Langley BC Real Estate | Condominums And Town Homes

Before you start searching for your dream home, you need to know what you can afford. There is no magic dollar amount. It is based on many factors, including your income, savings, credit history and the buying plan you have in place. To answer the question, there are few factors that you will have to consider

Housing Expense
Housing expense includes the principal on a home loan, interest payments, property taxes and insurance (Homeowner’s insurance and Private mortgage insurance). These expenses should not exceed 32% of your gross monthly household income.

Debt Expense
Debt expenses comprise of housing expense and other debts including car payments, credit card debts, personal loans, etc. Your monthly debt load should not be any more than 40% of your gross monthly income.

Down Payment
The size of your down payment affects the amount of your monthly mortgage payments. Although a smaller down payment would mean high monthly mortgage payments, it would allow you to buy sooner. Ideally, you should be able to put down 20% of the purchase price or more. If you plan to make a down payment of less than 20%, you would also have pay private mortgage insurance.

Additional Expenses
Don’t forget closing costs such as land transfer tax, legal fees, building inspection, home insurance and realtor fees, which can amount to 2% of the purchase price. When budgeting, also consider other monthly-related expenses such as condominium fees, heat, hydro, water, property tax, insurance and household maintenance.

There are a number of mortgage calculators available online. CMHC provides a Mortgage Calculator to estimate the maximum mortgage you can afford. Get a pre-approved mortgage. This free service from lenders comes with no obligations, helps to confirm your financial boundaries, and frees you to focus on finding the home you want.

Selling a home is a challenging task. You can encounter problem buyers that can sap up your time and profits. Being familiar with buyer traits can put you in a better position when marketing your home and negotiating a sale.

The No Money Down Buyer
If you are looking for a smooth deal, think twice before dealing with a buyer who needs 100% financing to buy the home. It can often lead to problems in the loan process and is getting harder to qualify for in the current economic scenario. Even if qualified, the lender may shoot down the property appraisal, force you to lower your sale price or walk away from the deal. A pre-approved home buyer is highly motivated to buy. It is a confirmation that they are able to afford the asking price and helps close deals faster.

The Bully Buyer
Nobody likes a bully. A nitpicking buyer, they try to steal a better deal by inundating you with all things wrong with the house. And place a price tag or ask for a discount on every petty defect. Negotiation with them would be a nightmare. It is best to avoid the bully buyer.

The Sight-Unseen Buyer
An interested buyer generally visits a house before making a decision to purchase. These buyers tie up your house to take it off the market and make a decision later. They may place clauses that enable them to exit the offer easily if they do not like the house. An easy solution… just require people to set an appointment and actually visit the house.

The Bargain Hunters
If your house is priced correctly and is in good shape, you probably won’t encounter the ‘Bargain Hunters’. They are speculators and investors who don’t need to buy property, but are willing to do so if the price is right. These buyers seek out desperate sellers to get the best bang for their buck. And often make offers below market price.

Recognizing the problem buyers beforehand would save you time and money. Avoid them to move on to buyers who are less trouble.

VANCOUVER, B.C. - March 3, 2009 - Residential housing sales in Greater Vancouver rose 94 per cent in February compared to the month before, with 1,480 sales registered in February compared to 762 sales in January, which was the slowest month for housing sales in 25 years. Over the past 10 years, February sales have typically surpassed January by an average increase of 53 per cent.

At the same time, new MLS® listings for residential properties continued to decrease for the fourth month in a row. New listings decreased 25.6 per cent in February compared to the previous year; 20 per cent in January; 8.6 per cent in December; and 10 per cent in November.

“There are terrific opportunities out there right now, but with property listings continuing to decrease, those op-portunities may be available only for a brief window of time,” said Dave Watt, president of the Real Estate Board of Greater Vancouver (REBGV).

REBGV reports that year-over-year property sales in Greater Vancouver declined 44.7 per cent in February 2009 from the 2,676 sales recorded in February 2008. Year-over-year, those are the lowest sales figures for February since the mid-1980s.

“REALTORS® are reporting more activity compared to recent months as people begin to see whether their position in the housing market has strengthened as a result of falling interest rates and improved affordability,” Watt says. It took, on average, 67 days to sell a home in Greater Vancouver in February, seven days less than last month, but behind the seller’s market of last February when the average stood at 33 days.

Sales of detached properties in February 2009 declined 41 per cent to 587 from the 995 units sold during the same period in 2008. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties declined 14.2 per cent from February 2008 to $653,452.

Sales of apartment properties declined 45.6 per cent last month to 650, compared to the 1,197 sales in February 2008. The benchmark price of an apartment property declined 13.9 per cent from February 2008 to $333,143.

Attached property sales in February 2009 decreased 49.8 per cent to 243, compared with the 484 sales during the same month in 2008. The benchmark price of an attached unit declined 9.7 per cent between Februarys 2008 and 2009 to $426,268.

New listings for detached, attached and apartment properties declined 25.6 per cent to 3,916 in February 2009 compared to February 2008, when 5,260 new units were listed.

For Immediate Release: March 3, 2009

(Surrey, BC) – February sales on Fraser Valley’s Multiple Listing Service® (MLS®) experienced a typical ‘early spring’ surge, increasing by 75 per cent in one month from 389 sales in January to 682 last month. However, by historical standards, they continued to refl ect sales levels last seen in the mid-1980s, according to the Fraser Valley Real Estate Board.

Sales showed a 48 per cent decrease compared to the 1,308 sales processed in February 2008. The Board also received fewer new listings last month compared to the same month last year – 2,369 compared to the 2,808 new listings received in February 2008 – however, the total number of active listings at 9,594 was still 11 per cent higher than in January and almost 30 per cent higher than the 7,415 active listings available in February 2008.

Paul Penner, President of the Fraser Valley Real Estate Board explains, “High inventory and low demand over the last few months have created the best buying opportunity since 2006, which buyers started capitalizing on in February.”

Penner feels that though consumers are still cautious about the global economic situation, based on February’s real estate market, he is guardedly optimistic. “For the first time since last September, Fraser Valley REALTORS® had higher traffic at open houses, more multiple-offer situations and an increase in home sales.

“Because of lower prices and mortgage rates, consumers are gaining confidence.”

Residential benchmark prices, the value of a ‘typical’ Fraser Valley detached home as determined by the MLSLink® Housing Price Index (HPI), decreased 10.4 per cent compared to February 2008, however, increased from the previous month for the first time in nine months. The benchmark price was $456,683 in February 2009 compared to $509,958 last year.

The HPI benchmark price of Fraser Valley townhouses decreased by 10.5 per cent in one year, going from $330,444 in February 2008 to $295,731 in February 2009, while the benchmark price of apartments decreased by 10 per cent going from $253,351 in February of last year to $228,091 in February 2009.