Holding Steady in an Uncertain Market: The Rural Boom

Spending time in your family home in the wilderness a few months is restorative.  For many, hunting and fishing can make time stand still, in a good way.  

That’s why people love my neck of the woods.  Bancroft is a sanctuary for many, even those who don't live here year round.  

Make no mistake though, the real estate market has changed in rural areas.  It will change more.  The Globe and Mail reported in March on the growth of towns within 100km of the GTA.  They're becoming commuter towns, even if the commutes are crazy. Then the Toronto Star reported just this week on the cost of recreational homes and cottages in Haliburton soaring.  It is happening in Bancroft.  We are no longer an affordable Muskoka.  

Vacant land is becoming difficult to get hold of on some of the most popular lakes in the Bancroft area, like Paudash and Baptiste.  

Should you wait much longer to get your lake home search started?  

Or should you hold out on your higher price if you have such a property for sale?

Will small lake cottages even be an option in five years?

In many areas, the answer could be no.

I know people who have been waiting to buy until the bubble bursts.  They've been waiting almost a decade.  I know people who become rushed to sale, convinced the peak is here.  They missed out on higher returns.  We don't know.  The cooling of the GTA market, by legislation, will come to mean something for rural Ontario over the next few seasons but luxury properties could be safe for yet a few more.  

I think now is a good/great time to sell but I can't tell you it's the best time to sell.  We will only know that in hindsight.  You will do well if you sell now. 

Now is not the ideal time to buy, but things could get more expensive.  The march of time shows us this.  Move now, but go in with a good down payment and lock in low interest rates.  That is the best way to protect yourself from volatility. 

Change is not necessarily a bad thing.   Our industry has dealt well with the shift to digital real estate searches on REALTOR.ca and clients are better informed of their rights and obligations now.  Cell phones allow me to handle multiple transactions at once.  I can get signatures from clients around the world to ensure deals get done in a timely manner.  It's good!

My hope is that residential homes that aren't as recreational, and not as attractive to city buyers, remain affordable and attached to the cost of living here.   

I have been adapting to change in this industry for almost 30 years.  I will continue to change and grow.  I've seen three recessions and uncertain times in global markets at least eight other times.  I look forward to helping you through this next round. 

Check out RECO for more information on the changing real estate landscape.

Warmly, 

Sharon

The Pen is Mighty: Your Guide to Fine Print in Real Estate

I wonder if I would have even needed glasses were it not for all the fine print I’ve read over the years in real estate.  Yes, the pen is mightier than the sword, even when the print is as tiny as it is on real estate contracts.

Many people assume all the paperwork involved with buying and selling real estate is always perfect. After all, these are professionals drawing up the contracts, right?

Right, but professionals are humans too. And we know that humans are prone to….. mistakes.

So when I tell you to read all the fine print (actually, read the big print as well), it is mandatory. You are signing contracts for large amounts of money. Do not take these binding documents lightly.  I ask all my clients to look closely, ask questions and never sign something they don't understand.

It’s one thing to sign your child up for tae kwondo instead of ballet.  It’s quite another thing to sign up for a mortgage that has holes in it.  Maybe the area in which you are buying doesn’t allow certain sized homes on less than two acres?  Or you sign up for a mortgage five years longer than you had originally intended.  Not a good way to start your retirement!

What if your property taxes are not included in the monthly mortgage payment like you were told?  Terrible things like that really do happen if you don’t pay attention. Or if you have a real estate agent asleep at the wheel.

Being sharp is part of my promise to my clients. The reason is, often I am called on by them to answer questions about contract details.  Sometimes, answering these questions requires some research.  I do that part too.  This afternoon, a property that I have almost sold half a dozen times has a new interested party.  But they have really good questions, ones I haven't been asked.  So I am digging and working to make sure everyone understands the deal.

Clients trust me to be in their corner to fight the devil that hides in the details. And if I can’t answer them with absolute certainty, we will call upon our trusted real estate lawyer to help us.  You never want a Realtor® too proud to look it up or pick up the phone.

At the end of all real estate transactions you will receive a copy of the contract. Make sure you have plenty of room in your filing cabinet by the way. But having a copy won’t do much good if you failed to read it carefully, or left questions unasked to your Realtor®.

Remember: The pen is mightier than the sword even in the world of real estate. And guess who is holding that powerful instrument at the end of the day?

That’s right. You are.

So make sure you don’t use it until you are 100 percent sure you know what’s on the papers in front of you.

Each and every one of them.

PS: You should get familiar with the many real estate forms listed below.  They are all standard for real estate transactions in Ontario.

Click on a form title in the list below to download. You need Adobe Acrobat Reader to view these forms. Acrobat Reader is free to download here.

•    Agreement of Purchase and Sale
•    Buyer Representation Agreement
•    Buyer Customer Service Agreement
•    Confirmation of Cooperation and Representation
•    Listing Agreement - Authority to Offer for Sale
•    Seller Customer Service Agreement

Check out this resource detailing consumer data on not reading sales contracts fully and this RECO resource cited in this post.

Don't worry.  I have been doing this for almost 30 years.  I have your back.  Call me or click here to book a conversation or showing at a time that works for you.

Thanks!

Sharon

Tina and Steve found their special place on Papineau Lake in Bancroft.

I wanted to take some time to tell you about what it's like to work with me on real estate matters, but not in a flashy, glossy, self-promotion kind of way.  So I figured I would interview some of my past clients and let them tell you!

It’s easy to get a 5-star review on Amazon when you sell a bottle of shampoo. How hard is that? Not. At. All. 

Selling a home or property is a little more complicated.  It takes hard work to make people happy with their real estate transactions.  It takes hard to work to protect clients against shady deals and massive money pits.  

It’s a good thing hard work and I became acquainted decades ago.  From the Navy to real estate, if I know one thing, it's the satisfaction of a job well done. 

Over the next few weeks we’re going to be hearing from some of them about their experiences buying and selling real estate in the Bancroft area with my help. 

Tina and Steve Sharpe hired me to find them a seasonal home on Papineau Lake. We had not met prior to their search.  My number one job with Steve and Tina was to get them closer to making memories on the lake they fell in love with on a vacation.   They made some fond memories on that first trip to Papineau and my job was to help them make more. 

Steve and Tina Sharpe, Cottage Buyers with Sharon White Real Estate Ltd. Brokerage in 2016

“Sharon was very accommodating with our time schedule from our first meeting and beyond. We felt at ease and comfortable with proceeding to work with her from the start,” Tina says.

Steve and Tina mentioned that they had seen other real estate agents waste time with unrealistic pricing on certain listings. They didn’t have time for that as they were eager to begin renovations on their home away from home.

For me, referring superb contractors to my clients is the norm. But Steve and Tina thought I went beyond the call of duty in that area.   And they really liked that I took the time to introduce them to their neighbors along their beautiful new Papineau Lake community.

“Sharon took time to introduce us to our abutting neighbors, who we have needed to contact and consult while purchasing our shoreline road allowance.”

— Tina Sharpe

Papineau Lake

Helping this lovely couple find a summer home where they could watch glorious sunsets daily was really enjoyable work for me.  I had a foundation of knowledge to work with that makes processes like buying a recreational property smooth.  And I listen.  Everything you need to know about a client is there, if you just listen. 

Not to mention, the Sharpes were great clients.  They were positive, clear and honest in every way.  

“I feel we can contact Sharon at any time to obtain information about our area. I feel we have gained a friend in Bancroft. Sharon was super knowledgeable and great to work with. I would not hesitate to recommend her as an agent," Tina said. 

Thanks guys!

I’m sure glad I didn’t get into the shampoo business!

Have a great March!

Sharon