Q| Do you expect the Nanaimo market to continue to rise? If so, what do you feel are the factors driving the ongoing increase in real estate here? Finally, on a very specific note a mall right across the street from us is being upgraded and a new coffee shop is being put in-what impact will this have on our property?

A| I know nothing about the Nanaimo market so I can't really say. You check out theVancouver Island Real Estate Board's site at: http://www.vireb.com/pages/news-stats/
You can also give them a call for market reports in your area.

Ask some local real estate agents for their market analysis, although they might get it from the same place, it will give you a better sense of what prices are doing where you live.

Posted January 15, 2008 08:13 AM

Q| Renovate or move that is the question...the cost of moving is very high, what with property purchase tax and realtor fees, but renovation prices are also very restrictive. Both options seem to be going up in price the longer we hum and haw about it.what do you think?

A| We did two renovations over the last 4 years and in the end decided to move anyway!

This is really a personal decision and depends on what your needs are now, and what they might be in the future. If your family is expanding, it might make sense to move to something bigger.

If you really like your street/building and neighbours, then you risk giving that up if you move, so you may want to stay put and "fluff up your nest".

When we renovate we always have a future sale in mind. Check out presentation centres for new condos and homes to see what designers are offering in terms of finishes, appliances, flooring etc.

Get a bunch of home improvement magazines and create a scrapbook of the kind of "look" you are trying to achieve. That will help focus your priorities and give a contractor a visual idea of your needs.

A good rule of thumb is a well renovated kitchen and bathroom provides the best return on your investment. If you plan to stay in your house forever then renovate it to reflect your personality and have fun with it. If there's a chance you might move, then keep the design clean and neutral--avoid "unique".

When people are looking for a renovated place, they don't want one that has to be done all over again to remove the sellers' "personality". Find a good contractor with excellent references (call them, or better yet, see their projects in person). Always pad the budget and allow for more time. Even with the best planning in the world, something seems to always cause delays, driving up costs.

Posted January 14, 2008 03:55 PM

Q| We want to move from Abbotsford to North Vancouver. Is there a better time of year to sell (to get the best price)?

Is there a better time of year to buy (to get better selection and lower price)?

How can I find out more about neighborhoods in NV, and agents that can help me?

How do people overcome the dilemma of having the right house to buy, but not having sold their existing house?

Will prices ever go down on the N. Shore? The impression I get is they will increase for ever.

A| Whew!

A lot of questions. Since the market has been so crazy over the last couple of years, it is hard to say what "normal" is anymore.

Traditionally, spring was a good time to sell and things would slow down over the summer and during the Christmas holidays. One agent I know loves Christmas, because then the market is limited to those who really want to sell AND buy...and buyers might get a better deal.

Talk to agents in Abbotsford and North Vancouver to see what they think. The spring market is good to list because more people are looking at that time, but you also have a lot more sellers out there trying to take advantage of the same thing.

To find an agent, check out community websites such as http://www.northvancouver.com/community/realestate/index.php.

Talk to your bank about having bridge financing in place should you find yourself buying a place without selling yours first. A few years ago we sold our place without having a new one to go to and we felt a lot of pressure to buy quickly--not a good thing for such a big investment decision.

I would suggest selling your existing place first with a long completion date, so you can take your time buying.

As for when prices will drop...who knows? Historically there have been ups and downs, but overall, the trend has been upwards.

Buy what you like...and can afford.

Posted January 14, 2008 11:16 AM

Q| My condo in Surrey was assessed almost 27% higher this year.

In the last year, my condo was deemed to be a leaky condo. I have a $22,000 bill to pay, and the condo it currently under tarps, I have no siding on my unit. The repairs are to take from August/07 to February/09. At this time my condo is basically unsellable, except to lowball investors. Yet my assessment skyrocketed anyways.

Do they even take into consideration events like this, when coming up with their assessment values? Its seems like they just do a straight 27% across the board calculation for condos regardless on specific situations.

A| Jeff,
Sorry to hear about the leaky condo. It can be such a long, drawn out and expensive experience. I hope the company your strata has hired has a good reputation and can provide owners with a solid warranty that you can show potential buyers down the road.

In the meantime, you are right, it could be difficult to get the price you want while the work is being carried out.

Remember that assessments are really a snapshot in time--from the previous July. Assessors get much of their information from recent sales in your building and the surrounding neighbourhood. That being said, next year's assessment will be based on THIS coming July, so there's a chance, if a lot of your neighbours sell at lower prices, your assessment might go down.

If you are worried that your property value doesn't reflect the damage you are dealing with, the best bet is to call the local BC Assessment office phone number on the assessment for your place and ask to speak to the assessor in charge of your address and let them know about the problem.

They may already know and be working on re-evaluating, but better safe than sorry. Keep in mind, an assessment up or down may not affect your taxes as municipalities adjust their mill rates accordingly.

Posted January 14, 2008 09:19 AM

Q| What is available in the Lower Mainland for around $300,000? Is it wise to wait six months to a year before buying?

A| Dear Michael,
When it comes to real estate, it's impossible for me to predict what future prices will be. I did a story at the beginning of 2007 and asked various experts (industry watchers, economists and academics) and they were pretty accurate, give or take a few percentage points.

Most didn't think 2007 would be as strong as it turned out to be.

This year most of the same folks are predicting the market in Vancouver to go up between 4.5 and almost 9 percent. If they are correct, then it might not be wise to wait. But I don't want to contribute the real estate buying frenzy by suggesting everyone buy now. It really is up to the individual.

The best advice would be look for a place you can afford and would like to live in...then if the value goes up or down, it doesn't matter: you are in the market for the long term and are making forced savings through your mortgage and (hopefully) gaining equity.

If you are a real estate investor and are speculating on future price increases, that's something different. Then you have to evaluate your risk comfort level. The fundamentals SEEM good right now: low unemployment, strong economy, low mortgage rates, net migration to BC, but what if the market collapsed because it suddenly didn't FEEL like a good investment anymore and collectively investors decided to bail? What if there was another SARS outbreak or a 9/11 attack that hurt the global economy? What would happen to the local market then?

There are a lot of speculators out there, and they are difficult to count. Some say 50% of the downtown condo presales are investors. No investment is risk free, and real estate is no exception. As for what you can get for $300,000, do a search through http://www.realtylink.org or http://www.mls.ca/. Good luck.

Posted January 14, 2008 04:23 AM

Q| We moved to Vancouver from the USA, delighted to have the chance to settle in a new place and looking to put down new roots... but the price of a plot to plant ourselves in seems outside our current financial opportunities. Places are pricey!

What we're interested in is where to build or buy which is reasonably priced and not a nightmarish commute? As an asset, condo, townhome, or single-family?

A| Dear Wayne:
You seem to have traded in a buyer's market in the States for a seller's market here! Vancouver housing prices can be quite a shock when you first arrive and although the trend appears to be heading toward a more balanced market, most predictions are for more price increases this year.

The first thing I would suggest is find out what you are comfortable spending. I suspect that will narrow down your options. Then look for a real estate agent that specializes in the type of place you are looking for: suburban, downtown, regional, townhouse, house, apartment, etc. Most agents try to set themselves apart by specializing in certain neighbourhoods, so drive around, check out what you like, do some research on listings in the area on http://www.mls.ca/ or http://realtylink.org/ and then check out agent websites and see who you would be comfortable working with.

Your basic rule of thumb, though, is cheaper housing is in the suburbs (with some land underneath your feet) and the most expensive is downtown along the waterfront. If price is constant, you will have to trade commute time for smaller square footage. If you want to dig in the soil and have some personal space, then a suburban property might make more sense for you. If you can tolerate small spaces with few possessions (downtown dwellers like to convince themselves they are enjoying a more "zen" lifestyle), then a condo or townhouse. Vancouverites are learning to live much differently these days and if they can afford it, seem willing to forgo the commute for a more compressed lifestyle in denser neighbourhoods. You can also check this out for some for some market analysis:
http://dsp-psd.pwgsc.gc.ca/Collection/CMHC/HM/NH12-56E/NH12-56E.html
(Canada Mortgage and Housing Corporation. Date Released: Fourth Quarter 2007)

Posted January 12, 2008 12:33 PM