When getting ready to sell a house, your mind is filled with thoughts of renovations and boxes. In the midst of planning your next steps, there’s one thing you can’t forget about, and that’s the business side of the transaction.

You’re likely aware that there are seller closing costs before your sale can officially proceed. Real estate commissions typically take centre stage as they are usually the highest fees associated with selling a house.

Legal costs can also be significant depending on the complexity of the transaction. In this post, we’ll explore the legalities of real estate in more detail.

An accurate, unbiased assessment is the foundation of your effective home-selling strategy. Start by booking your complimentary home evaluation with our experts.

Typical Lawyer Fees for Closing

It’s hard to pinpoint an exact dollar figure on what to expect when selling your house because every law firm sets its own prices. There is no set schedule in Ontario, and every transaction has its nuances.

If all goes well, and it usually does, you might be looking at approximately $1,000 to $2,000 in total. This fee covers the lawyer’s base rate plus any disbursements on your behalf. Since this is considered a service under Ontario’s tax code, add another 13% in HST to the final bill.

If complications arise, all bets are off. These could include unresolved liens against the property, a private mortgage, a tenant who doesn’t wish to leave or a spouse who doesn’t want to sell.

Any of these issues can certainly bog down the closing process. Complications also lead to higher legal fees, but fortunately, most transactions are relatively straightforward.

Home sellers in Ontario should always have an understanding of the legalities of a transaction. The posts below can help:

• What’s in Your Listing Agreement?
• What Does Sold Conditional Mean?
• Conditions & Clauses on a Real Estate Purchase

Do You Need a Lawyer to Sell Your House?

In Ontario, you must have a real estate lawyer to close the transaction. The reason is that the Land Registry Office uses the Teraview system, and only legal professionals have access.

Working with a skilled real estate lawyer can also make the difference between a home sale that goes off without a hitch and one that is non-stop headaches. For example, imagine there’s a lien on your property that you don’t know about. It can haunt you later when you’re trying to acquire a new mortgage or sell another property.

A lawyer with a sharp eye verifies a clean title that is essential to the seamless transfer of ownership. How do you spot a true professional? Clear, consistent communication is one sign to watch for.

In addition, modern real estate transactions are almost 100% digital. Needless to say, your lawyer should be up to speed with the latest technology. If in doubt, ask your real estate agent for a referral.

Selling your house successfully begins with preparation. The posts below can help you get results:

• Worth It or Not? What Renovations Really Help When Selling Your Home
• How to Prepare Your Home for a First-Time Buyer
• Minor Upgrades, Maximum Results

Who Pays Lawyer Fees When Selling a House?

Both the buyer and the seller must have their own legal representation to close the transaction. To avoid conflict of interest and ensure a fair outcome, both parties should never use the same lawyer.

The buyer’s lawyer will protect their client by ensuring a clean title, reviewing the Agreement of Purchase and Sale (APS) and arranging for title insurance.

The seller’s lawyer will run a title search, prepare a statement of adjustments, close off your mortgage and handle anything that might interfere with the transfer of ownership. On closing day, they also take care of the most important part: making sure you get paid as agreed by your buyer.

Generally speaking, you will pay your lawyer and the buyer will pay theirs, unless otherwise stated in the APS. There can be some rare exceptions.

• If the market is slow, a seller can entice a buyer with “closing credits.” They don’t necessarily pay the buyer’s lawyer directly, but they might agree to a small concession on price to help cover the costs.
• In rare situations, the buyer might cover some of the seller’s legal fees to make their offer more appealing.

Most of the time, selling a house is a straightforward process. What if it’s not? You can find more in-depth guidance for anything you are facing in Challenges of Selling Your Home & How to Overcome Them.

Other Seller Closing Costs You Should Know

Some other closing costs sellers should be aware of include:

A mortgage discharge fee is a flat rate you pay just to have the lender’s name removed from your title. It can be a few hundred dollars.

Depending on the terms of your mortgage, penalties can add up substantially. Breaking a fixed-rate mortgage can be expensive, as the lender will recoup their lost revenue by charging either three months’ interest or the Interest Rate Differential (IRD), whichever is greater. The IRD can be steep, especially if interest rates have decreased since your contract began.

The penalty for breaking a variable-rate mortgage is typically capped at three months’ interest. One of the duties of your real estate lawyer is to check all calculations to ensure you don’t get overcharged by the bank. If you plan to buy another home, you may also be able to port your mortgage so you don’t have any penalties at all.

Setting aside at least 5% of the total selling price should allow you to comfortably cover your closing costs. This includes any agreed-upon real estate commissions, legal fees and other charges and incidentals.

Closing costs may seem high, but the best way to manage them is to make sure you prepare and price your home so that it earns the highest possible amount in the market. A successful cushion leaves room in your budget and allows you to comfortably move on to whatever comes next.

Do you want to talk strategy when selling your home in today’s market? Our top agents in Hamilton & Burlington can help you get the results you need. Reach out today with any questions you have, or call 905-332-9223 to connect with our office.

When getting ready to buy your first house, you’re probably going to want to know all the resources available to you. You’ll also encounter a lot of new terminology during your research. One of the top terms you might hear is “the FHSA.”

The acronym stands for “First Home Savings Account,” and it’s a relatively new incentive Canada has implemented to help aspiring homeowners get into the market. What does it mean, and can it really help you buy your first home?

Searching for houses for sale in Hamilton or Burlington? Start here by browsing a few of our featured listings.

How Does a FHSA Work?

You could think of a First Home Savings Account as a hybrid of an RRSP (Registered Retirement Savings Plan) and a TFSA (Tax Free Savings Account) to create a highly advantaged tax investment account, but with a twist. All funds go towards a single purpose: the purchase of your first home.

Is an FHSA Tax-Free?

For Canadians, there’s nearly always a catch whenever we describe any investment as “tax-free.” It may seem like you catch a break when you contribute to an RRSP, but then you pay on the way out. There are no taxes when you take money out of a TFSA, but that’s because you pay before you invest in the first place.

With the FHSA, it really is tax-free as long as you follow the rules and use all of the money for its intended purpose.

The funds on the way in are exempt, as are any dividends they earn while the account is active. When you make a qualifying withdrawal to purchase your home, the funds remain in the clear. Your contributions also help reduce your taxable income for the year.

Looking for more tips to get the best value from your first home purchase? The posts below can help:

• Our Ultimate Handbook for First-Time Buyers
• Buying a House in Ontario Is a Team Effort
• What to Look for in a Home Inspection

Staying Within the FHSA Contribution Limits

As a tax-sheltered investment vehicle, an FHSA can seem like a dream come true, but there are limits. You can contribute up to $8,000 per year to a $40,000 maximum.

If you exceed this amount, the excess funds will be subject to a penalty, but there is one loophole. If you invest less than $8,000 one year, you can add the extra contribution room to the next.

Opening a First Home Savings Account as early as possible allows you to fully capitalize on its growth potential. The more years before your purchase, the more time you have to take advantage of compound interest even if you do reach your lifetime maximum of $40,000. Canadian citizens and permanent residents who have never purchased a home can open an FHSA anytime between the ages of 18 and 71.

Is someone you know and love about to buy their first home? Check out our Gift Guide for the First Time Buyer in Your Life.

Can I Have Multiple FHSA Accounts?

First-time home buyers are allowed to have as many FHSA accounts as they wish. However, it is not a way to add more contribution room.

The maximum for the year is $8,000 across all accounts, not per account. For example, if you invest $4,000 in one account, you’ll be limited to $4,000 total for all others so that you stay within the limit. The same principle applies to the lifetime cap of $40,000.

When Can I Withdraw From My FHSA?

FHSA withdrawal rules depend on whether you are making a qualifying purchase or an unqualified withdrawal. You can maintain the tax-free status if you meet Canada’s guidelines as a first-time buyer:

1. You have a written agreement to purchase a home.
2. You have not owned the home for more than 30 days before withdrawing from your account.
3. You must also plan to occupy that home as your primary residence within 12 months of taking ownership.

Once your purchase is complete, you have until December 31 of the year following your first qualifying withdrawal to close your account.  If you decide not to buy a house after all, you must close your account within 15 years after opening your first FHSA or by age 71, whichever comes first.

You can do this by making an unqualified withdrawal, which will be added to your taxable income for the year. Alternatively, you can defer taxes by transferring unused amounts into an RRSP or RRIF.

Can You Use FHSA and an RRSP Together?

This is where the FHSA really shines, when you combine it with other Canadian programs like the Home Buyer’s Plan, an incentive that has been around since 1992.

New guidelines allow you to withdraw up to $60,000 from a registered savings account without penalty as long as those funds go toward the purchase of a qualifying home. The difference with the Home Buyer’s Plan is you must repay those funds back to your RRSP within 15 years.

If you already have a healthy nest egg, the Home Buyer’s Plan allows you to use it to get into the market. If you have yet to begin your savings, an FHSA is a valuable tool.

First-Time Home Buyers Are Loving Hamilton! Find out why in the posts below:

• Hamilton Vs. Toronto: Which Ontario City Should You Choose?
• Is Hamilton a Good Place to Live?
• Must-Visit Hamilton Hiking Trails

Other Canadian Incentives

There is some excitement still over the FHSA even though it was originally introduced in 2023. That said, you have access to even more programs to make your first purchase more accessible.

Land Transfer Tax Rebate: In Ontario, home buyers must pay a percentage of the final selling price to cover provincial land transfer taxes. This is the most significant closing cost in most cases. As a first-time buyer, you can take advantage of a rebate of up to $4,000.

First Time Home Buyer Income Tax Credit: You are entitled to a $10,000 credit off of your income taxes in the year you purchase your first home. This reduces your tax burden by $1,500, which often results in a refund.

When buying your first home, almost nothing is more valuable than working with an experienced team of real estate agents. We will ensure you are aware of all possible advantages and resources available to you. Plus, you’ll get the best value when a skilled negotiator is working on your behalf.

Do you have questions about buying your first home in today’s market? Our top agents in Hamilton & Burlington are happy to guide you every step of the way. Contact us here to learn how we can help, or call 905-332-9223 to connect with our office.

Winter in Hamilton doesn’t mean that you have to stay indoors. In fact, I think it is the perfect time to bundle up and get outside to see some of the best nature this area has to offer. My husband and I love to go hiking in Hamilton, especially in the winter. Winter means that the trails are quieter, and you can see some incredible views! Here’s some of my favourite trails in the Hamilton area that are very easy to access:

Should you consider buying your next home in Hamilton? Before you decide, here are 5 Things To Know About Hamilton Real Estate.

 1. Smokey Hollow Waterfall – Waterdown

As a kid, I grew up going to Smokey Hollow Waterfall with my parents. On the weekends, they would take out us three kids and try to do something active to get us out of the house. Now, I come here with my husband because it is one of my all-time favourites. The 11-kilometre trail is a great, moderately difficult section of the Bruce Trail. There are also some side trails and loops along the trail if you are looking for s shorter and faster option for a hike. I personally love that you walk beside a creek for most of this stretch. If the parking lot is full, I sneak up to Sealey Park and walk down.

 2. Dundas Valley Conservation Area

Of course, I have to mention the Dundas Valley Conservation Area, which is a 40-kilometre trail system that provides access to almost every part of the Dundas Valley. I love this one because there are so many options depending on what you’re in the mood for. It’s one that I use year-round: biking and running in summer, and cross-country skiing in winter. The trails in Dundas Valley are also some of the most gorgeous I have ever seen, so this one is definitely worth visiting!

 3. Chedoke Radial Recreational Trail

I visit the Chedoke Radial Trail more often than I would like to admit. It’s close to my house and has everything you could ever need. I especially love using the Chedoke Stairs and the Queen Street stairs for a great workout. No matter the season, it’s always the perfect spot for exercise and relaxation.

What else is there to experience and enjoy in Hamilton, Ontario? Find out in the related reading below:

• Is Hamilton a Good Place to Live?
• Local’s Guide: The Top 5 Restaurants in Hamilton You NEED to Try
• Why Waterdown? Top Spots for Nature, Fitness, and the Best Coffee
  

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 4. Webster Falls

Webster Falls is the largest waterfall in the area… and one of the most popular. It is only a 600-metre walk from the parking lot to the falls, so if you’re looking to get some exercise in, I recommend hiking from Christie Lake to Webster Falls. It’s about 40 minutes and is super easy to navigate. All you have to do is follow the signs that indicate the Spencer Adventure Route.

What are your favourite hikes in the Hamilton area?

Planning to buy or sell a house in Hamilton or the surrounding areas? Our top agents in Hamilton & Burlington can help you get the results you need. Reach out today with any questions you have, or call 905-332-9223 to connect with our office.

Selling a house can seem simple in theory. In practice, the process gets complex, especially in today’s fast-moving market. There can be life circumstances that complicate the transaction. Alternatively, a legal issue might arise.

Whatever the reason, it’s discouraging when a house sits on the market without getting the results you want. Fortunately, as long-time real estate experts in Hamilton, Burlington and the surrounding areas, there isn’t much we haven’t successfully overcome.

In this post, we’ll show you some of the ways you can deal with very specific obstacles so you can look forward to a successful sale and a streamlined transition.

An accurate, unbiased assessment is the foundation of your effective home-selling strategy. Start by booking your complimentary home evaluation with our experts.

Table of Contents

1. Finding a Private Buyer
2. Issues With the Title
3. Selling a House in the Midst of Divorce
4. I’ve Inherited a House: Now What?
5. My Property Has a Tenant. Can I Still Sell It?
6. Selling a House With a Stigma

Finding a Private Buyer

A home sale isn’t like any other commodity. Finding a buyer who can and will purchase your house almost always requires comprehensive marketing and assertive networking. However, as with any rule, there can be exceptions.

What happens if you already know someone who wants to buy your house? Maybe a friend or a family member has long admired your property and asked to be the first to know if you ever thought about selling.

At first glance, it’s the perfect situation, and you can’t believe your luck. It might seem as though you can save yourself a lot of time, trouble and expense in getting your house ready. Maybe you don’t have to go on a crazy cleaning spree or make those cumbersome repairs after all!

Before you breathe that much-desired sigh of relief, there are a few things to consider.

• Will you be leaving anything on the table if you choose not to officially list your home? Without exposure, you really have no way of knowing how much interest your listing would generate from other buyers.
• Perhaps even the buyer you’ve lined up might be willing to pay more if you took the time to prepare and stage your home in its best light.
• Have you covered all of your bases legally? A slight misunderstanding over disclosure obligations, advertising claims, drafting the contract or the closing process could cause disruptions if you’re not careful. Even using images from a professional photographer you hired years ago could cause problems if permission to use them has expired.

Even if you find a buyer yourself, you might still need a real estate agent to protect you and streamline your closing process. For more information about private or FSBO (For Sale By Owner) transactions, read the posts below:

• What if I Find a Private Buyer for My Home?
• FSBO vs Real Estate Agent Assisted Sales: What’s Better?
• Selling A House To A Family Member In Canada

Issues With the Title

Some selling problems are easy to spot, like a house that hasn’t been updated since the 1980s or clear signs of a leaking basement. Others are a little harder to notice, but might turn up on a pre-listing inspection, like electrical or plumbing issues.

On the other hand, title issues are completely invisible. Some will come to light during the closing process as the lawyer reviews the deed. However, you want to be aware of how your title is set up in the first place.

• Joint Tenants is the most common arrangement. There are no issues with the transfer of ownership as long as all owners agree to sell. Inheritance law is also more straightforward. If one owner passes away, ownership automatically transfers to the surviving partner.
• Tenants in Common can be a little more complicated. To start with, succession works differently. Instead, it must go through probate before transferring to the beneficiary named in the Will.

In addition, listing a house under Tenants in Common is less straightforward. You can sell your share at any point, without permission from the other parties. However, finding a buyer who is willing to purchase a partial interest can be difficult.

Married couples and families make up the bulk of real estate purchases, and they may not be inclined to make an offer – unless all parties agree to sell. You may need to concentrate your efforts on investors. Alternatively, one of the other owners might agree to buy you out.

Do you have questions about how your title impacts your decisions later on? Learn all you need to know in  Can You Sell Your House Under Tenants in Common?

Selling a House in the Midst of Divorce

Selling a house and moving on to something bigger, more convenient or in a more desirable neighbourhood is one of the happiest transitions anyone can hope for. Unfortunately, not every home sale is easy, particularly when going through a divorce.

The first thing to do is to try to keep the situation as amicable as possible. If that seems like a tall order, remember that the sooner you sell your home, the sooner you can begin the healing process. Cooperation now won’t just make your transition less stressful, but also potentially more profitable. What can you do?

• Start by connecting with a family lawyer to protect your interests. (As real estate agents, we can provide general information, but we can’t give legal advice. It is always best to consult a professional.)
• Decide whether or not one spouse will buy the other out. Often, this is the simplest option, and it creates the least amount of disruption for any children involved.
• Reach out to a real estate agent to streamline the selling process and help you get the best price and terms for the home. If the divorce is contentious, you may each want a separate Realtor®.
• Clean and declutter thoroughly. Removing every personal touch helps buyers imagine the space as theirs. This step is especially critical during a divorce when there may be signs of conflict in the home.
• Speed may be of the essence, but you’ll still want to perform any critical repairs and stage your home to impress potential buyers. When working with a full-service real estate team, we can handle most of these tasks on your behalf.

Do you want to know more about how real estate sales work during a divorce or separation? Start by reading the posts below:

• Who Gets the House in a Divorce in Canada?
• How to Sell Your Home After a Divorce
• How to Sell a House Fast

I’ve Inherited a House: Now What?

Receiving a house in a Will is an incredible and overwhelming gift, especially as real estate becomes more unaffordable to the next generation. However, it does leave you with some decisions to make.

Should you keep the property and remodel it to your needs? Or is it better to sell the home so you can keep your eye on something more suitable for your lifestyle?

• First things first, you will need to get through the probate process.
• Next, you’ll want to know the rules around taxes and capital gains. If you are currently not a homeowner and this will be your primary residence, you should be exempt. However, you may be subject to capital gains when selling a second property that has increased in value.

Preparing the home for the market is one of your most critical steps. Even relatively new properties can benefit from a few updates. If the home has been in the family for many years, it may need even more attention. A real estate agent can help you decide what upgrades are likely to pay off and which ones you can skip.

Do you want to know more about what to do with an inherited home? Read Selling an Inherited Home next.

My Property Has a Tenant. Can I Still Sell It?

As the homeowner, you’re entitled to sell your home whenever you wish. However, a tenant on the premises does complicate the process. You still need to respect all terms on the lease, as will the new owner once they take possession. In other words:

• You cannot evict the tenant just because you intend to sell the property.
• The tenant does not have to make any repairs or stage the home.
• You can show the home between 8 a.m. and 8 p.m. as long as you give the tenant at least 24 hours’ notice.

Once the transaction changes hands, the new owner will need to wait until the lease expires before they can move in. Alternatively, they could submit an N12 form stating that they or an immediate family member needs the home for their own purposes. Even then, the tenant can appeal to the Landlord and Tenant Board (LTB), which delays the process.

For the best results, communication is the key! A tenant who feels respected and listened to will be far more cooperative in helping you prepare and sell the home. You might even work out an arrangement to end the lease early by mutual agreement. This path uses the N11 form, sometimes known as “cash for keys.”

Do you want to know more about the steps to selling a tenanted property? Read Can You Sell a House When You Have Tenants next.

No matter what might be standing in your way, there is always an answer. Sometimes, you may need to adjust your expectations. Or you may need to level up your strategy. You’ll get even more valuable home-selling tips in the posts below:

• Selling a House with Pets
• Expert Tips for Selling a Home in Winter
• Why Did My Neighbour’s House Sell but Mine Didn’t?

Selling a House With a Stigma

A house could be beautiful, in perfect condition and priced to sell quickly and still sit on the market for weeks or even months on end. What went wrong? For some reason, there’s something about your house that makes buyers hesitate.

• Maybe it’s supposedly haunted.
• Perhaps a heinous crime once took place on the premises.
• There may be nothing wrong with the home, but it has sat on the market too long, and now buyers are starting to wonder. (Note: This is why you must have an accurate and compelling price point right out of the gate.)

Whatever the reason, buyers like the house itself, just not the baggage that comes with it. What can you do?

You might be tempted to try to hide the stigma and hope the buyer doesn’t find out. This technique can backfire, however. Honesty is almost always the best policy, especially when it comes to real estate disclosures.

When selling a house with a stigma, extensive marketing is often the answer. Some people will not buy the house no matter what. Others will be less inclined to worry about the stories, especially if the price and presentation are on point. Still others might be intrigued and want to buy the house because of the stigma, not just in spite of it! If we can reach the right audience, your stigmatized house is as good as sold!

Do you want more details on how to deal with stigma in real estate? Check out Can You Successfully Sell a House With a Stigma?

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Are you looking for answers to your unique situation? Our top agents in Hamilton & Burlington can help you overcome nearly any home-selling challenge. Reach out today with any questions you have, or call 905-332-9223 to connect with our office.

Time flies, doesn’t it? That’s what we all say at the start of a new season or when a birthday rolls around. There is another way to measure that fast passing of time. Just look at your house. When you first moved in, everything was sparkling and new.

When selling your home, you suddenly realize that your decor is starting to look a little outdated. It’s like fashion. Have you seen photos of your dad sporting a mullet or your mom wearing shoulder pads in her high school pictures? So cringe!

In the same vein, outdated styles can age the interior of your home and make it feel awkward. An outdated appearance also doesn’t bode well for your home sale. Even if the imperfections are only on the surface, the buyer can’t help but wonder what else might be wrong.

If you’re walking around and wondering, “should I renovate before selling?” the answer is probably, yes. Fortunately, there are a lot of quick and affordable home upgrades, and you don’t necessarily have to spend a fortune, either. Either a modern or classical look can work, as long as it’s elegant. Today, we’ll talk about how to increase the value of your home in the easiest and least expensive ways possible.

An accurate, unbiased assessment is the foundation of your effective home-selling strategy. Start by booking your complimentary home evaluation with our experts.

Update your Home Lighting

What’s the best way to tell the world that you haven’t updated your home in forever without actually saying you haven’t updated your home? That’s easy. Just point to all the old light fixtures that instantly age your house back to the early 1980s or beyond.

Fortunately, it’s also a relatively easy home renovation. Hint: quirky and unusual can be cool, but only for your own preferences. Not when your home is on the market! So, if there are pineapples or tropical fruit fixtures, burn them, or find someplace where you can bury them in the ground to never see the light of day.

Next, take out those glaring halogens, and add more subtle lighting to change the feel of your room. Keep your eye out for anything you have gotten used to that might raise red flags to a buyer or their agent.

This means getting rid of anything pre-2000s and older.

Oyster lights were popular in the 1980s. Those are those dome-shaped textured glass covers that hugged the ceiling and instantly blinded whoever was unfortunate enough to flip the switch. They are also highly mocked today, most notably with terms that are inappropriate for this post! (If you’re curious, just Google “oyster lights, sarcastically known as…”)

Polished brass also has to go. Immediately. It was everywhere back in the day, but no more bright yellow fixtures for this home. And if the kids’ rooms still feature cloud or UFO-shaped lights, it’s time to say goodbye.

If you want to sell your house (and earn more than the going price in 1984), “subtle” and “elegance” are the words of the day. Think layered lighting that enhances your existing decor instead of clashing with it.

Clean lines and integrated pot lights can really enhance and modernize a room. If your buyer then wants to switch it out for something strange and quirky, that’s on them. Your job is simply to allow them to imagine the possibilities.

Looking for more tips on how to increase home value and dazzle potential buyers? Check out the posts below:

• How to Prepare Your Home for a First-Time Buyer
• Do I Really Have to Update My Home Before Selling It?
• Minor Upgrades, Maximum Results

Consider Your Flooring

Shag or wall-to-wall carpets may be warm and cozy on your bare feet on chilly mornings. Style-wise, they have got to go before putting your house up for sale. Even if they’re not visibly stained and dusty smelling, your buyer will likely be thinking about all the dirt and bacteria lingering between the fibres. If you absolutely must have carpet in your house, at least consider having a professional service clean it.

Sheet vinyl or corked floors can send a buyer’s mind spiralling back to the 1970s or earlier. That is the last thing you want when trying to earn top dollar from your sale! Even ceramic tile can backfire. If there’s too much of it, your buyer will imagine all the hours spent on their hands and knees scrubbing the grout to try to get it clean.

Instead, think wood or other natural materials (just not the orange-tinted kind, please!) Quality wood floors never go out of style, making them a great way to keep your home looking modern. Hardwood especially has a classy, upscale look that people just love.

With this said, not all hardwood is equal. We’re not suggesting you automatically rip up all your carpet should there be hardwood underneath. First, check its condition. If your hardwood is battered like a western saloon’s dance floor, you can always fix it up by staining it or sanding out any scratches. You also have the option of replacing any hardwood pieces that are far beyond repair.

Before selling your home, first get to know how the process works. The posts below will help:

• 8 Important Things to Remember When Selling Your Home
• How to Sell Your House Fast
• Why Home Sellers Need to Think More Like Buyers

A Fresh Coat of Paint

You should never underestimate the power of a simple coat of paint when getting your house ready to sell. If your walls are currently covered in chips and holes, this simple update will cover numerous flaws. If the previous owner thought bright yellow, fluorescent green or trowelled texture was a good idea, and you never got around to fixing it, painting is no longer negotiable.

You want to stick with friendly colours that don’t clash. Neutral, light colours can make a room appear bigger. White can also be a good option. It may look boring to you, but what matters is that it does not invoke negative feelings.

Keeping it simple and elegant is one of the best home improvements to make before hitting the market. If the new owner wants to go big and bold after they move in, that’s their choice to make.

Searching for houses for sale in Hamilton or Burlington? Start here by browsing a few of our featured listings.

Adding Timeless Appeal to Your Home

Bringing your home up to date doesn’t mean following the latest fads or emulating a celebrity home you saw on TV. The best ROI renovations are more about giving your space a timeless appeal.

Sometimes, however, you need to upgrade your home, not just to increase its value, but to make it sellable in the first place. A buyer expects a solid foundation and a roof that doesn’t leak. These are the bare minimum, not attributes people are necessarily willing to pay more for.

A pre-listing inspection can help you spot potential problems so they never enter a buyer’s consciousness. That said, here are some systems that might need some attention:

• Installing storm doors
• Replacing old rain gutters
• Insulating the attic
• Inspecting the furnace and/or septic system
• Repairing leaks in plumbing

Keep in mind that home renovations don’t necessarily translate dollar for dollar. For example, a $50,000 renovation or remodel might not have much effect on your Return on Investment (ROI). Other times, a few small tweaks and repairs can add thousands of dollars to your final selling price.

Still curious about what to fix and what not to fix before selling a house? Check out Worth It or Not? What Renovations Really Help When Selling Your Home.

Landscaping

If you really want to know what adds value to a house, look no further than the exterior. Curb appeal refers to how your home appears from the outside to a casual passerby. No matter how nicely we may ask them not to, potential buyers do judge a book by its cover.

That’s why it’s time to trim down those overgrown bushes and seed that patchy grass. Once you’ve handled the basic tasks, you might consider adding a little something special, like colourful and fragrant floral arrangements or attractive outdoor lighting.

A professional landscaper can help you explore ways to spice up the exterior of your home with walkways, flower gardens, mulch areas, hedges and water features.

Selling a home isn’t always easy. With the resources below, you’ll be up for any challenge the market throws at you:

• Selling a House with Pets
• Can You Sell a House Under Tenants in Common?
• Selling A House To A Family Member In Canada

Rethink Your Decor

Decorating your house for a buyer isn’t about adding designer pieces or other costly items. Usually, it’s about taking stuff out of the home and creating the appearance of spaciousness and flow. A clean, clutter-free home is often all it takes to capture a buyer’s interest.

• Consider getting rid of bulky furniture, old pillows and throws.
• Dusty knick-knacks on the shelf can go, as well as anything you haven’t used in the last ten years or even unpacked from your last move.
• Toss out all extra remotes for the TV. Does anyone still use that CD or DVD player? If not, out it goes, along with all the discs that still have the wrapper on them.
• Throw out worn and damaged clothing and donate everything else you no longer wear.
• Donate your unused exercise equipment (Surely you have a family member or friend who will also be happy to neglect it or use it for storage.)
• Put away highly personal items like children’s drawings and family photos.

Another consideration is to take down any ugly curtains or window coverings. Opening up window space can let a lot of natural light in, making your home seem less like a crypt and more like a place someone would be happy to call their castle.

Do you want up-to-date, personal guidance on the best renovations to do before selling your house? Our top agents in Hamilton & Burlington can help you get the results you need. Reach out today with any questions you have, or call 905-332-9223 to connect with our office.

Buying a home is an exciting time, as it’s often the biggest purchase of your life. This is true whether you’re taking your first step onto the property ladder or moving on up in the world by selling your existing home first.

Although this time is filled with anticipation and joy, it can also come with stress and worry. The task of figuring out the financial details of a getting s mortgage isn’t the most fun part, but it is the foundation of your purchase.

Woolcott Real Estate is committed to making your transition as simple and as streamlined as it can possibly be. That’s why we’ve dedicated an entire post to answering your finance-related questions, beginning with how to get a mortgage. (Disclaimer: This is for information purposes only – we recommend speaking with a mortgage professional about your individual situation.)

Searching for houses for sale in Hamilton or Burlington? Start here by browsing a few of our featured listings.

Your Mortgage Education Begins Here

The best way to get approved for a mortgage in Ontario is to first immerse yourself into the world of financing. You’re about to learn a whole new “language” of fixed-rate mortgages versus variable rates, closed versus open mortgages and more.

One of your first steps is to visit your mortgage broker or lender to explore your options. Various terms may be available, and rates can differ between banks and brokers. Also, be sure to consider your future scenarios. What happens if you get a raise at work or a large tax return one year? Does that mean you can increase your payments and pay your mortgage off faster?

A closed mortgage may have penalties. An open mortgage will be more flexible. Make sure that the agreement you make with your banker or broker is right for your individual situation, not just at this moment, but for the future.

Are you buying a new house before selling your existing home? Bridge financing might be the answer to short-term affordability. Learn more in What Is Bridge Financing and Do I Need It When Selling My House?

How Hard Is It to Get a Mortgage in Canada?

Applying for a mortgage is one thing. The ability to actually get approved for a mortgage in Ontario depends on a variety of factors. Your income, assets and level of debt all play a role.

Your history of paying off your existing bills and loans on a timely basis is perhaps most important of all. All of this leads to the next pressing question:

Can You Get Approved for a Mortgage With Debt?

As little debt as possible is undeniably better when applying for a mortgage. However, keep in mind that getting approved is more about your ability and track record in making your payments on time.

All is not necessarily lost even if your credit history is spotty. In the long term, you can work on repairing your credit and restoring your name. In the meantime, some B Lenders actually specialize in helping clients with bruised credit secure a mortgage. There is a catch, however; many of these terms come with higher interest rates to offset the lender’s risk.

Is your existing term is up for renewal? Be sure to read What Happens When Your Mortgage Is Up for Renewal?

What Do You Need to Get a Mortgage?

“What should my credit rating be” and “how big of a mortgage can I afford” are among the most common questions. Once again, it all depends on your credit history and your lender.

Even with stellar credit, traditional lenders will follow a strict approval process. There will be a stress test to cushion existing interest rates to ensure you will still be able to cover your payments in the event of a rate hike.

Many A Lenders (such as banks and credit unions) prefer to see a credit score of 680 or higher. Your rating doesn’t just affect your ability to get approved in the first place. Stellar credit can also help you secure lower interest rates since you are considered low-risk to the lender.

Curious as to how much you should budget for your new home? Our mortgage calculator can help you decide.

Does Applying for a Mortgage Affect Your Credit Score?

Many clients worry about lowering their credit score just by shopping around for a mortgage. Theoretically, rate hunting can have an impact. Keep in mind that there are two types of inquiries:

• A hard credit check: when a lender formally requests your credit report. Too many hard credit checks can impact your score.
• A soft inquiry: a background check on your history that has no impact on your score.

Even the effect of a hard inquiry is generally minimal and temporary when it comes to mortgage shopping, so it shouldn’t stop you from searching for the best terms. In Canada, multiple hard inquiries can show as one event on your credit score. If in doubt, a mortgage broker can submit dozens of inquiries all at once, helping you obtain the best rate without multiple hits to your rating.

Should You Get Pre-Approved?

When to apply for a mortgage is the next big question, and the answer can be surprising. We recommend getting pre-approved for a mortgage before you even begin searching for houses.

It doesn’t just get the hard (and boring) part out of the way. There are a lot of benefits to having a pre-approval ahead of time. It can even give you more negotiating power and ultimately save you money on your purchase. This subject is worth a deep dive all on its own!

The Benefits of a Mortgage Pre-Approval

Budgeting for your purchase can be complex, and getting a mortgage pre-approval helps to simplify the entire process. To start with, how much will you need for your purchase?

Add up how much you have for your down payment and deposit. Keep in mind that you may also need to do some updates to make your new house really feel like home. Plus, there are closing costs to be aware of. A pre-approval factors all of this in, along with how much you will be able to comfortably afford with your monthly payments.

• You will know what houses are in your price range. This saves you the heartache of falling in love with a property way out of your budget.
• Your real estate agent can zero in on listings that you can realistically afford. This saves time for everyone!
• It will give you better negotiating power – if you find a home that you love, you’ll be able to put in an offer right away rather than waiting for your financing to come through. Dropping the condition of financing also makes your offer more appealing to the seller.
• It secures the best interest rate from your pre-approval date until you make your purchase. You are protected against any increases. If the Bank of Canada announces a decrease, you get the lower rate.
  

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Home sellers should also be up to speed on how mortgages work! Learn more in the posts below:

• How Mortgage Stress Tests Affect Home Sellers
• Should You Provide a Vendor Take Back Mortgage?
• When Do I Get the Money After Selling My House?

How to Get Pre-Approved for a Mortgage

You can start online by filling out some forms. Ideally, you’ll want to talk to your mortgage broker or lender in person, or at least over the phone. You will have questions, and a lot of them. This is not the time to go it alone!

Some people choose a bank that they are comfortable with, while others go to a broker or get a referral from their real estate agent. There are advantages to each, so you must decide what is right for you. Whatever you choose, there are some basic guidelines to ensure the best results.

• Always be honest with the organization where you are applying for pre-approval. This will ensure no surprises about your final approval status.
• Get all of your documentation together to prove your earnings and your assets, such as government identification, T4 slips and bank statements.
• Once you get your pre-approval, don’t make any large purchases on credit or any unnecessary life changes until after your closing day. A pre-approval is still considered just an estimate. If your financial or employment status changes, the lender might lower your approval amount.
• As always, it never hurts to shop around a bit. There are different types of mortgages and interest rates may vary between lenders. Take the time to get educated about the type of mortgage that you want.

When you’ve successfully arranged for financing, it’s on to the fun part, searching for a house! The posts below will help set you up for a successful purchase:

• Our Ultimate Handbook for First-Time Buyers
• Buying a House in Ontario Is a Team Effort
• Hidden Costs of Buying a Home You Need to Know Now

How Long Does My Pre-Approval Last?

So you’ve been pre-approved and were able to secure a really great rate. Congratulations!

Now you’re probably wondering how long you have to find your dream home.

Most pre-approvals are good for 90 to 120 days before you have to re-apply. If you find a home within that time, you’ll get either the lender’s current interest rates or the rate you were quoted – whichever is lower. Remember, if the rates go up while you are shopping, you’ll get the rate on your pre-approval – if the rates go down, you’ll get the lower interest rate.

So are you ready to start house hunting? Then start by mortgage hunting!

Are you looking for more home-buying or mortgage tips? Our top agents in Hamilton & Burlington are here to guide you through it all. Reach out today with any questions you have, or call 905-332-9223 to connect with our office.