Single Family Homes Update

Like the cold indoor weather in April, the Buyers have been staying indoors as well. There were only 50 single family sales in April, 2011 as compared to 95 in 2010; yikes! There were 800 single family homes on the market at the end of April.  A sales to listing ration of 6% in April which is super Buyers territory. Therefore, the number of sales in April does not support the total number of homes on the market. Downward pressure on prices, if this keeps up. Stay tuned….

The median sold price for single family homes in April was $314,000 down from $335,000 in March.

Condos and Townhouses Update

The number of strata homes on the market in April has stabilized at about 400. This is good news if we don’t get a spike in listings in May and June. There were only 22 strata sales in April, 2011 or about 6% sales to listings. This is well below 2010 which saw 41 sales. This is great for any buyers who are looking around for a deal.

The median sold price for stata during March was $242,500 up from $206,500 in March.

Bare Land Update

Hey mister, want to buy some land? There are 545 bare land properties for sale in the North Okanagan ranging in price from $5,000 to $6 million. Over the last three years 2008 – 2010 there were an average of 13 sales in April. There were only 4 bare land sales in April, 2011 which about 1% sales to listings; super yikes! Now is the time to buy a lot to build a home because sellers must be itching to make a deal!

Prognostication

I predicted that sales would climb up a bit in April and I was wrong! Instead of 7% to 10% sales each month we are below that so far. With continuing low sales numbers and climbing listing numbers it looks like prices will come down some more this spring.

If you know of any buyers, let them know that this is a great time to pick up a home. It can be their first home, or it can be an investment property. If you know someone who is looking to upgrade their home, this is an awesome time for that also. Interest rates are still historically low and with all of the choices it just makes sense.

My advice for Sellers is the same as last month. Price your home at the bottom of the market, stage it perfectly, have an awesome Realtor to market the heck out of it, and pray for a motivated, qualified buyer to come along one day this Spring.

Foreclosures - the mystery revealed

It is an unfortunate fact that even in the Vernon area there are people who have lost the right to keep their homes. They can’t pay the mortgage and the mortgage holder has been given the right by the courts to sell the home. Once the home is sold the mortgage holder(s) takes their portion, the Real Estate agents get their commission and after all of the other expenses the owner gets what is left, if any.

In the North Okanagan there are presently 71 court ordered sales which include everything from building lots to high end homes in great subdivisions. This is the most court ordered sales we have seen in many, many years and some believe that this is not the end of them.

Is a court ordered sale a good deal? It is generally a good deal, however, it is not a steal in most cases and here is why. The court protects the rights of the original owner to get “fair market value” for their home and the system is set up that way.

The first step in this lengthy process is the mortgage holder asks their Realtor to determine a fair market value for the home. This is done in the usual way with recent comparable homes used to get a starting price. It is then put on the market and the MLS system to see if buyers want it at that price. If it doesn’t sell right away and there are other comparable homes that have sold for less, then the price is reduced.

The second step is when a buyer comes along and puts in an offer that is accepted by the mortgage holder. This is done in the usual manner with an offer, subject clauses that protect the buyer, and finally after subjects have been removed, a firm and binding offer subject to court approval. The basic details of the accepted offer such as price and deposit are made public knowledge at that time. Then the fun begins!

The third step is that a court date is set after the original offer is accepted. It is on a Tuesday morning in Vernon and could be up to 8 weeks after the first offer is accepted. At the court date other buyers may show up and present a sealed bid to the court for consideration. At the discretion of the judge the first accepted offer may be given an opportunity to present another sealed offer to the court at that time. The judge then opens all of the bids and selects the one that is the best one for the property owner. The judge looks for the highest price and the shortest completion time to determine the winning bid. In some cases, the winning bid is higher than the list price because of the number of buyers bidding to win the home.

Court ordered sales have some restrictions for buyers. For example, all court ordered sales are sold  “as is, where is”. This means that buyers do not have the protection of a home inspection, or a property disclosure statement.  The original Buyer cannot ask the Seller (The Bank) to help with any needed home repairs.

If you are thinking of showing up with your Realtor to try and take the home at the court date, you must be prepared. Your offer has to be “condition free” with all mortgage requirements met, or you have to have cash in the bank. Your offer should be more than the original offer and you have to include a substantial deposit cheque.

While there are many hurdles to a bank foreclosure sale there is the potential to buy a home at under market value. Depending on the property you may even be the only one interested in which case you win! However, there are less protections for a Buyer, especially when it comes to disclosure of the homes condition. Perhaps the biggest disappointment to offering on a foreclosure is that someone else could come along and in a hearbeat take the home after all of your hard work.

East Hill neighbourhood – do you live here?

I have lived in East Hill since moving to Vernon in 1996 and love the neighbourhood. It has a good feel to it with a mix of heritage homes, lots of 1960’s and 1970’s bungalows, some upscale townhouses and a smattering of new homes. There are some apartments and multi-family developments in the neighbourhood although most of them are either on Pleasant Valley road, or along 32 avenue. It is one of the larger neighbourhoods in Vernon and is also one of the oldest.

According to my Realtor neighbourhood map East Hill runs from Highway 6 in the south to Silver Star road in the north. It follows 27 street up to the courthouse on 30 avenue and then follows on the east side of Pleasant Valley road to Silver star road. The boundary on the east is supposed to be 15 street which runs by VSS, but most people use Frances road.

East Hill is close to the downtown, especially if you live south of 32^th avenue. It is not uncommon to see East Hill residents in this area walking to the downtown core for some entertainment or a good meal.

The neighbourhood has some excellent schools such as VSS and Silver Star elementary. If you have children going to high school within the next two years they will get to experience the brand new VSS that is being built right now.

There is the Vernon Community music school on 18 street that contains a wonderful heritage home and carriage house on the property. It has had some excellent renovations to the carriage house. Right now, they are looking at the cost and feasability to repair some of the foundation on the main home.

There are a couple of convenience stores in the area around VSS, however Fatboys has just burned down so the only one operating right now is Lakeside Market on 15 street.

There is the famous “peanut pool” at Lakeview park which also has a number of baseball diamonds and play areas. It is a lovely oasis to spend a lazy sunny afternoon. There is a small circle park on 26 crescent that is mainly used by the neighbours in that area.

All in all East Hill has a wide variety of homes for almost every taste. If you don’t live in East Hill, but want to know more about this great neighbourhood, then give me a call.

Do you have little spaces and BIG ideas? Here’s how to maximize every inch of space in a small bathroom--turning it into an oasis all its own.

If you’re not quite ready for a wrecking crew but want to make your small bathroom appear bigger, try these tips and tricks for upsizing your space:

• Use light, airy colors to open it up. Save dark colors for larger rooms.

• Paint the door the same color as the walls, and add mirrors to create the illusion of depth.

• Consider a slim shower stall to replace a bulky tub.

• New tile can enhance the aesthetics of any room. Talk to your home center professional or trusted contractor to see the wide variety of beautiful textures and colors available today.

• Clear out the clutter! A small space is no place for knickknacks and trinkets. One or two small, warm additions will pop much more than a menagerie of dust collectors.

• Replace oversized cabinetry or outdated furniture with simple, sleek designs that provide needed storage without overwhelming your space.

• Crown molding painted the same color as the ceiling adds size and depth to your ceiling.

• Consider a pedestal sink to replace a bulky, outdated one. You will immediately open up much-coveted floor space.Speaking of flooring, light colors work best here, too. Cool tiles, a light, natural wood or even a neutral vinyl will add a fresh look to an old room.

• Light the way with new fixtures. If you choose a light, neutral color palette for the rest of the bathroom, this might be just the key to adding a splash of accent color and bright light. Many older homes and small bathrooms have limited lighting, which can add to that cramped feeling. Let the light in with beautiful new fixtures!

Okanagans Home Team facebook site

We have launched a new Facebook site for anyone who wants to keep better informed about what is going on in the world of Real Estate in the North Okanagan, and the world! All you need to do is go to Facebook and find the Okanagan’s Home Team Facebook page, or easier yet, just click on this button!  You can check back frequently for all news related to Real Estate in Vernon and area.

Also, if you have questions about anything to do with Real Estate, just post it!