If you’re looking to move to the Calgary area, I’ve got some information you’ll want to consider first. Northwest Calgary encompasses the areas of Arbour Lake, Edgemont, Brentwood, Rocky Ridge, and more; and is among the best places to live in Alberta. Let’s take a closer look at why.

1. The University of Calgary

The University of Calgary is considered to be the top research university in Canada. It’s situated right in northwest Calgary in the University Heights area. The university has received praise from students, faculty, and critics alike for its affordable tuition and excellent coursework.

If you’re a college student or parent of a college-age student, northwest Calgary is a great place to move. With around 30,000 students, it’s a larger university but offers a friendly atmosphere.

Welcome To Calgary!

A decent climate, relative safety, upscale homes, plenty of culture, and an excellent university; these are all the things that Northwest Calgary has to offer you! On behalf of the citizens of this great city, we’d like to welcome you to Calgary.

Here at Hama Cazac realty, we’re committed to bringing you the best real estate experience in the Calgary area. If you’re looking to settle down in beautiful Northwest Calgary, we can help. We also service the other areas of Calgary, including downtown. Use our real estate search tool or contact us today!

2019 has passed us by, and another year of real estate is behind us. Moving into 2020, the markets are set to change once more in Calgary, and we’re going to take a look at what you should expect in the coming year. Whether you’re a buyer or seller, this article will show you what’s coming, and how to handle it. We’ll also look at why the market is expected to change. Keep reading to learn more about the Calgary realty market in 2020. 

Price Decline 

Last year’s market saw a price decline of about 3.4%, and it’s expected that the market will experience yet another drop this year. However, it will only be to the tune of about 0.7% according to CBC.

The market has recovered some from last year’s drop, and it looks like an increase in job growth and a shift in mortgage rates are helping to stall the price drop a bit. Obviously, that 0.7% figure doesn’t apply to houses of every type, as certain markets will fluctuate more than others. 

According to the same article, you can expect detached homes to drop in price by about 0.5%, with attached homes falling in somewhere around 1.1%. Condos will likely experience a drop of about 0.8%, according to the real estate board. It’s important to remember that while these figures are based on current information and previous trends, they’re not set in stone; anything can happen on the real estate market as the year progresses. 

More Sales Overall 

While prices may have declined last year, unfortunately, the sales didn’t. Last year, sales reached about 16,365, a minor increase from the previous year. 2020 looks more promising. The CREB is predicting the possibility of a growth of 2.24% in overall sales on the market. This means good things for both buyers and sellers, as more people will be looking to buy and there will be a greater abundance of purchasable homes on the market. If you’re looking to buy your dream home, 2020 might just be the time to do it! 

Last year, there was a focus on homes priced under $500,000, and it’s expected that this year will be similar. The higher-priced properties didn’t seem to fare as well on the open market as their more affordable counterparts. 

Population Growth is Helping Calgary Realty

As the city of Calgary continues to grow, we’re going to see more homes becoming available and an increase in sales on the market. Calgary has plenty to offer the modern family! It’s also a great spot for first-time buyers.

Migration is expected to also grow this year, hopefully increasing the number of sales and the health of the market. In 2019, the city saw an excellent 1.45% growth in population, and this year is expected to yield the same, if not greater results. 

Growth on All Fronts

We’ve covered migration, homes for sale, and overall sales numbers, but what about the economy at large? Believe it or not, the economy has actually been growing steadily and will continue into 2020.

A better economy means more competitive rates, better prices, and more families that are able to afford to buy houses. 2020’s economic growth is predicted to be even higher than the previous two years, so we can expect to see some new buyers on the market looking for their first home. 

Availability in the Calgary Realty Market

The availability of good listings may decline this year, as it has in the previous year. With fewer people putting their homes up for sale, the demand is higher and the supply continues to drop. This is the perfect time to get into the seller’s market, as buyers are looking for qualified homes in a market that doesn’t necessarily have the supply to meet their demands. 

The Take-Away 

Overall, it looks as though the health of the Calgary market in 2020 is assured with steady market growth. There’s plenty of overall economic growth in the region and the city’s growing. With more people moving to Calgary, we’ll see the demand increase while the supply drops, making it a seller-friendly market.

Calgary is the biggest city in the province of Alberta, and has a thriving economy that includes energy, financial services, health and wellness, aerospace, manufacturing, technology, retail, and tourism. It is considered one of the best cities in Canada to live, the strength of the oil and gas sector has created a fantastic environment for lifestyle and real estate investment in the city. 

While not immune to economic downturns, the real estate market in Calgary has been more resilient than other cities in the country. The housing market is always changing, and Calgary has experienced lower property sales volume and declines in price, but most of the homes sold have only had single-digit decreases in real estate value. As the oil sector recover, it is predicted that the housing market will improve too. 

If you are interested in buying in the city, here are five ways the Calgary housing market is changing:

1. Improvements in Condo, Attached & Apartment Sales

Buyers are looking for more affordable products.  The condominium market has been increasing year-over-year. The attached home and apartment sector has been offsetting the decline in detached homes, which is helping in sales improvements. The real estate marketing for condominiums, connected houses, and apartments will continue to increase gradually.

2. Heading into a Balanced Market

What does a balanced market look like? The demand for all homes (townhouse, detached, condo) are trending towards a position where buyers and sellers have equal power. In the past years, due to the population in Calgary and its exceedingly fast growth, it was a seller’s market and prices increased dramatically. Now, the economy and growth are leveling out. Buyers can leverage, negotiate discounts and incentives. With the balanced market, buyers are receiving positive outcomes of lower prices, more selection of homes. Fewer bidding wars, and less stress.

3. Foreign Buyers Moving to Eastern Canada

Foreign buyers who were swarming the home market in Calgary are now moving to Toronto, Montreal, and Quebec. Real estate pricing in Calgary is a lost less compared to Toronto and Vancouver but still expensive if being compared to Fargo, ND, or Houston, TX. 

4. Stabilization in New Home Building

In 2017, the Canadian home building hit a 10-year high but had begun declining since then. It is believed that the new home builds for 2020 and 2021, will be about the same in 2019. This means that the strong labor growth and income increase that come with a favorable market for new home builds won’t be positively impacted by the changing housing market. 

5. Long Closing times & Conditional Offers

Closing times, the period between when an offer is accepted, and ownership is transferred, are getting longer. So, if you are selling your home, you need to make sure that the closing time on the property you are selling is longer then the one you are buying.  Closing times use to be as short as 30 to 60 days. In a slower housing market, closing times have increased to 90 to 120 days. Many offers are coming with conditional offers, such as being able to sell your home. 

Final Thoughts

The housing market is a little uncertain for sellers. Current trends are stating that the longer you wait, the less you will get for your home. Typically, the housing market has for upward pressure from January to June. Then stabilizes in the summer and decreases in the fall and winter. If you are interested in getting into the housing market, contact us now, as it’s an excellent time to buy. It’s important to remember if you are looking to get into real estate, that with the long-term trend of reducing home prices in Calgary, be specific in buying a home that is going to suit your lifestyle, rather than as an investment.

SImply put, a short sale is when a seller is willing to accept an offer on a property that is less than what is currently owed on said property. This usually means a loss of some kind for the seller of the property, but can be a serious gain for potential buyers looking to acquire property for less than it’s worth. Keep reading to learn more about how short sales work, how they’re different from a foreclosure, and the steps to take as a seller to make it happen. 

How the Short Sale Works

Normally, a short sale occurs when the owner of the property is so far behind on their mortgage or commercial property loan payments that there’s no way they can catch up. This is a way for the owner to get out of the responsibility of owning the property, especially because missed payments create a lot of debt very quickly. 

Another reason for a short sale is when the general or local housing market has dropped so significantly that the house or property is worth much less now than it was when it was purchased. 

Why it’s Different Than Foreclosure 

A short sale isn’t the same as a bank foreclosure; in fact, the two are incredibly different when you look at the details. During the short sale process, the owner of the home is usually the one who initiates the short sale, deals with the potential buyers, and has the final say on the price of the short sale (thought the lender must approve these details). 

With a foreclosure, the bank will take over ownership of the home or property (vacating any residents), and list the property as “for sale” in order to attempt to recover as much of the original cost of the loan as possible. This is generally a strenuous process for the owner, and the bank loses money when it has to foreclose on a home. 

How to Get Started

Initially, if you want to sell your home or property via short sale, you’ll need to let your home or property lender know first. Then, you’ll submit proof that you can’t make your payments anymore, and you’ll need to submit a short sale package in some cases. 

You’ll be working with a realtor to list the property, who will list a sales contract for any potential buyers. Although you and your realtor will interact with potential buyers, ultimately, it’s your lender’s decision whether or not the offer(s) are acceptable. 

The lender will review the contract, make a decision, and then it’s completely up to the buyer whether or not to proceed. The lender could completely reject the buyer’s offer or vice versa; it’s completely up to the two parties at that point. 

Once everything is finalized, the sale is made, the ownership is transferred to the buyer, and you’ll be released from your mortgage payments. This can be a serious loss, especially if you’ve built up equity in your home over the years. 

Why Would Someone Short Sale Their Home?

So, what causes homeowners to end up taking the short sale route? There are a variety of factors that can lead to the need for a short sale; from loss of income to a change in circumstances, the main reason is simply to avoid foreclosure on their home. 

Lenders usually agree to short sales only when they believe it’s the only way they’ll recover a significant portion of the original loan. Foreclosed properties usually sell for much less, and cost the bank more overall. 

Conclusion 

Whether you’re considering a short sale for your own home or looking to purchase a home listed on a short sale, be sure to consult with a realtor about the details and make sure you’re covering all of your bases. Having an expert in your court can help you avoid potential mistakes or issues down the road.

When it comes time to move out of your old home, you’ll likely be met with quite the predicament; to sell or to rent? Which is better? Which has the most benefits in the long run? Keep reading to learn more about the benefits of selling and renting. This guide also covers how to decide which one is right for you when you outgrow your old home. 

Can You Afford to Rent Out Your Home?

Often times, potential renters don’t fully account for the expenses they’ll likely incur during the rental process. You’ll be letting someone else stay in your home for a pre-determined price, and while it’s a good way to generate passive income. Consider a few things first. 

• Is your mortgage paid off, or will your rental price be helping with this expense? 
• Are you going to pay to advertise the property to rent it out?
• Can you be certain your property will stay occupied or have you planned for possible future vacancies? 
• Are you aware that property tax doesn’t change simply because you’re renting your home out?
• Don’t forget that renters can cause damage to the property, and you’ll be responsible for repairs or other costs associated with fixing or replacing anything that gets broken. 

If you don’t have the cash flow to cover sudden costs, or the ability to meet your mortgage payment when the house is vacant, it might be a better idea to sell your home rather than rent it out. 

You’ll also want to remember that you’re the landlord; which means late-night phone calls for broken toilets, covering the entire cost of maintenance and repairs, and dealing with renters who are either late or don’t pay rent. 

Selling Your Home Has Many Benefits 

Selling a home has several benefits, you’ll get to walk away from a home that doesn’t fit your needs anymore. You won’t have to deal with tenants, taxes on your rental income, or being a landlord. If you’ve accumulated enough equity and the market is doing well, you can sell your home for a nice profit, and you’ll have the down payment for your next home in hand. 

If you’ve ever wondered “how much tax do you pay when you sell a house in Canada?”, the answer has changed since 2016 and the introduction of new tax laws. Before 2016, if you sold your primary residence, you didn’t have to report that sale in order to receive the principal residence exemption. 

Now, you’ll have to report the sale, and fill out the T2091 form in addition to your Schedule 3. The amount of tax you’ll pay on a home will depend on your specific situation and exemptions. 

The Best Choice?

While both options provide benefits and drawbacks, selling your home is generally the best way to remove yourself from the responsibility of your old home. Being a landlord is hard work, and you’ll be responsible for the maintenance and taxes of an extra property if you decide to rent. Not to mention, finding tenants is a job in and of itself, and sometimes you’ll find the wrong occupants and end up incurring even more costs. 

If you’re comfortable renting your home and being a landlord, renting is a good option; but most homeowners will choose the selling route instead. The equity you’ve built up in your home can make for a good profit, and you’ll have an extra chunk of cash available for the down payment and other expenses associated with securing your new home.

So, you want to get into the rental market. You’re looking for an investment opportunity to help you build your wealth with a bit extra on the side. In your eyes, the easiest way to do that is buying another house, and renting out. After all, owning a rental property is easy, right?

Truth be told, no, being a landlord is not easy. It’s another job, and you need to be ready to make the necessary investments to repair that rental property when things go wrong. You are responsible for the quality of the home. 

If you have a plan to pay for the house and build a budget for repairs, then you’re in business. You just have to find the best house to fill in the gap. What kind of house should you look for? One you would want to live in that checks off all the boxes for the perfect rental property.

Rent to Price Ratio

You want to make a budget for your home. Figure out which house is in the budget, and go from there. To do so you might want to look at the rent to price ratio. You can find areas that have rent set at nice prices, and look for homes there. If you can get a nice house for $200,000, you could rent that out for a lot more than the mortgage is worth. Say you get that $200,000 house in the right area. It has huge open spaces and plenty of rooms for the family. For you, the mortgage prices are roughly $1000 a month, but with the potential to rent houses in Calgary anywhere from $1500 to $2500 a month, you have some room to make it work. Just check around the area the home is to see what your rent prices could be. If you find a few options that are similar to your house, you can get a range and pick a rent price for the property.

Think of the 80-20 rule on this one to see if you are on the right track for your investment minimums. You can put 80% of monthly rent into the property and take 20% as a profit, you are doing great. So if you have 50% as the mortgage payment, you should have the other 30% of the rent as a fix-it budget. That money will start to stack up in case something major breaks in the house. Something like plumbing or foundation issues can turn a great opportunity to bust really quickly. That fix-it budget could help you get out of a tight situation with a swift repair. Of course, these are just suggestions, but if you can’t beat those numbers, it’s probably not the right house.

Big Rooms, but Not Too Big

If you want to get a house and attract longer staying tenants, you will want to make sure you have space. Typically, you will see people who need a large amount of space rent for longer periods of time. Whether it’s a family or an upstart company, longer contracts can help you secure lines of income for certain periods of time. Squarefeet is the name of the game here, and utilization of space is a keep to getting long term tenants.

Washer and Dryer Hookups

This is a big one, and not every house has washer and dryer hookups. You really need to make sure your rental does, and that it’s in a convenient location. If you the house you are looking at has the washer and dryer next to house, it’s automatically going to be that much harder to sell to tenants. Sounds silly, but trust me, it can make a difference.

A Garage

We live in Canada, so a garage is a must-have feature for the perfect rental. If you can provide your tenants with a garage to house their cars, they might just stay forever if you left them. Keeping your car off the roads when the snow hits is really important for the life of a vehicle. 

Newer HVAC Systems

If the heating and cooling have been recently updated, that’s a good sign. Of course, you need to check they work and make sure the HVAC system is good at its job. Try kicking the heat on to warm the house up a few degrees, and turn on the air to see how it does making the house cool again. You don’t need a lot of time to test this, and 5 degree is all you need to see how the HVAC system is working. 

Finding the Perfect Rental Property is Finding the Perfect House for Someone Else

If you find a great deal on a house that you can’t seem to pass up, you can always use the property as a rental. Making money through your investment can be easy if you pick the right house and keep maintenance costs down.

Maybe you aren’t ready to field the complaints from your customers. That’s ok because you can work with a rental management company to help with communication between you and the tenant. Many of them offer great deals for monthly fees. They can help you find tenants, field maintenance requests, file paperwork and ultimately help you keep tabs on the rental property. This is a great option for those looking to use realty as an investment opportunity with the hassle of managing the actual renting process. 

If you need help finding a great house, Hama Cazac Real Estate Group can help you find the best houses on the market. Whether you’re buying for you or investing in a property opportunity, we can help you find the perfect home to suit your needs.

Selling your home is a long and strenuous process. It takes time, resources, and an immense amount of planning. When you finally do decide to take the leap into selling your home, you really have two options. Do you pursue the sale alone, or do you retain the services of a realtor?

Let’s look at the few different areas of selling a home that affects the sellers most: Price, Marketing, and Paperwork. We’ll look at how those main areas of a home sale differ when you attack the market as a “for sale by owner” vs using a Realtor. The results might surprise you.

Sale Price

Most sellers want to make the most money they can when they sell their home. At the end of the day, it’s that money that will pay for their new one. When sellers enter the market, they really have two options. The seller can enter the market for sale by owner, or they can enter the market with a Realtor. Most who choose to enter the market FSBO do so because they don’t want to pay the commission fees to the Realtor in the hopes to make more money. 

This is where the first misstep is normally made because the reality is, Realtors can help you sell your home for more than you could on your own. According to the Realtors Association, the average price of an FSBO is $185,000 while selling with a Realtor averages a sale price of $245,000. That $60,000 difference is well over the 6% commission rate that Realtors charge on average. 

Seriously, let’s look at the numbers:

At the average sale price of home using Realtor, that 6% commission comes out to $14,700 payout on the $245,000 sale. Subtract that commission from the sale, and the seller gets $230,300 of that sale. Compare to the average FSBO home sale price, working with a Realtor can make you $45,300 extra dollars. A realtor’s marketing expertise can make you way more money. Even when you pay them that extra bit in commission on the sale. 

Marketing

Getting the word out about your house falls squarely on your shoulders when you go into the market FSBO. That means marketing your home falls on you too. Now, there are a few places that can help you get your home listed on the MLS, but that is going to cost you. The normal fee is around $1000 to list on the MLS as an FSBO, but a Realtor will do this for you. Your Realtor has direct access to your local MLS. The means they can get you set up without having to fork over a fee to do so. Since you are going to pay them a commission on the sale, they will take it upon themselves to get your home listed on the MLS and so much more. 

Your Realtor will also help you take your sale awareness to another level. The best groups have multipoint marketing plans to help people know your house is for sale. They will leverage their social media, company contacts, and inner circles to get the word out about your home. Realtors know how to make a splash in the marketplace with a sale. 

Paperwork

Yes, this means all the paperwork. Instead of having to go at the mountain of paperwork alone, you can have a trained professional walk you through the process step by step. From filing for sale to signing the closing paperwork, one mistake could be the difference between actually selling your home or not. 

These forms can be tricky, so it’s always nice to have a Realtors help when it comes to getting these parts done right the first time. You don’t want to lose a sale because of botched paperwork, and it can happen. 

Free Upfront for More in the End with a Realtor

There really isn’t a downside to working with a Realtor. If you really take the time to do the research on attacking the market with and without one, it’s a no brainer. You don’t pay for the services upfront, so there is nothing to lose. 

As the one selling a home, wouldn’t it be nice to sell your home for more, get help during the process, and not worry about your paperwork being done correctly? That’s exactly what you get when you hire a Realtor to work with you. It’s about making the most of your sale, and we can help you do just that.

If you’re ready to get more for your home than you could on your own, contact Hama Cazac Real Estate Group for more information. We can help you get more for your home through our proven sales tactics.

When it comes time to increase the value of your home, you’d be amazed how much something as minor as replacing your front door can burst your curb appeal and make your home look that much more appealing. Home hardware improvements, when done correctly, can help to boost both the aesthetic and monetary value of your home. This helps make those final moments in closing the sale no problem. Here are five home hardware improvements that will help increase the value of your home.

1 – Finished Basement

A finished basement can add an entirely new dynamic to the floorplan of your home. Whether you’re creating a rec room, extra bedroom, or a family entertainment space, a finished basement is an attractive addition to any home. It’s also bound to catch the eyes of that perfect buyer.

Finished basements come in all shapes, sizes, and prices. The cost will largely depend on the square footage you’re looking to finish, as well as what exactly you’re finishing the space for. A bedroom will likely cost less than a family entertainment center, but both will require some serious updates to the floorplan.

Be sure to hire a licensed (and insured) contractor when you being planning and constructing your finished basement. Ensuring the construction is sound and completed by expert hands will prevent issues in the future. It’s also a good idea to check if your basement is waterproof before adding things like carpet or wiring. Water can be incredibly damaging to a variety of materials (including drywall).

2 – Updated the Kitchen and Bathroom

One of the most highly sought after home hardware improvements for home buyers is an updated kitchen and bathroom. Not only do new appliances, plumbing, wiring, and electrical fixtures make the rooms safer, (who wants outdated electrical wiring?) they can improve the aesthetic value as well.

An updated bathroom can be as simple as replacing the old tile (you know, the pink or mint green tile from the 70s?) or simply replacing the rusted out pipes and toilet. With new fixtures, tile, and toilet, your bathroom will look more modern and function without leaking all over the rest of the house.

The kitchen is one of the most important focal points of a home. It’s where you’ll spend a great quantity of your time, preparing meals, having discussions, etc. To not update your kitchen before listing your home can be detrimental to your sales efforts.

New appliances, flooring, and even windows are some great additions to a kitchen. Granite countertops are always a favorite, and better lighting can help accentuate your new additions. New countertops also add a certain ambiance to the room.

3 – Energy Efficiency

Making your home energy efficient not only saves money but helps boost the value of your home hardware as well. With rising energy costs, energy efficiency is more of a requirement for modern homes than an option, and upgrading windows, furnaces, and insulation will make your home’s energy efficiency a crucial selling point.

Replacing windows helps to keep out the elements as well as keep the ambient temperature within your home at manageable levels. When your furnace or A/C unit is working too hard, your energy bills can increase dramatically. Simply replacing windows can maximize your home’s ability to contain both warm and cool air.

It’s also important to check the insulation in your home, to be sure that your walls are properly insulated against the elements. Insufficient insulation is just as detrimental to your home’s energy efficiency as outdated windows. Insulation is something you’ll want to be installed by a professional. Be sure to hire a qualified contractor if you’re thinking of changing or upgrading insulation.

Energy efficiency is a great way to lend a helping hand in managing the environment as well. With carbon emissions higher than ever, each of us can do just a little bit to help cut down on energy use. Making your home more energy efficient is an Earth-conscious way to boost its value.

4 – Paint Job

Does the outside of your home have peeling paint? Or maybe a color that looks like it’s been left out in the rain for over a decade? Paint chips and peels off over time diminish your home’s value.

Never underestimate the power of aesthetics in a home’s value. What your house looks like is the first thing potential buyers will notice, so starting with a fresh paint job can mean the difference between closing the sale and losing it.

Be sure to choose high-quality paints for both exterior and interior walls. The lower the quality of your paint, the more likely you’ll need to repaint in the near future. You’ll want your colors to stay vibrant for at least a few years, and chipping shouldn’t occur for a long time with high-quality paints.

5 – Don’t Forget the Yard

A beautifully landscaped yard can be an aesthetically pleasing addition to your home. Did you know it can actually help increase the value and curb appeal as well? A weed-infested, unkempt yard can turn away potential buyers; it simply doesn’t look good.

Maximize the appeal fo your yard as a crucial selling point by performing some simple landscaping. Planting flowers or other plants, cleaning up weeds, and patching dead grass spots is a great start. From there, you can add lawn furniture and other elements to show off the outdoor space.

How to Improve Your Home Value In a Nutshell

A well-kempt yard, updated kitchen and bath, new paint job, finished basement, and energy efficiency improvements can help boost your home hardware value. Investing in your home now can bring in the buyers you’ve been looking for when it comes time to sell. Don’t settle for less when it comes to listing your home; making these improvements can help ensure you’ll get your asking price and hand off a beautifully maintained home to the next occupant.

If you need a helping hand, Hama Cazac Real Estate has your back. We can guide you towards the best home hardware improvements to boost your home value. Feel free to contact Hama Cazac Real Estate to see how we can help you sell your home for more.