So you’re thinking of buying a home-Exciting! You’ve done the math and can afford the mortgage payments within your budget (if you haven’t, and need help with that- we can help) Our Lore Group Agents can’t wait to help you get started on your journey to home ownership! But before you do, let’s chat a bit about money, debt, and affordability. Because it’s important to know that mortgage payments are not the only payment you’ll need to consider to sort out a feasible budget and what price of home to buy. Full disclosure: We’re Real Estate Agents, not financial experts….but that doesn’t mean we haven’t learned some helpful financial tips along the way, that we’d love to share with you (You should of course, seek the guidance and expertise of your financial advisor as well, before making any big financial decisions):

Tip #1  LEAVE YOURSELF WIGGLE ROOM: Consider not maxing out your limit. Certainly, we want you to find a home that you love, and will suit your needs for years to come (and we can’t wait to help you get started!) But while you can lock in your current monthly mortgage payments for a period of time (typically 2-5 years), you should be prepared in the future if interest rates were to increase. Similarly, property taxes rates, and utility costs can all fluctuate with inflation, so leaving yourself plenty of breathing room will come in handy should those situations ever arise. And if not, that just leaves you more vacation moneyJ

Tip #2 PLAN TO SAVE: Open a dedicated savings account for future home maintenance and repairs. Home ownership comes with many joys and responsibilities. Whether your home is new or old, unexpected repairs can and will come up that you’ll need to deal with right away; your hot water tank gave out and needs replaced (unless cold showers are your thing). Your dishwasher stopped working (who wants to wash dishes by hand). You’ve got a leak under your sink and need to call the plumber (duct tape doesn’t work. Seriously, it’s been tried). These types of things will happen at some point and saving for them can avoid a lot of financial stress and burden in the future. Consider setting aside at least 1-2% of your homes’ value, per year, in your home maintenance savings account.

Tip #3 PAY THE BANK LESS: Want to be mortgage free faster? Consider increasing your monthly mortgage payments. This doesn’t necessarily need to be a lot. You’d be surprised at how much you will save in the long run and how much faster you will pay off your mortgage, simply by adding a couple hundred dollars or more to your monthly payment. For example, on a $500,000 home purchase with 5% down, increasing your mortgage payments from $2282 to $2482 (that’s based on a 5yr. fixed rate of 3.14%) you’d have your mortgage paid off 3 years faster. Or if this is a starter home and you plan on upsizing into another home in the near future, you’ll have more equity available at the end of your term for your next home purchase.

Buying a home isn’t just about looking at beautiful houses (but it definitely is the FUN part). With the Lore Group, we’ll help you with the FUN part, and of course are happy to share our tips and real estate advice we’ve learned, not just from our careers, but from our own personal experiences in real estate along the way. Reach out to us today at 780-370-3325 for all your real estate questions and for your own personal buyer consultation with one of Lore Group Agents.

Condo living is a lifestyle that many homeowners enjoy. Like all types of Fort McMurray homeownership, there are pros and cons, and some important aspects to consider before jumping in; We will touch on two of these: CONDO FEES and RESERVE FUNDS.

First. Let’s clear up the most common misconception we hear from buyers in the market; that some nefarious “they”, is in charge of fees and can raise and charge you anything at anytime for no real reason at all. This is false. Condo corporations are all of the individuals who own units in a condominium complex. Each condominium corporation has a condominium board, which is basically a group of the owners in that particular condominium complex, who volunteer their time to be on the condominium board. Board members are voted in every year at the Annual General Meeting and should be approachable at any time of year when residents have concerns. As a governance board, this group calls the shots (within the rules established in your bylaws; and certain decisions require all owners input, in which case a vote must be made: like democracy, your vote counts! Because the Board members are volunteers and do not get paid for their time, and typically have regular jobs like the rest of us, it is common for a condo corporations to hire a professional condo management company. Under the board’s direction, the management company oversees the maintenance and day to day operations, and pay the bills, however some condo corporations do decide to self manage, even in Fort McMurray.

Condo Fees (also known as co-ownership fees), are billed to co-owners, typically on a monthly basis. They cover necessary expenses for the regular maintenance of common areas of the building which could include items such as window washing, insurance, common area cleaning, lawn maintenance, snow removal, repairs, management expenses, contributions to the reserve fund (piggy bank for future capital cost replacements or repairs-we’ll talk about this in a minute) and sometimes utilities. As an owner, you do have some say in how your condo fee is spent. Here are some MUST KNOW important information to help preserve and protect your Real Estate investment (because that is really what condo fees are all about):

How are condo fees calculated?

Fees are normally set annually by the condominium board after budgeting yearly operating expenses and reserve fund contributions. The total amount required to cover the condominium’s expenses and contribute to the reserve fund is divided amongst the unit owners. Most commonly, how much you pay is based on the unit factor assigned to their specific unit. Unit factors are proportional to the size of the unit (the larger your unit, the higher your unit factor). Your board should supply you with yearly financial statements and a budget for the upcoming year that will support the required condo fee.

What is a RESERVE FUND and how is it used?

A reserve fund is basically a savings account(that capital replacement piggy bank we referred to earlier), that can only be used for replacement and non routine repairs of common elements of the condo that are the condominium corporations responsibility. In Alberta, all condominium corporations must establish and maintain a reserve fund (that big savings account) to cover the costs of its common property. A reserve fund study, report and plan determines the lifespan and cost of the elements of the condo that the condominium corporation will need to repair or replace in the future, to budget accordingly how much money will need to be contributed to the reserve fund every year. This reserve fund study and plan is required by Alberta law at least once every five years and should be available to owners to review. It is very important that purchasers (and owners!) understand the importance of the reserve fund, as these funds are built up over time and can have financial impact in the future if the plans are not followed.

Additional costs can occur.

Just like owning any other type of home, the unexpected can happen regardless of the best financial planning and maintenance. When the unforseen occurs (such a huge hail storm or the rising insurance costs that homeowners across North America are experiencing) If there are not enough money in the reserve fund or the operating budget, the condo corporation could charge a special assessment. This often comes as an unpleasant surprise because it means having to contribute an additional (sometimes large) sum all at once. Think of it this way. If you bought a home, and the hot water tank had just been replaced 2 years ago, based on average lifespan of a hot water heater you shouldn’t need to replace it for at least another 5-7 years. But if your hot water heater fails early- you as the home owner, would need to pay to have it repaired or replaced immediately (unless you like cold showers), even though it wasn’t in your budget. The same concept applies to condominiums.

Is the condominium corporation in a good position?

As a condition of your offer, you can have the advantage of looking at the reserve funds and all of the condo documents that are available such as reserve fund plans, financials, budgets, meeting minutes and bylaws. As a potential future owner, you should thoroughly review all of these documents to familiarize yourself with the ongoing business and financial position. To avoid surprises and reduce risk, we recommend you also have these documents looked at by a Condominium Document Analsyt that will review the facts and information found in the Condominium documents and create a simple to understand report for review.

Consider this…Owners of single family homes should set aside at least one percent of your home’s value every year for home maintenance. For example a $360,000 house, this works out to $3,600 per year, or $300 per month. This does not include utilities, like many condos. So if water, power or gas is included you need to factor that into what you could reasonably expect condo fee to cost. Also factor in any additional amenities. Does the condo you are considering have a gym, pool, workshop or other amenities that may save you $$$$ in outside membership fees? Regardless of what housing type you choose, costs to maintain, repair and insure must always be factored in. This is exactly what a condo fee is intended to do.

Is Condo Life for you?

Condo life can offer a Maintenance- FREE life style. If you would like to explore the Fort McMurray condo market and discuss whether a condominium is the right choice for you feel free to reach out to one of our experienced Lore Group Real Estate Professionals

It’s been quite a crazy summer for weather this year in Fort McMurray. Don’t put your hands over your ears… We know you don’t want to hear it yet but fall to soon fall will be upon us. As the days get shorter and you start planning for the kids to go back to school don’t forget to prepare your home.

CLEAN OUT THE GUTTERS
Gutters get a lot of action in the fall and winter. While this is not the most fun job don’t forget to clean gutters of all debris and repair any leaking areas to avoid water leaking and dripping that can cause dangerous ice build ups where people walk.

INSPECT YOUR ROOF SHINGLES FOR DAMAGE
The last thing you want is water dripping on your head in November. Check ridge shingles for cracks and wind damage. Look for damage to metal flashing in valleys and around vents and chimneys. Scan the entire roof for missing, curled, or damaged shingles. Look in your gutters for large accumulations of granules, a sign that your roof is losing its coating; expect problems soon. If you see any signs of damage consult a roofing specialist before it gets to cold to deal with it. This will save you HUGE dollars

MAKE SURE YOUR ATTIC HATCH IS PROPERLY SEALED
Check your attic hatch to ensure it seals tightly. While you are up there check to ensure all of your vents are clear for proper airflow and that your insulation is even throughout. Attic rain is caused by excessive accumulations of moisture in the attic of the home, which freezes during cold weather and melts when warmer temperatures hit. The resulting damage can be costly, a bit of fall maintenance can help you avoid this issue.

TURN OFF YOUR OUT DOOR SPRINKLERS AND FAUCETS
It might be a little early for this yet. Set your self a reminder as the cold weather approaches. Remove any hoses from the outdoor faucets and make sure you properly drain any in ground sprinklers.

FROST PROOF EXPOSED PIPES
Circumvent frozen pipes by wrapping any exposed areas with heat tape. Frost-proof spigots with a faucet insulator and shut off any unnecessary water supply. This is particularly important in mobile homes.

SERVICE YOUR FURNACE
This is the perfect time to book that annual check up with your Hvac guy. Have your furnace serviced, inspected and cleaned. Replaced old filters with new.

SWITCH YOUR CEILING FAN BLADES
A common preparation for the chillier seasons is to change the direction of your ceiling fans. In the warmer months, your blades are best turning counter clockwise or forward to blow the cooler air down. In the fall and winter, you want the blades to turn clockwise or backward to draw air up toward the ceiling and thrust warm air down. This simple trick can be a huge saving on your heating bill.

CLEAN YOUR VENTS & CHECK THE CHIMNEY
During the summer dust and pet hair can build up in your vents. We often have windows and doors open during the warm season for fresh airflow but as the weather cools off we seal up our home. Cleaning vents allows unrestricted air flow and a healthier environment for your family. Less dust to deal with is also an added benefit. Do a visual check of your chimney to ensure there are no crumbling bricks or bird or squirrel nests inside. If you are not comfortable going onto your roof hire a local professional to inspect.

CHECK/REPLACE WEATHER STRIPPING
Weather stripping loses its effectiveness with age and needs to be replaced every few years. Do a visual check of the stripping around exterior doors and windows (including your garage door) and replace if it appears worn or cracked. If the stripping appears fine but you can feel air moving when your doors and windows are closed, check that the stripping has been installed properly or that you’re using the correct stripping (there is a difference between door and window stripping, and a difference between foam and rubber stripping).

COMPARE ENERGY RATES
This is the perfect time to get out those energy bills we all hate to look at and compare rates. Make sure you are getting the best deal. Check out https://energyrates.ca where you can compare plans of all of the providers and find the best fit for you.

ENJOY THE FINAL DAYS OF SUMMER WITH YOUR FAMILY
This is the perfect time to get out and explore some of the great out door activities Fort McMurray has to offer. Check out Heritage Park https://fortmcmurrayheritage.com. Enjoy the sandy beach and campground at Gregiore Lake, explore the Birchwood Trials. Check out http://www.fortmcmurraytourism.com/things-to-do for a great list of events and things to do with the family this summer.

IS FALL IS GOOD TIME TO SELL??
The warm weather housing market is coming to a close and you may be considering selling and wondering if fall is a good time to sell. This may be exactly the right time. Fall brings a more serious pool of buyers that feel the pressure to get into a Fort McMurray home before the holidays. Did you know that millennials and empty-nesters usually swoop in a bit later in the year. Employers who need to relocate their workers quite often wait for the fall. If you are considering selling your home and would like more tips on how to prepare your home to get maximum value or would like a FREE MARKET EVALUATION feel free to reach out to one of our experienced Lore Group Realtors. We can’t wait to hear from you.

What’s going on in Our Fort McMurray Market?

 Real Estate Markets are constantly in flux and Fort McMurray is no exception.  Our Group would love to share with you real information based on facts and statistics, and clear up some of these common recent misconceptions. For home sellers, knowing all the data and facts surrounding the market is critical to helping you maximize the selling price.

 #1 The market is flooded with listings; 

Currently there are only 610 active and conditional listings on the market in the Fort McMurray Region. With the exception of  2018 (a very low listing month) This is actually a 12-25% decrease in number of homes for sale compared to the same month (January) during the last 5 years.

#2 All Homes are taking a long time to sell.

This is a Myth…There are many variables which impact the number of days it takes for a home to sell. Price, marketing, area, type of property, etc. While certain properties may take longer, the average days on market in Fort McMurray for January was only 78 days… so less than 3 months. So with the right price and a great marketing team on your side your home may be sold very quickly.

#3 Spring is the best time to sell.

Historically our busiest time of year is late spring. These months tend to mean higher number of sales, as well as lower average days on market. But does that mean you should wait? Sometimes, listing your home PRIOR to the spring market can give you an advantage. There is LESS competition, and buyers are out shopping for their homes in hopes to move in before the summer.

What does this mean for Sellers? January market stats still indicate a Buyer’s market, but the market IS moving, and homes ARE selling. If you are considering selling your home, and would like professional advice and our teams strategy for a timely & successful sale, at no obligation, we would love to hear from you.

Please contact us anytime.

Retirement’s so close you can practically feel the sand between your toes and imagine the leisurely days when no alarm clock beckons you to work before the sun comes up. As you near this long sought after goal of new found freedom, there is much planning to do. One consideration may be whether to remain in your current Fort McMurray home and neighbourhood, downsize in your location, or perhaps even relocate.

Although you may have been a homeowner for decades, you might be OK with never having a mortgage payment again.There are plenty of reasons you may decide to put your house up for sale. If you own your Fort McMurray home outright or have a lot of equity, selling could be the boost your retirement accounts need.

The kids are grown and flown the coop, you may start to realize the home where you raised your family may now not perfectly suited to your new lifestyle…too many stairs & maintenance perhaps. Is much of your home unoccupied? If you want to stay in Fort McMurray, to be close to your grandkids, friends and family, downsizing is a good option for you.

Did you know that Sellers aged 52+ are typically buying smaller homes. It’s an opportunity to invest your home equity into another property. Less maintenance, more manageable utilities and taxes, easier access to services and healthcare. Perhaps you love to travel…a condo may provide the maintenance free lifestyle and security to allow you to pack a bag and go at the drop of a hat without worrying about who will water the lawns and shovel the huge driveway. The Fort McMurray Real Estate market offers many great smaller home and condominium options, at affordable pricing.

If you would like a complimentary professional market evaluation on your current home to assess whether selling is the right plan for you, or a consultation to explore new housing options that fit your retirement goals, one of our Lore Group Realtors would be pleased to meet with you. Call us today 780-370-3325!

If you’re considering Purchasing a Fort McMurray Condo, there are some awesome deals to be had right now; But how do you know you aren’t buying into a problem? Reviewing the condo documents is vitally important, as it is the only tool you have to assess the stability of the condominium corporation.

Once you find a condo you love, and are ready to make an offer, ensure a review of the documents is a condition in your offer to purchase. Buyers should read and do a thorough review of the documents themselves, but often the piles of documents can be overwhelming. Your Lore Group Real Estate Agent also recommends a professionally review, and don’t worry, our group can provide contacts for Company’s where reviewing pages and pages of documents is there specialty.

A Condominium Document Review can save you $1000’s of dollars. The Condo Document reviewer conducts an analysis of the reserve fund (the big savings account meant for common capital expenses), to determine the financial condition of the corporation. The professional reviewer also looks at bylaws and identifies items such as pet policies, age restrictions, insurance details and other items that may be important in deciding if the complex is a good fit for you. Meeting minutes are reviewed to ascertain whether any upcoming changes, issues or potential special assessments or increases in condo fees are have recently been discussed.

While there are no guarantees, having a review BEFORE you purchase will help give you confidence and PEACE OF MIND. The cost is around $400.00, but could SAVE YOU BIG DOLLARS AND STRESS IN THE FUTURE.

Have more questions about condos? Reach out to our team, we are happy to help 780-370-3325

TIPS FOR SELLING YOUR HOME QUICKLY

Want a sold sign on your front lawn sooner? Here are some helpful Tips

• Ensure your home shows well, inside and outside. Eliminate clutter. Shovel the driveway, sidewalks and steps. Make sure every room has adequate lighting. Imagine that a special guest is visiting your home, and clean up and prepare accordingly.
• Get things fixed. You probably don’t have time for a major renovation. So just make sure everything in your home is in good working order. Deal with any obvious maintenance issues, such as a leaking faucet or a gate hanging precariously on one hinge. Having a pre-listing home inspection can help you identify items that need attention prior to putting your home on the market and save you from having to negotiate on home inspection items when a buyer brings an offer.
• Be realistic with price. If you set the listing price higher than the current market value of your home, then you’re not going to get many, if any, viewers. You want the list price to be attractive, which means listing at the current market value. Ask us for a Free Market Evaluation so you can better understand where your home should be positioned in the marketplace.
• Be flexible with viewing times. You want as many potential buyers as possible to see your home. Do your best not to restrict showings. Make sure your home is as “available” as possible for showings. This may cause you and your family some inconvenience, but the reward will be selling your property sooner.
• Work with a Lore Group real estate professional who understands the area and the local market. One of our knowledgeable and experienced Team members will be able to recommend a variety of strategies that will help sell your home faster.

There is no certain timeframe that your home with sell in. With these tips and a Comprehensive and Aggressive Lore Group Marketing Program you will certainly increase the chances that you will sooner and for a good price.

DOWN-SIZE TO SAVE DOLLARS AND SIMPLIFY YOUR LIFESTYLE

There are many reasons home owners may decide to downsize; retirement, empty-nesters (the kids have finally flown the coop:), or those joining the ranks of a growing number of hard-working, money-smart homeowners who just want to simplify their lives. For these individuals, downsizing is a savvy strategy that makes a lot of financial sense.

Downsizing is a huge financial and emotional decision, one that should include a lot of thought and careful future planning before you put the for-sale sign on your lawn. It’s a huge decision, but down-sizing doesn’t have to mean giving up your lifestyle. In fact, when done right, you can end up with an even better quality of life, with time to enjoy other pursuits: family vacations, hobbies, grandchildren and new interests (take up that painting or yoga class, or climb that mountain you’ve always dreamt about). It also makes sense that downsizing means reducing expenses, which can now be used for other endeavors.

Timing is everything when you are contemplating downsizing. There are a lot of moving parts to consider in addition to your new lifestyle goals. Current Fort McMurray housing values, the ever-evolving real estate market and interest rates are all important factors that one of our Lore Group Realtors can discuss with you to help you plan. Downsizing out of Fort McMurray?? We have many great connections with experienced professionals in other communities Canada Wide, that can assist you with your home search and help make the move seamless.

There are a few simple steps that will help you move toward your goal of living smaller and living well.

1. Take stock of what you really need by looking at how you live your daily life.
2. Declutter your home by focusing on your new life and what you need to take with you. Sell, donate or gift items in your home and closets that you don’t use. Chances are if you haven’t used something in years you just don’t need it (except grandma’s china, and maybe your platform shoes-that will come back in style for sure!) Think of downsizing your things as a process not a race. Enlist support from family and friends.
3. Think about the activities that are already a part of your daily routine and lifestyle, and those you’d like to add to your life, when consideration what type of home and the location you will move to. Do you enjoy outdoor activities, the foodie scene? Are you attending school?
4. Transportation: Are you downsizing the number of vehicles you currently own, would living near public transportation be important to you? How many parking stalls or how large of a garage will your new scaled down lifestyle require?
5. Prepare for selling Your Home:What do you need to do to get the highest possible price (painting, repairs, yard care, staging, other)? What is the right price for your home and why? How long will it take to sell your home, and when it the best time to list it? This is the perfect time to request a complimentary market evaluation from an experienced Lore Group Realtor who can answer all these questions. Don’t be afraid to do this well in advance of your lifestyle change. It is never too early to plan and get the information you need.
6. Start you search for a new home early: While there are certainly many online options available to you to for your home search, there is no substitution for talking with a knowledgeableLore Group Real Estate Agent and touring houses yourself. This is the fun part!
7. Crunch the numbers:  Don’t forget to factor in the selling and buying costs. Include items such as mortgage fees, legal fees, commissions, moving costs, title insurance, rpr and the like. Ask your Lore Group Realtor to review closing costs with you to help keep you on the straight and narrow financially. Inquire with us how you can reduce your moving costs by using the Coldwell Banker Fort McMurray moving truck for free.
8. Maintain a positive outlook: Downsizing your lifestyle and moving can be stressful. Be kind to yourself, take breaks from the packing and planning and enjoy.

There is no one-size fits all lifestyle. Down-sizing (just like up-sizing) is not the right choice for everyone! If you love your home and all the memories it holds, or you need the space that your larger home or yard affords, you may decide to stay- And that’s okay!