CONTINUING CONDO NEWS

by Darrin DeRoches December 25, 2014 - January 7, 2015

I have to continue on the conversation about condos in Hamilton as this week announcements of two projects brings more information.  The Acclamation condos are being reserved and the sales team believes they will have the majority of them gone before the official launch.  This project is on James Street across from the armories.  It will be 60 units from $249,000 to the $949,000 dollar range.  I stated that a million dollar condo will be sold downtown and maybe this is the one of many to come.  They are taking reservations for units and six sold in the first 48 hours. Most people are not even aware of the launch and it may be sold before the actual launch party.  The questions must be asked — why?     Is it because of the location? The amenities? The price? The demand? The condos themselves?  Is it a mix of everything? I would say it to be a bit of all of those reasons, but the major reason is that we do not have a ton of condos in the city.  The condo market has been underserved, and it is the time to flood the market with these projects.  I believe the timing and hype is the real reason these projects are finding success, and good for them.  The good people of the Acclamation project have been working on this for years, and I believe they deserve the good fortune.  It is their time and money that should bring them, and the city, a great return on their investment.      The second project that has quietly surfaced lately is the Tiffanysquare.ca condo project.  It is located between Tiffany and Bay streets.  It is steps to the new GO train and Pier 4.  The views will be the best the city has to offer and mark my words this is the best project to invest in. It will have a mix of residential and commercial, with views of the city and water.  Anyone that knows how to speculate on real estate knows views and water sell condos.  They are taking registrations right now and you should get on the list.     Every condo project has its positives and negatives, but you have a great selection of product to choose from today.  The Connaught, The Connelly, Acclamation, Tiffanysquare and the list goes on.  Buy now, and by the time the project is built you can see a small, or big return on your investment.  Buying the right condo will determine the highest return.  The right condo in the right project — that is.  If you are considering on investing, downsizing or just want to get a great condo, the time is now and if you want help on making the right decision on your investment contact us and we can help you make the best return!  Happy Holidays and see you in the New Year!  V     Darrin DeRoches is a local real estate and mortgage broker. He can be reached to answer questions, comments or stories about real estate experiences through this weekly column at sold@uniquerealty.ca.

DUNDAS: MILLION DOLLAR CONDO

by Darrin DeRoches December 18 - 24, 2014

I read an article recently that explained the story behind the Dundas District Loft project. It was a glimpse into what a couple of brothers have been building in the city for the last thirty or so years.  Dave and Mike Valvasori have done great projects throughout the years and I personally believe they should be recognized by our community. I doubt they would like a plaque or something but I believe we should organize a seminar on how to invest in Hamilton — lead by Mike and Dave.  You can go back to a time where banks would not lend in downtown Hamilton but they still found a way to make things happen. They are a Hamilton family who better the city by each project they conceive, finance and build in our city.      They just finished the Dundas District Loft project which they sold out by themselves with units going from three hundred grand to a million dollars. That is right, there is a million dollar condo sold in Dundas without all the glitz and glamour of out of town brokerages or slick marketing.  That in itself is a testament to the project and Dundas as a whole.  They are about to embark on a new project in the Queen and Bold area on a piece of land I myself had shown “so–called investors”.  My clients, as many others, overlooked this plot of land that could be built into a 12 story building but they are doing nineteen units on four floors.  This will be another home run for these builders — mark my words.  Yes, around the corner are a couple of tough rental towers with issues but the rest of the neighbourhood will make the project shine.     People get excited about certain projects from “out–of–towner’s” but I believe Hamilton has all the talent we need to develop our city.  The construction companies, realtors, banks, lawyers, architects in this city can take the real estate market into greater heights than some out of towner’s who do not understand what the city needs or wants.  I keep my eye on certain projects that use out–of–towner’s and you can see the sales falter for various reasons. They build the wrong product, or use the wrong brokers, and the sales are reflected in these decisions.  I would like to see someone sell a million dollar condo in downtown Hamilton as they did in Dundas. It will happen, in time, but you have to offer more than a white vanilla box to sell such a unit.     I personally look to work with someone local before I do anything.  It’s not because I am trying to pander to the community, but rather I like to know the person I am working with, and support my city.  There are a lot of creative people in this city but more importantly there are people of character who can not only deliver, they can knock it out of the park!  V     Darrin DeRoches is a local real estate and mortgage broker. He can be reached to answer questions, comments or stories about real estate experiences through this weekly column at sold@uniquerealty.ca.

DEBT

DEBT.DIVORCE.DEATH

by Darrin DeRoches November 13 - 19, 2014

These are the three D’s we deal with in real estate most often. We do get first time buyers, investors and families moving on up but Debt.Divorce.Death come up daily.  The problem with these three D’s are each have their own set of circumstances and each need to be dealt with on their own.  So I will write three consecutive articles on these occurrences in real estate. First comes debt.     There are many reasons why we get into debt and they all come down to one thing and one time – you have to pay. I have dealt with this personally over my lifetime, and professionally all the time.  The important part to remember is you are going to have to pay sometime. It is amazing how long you can put it off but sometime, somewhere, debt is going to raise its ugly head and bite you in the asset – your house.  You probably thought I was going to say ass but eventually it comes right down to your house, since it is usually the last asset.  Car companies will repose your car by simply towing it away but your house is harder to remove.  It is very emotional and it can get hard to remove a family from a home – emotionally and physically.  The creditors will send letters and letters and hope you will respond but if all else fails they will send a sheriff to the property to give you five days to vacate.     This last attempt to remove you from your home is very harsh, but you should be aware of your rights, and how to handle the situation.  Once you receive letters from the bank or creditors you should contact a debt counselor and try to remedy the situation.  They can knock down your debt by upwards 80% and help make a plan to keep your house and pay down the debt.  In some situations you may not be able to bounce back from debt and that is where you should call a reputable broker.  We can help sell your property and keep the bank at bay.  The bottom line is the bank does not want your house, they want you money. Put all the emotions aside and realize they just want your money, which they believe is their money, with interest and everything.  If you contact a broker who knows how to deal with the banks you can also save a ton of money in the short term.  If the bank takes hold of the property with bailiffs, sheriffs and property managers someone has to pay them.  That someone is you.      Take control of your debt and try to resolve it or call a great broker who can put your house up and sell it fast to pay the debt and come out ahead with money in your hand instead of the banks. We know how to deal with the situation before it is too late and you can take control of the situation and save your house or sell and walk away with debts paid and money in your hand.

Mortgage News

by Darrin DeRoches September 18 - 24, 2014

It’s a busy time of the year for the real estate market and mortgage brokers and banks are hustling and bustling.  I recently spoke with a few mortgage specialists and a few comments got me thinking.  I was surprised to hear people are still shopping around their deals.  Of course you want the best rate out there even though the rates are so low — why not get the best.  Sometimes it does not come down to the rate — it comes down to service.     It is really easy to go online and email several brokers looking for the lowest rate.  Sometimes you might save a few bucks and you might even believe you got the best deal but you may be sadly mistaken.  Personal service and creative ways to structure a deal can not only make or break a deal it can save you tons of money. An example of this is a person was bought a new house and went in firm with no conditions even though they had to sell their house to make the deal work. Weeks pass and their house does not sell. Six days to closing they call the bank and inform them about the deal and say that they need money to buy the new house. The bank had spoken with them two months ago and laid out a plan but they figured it would all work out and ignored the plan from the bank.  Luckily they have enough equity in their home they can arrange a short term mortgage with a line of credit and virtually “bridge” the two mortgages. Sounds good and they can move forward. The problem is that is comes with higher rates, costs and fees and will end up costing about five thousand dollars. Had they kept the personal contact with the broker, and not shopped around, he would have been able to set a line of credit for a new mortgage at a low rate and save them thousands and thousands of dollars today plus more in the future.     People have to realize that some banks can do things others cannot and that some brokers will do some things others will not. A client of mine was told they are approved for half a million but only spent $400,000 but the broker could not “bridge” finance. This seemed a little out of sorts to me so when I presented it to their bank they were approved for a bridge mortgage in hours. Fortunately we did not need the bridge and their house sold in the first week but if we did need it and listened to the broker they may have lost their dream home.     Work with those who work with the right people and you will not only get the best rates you can make deals others cannot.  When it comes to money — stop shopping on line — renew or create your relationships with lenders and brokers.  A great real estate broker knows when to call bullshit and help you find the right bank or broker!   V     Darrin DeRoches is a local real estate and mortgage broker. He can be reached to answer questions, comments or stories about real estate experiences through this weekly column at sold@uniquerealty.ca

Be Ready To Sell

by Darrin DeRoches September 11 - 17, 2014

When selling your property you must have “real expectations”.  The biggest mistake is to list your property at a price that you believe you need rather than the price that is right.  A real estate agent cannot create showings for your property out of thin air; the property has to sell itself. There are tricks to sell properties but tricks can be exactly that — tricks.      You can create urgency or inflate a property’s value but in the end everything you do to sell your home will have to answer to someone.  If you overprice your home and someone actually pays the exuberant price one would believe they will be laughing all the way to the bank but the bank may be laughing at you.  In today’s market banks are requesting more and more appraisals because the property may sell to some over eager buyer but the bank will not lend the money just because the buyer was “tricked” into the price.  Banks are approving a mortgage but when it comes time to hand out the money they are asking for appraisals to insure the numbers add up.  If they don’t the bank will require the buyer to come up with more money or they will outright refuse to provide the mortgage.  The mortgage clause use to be all about the buyer being approved but it is leaning more towards the property being approved. There was a time banks would not lend in certain postal codes but now they will not lend in certain price ranges in certain areas.     Another real expectation is that it still takes on average about 45ish days to sell a property. That is an average so your property could be on the market for months if you are not realistic.  Everyone reads about how hot the market is but that does not mean your overpriced, bad location, beat up house will sell in days.  Sellers like to blame their agents when no one calls about their house but maybe it has to do with price and location.  You have to be realistic and work with your agent to get your house sold.  Instead of complaining about the progress, make some changes and create some momentum.      Be realistic about your property and listen to your agent.  It is easy to just keep dropping your price to get a property sold but it does not always work. You hired an agent to sell your property so maybe you should listen to them and follow their lead and experience.  Timing has a lot to do with it.  The last three weeks have been a little slow due to school, work etc. but the market is still strong and will be moving fast in the next month or so.  Be ready to sell now or you will find your property sitting on the market while everyone else is on the move!  V     Darrin DeRoches is a local real estate and mortgage broker. He can be reached to answer questions, comments or stories about real estate experiences through this weekly column at sold@uniquerealty.ca

Pricing It Right

by Darrin DeRoches September 4 - 10, 2014

I may repeat myself a few times in this article but one of the most important things to do is price it right. The market is moving fast and if your property sits too long no one will pay it any  attention. Pricing the property right the first time can make a huge difference in the final outcome.  I did a deal this week where the property was priced at $415,500. The property was on the market for over a month and we were pretty surprised when we viewed the property. It needed some work but you would have thought it would have had some action on it during the month. My clients were really interested in the property since it was on a great street and had all the must haves on their wish list. So they wanted to do an offer and we started to negotiate.     I spoke to the neighbour and he gave me all the background on the property and what he thought it was worth.  A few things he told me were just his opinion but some of the information was very valuable.  I went back to the office and did a history on the property and then discussed our game plan with my clients.  We knew the house needed some work and factored that into our offer and then pushed the agent to do an offer on Labour Day.  Most people are relaxing and getting ready for the school year but we were trying to buy a property before the market starts to heat up once again.  The property had been reduced by ten thousand but it still was not priced right.     The only reason no one had bought the property was it was over $400,000 dollars. If you look at the MLS site you can pick properties in increments and anyone looking for a house at $450,000 dollars would not consider this property since it is a $400,000 dollar house.  The people who can afford a $400,000 dollar house did not even see this property since it was priced at $405,000 and did not come up on their search.  Most real estate agents do not do searches over the approved amount for their clients since they may fall in love with them and then not be able to afford them.  The only real issue with this property was it was priced wrong.     We had spoken to the agent and knew another price drop was imminent and we did the deal fast so the house would not come on the market under $400,000 and draw attention. We brought an offer far under the asking and settled five thousand less than my clients were willing to pay.  If the sellers had priced the property originally at $399,900 they would have had more interest and sold it for a higher price faster. Knowing your market and doing your homework can be the difference in this real estate market. V     Darrin DeRoches is a local real estate and mortgage broker. He can be reached to answer questions, comments or stories about real estate experiences through this weekly column at sold@uniquerealty.ca.

Where You Are Buying

by Darrin DeRoches August 28 - September 3, 2014

It amazes me that certain properties are getting a lot of interest and multiple offers on them even though you would not find one Hamiltonian putting an offer on them. Recently there have been a lot of posts on the internet to “expose” properties that have had murders, meth labs or deaths in them. These posts get their information from either police reports or newspaper reports and then they tag them as “undesirable” properties. The interesting part is not these deaths etc. but properties that look so amazing but are on less desirable streets or areas.     This week clients of mine got a great deal on an income property and were willing to go into competition to get it. There were over twenty viewings on the property but when it came to offer day – we were the only ones. The funny part was on the same street, a similar property went through the same thing a few weeks ago. The big question is why? The house needed no work. The area is prime for rentals and as I stood outside waiting for the sellers to sign back the offer I had three people stop and ask me the price, condition etc. Everyone was looking at the property but no one was offering? The simple answer is timing and vision. This area was a mess ten years ago and it is not only an up and coming area it is already there. There are new condos and townhouses being built and sold for top dollar but people from Hamilton still look at the area as old and undesirable. Out of Towners take a look and they see the downtown feel, walkability and great price for what you get. Hamiltonians look at it as old, no parking and overpriced for what you get. My clients will be making money the second they move in and in ten years people will be saying “I wish I’d bought in this area ten years ago!”     On the other hand, the same agent had multiple offers on another cool, Victorian property in an area that will be still rough and undervalued in ten years. If you were to look at both properties and invest your money –the one my clients bought will bring you more return today, tomorrow and definitely in ten years. The house may be smaller but the numbers don’t lie. You have to be aware of the area and be realistic in how the market will grow. Out of Towners were making offers on the other property and their agents just do not know the market. I would not go into Toronto and pick the next great neighbourhood and their agents are coming here without doing their homework.     Be aware of where you are buying and better yet, hire a local broker who knows the market and has a proven track record. Ask the right questions or you will end up in a cool house in a terrible neighbourhood. Remember the three most important words in real estate – location, location, location! V     Darrin DeRoches is a local real estate and mortgage broker. He can be reached to answer questions, comments or stories about real estate experiences through this weekly column at sold@uniquerealty.ca