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Mortgage Rules Change

OSFI extends ‘stress test’ to all new mortgages
  • The Office of the Superintendent of Financial Institutions (OSFI) released revised “B-20” guidelines for residential mortgage underwriting at federally regulated financial institutions. As was widely expected, the updated ‘stress test’  will be applied to all new mortgages beginning on January 1, 2018. Currently, the test applies only to mortgages requiring insurance (i.e. those with low down payments) and those whose term is less than five years.
  • This change requires that borrowers qualify for mortgages at the greater of the Bank of Canada’s five-year benchmark rate or the contracted rate plus 200 basis points. For reference, as of this morning, the Bank of Canada posted rate was 4.89%. It should be noted that OSFI will not apply the more stringent requirements in the case of mortgage renewal.
  • While the extension of qualification guidelines will likely draw the most attention, OSFI introduced two other changes:
    • Loan-to-value limits must be established and lenders will be required to ensure that they “are reflective of risk and are updated as housing markets and the economic environment evolve”
    • Lending arrangements designed to get around loan-to-value limits are restricted with the updated guideline explicitly forbidding ‘co-lending’ or ‘bundling’ arrangements.
Key Implications
  • As expected, OSFI has expanded the scope of the ‘stress test’ to include anyone taking out a mortgage at a federally regulated institution regardless of the term and whether they are insured. Perhaps underscoring the logic behind the change, OSFI bank data for August of this year showed insured mortgages (which were already subject to the stress test) were down 4.5% year-on-year, while uninsured mortgage credit grew 17.3%. While this is partly related to the rising prices of Canadian real estate, with more and more of it priced above the insurance caps, it also likely reflects the skew stemming from the past stress test requirements. As such, today’s change, alongside the explicit guidance around co-lending arrangements, will together help address the shift as far as those borrowing from federally regulated institutions.  
  • As discussed in our regional housing outlook, broadening the stress test will likely further slow housing activity, depressing demand by 5% to 10% once implemented, with some pull-forward of activity likely to take place ahead of the January 1st implementation date. Price growth will also be impacted, with these changes expected to exert a drag of between 2% and 4% over 2018. On balance, these changes should help enhance the resilience of the Canadian banking system in a rising interest rate environment.
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Keep Emotion in Check in Real Estate Transactions

Never wear your emotions on your sleeve during the real estate ride.

Selling your home is a huge financial transaction that can trigger a roller coaster of emotions.  When you’re being tossed around at every turn, you need to hang on and stay on track.

Although you’ll likely have a strong connection to your home, try not to get offended if a potential buyer wants to rip up your kitchen or paint over the wood trim.

Also, never take comments personally.  It’s natural for people to complain when they’re interested in something so while criticisms may seem negative, they’re actually a sign that the buyer’s interested in your home.

If you receive a “low ball” offer, remember that it’s often just a starting point but be aware of tactics such as “low balling” where an attractive price is initially offered only to be adjusted at a later point on the basis that circumstances have changed.  Recognizing these strategies will help you keep a balanced perspective.

If you’re able to generate multiple offers, make sure you consider more than just the price.  There’s nothing worse than accepting a conditional offer just because it’s over the asking price only to have it fall apart a month later when you could have accepted a firm cash offer that was almost as good.

It’s completely natural for both buyers and sellers to experience a wide range of intense emotions as they navigate through the complex real estate process.  However, if you hop on the real estate roller coaster with a competent agent by your side, you’ll not only enjoy the ride but you’ll look forward to doing it again!

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Waterfront and residential sales slow to more average levels.

Residential non-waterfront sales activity recorded through the MLS® system of Muskoka Haliburton Orillia – The Lakelands Association of REALTORS® numbered 206 units in July 2017.  This was down 14.9% from year-ago levels.

On a year-to-date basis, residential non-waterfront sales were still running 7% above the first seven months of 2016.  This was a record for the period.

Sales of waterfront properties came in 29% below last July.  On a year-to-date basis, waterfront sales were down 9.9% from the first seven months of 2016.  This was still the second highest level on record for this period.

“Sales have slowed noticeably this summer, going from record levels in the spring back to historically more average levels in the space of just two months,” said Mike Stahls, President of Muskoka Haliburton Orillia – The Lakelands Association of REALTORS®.  “That said, inventories in Cottage Country remain near record lows so the market is still very tight even with a number of buyers having moved to the sidelines this summer.”

The median price for residential non-waterfront property sales was $282,250 in July 2017, an increase of 5.1% from July 2016.  The median price for waterfront sales was a record $500,000 in July 2017, rising 25% from July 2016.

The dollar value of all residential non-waterfront sales in July 2017 totalled $62.5 million, falling 9.3% from July 2016.  The total value of waterfront sales was $155.4 million, edging up 0.2% from July 2016.  This was also a record for the month of July.

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Renovations Add Value to Your Home

The Biggest Bang For Your Buck!

Whether renovating for yourself… for long term use, or in contemplation of selling, it is important to know where you should start and which items will offer a real payback.

Bathrooms and kitchens are always at the top of any list, and they are often the rooms that make the decision when buyers are comparing homes. However, never underestimate the value of a simple paint job to improve the appearance of a house.

When doing renovations, it is wise not to overspend (or under spend either) and be aware of current trends. The best advice is to hire a contractor or a specialist and do some comparison shopping first. For further information concerning contractors, we would be pleased to offer you our Concierge Service.

Below is the “Top 10 List” according to the Appraisal Institute of Canada (as of the date of their most recent online report).


Payback Potential Trends
  • Painting and décor, interior 73%
  • Main floor laundry room
  • Kitchen renovation 72%
  • Ground floor home office
  • Bathroom renovation 68%
  • Hardwood flooring upgrade in kitchen
  • Painting, exterior 65%
  • Whirlpool bath separate from shower
  • Flooring upgrades 62%
  • Built-in kitchen appliances
  • Window/door replacement 57%
  • Addition of kitchen cooking island
  • Main floor family room addition 51%
  • Non-neutral interior paint colors
  • Fireplace addition 50%
  • “Smart” house wiring
  • Basement renovation 49%
  • Home theatre room
  • Furnace/ heating system replacement 48%
  • Skylights

Painting & Décor (interior)

The most important thing to do when getting your home ready for sale is to ensure that it is clean, uncluttered and has a bright coat of paint. These will appeal to the most number of purchasers and are then in a position to visual their own belongings in the home without being distracted by strong colors or clutter etc.

Each house is unique and we would be happy to discuss and advise you on your specific situation.

The “Spruce-Up” for resale purposes

This option may only cost a few hundred dollars and a few hours of your time. Use this as a check list in getting your home ready.

  • Clean thoroughly. This means removing mould, mildew, cleaning grout, glass porcelain, and tile.
  • Give the room a fresh coat of paint.. in a bright color, preferably white or eggshell to make it appear larger.
  • Have carpets cleaned.
  • Purchase plastic trays and boxes to remove personal belongings from the site, so a potential purchaser can visualize their things in stead. Linoleum, a scratched or broken mirror, stained soap dish etc. Maybe the cabinet knobs would add a new look.
  • Organize drawers and shelves. Use some of those plastic trays for brushes etc.
  • Add finishing touches in the bathroom with a new soap dish, a new bar of soap, a new shower curtain and towels. Does the curtain rod or rings need to be replaced?

Perhaps your home would take on a new look with some of the following items;

  • Slip covers to hide worn or soiled fabric on chairs and couches
  • Curtain rods and curtains to match the covers
  • Cushions to compliment the décor
  • Area rugs to add some pizzazz or warmth
  • A few extra pictures or mirrors
  • Plants and flowers to finish it off.
  • If your home needs more than the basic “spruce up” or you would like to do a more in depth renovation, contact us and we will help you find a good renovations specialist.


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Pricing Your Home To Sell Right

It is very important to carefully consider your pricing options when you bring your property on the market.

Reasons & Consequences of Overpricing

The biggest detriment to selling real estate is the all too common problem of overpricing. Anxious sellers often want to know why their property is not selling. The answer is usually one of three things: Location; Lack of Marketing and Exposure; or Price. There may be extenuating circumstances or factors that come in to play, but these are the most common things, with the most common being Price.

Understanding the Factors that influence over pricing:

Why do we all sometimes make the common mistake of asking too much? There are several reasons. Obviously, we want the highest price possible for our home. Following are a few other thoughts:

  • Extensive renovations have been done, some of which are hidden costs. (Unfortunately, the full costs of renovations are very rarely recoverable and were done for an owner’s specific enjoyment and use); Sometimes there is a perceived emotional value.
  • Some owners expect that their present home should bring them enough money with which to purchase a more expensive home or in a more expensive area;
  • Perhaps an owner acquired the property in a higher market.
  • The price was based on hearsay or general knowledge, without the benefit of a proper evaluation by a real estate professional.
  • Building in bargaining room.

Proper Pricing

Market value is defined at the price a property will bring if exposed for sale on the open market allowing a reasonable time to find a willing purchaser who buys with the knowledge of all the uses to which it is adapted and for which it is capable of being used.

If a property is properly priced it will do the following:

  • Attract a greater number of potential buyers.
  • Increase your chances for a quicker sale and a better price.

Results of Over Pricing

Missing the Right Buyer

You may think that interested buyers “can always make an offer”, but if the home is overpriced, potential buyers looking in a lower price range will never see it to make that offer.Those who can afford the home at your asking price may recognize that they can get more for their money somewhere else. You may

Those who can afford the home at your asking price may recognize that they can get more for their money somewhere else. You may hear things like “It was too small for them” or “they want a main floor family room.. or an extra bedroom etc.”

What they are really saying is “They expected more for the Price”.

Here is a sequence of events you may expect if your home is overpriced:

  • Salespeople who know it is overpriced will show other properties instead;
  • Your home will sit on the market, while others sell;
  • Prospective buyers, seeing your home on the market for a long time, will begin to feel that there is something wrong with your home.
  • You will begin to get anxious and lose patience.
    Because of time constraints and obligations, you will then reduce the price to be competitive and sometimes if the market is changing you may “follow the market down”.
  • Your property may sell for more than it’s worth because it missed the excitement and became a stale listing. The purchaser was in positions to negotiate more aggressively.

The Role of the Realtor

The Realtor does not determine what your home is worth. Market Conditions, Solds, Competitions, and Trends Determine Value, and then together we determine the price.

Don’t pick the Realtor who promises you the highest price to get you to list with them. Pick the one who knows the market and substantiates the price with facts and experience, like Lakeview Realty Inc. We are here for you! Just Contact Us.

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Preparing Your Home For A Showing

As the saying goes…

“You never have a second chance to make a good first impression”

This is especially true when marketing your home. Try to view it through the purchaser’s eyes, and review this check list to see if it measures up. Preparing your home for showing takes some work.

Curb Appeal:

  • Lawn and Garden: mow, trim, weed, and clean away any dead foliage.
  • Extra vehicles: Remove from curb view.
  • Clean windows and sills.
  • Repair peeled and chipped paint on doors and trim.
  • Repair doors, windows, screens, and hardware.
  • Shutters should hang straight.
  • Doorbell works, door hand in good repair.
  • Locks work.
  • Gutters and downspouts in good repair and free of rust.
  • Add potted flowers or planters, wreath or new doormat at the entrance, if it would enhance.
  • Add new house number or brass fixture if it would enhance.
  • Paint the front door if needed.

Driveway, Walk and Front Entrance:

  • Patch holes, so there are no major puddles.
  • Clear snow and ice.
  • Front steps in good repair.
  • Front door opens and closes easily/ no squeaks.
  • Doorbell rings.
  • Exterior light works.

Decks and Porches

  •  Stain or paint.
  • Repair rot.
  • Secure railings.


  • Remove clutter.
  • Remote control works and door opens and closes smoothly.
  • Sweep floors, clean grease spots, store garden tools.

Interior Inspection

  • Clean all rugs and broadloom.
  • Clean all floors.
  • Clean all doors and frames (i.e. fingerprints).
  • Wash or repaint soiled walls. (Note if repainting the walls, it is best to “keep it bright”)
  • Patch and paint wall and ceiling cracks.
  • Fix grout and caulking in bathrooms and kitchen where necessary.
  • Wash all windows.
  • Clean lighting fixtures.
  • All windows should work freely.
  • Wash or clean all curtains and drapes if needed.
  • Organize closets, drawers, and basement.
  • Give away, sell, box or store excess clothing and toys
  • Repair and leaky faucets or toilets as required.
  • All drains should drain easily.
  • All mechanics and appliances should be clean and in good working order.
  • Re-glue loose wallpaper.
  • Burned out light bulbs should be replaced.
  • Use a dehumidifier in the basement if musty odor.
  • De-clutter countertops and cupboards.
  • Clean fireplace.

Now all the major items are repaired or checked, following is an outline of last minute items to show to the best advantage.

Final check list for showings:

  • Garbage containers emptied.
  • Towels clean and matching.
  • Kitty litter changed etc. and pets removed or contained.
  • All lights turned on.
  • Exterior light left on during the evening.
  • Air conditioner turned on in warm weather.
  • Fireplace lit or on in cooler weather, where possible.
  • Halls and foyers clear of obstacles.
  • Out-of-season coats, boots etc. put away.
  • Clear and polish coffee tables and furniture.
  • Straighten bookshelves.
  • Drapes opened during daylight hours.
  • Fresh flowers, potpourri, etc. arranged in various rooms.
  • Put linens on the table and perhaps arrange a setting in dining room or kitchen, where appropriate.
  • Jewelry and valuables locked away.

A few last minute tips:

  • Many purchases are made on an emotional basis. Keep your home warm and cozy, if in winter; or cool and fresh in the summer.. so it feels inviting.
  • Be courteous and friendly if you are home, but never force the conversation with a buyer. It is better if you can arrange to be out for showings, so the potential buyer feels more comfortable and can get a better feel for the home.
  • Don’t discuss price or terms with the buyer. Let the salespeople work with their customers or clients in your best interest.
  • Leave the feature sheets, surveys, and marketing material on display and notify me when you are running low.
  • Never let an agent show your home without a confirmed appointment from our office.
  • Never let anyone wander in off the street, no matter how interested they say they are. Give them our card and have them call us for an appointment and details.

These are the basic things that you should review and do where able or appropriate. There may be some other things that we can assist you with in terms of furniture arrangement and décor, that would make it easier for a purchaser to view your home.

If you need any assistance regarding names of dependable trades people or suppliers to help you get the job done, please don’t hesitate to ask. We are constantly adding to the list from satisfied clients. Visit our Concierge Services for more information

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Preparing Your Home For Sale

Spending the time and effort to prepare your home for sale can provide you with benefits you hadn’t imagined in both the length of time your home is on the market and the price you will realize for your home.

Most people ask us when we evaluate their home what things they need to do to prepare. The most important things are obvious. Do minor repairs, paint where necessary (neutral of course) and remove all clutter. There are a number of inexpensive storage boxes on the market that are attractive and useful, which you can use in your future home as well. It’s a good time to start sorting out and packing in moving boxes …or doing that garage sale that you have been planning for a while.

In the alternative, it is probably a good time to start sorting out and packing in moving boxes …or doing that garage sale that you have been planning for a while. “The Moving Store” has everything you need to begin the packing process, (such as different size cardboard boxes, tape guns, and labels etc.) It is also a good idea to have different colour labels for different rooms. (It makes it easier on moving day.)

If doing renovations.. the most important major renovations (as always) are kitchens, bathrooms and main floor family rooms.

We also have names of contractors, workmen, painters and flooring people that we have used and found reliable. Please click here to visit our Concierge Section.

Even if you are not planning on moving in the near future, but are some planning some improvements, make sure they are the right things.

We would be happy to visit and give our opinion on what to do and the current value of your home. Just Contact Us!

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Steps in Making a Purchase Offer

Making An Offer? Keep these items in mind.


Prior to making an offer, we will have discussed agency with you, and you will have chosen in which capacity you wish Lakeview Realty Inc., to represent you. (Either as a customer, or a client).

Deciding & Preparing

When it comes time to make an offer, (and assuming you have chosen to work with us as our client.. a buyer broker relationship), we can provide information and advise as to the current market information to assist you in making your decisions.

Major elements of a real estate offer:



This depends on the current market conditions, but generally, in a normal or buyer’s market, the price offered by the buyer is different from the asking price. In a seller’s market, however, (and if there is more than one offer), the offering price is often over the list price.


The deposit shows the buyer’s good faith and will be applied against the purchase price of the home when the sale closes. Between 5% and 6% is a bit of a benchmark in the City of Toronto. A Lakeview Realty Inc., Professional can advise you as to an appropriate amount.


Includes the total price and deposit which the purchaser is offering as well as the financing details. The buyer may be arranging their own financing or may ask to assume your existing mortgage if you have an attractive rate and term. (Usually in a market when rates are higher)


These might include “subject to home inspection”, “subject to the sale of the purchaser’s property”, “subject to obtaining satisfactory financing” etc. In a seller’s market, try not to have any conditions. Work out all the details ahead of time.

Inclusions and Exclusions:

These might include appliances, certain fixtures such as light fixtures, heating systems, air conditioning, window treatments etc. If there is something you are not sure about, spell it out. Don’t get caught up on the little things. You are purchasing a home, not chattels.

Closing Or Possession Date:

Generally the day the title of the property is legally transferred to the buyer, and funds are received by the seller. (unless otherwise specified).

You may have made the offer conditional on certain events occurring (i.e. financing/inspection/ sale of purchaser’s property etc.). This is not recommended however if it is a seller’s market and you are in competition. The offer will be prepared, after discussing the details with you.

Presentation & Negotiation

We will then present and negotiate the offer to and with the Vendor on your behalf, along with the listing broker. As mentioned, in a seller’s market, there will often be more than one offer and you will be guided and directed through this process.

The vendor will then have the choice of accepting, rejecting or countering your offer. The counter offer could be for any number of reasons (i.e. the price, conditions, closing date or any other items).

The offer can be countered back and forth until an agreement is reached or the negotiations cease.

Acceptance & Closing

After an agreement is reached, the parties acknowledge receipt of a copy of the agreement. You will continue to be assisted with satisfying the conditions, delivering copies to the lawyers and following through with you until after the transaction closes… and beyond.

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Residential Real Estate Sale Costs

Important Note: This outline and costs are for Residential Re-Sale/Single Family only. Different rates may apply to New Homes & ICI properties. Please check with your professional advisors for specific amounts as this is only a guideline.

Don’t Be Surprised!

Buyers and Sellers are sometimes surprised on closing day with extra costs they had not anticipated, or been advised about. The following is an outline of normal costs. We hope you find it helpful.

Vendor’s Closing Costs

Discharge of Mortgage/Charge

Check with your mortgage, but a standard procedure with some financial institutions (unless an open mortgage, or specifically written in the mortgage document) is to charge a 3 month interest penalty, or the interest differential (whichever is greater). Check this out.

Real Estate Commission + GST on the Commission.

Moving Costs

Moving costs vary. Rates are usually from about $65.00 to $95.00 per hour, depending on the company and the number of people. It will also depend on the size of the vehicle and the time of the month you are moving. (The days around the middle and end of the month are busier and more costly) If they participate in the packing, the cost increases.

Legal Fees

This varies according to the lawyer. Most lawyers charge a flat fee, plus disbursements.   It is a good idea to get a couple of quotes. Make sure you ask what the fee includes (i.e. title insurance/disbursements etc.)

There is usually an extra fee if the lawyer is also acting for the mortgagee. Fees probably will range from about $600.00 and up depending on the Sale Price. Some Title Insurance companies are now doing a closing package.

Note: Some purchasers like to involve their lawyer prior to signing an offer.


Purchaser’s Closing Costs


At the time of presenting an Agreement of Purchase and Sale, you will have an option to submit a deposit cheque payable to the listing broker, or deliver on acceptance. This will be held in trust until closing. The cheque is usually certified and deposited on the day after acceptance. (If you are in a competition situation, it is a good idea to have a certified cheque on presentation.).

The amount of the cheque is usually from about 5% – 6% of the offering price, or more depending on the circumstances and closing date. If you have a home to sell or your money is tied up in a term deposit etc., you can often make arrangements with your financial institution for a short term loan or line of credit.


If there is not a survey showing the current location of fences, buildings, and structures, (and the agreement of purchase and sale does not state that the vendor will provide one) then it may be necessary to arrange for one. The mortgagee will either require a new survey or title insurance. This will vary with financial institutions.

Even if the mortgagee doesn’t require one, you may wish one. (especially if you are planning to do any extensions etc. in the future).

Costs vary from about $700 to $1000.

Title Insurance

This is becoming more popular, especially when there is no up-to-date survey. (As mentioned) or where there may be potential problems, such as encroachments etc. It is often used with mortgage refinancing or assurance for a minor title problem. The fee is in the area of $200 to $300 but could vary with more expensive homes.

The fee is in the area of $200 to $300 but could vary with more expensive homes.

Legal Fees

This varies according to the lawyer. Most lawyers charge a flat fee, plus disbursements. It is a good idea to get a couple of quotes. Make sure you ask what the fee includes (i.e. title insurance/disbursements etc.).

There is usually an extra fee if the lawyer is also acting for the mortgagee. Fees probably will range from about $600.00 and up depending on the Sale Price. Some Title Insurance companies are now doing a closing package. Note: Some purchasers like to involve their lawyer prior to signing an offer.


These are costs that your lawyer will have to pay on your behalf. They include things like the following: Photocopies, Tax Certificates, Zoning clearances and Work Orders, Couriers, Registration of Deeds/Mortgages, Postage, Long Distance Calls, Mortgage Schedules, Sheriff’s Certificate, Condominium Estoppel Certificate, etc. These will vary on different properties, but probably in the area of $600.00 and up.

Statement of Adjustments

The balance due on closing is the difference between the sale price and the amount of your deposit which was presented with the offer. However, there are a few things that get adjusted at the time of closing. The vendor is responsible for everything up to closing date and the purchaser is responsible from then on.

This would include things like Realty Taxes and fuel oil (if heated by oil).

The normal procedure is for the vendor to fill the fuel oil tank (200 gallons is standard) on closing and charge for a full tank. (Unless the purchaser is converting to gas, at which time other arrangements will be made.)

Utilities and Gas (which is metered) will be read on closing.

There may be other adjustments if the purchaser is assuming a mortgage. (Or if purchasing a new home)

Home Inspection

Usually done within 2-3 days from acceptance, although if thought to be in competition, some purchasers will do a pre-inspection. Usually between $300 to $400, plus GST. There may be additional charges if inspecting something specific, such as termites.

Home Insurance

From about $400 and up. Call for quotes. All mortgages must be noted on the policy. There is also an 8% insurance tax.

Note: If purchasing an older home with the old “knob and tube” wiring, you may have to shop around, as some companies will not insure the home unless it is replaced.


Most residential resales are exempt from GST, however, most of the services involved with the transaction will be subject to GST (e.g.- real estate commissions, lawyer’s fees, appraisals, processing fees, homes inspections, insurance, moving costs, etc.) Financial services are exempt (mortgage, brokerage, etc.)

Substantially renovated houses – are subject to GST if purchased from the Builder/Renovator.

Note: GST is a Tax and will not be added to the value of the home for finance purposes.

Land Transfer Tax

This tax is payable at the time of closing and these rates apply to residential resale only. See our post on Land Transfer Tax for rate estimates.

Arranging the First Mortgage

For a conventional mortgage, (75% of the Sale price) there could be a processing fee (from $200 to $300), and/or an appraisal fee (about $200) for arranging the first mortgage. If you choose to pay realty taxes with your mortgage payment, there could be a tax hold back from about 1/3 to 1/2 of the annual taxes or more. This would be for the purpose of building up a reserve to pay taxes in the following year.

Note: If arranging a mortgage over 75% of the Sale price (i.e. high ratio) the processing fees could be about $275 or more (an insurance premium on the principal amount of the mortgage would also apply, but this is usually added to the mortgage and not a closing cost.. from 0.5% to 3.75% depending on the down payment. There is also an 8% insurance tax)

Second Mortgage costs 

If arranging a second mortgage rather than a high ratio mortgage, there would be additional legal fees and Appraisal and brokerage fees. Approximately $500.00 and up PLUS Brokerage of about $475.00 and up.

Closing Date

Just a reminder at this point as to the procedure on the closing date. It will be necessary for your lawyer to obtain the money from you and the mortgagee, either the day prior to/ or the morning of the closing. They then have to arrange a time to close the transaction with the lawyer on the other side of the transaction. It is advisable not to order the moving truck too early in the day, as you are not entitled to the key/ and possession until the deal is closed. You then have to obtain the keys from your lawyer. Don’t pay for a mover to sit outside your new home.

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Understanding Real Estate Market Conditions

The real estate market is always changing. Sometimes quickly, sometimes more slowly.
Lakeview Realty Inc. knows the market and how it will affect your home sale and/or buying decisions.

It is important for you to understand the three basic types of conditions.

Market Type Characteristics Implications
for Buyers
Buyer’s market

(The supply of homes on the market
exceeds the demand, or number of buyers)

  • High Inventory of Listings
  • Few buyers compared to availability
  • Homes on Market longer
  • Prices more stable or dropping
  • You have more time to make a decision
  • More negotiation power
  • More product to choose from
  • Conditional offers considered
Seller’s Market

(The number of buyers wanting homes
exceeds the supply or number of homes on the market)

  • Minimal Inventory of Homes
  • Many buyers
  • Homes Sell Quickly
  • Prices on Increase
  • You may have to pay more than
  • You may have to make decisions quickly
  • Conditional Offers may be rejected
Balanced Market

(The number of homes on the market is
equal to the demand or number of buyers)

  • Demand Equals the supply
  • Sellers accept reasonable offers
  • Houses sell within reasonable time
  • Prices generally stable
  • More relaxed atmosphere
  • Reasonable Number of homes to choose
  • Normal negotiation process
  • Conditional offers probably considered