Category: Buying and Selling Info

Ready to make a move? When searching for your dream home, cottage or cabin in Bruce Peninsula, due diligence is key. Taking the plunge without asking essential questions can lead you down an unexpected path – that’s why having a reliable local realtor who knows the area well is so important!

Septic systems

Investigate the past of your septic system to ensure it’s adequate for your property. Remember that when creating a water system, you need to consider where the source is coming from and if it’s safe for drinking purposes – both factors are determined by number of bedrooms instead of bathrooms.

Road access

Before investing in a property, consider how easily you can access it – whether via public roads or privately-maintained routes. When opting for the latter, always factor in winter weather too; snowfall could significantly affect your journey and leave you exposed to hefty maintenance costs should extra clearance be necessary.

Water access and conditions

Boating enthusiasts need to be aware of potential access restrictions, as well as the water level. Is your lake spring-fed? Or is it affected by dams or other large-scale conditions? Seasonal changes in the water levels can catch boat owners off guard when winter comes and docks are left high and dry – make sure you have a good understanding before investing!

Other Considerations

• Electrical systems
• Dock condition and management 
• Property lines, bylaws, and zoning
• Garbage collection
• Maintenance by previous owner

With the real estate market ever-evolving, it can be hard to know where to begin when purchasing your
first home. Look no further than Grey Bruce County! Whether it’s a complicated or straightforward
transaction, let an experienced buying agent help guide and advise you through each step of the process
for finding that perfect place. Let these ABCs provide insight on how to successfully buy in any real
estate market – essential tips from those in-the-know!

A) Finding the Right Realtor

When it comes to finding the perfect home, having a knowledgeable ally on your side is
essential. A professional realtor can help you navigate the market and better understand your
neighbourhood of interest while looking out for YOUR best interests with no added cost –
because their commission is covered by the seller! With an experienced real estate agent in tow,
you’ll have confidence that all aspects are handled so that when closing time arrives (and
beyond!) everything will be stress-free as settling into your new residence begins.

B) Figuring out Financing

If you’re searching for your dream home, make sure to secure financing before making any
offers. A pre-approval letter from a lender will help you determine what budget works best and
provide peace of mind when negotiating with potential sellers. Your real estate agent can
recommend reliable mortgage professionals who are looking out exclusively for your interests –
not the other way around! With a pre-approval in hand, you’ll have an edge over the
competition. Sellers respond to offers that are real and concrete – your pre-approved mortgage
gives them assurance of seriousness on your part. So get wise about all available options for
financing your dream home – and then start exploring!

C) Build your Budget and Stick to It

Purchasing a home is an exciting yet daunting venture. To ensure you find the perfect property,
it’s crucial to set and stick to your budget beforehand – factoring in essential costs like closing
fees, utility bills, insurance premiums and moving expenses. Work with a real estate agent who
will help you decide how much money they should allocate while also informing of other factors
such as areas that are flexible on price or when to walk away due diligence-style so there’s no
buyer’s remorse down the line! With flexibility comes opportunity; stay open minded
throughout this process for all possibilities come across within your range – leaving you feeling
confident enough bidding once finding ‘the one’.

D) Write Your Wish List

A successful house-hunting experience starts with a wish list. When creating yours, be sure to
include details about your absolute necessities, deal breakers and desired extras. Doing so will
help you narrow down potential options quickly! Plus, it’s important to take into consideration
the timeline of when you need (or want) to move – this can have an impact on what properties
available for viewing or purchasing that fit within your criteria. Lastly remember: location and
square footage are aspects that won’t change after moving in; things like bedrooms may require
renovations if they don’t suit your needs perfectly right away!

E) Perfecting your Property Search

The perfect property is out there, waiting for you – and a reliable buyer agent can help you find
it! With an experienced team member as your ally in the search process, not only will they
understand all of your must-have criteria but also be able to recognize potential hidden gems.
Plus when the time comes to submit an offer on that dream home, their expertise ensures that
your bid is well crafted and strategic — because having someone in your corner pays off.

F) Make Moving Easy

Make the moving process smooth sailing with a comprehensive checklist! Your agent can be an
invaluable resource in helping you stay on top of all necessary items. These items on your
checklist can include: arranging a final walk-through of your new home, completing forms for
any changes in address from IDs to schools and utilities, and reminders to change the locks in
your new home. Your agent is here as an expert guide – they’ll help you stay organized
throughout the process so everything goes off without a hitch!

Thinking about selling your home? If so, you’re probably wondering about what you can do to gain top dollar. Do you invest in finishing the basement bathroom? What about building a back deck? Or getting rid of that 80s wallpaper that’s still up in your laundry room? There’s probably a list of things that you’d like to do, but at this point you might be wondering if they’re worth the time, money, and effort.

Budget Extra

Costs will vary depending on where you live, what room you’re updating, and the extent of the renovations. If you’re going that route, make sure that you give yourself some extra time and wiggle room in your budget. Often renovations take longer than originally planned and cost more than expected. So before you start taking down walls, talk to Laura Lisk, Realtor® about which projects will give you the best returns.

In the meantime, here are five ways to freshen up the house without breaking the bank.

1. Go Neutral

A fresh coat of paint goes a long way on a limited budget, just make sure you choose from a palette of cool, neutral tones. Some people find it hard to look past all the red in a room or other vibrant colours, so beige, taupe, grey, or white will help take the focus away from the walls and into the space. These colours also help to brighten up dark rooms and make smaller spaces look larger.

2. Declutter

Have you grown out of your closet and into the spare bedroom’s? Has your garage become a storage container? Things collect over time – we get it. But if your stuff is taking over, it’s time to declutter. To help you decide what should stay and what should go, think about the last time you used the item and why you’re saving it. Then think about how much time it’ll take to pack everything up – only to store it somewhere else. It’s easier to travel light, so get rid of what you can before your house goes on the market. Donating is a feel-good way to share with others. You’ll enjoy the extra breathing room and you’ll be surprised by how much bigger your house looks.

3. Provide a Blank Canvas

You’ve created great memories in your home, and you’ll cherish them wherever you go, but now’s the time to help potential buyers imagine their own good times in this space. As a seller, that means creating a welcoming feel without being too personal. Pack up sentimental items ahead of listing. This will maintain your privacy during showings, while giving buyers a blank canvas to visualize an exciting fresh start.

4. Fix What Needs Fixing

There might be some things that you need to fix, and they might not be so obvious. You can be proactive by getting a home inspection before putting your house on the market, so you can find out what needs repair and what’s cosmetic. This will give you some peace of mind and ensure there are no surprises before negotiations start with a buyer.

5. Boost Curb Appeal

First impressions are everything, right? This goes for houses, too. Create an inviting experience that makes buyers feel like they’re coming home for the first time. Look neat and tidy with fresh-cut grass and pruned shrubs, create warmth with a well-lit entry, and add a splash of colour with some cheerful potters. Curb appeal shows buyers that you love your home – and they will too.  

For more tips on how to boost your home’s value, call Laura Lisk, Realtor® at 519-379-2624.

Are you buying or selling vacant land? You might be wondering about the tax implications involved. 

You may have vacant land with or without a house on the property. When a sale of vacant land includes a residence or house, the sale is dealt with as two separate sales:

• the portion that includes the house, plus the land necessary for the use and enjoyment of the house
• the remaining portion of vacant land

This blog post will answer questions about tax on the vacant land portion.

Is tax applicable on vacant land sales in Ontario?

In many cases, no. 

Individuals who have used vacant land for personal use will not charge tax when they sell it. The same applies if someone sells a subdivided piece of land to a relative, former spouse, or common-law partner for their personal use.

Taxes are not applicable if land is not capital property used primarily in a business and it is not being sold in the course of a business.

For example, if you inherit vacant land, you would not be buying the land with the intention of reselling it. When you sell, it would not be in the course of an adventure or concern in the nature of trade. 

Another situation where tax is not applicable is when you have never previously subdivided or severed your parcel of vacant land from another parcel you owned. If you subdivide the parcel into only two parts, the sale of either of those parts is exempt.

When is tax applicable on vacant land?

Here are instances when tax is charged:

• land that is capital property and had been used primarily in a business
• land that is sold in the course of a business
• selling a parcel of land created by subdividing another parcel into more than two parts

What if I have more questions about vacant land sales?

For more specific information, please visit the Government of Canada’s webpage regarding the sales of vacant lots by individuals.

If you’d like to discuss tax on vacant land, please get in touch with me. Phone me at (519) 375-7653 or send me an email at laura.lisk@century21.ca.

Buying a house might seem complicated, especially if you’re doing it for the very first time. Down payments, credit scores, mortgage rates (both fixed-rate and adjustable-rate), property taxes, interest rates, and closing the deal can easily feel overwhelming. 

In this article, we’ll explain the home buying process in ten steps, all the way from saving a down payment to move-in day.

Step 1: Start saving a down payment

Every first-time homebuyer should take a close look at their finances. Buying a home requires a mortgage loan that you’ll pay back over time. In order to get a mortgage, you’ll need a down payment.

How much of a down payment do you need?

Ideally, a down payment should be 20% of the home’s price to avoid extra fees. If you don’t have that much, a down payment can be as low as 10%, 5%, or even 0% for certain types of mortgages.

Step 2: Check your credit score

A first-time homebuyer will need a decent credit score. This three-digit number is a numerical summary of your credit report, which documents how well you’ve paid off past debts like credit cards and student loans.

A lender will check your score and report to decide whether or not to loan you money, as well as how much and at what interest rate. If a lender sees late payments on your credit cards or other problems in your credit report, it can lower your chances of getting a loan with a low interest rate or getting any loan at all.

It’s essential that you know your credit score and take steps to raise it as high as possible. 

Step 3: Get pre-approved for a mortgage

Before you start looking at houses, you should seek pre-approval for a home loan. Ideally, you should meet with a loan officer at a few mortgage companies.

Each mortgage lender will examine your debt-to-income ratio and assets to determine whether to loan you money and what size monthly payment you can realistically afford. This will help you tailor your home search to your price range. 

Just keep in mind that mortgage pre-approval is different from mortgage pre-qualification. When you pre-qualify, you’re undergoing a much simpler process that can give you a ballpark figure of what you can afford to borrow but no promise from a lender. Getting pre-approved requires a lot of paperwork, but it guarantees you’re creditworthy and means you can buy a home.

Before you meet with a lender, you can see what you can afford with an online home affordability calculator. This will calculate your maximum monthly payment amount.

Step 4: Find a Realtor

Most first-timers will want a great real estate agent, specifically a buyer’s agent, to help them find the right house, negotiate a great real estate deal, and explain all of the nuances of home buying. A real estate agent’s services are free to first-time homebuyers (the seller pays the sales commission).

When you are looking for a real estate agent in your area, choose one that is also a Realtor®. Realtors adhere to a code of ethics and have your best interests in mind. 

Step 5: Go look at homes!

This is the fun part! As a homebuyer, you can browse lots of real estate listings here on my website and on sites like realtor.ca. Ask your Realtor to set up appointments to see your favourite listings in person.

Sometimes, the sheer number of homes can be overwhelming. It’s best to really know what you need and want in a home. Separate your must-haves from features you’d like but don’t really need. Do you really need a brand-new home? Or can you live with a fixer-upper? Make an honest list of your wants and needs to get started, then whittle down your options.

Step 6: Make an offer

Once you’ve found the right home, it’s time to make an offer to the seller. Your Realtor can help you develop a strategy and prepare a fair offer based on their knowledge and experience, your initial impressions and observations of the home, and the asking price. 

Your Realtor will also help you determine any conditions like financing or inspections that you’d like to include as part of your offer and set a deadline. Typically, the buyer has 24 to 48 hours to accept or reject an offer.

Step 7: Get a home inspection

A home inspection gives you the opportunity to discover any problems in a house you want to buy, and it can be used as a contingency in your contract with the seller. If a home inspection reveals significant defects or problems, the contingency allows you to back out of your purchase offer, free of penalty, usually within seven days. 

Step 8: Get a home appraisal

After you get pre-approved for a home loan, your mortgage lender will want to conduct a home appraisal. The lender will check out the house to make sure it’s a good investment. This is similar to a home inspection but for your lender.

Step 9: Head to closing

Also known as settlement or escrow, closing brings together all the parties who are part of the real estate transaction, including the buyer, seller, and mortgage representative.

Closing day is when you get the keys to your new home and pay all the various parties involved. That will include your down payment for your loan, closing costs, and the extra fees you pay to process your loan.

Closing costs can be quite large, averaging anywhere from 2% to 7% of the home price.

Step 10: Move-in Day!

The last thing to do is to move into your new home! We’ve written about this part of the process in our blog posts Moving Checklists by the Week and Tips for Moving with Pets. 

Congratulations! You’ve graduated from a homebuyer to a homeowner! 

Questions? Concerns?

Let’s talk! Phone me at (519) 375-7653 or send me an email at laura.lisk@century21.ca.

These covenants are implemented by subdivision developers so consistency is maintained among all the properties in the neighbourhood, and the value of all the land stays consistent.

Restrictive covenants function to control what homeowners can or can’t do with the use and appearance of their property. These covenants are implemented by subdivision developers so consistency is maintained among all the properties in the neighbourhood, and the value of all the land stays consistent.

What is restricted in a covenant?

Restrictions can vary. Here are some examples:

• colours you can paint a garage door
• materials that can be used for fencing
• if multi-unit dwellings are permitted
• types of trees that can be planted
• additions to a house
• if a backyard pool is permitted
• storage of any boats or trucks in the driveway
• installing satellite dishes or clothes lines

Do restrictive covenants apply to resale homes?

That depends. Under the law, restrictive covenants “run with the land,” which means they apply to any future buyer of the property. However, the restrictive covenant for a resale home may have expired or might not be enforceable because the development of the subdivision is finished.

Some restrictive covenants are not legally binding, especially if they are thought to be arbitrary or not in the public’s best interest. Legally, under the Ontario Land Titles Act, restrictive covenants automatically expire after 40 years. However, the covenant may be set up with a different end date.

When you are in the process of buying a house, the standard Agreement of Purchase and Sale will include a clause that says the title will be free from all registered restrictions and encumbrances, but not any registered covenants that run with the land. Review the purchase agreement in detail with a real estate lawyer to find out exactly which easements or restrictive covenants affect the property you wish to purchase. 

Are you thinking about buying a condominium? It’s important to know exactly what is included when you are considering purchasing a particular condo. 

What do I own when I buy a condo?

When you buy a condominium, you own a private unit registered in your name. In freehold condominiums, you also own the land, the exterior walls, and the roof. You might also be permitted sole use of balconies, parking spaces, storage lockers, driveways, and private lawns. 

Besides the unit itself, you also share ownership of some common elements in the larger building like lobbies and hallways, elevators, recreational facilities, walkways and gardens, and other amenities. Shared elements could also include structural elements and mechanical or electrical services.

What are condo fees?

Owning a condo comes with monthly fees that all unit owners pay. These fees cover the upkeep and replacement of shared property and may also cover the condo corporation’s insurance policies, utilities and services (snow removal, lawn mowing).

A portion of monthly fees may be put into a reserve fund to cover future maintenance and repairs. In some provinces and territories, a reserve fund study is required by law to tell condo owners how much money should be paid into the reserve fund. An engineer or other professional conducts a detailed examination of all building components and reports when repairs and replacements are expected, with a cost estimate.

Condominium fees may be adjusted from time to time to reflect the changing costs of goods and services and the health of the building’s reserve fund. 

“Title” is a legal term that means you legally own a property. You obtain title when the owner signs the deed (which is a transfer document) over to you. It is then registered in the government’s land registration system.

What is residential title insurance?

Residential title insurance is an insurance policy designed to protect both you as a residential property owner and your lender against financial losses related to the property’s title or ownership.

Do I need title insurance?

In Ontario, you are not required to purchase title insurance. Discuss it with your

lawyer, title insurance company, or insurance agent/broker to understand the types of protection title insurance and if other options exist. 

What does residential title insurance cover?

A title insurance policy may provide protection from the following losses:

■ Unknown title defects that prevent clear ownership of the property

■ Existing liens against the property’s title 

■ Encroachment issues (e.g. a structure actually on your neighbour’s property)

■ Title fraud

■ Errors in surveys and public records

■ Gap coverage between the time your property purchase is finalized and when your title is registered in Ontario’s land registration system

■ Survey coverage may eliminate the need for a new up-to-­date survey of your property and is acceptable to most lenders as an alternative to a new survey or a Real Property Report (RPR)

What types of properties can be insured?

■ houses

■ condominiums

■ cottages

■ rental units

■ vacant land

■ cooperatives

■ leased properties

■ rural properties

How much does it cost?

It varies based on the value of your home and the insurance company you choose. You will also need to pay a one-­time fee called a premium.

How long does the coverage last?

As long as you own the property. Most policies extend coverage to your heirs through a will or to a spouse in the event of a divorce.

Where can it be purchased?

Your lawyer or title insurance company can help you purchase title insurance, or you can contact an insurance agent/broker. To see a list of licensed title insurance companies in Ontario, visit the Financial Services Commission of Ontario’s (FSCO) website at www.fsco.gov.on.ca, click on Licensing & Registration, and select Licensed Insurance Companies in Ontario.

Title insurance purchasing tips

When you buy residential title insurance, make sure the following factors are met:

■ Your property is insured for its full value

■ Your policy’s effective date is the same as the property’s closing date

■ Any other title­-related issues that could affect selling, mortgaging, or leasing your property in the future