in the United Kingdom to own property, the terminology may not be the same here, but we certainly have the same situation.

Many people are finding it harder and harder to achieve property ownership. Many of you may have rented your property with the intention of saving up for a down payment, years continue to go by, and you are still renting. How much money have you spent on rent while you watch the property prices increase? Every increase in property requires a larger down payment, it’s a vicious circle.

Maybe now is the time to think “outside the box” and consider an alternative method to owning property. Are you aware that you can purchase a property with your trusted, long-term roommate and be listed on Title as “Tenants in Common”? Tenants in Common basically means that each person owns a percentage of the property.

Calculate how much you spend per year on rent with your roommate, how long have you lived together, would it make sense to make an agreement to purchase a property together? The benefit is you will gain equity and not be throwing your hard-earned money towards paying off your landlords' mortgage each month.

When and if your circumstances change and the time comes to part ways, you can sell the property and take advantage of the equity you have built, or you may be in a situation where you can keep the property as rental income.

The big question is, if you have the down payment now, why aren’t you buying a home?

Here’s an example that I confirmed with a professional mortgage broker this morning:

• $500K condo, Strata Fee $350, Taxes $1900
• Minimum down payment (5%) $25K ($12,500 each)
• Mortgage payment $2,079 ($1,039.50 each)
• Strata Fee ($175.00 each), Taxes ($79.16 each)

• Cost per month ($1,293.66 each) 

• The above calculation is based on a Joint Income of $110,000/year, 5year fixed high ratio mortgage 1.95%

If your share of rent is currently $1,000.00/month, you are paying your landlord $60,000 in 5 years

How much can you sell your property for in 5 years? Definitely something to think about ….

As this idea is a little different than the standard approach, it is a good idea to have a discussion with your lawyer or mortgage broker for more detailed information. If you’d like contact names for either, please give me a call.

Let’s get the ball rolling, if you would like properties fitting your criteria sent directly to your inbox, please give me a call or email to discuss your needs & wants. I am always happy to help.

Gone are those lazy Sunday afternoon drives, the kind where everyone hops in the car, heads to an expensive area or your dream location to look at houses. Perhaps a competition amongst the kids to see who can spot the first Open House sign, the car pulls over, everyone jumps out and the fun begins.

Things have been quite different since March, when as professionals we refrained from holding Open Houses. Streets were bare of signs for many months.

Recently, an influx of Open House signs started popping up all over the city as Sellers became more comfortable with people entering their sanctuary, plus the signage helps notify the neighbors that another property is available in their community.

Unlike days gone by, an Open House sign does not necessarily grant you free access to a property. Many Agents are holding Open House by appointment only. This is an excellent way to control the showings into a manageable timeslot.

Protocols are in place to ensure the safety of everyone. Most agents will request you wear gloves and masks and refrain from touching anything. Some sellers with infants have requested buyers to wear booties, this protects their crawling babies from picking up anything you may track into their home.

Don’t be surprised if you have to show ID And fill out a waiver prior to gaining entrance. These measures are for everyone’s safety in case contact tracing is required.

Open House signs aren’t the only way to notice if a home is for sale in your neighbourhood, or that beautifully treed road you just drove down. Download my app below, the next time you take a wrong turn which turns out to be an awesome area, open the app and check “current location” for all properties for sale, you’ll have everything at your fingertips.

Reach out when you’d like to view a property and I will schedule your private viewing.

It’s still a lot of fun, just a tad different.

Download My Mobile App here   

Last week’s newsletter covered the benefits of Curb Appeal, and why it really is important.

You mastered it and grabbed the attention of the buyer the moment they drove up to your property. Their interest was piqued and they want to see more. They talked with their agent and have scheduled a viewing.

Now that you've enticed them, will the interior of your home stand out from the others, will it look bigger, brighter and more inviting than your competition? Will people be able to envision your home as their home?

A buyer will take approximately 5 minutes to walk through your home and decide if they like it enough to stay longer and look more closely. Have you done what you need to create a positive first impression and retain their interest?

A good or even great first impression starts right at the entrance they use to enter your home. What they see in those first moments from that vantage point, is very important and greatly affects how they may feel about the rest of your home. The icing on the cake is to use this same approach for every room as they move through your home. In other words, create a first impression for each room.

Does what they see add or take away from that positive first impression.

Traditional Open Houses have become rather rare. Many Sellers today are requesting that potential Buyers follow a few extra steps prior to allowing access to their homes. This new approach will help eliminate unqualified buyers; people just looking for renovation ideas, killing time, not financially qualified and most importantly, potential health risks to the Sellers.

The days of spending the afternoon checking out all homes in an area are diminishing. Whether your home looked nice on the outside or not, people still stopped to take a quick peek inside.

A serious buyer willing to spend the time and energy, starts the process by reviewing the listing details, photos and floor plan online. Progressing to visiting the neighbourhood and the property itself. Bringing us to a very important detail; viewing the home from curbside. The well-known phrase, curb appeal, rises up to being ever more important.

The seller must grab the attention of the buyer the moment they drive up, they need to see your home as a contender. Does it entice or detract them from making an appointment to view your home? If they like what they see, they will request a viewing.

Take a step back from your home and truly look at it, does it look inviting and well-kept?

Many improvements can be done in a weekend and at very little cost. Trim the trees, edge the lawn, plant a few flowers and give everything a nice watering. A good pressure wash of the siding, steps and driveway will freshen everything up and remove algae. Cleanout those eavestroughs. Next, take a trip to your local hardware store for a new mailbox, house numbers and welcome mat. These inexpensive items will renew your homes exterior. If you want to go one step further, a fresh coat of paint on the front door will look awesome, and a bold color will make your home stand out.

Now people won’t just drive by, they will stop!

This is just the beginning, now it’s time to move inside (part 2 next week)

One very important decision you need to make when purchasing your new home is the type of mortgage you want; Fixed or Variable

A Fixed mortgage rate may be slightly higher than a Variable rate, but it can offer peace of mind to those who like to stick to a budget and not worry about changing interest rates. A Fixed mortgage is just what the name implies, the mortgage payment you have at the beginning of your mortgage term will remain the same throughout your term, even if interest rates change. The potential downside is the penalty you may incur if you need to break your mortgage early.

With a Variable mortgage, your loan is adjusted each time the prime rate fluctuates. If the prime rate decreases, more of your payment will go towards the principle which will pay your mortgage off quicker. Same in reverse, if the interest rate rises, less will go towards your principal. If there is a chance you may need to break your mortgage early, having a variable mortgage may provide the flexibility you require.

Be sure to speak with your bank or broker to have them explain the pros & cons of each type in order to find the best fit for you. If you are looking for a broker, please reach out and I can steer you in the right direction.

The program was designed by the government of Canada to help first time home buyers purchase their first home.

In a nutshell, the Government will lend you 5% or 10% of the purchase price of your home (10% applies to new construction). When you sell your home, or after 25 years, you are required to pay the same percentage back (either 5% or 10%), based on the value of the home at that time.

Example:

            You receive a 5% incentive ($20,000) on a $400,000 purchase price

            If your home increases to $500,000, you will need to pay back 5%, ($25,000)

            If your home decreases to $350,000, you will need to pay back 5%, ($17,500)

The Benefits:

            Gives you more buying power

            Allows you to buy now rather than later 

            Lowers monthly expenses due to a smaller mortgage 

            Makes home ownership more affordable

Many families have found the program a viable entry into home ownership. Take the time to review the incentive and see if it may be worth pursuing.

Link to Government of Canada First-Time Home Buyer Incentive

https://www.placetocallhome.ca/fthbi/first-time-homebuyer-incentive

Many of us decorate our homes with objects that provide us with comfort. They mean something to us and remind us of places we’ve been, they remind us of our experiences, gifts from family & friends or art lovingly crafted by our kids or grandkids. Across from the fireplace mantel lined with family photos you might find an old and tattered comfy chair, squished in beside the couch, it is our favorite chair to snuggle into with a good book. All of these cherished things make our house a home – to us.

Now that you’ve decided to sell, someone told you to pack that stuff away.

But, is that really necessary when you think it works well, looks so good and makes you so happy?

The answer is simple, people have a hard time envisioning your home as their home when many of our personal things are on display or there are just too many things. Decluttering your home is a well-known catch phrase but it rings true almost every time. The key is to declutter your home to make it appealing to as many potential buyers as possible. The aim is to create an uncluttered, bright and a reasonably blank canvas (although not sterile) to help buyers visualize their furniture and things in the rooms, and their photos on the walls. In other words, the goal is to depersonalize the space but still try to evoke emotion to a prospective buyer and to foster the feeling that this home, your home, will suit them.  

Another thing to consider after decluttering is packing some of your belongings since you now have the room to sort things out. This will actually make the transition to your new home much easier, you won’t be as rushed, and you will have time to reminisce as you wrap things carefully for the move. You want to create as much space as possible.

Once your home is decluttered and you have packed a few things, it is time to do a deep clean and make any needed repairs. You want people to notice the nice tile in the bathroom, not the grout that needs cleaning or the loose cabinet doors.

Your goal as a seller is to make your home stand out from the rest of the comparable homes on the market. You want everyone who walks through your door to “notice” your home for what it is, and remember only good things.

You may be amazed how much more open and inviting your home feels after going through the process of getting it ready.

Declutter, Pack and Repair. Now you’re ready!

Everyone is paying someone’s mortgage, but whose do you want to pay, yours or your landlords?

How much are you paying annually for rent? How much money went out the window in the last 5 years … I bet that’s an eye opener!

For example, If you purchased a property 5 years ago, your mortgage amount would have decreased while your property value increased, this is how you build equity.

In your own home, that same square footage you were renting, can become much more useable and organized because you can customize it, because you OWN it, you have the freedom to change your environment, you have the control.

If you are putting off buying a new property until you save a larger down payment, please keep in mind that property prices usually increase each year, this means each year, your down payment has to grow just to buy the same property, is this a wise move?

With today’s low interest rates, it makes sense to get into the market sooner than later. If you buy a home today and sell it five years from now, for the “exact” same price you bought it for, you would have paid down your mortgage and lived rent free for those five years.

People are waiting on the sidelines anticipating a drop in prices, however we haven’t seen much evidence of that happening. The question to ask yourself is, are you comfortable waiting until everyone else is ready to buy, or would you prefer buying when there is less competition?

Now is the time to be prepared to buy.  Contact your mortgage broker or bank and get pre-qualified, and remember, I’m always available to answer your questions.

Genworth Canada and Canada Guaranty announced they will maintain their credit score qualifications even though their competitor, Canada Mortgage and Housing Corporation (CMHC) announced they would be increasing the bar on lending standards, making it more difficult for some to borrow money for a home purchase.

This is great news for those who plan to purchase a home with less than 20% down and may have been impacted by the CMHC change.

"Click below"

Article by: Canadian Mortgage Trends 

Have you found yourself working from home, perhaps in a makeshift office in the corner of your bedroom? Are your cute kids constantly underfoot with no separate room to play? Many of us have recently realized our homes are not quite as large as we once thought.

Years ago, it wasn’t common for companies to allow employees to work from home, however, this new norm is showing how effective it can be. Studies have shown that employees who work from home tend to be more productive and have less stress, many tech companies have used this strategy for years.

Companies are embracing the change and some will continue this trend in the future. If businesses can downsize their commercial office space by continuing to allow employees to work from home, they will recognize huge savings in their bottom line. This will be a win/win.

If commute times were no longer a concern it will open up doors to a new way of life. You might consider a home further away from the downtown core, where a nice yard is not a dream but a reality.

Our world has changed, and some things are positive.

First off, Congratulations!

But wait.... it isn't over yet. If your contract is contingent on fulfilling certain "subjects" (contract conditions), then it isn't a done deal until after "subject removal".

Take the time to re-read your contract, put your Subject Removal Dates into your calendar, and post them on your fridge! These dates are Critical Dates, if you don't remove your subjects by the date listed, your deal may collapse.

Call your Mortgage Broker or Financial Institution and share the good news. Inform them of your Subject Removal Date and send them the required documentation; approved contract and property disclosure. They may also want to appraise the property to ensure you aren't paying more than it is worth.

Book your home inspector sooner than later, your inspection may take 2-4 hours (or longer) depending on size and/or complexity. The inspector will provide you with a written report on what was found, it may also contain suggestions for regular maintenance or areas of improvement. Pay attention to the large ticket items that you didn't know about, does the roof require replacement, is the hot water tank at the end of its life span, are the window seals cracked? Are you satisfied with the findings? If the inspection uncovered expensive fixes, you have the choice to walk away from the deal or renegotiate a reduction in the contract price.

Once all Subjects have been satisfied, both parties will sign off acknowledging the subjects have been removed, and you will be required to pay your deposit (confirm details of your contract).

Now it's time to celebrate.....

Let the fun begin!

Have you thought of purchasing a property without a Realtor® in order to save fees?

Many people are unaware that the Seller pays all Realtor® fees, the Buyer, does not pay any.

When a Seller agrees to list their property with a Real Estate Agent, they agree to pay a % (of the selling price) to the Listing Brokerage if/when the home sells. A portion of that percentage goes to the Brokerage that brings the Buyer.

Some Buyers may think they can negotiate a better deal directly with the Sellers Realtor®, but this is far from the truth.

The Sellers Agent has a fiduciary duty to their client (the Seller) and not to you, the Buyer. No matter how friendly they seem, the Sellers Realtor® must have the Seller's interest in mind at all times, their goal is to get the best price for the home. Think about it, how can a Sellers Realtor® get the Seller the best price for their home, while giving you the best deal at the same time?

An excellent Realtor® will work hard for you, they will listen to your needs/wants, find properties that match your criteria, view properties with you, and educate you. Not only will they obtain the listing/selling data, run reports, research the property, and read minutes (if a strata), they will be your advocate every step of the way.

Be sure to find a Realtor® you can trust and feel comfortable with, after all, this may be one of your largest investments.

That beautifully renovated condo checks all the boxes and you want to make an offer, how exciting! 

But wait.... when you buy a condo, not only are you buying a strata lot, you are also buying into a building as a whole, and you need to make sure this building is the right one for you.

After you view the unit, take notice of the condition of the hallways and use the stairs, are they well kept? If the stairwells are dirty and used as a storage area, perhaps they aren't maintaining other areas that you can't see, do they have funds for regular maintenance? If however the hallways and stairwells are clean and maintained, it shows good building management and pride of ownership.

Ask to see the parking space and take note of the parkade, is it bright and clean? A well-lit parkade shows safety is taken seriously and is also a deterrent for break-ins. Even taking a peek into the garbage and recycle room is a good idea.

Take a few extra minutes to walk the grounds and speak with people, do they seem friendly and open? Have they lived in the building for a long time? What do they like, what needs improvement? You'd be amazed at how much you can learn, after all, these people will be your new neighbours.

Having the right realtor can help make buying your new home an enjoyable, low stress experience. This is one of your largest investments, make sure it is the right fit for you.

Most of us have heard of the banks offering mortgage deferrals. These deferrals were put in place to help people struggling to make their mortgage payments due to job loss or reduction of work. If you qualify, you could receive up to 6 months of mortgage deferral payments.

Keep in mind a mortgage deferral is not a forgiveness of your loan, but rather an agreement with your bank where they give you a "break" from making your payments. Once the agreement ends your mortgage payments return to normal and the missed payments, including principal and accumulated interest - repaid. Depending on your current situation, this deferral could lessen the stress you may be experiencing due to COVID-19.

Mortgage deferral does not include property taxes and life/disability insurance.

Click here to read the published article by Canada Mortgage and Housing Corporation (CMHC)