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CategoriesReal Estate Agent, Real Estate Tips

Things to consider when buying a house in Ottawa

Every listed home should meet the basic expectations of any buyer; it should have a sound roof, functioning gutters and downspouts, foundation without cracks, functioning heating and/or air-conditioning system, solid subflooring, and safe and secure electrical wiring. With financer-mandated home inspections, any shortcomings may be require to be remedied to get buyer financing approval.

Houses for sale in Ottawa are sometimes priced lower than market value, which means they have more buyers looking at the house (even buyers who can’t afford it). This is creating bidding wars between buyers and ultimately leading to an over asking sales price. Your real estate agent can help guide you through this elaborate offer process.

It is important to understand that the market value of a home is determined by the prices of comparable homes recently sold in the area. Always ask your real estate professional which areas are more desirable and why. This can help you choose how much you want to spend on your home. Here are other things/costs to keep in mind during the home buying process.

Closing Costs?

Before making a home purchase there are many things to consider, hidden fees are one of them. Here is a list of closing costs you may expect:

  • Appraisal Fees
  • Inspection Fees
  • Lawyer Fees
  • Land Transfer Taxes

Extra Costs?

There are also ongoing costs associated with owning a home. Some of these costs include the following:

  • Property Taxes – These depend on the location and size of the property.
  • Maintenance and Repairs – Things like the roof, furnace, and A/C are more costly repairs for a home, but you also have to keep in mind all the small repairs throughout the year
  • Home Insurance – This is sometimes bundled in with your mortgage payment

Do You Have a Mortgage Broker?

Having a reliable mortgage broker is extremely beneficial when it comes to finding the best rate for your mortgage and can take a lot of the stress out of the buying process.

How Much do Utilities Cost?

Utilities can vary a lot from house to house, do some research on the property you want to purchase so there are no surprising charges. These are some (not all) of the utility costs you may expect:

  • Electricity
  • Gas
  • Water/Sewer
  • Trash/Recycling
  • Telecommunications (internet, cable, phone, etc)

The best way to get an estimate is to ask your real estate agent to ask the Sellers what they pay. Otherwise, you can contact the providers for each cost.

After speaking to your mortgage broker, they will be able to tell you what you can afford to buy. This is when you can start your search! When looking for homes there are the basics that you want to know about each home. Your real estate agent will be able to give you information to any questions you may have.

Buying a home is more than simply entering a google search for “Homes for sale near me. Listed below are all questions you and your agent should ask for any homes of interest:

Are there any problems currently with the house? Have there been any in the past?

Leaks, foundation cracks, roofing issues, etc. should all be relayed to a serious buyer.

How old is the roof, A/C, furnace, windows?

These three things are the most costly to replace, having them recently updated would mean that you don’t have to worry about that extra cost for a while.

Have there been any improvements to the home?

Additions and improvements usually bring value to the home. Sometimes it brings more value to the Sellers than Buyers.

What is the heating system?

A modern heating system is more appealing to buyers, natural gas and forced air.

Are there any safety hazards?

Mold, pests, poor air quality, etc., can all devalue a home, and are certainly not a selling feature.

Is the home still under Tarion Warranty?

Tarion Warranty is a new build home warranty program. You can expect to be covered (for certain things) up until a certain number of years.

Is the home stigmatized?

Has someone passed away in the home? Has someone grown marijuana in the house? These are both examples of stigmas of a house, things that devalue a house.

How is the neighbourhood? Crime rates?

Always look online and ask your agent about the neighbourhood and crime rates.

A real estate professional can help you navigate the purchase of your home, answer any questions, and alleviate some of the stress that comes with this investment.

Houses For Sale In Ottawa
CategoriesCompany insights, Industry Insights

How do mortgage rates affect you purchasing the best houses for sale in Ottawa?

Here you will find helpful information on what will affect the price of houses for sale in Ottawa. Below are the most influential factors in your home purchase. Location Is the property in a desirable location or is the property situated near high power lines, railroad tracks, or other undesirable objects? What is considered desirable as opposed to undesirable is also subjective. For example, some individuals commute to work via public transport which would make a home near a bus station desirable to them. Individuals with children tend to consider homes near parks and sports fields desirable whereas perhaps a young couple or empty nesters may prefer a more urban neighborhood. However, there are some overarching trends when it comes to pricing. For example, homes closer to downtown are typically more expensive. Competition What are other comparable homes in the area selling for? If similar homes are selling at a certain price, you can expect to pay around that amount as well, having an agent negotiate on your behalf will help you get the best price for a property. Supply and Demand How many homes are available for sale in the area and in your price range? If there are many, the house will be priced lower to attract a buyer. If there are few, you will likely be paying a higher price. Mortgage Market What are the current mortgage interest rates? Mortgage rates have been low in the past two years. This is one reason why there are so many buyers looking for homes. The lower your mortgage rate, the less your monthly payments will be, and the less your home will cost. Your down payment will affect mortgage rates. A larger down payment is generally beneficial. When mortgage rates increase, there will be fewer buyers able to afford a house. Economy Is the economy strong or in a recession? The stronger the economy, the more people can afford a home. Your realtor can inform you about market changes and can guide you in time the purchase or sale of your home. Condition Is the property in good condition? Is it in move-in condition for a potential buyer, or will they need to make repairs or replacements before moving in? The more “turn-key” a home is, the more appealing it is to buyers. When a home is staged, it sells for significantly more than if it were empty/not staged. Style Does the home have a likable floor plan that flows easily? Does it seem open and airy or choppy and dark? Buyers tend to spend more on an open floorplan that is light and spacious. Dark walls make the house/room look smaller and less inviting. More buyers purchase their properties at market value than above market value. If the property is priced at market value, it is exposed to a much greater percentage of prospective buyers and increases the opportunity for a sale. A real estate agent can be extremely beneficial in helping buyers find a home, especially in today’s market. It is extremely valuable to employ an agent to work on your behalf, to explain how the market works, to inform you of selling tactics, to negotiate with other agents, and to give you the most vital information on available homes. Buying or selling your home isn’t simple as Googling “Houses for sale near me”. You need a professional real estate agent!