Tag Archives: Comparative Market Analysis
Toronto Realtors are the envy of the world
Toronto Real Estate Board President’s column as it appears each Friday in the Toronto Sun’s Resale Homes and Condos section
As the fifth largest city in North America, Toronto has many characteristics for which it is noted. Our city is home for example, to a number of world-renown cultural events; we have the world’s seventh largest stock exchange and a university that ranks amongst the top ten globally.
You may not be aware though, that Toronto also has a system for the purchase and sale of property that is admired internationally. In many countries, there is simply no equivalent to the Multiple Listing Service, a sophisticated computer database of sold, expired and active listings accessed only by your Realtor.
As a professional association of more than 29,000 Realtors, the Toronto Real Estate Board operates our city’s Multiple Listing Service, TorontoMLS, and in doing so, supports Greater Toronto Realtors‘ efforts to offer you outstanding service.
Established nearly 80 years ago, Toronto Real Estate Board has evolved through the decades to offer a range of services to its Members that include statistical updates on the market, Continuing Education sessions and access to land registry, assessment and new construction data.
You Realtor in turn, uses these and other tools to offer you professional counsel.
If, for example, you intend to buy a home you can be registered in the Toronto Real Estate Board’s Buyer Registry Service. It is a central repository in which your Realtor can register your housing preferences, providing their name as the contact. By registering your criteria in the BRS, your Realtor can get early notification from other Realtors when properties matching your preferences become available. You can also receive nightly notifications sent through the TorontoMLS prospect match function.
If you are planning on selling, your Realtor can use MLS data to provide a comparative market analysis that will help you establish a realistic asking price for your home. In addition to listing your home on TorontoMLS, your Realtor can advertise general information about your home on public websites like TorontoRealEstateBoard.com, Realtor.ca, your Realtor‘s own website and those of other real estate professionals through formal agreements facilitated by the Toronto Real Estate Board.
While their primary focus is helping you achieve a smooth and financially healthy transaction, Greater Toronto Realtors work to make our city a better place in many other ways as well.
Realtors advocate your interests on key legislative issues like property taxes, sales tax harmonization and land transfer taxes. They make direct contributions to GTA communities as well, providing REALTORS Care Foundation grants to 20 shelter-related charitable organizations this year alone. They also offer a helping hand to GTA schoolchildren, through the Children’s Breakfast Program, a joint venture between the Toronto Real Estate Board and the Toronto District School Board’s Toronto Foundation for Student Success, they help to provide nutritious breakfasts to 1900 children in 11 different schools every week.
These are just a few of the reasons that the work of Greater Toronto Realtors is so highly regarded around the world. For more information on real estate in the GTA including market statistics, neighbourhood profiles and open house listings, please visit www.TorontoRealEstateBoard.com.
Tom Lebour is President of the Toronto Real Estate Board, a professional association that represents 28,000 Realtors in the Greater Toronto Area.
————————————————————————————————————
Contact the Jeffrey Team for more information - 416−388−1960
————————————————————————————————————
Incoming search terms
Related posts:
- There’s more to us than MLS While Toronto real estate agents can use the MLS to…
- Toronto real estate agents have many resources While real estate agents can use the MLS to match…
- A new way to hunt for homes Fortunately, there is a simple and comprehensive alternative to searching…
- Toronto Realtors Ask City Budget Committee to Consider Impact of Land Transfer Tax With a deputation to the City of Toronto’s Budget Committee…
- Toronto Realtors Call for a “Home Owners’ Budget” From City In advance of the release of the City of Toronto’s…
Real Estate Terms You Should Know
Buying or selling real estate can be a tricky process. There are hundreds of commonly used terms that could make up a language of their own. Here are some home buying terms that you will most likely encounter when you purchase your home.
Amenities
Features that enhance and add to the value or desirability of real estate. Common amenities include swimming pools, professional landscaping, gourmet kitchen and so on. Generally used regarding condos.
Amortization
This is a schedule that outlines your loan payments for the duration of the home buying loan. It details how much of each monthly payment goes toward the principal and how much goes toward the loan interest. Initially, the bulk of your payments will be applied toward the interest.
Appraisal
An estimate of the value of property, made by a qualified professional called an appraiser.
Bungalow
A one-story house, cottage, or cabin.
Breach
Violation of an obligation in a contract.
Broker
A real estate professional who has acquired a higher level of training and experience than a sales agent. A minimum number of classes must be taken along with passing a provincial exam to acquire a broker’s license. Generally they are a legal representative or a proprietor of the office. Brokers usually charge a fee or receive a commission for their services.
Building Code
A set of stringent laws that control the construction of buildings, design, materials and other similar factors.
Condominium
A large property complex that is divided into individual units and sold. Ownership usually includes a non-exclusive interest in certain common elements controlled by the condominium management.
Close
The final procedure in a home sale in which documents are signed and recorded. This is the time when the ownership of the property is transferred.
Closing Costs
Expenses in addition to the purchase price for buying and selling a property. Generally they included land transfer tax, legal fees, plus any adjustments due to property taxes or utilities.
Comparative Market Analysis
A comparative market analysis (CMA) is a report that shows prices of properties that are comparable to a subject property and that were recently sold, are currently on the market or were on the market, but not sold within the listing period.
Conventional Mortgage
A first mortgage issued for up to 75% of the property’s appraised value or purchase price, whichever is lower.
Counter Offer
An offer made by the seller back to the buyer altering one or several terms and/or conditions of the offer as originally written.
Deed
A legal document that conveys (transfers) ownership of a property to a buyer.
Deposit
Along with an offer, buyers should make a deposit on the home to demonstrate the seriousness of the offer. When a deposit is made, it is held in trust until closing. It is then added to the down payment.
For Sale By Owner (FSBO)
This term refers to property that is being sold without a real estate agent. FSBO is also used to refer to the home owner who is selling the property.
Foreclosure
The process after home buying is complete by which a lender repossesses and resells a property after the owner has defaulted.
Investment Real Estate
Real estate that generates income or is otherwise intended for investment purposes rather than as a primary residence. It is common for investors to own multiple pieces of real estate, one of which serves as a primary residence, while the others are used to generate rental income and profits through price appreciation. The tax implications for investment real estate are often different than those for residential real estate.
Land
Property or real estate, not including buildings or equipment that does not occur naturally. Depending on the title, land ownership may also give the holder the rights to all natural resources on the land. These may include water, plants, human and animal life, fossils, soil, minerals, electromagnetic features, geographical location, and geophysical occurrences.
Land Value
The total value of the land, including any upgrades or improvements to the land.
Land Transfer Tax
Payment to the provincial government for transferring property from the seller to the buyer. In Toronto, there is also a second municipal land transfer tax.
Lien
This is a legal claim that keeps the property from being sold until the lien is paid off.
MLS – Multiple Listing Service
An organization that collects, compiles, and distributes information about properties listed for sale by its members, who are real estate brokers and salespeople. Membership isn’t open to the general public, though selected MLS systems may have public websites. Different MLS systems can be local or regional.
Real Estate Agent
A person with a state/provincial license to represent a buyer or a seller in a real estate transaction in exchange for commission. Most agents work for a real estate broker or realtor.
Title Insurance
An insurance policy that protects a lender’s or owner’s interest in real estate property from assorted types of unexpected or fraudulent claims of ownership. It’s customary for the buyer to pay for the lender’s title insurance policy.
Zoning
Government (usually municipal) laws that control the use of land within a jurisdiction.
————————————————————————————————————
Contact the Jeffrey Team for more information - 416-388-1960
————————————————————————————————————
Related posts:
- A Guide To Real Estate Terms Every industry and profession has its own short forms and...
- Real estate agents show optimism in slumping market Bear in mind, the average home prices in 2007 were...
- Tone down the real estate speeches Tales of an overheated housing market show why Bank of...
- Real estate deep freeze now hot thaw Sales in May and early June have outdone May and...
- Information for Sellers From MLS.ca In today’s market, many homeowners have considered “going...
Avoid Buyer’s Remorse
Buyer’s remorse is an emotional response that many home buyers experience during the course of a real estate transaction. The response can take various forms such as feelings of regret, fear, depression or anxiety. Many doubtful questions may arise: Did I buy the right house? What if I lose my job? What if home prices drop? Did I overpay? Is this really the neighbourhood I want to live in? Can I really afford the mortgage payments?
There are hundreds of questions that will run through your mind during the period leading up to closing: the day you actually become owner of the home. Most of the questions will be simple ones that are easily answered, but sometimes doubts creep in, making you uncertain if you want to proceed with the purchase.
When you decide to buy a new home, you’re forced to step outside your current comfort zone and confront the unknown. Your mind may try to compensate psychologically for feelings of uncertainty by mentally undoing the event. In other words, you may try to talk yourself out of buying your dream home. Add feelings of uncertainty to the fear of making a long-term commitment, and it’s easy to understand why home buyers can suffer from bouts of anxiety.
Here are some tips that can help you battle home buyer’s remorse:
1. Prepare yourself
The best way to cope with buyer’s remorse, and minimize its destructiveness, is to make sure that you are well informed. You should find out as much as you can about the home buying process, local real estate prices and home mortgages.
It’s a good idea to study a sample purchase agreement before you buy. Read the contract carefully to make sure that you understand it, and that it says what you think it should. If you have any questions about the purchase agreement, talk to your real estate agent, or real estate attorney.
2. Choose the right agent
In order to make sure that the purchase transaction goes smoothly it is important that you choose the right real estate agent to represent your interests. The right real estate agent will be someone whose experience, knowledge and personality is trustworthy and will allow you to feel comfortable with the whole transaction. Try to find a real estate agent that is familiar and knowledgeable about the neighbourhood and community that you plan to move into.
3. Make sure the property meets your needs
Get out that list of wants and needs you made back when you first starting the home shopping process. Does the home you selected include the important features? Provided that you saw a number of homes and thoroughly evaluated what each home had to offer, it’s likely that house you’re about to buy is the best choice for you.
4. Is the price right?
Feeling certain about the price you are paying for a home is one of the most important factors that can reduce uncertainty and increase your comfort level. If your real estate agent didn’t prepare a comparative market analysis for you on the home you are buying, have him or her prepare one for you now.
5. Consider the resale value
As you look at houses in an area, think about what all of the houses have in common. Most neighbourhoods are usually built at the same time by the same construction company; therefore, they will have similar floor plans and similar amenities (excluding possible owner upgrades). Before you consider buying the house with the most upgrades, consider whether or not you want to tackle a remodel. Don’t just consider the cost of the remodel, but also think about the amount of time and headache you can handle. No remodel goes smoothly! If a house with a newer kitchen cost $20,000 more than a house with an older kitchen, and you do not have the time to renovate, it may be still worth buying the house with the new kitchen.
6. Ask questions
No one knows the home better than the seller of the property. If you can find out the seller’s motivation for selling you might be able to negotiate a better deal on the house. Try to find out the last time service was performed on the roof, furnace, plumbing and water heating. Asking the right questions upfront can end up saving you a lot of money in the long run.
7. Get a home inspection
Save yourself a lot of time in future litigation and renovation by bringing in a licensed, professional home inspector to inspect the home before you buy. If any major problems are found, it will steer you away from a bad decision and/or it will help you negotiate a better price at the negotiating table.
8. Review your finances
You may want to review your finances to confirm that you can afford to make the purchase. Your feelings of remorse are probably unfounded, so the more rational things you can do to put your decision into the proper perspective, the better.
9. Discuss your concerns with your real estate agent
Your real estate agent has seen plenty of cases of homebuyer’s remorse and he or she can help put your fears and doubts into perspective.
Remorse is a common feeling during the home buying process. Following the above tips will help you make an educated decision and reduce any remorse you may have.
————————————————————————————————————
Contact the Jeffrey Team for more information – 416-388-1960
Incoming search terms
Related posts:
- How to Avoid 10 Common Buyer Mistakes First-time homebuyers face a steep learning curve. There’s much to know,...
- First-Time Buyer Survey • First-time buyers must compromise to conquer record-high housing market...
- Why You Need a Home Inspection By Nalliah Thayabharan, Registered Home Inspector It’s easy to get...
- Tone down the real estate speeches Tales of an overheated housing market show why Bank of...
- How to buy a house and make it pay Most people buy a home to live in it. Others...
