High Mortgage Rates Keeping Potential Buyers Sidelined

The British Columbia Real Estate Association (BCREA) reports that a total of 7,136 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in June 2022, a decrease of 35.7 per cent from June 2021. The average MLS® residential price in BC was $951,105, a 4.6 per cent increase from $909,657 recorded in June 2021. Total sales dollar volume was $6.8 billion, a 32.8 per cent decline from the same time last year.

“While a still growing economy and robust population growth point to strong demand, it is increasingly difficult to satisfy that demand at current interest rates,” said BCREA Chief Economist. “As a result, sales activity across the province, but especially in more expensive markets, continues to slow.”

For the second straight month, year-over-year provincial active listings rose, with listing in June 16.4 per cent higher than this time last year. While active listings remain below what is typical for a balanced market, some markets and housing types have tipped into balanced or even buyers’ market territory as sharply higher mortgage rates push potential buyers to the sidelines.

Year-to-date, BC residential sales dollar volume was down 17 per cent to $53.5 billion compared with the same period in 2021. Residential unit sales were down 27.6 per cent to 51,202 units, while the average MLS® residential price was up 14 per cent to $1.05 million.

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

The First Things You Need to Buy After Moving Into Your Starter Home

I hoped you saved some cash after the down payment, because it’s a lot of stuff.

Congratulations, you just bought your first home! After years of apartment living, exotic stuff like extra bedrooms, garage space, and a backyard seems pretty exciting, right? Even a modest starter home can make you feel like an aristocrat—for a while, until you think about all the stuff you need to buy to make it actually homey.

Yes, this means that despite having just borrowed an enormous amount of money and spent every dime you had in savings in order to purchase the place, you’re now going to have to hit the stores, and hit them hard, to buy everything you need to live there. Even if you intend to keep using all the stuff you already own, if your new home is larger than your old one, you’re going to have a lot of space to fill, and a lot more responsibilities to take care of.

Owning a property is a lot different than renting one. Unless you’re in a condo with a maintenance company on call, all the upkeep is now on you—and the same goes for your home’s safety and security. Your personal shopping list for a new home might be longer or shorter depending on what you’re bringing from the old place (and their respective sizes), but here are the things you’ll need to acquire after buying your first house.

The basics

Whether you just bought a charming bungalow or a McMansion with a great room so large you can play tennis in it, there are a few universal basics you’re going to need:

• Window coverings. It’s very common to find your new home completely stripped down to the bare walls. Unless you like the idea of your neighbors getting a real good look at you, you should make window coverings of some sort a priority. You can buy something cheap and basic just to get some privacy and leave a more thoughtful design decision for later.
• Welcome mat. If the previous owners left one, chances are it’s filthy and doesn’t reflect your sense of humor or style. Plus, you want to keep the nice floors you just bought as clean as possible, so a fresh start is a good idea.
• Shower curtains. If the showers in your new home need curtains, bring brand-new ones so you don’t have to contemplate the moldy sins of the previous owners. Again, these can be super cheap stopgaps until you settle in and have the time to pick out cool ones.
• Garbage cans. Maybe you have some to bring with you, or maybe the previous owners left them. Either way, the grime and gunk caked in them might mean they aren’t worth the time they’ll take to clean out. Best to start fresh.
• Showerheads. This is galaxy-brain stuff: Showerheads should be replaced or cleaned once or twice a year anyway, as they get really gunky over time. Since you have no idea how the previous owner treated their showerheads, put in new ones for peace of mind (and better water pressure).

Maintenance stuff

If you bought a place with an HOA or condo association that pays for a maintenance company, you might be able to skip this part. Otherwise, I have news for you: Nothing is going to get done on your property unless you do it (or hire someone to do it). So you’re going to need some implements you never needed in a rental:

• Snow shovel. If there’s any chance of snow in your new neighborhood, get a good shovel. Not only will this be necessary for getting out of the house after a storm, most local governments legally require you to clear the sidewalk in front of your house.
• Ladder. Even in a one-story home you’re going to need a decent ladder to access areas while painting or making repairs. If you’re not sure what you’ll need, a multi-position ladder gives you a lot of flexibility and is easier to store.
• Tools. Maybe you already have a full set of tools, but if you’ve spent the last few years calling a landlord for minor repairs and your tool kit amounts to a single screwdriver and a hammer you bought at CVS, you’re going to want a more robust set. Luckily, you can buy convenient tool kits that will give you all the basics, and then add on from there as needed.
• Plunger. The lowly plunger is something people don’t think about right up to the moment they flush their toilet and the water level starts rising. There’s a non-zero chance that the previous owners left their gunky plunger behind, but...do you want to touch it?
• Lawn mower. Again, unless you have a property with a maintenance service, you’re going to be in charge of taming the grass and weeds growing in your yard. You might also need some other landscaping tools, unless you intend to hire a company to handle that for you. For starters, though, you at least need some sort of lawn mower, though a simple reel mower might be enough to get you started.

Stuff for those extra rooms

Buying a house often means the furnishings and other stuff that filled a cramped apartment suddenly seem pretty sparse. You’re going to need some fundamentals to occupy all that extra space:

• Furniture. This might seem obvious, but if this is your first home I guarantee you haven’t really contemplated the scale of your needs: extra beds, nightstands, dressers, rugs, desks, tables, lamps, bookshelves—the list goes on. You certainly don’t need to fill every room up on day one, but keep in mind that if those rooms are going to work for you, you’re going to need to go on a furniture hunt.
• Sheets and bedding. Very often new homeowners are motivated in part by a desire to have spare bedrooms so family and friends can visit and stay with them. Even if the previous owner left some beds behind—and even if you’re okay with keeping the existing mattresses, at least for a little while—you’re going to need new bedding and sheet for all of them.
• Cleaning supplies. Whatever you were using in your old place, double the amount at the very least. Even if you plan to hire a cleaning service, you’re going to need implements to handle sudden messes and spot-cleanings for when the in-laws drop in unannounced.

Security stuff

You bought a house, which means you now have a significant asset filled with a variety of slightly less-significant assets. There are some basic things you’ll need to protect it all:

• New locks. Change the locks on your doors immediately. No one is plotting to rob you (probably), but you have no idea who has a key to those old locks. People give keys to neighbors, to family, and to contractors for convenience—and then forget all about them.
• Security system. This is optional, but a good idea. Even a cheap DIY security setup offers some level of protection, and home sale listings are sometimes used by thieves to identify empty homes that will be easy to rob, so it’s a good idea.
• Fire extinguisher. The first thing you should do when you walk into your kitchen is look for a fire extinguisher. If there’s one there, check the pressure and the date. If it’s old or missing, get a new one. Like a plunger in the bathroom, don’t wait until there’s an emergency to wish you’d picked one up.
• New smoke alarms. Unless you had the forethought to ask the previous owners when they installed the smoke alarms and carbon dioxide detectors, swap them all out right away. This will give you up to 10 years before you have to think about it again, and ensures you and your family are protected.
• Nightlights. You might not like or need nightlights on a regular basis, but when in an unfamiliar space, they’re a great idea. Navigating an unfamiliar floor plan will be a little disorienting for the first few weeks (or longer), so being able to see where you’re going at night will be an advantage until your mental muscle memory kicks in.

Your first home is a time to celebrate—but also a time to go shopping. Armed with these basics, you’ll be able to enjoy your new house right away. Unless it’s haunted, of course.

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:  Canadian Real Estate Wealth 

Prospective buyers are now being forced to weigh the positive impact of falling prices against the negative impact of rising interest rates

The residential real estate market swung another notch down from its pandemic boom highs with prices softening and properties sitting unsold for longer, new figures show.

Prospective buyers are now being forced to weigh the positive impact of falling prices against the negative impact of rising interest rates.

Median prices have been dropping consistently and considerably since the Bank of Canada started hiking interest rates earlier this year, said a Vancouver-based broker.

In February, the median price for all housing types in all of Metro Vancouver was $1.028 million, but fell by 13.5 per cent to $889,000 in June.

In some areas, the change in median prices was greater, falling by 28 per cent in Delta (to $1.165 million from $1.625 million), by 23 per cent in Surrey (to $843,000 from $1.1 million), and by 23 per cent in Maple Ridge (to $960,000 from $1.25 million).

Still, the MLS benchmark price for all residential properties in Greater Vancouver is $1.235 million, which remains 12.4 per cent higher than it was in June 2021. Greater Vancouver, for the MLS, includes Metro communities north of the Fraser River with a handful of exceptions.

In Greater Vancouver, from Whistler to Maple Ridge to Tsawwassen, the number of home sales for the month of June dropped by 35 per cent. In the Fraser Valley, which in the real estate sector includes North Delta, Surrey, White Rock, Langley, Abbotsford and Mission, it fell by 43 per cent from a year earlier.

Price drops and rising rates can cancel each other out, leaving the buyer in the same financial spot, but this isn’t always the case and there are some nuances. Depending on the exact area and housing type, affordability has worsened even though prices have dropped because interest rates have risen.

We took the average selling price for a detached home in Greater Vancouver and calculated a rise in monthly payments due to higher interest rates even with the drop in sale price in the last few months.

A $2.32 million property with a two per cent mortgage rate and monthly payments of $7,840 in April has now fallen to a current sale price of $2.098 million, but it now comes with a five per cent mortgage rate for monthly payments that are $9,810.

The payments are cheaper at two per cent even with an over $200,000 decrease in price. We used a five-year fixed mortgage, 25-year amortization and a 20 per cent down payment for the calculation.

When interest rates first start rising, there is an initial phase when sales volumes and prices tend to hold as some buyers jump into the market before they are priced out. It continues until buyers can no longer afford the higher rates.

In the 1980s, when interest rates went from 11 per cent to 21 per cent, it wasn’t until they were about 16 to 17 per cent that home sales volumes and prices started to curtail. We are hitting that point now with interest rates having doubled. This is a very real shift in the market.

Buyers will want to see where the interest rate hikes level off before they return to the market.

The Real Estate Board of Greater Vancouver’s total of 2,444 sales in June 2022 is a 16.2 per cent decrease from the 2,918 homes sold in May 2022. It is a 23.3 per cent decrease below the 10-year-June sales average.

The Fraser Valley Real Estate Board reported the number of sales in June fell 5.8 per cent compared to May.

With inflation at a near four-decade high, the Bank of Canada is aiming to bring it down from the 7.7 per cent posted in May 2022 back to two per cent by increasing interest rates.

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 and Michael Cowling

Interest Rate Announcement - Bank of Canada

 

The Bank of Canada surprised markets with a larger than expected full point increase in its overnight rate, bringing its key policy rate to 2.5 per cent.  In the statement accompanying the decision, the Bank noted that inflation is higher and more persistent than the Bank expected and will likely trend near 8 per cent through the summer before easing to 3 per cent by the end of 2023. Core inflation, which removes the more volatile components of the CPI, is rising at between 4 and 5 per cent, indicating broad price pressures throughout the economy. While the economy is experience strong growth this year, the impact of Bank of Canada rate tightening is likely to slow the economic growth from 3.5 per cent this year to just 1.75 per cent in 2023.

 The overnight rate is now within the Bank's estimate of "neutral", or the level of its policy rate at which inflation should run at 2 per cent and the economy is operating at full-capacity. However, it is clear from the Bank's statement that it expects it will have to tighten rates above neutral to bring inflation, and expectations of inflation, back to its 2 per cent target level.  As of this morning, financial markets expect that the Bank of Canada will raise its overnight rate to above 3 per cent, and those expectations are currently embedded in 5-year fixed mortgage rates which have exceeded 5 per cent for the first time in over a decade. While there are encouraging, early signs that inflation is peaking, we will need to see a sustained decline in the rate of inflation over the next several months to see any relief on mortgage rates.

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

Can I use a locked-in RRSP to buy a house?

 

In a recent article, we explored home buyers' options when it comes to using their registered retirement savings plan to fund a home purchase. Using a first-time home buyers incentive known as the Home Buyers’ Plan (HBP), buyers can take out up to $35,000 of savings from their RRSP (or $70,000 when combined with a spouse or common-law partner) for a home down payment, without paying tax as you would for a standard withdrawal. Overall, it is a good option if you want to buy a house and have saved a good amount in your RRSP.

However, there is a catch to this plan: you cannot use this program if you have your money in a locked-in RRSP. This kind of retirement savings plan is much more limited in how it allows you to access your money, which presents a barrier for those hoping to access this money for their home purchase.

In this article, we will explore locked-in RRSPs and alternative methods you may be able to use to fund your home purchase when an RRSP withdrawal is off the table.

What is a locked-in RRSP?

A locked-in RRSP (and the similar locked-in retirement account, or LIRA) functions in much the same way as a regular RRSP, but with a few major differences. The general purpose remains the same: money contributed to the account will be tax-free and saved for retirement, with taxes to be paid later on when you access the account for retirement income.

The main difference with a locked-in account is the restrictions on how money can go in and out of the account. First of all, you can not make regular contributions to a locked-in RRSP. Instead, it may only be contributed to by a source like your employer's pension plan.

Money held in the account is inaccessible until you retire and begin collecting income; even then, there may be some withdrawal limits. In only a few circumstances, you can withdraw money from a locked-in RRSP, and even these have restrictions.

Why do people use locked-in retirement accounts?

Based on the restrictions, it may seem strange that anyone would choose to use locked-in RRSP or LIRA. In reality, a locked-in retirement plan is not something that most people opt for because of any sort of inherent benefit of the account. Instead, the decision to use a locked-in retirement account comes in an instance where it is necessary to do so in order to retain a certain amount of retirement funds.

The most common example is when an employee leaves a company with an employee pension plan. Often, the employee will have the option to take any accrued pension with them, and they will usually be required to place this into a locked-in account. In this way, your former employer can guarantee that this money is being used for their intended purpose once it is out of their hands. Each company pension plan will have its own terms, so be sure to read and understand the fine print when you start collecting.

The money contributed to a locked-in RRSP or LIRA will not be deducted from your yearly income taxes, though you won't pay taxes on it until you begin to withdraw. In addition, accrued pension funds will take up a portion of your RRSP limit as you grow them at your employer, so this portion of your total potential RRSP value will be locked in.

Knowing why people choose to use a locked-in RRSP, the choice seems clear. When faced with retaining pension funds that you have earned or forfeiting them, it makes clear sense to want to retain those, even if you won't be able to access them until later.

Can you use your locked-in account to buy a home?

There is no simple way to access your funds in a locked-in RRSP at will, so an option like the RRSP Home Buyers’ Plan or even a simple withdrawal is out of the question. The only real way to use these funds towards a home purchase would be to wait until you are retired and can unlock the account. However, this is not a viable option for most. Unfortunately, this means that if you want to buy a home now, you will need to look at other options.

When can you withdraw funds from a locked-in RRSP?

Though there are strict restrictions on withdrawing funds from a locked-in retirement account, there are some cases in which financial institutions will allow some money to be withdrawn. These circumstances are usually somewhat extenuating, and most people will not willingly subject themselves to these cases just for a withdrawal's sake. Some of the circumstances in which you can unlock funds from your locked-in RRSP or LIRA include:

If a person is experiencing financial hardships such as loss of income or medical expenses. The amount available to be unlocked will depend on circumstances but can be up to around $32,000 or 50% of the YMPE (Yearly Maximum Pensionable Earnings, or $64,900 as of 2022).

If a person has ceased to be a Canadian resident for more than two years, they are eligible to withdraw the amount in their retirement account and close the account.

If a person has been found to have a lowered life expectancy, as certified by a physician, they may be able to withdraw up to the full amount from their locked-in retirement accounts.

If a person is 55 or older and the total value in all locked-in accounts and pension plans is less than 50% of the YMPE, they can withdraw the amount in full.

Withdrawal conditions can be used along with one another, meaning you may be able to make multiple withdrawals if eligible. For example, if you take an amount of your locked-in account out due to low income, which puts you below the threshold for a low account balance withdrawal, you will be able to take out the remaining value in the same calendar year or a subsequent year.

As you can see, these options are not exactly something you can easily arrange to withdraw funds from your locked-in RRSP, and it will be much easier to find money elsewhere when it comes time to buy a home.

Other options than using your locked-in RRSP

If you were hoping to use RRSP funds to buy a home, only to find that your account is locked in and illegible for withdrawals, there may be some other options you can consider to help you with your purchase.

Use an unlocked RRSP

This option may seem obvious, but it bears mentioning. Just because you have a locked-in RRSP, doesn't mean you can't also have a second unlocked RRSP. Even if you can't unlock the full value of your retirement savings, you can be eligible to take out whatever money is not locked-in.

Get an RRSP loan

If you have the contribution room in a standard unlocked RRSP, you may be able to get an RRSP loan in order to take advantage of the home buyer's plan. Naturally, you will still need to pay back the loan. However, there may be some benefits. For example, the tax deductions from an RRSP loan will often help pay off some of the principal, not to mention it can also help you buy your home sooner.

Unfortunately, if you use an RRSP loan in accordance with the home buyer's plan, you will now have two monthly payments to take care of. In addition, you will need to ensure that your loan enters your RRSP at least 90 days before you plan to withdraw under the Home Buyers’ Plan.

Make use of other first-time home buyer benefits

When it comes to benefits for first-time home buyers, the Home Buyers' Plan is certainly one of the strongest, but it isn't the only option. There are many options, both federally and provincially, that provide some form of help to first-time home buyers, be it a rebate, tax benefit, or discount on closing costs.

One such option may be the First-Time Home Buyer Incentive. The government provides home buyers with a shared equity mortgage option in this program. Essentially this means the government will own a share of your home and benefit (or lose) from the change in equity. Under this program, eligible buyers can get 5% or 10% off their home purchase, which could be comparable to the value of the HBP.

Other options such as the Home Buyers Amount, GST / HST new housing rebates, and land transfer tax discounts can be used by eligible home buyers to reduce the cost of their first home purchase.

Use Home Equity

If you aren't looking to buy your first home and thus aren't eligible for the home buyers plan in the first place, you may still want to use your RRSP while incurring taxes, which still won't be an option with a locked-in RRSP.

In this case, you may have an existing property with a significant amount of equity that can help you to make a purchase. Borrowing from your home equity is a very popular way for Canadian homeowners to access funds for a variety of different uses, including a home purchase.

There are a few options for using your home equity, such as a second mortgage, a home equity line of credit or a home equity loan. Each will come with its own terms and repayment conditions but can be a great way to leverage your existing home equity.

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:  Canadian Real Estate Wealth

Home listings up, sales down and prices starting to decrease to start the summer season

 

With interest rates and housing supply increasing, Metro Vancouver* home buyers are operating in a changing marketplace to begin the summer season.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,444 in June 2022, a 35 per cent decrease from the 3,762 sales recorded in June 2021, and a 16.2 per cent decrease from the 2,918 homes sold in May 2022.

Last month’s sales were 23.3 per cent below the 10-year June sales average.

“Home buyers have more selection to choose from and more time to make decisions than they did over the past year,” Daniel John, REBGV Chair said. “Rising interest rates and inflationary concerns are making buyers more cautious in today’s housing market, which is allowing listings to accumulate.”

There were 5,256 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in June 2022. This represents a 10.1 per cent decrease compared to the 5,849 homes listed in June 2021 and a 17.6 per cent decrease compared to May 2022 when 6,377 homes were listed.

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 10,425, a 3.8 per cent decrease compared to June 2021 (10,839) and a 4.1 per cent increase compared to May 2022 (10,010).

“We’re seeing downward pressure on home prices as we enter summer in Metro Vancouver due to declining home buyer activity, not increased supply,” John said. “To meet Metro Vancouver’s long-term housing demands, we still need to significantly increase housing supply.”

For all property types, the sales-to-active listings ratio for June 2022 is 23.4 per cent. By property type, the ratio is 14.3 per cent for detached homes, 31.5 per cent for townhomes, and 30.2 per cent for apartments.

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,235,900. This represents a 12.4 per cent increase over June 2021, a two per cent decrease compared to May 2022, and a 2.2 per cent decrease over the past three months.

Sales of detached homes in June 2022 reached 653, a 48.3 per cent decrease from the 1,262 detached sales recorded in June 2021. The benchmark price for a detached home is $2,058,600. This represents a 13.4 per cent increase from June 2021, a 1.7 per cent decrease compared to May 2022, and a 1.8 per cent decrease over the past three months.

Sales of apartment homes reached 1,326 in June 2022, a 25.3 per cent decrease compared to the 1,774 sales in June 2021. The benchmark price of an apartment home is $766,300. This represents a 12.7 per cent increase from June 2021, a 1.7 per cent decrease compared to May 2022, and a 0.8 per cent decrease over the past three months.

Attached home sales in June 2022 totalled 465, a 36 per cent decrease compared to the 726 sales in June 2021. The benchmark price of an attached home is $1,115,600. This represents a 17.8 per cent increase from June 2021, a 2.2 per cent decrease compared to May 2022, and a 2.7 per cent decrease over the past three months.

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:  REBGV

This is how much money you need to make to live alone in Richmond

 

Since Vancouver is one of the least affordable cities in the world, nearby Richmond could be an attractive option for your budget. To find the average Richmond cost of living, we used data from Numbeo – which uses crowdsourced information to compare the cost of living in cities.

We broke down the realistic monthly costs that a renter in Richmond will have to cover on their own.

Richmond cost of living

1. Housing costs in Richmond

Numbeo puts the average cost of a one-bedroom apartment in central Richmond at $1,881.25 per month. That’s a lot less than what you’ll pay in Vancouver, where the average rent in the city centre is $2,238.56.

2. Utility costs in Richmond

The cost of basic utilities – think BC Hydro bills to cover your heating and electricity – average $158.50 per month for a 900-square-foot apartment.

Internet costs have an average monthly price of $81.94.

Note that sometimes utility costs are included in rental agreements, so this figure will be different for everyone.

3. Phone costs in Richmond

Prices in the Canadian wireless market are the highest in the world according to a  telecom analyst report

For 100 GB of data, the monthly cost of having a smartphone is $117.25.

4. Transportation costs in Richmond

Richmond is diverse with neighbourhoods that are walkable and highly connected to transit and areas where locals need cars to get by.

We will estimate a two-zone monthly transit pass ($134) plus the cost of one tank of gas ($100) to create an estimated monthly transit cost for living in Richmond.

5. Groceries costs in Richmond

Adding Numbeo’s average Richmond prices for basic grocery items, if purchased once a week, comes to a monthly average of $368.64.

The grocery items include milk, rice, bananas, cheese, and chicken – essentially just the basics.

6. Dining out costs in Richmond

According to Numbeo, the cost of a three-course meal for two at a mid-range restaurant is $70 on average.

So, if you go out to eat once a week with a friend and pick up the tab, you’re spending $280 per month.

Your true monthly cost of eating out (and, let’s be real, ordering food delivery) will vary greatly depending on your taste and lifestyle.

7. Entertainment costs in Richmond

Your average movie ticket from the Cineplex costs $13.99, and a local beer costs $7.

So, if you go to two blockbusters a month and have three beers a week, you’ll be spending $111.98 a month on entertainment.

8. Health and fitness costs in Richmond

Fitness memberships vary greatly in Richmond. You can go to a community centre gym quite cheaply, whereas other specialty fitness studios cost more.

Numbeo’s puts the monthly average for a fitness membership at $49.75.

9. Coffee costs in Richmond

Numbeo puts a regular cappuccino at $5.30 on average. If you treat yourself twice a week, that’s $42.04 per month spent at your local cafe.

10. Cost of living extras in Richmond

To estimate the average cost of “extras” for a life in Richmond, we’ll say people will spend the equivalent of a pair of jeans ($46 according to Numbeo) and a pair of sneakers ($89.17 according to Numbeo) each month.

The Grand Total

1. Housing: $1,881.25

2. Utilities: $240.44

3. Phone: $117.25

4. Transportation: $234.00

5. Groceries: $368.64

6. Dining Out: $280

7. Entertainment: $111.98

8. Health and Fitness: $49.75

9. Coffee: $43.04

10. Extras: $135.17

——————————————-

Total: $3,461.52 per month, or $41,538.24 annually

Numbeo says that the average net salary in Richmond is $48,600. That would leave you just over $588.48 per month for all your other expenses like travel, savings, and debt repayment.

Of course, these costs are estimates. They don’t include the relaitites of life like unexpected expenses, taxes, tips, and more.

How much are you spending per month?

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:  Daily Hive

4 Tips to Keep Your Sanity During a Remodel

 

Happy July! I hope that you're having a great summer. Is there a remodel in your future? Home upgrades and construction can be stressful. So, I thought I would send you a quick email with a few tips on how to stay calm during a remodel project.

1. Use sticky notes to stay on track

Use sticky notes to help yourself and your contractor stay on the timeline. When you or your contractor finish a task, take a note off the wall. It's an easy way to keep your project on track, and it's rewarding to see the progress. Remember to include the minor projects on your to-do list.

2. Group Your Purchases Together

​Buying new fixtures like lights, faucets, and doorknobs can be overwhelming. Before you know it, you'll walk through the store, and everything looks the same. Group your purchases by room to help keep yourself sane. Buy these items early in case there are supply issues.

3. Take it One Room at a Time

​Construction projects are messy if you're remodeling one room or a few. To keep the dust down, block off the room with plastic. The rest of the house will remain clean. If you're working on several rooms, take it one room at a time to avoid even more frustration.

4. Get Creative with cooking

​What's the busiest room in the house? Your kitchen. When it's under construction, you don't have to cancel dinner every night or go out to eat out every day. Get creative with one pot and no-bake recipes. If you have a grill, it's time to become a BBQ expert.

If you're thinking about a remodel, I hope that these tips help you stay calm throughout your project. If you feel a new home is best, I can help. Now is a great time to buy and sell – call, text, or reply to this email to set up a time to meet.

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: RE/MAX