Several steps come into play when it boils down to selling a home, and in Canada, this is no exception. First, the homeowner will need to organize all necessary paperwork and get it certified by a Canadian estate agent. The individual also has to obtain a property identification number from the Office of the Superintendent of Real Estate and register the home as a real estate commodity. Once done, there will be a need to contact a real estate agent in the area or apply online to sell the Canadian home.
Not every homeowner understands these processes and more. One wrong move can truncate the possibility of getting decent profits on home sales. For this reason, this guide compiles all there is to know about home sales in Canada. For new homeowners, this is an opportunity to understand the real estate process from scratch. Additionally, seasoned realtors can get all the tips and trick required to succeed in this field as well. So, kindly read on.
The First Step to Selling a Home in Canada
Canadian homeowners who intend to sell their homes must determine the condition or state of these properties. This process will require the professionalism of a home appraiser. This professional provides information on the market value of the home and also finds any faults on the property. The appraiser, who can also be a real estate agent can also answer questions concerning the neighborhood in which the homeowner resides.
If the home is located in a less competitive area, potential buyers could pay less for such property. In most cases, the price of real estate is based on the current demand for houses in that particular area. It is difficult to project what the Canadian housing market will look like in the nearest future, so the seller must consider this factor when listing the property.
Understanding the Canadian Real Estate Market
At the moment, the real estate market in Canada is quite diverse. The vast majority of people in Canada live in cities. This means that urban areas are more active than their rural counterparts. In the past, most sales were conducted in small communities, so a home located far from big cities had very limited market potential. Today, however, the Canadian housing market is extremely dynamic.
For instance, in the province of Alberta, the housing market is highly supported by oil revenues. Consequently, thousands of Albertan families have moved to larger cities in search of a more comfortable life. Some of them eventually opt to buy a house and move their families there. In such a situation, a house located in a remote area could easily be sold for a cheaper price. Howbeit, when done correctly, home sales in such places are profitable.
How to Advertise a Home
Home advertising is one of the most important steps in selling a house in Canada. The real estate industry is very competitive. Most house sellers obtain professional advertising services to market their homes. However, there is also an option to conduct personal advertising; nevertheless, having a good real estate agent or broker can greatly improve property owners’ chances of selling their homes.
Home agents are highly skilled in listing and selling off properties, whether it be on listing sites or via other channels. They can help homeowners to get more offers on their properties, giving them more control over their decisions. Here are also other tips on creating a compelling home advert:
- Declutter the home before appraisal
- Use comparative market analysis to back up the home’s value
- Take amazing photos of the home, which should be used on listing sites
- Write a fascinating listing description that portrays the home and its surroundings in a positive light
- Addressing pain points in the home before an inspection
- Save ad costs by using virtual staging
- Create social media campaigns to attract more potential buyers outside the zoned audience
Listing a Home, the Right Way
It is important to list a property with the right company. The most common way that buyers view homes in Canada is through the Multiple Listing Service (MLS). To receive a listing through the MLS, the homeowner must provide the correct contact information, including address and phone number. Some brokers and real estate agents work exclusively with the MLS; others are licensed through independent organizations. To sell a home in Canada, the property owner must work with someone who is licensed through the proper organization.
For example, in Quebec, every town has its realtor association, which is overseen by the Quebec Federation of Real Estate Boards, an organization that represents both real estate salespersons and brokers. While most of Quebec’s real estate boards are independently organized and have different rules, they all adhere to the same provincial rule: that brokers must register with the Quebec Federation of Real Estate Boards (FQCRA) before starting any real estate service.
Drawing from Quebec’s real estate principles, homeowners who intend to sell their properties must know what to expect from realtors in regards to the location of sale. Those who choose not to go through brokers can advertise their real estate homes via free advertising provided through the local newspaper and some real estate agencies. The internet also provides a convenient home advertising platform, thankfully with the help of companies that specialize in marketing real estate properties.
Homeowners who don’t have the time to list their properties through traditional channels can advertise online and get leads from homebuyers in search of a new home in Canada.
Documents Needed for Home Sales in Canada
Home sales require the presentation of specific documents on the seller’s part to facilitate the process. These include:
- Renovation contracts
- Property tax receipts, and
- Transferrable warranties
Before closing sales on the property, a homeowner should obtain an inspection report. Inspections are performed by third parties. Reports generated can also aid in selling the home quickly. Be advised, however, that many inspection fees have been raised by the reputable groups that are out there.
Additional written disclosures may be required, which contains:
- Subject Property Information – This includes: title, financing, features, and possible problems or hazards that may affect the closing transaction. It also provides the date and closing price.
- Buyer’s Reputable Remediation Option – This disclosure provides the seller with the right to void the sale if the buyer does not agree to remediation of a property issue. It also provides the buyer with the right to require a fair market value appraisal of the issue.
The demand for home sales in Canada varies, depending on the seller’s locale. Some areas are simply not lucrative in real estate. Other areas, on the other hand, have deep pockets with potential buyers. A local real estate agent can help a homeowner understand the Canadian real estate market better to make a favorable decision on sales.