How to Sell a HouseSelling your home can be an incredibly emotional and sometimes even stressful process that can reduce even the most buttoned-down professional to a pile of nerves. That’s why it’s important to follow the right steps when selling your home. Whether you know a little or a lot about how to sell a house, we’ve put together a quick, step-by-step guide on the process to help point you in the right direction and ensure your selling experience is as easy and stress-free as possible. Decide to Sell Your Home and be Ready for Costs You May IncurMake sure you’re ready to sell your home, both emotionally and financially. How much does it cost to sell a house? There are major and minor costs to selling a house, and none should be overlooked.The major costs associated with selling a house (or seller closing costs) include: Real estate agent commissions (these vary based on province, region, and your agent’s commission cost structure), as do the taxes on these feesPayment of legal fees to lawyers, plus the taxes on these fees. Real estate lawyer fees for sellers generally range between $1,000 and $2,000, but your actual cost will likely vary.  A list of just some of the services your lawyer will provide for you include: Title Search: Ensures that the seller closes any outstanding permits and agrees to pay any other outstanding items from the proceeds of the sale of the house. If the buyer’s title search reveals any restrictions or easements, the seller’s lawyer will offer solutions designed to keep the transaction moving forward. Letter of Direction: The seller’s lawyer will verify any document and outstanding mortgages or lines of credit on the property and provide the buyer’s lawyer with a Letter of Direction that states that any proceeds from the sale of the property will be used to pay off all debt and taxes owing on the seller’s house. The seller’s lawyer also verifies any property tax information and provides it to the buyer’s lawyer. Statement of Adjustments: The Statement of Adjustments is a list of the expenses owing or prepaid by the seller at the time of closing. This list includes utilities, property taxes, parking permits, condo or HOA fees, and more. For example, if the seller has already prepaid their yearly property taxes but the house is sold halfway through the year, the buyer must pay the seller the balance for the second half of the year. The seller’s lawyer is required to verify the amounts and terms of all the items on the Statement of Adjustments. Closing Duties: On the closing date, the buyer’s lawyer will electronically transfer funds to the seller’s lawyer. The seller’s lawyer will confirm receipt of the funds and use them to pay outstanding mortgages and debts as per above. The seller’s lawyer also prepares a final report on all of the above and releases the keys to the buyer’s lawyer. The seller’s lawyer then deducts the seller’s closing costs (such as real estate commissions and legal fees) and credits the final remaining balance to the seller – all usually within 24 hours of closing the sale! Other expenses that might be incurred when selling your home include: Home preparation (including damage repairs, renovations, painting and cleaning) Staging Pre-listing Home Inspection or Condo Status Certificate. While a pre-listing home inspection by the seller is NOT usually required, condo buyers almost always want to view a recent Condo Status Certificate. The Condo Status Certificate provides an in-depth overview of a condo building’s management policies, financial statements, general health, and any relevant information about your particular condo unit. Mortgage Penalty (if you’re selling before your mortgage term ends or are unable to port your mortgage) Bridge Financing costs (if you’re selling and buying at the same time, and your buying and selling closing dates don’t coincide) Consult with a Local Real Estate ProfessionalNo financial or other commitment is required on your part for the initial meeting with an agent. It will be educational and help you determine if you and the real estate agent are a good fit. Your RE/MAX agent will provide you with a comparative market analysis and talk about all the tools they’ll be using to help sell your home the fastest. Pricing Your House Correctly: Or How to Sell a House FastOnce you’ve chosen an agent, they’ll help you establish an asking price for your property. Houses that are priced in keeping with what the market will bear generally sell the fastest. Prepare Your Home for SaleView your home through the eyes of the buyer and ask yourself what you would like to see when you open the front door. You’d likely want to see a clean, freshly pained and uncluttered space where you could see yourself living, right? If you’re unsure what to take on, your real estate agent will give you tips on de-cluttering and other things to help your home be more saleable. This will be especially useful if your home has more than its fair share of “interesting” quirks. And if you’re wondering how to sell a haunted house, well, your real estate agent can probably dig up some tips on that topic as well.  List Your Home for SaleWhen everything is in place, your agent will put your home on the open market and MLS. But your RE/MAX agent will also work hard behind the scenes, marketing your property to colleagues, clients and other contacts! Schedule ShowingsPotential buyers may ask to see your home on short notice. It is best to accommodate these requests if you can, as you never know which buyer might be “the one.” After each showing, your RE/MAX agent will follow up with those who viewed your home to hear their feedback. Begin Negotiations & Accept OfferIf everything goes well, a buyer’s agent will present your agent with an offer. You have three choices – accept, counter, or reject the offer. Your RE/MAX agent’s knowledge of your needs will enable them to represent you in the best way possible. Being Under ContractAt this point, you’ve accepted an offer and have agreed to all the terms set forth in the contract. Understanding the Conditional PhaseWhen the agreement of purchase and sale is accepted and signed by all parties, the Conditional Phase begins. The buyers will have a pre-determined amount of time to fulfill items, including home inspection, financing, home insurance, etc. On the date the conditions are removed, you’ll have a firm and binding contract for the sale of your home, and you can place the “SOLD!” sign out front. ClosingThis is the date of transfer of funds and ownership that was agreed upon in your binding contract. Be sure you are packed up and ready to go before this date! Have More Questions?If so, you’re not alone. RE/MAX Canada hit the streets in a new video series to find out just how much (or how little!) the average person knows about the housing market, and offer some answers in the process..Still have questions? Connect with a RE/MAX agent to get the answers you’re looking for.The post 10-Step Guide to Selling Your Home appeared first on RE/MAX Canada.

Over the last few years, the costs in the nation’s capital have often led to questions such as, “Why is Ottawa so expensive?” Well, conditions are starting to improve modestly now that interest rates are coming down.The Bank of Canada (BoC) is beginning to cut interest rates, meaning that rates across the Canadian marketplace, including mortgage costs, will also ease in the coming months or years. This is good news for first-time homebuyers looking to finally reach homeownership after two years of rising mortgage rates and sky-high home prices.In the Ottawa real estate market, households are starting to feel the effects of lower interest rates. According to CTV News, the average income needed to buy a home in Ottawa was $129,650 in July, down from $131,210 in June.Of course, savings from rate cuts were offset by a tepid increase in home prices. New data from the Ottawa Real Estate Board (OREB) showed that the Home Price Index (HPI) composite benchmark price was $648,900 in July 2024, up 0.1 percent from the same time a year ago. The HPI for a single-family home was $734,700, while the benchmark price for a townhome was $506,100. The apartment price was $422,800. In the first seven months of 2024, the average price was $681,082, up one percent from July 2023.While homebuyers might be experiencing some financial relief, renters are not enjoying the same reprieve. New data show that rents for one-bedroom apartments climbed 1.5 percent month-over-month in July to $2,015. Likewise, rents for a two-bedroom unit rose 1.2 percent to $2,506.So, why is housing in Ottawa so expensive anyway? Additionally, why is rent so expensive in Ottawa? Industry experts, alluding to different data and trends, have presented various opinions over the years explaining why the Ottawa housing market is quite costly.Why Is Ottawa so Expensive?Ottawa, the sixth-largest city in Canada and the second-largest in the province, with a population of more than 1.4 million people, maintains many vital industries, such as life sciences and biotechnology, professional services, IT, and public service. Ottawa enjoys one of the highest-educated workforces in the nation.Put simply, Ottawa is known for its high living standards and stable economic conditions. As a result, the cost of living and high prices for basic goods and services in the nation’s capital continue to be an issue, creating a situation whereby the population asks why is Ottawa so expensive. This is making it harder for low- and middle-income households to live comfortably. Since 2017, the cost of living has rocketed nearly 20 percent, home prices have surged more than 50 percent, utilities have risen 10 percent, and rental costs have spiked 86 percent.If home prices are within reach, above-trend mortgage rates might also be a factor. They have been high since the central bank launched its inflation-fighting endeavours in the spring of 2022. The five-year conventional fixed-rate mortgage finally fell below six percent in July, though it will be time before this figure eases even more. As a result, many homebuyers struggle to pass the mortgage stress test. Even with the Bank of Canada’s recent cuts, housing affordability remains a concern in Ottawa.Ultimately, Ottawa is expensive across the board, from groceries to utilities to housing. This has created a wealth gap between low- and high-income residents, leading to financial challenges in obtaining childcare, leisure activities, and food. It is no surprise that Ottawa is the third-most expensive city in Canada after Toronto and Vancouver, according to a study by the Canadian Center for Policy Alternatives.Conditions might not improve either as more young families are relocating to Ottawa. Over the last six years, the population has increased by approximately seven percent, bolstering demand for housing – both to purchase and to rent. This has created a situation where more households are competing for limited properties. While new housing construction has improved in recent years, supply is below historical averages.The local real estate association recently found that new listings were 6.3 percent below the five-year average and nearly seven percent below the ten-year average. Additionally, active residential listings were more than two percent below the decade average for this time of the year. Housing stocks may not catch up to demand this year as housing starts are down about 14 percent year-to-date compared to the same time in 2023, according to the Canada Mortgage and Housing Corporation (CMHC).As previously noted, rents are not showing signs of slowing down. One of the reasons why Ottawa is so expensive is that the apartment market is quite competitive amid tight supply and solid demand. The development of new housing units is not matching with the population growth, exacerbating shortages in the wider Ottawa real estate market.Until inventories normalize and keep up with demand, families will continue to ponder the question, “Why is housing in Ottawa so expensive?”Ottawa Versus the Rest of CanadaWhile all these numbers suggest that Ottawa is expensive in terms of housing and basic living expenses, it is important to note that it is still less expensive than living in the major urban centres of Toronto and Vancouver. However, it can be challenging for people living paycheck to paycheck to manage the rising cost of basic necessities. It is difficult for new home buyers to get on the first step of the homeownership ladder, as many cannot qualify for a mortgage. Mortgage rates are expected to continue falling heading into 2025. For now, the financial situation is sticky and stubborn.Indeed, Ottawa’s cost of living presents challenges to many families. At the same time, experts are optimistic about the city’s future. They anticipate continued growth in the housing market, which is sensitive to economic changes and highly dependent on interest rates, inventory levels, and policies to address supply constraints. This optimism offers a sense of hope to residents and prospective homebuyers repeatedly asking why is Ottawa so expensive.The post Why Is Ottawa so Expensive? appeared first on RE/MAX Canada.

Homeownership is a significant milestone for many Canadians, but with the rising costs in the housing market, getting into the real estate market is getting more difficult. The good news is that you’re not alone. There are government homebuying incentives in Canada designed to ease the financial burden and help make your dream of owning a home a reality.Federal Tax Incentives for Buying a HomeFirst-Time Home Buyers’ Tax Credit (HBTC)The First-Time Home Buyers’ Tax Credit (HBTC) is a non-refundable tax credit to offset some of the initial costs associated with purchasing your first home in Canada. The HBTC provides a tax credit of $5,000, which translates to up to $750 in tax savings for the year of purchase.Federal Government Homebuying Incentives in CanadaHome Buyers’ Plan (HBP)The Home Buyers’ Plan (HBP) allows first-time homebuyers to withdraw up to $60,000 from their Registered Retirement Savings Plan (RRSP) to help purchase or build a qualifying home without incurring immediate tax penalties on the withdrawal. Each individual can withdraw up to $60,000, allowing a couple to withdraw up to $120,000. The amount withdrawn must be repaid into your RRSP over 15 years, beginning the second year after the withdrawal.Tax-Free First Home Savings Account (FHSA)The Tax-Free First Home Savings Account (FHSA) combines the advantages of a Registered Retirement Savings Plan (RRSP) and a Tax-Free Savings Account (TFSA) to help first-time homebuyers save for a down payment. You can deposit up to $8,000 per year into an FHSA, with the maximum lifetime contribution limit being $40,000, all of which is tax-deductible. Investment growth within the FHSA is tax-free, and withdrawals that are used to buy a first home are also tax-free.Provincial Government Homebuying Incentives in CanadaFirst-Time Home Buyers’ Program (BC)This program provides exemptions or reductions in the Property Transfer Tax for first-time homebuyers in British Columbia. It offers full exemption for homes up to $500,000 and partial exemption for homes between $500,000 and $525,000.Alberta First Place ProgramAdministered by the City of Edmonton, in partnership with the builder community, The Alberta First Place program offers homeownership opportunities by repurposing surplus school building sites for the development of affordable homes.Saskatchewan First-Time Homebuyers’ Tax CreditThe Saskatchewan First-Time Homebuyers’ Tax Credit provides a non-refundable tax credit of up to $1,050. This is calculated as a percentage of qualifying home purchase costs, subject to provincial limits.Land Transfer Tax Refunds for First-Time Homebuyers (Ontario)Ontario offers first-time homebuyers a refund for all or part of the land transfer tax. The maximum refund is up to $4,000.Home Ownership Program in Quebec (Accès Condos)The Accès Condos program facilitates the purchase of a condo with a down payment as low as $1,000. The program provides the opportunity to buy a condo with just $1,000 down.Tax Credit for the Purchase of a First Home (Quebec)This credit provides financial relief by offering a non-refundable tax credit to first-time homebuyers in Quebec. It is a non-refundable tax credit that translates into savings on your provincial income tax.Newfoundland and Labrador First-Homebuyers ProgramThis program offers financial assistance to first-time homebuyers in Newfoundland and Labrador to help with their closing costs. The program provides 50 percent of the closing costs up to $1,500 plus a repayable loan up to five percent of the purchase price of a new or existing home, to a maximum purchase price of $350,000.New Brunswick Home Ownership ProgramThe New Brunswick Home Ownership Program is a provincial initiative designed to make homeownership more attainable for low- and moderate-income families in New Brunswick. The program offers financial assistance for the down payment on a home in the form of a forgivable loan or grant.Nova Scotia First-Time Homebuyers Rebate ProgramThe Nova Scotia First-Time Homebuyers Rebate Program offers a rebate to offset some of the costs associated with the Harmonized Sales Tax (HST) on newly built homes or significant renovations. The rebate provides up to 36 percent of the provincial portion of the HST paid on a newly constructed home or substantial renovations, up to a maximum purchase price of $450,000. The maximum rebate is $3,000.PEI First-Time Home Buyer ProgramThe PEI First-Time Home Buyer program provides an interest-free loan of up to 5 percent of the home’s purchase price for up to 10 years.Regional & Municipal Homebuying Incentives in CanadaAttainable Homes Calgary Corporation (AHCC)The AHCC provides affordable housing solutions for qualified buyers in Calgary, including down payment assistance. You need to contribute $2,000 of your own funds towards the down payment. The incentive amount for subsidized homes is up to $50,000 in shared-equity loans for down payments on qualifying properties.Toronto’s Home Ownership Assistance Program (HOAP)Toronto’s HOAP provides down payment assistance loans of up to $50,000 to assist with down payments, which are repayable upon the sale of the home. Other cities in Ontario, like Kingston, Collingwood, and Haldimand-Norfolk, have similar down payment assistance programs.Contact a RE/MAX agent today to explore how we can help you find your perfect home and make the most of the available Canada homebuying incentives.The post Incentives for First-Time Homebuyers appeared first on RE/MAX Canada.