Understanding Property Appraisals: What You Need to Know

A lot goes into buying and selling homes. When it comes to home value, factors such as current market trends, buyer and seller demand, and the current state of the economy all play a vital role in determining a property's listing price.

That said, a property’s true value is based on different factors in the appraisal process. But what exactly is a home appraisal, and why is it essential in real estate transactions?  

How to Prepare Your Home for a Sale the Right Way

Selling a home can be an emotionally taxing experience, even in the best circumstances. You’re packing up your entire life and taking it somewhere new, after all. When preparing your home for a sale, your real estate agent will be with you every step of the way to ensure that the process is as seamless as possible. That said, there are some general things you can do to prepare your home in a way that screams to potential buyers, ‘I’m the one! I’m your dream home!’.

Understanding Market Cycles

The key to buying or selling a property in the way that best suits your interests starts with understanding everything you need to know about the market and what it takes to purchase a property.

When it comes to getting things right, real estate agents help you along the way. But getting to know the ins and outs of the real estate market and how they apply to you is a great way to walk into the process prepared and ready for anything.  

The Role of a Real Estate Agent: Why You Need One

Buying and selling a home can be tricky, even in the best circumstances. From staging to offers and everything in between, the amount of work that goes into searching for a new property or selling off one you currently own is a full-time job. That’s why there are real estate agents, after all.

 

While you don’t legally need to use a real estate agent when buying or selling, it’s a great idea to enlist the help of one to get you through the ups and downs of the market. There are many reasons why going with an agent is better than going it alone.

The Impact of Location on Real Estate Values

Where you choose to live is one of the most significant decisions you’ll make when buying a new property. Why? Because location plays a huge role in both the satisfaction you’ll feel in your new home and the value of your house and land. Location, location, location is an old adage for a reason, after all.

When looking at location from purely a valuation standpoint, there are some crucial things to remember about how where you choose to buy will impact the bottom line of your investment.

Setting Goals for 2024

Now that the new year has arrived, it’s time to consider your 2024 goals. The reflection period of the past year, and its successes and shortcomings, is finally over, and it’s time to put that mental work toward the future and everything you want to accomplish this year. When setting goals, it’s essential to do so in a realistic and motivational way that puts you in the position to smash another year out of the park.

Home Renovation Projects That Increase Property Value

When you plan on updating your space, some changes may be made to improve the livability and satisfaction of your property. That said, several renovations you can do to your space are geared more toward increasing the value of your home. If you’re looking for more bang for your buck when you sell to the highest bidder, try adding one (or all) of these home renovation projects that will undoubtedly increase your property value.

The Impact of COVID-19 on the Real Estate Market: A Year in Review

When the COVID-19 pandemic hit in 2020, the real estate market saw changes that no one could have predicted. Investors aimed to sell off properties, rental prices cooled, and many people in big cities shifted their sights onto larger properties in more suburban areas. The pandemic also saw an increase in home prices as the interest rates sat at a reasonable level.

A Guide to Selling Your Home During the Holiday Season

The holidays are a time for festive cheer, family get-togethers, and, sometimes, selling your home. While selling during the holidays may seem less than ideal, some advantages exist, such as more motivated sellers and less competition. Because of that, it can be a great time to put your property on the market, but you have to do it right. There are things you can do during the holiday sale that will make it easier to get a reasonable price and move with ease.

Keep the Décor Simple

Decorating for the holidays may seem like a no-brainer, but you don’t want to go so over the top that it looks like a Christmas store inside your house. Festive decorations are good, but you want to keep things simple, as you would when selling at any time of the year. That unique decoration you love may not gain the same esteem from prospective buyers, and if anything is off-putting, they might not be able to picture themselves living in your home.

You also want to be mindful of all cultures and religions during the selling process. You may celebrate a specific winter holiday that many other people don’t. In that regard, keeping the décor simple and non-specific is best. Try decking your home out with understated decorations that fit the theme of winter instead of one specific holiday.

Curb Appeal, But Make it Safe

Curb appeal is vital to selling a property. It’s the first impression potential buyers get when pulling up to their potential future home, so you want to spend time making the outside of your property look as inviting as possible. You also want to keep things safe for potential buyers. No one wants to fight through mounds of snow and ice to get inside, and slips and falls can cause injuries.

Make sure that, alongside cleaning and decorating the outside of your house to make it look inviting, you also clear any winter debris that could be a safety hazard. That way, people can feed their curiosity about what the inside of your property has to offer by getting inside safely and soundly.

Respect the Buyer

People buying during the holiday season are often more motivated for personal reasons, often due to changing living situations or selling their own property. That’s why it’s vital to understand where the buyer is coming from when selling your home during the holidays. You want to respect the buyer by pricing the house to sell. That way, interested buyers won’t have to worry about affordability when looking at your property.

Another way to consider the buyer is by making your home a warm and safe haven from the cold. They are in and out of properties all day, so walking into a home that feels like refuge will be much more inviting than homes that keep the heat down during showings to cut costs. You may also want to be flexible with closing dates. While it’s not always possible, giving the motivated buyer the chance to choose their own closing date is a great way to seal the deal.

Selling your home during the holidays can be stressful on top of the hubbub of the festive season, but making a few tweaks to how you approach it can make it much easier to enjoy the process.

Thinking of making a move this holiday season? Reach out to us - The Warren Team - A tradition of trust! 



7 Uncommon Home Buying Tips

Are you in the market for a new home in Ottawa, Ontario? Whether you're a first-time buyer or a seasoned homeowner, the process of finding and purchasing a new property can be both exciting and challenging. While there are plenty of common tips and guidelines out there, I'd like to share some uncommon tips that can make your home-buying journey in Ottawa a smoother and more successful one. Here are some expert insights to consider:

1. Consider Off-Peak Seasons:

While spring and summer are the peak seasons for home buying, don't overlook the benefits of house hunting in the off-peak months. In Ottawa, the winter months can offer more negotiable prices. Fewer buyers are competing with you, and sellers might be more motivated. Plus, you'll get a real feel for how well the property handles the cold weather.

2. Take Advantage of Virtual Reality Tours:

Technology has revolutionized the real estate industry. Consider utilizing virtual reality (VR) tours of properties. It allows you to "walk through" a potential home without leaving your current residence. This is especially helpful if you're relocating or have a busy schedule.

3. Look Beyond the Obvious Renovations:

Most buyers focus on the cosmetic aspects of a house when considering renovations. Look deeper. Check for structural issues, outdated wiring, plumbing, or heating systems. An older house with a strong foundation can be a great canvas for your dream home.

4. Visit the Property at Different Times:

When you find a property you like, visit it at different times of the day and week. This will give you a better understanding of the neighbourhood, traffic patterns, and potential noise levels. Ottawa neighbourhoods can vary dramatically in terms of activity and ambiance, so it's important to experience them firsthand.

5. Understand the Local Property Market:

Ottawa's real estate market can be different from other Canadian cities. It's a government town with a stable economy and unique factors driving property values. Stay informed about market trends and consult with a local realtor to understand what's happening in your desired area.

6. Research Future Developments:

Ottawa is a growing city with evolving infrastructure. Investigate future developments, such as transportation projects, commercial zones, and schools. These factors can significantly impact property values and quality of life.

7. Trust Your Gut:

Sometimes, you just get a gut feeling about a property. Trust that intuition. A home is more than just a financial investment; it's where you'll build memories and your life. Ensure that it feels right for you.

In the ever-evolving world of real estate, thinking outside the box and tapping into uncommon strategies can lead to remarkable results. If you're considering buying a home in Ottawa, these tips can help you find the perfect property while enjoying the process.

Remember that having a trusted real estate agent by your side is invaluable in navigating Ottawa's real estate market successfully. Feel free to reach out to me for expert advice and assistance in your home-buying journey. Happy house hunting! 🏡

Transforming Your Ottawa Home with Staging: A Path to Success in Today's Real Estate Market

Introduction

Selling a home can be an emotional and exciting journey, and in Ottawa's dynamic real estate market, it's a task that demands careful consideration. Whether you've lived in your home for years or are just starting to make your way into the world of real estate, staging your home is an essential step that can make a world of difference. As a realtor with a deep passion for helping homeowners find success in Ottawa's market, I'm here to share with you why staging your home is a beautiful way to enhance its appeal and create an unforgettable impression on potential buyers.

Creating Memorable First Impressions

Your home is a reflection of your life's journey, filled with memories and stories. When potential buyers step through the door, they want to feel the same warmth and connection that you've experienced in your home. Staging helps create a memorable first impression, inviting them into a space that they can imagine themselves living in. It's about setting the stage for a new chapter in their lives, one filled with the same cherished moments you've experienced.

Unveiling Hidden Potential

Every home has unique features and potential that might not be immediately apparent. Staging professionals have a knack for bringing out the best in a property, highlighting its most appealing aspects. Whether it's a cozy corner, a charming backyard, or a spacious living area, staging helps buyers envision the possibilities. It's a reminder that your home can be a canvas for their dreams, and in Ottawa's competitive market, this can set your property apart.

Enhancing Your Online Presence

Today, the home-buying journey often begins online. Buyers browse through countless listings, looking for the one that captures their heart. With staging, your online presence is significantly enhanced. Professional photographs and virtual tours will showcase your home in its best light, grabbing the attention of potential buyers as they scroll through listings. This extra touch of charm could mean more inquiries, more showings, and, hopefully, a faster sale.

A Competitive Edge

Ottawa's real estate market is known for its competition, and staging provides you with a unique edge. A beautifully staged home is more likely to linger in the minds of buyers and realtors. Your property might become the one they recommend to their clients, giving it that extra visibility it needs in a bustling market. This visibility often results in more viewings, more interest, and, ultimately, a more successful sale for you.

Speeding Up Sales and Increasing Value

Ultimately, the purpose of staging is to help you sell your property faster and at a better price. Statistics consistently show that staged homes tend to achieve both of these goals. When buyers walk into a well-staged home, they see the care and effort put into it, making them more likely to make competitive offers. The faster your home sells, the less you have to worry about carrying costs, and the sooner you can embark on your next adventure.

Conclusion

Selling your Ottawa home is a journey of emotions and excitement. Staging, far from being a sales tactic, is a way to honour the stories you've created in your home while also giving potential buyers the chance to dream and connect. In today's bustling real estate market, setting your property apart from the rest is essential. Staging is an investment not only in your home but in your future. It allows your home to shine, not just as a property, but as a canvas for someone else's dreams and memories.

As a realtor, my primary aim is to help you find success in selling your home, and staging is a beautiful way to do that. I encourage you to consider the advantages of staging your home in today's Ottawa real estate market. It's a warm and inviting invitation to create a magical experience for potential buyers, one that may lead to a quicker sale and a more rewarding outcome. Let's embark on this journey together, where your home's story continues with new characters and adventures. Choose to stage your home and let the magic unfold.

We Had a Little Party to say thank you

As Thanksgiving comes to a close and the autumn season envelops us, our team takes a moment to pause and reflect on our immense gratitude.

In the world of real estate, referrals are the lifeblood of our business. Our unwavering commitment to delivering exceptional results and service is driven by our desire to earn your trust, so much so that you think of us and recommend us to your cherished network of family and friends. This reciprocal relationship allows us to create positive and fulfilling experiences for all.

Each time we receive a referral, we are genuinely humbled, considering it the highest compliment for a job well executed. Our clients are at the heart of everything we do, and we are deeply appreciative of the trust you place in us day in and day out.

Recently, we decided to express our gratitude with a spontaneous and intimate gathering, an opportunity to say thank you to some of you. It was a delightful occasion, and judging by the smiles and laughter, we may just have to plan something even more grand in the future. Despite the unpredictable weather, the idea of a garden party remains alive in our hearts.

As we move forward, please remember us when conversations inevitably turn to real estate and the ever-evolving market. We are always available to assist with your real estate inquiries, and we eagerly await the chance to invite you to our next appreciation soirée. Your unwavering support and affection throughout the year mean the world to us, and we are profoundly grateful for your continued presence in our real estate journey.

A shout-out to our lovely caricature artist Darius from Ottawa Caricatures, it was the perfect addition to our little event. Thank you!

Ottawa's Real Estate Market: A Look into August's Performance and Persistent Supply Challenges

The Ottawa Real Estate Board (OREB) released its August market report, which sheds light on the current dynamics of the city's housing market. Despite the challenges the market is facing, there are some positive trends and opportunities for both sellers and buyers.

August Performance: An Overview

According to the OREB, 1,196 residential properties were sold in August through the Board’s Multiple Listing Service® (MLS®) System, marking a 6% increase from August 2022. The sales comprised 903 freehold properties (up 7% from last year) and 293 condominiums (a 2% increase from August 2022).

"Housing sales activity in August was up slightly compared to the previous year but still significantly below the historical average for this time of year," says Ken Dekker, OREB President.

Price Trends: A Closer Look

The average sale price for a freehold property in August was $709,739, reflecting a slight growth of 0.5% from 2022, but a 5.6% decrease compared to July 2023. Similarly, the average sale price for a condominium-class property was $425,968, marking a 1% increase from a year ago, but 1.4% lower than July 2023.

Interestingly, the year-to-date average sale prices have shown a downward trend, with freehold properties and condominiums experiencing an 8% and 5.5% decrease respectively compared to 2022.

New Listings and Inventory: The Supply Challenge

The OREB reported 2,228 new listings in August, which is a 7% increase from August 2022 and on par with the previous month. This figure is in line with the 5-year average for new listings in August, which stands at 2,177.

However, the supply challenge persists. The months of inventory for freehold properties have increased to 3 months from 2.9 months in August 2022 and 2.7 months in July 2023. For condominium-class properties, the months of inventory remain the same as August 2022 at 2.2 months, a slight decrease from 2.3 months in July 2023.

Addressing Affordability and Supply Challenges

Janice Myers, OREB CEO, points out that the supply challenge coincides with the City of Ottawa's allocation of $110 million for affordable housing. However, Myers warns that even with a potential drop in interest rates and economic stability, housing will still be out of reach for many Ottawa residents without significant changes.

"Collaboration among all levels of government and stakeholders is crucial to improving affordability for homeowners and tenants alike. We need to expand provincial regulations to promote higher-density housing," Myers explains.

The Role of REALTORS®

In addition to assisting with property sales, OREB REALTORS® also aid in finding rentals and vetting potential tenants. Since the beginning of the year, they have helped clients rent 4,571 properties, a 10% increase from the same period last year.

Understanding the Market: A Final Word

While the average sale price can indicate trends over time, it's important to note that they should not be used as indicators of specific property value changes. Prices can vary significantly from neighbourhood to neighbourhood.

The OREB continues to be a valuable resource for understanding the Ottawa real estate market. It is Ottawa’s largest trade association with over 3,900 Sales Representatives and Brokers in the area, all committed to assisting clients in navigating the complexities of the real estate market.

Whether you're a buyer or a seller, staying informed about the market trends and challenges can help you make more informed decisions. The real estate market continues to evolve, and understanding these changes is key to successful real estate transactions.

Home Sales over $1M in 2021

Residential home sales over $1,000,000 accounted for 11.1% of the 2021 Ottawa market compared to 5% in 2020. 1703 residential homes sold over $1M in 2021. A similar linear trend is also visible with condominiums selling over $1M accounting for 1.1% of the market compared to 0.5% in 2020, with 53 units sold in 2021. Get in touch to learn what this means for your Real Estate buying, selling or investing goals!

Thanksgiving Charity Event

It's Thanksgiving this coming weekend.  As a team, we are so thankful for so many blessings that have been bestowed upon us.

But it has been quite the year, quite the last 19 months, hasn't it?  A time that will never be forgotten, nor the lessons from it.  Everything has changed, and yet, there is SO much to be thankful for, so much to reflect on.  Thanksgiving is a perfect time to do so.

Personally, I am thankful for my health, my family, the wonderful career I am privileged to be involved in, a safe place to live and sleep, a strong community of friends and colleagues, and enough healthy food to share and enjoy with others.

As I and the team reflect, we know that the past 19 months have been less than kind to many. The challenges of isolation, job loss, health, and COVID19 stresses are still at an all-time high.

Many Ottawa residents will not be able to afford a Thanksgiving meal this year at all.  It may be your neighbour, or mine.

Let's all be a beacon of generosity this Thanksgiving and make a difference.  Our team would appreciate your donation, large or small to The Ottawa Food Bank. 

We chose this way of helping because a $1 donation buys $5 of food for those less fortunate than us right now.  Food and fund drives, provide the Ottawa Food Bank with the necessary resources to sustain their programs and ensure that a supply of emergency food is available to those who may need it.  And they need us more than ever this year.

Help us fill your neighbours plates with food and their hearts with gratitude this Thanksgiving!  I for one will feel much better sitting down to our family Thanksgiving dinner, knowing I helped someone else have one too.

Thank you.
Lorie, Michael, Martin, Elan, Keegan and Andrew
(Donations are provided through the page)


Link to our donation page: HERE

Canadian Real Estate and the New Mortgage Stress Test

Homebuyers entering the Canadian real estate market are facing a slightly bigger obstacle starting today, with the Office of the Superintendent of Financial Institutions (OSFI) implementing a higher threshold for the mortgage stress test. Under the new rules, the minimum qualifying rate for uninsured mortgages – those where buyers have a down payment of 20 percent or more – in either the mortgage rate offered by the lender plus two percent, or 5.25 percent, whichever is greater.

The change was prompted by a number of challenges within the Canadian real estate market, such as high debt levels, rising prices, low supply, and bidding wars.

“In a complicated and sometimes volatile housing market, the need for sound mortgage underwriting cannot be underestimated. The rate in place as of June 1, 2021, will help support financial resilience should economic circumstances change, while our commitment to review the qualifying rate at least annually will contribute to continued confidence in the Canadian financial system,” said OSFI’s Ben Gully, Assistant Superintendent, Regulation.

Will the Mortgage Stress Test Cool the Canadian Housing Market?

While some have indicated that the higher threshold may cool the hot Canadian real estate market, industry insiders have their doubts.

“Given the small increase in the qualifying rate that will come into effect under the new mortgage stress test rules, we don’t anticipate any significant long-term impacts to the housing market. In the short-term, this may work to slightly calm recently hot activity, but the affordability challenges seen in many Canadian cities will remain,” according to a joint statement by Christopher Alexander, Chief Strategy Officer and Executive Vice President and RE/MAX of Ontario-Atlantic Canada, and Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada.

The first iteration of the OSFI mortgage stress test took effect in 2016 and applied to insured mortgages, as a means of cooling the housing market. Then in 2018, it was expanded to all mortgage borrowers, to ensure their ability to service their mortgage debt, even if interest rates rose by a couple of percentage points. The mortgage stress test qualifying rate has undergone some changes over the years. Prior to June 1, the bar was set at 4.79 percent.

“As proponents of buyers purchasing within their means and avoiding financial infeasibility, and in also understanding the affordability crisis spanning the Canadian real estate market, we recommend that along with short-term measures, including the stress test adjustment, larger-scale solutions to housing affordability are also addressed,” said Alexander and Ash. “As the historically low-interest rates eventually begin to creep up over time, these upcoming changes may need to be eased once again, to match current economic conditions.”

The OSFI will be reviewing the stress test annually, at minimum, to ensure its relevance under changing market conditions.

“While this happens, we’d also hope that regulators are simultaneously working on a long-term national housing strategy that increases supply and allows Canadians to be able to successfully enter the market.”

Canadian Housing Market Needs More Supply.

Affordability has been an ongoing issue within the Canadian housing market, with government-imposed cooling measures only providing temporary relief in the past. In fact, these have had unintended consequences and have actually exacerbated the current predicament. In many ways, Canadian real estate is still reeling from the pent-up housing demand of 2017, when cooling measures such as the foreign buyer’s tax and the early mortgage stress test pushed many homebuyers to the sidelines. People paused their purchasing plans, and over the years many have saved their money with the aim of getting back in the market at a later date.

Yes, we have a problem given the unprecedented levels of activity in the Canadian real estate market ─ from soaring price increases from coast to coast spurred on by overwhelming demand to profound challenges in housing affordability. While COVID-19 has made this significantly more pronounced, the issues facing the Canadian housing market were brewing long before the pandemic struck.

Alexander and Ash have held that long-term solutions to the affordability crisis include increasing supply in the Canadian housing market to reach the majority of homebuyers, making all purchases conditional on financing to reduce financial overextension of buyers, and implementing regulations concerning listing price thresholds, will we find the answer to cooling the exuberance enveloping Canadian real estate.

We are excited to be having another GROWTH spurt because of YOU!

Our team has been blessed with wonderful clients who support our business year after year. Our past clients and referral partners have become family and friends to us over the past 15 years of our real estate practise.

It all started 15 years ago with my Dad and I. Then Michael joined the team, and Dad retired. Over the years we have added a few realtors and a small number of administrators. We have always been reluctant to grow too much, as finding the right fit is not easy. We care about our clients, and want to keep a consistency for them, with our service levels.

We feel grateful to have developed our small dream team consisting of Michael, myself, Martin and Rebecca. Rebecca after 3 years knew what I was thinking, sometimes before I did. Martin after 2 years, is still going strong, bringing his high level of dedication and great sense of humour that helps us through stressful days. Michael’s heart and patience has brought consistent referrals from his past clients.

Now, our Team Coordinator Rebecca, who many of you have interacted with, has left on maternity leave. We are very thankful for her contributions to the team and its growth, and will miss her. But with change , there is always an opportunity to look at how you can evolve and improve to deliver a better experience, whether listing or buying with us.

We are super pleased to report that we have invested further in our team by adding two new roles to our team. Please join us in welcoming:

Andrew Kerr as Office Coordinator

Keegan Downs as Marketing Coordinator.

With a dedicated Marketing Coordinator, it only seemed fitting that we table some new projects that reflect growth and the contributions of all the team! And with that we are moving the team name to….

The Warren Team
www.warrenteamottawa.com

Hope you love the new logo as much as we do! And we look forward to all the incremental improvements and changes in progress to make your experience with us even better!

Thank you,

Lorie

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Why working with a team benefits you!

1. We get to give you the most attentive service possible.

Real estate agents do a lot more than just show homes and write up contracts. In fact, that normally is just a small portion of our workday. We’re also managers, marketers, statisticians, client care specialists, copywriters, stagers, videographers, and sometimes photographers. For a single agent, this can be overwhelming and tends to take time away from what’s most important, our clients. When you have a team of people though, including support personnel, to take many of these items off of our day-to-day checklist we get to focus on what’s most important, YOU.

2. You get the benefit of different expertise.

A team of agents has a huge variety of experience and knowledge that you get to benefit from. As a team, we love to help each other and collaborate when needed. Say someone on our team knows an area really well that you’re interested in, or has inside knowledge on a condominium you like. You can rest assured that your agent will always use the knowledge of the whole team to give you the best service possible.

More minds are better than one.

3. Servicing our clients is always our top priority.

Homebuyers can get the impression that when working with a team you will be bounced around from agent to agent. That’s not the case, who you work with is your agent, and who will be with you throughout the process. What you do get is someone who has the time to focus on you and your needs because there is a team behind them helping them get all of the other tasks completed.

A team means you will receive better, more attentive service.

4. You get 24/7 care.

While your agent will always be your agent, unfortunately, we can’t always be available 24/7 for you. If we are away at a conference bettering our skills, or out of town with other clients and you need us, there will always be someone to make sure you’re taken care of. Right now, the real estate market is extremely fast-paced, homes can sell the first day on the market. With a team, you know that if you need to see a house ASAP there will always be an agent available to show you a home or negotiate a contract on your agent’s behalf.

5. You don’t pay any extra to work with a team.

That’s right, all of these benefits come at absolutely no extra cost to you. If you’re selling your home you will pay the exact same commission for a team as you would for a single agent.

Working with a team gives you more bang for your buck.

6. In multiple representation scenarios, you get better service.

Multiple representation happens when a buyer wants to put an offer in on a home listed with the agent they’re working with. This can be uncomfortable and complicated for solo agents to handle because they have to manage the best interests of both their seller and buyer. When working with a team in this situation, two team members will handle the transaction. This way you know that you will receive the best service possible.

A great team means a better experience!

Who you work with matters!