Richmond home sales and listings fell in April, said real estate board

Some realtors pointed out that the slowdown was due to increased rates hikes, but the News found that the home sales dropped way before the interest rate hikes.

Real estate activity in Richmond seems to have dropped again after the Bank of Canada raised interest rates to curb inflation.

Listings and completed sales continued to drop in Richmond in April – as well as across the region – all the while home prices continued going up, according to the latest report from the Real Estate Board of Greater Vancouver (REBGV).

The benchmark price for a single-family in Richmond was about $2.18 million in April – up less than one per cent from March but up by almost 16 per cent from a year ago.

All residential homes – single-family, townhouses and condos - in Richmond were up on average 18.2 per cent from a year ago with the benchmark price at about $1.25 million.

Some realtors told the Richmond News that the slowdown in sales probably started because the Bank of Canada increased interest rates on April 13 in order to curb inflation.

However, the News noted that home sales slowed down even before the interest rate hikes.

For example, the total number of home sales in Richmond was 555 in March, a significant decline compared with March 2021 when 761 home sales were completed.

The REBGV also reports that home sales in the Greater Vancouver region totalled 4,344 this past March, a 23.9 per cent decrease from the 5,708 sales recorded in March 2021.

The Bank of Canada noted the ongoing Russian invasion of Ukraine and supply disruptions caused by the war are the primary drivers prompting the increase in interest rates.

Home listings and sales down

Listings of all different homes types in Richmond dropped from 878 in March to 750 in April.

Furthermore, 20 fewer home sales were completed in April (425 sold) compared to March (455 sold).

And this isn’t an isolated situation.

For example, home sales in North Vancouver also dipped from 343 in March to 275 in April. Burnaby showed the same trend with total home sales decreasing from 525 in March to 388 in April.

The real estate board said residential home sales in the region totalled 3,232 in April, down by about 1,100 sales the month before, and down by almost 1,700 from a year ago.

Listings across the region also decreased by 8.5 per cent in April, with 6,107 homes listed for sale in April. This is more than 23 per cent fewer listings than a year ago.

"So far this spring, we’ve seen home sales ease down from the record-breaking pace of the last year,” said Daniel John, Chair of REBGV.

 “While a small sample size, the return to a more traditional pace of home sales that we’ve experienced over the last two months provides hopeful home buyers more time to make decisions, secure financing and perform other due diligence such as home inspections.”

Are you looking to buy or https://www.michaelcowling.com/sellers/ property? If you’d like, we can have a real estate expert show you the most efficient process that saves you thousands of dollars, a lot of time, with little or no inconvenience to you. Contact us today!

Source:  Richmond News

Fraser Valley approves plan for massive ski resort expansion

 

The long-envisioned plan to provide Sasquatch Mountain Resort (SMR) with a massive expansion has reached a major approval milestone.

The Fraser Valley Regional District has green-lighted the official community plan for the Hemlock Valley, which will guide the five-phased expansion into an all-season destination resort.

It is located on the west side of Harrison Lake, just northwest of Harrison Hot Springs.

Local hospitality firm Berezan Group acquired the resort in 2006 and began planning for the expansion in 2008. The master plan was approved by the provincial government in 2016.

The area will be transformed into “a unique cutting-edge, four-season mountain resort, catering to local, regional and destination guests in a dynamic fashion, offering an easily accessible refuge and escape from the city.” This is expected to be a $2.5 billion investment.

Wintertime activities entail downhill skiing and snowboarding, as well as cross-country skiing, ski touring, and tubing, while summertime activities include hiking, mountain biking, sightseeing, ziplining, golfing, and boating.

Sasquatch Mountain Resort, previously known as Hemlock Resort up until 2017, will exponentially grow its controlled recreation area from 855 acres to 15,746 acres.

“The approved controlled recreation area expansion and the agreement with the Province will see the resort expand out of the existing footprint in all directions into surrounding valleys and to the east down to Harrison Lake foreshore,” reads the master plan.

The skiable terrain would reach over 2,700 acres with 283 runs supported by 23 lifts — up from the current size of 363 acres with 35 runs and four lifts.

This would expand the carrying capacity of the ski facilities from the existing capacity of about 1,150 skiers/boarders per day to 13,400 skiers/boarders per day.

Upon full buildout, Sasquatch Mountain Resort would be in a comparable sphere to Whistler Blackcomb, which has over 8,000 acres of skiable terrain, 200 runs, and a capacity for 18,000 skiers/boarders per day.

Like Whistler Blackcomb, SMR will also have a significantly sized mixed-use village component within multiple and expanded base areas, and on various other sites approved for building development. This even includes a lakeshore village, linked to the rest of the resort by a lift near the lakefront.

The resort master plan at full buildout calls for 280,000 sq ft of restaurant, retail, and commercial service spaces and 19,969 beds, with 40% available to the public for nightly rental, 45% privately held and used, and 15% dedicated for employee housing. This is an increase from the existing 16,200 sq ft of commercial space and 1,072 beds, contained within 262 resort residential units in a single base lodge with limited amenities and facilities.

“As defined in the Master Plan, phased implementation of the expansion plan includes the infill of the existing base area and six new base area developments, designed to be in balance with the recreational capacities recognizing environmental and other limits to growth. Each phase is designed as a finished, well-balanced project to stand on its own and not dependent upon subsequent phases,” reads the master plan.

“Proposed built space features to meet the needs and expectations of the resort’s visitors include restaurants, bars, commercial and retail outlets, rental and repair shops, guest services, ski school, patrol and first aid, day care, lockers, resort administration and employee facilities, and future additional visitor-oriented built space broadened to provide for guests staying for extended visits include a greater variety of restaurants, retail outlets, convention, seminar and retreat facilities, theatre, spas, and recreation facilities.”

Each development phase will require various further approvals and must meet conditions from several government entities. The full buildout of the resort is anticipated to take decades.

New and improved road connections will be developed by the resort and the provincial government.

Berezan Group is working with the Sts’ailes First Nation on partnerships and economic opportunities for its members. Both the developer and the First Nation are working towards a joint venture agreement for the development in the Hemlock North neighbourhood of the master plan.

The area’s earliest ski recreation history dates back to the 1950s, when loggers in the area created the first rudimentary ski tours. Public skiing was established in 1969, when the facilities were opened as Hemlock Valley Recreation — initially consisting of a single rope-tow lift and an old school bus equipped with a wood-burning stove that served as the ski lodge.

Last year, another entity submitted an application to the provincial government’s Mountain Resorts Branch to build Bridal Veil Mountain Resort — a major all-season resort on 11,500 acres of mountain terrain immediately southwest of Chilliwack in the Fraser Valley. The resort would be able to handle about 11,000 skiers/snowboarders at a time.

Bridal Veil Mountain Resort would have a significant residential, accommodations, and commercial hub at its Valley Base Village, near the Trans-Canada Highway. Two arterial gondola lines would link the Valley Base Village to two alpine village areas and year-round recreational activities. The specific details of the project are still being planned, given that the proposal is in an early stage.

Just northeast of Squamish, Aquilini Investment Group and Northland Properties Corporation have been planning the Garibaldi at Squamish all-season resort for years. The Whistler Blackcomb-sized resort would include 1,635 acres of skiable terrain on 131 trails and 21 lifts capable of hosting 15,250 skiers/snowboarders.

In addition to winter and summer recreational activities, Garibaldi at Squamish would see 22,000 beds, including 1,300 hotel rooms, 2,200 condominium homes, 840 townhomes, and about 1,200 single-family homes. Several village clusters are planned, including a 62-acre, pedestrian-oriented main village at an elevation of 1,100 metres — the same elevation as the top of the Grouse Mountain Skyride — with hotels and 250,000 sq ft of retail, restaurants, and amenities.

Are you looking to buy or sell property? If you’d like, we can have a real estate expert show you the most efficient process that saves you thousands of dollars, a lot of time, with little or no inconvenience to you. Contact us today!

Are you looking to buy or sell property? If you’d like, we can have a real estate expert show you the most efficient process that saves you thousands of dollars, a lot of time, with little or no inconvenience to you. Contact us today!

Source:  BIV

The Best 10 Cities to Live in British Columbia

 British Columbia is a beautiful province that is located between the Pacific Ocean and the Rocky Mountains. It is Canada’s westernmost province and has the third highest population after Ontario and Quebec.

The geographical features of B.C. are very diverse, and include sandy beaches, majestic mountain ranges, lush forests, inland deserts, and grassy plains. All of these features combine to make this province one of the most popular destinations to visit in Canada, and the high standard of living, as well as the exceptionally low unemployment rate, make this province a much sought after place to settle down and establish roots.

The list below outlines the best 10 cities to live in this magnificent province.

Vancouver

Population: 2,606,351

Top 3 Neighbourhoods: Central, The West End, Kitsilano

Perhaps the most well known city in British Columbia, Vancouver is the largest in population and is consistently named as one of the best cities in the world in terms of liveability and quality of life.

Not only does Vancouver boast some of the most amazing views of nature, with the Rocky Mountains and the harbourfront that are able to be seen from almost everywhere in the city, it also is known for having a mild climate all year round, with little to no snow in the winter.

However, if you’re someone that loves winter and the snow, there is no need to worry. There are several world class ski resorts that are only 2 to 4 hours away from the heart of downtown, so you can still participate in winter activities, even in the summer!

Kelowna

Population: 131,581

Top 3 Neighbourhoods: Black Mountain, Shannon Lake, North Glenmore

This gorgeous city is located in the Okanagan Valley, which is well-known for having some of the best vineyards in the country that account for over 90% of British Columbia’s wine production, as well being home to the stunning Okanagan Lake.

With the winters being mild in Kelowna, the lake never freezes over, meaning that you will often find people out and about on the lake all year round. Beyond the recreational activities that are in abundance in this city, there is also great healthcare, education, and entertainment available to the residents that live here.

Victoria

Population: 92,141

Top 3 Neighbourhoods: Oak Bay and the Uplands, James Bay, Fairfield and Gonzales

Victoria is the capital of B.C. and is located on the very tip of Vancouver Island. This charming city is the oldest city in western Canada, meaning that it has a ton of historical sites, such as Canada’s oldest Chinatown, and a deep rooted sense of culture and heritage.

Victoria’s number one industry is the technology industry, and with over 900 tech companies situated in the city, it has even been nicknamed “Tectoria”.

Victoria attracts all types of people and has a wide age demographic and a ton of job opportunities, in addition to its warm climate and beautiful sights. So whether you’re looking to retire, or to start a family here, there are amazing opportunities for everyone that decides to live in Victoria.

Surrey

Population: 518,467

Top 3 Neighbourhoods: Guildwood, Fleetwood Tynehead, West Newton

Surrey is the perfect place to live if you have a growing family, as there are so many things to do in the area, as well as being only 23 kilometers from downtown Vancouver.

As it stands, Surrey is the second most populated city in British Columbia, and is constantly growing. Because of this, new developments are always popping up, so there are many places to move to in this city. Housing in Surrey is much more affordable than in Vancouver, but is close enough that many people are opting to move to Surrey and commute to work instead.

Along with being in a prime location, Surrey is also home to beautiful forests, as well as 600 parks and 277 trails to explore. Living in Surrey means there will always be something for you and your family to do, whether it’s going on a family hike or picnic or attending one of their many festivals throughout the year.

Nanaimo

Population: 162,727

Top 3 Neighbourhoods: Lower Lantzville, Central Nanaimo, Uplands

Nanaimo is located on Vancouver Island and their official nickname is “The Harbour City”, coined by Prince Charles and Princess Diana during a visit to the city in 1986.

With a great community of people, tons of outdoor activities to do, and affordable housing, it’s no wonder why so many people are choosing to relocate to Nanaimo every year!

Related Post: The 10 Best Small Towns To Live In BC

Whistler

Population: 11,854

Top 3 Neighbourhoods: Emerald, Whistler North, Whistler South

Whistler is most well known for its famous ski resorts that attract people from all over the world. Despite being known as a tourist town, there are plenty of opportunities to settle down and call this small town home.

Not only is Whistler a place with an abundance of outdoor activities, it is also a place where you will find yourself deeply connected with nature. And even though you’ll be located amongst the mountains, away from the city life, Vancouver is only 2 hours away, so you can still visit anytime to get your fix of the big city action.

Burnaby

Population: 232,755

Top 3 Neighbourhoods: Government Road, Vancouver Heights, Willingdon Heights

Burnaby is British Columbia’s third most populated city, and is only 15 minutes away from downtown Vancouver by SkyTrain.

This city is absolutely beautiful and has a ton of trails, parks, freshwater lakes, and mountains, providing lots of outdoor activity options for those who love to be in nature.

For people who are looking for an education, Simon Fraser University is located in Burnaby itself, while UBC is less than 40 minutes away by SkyTrain.

Richmond

Population: 224,425

Top 3 Neighbourhoods: Central West, McLennan, Hamilton

Richmond is a great city to live in with a richly diverse population and has an abundance of job and education opportunities. It is centrally located and is not far from

Vancouver and Burnaby, as well as being home to the Vancouver International Airport.

On top of being located on a beautiful waterfront, it also has a large number of trails and parks, which makes it easy for residents to go out and enjoy nature.

Ashcroft

Population: 1,558

Top 3 Neighbourhoods: North Ashcroft, Downtown Ashcroft, Ashcroft Mesa

Despite being located along the Thompson River, Ashcroft’s climate is one of the driest in Canada. The summers are long and hot, and the winters are short and never get unbearably cold. In fact, residents will rarely have to bring out their shovel as it hardly ever snows in Ashcroft. This small town has a very laid back mentality and is a great place to raise a family or to retire in.

Coquitlam

Population: 139,284

Top 3 Neighbourhoods: Burke Mountain, Westwood Plateau, North Coquitlam

Located in the heart of Metro Vancouver, Coquitlam is a modestly populated municipality that is home to theme parks, shopping centres, great restaurants, and several parks and trails. In addition to lots of recreational activities, there are some fantastic schools in this city, with many schools offering French immersion. Coquitlam is a unique place that offers an endless amount of things to do, in rain or shine, winter or summer.

No matter which neighbourhood you choose to relocate to, you’ll be sure to be greeted with gorgeous scenery, access to the ocean and the mountains, richly diverse culture and history, and friendly citizens. With all of these factors, plus the high quality of living and ample job opportunities, it’s no wonder British Columbia is consistently rated among the best places in the world to live!

Are you looking to buy or sell property? If you’d like, we can have a real estate expert show you the most efficient process that saves you thousands of dollars, a lot of time, with little or no inconvenience to you. Contact us today!

Source:  Vancouver Sun

Cost-Effective Exterior Renovations that Could Help Sell a Home

 

Investing in the exterior of your home is important. Not only can exterior home renovations like adding a new roof, windows, or doors add immediate benefits and curb appeal, they have the potential to increase the value of your home and give you a greater return on investment (ROI) when you decide to sell.

A 2021 Canadian Real Estate Renovation Trends report from RE/MAX, which used data collected by Leger marketing firm, said more than half of Canadians renovated their home during the pandemic for personal or “non-ROI” purposes. According to the report, 29% chose to renovate for non-essential “lifestyle” reasons, such as recreation-inspired projects, while 16% of Canadians renovated to increase the market value of their home to sell within in the next one to three years.

Similar to interior home renovations, not all exterior renovations are created equal, with some costing  much more up front, while others are relatively more cost-effective. If budget is a concern, read on to learn about some of the most cost-effective exterior home renovations that could help increase your ROI when it comes time to sell.

Why is curb appeal important?

The way your home looks from the outside—or its curb appeal—gives potential home buyers their first impression of the property even before they step inside. This is why exterior renovations that help boost curb appeal are important, as the aesthetic look of a home’s exterior can give the buyer a sense of what they can expect to find once they walk through the front door. In other words, if your home presents itself well, the yard is nicely kept, the paint is vibrant, the siding is aging well, and the roof is in good shape, prospective buyers could be more inclined to look inside if they like what they see on the outside.

What are the current trends in exterior renovations?

If you’ve been thinking about completing an exterior home renovation project this year, My Design Home Studio suggests while “farmhouse vibes are here to stay,” five other exterior design trends will gain popularity in 2022, including “a shift toward natural textures, a stronger connection to the outdoors, and a minimalist approach to architecture.” 

These trends are:

Natural textures: Blonde woods, hand-sawn beams, and aged brick are popular, but you can recreate these looks at a lower cost with wood-like siding or stone-like accents.

Dark exteriors: Pairing lighter siding and brick with moodier blacks and charcoals is becoming a trend, so if you’re looking to sell soon it might be worth the investment now.

Black accents: External features—like door handles, door frames, locks, shutters, etc.—are being swapped out for matte black instead of classic brass or silver. It’s a more modern look without requiring a total overhaul.

All-season outdoor entertaining: Adding a patio or deck to your yard can help increase curb appeal, especially when equipped for year-round usage. Covered areas for places with a lot of snow, or lounge areas with an outdoor fireplace (depending on your municipal bylaws) for places that remain relatively dry during the winter, are great additions to help extend patio season.

Natural light: Large panoramic windows that will flood your home with natural light are definitely a bigger investment than say, a door handle, but they’re a hot commodity as buyers are looking for homes with more natural light.

Top exterior renovations to help your ROI

While trying the latest renovation trends is a great way to ensure your home fits the modern look, there are tried and trusted exterior renovations that are not only cost-effective, but also known to help increase a home’s ROI.

The best cost-effective exterior renovations would be functional over the cosmetic. Taking a good look at what’s necessary to fix will be the most important when it comes to selling your home in the future. Common items may be drainage, grading, deteriorated items or heating/cooling efficiency problems like making sure windows and chimneys are sealed properly.

However, once the functional exterior renovations are complete, cost-effective and cosmetic upgrades to improve your home would be painting and tidying up landscaping. Plus, both of those can be done yourself inexpensively.

Other things to look at would be your roof, garage door, front door (steel and fibreglass are becoming popular materials), and siding. The average cost to install an asphalt roof in Canada is around $4,750 (depending on the scale of the project), while replacing a double-car garage door can cost between $1,300 and $3,500. If you’re trying to stay on budget, you can also revamp your home’s exterior by swapping out old furnishings for newer pieces and adding potted plants and annual flowers for a pop of colour.

The best way to assess what your home needs is by enlisting the help of a REALTOR® who will be able to give you insights into what buyers are currently looking for in your neighbourhood and what renovations may help sell your home quicker—and for a better price.

Your REALTOR® can also provide you with contacts for roofers, painters, contractors, etc. to help you find the best person for the job.

Are you looking to buy or sell property? If you’d like, we can have a real estate expert show you the most efficient process that saves you thousands of dollars, a lot of time, with little or no inconvenience to you. Contact us today!

Source:  CREA

How the 2022 Federal Budget Impacts BC Real Estate

 

Budget 2022 was introduced on April 7 with a significant focus on the supply and affordability of housing in Canada. BCREA was encouraged to hear Canada’s Minister of Finance Chrystia Freeland accurately diagnose the root cause of the country’s housing affordability problem. “Canada does not have enough homes,” Freeland said. “We need more of them, fast.”

New spending towards housing totalled $10.1 billion, which – apart from climate change and Indigenous reconciliation – was the largest area of new spending in the budget and demonstrates that the government is beginning to seriously prioritize tackling Canada’s housing crisis.

Below is an overview of new commitments in the budget that may impact BC’s real estate sector.

Housing supply

Many commitments made to increase housing supply align with BCREA’s ongoing advocacy. The largest of these commitments was a new Housing Accelerator Fund, which will invest in municipal housing planning and delivery processes to speed up developments. Existing infrastructure programs will now tie infrastructure funding to actions by provincial and local governments to increase housing supply, which BCREA called for in our pre-budget submission. Additionally, more funds are being allocated to the National Co-Investment Fund, which will expand co-op housing.

There was also a commitment to launching a Multigenerational Home Renovation Tax Credit, which will allow families to claim 15 per cent (up to a $7,500 credit) in eligible renovation and construction costs incurred to construct a secondary suite for seniors or adults with disabilities.

Several proposals within the budget specifically target housing supply for Indigenous Canadians, including the initiation of an Urban, Rural and Northern Indigenous Housing Strategy.

Assistance for First-Time Homebuyers

The budget also increases much-needed incentives for first-time homebuyers, through a new Tax-Free First Home Savings Account. Beginning in 2023, it will give prospective first-time homebuyers the ability to contribute up to $40,000. Like a Registered Retirement Savings Plan (RRSP), contributions would be tax-deductible, while withdrawals to purchase a first home would be non-taxable, like a Tax-Free Savings Account (TFSA). In addition, the First Time Home Buyers’ Tax Credit will be doubled to $10,000, retroactive to homes purchased on or after January 1, 2022.

Home Buyers’ Bill of Rights

The budget also re-affirmed the government’s commitment to introduce a Home Buyer’s Bill of Rights. This would include a national plan to end “blind bidding” as well as possibly include a legal right to a home inspection and ensuring transparency on the history of sales prices on title searches. While we support the intent to protect homebuyers, independent research shows that banning “blind bidding” would likely lead to higher prices in a hot real estate market.

Reducing Foreign Demand

The budget committed to introducing legislation designed to reduce foreign demand in real estate. The legislation would prohibit non-Canadian citizens or permanent residents as well as non-Canadian commercial enterprises from acquiring non-recreational, residential property in Canada for two years. We are concerned this measure needlessly targets non-Canadians, creating barriers for attracting foreign investment, and will potentially result in reciprocal policies from other countries targeting Canadian “foreign” owners.

Other demand-side measures

In addition to targeting demand from non-Canadians, the government will also conduct a review of housing as an asset class to better understand the role of large corporate players in the market and the impact on renters and homeowners. They will also introduce legislation to introduce an “anti-flipping tax” beginning January 1, 2023.

Energy Retrofits

Another core aspect of the budget was new commitments to improve the energy efficiency of homes. These include strengthening affordability and energy efficiency requirements within the Rental Construction Financing Initiative, developing a Canada Green Buildings Strategy, creating the Deep Retrofit Accelerator Initiative and expanding tax deductions for business investments in clean energy equipment to include air-source heat pumps. These initiatives are designed to reduce Canada’s greenhouse gas emissions reductions targets of 40 per cent below 2005 levels by 2030.

While there are several proposals that raise concern in Budget 2022 and require further consultation, detail and scrutiny before implementation, overall, BCREA is encouraged that the federal government is taking initial steps to tackle the country’s affordability crisis.

Are you looking to buy or sell property? If you’d like, we can have a real estate expert show you the most efficient process that saves you thousands of dollars, a lot of time, with little or no inconvenience to you. Contact us today!

Source:  BCREA

 

Bidding wars are the new normal for buying a home today. In desirable areas, there may be multiple offers, which might force you to up the ante in a dizzying quest to come out on top.

Yet in the heat of the moment, many buyers run the risk of becoming overzealous, making mistakes that cost them the deal—or worse, land them with a house they regret. Don’t be one of them!

Here are some common bidding war mistakes you might be particularly tempted to make in today’s crazy market, along with some smarter, saner alternatives to try.

1. Bidding every last penny you have

The market is so competitive these days that houses go for tens of thousands of dollars above the list price. I’ve had buyers who want to bid all the money in their budget in order to win a bidding war, and I counsel them away from it.

Why?

The house may require tens of thousands of dollars worth of repairs immediately, like a new roof or new plumbing. They would have no money left to cover these essential repairs.

In a heated market, the appraisal may come in low. This means the bank’s appraisal says the home is worth less than what you’ve agreed to pay for it.

Then you’d need a higher down payment to make up the difference.

What to do instead: “Unless my clients have families who can give them the extra funds, I advise them to hold back 10% to 40% beyond what they can actually afford. “If it’s a young couple who are out on their own, for example, and they have no other financial resources, I tell them, ‘Maybe this is just not the house for you. There will be others.'”

2. Bidding with many contingencies

You should never get involved in a bidding war before your financing is in place and you know exactly where your money is coming from. We advise against having your offer be contingent upon the sale of your current house.

The seller will always pick the bid with the fewest uncertainties. We once won a bidding war on a home with the third-highest offer it received. The reason? He was an all-cash buyer, which meant a quick and seamless closing.

What to do instead: Most of us aren’t in a position to offer cash, but we can get pre-approved by a lender before we go into the bidding war. We can also make sure the sale of our current house doesn’t enter into the deal. You could sell and then rent prior to bidding on a new house—or possibly sell and request a lease-back agreement from the new owner.

It’s seldom all about price. Find out what else is important to the seller and try to accommodate that better than anyone else.

3. Bidding with no contingencies

Managing partners of The Agency, have seen buyers get so excited while bidding that they release all contingencies. That includes waiving the right to a home inspection and the ability to back out of the deal if an inspection reveals major flaws.

What to do instead: “If buyers want to be competitive in this market, they need to compromise on a lot of things.” But the inspection is not one of them. If you win the bid on a house that’s crumbling and you can’t back out, it’s no win at all.

Instead, bid as high as you can comfortably afford, and make compromises on things like the length of time until closing and down payment. But never, ever sacrifice the right to inspection as a negotiation point.

4. Assuming you’ll get a second chance

Here in our area, bidding wars just won’t quit. Very often, we see hopeful buyers lose out on their second chance. Prospective buyers think they’ll have more chances to raise their bid if needed, and they are often wrong about that.

What to do instead: If you find yourself in a multiple-bid situation, we recommend writing your bid as if you will not have a second chance to negotiate. Consider it one and done!

5. Using the term ‘best and final offer’

You see people using this term on real estate reality TV shows. (Translation: “Negotiation is done, and I’m not offering you one penny or concession more.”) But what works on TV doesn’t always work in real life.

In a bidding war, negotiations are never over until the seller is ready to throw in the towel.

Never use the term ‘best and final’ because it usually isn’t the case. Once you use this term, the listing broker will not take you seriously if you actually counteroffer again.

There are other important negotiable things that the seller will probably take into consideration. These include the closing date, a larger down payment, or potentially removing a contingency, etc. If the seller sees the term ‘best and final,’ they may not come back to your bid to see about altering any terms other than price to make the deal work. Instead, they may choose another offer.

What to do instead: Even if you’ve bid as much as you can possibly afford, never tell the sellers that. They might take you at your word and cut you from the herd. There might be other contingencies you might be able to handle, like a few months of leasing the property back to the seller at a reasonable price. Sometimes sellers aren’t ready to move yet.

6. Not knowing a home’s true value

Some buyers are hesitant to offer above the asking price in a bidding war, thinking that the home is not worth more than that. What they don’t realize is that sellers often intentionally price their home slightly below its true value to get a bidding war going and have potential buyers drive the price much higher in the heat of competition.

Real Estate Agents note that buyers are less likely to win a bidding war if they “won’t step up to their highest price. Instead, they choose to believe the property is worth less.” As a result, they lose the house.

What to do instead: Refer to “numbers and proven stats that take into consideration the lack of inventory, market trends, how much the price of properties have increased in certain areas over time. This will give you a better understanding of what the property is worth.”

Are you looking to buy or sell property? If you’d like, we can have a real estate expert show you the most efficient process that saves you thousands of dollars, a lot of time, with little or no inconvenience to you. Contact us today!

Source:  realtor.com / Michael Cowling

Just Sold 11460 Daniels Road Richmond BC VC6X1M8

Large 70 by 120 = 8,399 square foot lot with well built 1 owner/builder 2,849 square foot 2 level 4 bedroom 3 bathroom home on popular Daniels Road. Spacious layout, 2 fireplaces, plenty of storage extra workshop and sheds. Very well looked after. Double garage with secure parking for RV and boat in a fenced yard. Close to schools and amenities.