Friday, July 26, 2013

Self Represented House Purchase

I go to Sobey's and select my grocery purchase.   I fill my cart; wait in the self checkout line, bag my own groceries, pay by card and leave.  Where was my discount?

Who started this SELF REPRESENTED Nonsense... I filled my own shopping cart at STAPLES. Now you do the paperwork but I want CASH BACK?

Try that at your Bank for a mortgage! You're doing your own appraisal? How about the dentist? Your own fillings?  When you are closing a real estate transaction; tell your lawyer you will handling FAXING and Delivering documents yourself to save on courier fees.  No, I don't want anything explained; because "We know it all! We read it online."

The people with the highest interest in the outcome of the checkout process are the very same people that self-checkout puts in charge: me! How could it not work? It's the perfect alignment of self-interest.  Of course you will be fair and want to pay market value.  Its the Perfect Storm

The Seller pays the Buyers Agent for procuring an offer. Thats COMMON LAW. Sellers clear all charges and debts related to the sale of the property. That's COMMON LAW.  If you are trading in real estate and think you are capable of receiving NO service from me, whatsoever, thats fine.  


Are you biblical?  You cannot serve two masters  - Matthew 6:24

I have a contractual obligation and agency relationship with a home owner to procure offers for sale on their property.   NOT switch sides and work to get you the best deal.

It costs you [The Buyer] nothing ... To Give me a try. Call me or http://Bit.Ly/GetDave

Wednesday, July 17, 2013

If you lived Here - What do you see?

33 St Charles St East, Toronto ON
CASA Condominiums

What's the View like?

Would you like to be here?

Give me a call at 647 218 2414
or suggest a different criteria

Sunday, July 14, 2013

Why do you expect me to present your offer?

Why am I presenting your offer to my Sellers?

They expected an offer presentation where we would negotiate. You sent me an email or faxed the offer.

I don't know your clients capacity, intent, top price, ability or wherewithal to conclude the transaction. If you told your clients the market is up/ down 10% They want a deal, a discount and they want to negotiate.

Let's presume the following;

  • There are two offers
  • Both offers are relatively equal with small differences
  • One agent is in attendance.
  • His Buyers are in a Horton's nearby and anxious.
  • The OTHER agent sent his offer by fax.

The Seller's of the home have a strong history and attachment to the property. They have demonstrated pride of ownership, duty of care and dedication to the maintenance and upkeep. It was the curb appeal that attracted your buyers. This is the second time they have entered the real estate market in 26 years. 

The agent with the Buyers outside has an opportunity to explain their financial capacity to  close on the purchase, how much downpayment, where they work, what types of financing they are taking.  There is a deposit cheque with the offer.  He goes on to create a bond between buyer and seller by describing the family that will replace theirs on the street. The new kids that will fix the tree house and update the swing set.

The agent with the faxed / emailed offer has what?

Yes, we have the capability to send offers by email.  Sign on your ipad. Deliver Acknowledged copies of contracts electronically, instantly.

Bring 4 copies of your offer.

Real Estate is about pricing, presentation, promotion and negotiation of all my offers in person.  We attend with you at the lawyers, together, so that you understand everything is as was explained to you.  Thats what I do. 

Call me.

Saturday, July 13, 2013

Toronto doubles condo development fees

Condos at Square One Celebration Square.
In the condo sales office there may be licensed or unlicensed sales representatives. Their obligation is simply to get you to sign and commit to the staged deposits.  They are not obligated to have you to understand.

It is incumbent upon you during the 10 day rescission period  [you have 10 days to take the contract to a lawyer to have it explained to you]  so that you clearly understand what addition closing expenses may be included in the documents.

Recent discretionary items I have seen are;
Lobby Art Contribution
Park Land Tree Planting
AND any additional levy's as yet unassessed by the municipality.
There may be individual meters for your condo.

That means you without knowing how much expense, you have committed to that amount of money. No debate. No Negotiation.

The time to CAP the closing costs and development charges is prior to the Conditional Period expiring. This is done by the lawyers in writing.  If it's not in writing it doesn't exist.

If you’ve purchased a preconstruction condominium in Toronto that has yet to close, take a close look at your Agreement of Purchase and Sale – you could be stuck paying a price increase of almost $15,000.
Like most municipalities, Toronto charges development fees when constructing a new building, adding new residential units to an existing building, or substantially redeveloping a building.
Since developers have no control over these fees, most Agreements of Purchase and Sale for preconstruction condominiums contain a clause stating that if the fees levied by the city increase, the developer can pass these increased fees onto the purchaser.

All the new charges added to your closing could easily be between 12 and $17,000 given what was talked about at Toronto City Council. PLUS any ART or Tree planting contributions.

Let's go back to Para 1...   If you had taken a Buyer's Broker with you,  Yes, I understand, you understand the buying process but you would not be so angry right now about that Toronto Condo where you did not cap the closing fees, consult a lawyer and understand clearly Phantom Mortgages and Land Transfer Tax Rebates if I had come along.  You didn't get a better deal.

That's what I do.

Thursday, July 11, 2013

Search House History for Previous Water Damage

Photo Cred Tom Ryaboi
You thought you took your time and asked all the right questions...  Everything looked so freshly painted and well finished.   It wasn't finished, It was masked and hidden.

We have had two major floods in Toronto in the last few years. Storm Damage has been swift and indiscriminate.

They sweep out the water.   The broadloom has dried and dehumidified for weeks / months.  Now, that house is up for sale.     How will you find out what happened in the past.    I do.

Home Verified Reports are available to real estate agents through Geo Warehouse. This provides a documented 5 year claims history of that property's activity including if its been a GROW HOUSE.


The Home Verified Report allows you access to the exclusive database for property insurance claims.  Any claim by any insurer in Canada is recorded here incl; fire, flood, sewer back up, hail etc., going back a five year period.  Grow OPS Records are also included.

This  means that our team is able to provide you more details about the home you are considering as a resale home purchase and give you clarity and confidence to move forward.

Is this the type of information you need?

Lets get started buying your next home.

Friday, July 5, 2013

The Dilema - Do you rent or do you buy?

The Toronto Real Estate market just seems to defying logic and continues to increase in price [and competition] for single family homes.  Taking the average sale price in the 905 [ ring of homes around the 416]   Land Transfer Tax Calculator net of First Time Buyer Rebates.

Average Sale Price in 905          $598,708
Ontario Land Transfer Tax              8,449
Toronto Land Transfer Tax              7,699
Inspection Legals      +/-                 2,500

Mitigating Factors;
You are impacted by two land transfer taxes PLUS the legal fees to close.   I am assuming that CMHC Hi Ratio fees do not apply ( unless you are media where everyone is buying with 5 % down)   Average Mortgage in Toronto is $270,000.

Buyers have been reduced by the Bank of Canada reducing recommended amortization terms to 25 years. You will be taking a five year fixed rate because that is prudent with all the rhetoric about increasing interest rates.

Selling after 4 years of ownership will incur the following expenses;
  • Lawyer Fees      $ 1,600
  • Mortgage Penalty at 3 months differential  $3,000
  • Real Estate Fees   assumes 5% but we all negotiate  $30,000
  • Irrespective of the property taxes and living expenses of heat, hydro, water, insurance repairs gardening, repairs and improvements....
The Toronto Real Estate market would need to gain just shy of 10% accumulated over the next 4 years JUST to BREAK EVEN.

Real Estate is something to buy and hold for decades; raise a family. Plant roots in a community, Join volunteer Groups and Community Watch.  Worship, have christenings and weddings.  Graduations.

I appreciate the benefits and concepts of home ownership and building equity.  I do not believe in Buying to Flip with our Expense and legal structure of ownership.

What do you think?  Ready to Buy a house?   You're staying put, Right?

Thursday, July 4, 2013

List of Sold Homes

You can find out instantly what that house down the block sold for.


Complete the simple sign in sheet for what neighbourhood, condominium community or group of streets you want and we will generate an immediate 6 month sales history report for you.   

When you know the TRUE values of the other homes that have sold in your community it is vital as you plan your financial affairs to decide when you will be selling your home.

Send me an email with the neighbourhood details you wish, just the street or even for one house.