Thank you to all our clients for helping to make 2011 a busy and successful year. With your support we were able to achieve Top Producers on a number of occasions.

In review, our List:Sell ratio far exceeded the local industry average at 53% (local average being only 35%). We were able to achieve an overage List Price:Sell Price of 96%; also beating the local industry average.

We tracked our inquiries for the year and found some interesting information. Based on our listings, the majority of inquiries came from cooperating REALTORS® (54%). Our website, webbers.ca, was the source of 9% of all inquiries. 8% of inquiries were from our previous clients and 5% of total inquiries were the result of the realtor.ca website.

When listing your home for sale, it's important to know where the buyers are finding the homes they buy. We are pleased to report that our listings sold as a direct result of:
     # 1 = cooperating REALTORS®/Brokerages:  this confirms the power of listing MLS®. 67% of our listings sold as a result of the MLS®.
     # 2 = Second place is held by a three-way tie at 11% each for realtor.ca (attesting again to the power of the MLS®), public open houses and signage.

People are always asking about newspaper advertising. Our tracking is almost identical to the reporting from the Vancouver Island Real Estate Board, with buyers finding the homes they purchase as a result of print advertising, at a mere 1%. We've entered the information/Internet age. The majority of buyers are finding their new homes on the Internet or with the help of REALTORS®.

Are you looking at making a real estate move? Call or email us and we will be happy to assist.

Shae Webber, REALTOR®

 

Doug and Shae have been recognized as Top Producers at Pemberton Holmes, Duncan, again! Looking for effective representation? Call Doug & Shae. They're proven performers!

We achieved Top Producing Team at our Duncan office for the month of June as well as making the Top 10% for Pemberton Holmes Ltd. for the month of June.

Thank you to all our clients for helping us to achieve this recognition. We've been working hard this spring and are looking forward to an equally busy summer. Please remember to call us if you, or someone you know, is thinking of making a real estate move.

There is a lot of questions and confusion out there about how the HST affects real estate. The answer is really quite simple. It works exactly the same as the GST.

The rule is that HST is applicable to all real estate transactions unless an exemption is met. This was the same rule for GST. A term that’s been used frequently by the media recently is “resale” homes. We hear this term a lot because resale homes are HST exempt. A resale home is one that has been lived in. For example:

• A homeowner wants to sell. They have lived in their home for a number of months or years. HST applicable? No. It is a resale home and therefore exempt.
• A builder wants to sell the house he has just built. It has never been lived in by the builder, or anyone else. HST applicable? Yes.
• A builder wants to sell the house he has just built. The builder has lived in it for a short time. HST applicable? No. It is a resale home and therefore exempt.
• A builder wants to sell the house he has just built. The house has tenants residing in it. HST applicable? No. It is a resale home and therefore exempt.

These types of scenarios are the most common. What about raw land? That’s where things can get a little “gray”. Let’s try a couple more scenarios:

• A building lot, or raw land, has recently been created by a developer/property owner for the purpose of selling for profit. HST applicable? Yes.
• A property owner had originally purchased land to build their personal residence but the home was never built and the owner now wants to sell. HST applicable? No. It is exempt. Refer to the Excise Tax Act, Schedule V, Section 9.

The application of tax is not cut and dry but these could be considered general guidelines. For clarity, we always advise our clients to contact either their lawyer or accountant, or the Canada Revenue Agency’s HST Ruling Centre. I’ve spoken with representatives from this department a few times now and have found them to be extremely helpful.

One more note on HST. Rebates are applicable if certain conditions are met. These rebates will bring down the total cost of the purchase price of the new construction home. The formula is unusual but essentially with rebates, the total tax payable is only a 2% increase from the GST. Here’s an added bonus. If the new construction home was 90% complete on July 1, 2010, an additional rebate applies. The catch though is that the Buyer must be purchasing the home as their principal residence otherwise the full HST of 12% applies to the purchase price with no relief from rebates. An example of this would be an investor purchasing a new construction home with the intent to rent it out.

The media now reports that HST has slowed real estate in BC and Ontario. My belief is that if the HST has slowed real estate, it’s because of the initial lack of information provided by our government as well as media misinformation. I don’t know how many news stories I saw that had only half the facts or wrong information. Anyone hoping to buy a new construction home in the early days of July was faced with ill-informed professionals including lawyers, accountants, REALTORS® and real estate brokerage managers. With everyone in the dark about how best to deal with offers, people decided not to buy new home construction. Buyers working with a REALTOR® would have known that HST was only applicable to new construction and so that would not have deterred them from purchasing a resale home. I’m optimistic we’ll see increased sales soon as proper information is now available and understood by professionals as to the application of the tax and possible rebates, and the historically slow summer months will eventually turn into a historically busy autumn.

By Shae Webber, REALTOR®

August 18, 2010

The opinions in this article are those of the Authors and not those of Pemberton Holmes Ltd.

Information is from sources deemed reliable but should not be relied upon without independent verification.

 

By Doug Webber & Shae Webber 

Certain For Sale By Owner Advertisers would like you to believe that all you have to do to sell a home is advertise on the Internet. These advertisers will even claim to “help you from start to finish” giving the illusion they are able to provide these services.

For Sale By Owner Advertisers are not legally permitted to provide Real Estate services. That is why their advertisements have disclaimers such as “we are not REALTORS®”.  If you are able to locate the fine print, another disclaimer may read:

* Only available in participating areas. Services are defined locally and performed by third-party service providers and not the Anonymous Advertiser. These services may include but are not limited to property valuations or appraisal services, pre-sale home inspections, legal services, home staging services or other real estate related services.

Real Estate is a regulated industry overseen by British Columbia’s Real Estate Superintendent. Real Estate is governed by Statute Law, namely “The Real Estate Services Act” (RESA). The law clearly states who can provide Real Estate services. A license to provide trading services is required by anyone who, or on behalf of a party selling, purchasing or leasing Real Estate, provides any of the following services:

a)      advising on the appropriate price for the Real Estate;

b)      making representations about the Real Estate;

c)      finding the Real Estate for a party to acquire;

d)      finding a party to acquire the Real Estate;

e)      showing the Real Estate;

f)        negotiating the price of the Real Estate or the terms of the trade in Real Estate;

g)      presenting offers to dispose of or acquire the Real Estate; or

h)      receiving deposit money paid in respect of the Real Estate.*

You most likely purchased your home and already know that lawyers, bankers, appraisers and inspectors are involved in the Real Estate process. You have probably heard about home staging and curb appeal. Do you really need to pay up to $1500 for somebody to tell you what you already know? 

It is true that anybody can post an ad on the Internet and receive inquiries. But what do you do after that? Does it make sense to repeatedly meet with your lawyer to seek Real Estate advice? A REALTOR® will advise you from start to finish and is available when and where you need them.

REALTORS® provide advice based on experience and knowledge about the local market conditions, trends and history. REALTORS® will take care of the details, letting you focus on your goals. You will need to understand the Law of Agency and how it affects you as a Seller. It is important to understand that Listing REALTORS® have a very different role than REALTORS® working as Buyers Agents. Be clear about who is working for you, and what information you are providing.

Selling your home is important. Getting the right price and terms is important to you. Avoid costly mistakes and unnecessary fees by getting it done right the first time. A REALTOR® will do more than just advertise your home for sale on the Internet. The simple fact is that choosing to hire an experienced REALTOR® to sell your home will protect your interests, reduce your legal risk, and save you money, time and stress.

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Source:  RESA, s.1 (definition of "trading services")
The opinions in this article are those of the authors and not those of Pemberton Holmes Ltd.
Information is from sources deemed reliable but should not be relied upon with independent verification.

 

 

You can now keep up with us on Facebook. We're known as The Webbers. Hope to see you there!

Individuals looking to purchase real estate as an investment (ie: rental property), there is a MAJOR change you must know about. The new Federal changes made to mortgages include a change to your required down payment. Effective APRIL 19, you must have a down payment of 20% for government backed (ie: CMHC) mortgages. There are also changes regarding how much rental income can be included in the mortgage application.

If you are looking to purchase rental or investment real estate and you don't have the 20% down, you had better make your purchase prior to APRIL 19TH.

We encourage your comments. If you would prefer confidential real estate advice, please contact us direct.

"The Warm Lands" subdivision is located near the Shawnigan Lake Village and is an easy commute to Victoria. This large family home boasts 5 bedrooms, a den, in-law suite potential  and all the things you would expect from a home of its calibre. View the many photos and floor plan (not exact to actual house) at our website. You will not want to miss this home. The almost half acre property is treed at the back and offers plenty of room for your ideas. Detached shop/garage? Swimming pool? Let your imagination go on this one. View the photos and details at our website and then contact us to book your appointment to view.

Address:  2655 Courtney Way     List Price:  $699,000  (well below recent bank appraisal)

Listed with Doug Webber and Shae Webber
Pemberton Holmes Ltd.