Are you searching for rural property? If you’d like vacant land to built on, or just want to get away from the hustle and bustle of the city, there’s lots to think about. Restrictions can come into play from the township, the environmental authorities, and the mortgage lenders, and these may affect your ability to do what you want with the property.

                  👉🏻 Download 5 Things You Need to Know About Rural Living

This is where I come into play. Since I have experience buying and selling rural properties, I understand some of the questions you need to ask, before you purchase. Here are some examples you may not have thought about:

Zoning or Designation

This could play major role in how you can use the property. Did you know that land, not just the buildings, can be designated “Heritage”?  Depending on the zoning, there could be restrictions, such as where you can build, renovate, fence, install lane-ways, ponds, or place outbuildings, or whether you can raise livestock.

Location of Building Site

Where, on the land, do you want to build?  How much will it cost to get hydro to your new home. Will the township even allow you to build? You may have plans for the property, however, you’ll need to see what the township will allow, before you go ahead.

Previous Land Use

Have you thought about how the land was used in the past?  Is there a lease that runs with the land, which could place restrictions on your use?  Check into mining rights, gravel pits, water rights, timber contracts or farm crops. These are just a few, but there are many to think about.

Water

Abundance or lack of water is a major concern for rural properties.  If there is a river or stream on your property, how does that affect your use?  There are minimum setback and elevations from waterways to buildings and laneways.  Also, think of flood plains or seasonal water tables.  The Conservation Authority can often dictate what you can do. In other words, applications and engineered reports can take time and be quite costly.

Energy Sources

Another thing to keep in mind when buying a property is the presence of windmills or solar farms in the area. What about future power lines?  How close can your neighbour build a home or barn? These issues may affect the enjoyment of your property and can impact resale value. Unfortunately, you can’t control what others do around you, but you can make sure you do your homework.

Need More Information about Rural Property?

These are just a few things to keep in mind when you are considering purchasing a rural home. I would be pleased to help with this very important decision.  If you take the time to consider potential issues first, it can be a very exciting time.

There are some fantastic rural homes and properties on the market today and I would like to help you find just the right one for you and your family.  I work in the Beautiful areas of Creemore, Stayner, Collingwood, Wasaga Beach, Blue Mountain, and Grey Highlands; recreational paradise.

Call me today, if you have had any experiences good or bad with rural properties. I would be very interested to hear from you, and appreciate any comments.

And don’t forget to download 5 Things You Need to Know About Rural Living.

Thank you very much and I hope all your Real Estate goals come true!!

Today I had a distress call from one of my property management client's tenants.

My client owns a home and rents out the apartments. The owners do not live in the area, so I’m here to help whenever they need me. The home has an apartment in the basement and the rest of the house is rented out separately. The basement tenant called me at 9 am today, to say the carbon monoxide alarm woke her up and was going off in the house. Needless to say, I told her I would be right over.

When I got there, the door to the garage was open and the house was all closed up, so I went to find the tenant in the basement. She said the alarm had been going off for about 30 minutes. I knew, right away, that it wasn’t coming from the basement.

Is Everyone Okay?

The main floor tenant wasn’t home, but instinct told me this was an emergency, so I entered the home and the smell just about knocked me over. The air was definitely not right, even though you can't usually smell carbon monoxide in your home. All the lights were on and the furnace was off, but the house was really hot. A little dog was very busy barking at me and the cat just looks at me. Good thing. This meant they were still alive.

First, I checked the whole house to make sure no one was sleeping or unconscious. Since carbon monoxide, doesn't have an odour itself, people can become ill without knowing it's there. Thankfully, no one was home. I checked the furnace and the hot water heater. I didn’t touch anything, even a light switch, in case there was a gas leak which could lead to an explosion.

Don’t Touch Anything if There is a Possible Gas Leak!

When C02 detectors in your home, go off, don’t touch anything, since it could be signaling a gas leak. Turning on even a light switch, could ignite an explosion.

I did turn off the detector, which came back on a few minutes later. There was no smoke, so we called Enbridge, right away. They arrived about an hour later. The technician opened the door, took a reading, and emphatically told us to STAY OUT OF THE HOUSE! We left the doors open to air things out.

To make a long story a little shorter, after about two hours of airing out the house and taking more readings, the level finally went down to zero, were it was safe to go back in the home. It is a wonder that the little dog and cat weren’t affected. The Enbridge technician said the levels were high enough to kill a human. I was so glad the tenant called me when she did!

The Legal Apartment Was Super Helpful

It is a good thing that the tenant in the other apartment called me. We likely saved the animals lives. In this case, she wasn’t in danger because the apartment was a legal conforming apartment, according to today’s building code. It was completely sealed up apart from the rest of the house.

After all inspections by the gas technician and my heating contractor they found nothing wrong with the gas lines, furnace, or gas water heater in the house, which was puzzling. However, after speaking with the main floor tenant, I learned that a car had been running in the attached garage. As soon as they opened the door into the house, the wind sucked the CO right into the house, like a vacuum and set off the alarms. It filled the entire house including all the duct work.

The Moral of This Story is Two Fold

1. NEVER run your car in your attached garage. According to Enbridge Gas, this is a common cause of dangerous levels of carbon monoxide in your home.
2. ALWAYS make sure your smoke and CO2 alarms are working. Check them at least every six months or more often, is better. One way to remember is to check them when the clocks go forward and back.

Make Sure Your Home Has Enough Fire and C02 Alarms

It’s imperative that you have smoke alarms and carbon monoxide detectors in your home. I have one on every floor of my home, plus one in front of all the bedrooms. I also have two fire extinguishers, for different types of fires.

Praise God that the basement tenant called me today. Good thinking.

Do You Need Property Management Services?

I help landlords by finding and screening tenants, collecting rent, arranging property maintenance, checking in on the property, and more. If you've got rental properties, and don't live nearby, or just plain don't want the hassle, call me to find out how I can help you.

In the fall, a little home maintenance is essential, to keep your home healthy through the winter. When you own a home, it’s an investment. Of course, we all want to protect our investment, so a little upkeep, in every season, is a great idea. It’s well worth the time and can save you $1000’s in the long run.

Just like a vehicle, if we take care of repairs right away, it will last us longer, and will be worth more when it’s time to sell.

Fall Home Maintenance Tasks to Remember

Here are a few things to think about, when it comes to protecting what you’ve worked so far for. If you do these tasks, before the snow flies, your home will thank you. Here's a checklist, in case you're not sure where to begin:

• Check that your plumbing vent stacks are higher than potential snow depth on your roof. They must be able to breathe, even when the roof is covered in snow.

• Get on your roof (or hire someone) to check for potential leaks, or ice damming.

• While you're up there, replace any worn or damaged shingles to prevent leaks

• Clean out your eaves troughs to make sure water doesn't back up under your shingles and into your home, or cause other costly damage.

• Maintain a humidity level around 50%. It will help you to avoid mold growth and prevent dry skin and nose bleeds.

• Check for heat loss around windows and doors, attic hatches, and light fixtures. (Ask me how. It’s simple and it’ll save you $!)

• Look for heat loss around outlets, on exterior walls as well as interior walls.

• Remove window air conditioners, for the winter. They can cause quite a bit of heat loss.

• Replace deteriorated caulking. Remove and re-caulk to keep out cold air, moisture, and bugs.

• Inspect for bugs and rodents. Pests look for warm places for the winter, and they can cause a lot of damage.

• Turn off outside taps and drain. Wrap all water pipes to keep your water temperature stable.

• Look for moisture gathering and/or mold in your bathroom. Consider adding an exhaust fan, if you haven’t done so yet.

• If you have older windows, consider shrink wrap or heavy curtains to keep the heat in, and the cold out. Be sure to open in the daytime to avoid condensation.

• Look for condensation on windows and walls. If you don’t fix the issue, it might frost up on cold nights.

• Stake out items that may get buried in snow, to avoid catching them with the snow blower.

• Cut the grass one more time. It’s easier to rake off leaves and gravel in the spring!

• This one is super important. Bee sure that your CO2 and smoke detectors are working well.

This isn’t an exhaustive list of fall home maintenance tasks, but it’ll get you started for sure.

Are Spring and Summer the Best Times to Sell Real Estate?

The market is definitely busier during those months, but here's why I think winter is a great time to sell your home.

If you're considering it, check out my Guide to Selling your Home in the Winter. If you have any questions, give me a shout!

Have you considered any ways to reduce your home's energy use?  Have you ever looked at the cost associated with energy-related products and services?  Do you even care?

Well, as a realtor, an investor, a builder and a home-owner, I think reducing your home's energy use is important, but there are many factors to consider.  When I decide whether or not to invest, I consider the project’s cost and return on investment.

Replace Your Light Bulbs, They Said

A while ago I invested time and aggravation to purchase and install compact fluorescent light bulbs (CFLs) throughout my whole house.  I bought them from Canadian Tire and Home Depot , rather than the dollar store, so the cost was significant.  The brand was highly recommended for energy efficiency and long life span, and they were supposed to outlast regular bulbs by many, many hours.

Unfortunately, that wasn’t the case for me.  Several of them blew within a few months, and boy do they stink when they blow up.  One Sunday, just before we headed out for Church, I noticed a blown CFL in my kitchen light fixture.  I quickly grabbed a chair and jumped up and to replace it.  When I tried to turn the bulb, the thinner glass actually broke in my hands and cut me.  (I still have all my fingers, just a little less blood.)

That's When I Read the Warning Labels

The labels said the bulbs were toxic! Pregnant or nursing mothers and children should be evacuated from the room.  Needless to say, with small children in my home, I have not bought another one since and never will.

Now, how about the cost of these things??  I will never get my money out of them!  Not sure what the big hype was all about, but I figure it’s all a scam.  Next time I go and try and be energy conscious, I will be cautious enough to research and ask around more.

So, CFL light bulbs will not be my favourite way to consume less power, but thankfully, there are other ways.

Try these strategies to reduce energy use in your home:

1. Let natural light into your home during the day, as long as it's not too hot outside.

2. Plug into power bars with power switches. Turn the power off when you are not using them.

3. Choose energy efficient brands when replacing your appliances.

4. Use task lighting and table lamps. Turn lights off when you leave a room.

5. Put timers on your devices so you use them as you need them, rather than leaving them on all the time.

6. Use a programmable thermostat to regulate temperature according to your activities.

7. Try using BBQs, crockpots and other devices to help you use your oven less in the summer time.

8. Wash your clothing in cold water, do larger loads to run your machines less often, and hang your laundry to dry.

9. Seal drafty widows and doors to keep your home warm in the winter.

10. Ensure your attic is insulated properly, keeping the heat in, in the winter, and out in the summer.

These are just a few simple ideas to reduce your home's energy use. If you want to go further, you could get a Natural Resources Canada Home Audit done. They'll recommend renovations you can do to greatly improve your energy consumption.

Have you put much thought into reducing energy use in your home?  How have you been able to do it in a cost effective way?  Feel free to comment here.

I just came across this humorous anecdote I clipped from the Creemore Echo in 2003 and it’s sooo relevant in the business of building today.

The earth was wicked and overpopulated.  The Lord instructed Noah to rebuild the Ark and save two of every living thing, along with a few good humans. 

“Here’s the blueprint,” said the Lord.  “You will need to hurry, for in six months I will start the unending rain for 40 days and 40 nights.”  Right on schedule six months later the rains started coming down. 

But when the Lord checked in with Noah, he was weeping in his flooded yard, and there was no Ark.  “Noah,” He roared; “Where’s the Ark?”

Forgive me, Lord,” begged Noah.  “Things have changed.  I needed a building permit.  I’ve been arguing with the inspector about the need for a sprinkler system.  My neighbours claim that I have violated the zoning laws by building the Ark in my yard and exceeding the height limit.  We had to go to the Development Appeal Board for a decision. 

Then Transport Canada and the Department of Highways and Hydro wanted a bond posted for the future costs of moving power, trolley, and other overhead obstructions, to clear the passage for the Ark’s move to the sea.  I argued the sea would be coming to us, but they would hear nothing of this! 

Getting wood was another problem.  There’s a ban on cutting local trees in order to save the potted owl.  I tried to convince the environmentalists that I needed the wood to save the owls, but no go!”

“I started gathering the animals, but then an animal rights group sued me.  They insisted that I was confining wild animals against their will.  As well, they argued the space was too restrictive and it was cruel and inhumane to put so many animals in so confined an area.”

“Environment Canada decided that I could not build the Ark without filing an environmental impact statement on your proposed flood. 

I’m still trying to resolve a complaint with the Human Rights Commission on how many minorities I’m supposed to hire for my building crew. Meanwhile, the trade unions want me to hire only union people with ark building experience. 

To make matters worse, Canada Customs and Revenue Agency seized all of my assets, claiming I’m trying to leave the country illegally as well as with endangered species.

So, forgive me, Lord, but it would take at least ten years to finish this Ark.”  Suddenly, the skies cleared, and the sun began to shine.  A rainbow stretched across the sky! 

Noah looked up in wonder.  “You mean you’re not going to destroy the world, Lord?” he asked.

“No,” said the Lord.  “Your government already has!”

Editor's note:  This modern fable was recently shared with the Big Heart Seniors and sent on to the Echo by Edith and Bob Veale.

Author unknown. 

When people buy a home they intend to live in for the rest of their lives, they don't always consider if that home will suit them as they age. In fact, many people plan remodeling projects that won't help them at all when they get older, such as putting in a hot tub. Maybe that's something they can finally afford and have always wanted, but they don't take into consideration how useful - or not - something like that will be as they age.

Here are a few things you should think about in creating an age friendly home. Keep in mind that everyone ages differently, and you may not know exactly what types of accommodations you'll need, but by planning ahead, you'll have some idea of what you may need.

Accessibility Considerations

Stairs

The ideal home for seniors should include a no-step layout, including no steps up to at least one entrance of your house. If you have steps at every door of your home, be aware that you may need to add a ramp at some point in the future. This holds true even if you or your spouse isn't in a wheelchair; the fact is that negotiating steps becomes difficult for nearly everyone as they age.

Doorways, both within the house as well as entrance doors, should be at least 32 inches wide to accommodate a wheelchair or walker, and doors should have lever handles instead of knobs for arthritic hands.

Bathrooms

Your home should ideally have a full-sized bath and master bedroom on the first floor, as stairs may become difficult to navigate. Bathrooms should include toilets and counter tops that are at a comfortable height for seniors. Showers are ideal for seniors, since most falls occur getting in and out of the tub. You can get shower chairs with wide seats.

If you already have a tub and choose not to remodel, add several grab bars and a bath bench to put across the tub so you don't have to stand up to reach necessary items. You should also add a grip mat in the bottom of the tub and a hand-held showerhead so you can avoid standing as much as possible. If you have room for it, you might also want to consider placing a sturdy chair near the tub to aid in mobility and dressing.

Bedrooms

Bedrooms, particularly the first floor master bedroom, should have large closets with accessible storage and a bed that is low enough for seniors to easily climb into. Since older people need three times as much light as younger people do, you'll also want adequate lighting, not just in the bedroom, but also throughout the entire house.

A good reading light will help, and you may want to consider a nightlight to make middle of the night trips to the bathroom safer. If the bedroom is connected to the bathroom, a sturdy chair near the bathroom door will be good if you need a little help getting to the bathroom.

Kitchen

Adequate lighting is particularly important in the kitchen because there are so many ways to get hurt in that room. You can add under-cabinet and can lights if you don't have enough florescent lighting. You'll also want to make sure cabinets are easily accessible, and add roll out shelves and more shallow shelves if necessary. Stoves should have large dials for easy viewing, and ovens should have pull out racks. Other senior kitchen necessities include a stool for resting, a lever style faucet on the sink, a garbage disposal and trash compactor, and a u-shaped galley kitchen layout so food does not have to be carried.

Other changes that will help you age in your home

• Low pile carpet for easy mobility

• Low shine floors that minimize glare

• Pressure mats instead of motion detectors that interfere with hearing aids

• Buzzers instead of high frequency alarms and doorbells

• Adequate heating system so space heaters aren't needed

• Touch lamps instead of ones with knobs

• Out of the way extension cords 

• No throw rugs (tripping hazards)

• Furniture with firm, high seats

• Chairs with arms and without coasters so they don't slide

• Light colored floors and bright walls, with a contrast between the two

Outside of the home, patios are better for seniors than decks, because decks require more maintenance and tend to be slick when wet. There may come a time where maintaining an elaborately landscaped yard is too much for you. As you get older, you may want to consider either simplifying your yard so you have less to do in it, or hiring someone to take over yard care duties. Following these tips can make aging in your home much easier.

Simcoe County and the Southern Georgian Bay region offer an abundance of opportunities for rural real estate investment.

Collingwood, Stayner, and Wasaga Beach real estate markets are thriving.

With picturesque landscapes, growing communities, and proximity to urban centers, this region attracts investors seeking both financial returns and a high quality of life.

However, investing in rural real estate requires careful consideration and strategic planning. In this guide, we’ll explore valuable tips for investing in rural properties in Southern Ontario, with a focus on Simcoe County and the Southern Georgian Bay region.

1. Research the Local Market: Before diving into any investment, it’s essential to research the local real estate market thoroughly. In Simcoe County and the Southern Georgian Bay region, factors such as proximity to amenities, waterfront access, and development regulations can significantly impact property values. Take the time to understand current market trends, property appreciation rates, and upcoming developments in the area.

2. Consult with Local Experts: Partnering with local real estate agents, property managers, and legal advisors who have expertise in the Southern Ontario market can provide invaluable insights. They can help you navigate zoning regulations, development permits, and any specific considerations related to the Niagara Escarpment Commission (NEC) and the Nottawasaga Valley Conservation Authority (NVCA) development permits in the area.

3. Understand Zoning Regulations and Development Permits: The NEC and NVCA play crucial roles in regulating development in parts of Simcoe County and the Southern Georgian Bay region. Investors should familiarize themselves with NEC and NVCA policies and obtain the necessary permits before undertaking any development projects or property improvements.

4. Identify Growth Opportunities: Look for rural properties in areas poised for growth and development. Simcoe County and the Southern Georgian Bay region are experiencing increasing demand from urban residents seeking a change in lifestyle. Properties located near recreational amenities, tourist attractions, or undergoing infrastructure improvements may offer excellent investment potential.

5. Consider Diverse Property Types: Rural real estate encompasses a wide range of property types, including farmland, waterfront cottages, equestrian estates, and recreational properties. Diversifying your investment portfolio with a mix of property types can help mitigate risk and capitalize on different market trends.

6. Evaluate Rental Potential: If you’re considering purchasing rural property as an investment or vacation rental, assess its rental potential carefully. Properties with waterfront access, scenic views, or proximity to tourist destinations may attract higher rental income. Additionally, consider factors such as property management logistics, maintenance costs, and seasonal demand fluctuations.

7. Factor in Environmental Considerations: Rural properties in Simcoe County and the Southern Georgian Bay region often boast pristine natural surroundings. However, investors must consider environmental factors such as conservation restrictions, wetland protections, and shoreline erosion. Conduct thorough due diligence and engage environmental experts to assess any potential risks or limitations associated with the property.

8. Plan for Infrastructure Needs: Rural properties may require additional infrastructure investments, such as well drilling, septic system installation, or road maintenance. Factor these costs into your budget and consider the long-term sustainability of the property’s infrastructure.

9. Stay Informed about Government Policies: Keep abreast of government policies and initiatives that may impact rural real estate investment in Southern Ontario. Changes in land use planning regulations, tax incentives for agricultural properties, or funding for rural infrastructure projects can affect property appraisal values and investment opportunities.

10. Take a Long-Term Perspective: Investing in rural real estate in Simcoe County and the Southern Georgian Bay region offers the opportunity for long-term appreciation and lifestyle benefits. While short-term market fluctuations may occur, focusing on the intrinsic value of the property and its potential for future growth can guide your investment decisions.

Investing in rural real estate in Central Ontario, particularly in Simcoe County and the Southern Georgian Bay region, can be a rewarding venture for savvy investors. By conducting thorough research, understanding local regulations, and leveraging the expertise of local professionals, investors can capitalize on the region’s natural beauty and economic potential. Whether you’re seeking a peaceful retreat, a recreational property, or a diversified investment portfolio, Southern Ontario’s rural real estate market offers ample opportunities for growth and prosperity.

Moving from the bustling cityscape of the Greater Toronto area to the serene countryside of the Georgian Triangle Area is an exciting transition. The Wasaga Beach, Collingwood, and Stayner areas offer a wide range of rural real estate from charming fixer-uppers to high-end luxury estates. No matter what your home-buying budget, there are some things you need to know about purchasing a rural property.

One of the big differences between town and rural properties is the move from municipal water and sewer to wells and septic systems. These vital components ensure access to clean water and efficient waste management when you live in the country. As a real estate broker specializing in this region, I’m here to guide you through everything you need to know about wells and septic systems to make your transition smooth and worry-free.

Understanding Wells  

In rural areas like the Georgian Triangle, wells are the primary source of water for households. Here’s what you need to know about them:

Water Testing: Regular testing of well water is crucial to ensure its safety for consumption. Test your water whenever there’s a change in taste, odor, or appearance. It’s recommended to test well water at least once a year for contaminants such as bacteria, nitrates, and other pollutants. If you miss them, they can make you very sick. 

Well Maintenance: Wells require periodic maintenance to ensure optimal performance. Schedule annual inspections by a licensed well contractor to check for signs of wear and tear, test the water flow rate, and assess the condition of well components such as pumps and pipes.

Dealing with Dry Wells: You may need to be a bit more careful about your usage if you’re on a well rather than town water. In rare cases, wells may run dry, especially during periods of drought or excessive water usage. If your well runs dry, consult a professional well driller to assess the situation. Solutions may include deepening the well, hydrofracturing, or exploring alternative water sources.

Power Outage Preparedness: Unlike municipal water systems, wells rely on electricity to pump water into the home. During power outages, you may lose access to water. Consider installing a backup generator or storing emergency water supplies to mitigate the impact of power disruptions.

Navigating Septic Systems

Rural real estate is usually situated outside of municipal boundaries so these properties rely on septic systems for waste disposal. Here’s what you need to know about septic systems:

Pumping Frequency: Septic tanks require regular pumping to remove accumulated solids and prevent system failure. The pumping frequency depends on factors such as household size, usage, and tank capacity. As a general guideline, septic tanks should be pumped every 3 to 5 years.

Proper Usage: To maintain the health and longevity of your septic system, practice responsible water usage and waste disposal habits. Avoid flushing non-biodegradable items, grease, chemicals, and excessive amounts of household cleaners down the drain. Additionally, distribute laundry loads evenly throughout the week to prevent overloading the system.

Inspections and Maintenance: Schedule periodic inspections of your septic system by a qualified professional. During inspections, the technician will assess the condition of the tank, drain field, and components, identifying any potential issues early on. Addressing minor problems promptly can prevent costly repairs or system failures down the line.

Emergency Preparedness: In the event of septic system malfunctions or backups, it’s essential to know how to respond effectively. Familiarize yourself with the location of your septic tank and drain field, and keep contact information for local septic service providers handy. Implement preventive measures such as installing effluent filters and maintaining vegetation-free zones around the drain field to minimize the risk of system failures.

Challenges and Solutions

Rural real estate purchases come with unique challenges, but with proper knowledge and preparation, you can overcome them:

Seasonal Variations: Be prepared for seasonal fluctuations in water availability and quality, particularly during periods of heavy rainfall or snowmelt. Install proper drainage systems and consider implementing rainwater harvesting techniques to mitigate the impact of seasonal changes.

Environmental Considerations: Protect the integrity of your well and septic system by practicing environmentally friendly habits. Avoid using pesticides, herbicides, and fertilizers near wellheads or septic components, as these chemicals can leach into groundwater and contaminate water sources.

Community Resources: Take advantage of local resources and support networks within the rural community. Attend workshops or informational sessions on well and septic system maintenance offered by local organizations or government agencies. Engage with neighbors and fellow residents to exchange tips, experiences, and recommendations for managing rural properties effectively.

Understanding the intricacies of wells and septic systems is essential for a smooth transition when you purchase rural real estate in the Georgian Triangle Area. By staying informed, proactive, and prepared, you can enjoy the benefits of rural living while ensuring the reliability and sustainability of your water supply and waste management systems. If you have any questions or need assistance with real estate in this area, don’t hesitate to reach out. 

Welcome to your new countryside home!

When you’re coming from Toronto, or really, anywhere else in Southern Ontario, the obvious attractions include Blue Mountain Resort and the surrounding private ski clubs: Toronto, Craigleith, Alpine, Georgian Peaks, Osler’s Bluff, Devil’s Glen, Mansfield, and Beaver Valley. So, of course, most people think of the area as excellent for skiing.

Blue Mountain IS the largest hill in Ontario. The skiing is fabulous, and the mountain village boasts over 40 shops. What people don’t always know is the area is really a 4-season paradise! Choose from so many activities, including:

• Skiing & snowboarding

• Fat biking

• Tubing

• Snowshoeing

• Ridgerunner Mountain Coaster

• Golfing

• Hiking

• Hi/Lo Ropes

• Scenic Caves

• Aquatics

• And so much more . . .

In addition to activities and shopping, Blue Mountain resort has over 1000 different accommodations . . .

But what if you didn’t need to stay there to enjoy all Blue Mountain has to offer?

What if you could live in the Georgian Bay area full-time?

When you move to Collingwood, you can take advantage of Collingwood, Wasaga Beach, and the surrounding areas all year long. We’ve got:

• Wasaga Beach, the world’s longest freshwater beach in the world

• The best hiking in Ontario on the world-renowned Bruce Trail

• A beautiful, protected harbour, perfect for sailing, kayaking, fishing, or watersports

• An abundance of shoreline, lakes, and rivers

• Historic Downtown with unique stores and music piped through the streets.

• Typical box stores like Walmart, Home Depot, Staples, Canadian Tire, and Sport-Check

• An active entertainment lifestyle, in town and up at Blue Mountain, with plenty of restaurants, pubs, and outdoor patios.

• Fantastic cycling and walking trails in and around the town of Collingwood

• Quiet, 4-season lifestyle with something for everyone.

Of course, if you’re not quite ready to abandon city life, we’re only 2 hours from downtown Toronto. That means the area is perfect for a weekend getaway, with no 400-series highways in sight!

Real Estate in the Collingwood Area

As far as real estate in the Collingwood area goes, there is a good, stable market where homes are still less expensive than Toronto, Hamilton, Kitchener-Waterloo, or surrounding areas. It doesn’t matter whether you’re looking for a condo, a subdivision build, a cottage on the bay, a country home, or a vacant lot to build your dream home, you’ll find more value for your money here.

Imagine waking up every morning feeling like you’re still on vacation or viewing spectacular sunsets from your waterfront or beachfront property. Imagine driving for 20 minutes and actually getting somewhere, or having coffee on your porch without the noise and dust of buses and trucks going by.

Can’t quite find what you’re looking for? Thinking of purchasing a property to renovate? I’m well-connected with area builders and trades, so I can help you there too.

If you’ve got questions about buying a home in Collingwood, Wasaga Beach, Stayner, or Creemore, shoot me a message today.

If you’re searching for drama, don’t limit yourself to Netflix. Instead, tune in to the real estate market, where the competition among buyers has never been fiercer. And with homes selling for record highs,1 the appraisal process—historically a standard part of a home purchase—is receiving more attention than ever.

That’s because some sellers are finding out the hard way that a strong offer can fizzle quickly when an appraisal comes in below the sales price. Thus, many sellers favour buyers who can guarantee their full offer price—even if the property appraises for less. For the buyer, that could mean a large down payment or extra cash on hand to cover the gap.

Whether you’re a buyer or a seller, it’s never been more important to understand the appraisal process and how it can be impacted by a quickly appreciating and highly competitive housing market. It’s also crucial to work with a skilled real estate agent who can guide you to a successful closing without overpaying (if you’re a buyer) or overcompensating (if you’re a seller). Find out how appraisals work—and in some cases, don’t work—in today’s unique real estate environment.

APPRAISAL REQUIREMENTS

An appraisal is an objective assessment of a property’s market value performed by an independent licensed appraiser. Mortgage lenders use appraisals to lower their risk of loss in the event a buyer stops paying their loan. It provides assurance that the home’s value meets or exceeds the amount being lent for its purchase.

THE APPRAISAL PROCESS

In certain circumstances, an appraisal can be avoided. For example, when a buyer purchases mortgage insurance because they have a down payment of less than 20%. In that instance, the mortgage insurance would cover the lender’s loss in a case of default. Or, if a buyer makes a large down payment, a lender may waive their right of appraisal.2

Additionally, sometimes a lender will use an automated valuation model (AVM) to estimate a property’s value. According to the Appraisal Institute of Canada, “AVMs are computer programs that provide real estate market analysis and estimates of value.” If the sales price falls comfortably within the AVM’s range of value, a lender may skip the formal appraisal.3

However, in the event a formal appraisal is required, it will need to be conducted by a licensed and authorized appraiser. In most cases, the appraiser will analyze the property’s condition and review the value of comparable properties that have recently sold. Using this information, they will determine the home’s current market value. Mortgage borrowers are usually expected to pay the cost of an appraisal.2

APPRAISALS IN A RAPIDLY SHIFTING MARKET

Problems can arise when the appraisal comes in lower than the sales price. And while low appraisals are not common, they are more likely to happen in a rapidly appreciating market, like the one we’re experiencing now.4 That’s because appraisers use comparable sales (commonly referred to as comps) to determine a property’s value. These could include homes that went under contract weeks or even months ago. With home prices rising so quickly, today’s comps may be lagging behind the market’s current reality. Thus, the appraiser may be basing their assessment on stale data, resulting in a low valuation.5

According to Kevin Lonsdale, Executive Director of the Canadian National Association of Real Estate Appraisers, the best valuations should be based on “data, not emotion. This emotional process where people are outbidding each other creates a disconnect and that then becomes a comparable six months down the road. It’s very difficult to value properties based on what the market wants to pay for them.”6

HOW ARE BUYERS AND SELLERS IMPACTED BY A LOW APPRAISAL?

In a balanced market, a financing condition is a standard inclusion in a home purchase offer. It enables the buyer to make the closing of the transaction dependent on their ability to secure a mortgage. And in many cases, the loan is contingent on a satisfactory appraisal, wherein the value of the property is at or near the purchase price.

But in today’s market, sellers often hold the upper hand because the current demand for homes exceeds the available supply. That’s why many buyers are choosing to exclude the financing condition altogether, as a way to sweeten their offer in a competitive bidding process.5

WHAT IF THE APPRAISAL COMES IN LOW?

However, this approach can leave a buyer vulnerable if the appraisal comes back lower than expected. Without a financing condition, the buyer will be obligated to come up with enough cash to bridge the gap between the contract price and the appraised value—or be forced to walk away from the transaction and potentially lose their deposit.

It may seem, then, that a buyer carries the sole risk of a low appraisal. However, the sellers will have wasted time and money with little to show for it. And they run the risk that the market may have cooled or interest in their home may have waned by the time they relist.

THE APPRAISAL ISN’T THE ONLY FACTOR TO CONSIDER

Sellers should keep this in mind when evaluating offers. The offer price should never be the sole consideration. We weigh a range of factors when advising our clients, including a buyer’s conditions, mortgage qualifications, financial resources, and deposit size, among others.

According to Lonsdale, overheated blind bidding in Canadian real estate means that there is additional pressure on everyone involved in the transaction. With a tight timeline, there’s not always enough time for proper due diligence, putting stress on the transaction and on the buyer and seller involved.6

YOU DESERVE THE BEST REPRESENTATION

There’s never been a market quite like this one before. That’s why you need a professional negotiator on your side who has the skills, instincts, and experience to get the deal done…no matter what surprises may pop up along the way. Whether you’re a buyer or a seller, you’ll be treated with honesty, fairness, and respect while minimizing hassle and stress. Contact me today to schedule a complimentary consultation.

A FINAL NOTE:

In our area, the market is cooling though some properties still remain a hot commodity. Buyers are still looking for rural properties, homes with pools or other other unique features, and lower priced homes in relatively good condition.

Sources:

1. Financial Post –
   https://financialpost.com/real-estate/canadian-home-sales-prices-surge-to-new-record-in-march

2. Mortgages.ca –
   https://mortgages.ca/what-you-should-know-about-home-appraisals

3. Appraisal Institute of Canada –
   https://professional.sauder.ubc.ca/re_creditprogram/course_resources/courses/content/452/AVMPositionPaper.pdf

4. Teranet–National Bank House Price Index™ –
   https://housepriceindex.ca/#maps=c11

5. The Globe and Mail –
   https://www.theglobeandmail.com/business/article-rapid-increase-in-home-prices-puts-buyers-in-bind-when-appraisals-dont/

6. Personal Interview: Kevin Lonsdale, Executive Director, Canadian National Association of Real Estate Appraisers. 4 Jun 2021.

Do you know how to determine your current net worth? Let’s take a look at how an investment in real estate can help improve your bottom line.

Among its many impacts, COVID-19 has had a pronounced effect on the housing market. Low home inventory and high buyer demand have driven home prices to an all-time high.1 This has given an unexpected financial boost to many homeowners during a challenging time. However, for some renters, rising home prices are making dreams of homeownership feel further out of reach.

If you’re a homeowner, it’s important for you to understand how your home’s value contributes to your overall net worth. If you’re a renter, now is the time for you to figure out how homeownership fits into your short-term goals and your long-term financial future. An investment in real estate can help you grow your net worth, build wealth over time, and gain a foothold in the housing market to keep pace with rising prices.

What is net worth?

Net worth is the net balance of your total assets minus your total liabilities. Basically, it is what you own minus what you owe.2

Assets include the cash you have on hand in your chequing and savings accounts, investment account balances, salable items like jewelry or a car, and your home and any other real estate you own. 

Liabilities include your total debt obligations like car loans, credit card debt, your mortgage, and student loans. In addition, liabilities would include any other payment obligations you have, like outstanding bills and taxes.

How do I calculate my net worth?

To calculate your net worth, you’ll want to add up your assets and your liabilities. Then, subtract your total liabilities from your total assets. The balance represents your current net worth.

Total Assets – Total Liabilities = Net Worth

Keep in mind your net worth is a snapshot of your financial position at a single point in time. Your assets and liabilities will fluctuate over both the short term and long term. For example, if you take out a loan to buy a car, you decrease your liability with each payment. The value of your asset (the car) will depreciate over time, as well. An asset invested in stocks or bonds can be even less predictable, as it’s subject to daily fluctuations in the market.

Your home, your investment

As a homeowner, you enjoy significant stability through your monthly real estate investment. While the actual value of your home can fluctuate depending on market conditions, your mortgage payment will decrease your liability each month. Unlike a vehicle purchase, the value of your home is likely to appreciate over time, which can help to grow your net worth. Right now, your asset may be worth significantly more than it was this time last year.3

If you’re a homeowner, contact us for an estimate of your home’s market value so that you can factor it into your net worth calculation. If you’re not a current homeowner, let’s talk about how homes in our area have appreciated over the last several years. That way, you can get an idea of how a home purchase could positively affect your net worth.

How can real estate increase my net worth?

When you put your real estate dollars to work, it’s possible to grow your net worth, generate cash flow, and even fund your retirement. I can help you realize the possibilities and maximize the return on your investment.

Property Appreciation

Generally, property appreciates in one of two ways: either through changes to the overall market or through value-added modifications to the property itself.

1. Rising prices

This type of property appreciation is the one many homeowners are enjoying right now. Buyer demand is at an all-time high due to a combination of record-low interest rates and limited housing inventory.4 At other times, rising home prices have been attributed to different factors. Certain local conditions—like a new commercial development, influx of jobs, or infrastructure project—can encourage rapid growth in a community and a corresponding rise in home values. Historically, home prices have been shown to experience an upward trend punctuated by intermittent booms and corrections.5

2. Strategic home improvements

Well-planned and executed home improvements can also impact a home’s value and increase homeowner equity. The type of home improvement should be appropriate for the home and in tune with the desires of local buyers.

For example, a tasteful exterior remodel that is in keeping with the preferences of local home buyers is likely to add significant value to a home, while remodeling the home to look like the Taj Mahal or a favorite theme park attraction will not. A modern kitchen remodel tends to add value, while a kitchen remodel that is overly expensive or personalized may not provide an adequate return on investment.

Investment Property

You may be used to thinking of investments primarily in terms of stocks and bonds. However, the purchase of a real estate investment property offers the opportunity to increase your net worth both upon purchase and year after year through appreciation. In addition, rental payments can have a positive impact on your monthly income and cash flow. If you currently have significant equity in your home, let’s talk about how you could put that equity to work by funding the purchase of an investment property.

1. Long-term or traditional rental

A long-term rental property is one that is leased for an extended period and typically used as a primary residence by the renter. This type of real estate investment offers you the opportunity to generate consistent cash flow while building equity and appreciation.6

As an owner, you don’t usually have to worry about paying the utility bills or furnishing the property—both of which are typically covered by the tenant. Add to this the fact that traditional tenants translate into less time and effort spent on day-to-day property management, and long-term rentals are an attractive option for many investors.

2. Short-term or vacation rental

Short-term rentals are often referred to as vacation rentals because they are primarily geared towards recreational travelers. And as more people start to feel comfortable travelling again, the short-term rental market is poised to become a more popular option than ever in certain markets. In fact, with travelers continuing to seek out domestic options in lieu of international travel, this may be the perfect time to consider an investment in a short-term rental property.7

Investing in a short-term rental offers many benefits. If you purchase an investment property in a top tourist destination, you can expect steady demand from travelers while taking advantage of any non-rented periods to enjoy the home yourself. You can also adjust your rental price around peak demand to maximize your cash flow while building equity and long-term appreciation. 

To reap these benefits, however, you’ll need to understand the local laws and regulations on short-term rentals. I can help you identify suitable markets with investment potential.

I’M HERE TO HELP

Ready to calculate your personal net worth? Contact me for an easy-to-use worksheet and to find out your home’s current value. If you want to learn more about growing your net worth through real estate, let’s schedule a free consultation to answer your questions and explore your options. Whether you’re hoping to maximize the value of your current home or invest in a new property, together we can help you achieve your real estate goals.

The above references an opinion and is for informational purposes only.  It is not intended to be financial advice. Consult the appropriate professionals for advice regarding your individual needs.

Sources: 

1. Financial Post –
   https://financialpost.com/real-estate/canadian-home-sales-prices-surge-to-new-record-in-march

2. Forbes –
   https://www.forbes.com/advisor/investing/what-is-net-worth/

3. Global Property Guide –
   https://www.globalpropertyguide.com/North-America/Canada/Price-History

4. Canadian Real Estate Association –
   https://creastats.crea.ca/en-CA/

5. Trading Economics –
   https://tradingeconomics.com/canada/housing-index

6. Canadian Apartment –
   https://www.reminetwork.com/articles/hopeful-outlook-for-canadas-rental-market/

7. MoneySense –
   https://www.moneysense.ca/spend/real-estate/is-now-the-time-to-buy-a-vacation-home/