Bridge financing helps homeowners bridge the gap between the sale of an existing home and the purchase of a new one. If the property you are purchasing closes before the one you are selling, you may be able to use the equity in your current home for the down payment on your next property and carry the mortgage on the two properties for a specified amount of time. You must have a firm sale agreement on your existing home and a purchase agreement for your next home. Interest rates for... [read more]

If you own a property with another person, title can be held one of two ways: Joint Tenants This is the most common way for legally married spouses to hold ownership of their home in Ontario. If one of the Joint Tenants dies, there is a right of survivorship and the remaining owner continues as sole owner. Probate is not required. Tenants In Common Each owner has a divided interest in the property. It does not have to be equal ownership. When one of the Tenants In Common dies, their... [read more]

There are many advantages to living in a condo: -Condominiums are a more affordable housing option to freehold ownership, whether you are planning to live in the condo yourself or use it as an investment and rent it out. -There is no grass to cut and no snow to shovel, leaving you more time for travel and other fun pursuits. -Access to the building and underground parking is restricted to residents with key fobs, which provides a layer of security. -Being able to take an elevator means... [read more]

The process of qualifying for a mortgage has 2 stages. When you first decide you are ready to purchase a home, you provide a mortgage specialist with information about your income, assets, savings and debt. Based on this information, you are given a commitment letter, which let’s you know the maximum amount the lender would be willing to lend you. This is the Mortgage Pre-Approval. At the time you submit an Offer on a property, the lender will then determine the appraised value of... [read more]

You’ve decided it’s time to move. You start looking online at homes for sale and you’re excited to see some in person. Have you wondered how the Realtor who shows you those homes gets paid? In the majority of cases, when a home is listed for sale on MLS, the seller is represented by a real estate brokerage, and in turn, by a sales representative of that brokerage. At the time the seller signs the listing agreement, the amount of total commission due to both the listing... [read more]

Have you been contemplating selling your home, but are not sure if it’s the right time? Well, the right time is whenever it makes the most sense for your family! 1. Set Realistic Expectations -selling a home can be stressful; some things aren’t going to go as planned, so just keep reminding yourself to remain patient and calm 2. Hire an Experienced Realtor to Guide You Through the Process -ask your friends/family for a recommendation and search online reviews -meet the... [read more]

During the 18 month period between fall 2020 and spring 2022, multiple Offers and bidding wars were common and the Offer most often accepted by a Seller was one that was Firm, without any conditions. In a balanced market, Buyers are more cautious about making Offers to purchase and homes usually take longer to sell. Buyers have an opportunity to take more time to investigate if a home is right for them. A Home Inspection is one of the tools they can use to help them decide. A Home... [read more]

The most common type of property ownership is called Freehold: both the home and the land it sits on are owned together. A Land Lease Property is one where the dwelling is owned by the resident and the land upon which it sits is leased. Rent is paid to the land owner of the land lease community; some services and facilities may be included for the common use and enjoyment of the tenants. Homes can be bought and sold by successive residents, but not the land. The Residential Tenancies Act... [read more]

Both a deck and a patio can enhance the beauty and functionality of your backyard. Which one is right for you? Patios sit flush on the ground and usually do not require a building permit (check with your local municipality to be sure). Decks can be built elevated and usually do require building permits. Patios may be easier to keep private, by surrounding them with trees, shrubs and flowers. Decks may offer a better view if higher up, but neighbours may also be able to see anyone... [read more]

If the name of the person on title to a property has passed away, a legal process must be undertaken, whereby the courts formally approve that the deceased’s Will is their valid last Will and confirm the authority of the person(s) named as the Estate Trustee in the deceased’s Will. This is referred to as Probate. If there is not a Will, the process may be more complicated. Consult a lawyer for more information. One of the initial steps is for the property to be assigned a value... [read more]

Buying and Selling Real Estate usually starts off with practical and logical considerations, such as “our family has outgrown this home and needs something more suitable”. You start to imagine your dream home and you get excited! Then you have to do a lot of work to prepare your home for sale and spend a lot of time looking for the right house within your budget, which can turn your excitement into frustration and stress. When Selling your home, you of course want to get the... [read more]

When making an Offer to purchase a home, the Buyer agrees to assume all rental contracts.  It is important to confirm what items are included and the monthly rental amounts + tax. It is not uncommon for the Hot Water Tank to be a rental, but the age of that Hot Water Tank can impact a new homeowner’s ability to acquire insurance.  If the rental Hot Water Tank is older than 15 years, the Buyer may request the Seller have a new one installed prior to closing, in order to be... [read more]

During the hot days of summer, an inground pool can be something you may wish you had in your backyard!  But is it a feature that will help your home to sell more quickly and for a higher price? Depending on the size and style of the pool, it could cost $100,000 to install.  There are also the ongoing costs for having the pool professionally opened and closed, the chemicals and equipment to keep the pool heated and clean, along with all the floating toys and patio furniture to kick... [read more]

WETT stands for Wood Energy Technology Transfer. A WETT inspection is done by a certified technician on a wood burning fireplace or woodstove, to ensure it complies with the building code and is safe to use. Included in a fireplace WETT inspection: - a detailed look at the chimney -an evaluation of the liner and flue -smoke chamber check -inspection of the damper -appraisal of the firebox -look at the hearth and surrounding floor area A prospective home buyer may include a... [read more]

The Ontario government issued a stay-at-home order taking effect January 14, 2021, requiring everyone to stay at home except for essential purposes.  The buying and selling of properties may continue, with the following restrictions: -Face-to-face contact is discouraged and the use of virtual tools is encouraged as much as possible -Open houses are prohibited -In person showings are permitted by appointment only and attendance is limited to qualified buyers from one household... [read more]

An undertaking is a promise made by a solicitor upon which the recipient is entitled to rely, and depending on the circumstances, which binds the solicitor or solicitor’s clients or both.  Undertakings are obligations that lawyers pledge themselves or their clients to honour. An example in Real Estate could be as follows: Let’s say the home you are selling is due to close and the buyers’ lawyer discovers that there is an old line of credit registered against the title... [read more]

When making an Offer to purchase a property, the Deposit shows good faith on the Buyer’s part that they are serious and qualified to make the purchase. The Deposit amount is held in trust and applied to the purchase price of the home when the sale closes. According to the Agreement of Purchase and Sale, the Deposit can be made 1) Herewith 2) Upon Acceptance 3) As Otherwise Described in this Agreement Herewith means at the time the offer is made.  In a competitive multiple... [read more]

When there are many Buyers competing for the same homes and not a lot of homes for sale, Buyers tend to make Offers to purchase with minimal or short conditions (for example, a 3 day period to conduct a home inspection), in order to encourage the Sellers’ acceptance.  This may even be the case when the Buyers’ home has yet to be sold, because they have confidence that it will sell quickly, so they are willing to assume the risk that it may not. But when there are few... [read more]

Although Real Estate Services and Realtors are deemed “Essential”, it is definitely not business as usual! In order to maintain Social Distancing, and to minimize gatherings of more than 5 people, Open Houses are no longer being hosted.  Therefore, a potential Buyer needs to have a Realtor book a property showing on their behalf. Booking a showing used to be as easy as the Buyer’s agent calling the Listing agent’s office or booking online, and usually... [read more]

The goal is to get your home sold for the most money in the shortest amount of time.  What is most likely to get you the result you want? A Real Estate Salesperson will analyze all homes similar to yours, sold recently and sold close to where your home is located, referred to as “comps”, to come up with a reasonable price range for which you can expect your home to sell.  Set Price at Fair Market Value Just prior to listing, further adjustments are made for... [read more]

When making an Offer to purchase a property, the Offer is submitted by the buyer (or the buyer’s agent), allowing a defined amount of time for it to be considered by the seller.  During that time, the buyer cannot alter or withdraw the Offer.  The buyer commits to uphold the agreement until the irrevocable date and time as stated in the contract. During that time, the seller can accept the Offer, reject the Offer or sign back the Offer, with adjusted terms.  If the Offer... [read more]

Being a landlord is not as easy as it may appear!  Aside from initially qualifying to purchase the investment property, there are many ongoing practical aspects to keep in mind. Can You Command Enough Rent to Cover Your Mortgage and Expenses? Know what similar properties in the area are renting for before you buy! What Distance Do You Live from the Rental Property? You may want to keep an eye on it and make sure it is being well maintained by the tenant. If there is an issue that... [read more]

Real estate statistics are frequently quoted in the news.  But what do they really mean? How familiar are you with these commonly used real estate terms? DOM – Days on Market The number of days a home has been listed for sale. NOTE: if a listing has been cancelled and a new listing issued for the same property, often for a reduced price, the DOM count restarts.  It is important to ensure your Realtor is checking old listings for the property, so the total DOM is... [read more]

We all know a clean home is more appealing.  But since our lives don’t follow an episode of HGTV, we usually have piles of stuff everywhere, that we mean to put away, but somehow never get around to it.  Eventually we get used to how it looks and stop seeing all the clutter.  By the time you start thinking about selling your house, you may have an overwhelming task ahead to get it in shape to attract potential buyers.  Where to start? Tackle it in Stages First... [read more]

Before you start your search for a home, you need to know how much you can afford.  You would typically meet with a mortgage adviser and be asked to fill out an application.  Based on your income, credit report, debt and savings, you would be pre-approved for a certain amount.  You will need a minimum of a 5% down payment of the purchase price of the home.  If the home is >$500,000, you will need a 10% down payment for that portion over $500,000 and less than... [read more]

Holding an Open House is one of the ways a Realtor markets your home to potential buyers. An Open House usually takes place during the first or second weekend after a property is newly listed.  Potential buyers can view a property during a set window of time, such as 2-4pm on a Saturday or Sunday, without their Realtor having to make a specific showing appointment. A Realtor is onsite for the duration and is often accompanied by a mortgage broker, so that visitors are provided with the... [read more]

Title Insurance is an insurance policy that protects property owners and their lenders against losses related to the property’s title or ownership.  Although commonly considered when closing on a newly purchased home, Title Insurance is not a legal requirement in Ontario. What does Title Insurance cover?  Protection from such losses as: Unknown title defects (title issues that prevent you from having clear ownership of the property) Existing liens against the... [read more]

If you are considering selling your home yourself, because you think you are going to save paying real estate commission, here are a few things to consider: 1) No one is going to bring a qualified buyer to you for free, so you can still expect to pay the buyers’ Realtor’s commission, which is typically half of the total commission. 2) There are many aspects to selling a home that you will have to take care of yourself, such as: completing a comparative market analysis... [read more]

When prospective buyers pull up to the front of a home they may be interested in buying, their first impression is based on the condition of the front door, garage doors, roof, windows and driveway, along with the appeal of the lawn and the landscaping. What are ways you can impress them? Lawn get rid of the weeds; fertilize/add seed as needed; water and cut it regularly; edge the lawn Garden plant bright flowers; edge flower beds; spread mulch; remove weeds Trees/Foliage trim... [read more]

Freehold Ownership allows the most rights of any property ownership.  The owner owns the house and the land upon which the house resides. The owner can decorate or renovate as they please. The owner is responsible for all maintenance of their property, inside and outside.  Freehold ownership is the most common type of home ownership. Condominium Ownership refers to ownership of a unit, plus a shared interest in the common elements, such as, hallways, elevators, parking,... [read more]

If you are shopping for a new home, you’ll likely be looking for a property that has been well cared for by its owners.  A home that is in a good state of repair and “move-in ready”, can ultimately save you time and money. A well looked after property often has the following characteristics: -no scuffs or dents on walls that look liked they’ve been there for years -major appliances are clean and in good working order -caulking around the bathroom tub or... [read more]

Pros and Cons to Consider Before Deciding Whether to Sell Your Existing Home Before Buying Your Next Home Buy First Buying first can make the house hunting experience more enjoyable.  There is no looming deadline approaching by which you must find a home to live in and move by a certain date.  If you make an offer on a property and it is unsuccessful, you keep looking until the right opportunity comes along. However, if you do make an offer, it should be conditional on the sale... [read more]

In real estate, a “stigma” is a non-physical, intangible attribute of a property (you can’t see it) that may elicit a negative reaction on the part of a potential buyer. Some examples include: A murder or suicide occurred at the property There are reports that the property is haunted There was a former grow-op on the property, even if it has been fully remediated The property is located next to a gas station, power lines or a cemetary Different people are bothered... [read more]

When you buy land or an interest in land in Ontario, you pay Provincial Land Transfer Tax.  It is due at the time the property is registered and the transaction closes. Ontario Land Transfer Tax is calculated on a graduated scale ranging from 0.5% to 2%: the more expensive the home, the higher the rate of tax you pay.  Here are 3 examples of home values and the Land Transfer Tax due: Home... [read more]

If you decide you want to purchase a resale condominium unit, you need to understand what a Status Certificate is. The Status Certificate provides an in-depth overview of a condominium corporation, include financial statements, policies, rules, management, maintenance fees, legal circumstances, common areas and individual condo units.  Most offers to purchase a condo unit are made conditional upon the buyer’s lawyer’s review of the Status Certificate. The Reserve Fund is... [read more]

Daylight savings time has ended and it gets dark so much earlier… winter is just around the corner! Get these exterior home maintenance tasks completed now, before the cold and snow make you lose your motivation to work outdoors! Inspect and upgrade lighting around the property: better LED illumination may help you to avoid slipping on icy patches. Move your shovels and snow blower to the front of the garage for easier access.  Make sure the snow blower is in working order... [read more]

If you need to upsize or you’re simply ready for a change, it’s tempting to consider a major renovation. After all, renovating means you don’t have to go through the process of selling your property and buying another more suitable home. You just fix up the one you’ve got! However, you need to carefully consider the pros and cons of renovating before going this route. You don’t want to invest in a costly renovation only to end up with a home that still... [read more]

Before you start a search for a new home, you need to know what you can afford. With the introduction of the mortgage stress test rules in January 2018, qualifying for a mortgage is more challenging than it used to be.  You may believe you have a good credit rating and a solid employment history, but only a lender or mortgage broker can confirm, based on your current expenses and debt level, what mortgage amount you can be pre-qualified for. Most pre-approvals are valid for 120 days,... [read more]

If you currently own, or are considering purchasing, a property that includes a well as the source of drinking water, Public Health Ontario provides free testing for E. coli and total coliforms for private drinking water systems. Since water quality can change frequently, it is recommended that you test well water often. It is important to collect your sample properly, in order to get accurate test results.  Water testing kits with instructions are available from a Public Health... [read more]

An accessory apartment is a self contained unit with kitchen, bathroom and bedroom facilities within a house, rendering the house a two unit residential property. A legal basement apartment is one in which all Ontario Building Code and Fire Code requirements have been met.  These include: There are 2 means of egress (exit), such as a separate entrance door and a large enough window to escape through Ceiling height must be at least 6.5’ The walls are rated for a minimum... [read more]

If an Offer to purchase a property includes a condition of Financing or a Home Inspection, these conditions are typically written with a duration of 5 days.  That means the Buyer has 5 days to either fulfill or waive the condition, in order to firm up the deal.  If the Buyer cannot get the required funds or if the home is discovered to have a structural issue and the Buyer does not want to continue with the purchase of the property, the Buyer can be released from the contract and... [read more]

When beginning a home search, you probably start with a budget, establish your preferred number of bedrooms and bathrooms and then decide on a location. Once you start touring homes and can envision your family living there, make sure to consider the following: How much entertaining do you do?  Is the most suitable floor plan one with a large kitchen, formal dining room, separate kids play area or open concept? How big of a backyard do you want?  How much time are you... [read more]

For some homeowners, the process of listing, showing and selling their home can be stressful. Fortunately, there is plenty you can do to make it much less nerve-racking—and even exciting and enjoyable. Here are some ideas: 1. Make a plan. Decide when you’re going to show your property, search for a new home, view listings, etc. Block out these times in an agenda book or calendar. That way, you and your family can see what’s coming up.  2. Be flexible. Few... [read more]

When making an offer to purchase a property, the deposit is the money that is put down to secure it.  The deposit is a gesture of good faith and demonstrates the buyer's commitment to the seller.  The deposit is usually placed in the trust account of the brokerage representing the seller.  It is considered part of the purchase price and is adjusted as a credit to the buyer on closing. There is no set amount for deposits.  Some sellers may request a... [read more]

A home inspection involves an evaluation of the condition of the home's heating, central air conditioning, plumbing, electrical systems, roof, attic, floors, foundation and structure. The information gathered during a home inspection can benefit the buyer by making them familiar with the home and the condition of the components.  The location of the circuit breaker panel, furnace filter, shut off valves and pump switches are identified. If any major issues are... [read more]

It is crucial for a buyer and seller to understand the difference between chattels and fixtures in a purchase and sale transaction. Buyers may not be aware of the value of an item in their new home or be surprised when an item they assumed would be included in the purchase is not. Establishing the status of chattels and fixtures in the purchase and sale agreement is essential in order to avoid any conflict. So, what is the difference between the two? Chattels are moveable possessions... [read more]

In the unfortunate circumstance that a homeowner is past-due on their monthly mortgage payments, they pave the way for a “foreclosure” on their property. In today’s market, banks and other lenders do not turn to foreclosure to take away the homes of homeowners who are in arrears. Instead, they perform a "Power of Sale" which is wholly different from a Foreclosure. What is a Foreclosure? Foreclosures are laborious, grueling, and costly to both the... [read more]