The importance of a walk through

Purchasing a property can be a very exciting time, especially as the possession date draws near. One important process to complete before money exchanges hands and the keys are turned over from the seller to the new owners is a "walk through". A walk through is a process that takes place when the new owners get a chance to go through the property and make sure that it is in the same, if not better, condition than when they priviously viewed the property. For example, if upgrading the electrical panel, or having the rugs cleaned were part of the terms of the contract, the buyers will want to see for themselves that this was completed. Perhaps when the sellers moved out, the movers did some damage, like putting a hole in the wall. They buyers will want to make sure that this issue is addressed. If there are concerns, the time to deal with them is before money exchanges hands. In my experience, most times everything goes smoothly and there are no issues to worry about. However, it can happen and you want to make sure that you are protected. What happens if there is an issue? There can be a holdback of funds, until the problem is rectified. This is why you do this before the funds are transferred. If the funds have already transferred and then a problem is discovered, well that's something that could get messy and costly as legal issues may come into play. Basically, my point is that a walk through is a must when you are purchasing a property. You are already spending the money. Make sure you get what you paid for.

Large inventory of properties for sale. Good or bad?

Vulcan has a large inventory of properties for sale right now. Actually, it's been like this for quite some time. Is this a good thing, or a bad thing? Well the coffee shop talk will tell you that it's horrible and that the sky is falling. Personally, I do not like the high amount of inventory. There needs to be more of a balance of supply and demand. Some markets are getting closer to a balance, but others, such as Vulcan and other areas of southern Alberta, there balance is not there yet. As a seller, it makes it tough. You really have to have an attractive price and even better looking curb appeal to get people to look closer at your property. There ARE buyers out there, but there is no competition between buyers. The properties that are moving are the bargains. For example, the lower end properties (under $150,000) have been picked over in town. The "good ones" are being picked up, leaving "rougher" type properties sitting idol on the market. Higher end properties do not have as many buyers looking at them, and these buyers do not seem to be much in a rush to buy. Really it's the sellers that are competing, not the buyers. As a result, this advantageous if you are the buyer. A good selection of properties are available and the prices are not as high as they have been. These along with low interest rates certainly favour the buyer. If you have been sitting on the fence about buying real estate, perhaps now would be a good time to take some action. I can see what happened with sellers a few years ago happening to buyers in a year or two - "We should have bought (or sold in the case of the sellers) when the market was favourable to do so. We would have saved (or made as a seller) thousands!"

What renovations give the best return on investment?

Are you thinking about increasing the value of your home, but are not quite sure what you should be doing? What is going to give you the best return on your time and money investment? Here are a couple of ideas that I have found in my years in real estate, and also from doing my homework: 1. Painting - this is one of the renovations that you are going to realize a profit with. Tasteful, neutral colours inside and out will help increase the value of the property with a small amount of investment, especially if you do the painting yourself. However, make sure that the job looks professional. Estimated payback up to 300%. 2. Kitchen remodeling - the kitchen is one of the main rooms in the house. Remodeling can be expense so careful planning and shopping are a must. Estimated payback 60% and up. Careful not to get too carried away as it can be costly and your return on investment could decrease. 3. Bathroom remodeling - the bathroom is another busy place in the house. Check the medicine cabinet. How does it look on the outside? How about the inside? Is there rust? Cracked mirror? Once again, some careful planning and shopping helps out here. Just replacing your medicine cabinet to one that is new and clean can make a big difference. Also, how many bathrooms are in your house? Compare that number to the number of bedrooms. 4 bedrooms and 1 bathroom can make for an unhappy household. If you have roughed in plumbing, it might be worth finishing it off and getting that extra bathroom installed. You do not need to go overboard, but having that extra bathroom could be that extra selling feature that a buyer is looking for.