So... assessments. Homeowners around these parts have just gotten their property assessments last week. This governement issue document  is mainly about what they think your home is worth and from this number (combined with a slew of other factors mainly about which services are available) they calculate how much property tax will be owed on that property this year.

In my line of work, the assessed value of a property is fairly frequently brought up by Sellers and Buyers alike to justify what they think a given property is worth. It is understandable that the layman would rely on such numbers for their conclusions, but when scrutinized from the perspective of actual market value these numbers do not hold up. But don't worry, they are typically on the low side... but not always.

In May of 2009, I wrote this post but as it is something that continues to come up, I will write about it once again. I will borrow from the post but I will use the latest available information to show that my position is not just something I'm pulling out of a hat.

Before attacking the accuracy of assessed value I want to point out that I think it is understandable why the taxing system works the way it does. I am not trying to blame anyone, I just want to clear up this all too common misconception as it affects people's decisions regarding real estate. This is, of course hte most valuable thing most of us ever own so it's pretty important to have a clear understanding of it.

Quite often people will tell me the assessed value (for taxes) of their property, or they will ask about the assessed value of a property on the market that they have some interest in. My answer is that although the prices are generally in the right ballpark, that they are not usually very accurate and in many cases way off the mark. Not everyone takes me for my word, and thanks to my university years I am in the habit of being able to back up what I claim. So when someone challenged me on it one day I pulled up a large sample of recently sold properties and compared the sale prices to the assessed values and created an average by use of a computer program Realtors have access to.

I just did this again for the purpose of this post. Read on if you are skeptical, curious or the sort who likes stats and numbers.

According to the program us Realtors use known as “Interface”, there were 126 properties that sold in the Nanaimo area between January 1st 2011 and Janurary 31st 2011.  I chose these numbers from a year ago as the new assessment values have not been entered into our database as of yet. These numbers do however show the same pattern as when I did the same thing in May of 2009. There were 3 properties that didn’t have assessed values attached to them so they were removed from the list. I averaged the numbers on all of these listings and here is the pertinent info I found:

Average List Price:               $328,356

Average Sale Price:              $319,168

Average Assessed Value:      $308,805

Of course, we know that the people making these assessments have not been inside the properties so they are only guessing what the places are like inside. As I understand it, hey have a budget that needs to be payed for and they have to find ways to justify the way they collect it. Now before you start complaining, think of how much more it would cost to run the system if they went to each home and made sure it was totally accurate. I don’t know about you, but I’m glad they don’t. Again, I’m not saying the system needs to change, I just think people should know what these assessments are NOT for: pricing a property that’s to be sold.

I might be labouring the point, but here are some of the more notable differences I found in that list of recently sold properties. You’ll notice that they tend to under value the properties rather than overvalue.

Sold Price           Assessed Value

$299,900           $120,000

$198,000           $146,900

$145,000           $176,600

$219,900           $177,000

$130,000          $178,300

$239,900           $187,200

$257,250           $343,000

$305,000          $351,000

$352,900           $299,000

$325,000           $280,100

$175,000           $260,000

$320,000           $205,600

So, if you want a better idea of what your home is worth just contact me. It will cost you nothing but a conversation with me at your place. This is a big part of what I do for a living.

Ryan Coffey

Here is something I found in The Globe and Mail. I thought it was well written and worth sharing. It pretty much echoes much of what I have previously talked about on this blog, but it covers a wide variety of things in one article. It’s a bit longer than what I usually post here, but it’s the sort of info that has the potential to make a huge positive impact in your life. The original post is here.

Ryan Coffey

How to find a home loan on terms that work for you

By Rachel Mendleson
Special to Globe and Mail Update

In this excerpt from the MoneySense Guide to Buying and Selling Your Home [http://moneysense.ca/myhouse], a book in the “Best of MoneySense” series, writer Rachel Mendleson cuts through the jargon and explains how to find the mortgage that’s right for you.

Lauren Chender likes to shop around. So when she and her husband were trying to figure out what kind of mortgage to get on their first home, she took to the Internet and began comparing the interest rates posted on various bank websites. But as the Toronto resident did more research, she discovered that it might be possible to get even lower rates through an independent mortgage broker, or by speaking with a financial institution’s mortgage department directly. Even when she found a good rate, she discovered that the tough decisions just kept coming. Should she go with a variable or fixed rate? What about the amortization period? “It’s overwhelming,” says Chender, who wound up using a broker to secure the mortgage on her semi-detached Victorian. “There was a lot to know.”

Chender is hardly alone. Despite the fact that how you finance your home will have a significant impact on everything from what you can afford to how long you’ll be in debt, the complexity of mortgages can make it difficult to arrive at an informed decision. But by understanding what’s at stake, you can cut through the jargon and weigh the options to find a mortgage that’s right for you.

Perhaps the most important thing to consider when thinking about how to finance your home is what taking out a mortgage really means. As Rob McLister, editor of Canadian Mortgage Trends, explains, “Mortgages are definitely among the cheapest money you can borrow, simply because they are secured by quality assets.” But they are also a tremendous responsibility, and something that can greatly increase what you end up paying for your home. While an interest rate of 4 per cent on a $200,000 loan may not seem like a lot today, that changes dramatically when you consider that repayment will likely be spread over decades.

With that in mind, the first step to choosing the right mortgage is identifying the lender whose terms work best for you. While prospective home buyers often begin with their financial institution, your search shouldn’t stop there. As Sarah Daniels, a Vancouver-area realtor, points out, “The lenders are in competition for you.” She advises using a mortgage broker, who will “shop you around” to all the lenders, free of charge. (Mortgage brokers are paid a finder’s fee by the lender. There’s no charge to the home buyer for a pre-approval and no obligation.) And whether you opt for a broker or not, a second opinion never hurts. “It always helps to get one or two other quotes to keep everyone honest,” says McLister.

It’s a good idea to get pre-approved for a mortgage before you start house hunting. That way, you can get a sense of your budget, and avoid falling in love with a property you can’t afford. To give you a pre-approval, lenders factor in your income, type of job and credit history. They also take into account how much you have to put toward a down payment, and any other debts you may have. The amount you are pre-approved for is the upper limit of what the lender will allow you to borrow. Add that to your down payment, and you’ve got the total amount you have to put toward a home. If you have bad credit, are self-employed or want to borrow more than what a bank or credit union will approve, you may want to consider using an alternative lender. But while second- or third-tier lenders (examples include Equitable Trust and Aaron Acceptance Corp.) have looser requirements, the mortgages they issue come with higher interest rates (sometimes much higher), so they are not generally recommended for first-time buyers.

The specifics of the mortgage you select will depend on what makes the most financial sense, as well as your personal preference. One important decision is whether to go with a fixed rate of interest, which is locked in for the entire term of the mortgage (usually five years), or a variable rate, which can change depending on market forces. In today’s low interest rate environment, “variable rates are initially cheaper upfront,” says McLister. The risk is that they could rise far above the fixed rate later in the term, increasing your monthly payments. You’ll also have to set the amortization period, which is the theoretical length of time you have to pay off your mortgage in full, assuming you never move. Bear in mind that while a longer amortization (as of March 2011, the maximum for an insured mortgage in Canada is 30 years) may give you a bigger mortgage or lower monthly payments, it’ll also mean paying more interest in the long run. If you want the flexibility to make additional lump-sum payments outside of your scheduled monthly (or bimonthly) payments, this must be stipulated in your mortgage. And beware that if you break your mortgage before the term is up, you’ll have to pay a penalty-usually three months’ interest for variable-rate mortgages, more for fixed-rate mortgages. (This doesn’t apply for open mortgages, which are mainly for homeowners who plan to sell within a few months.) Mortgage insurance is one of the extra costs to buying a home that can be easy to overlook. But if you are putting less than 20 per cent down, your lender will require that you purchase an insurance policy to protect them in case you don’t hold up your end of the deal. Calculated on a percentage of the total mortgage, your insurance premium will depend on how well qualified a borrower you are, and can amount to thousands of dollars. As Daniels observes in her book, for a $450,000 mortgage, even the most qualified borrower who gets the lowest rate (which she sets at 1.5 per cent) would be on the hook for an additional $6,750 in insurance.

If you’re lucky, your family may offer to help with financing. But it’s important to understand how the contribution factors in. A family gift is considered a traditional source of down payment, which is ideal. It will increase the size of the mortgage you can get or allow you to pay for a greater proportion of your home up front. But if the family help is a loan, your down payment is considered to be non-traditional, which, if you’re putting down less than 20 per cent, will result in slightly higher insurance premiums.

When your mortgage is up for renewal, it may be tempting to simply sign on the dotted line, and accept whatever package your lender offers you. However, not shopping around can cost you. “The bank relies on people just to sign the renewal agreement at posted rates. As soon as you do that, you’ve lost thousands of dollars by not negotiating,” advises Vancouver mortgage broker Alma Pasic. Don’t be surprised if you need a refresher course. “It’s like you’re doing it for the first time, because everything has changed,” she says. “It’s hard to keep up-even for us.” RACHEL MENDLESON Sidebar: Cost Cutter If you can live with the uncertainty, a variable-rate mortgage has historically saved home buyers money over a term of five years or more. A 2008 study led by Moshe Milevsky, a professor at York University’s Schulich School of Business, found that variable rates would have saved Canadian borrowers money on a five-year term more than 77 per cent of the time between 1950 and 2007, and chopped a year off the amortization period. By taking on a more predictable, fixed-rate mortgage, you are offloading risk to the lender, and that comes at a price. You might sleep easier, though.

Excerpted from MoneySense Guide to Buying and Selling Your Home (Rogers Publishing Limited, $9.95). The book is available at bookstores and newsstands or online at http://moneysense.ca/myhouse

Ryan Coffey Renovating your home will increase its value and make it a nicer place for you to live. But many people don’t have the money to spend on expensive housing upgrades. Here is a few budget-friendly projects to add beauty, value and selling appeal to your home. 

1.Give your kitchen a facelift
The kitchen is the heart of any home, so spend a few hundred dollars to spice it up. You can replace the kitchen faucet set, add new cabinet door handles, and update old lighting fixtures. If you have a dark or small kitchen, make it look larger and brighter by using a lighter finish on the cabinets.

If the kitchen countertop is outdated, consider using a Laminate countertop. They are inexpensive and come in all types of colours and patterns, some of which resemble much more expensive solid surface materials, such as stone or tile.

2. Liven up the bathroom
Buy “expensive-looking” hardware for taps and showers and get a sophisticated new look without cleaning out your wallet. Like in the kitchen, soft lighting and warm colours here can go a long way in increasing home value. Add vases and plants as design elements and make sure vanity mirrors are at an accessible height for every member of the family.

If your bathroom requires any plumbing or electrical fixing, get a professional to do it.

3. Add a fresh coat of paint
New paint makes everything look clean and bright, and you can do it yourself relatively inexpensively on interior walls.

Paint with a neutral colour such as beige. It will make the house seem larger, and it will be inoffensive to buyers. And don’t forget the ceiling. Paint the trim a contrasting colour.

4. Add wood trim and cornicing
These are cheap and easy do it yourself, but can add tons of “WOW” factor to the look of your home. Simple ceiling trim and armchair railing are the easiest and most typical upgrades found in newer homes.

To make an even bolder statement, paint the walls a neutral, flat colour and paint the trim a high gloss white.

5. Consider your flooring options
If your home has hardwood floors covered with carpeting, consider restoring the original hardwood floors, particularly if the carpeting is old and worn.

If not, you can shampoo or steam clean your carpets, or use a dry cleaning system, which requires no water or steamer, and dries instantly while killing virtually all mold and bacteria. Apply according to the manufacturer?s instructions, and then vacuum. If all else fails, get a professional to do the carpets for you. You’d be surprised how much better your carpet will look after a good cleaning.

6. Enhance the lighting
Consider replacing the dining room lights with an eye-catching chandelier. Create a comfortable ambience with recessed lighting that is controlled with dimmer switches to provide the appropriate amount of light for different activities.

Use indirect lighting focused away from television and computer screens to reduce eyestrain.

7. Install modern light switches and outlets
Some of the new style switches can be easily installed using the wires already running to the old switches. Turn off the power to the room or entire house before doing any work. The new outlets look nice, and give the impression that the electrical wiring in the house is newer than it really is.

8. Create more storage
Extra storage is always a plus. You don’t need to renovate to add more storage space, you can create more space for free and without remodelling your home! Revamping your existing closets can do the job.

Many old houses lack closet space. If you have cramped storage areas, add do-it-yourself wire and laminate closet systems to bedrooms.

Make your closets serve a variety of purposes. Try adding a shelving unit to a clothes closet where you can store pantry goods and other items.

9. Reframe your front entry
The front door is the statement that you make in your house, and a front door in need of work gives a wrong first impression.

Refinish the front door with a new coat of paint. Replace that worn, flimsy little knob on your main entry door with a more substantial-looking handle-and-lock set. A nice, big piece of hardware signals newcomers that this is a solid home.

While you are preparing the door for the finish coat, be sure to check the weather stripping for damage. With soaring energy costs, adding some new weather stripping can quickly pay you back in utility savings.
Placing planters on either side of the front door will also enhance the image of your entry.

10. Landscape the front yard
A nicely mowed lawn, a few well-placed shrubs and a swept walkway make a great first impression. Get your green thumb on, install some new sod, plant a few evergreen shrubs, and give your front yard a good cleanup. This will draw attention to your home and change people’s perception of your home.

Today, there are dozens of choices of plant materials that can add colour and style to your front yard. Stop by your local landscaping centre, they’ll have dozens of ideas for you.
Ready to renovate but on a tight budget? Spend money on what can be seen versus what can’t be seen. Think new door handles, not new doors, and spiffed-up appliance fronts, not new appliances. Fix up the exterior first, then the interior.

If you put some of these tips in action, you will boost your home’s value and live happily ever after in your dream home. Enjoy! ]]> http://movetonanaimo.com/2011/05/19/10-tips-on-renovating-your-home-without-breaking-the-bank/feed/ 0 http://movetonanaimo.com/2011/03/18/what-creates-value-in-a-home/ http://movetonanaimo.com/2011/03/18/what-creates-value-in-a-home/#comments Fri, 18 Mar 2011 21:22:33 +0000 Ryan Coffey http://movetonanaimo.com/?p=760 Not “Location, location, location.” Or, not just that at least.

Regardless of what I write on this topic, it will only be a summary of general principles. You see, in some ways houses are like people. They are all unique, some more than others, and certain qualities will make an individual more popular. The more of those qualities they have, the more popular they are.

Before we get into what those qualities that create the dollar value are, let me point out something that should probably go without saying: Different strokes for different folks. Not everyone wants the same thing and sometimes I see people really happy with a place that most people really wouldn’t be happy with. Some people really don’t mind living next to a busy road or in the crazy part of town. The good news for them is that they save a ton of money on their happiness!

Those of us who have more mainstream tastes will be trying to find a balance of the following list. Think of this list as ways to add value to your home as a Seller and some food for though on how to avoid paying for more than you need if you’re a Buyer:

• Space: (Inside and out) Not a lot to say about this one as I think it’s obvious.

• Number of Beds and Baths: In a house, less than three bedrooms is going to make quite a difference in desirability/cost.  Having a  second bathroom is a bonus for many and a necessity for others. If you’re a Buyer on a budget, think about what you really need now and in the future. You may find that it makes more sense to not have that extra bedroom and settle for something more modest or you might decide to rent it out for some help with your mortgage until you get more settled financially or your family grows by one.

• View:In Nanaimo, we have lots of ocean views and mountain views. Both add value, especially the ocean view. Even so, it is in such demand that properties, particularly in hilly North Nanaimo, are crowded together on the hill in such a way that they can all share a piece of the ocean view. A home with a sweeping unobstructed ocean view (no roofs, trees or powerlinesat all) will fetch a pretty penny. On the other end of the spectrum, a house with a view of the reclusive neighbours ever expanding junk collection… well let’s just say it’s not a selling feature.

• Age: People like new. The asking price of new properties, which is plus tax, reflect that. I do tell my Buyers that all properties look good when they’re new though and that it takes a little time to see what kind of quality it really has. This is why I’ll generally steer my buyers towards something that is a couple of years old so they can have the feeling of a new home without having to pay quite as much and know that it has been “tested” first.

• Condition: This one is also common sense really and is related to the last one but it of course also applies to older properties as well.  A home that is properly maintained will hold its value better than one that isn’t.  Less work to be done is great and even if it is dated with its shag carpet and wood paneling, if it has “good bones” it’s a decent house for someone who doesn’t mind doing the updating rather than paying more for a place that already has it done. At least being “move in ready” is a big plus even if dated. Most people don’t want to do work before they move in. Only the keeners who want to save some money and understand how to do it actually do this.

• Location: Also common sense. Actually so much so that it is my opinion that most people focus on this detail more than I think they should. But yes, an important factor. Being next to the train tracks or on the wrong side of them will drop that price considerably. Being on the waterfront or in a quiet spot that is still close to amenities will have that affect in the other direction.

• Quality/Style of finishing: When people talk about finishing they generally mean things like flooring, paint, trim, counters, doors, light fixtures and so on. Newer is almost always reacted to as nicer and this applies both inside and out. Sadly, a lot of do-it-yourselfers know this and not much more. So they try to fix up their home themselves hoping to add value but botch up the job and end up having the opposite effect. To those people I say, make sure your buddy who helps you do it actually has professional experience or hire someone who does. You see, nine times out of ten when a homeowner proudly tells me “I did this myself!” I’m thinking “Yeah, I can tell…”

• Light: Lots of light feels like lots of space. This is part of why when us Realtors say to use “light neutral colours” we mean some sort of off white. It lets people imagine their own stuff and ideas in there but it also makes for a sense of space. Lots of light also makes people feel happy and for the lack of a better term, “free”. Doubly so if it’s natural lighting. Those who are into gardening or energy efficiency like natural light even more so being south facing is a bonus for them.

• A Sense of Urgency: When a property is fairly fresh on the market it will, as a rule, attract better offers than one that has been sitting there for a while. This has everything to do with pricing it right in the first place in a way that will attract Realtors and their Buyers alike. A buyer will typically look at 8-15 places in person after having looked at hundreds online in the same price range with similar criteria before making an offer. They will usually have a plan B as well. If you’re selling your property it has to be number one on that list. Not second or third. Number one. And if it really is a good deal, a Realtor who brings some Buyers through  who don’t end up buying it for whatever reason will often bring through others buyers because they see value in the property the whole time knowing that it might get snatched up by some other Buyers.

Ryan Coffey

This is why we are holding the following event.

Look to the bottom for the .pdf which gives additional info and if you have additional questions you can contact me via my main website or the email at the bottom of the .pdf

Tips On Making Your Home More Energy Efficient

@ DYS Architecture

#420-256 Wallace

Sunday, November 14^th

1-3pm

ADMISSION IS FREE

Presenters:

Ian Gartshore,President of Shore Energy Solutions and Founder of Energy Solutions for Vancouver Island

Michael Hill, a Senior Architect and Associate Partner of DYS Architecture

Speaking Event Nov 14th 2010 .pdf

Ryan Coffey

Have been FRANTICALLY busy with work these past few weeks. Haven’t had time to check all my emails, or eat properly let alone put up a blog post.

Am starting to catch up today. Here’s an article from Canada Realty News about keeping your garden free of weeds. This is particularly useful for those of you who are looking to list your home, doubly so if it’s a home that will be vacant (untended) while it’s on the market.

Ryan Coffey

How to Fight Persistent Weeds

In order to produce top-quality flowers, crops and shrubs, you’ll need to maintain a weed-free yard and pay close attention to your garden and landscape every step of the way. Weeds are every gardener’s worst enemy. No one likes pulling weeds, using noxious chemicals or using loud weed whackers.

Weeds are most likely to spread in a neglected and under-fertilized lawn, growing opportunistically between the undernourished grass that they steadily squeeze out. Your main goal should therefore be to provide the optimum growing conditions for the grass. Proper aeration of the soil is the main requirement, along with thorough watering when necessary and correct feeding. In a well-nourished lawn, both grass and weeds shoot up and can easily be cut back with the lawnmower. Since weeds are far less tolerant of regular cutting than grass, the grass will persevere while the weeds will diminish drastically, if not completely.

In addition to weeds being unattractive, they also harm the plants that you’re trying to grow by stealing nutrients and water from the soil. The best way to keep weeds out of your garden is through a combination of techniques:

1. Create a physical barrier
The best way to fight weeds is to start preventative tactics before they appear. One popular solution is to lay newspapers around your flowers. Cover the newspapers with mulch to keep the area looking good. The weeds will not receive the sunlight they need to grow, but water will still soak through to your flowers. An alternative to this is to use a black landscape fabric and lay it down over the area, but poke holes for you plants to grow. The heat from the sun on the tarp should kill any weeds.

2. Pull weeds up when they’re young
If weeds do sprout in your garden, it will save you time to pull them up when they’re young. Young weeds won’t have established root systems, and it’s crucial to pull up the roots along with the rest of the weed. Many deep-rooted weeds can grow up to 6 inches into the soil, and if not removed, those roots can grow back again. Depending on the size and number of weeds, most can be dug-up with a weeding tool, potting trowel, or a small shovel. If the ground is too hard, try soaking it a little to ease the root removal process. Some people use hot-water to pour on shallow rooted weeds to help loosen up the soil or even kill the weeds on the spot.

3. Mowing
Mowing your lawn regularly and to the proper height can help prevent weed growth. Mowing your lawn to its higher mowing range will help crowd out unwanted weeds and prevent sunlight from reaching them. Make sure you bag your clippings so you can help prevent them from spreading throughout your lawn. This is especially important when weeds are producing seeds.

4. Fertilizing
Fertilizing can also help control weeds. It is important to know your lawn and its growing season. By doing so, you can identify the best time to stimulate your grass’s growth and to fight off weeds. Additionally, many fertilizers can be mixed with a pre-emergence and weed-control to help prevent weed growth. By doing so, you can help crowd out weeds from growing and fighting for space. However, if you fertilize your lawn prior to periods of dormancy, you could actually end up feeding the weeds instead, and creating much bigger problems.

5. Solarization
You can also kill weeds by covering them with clear plastic that’s anchored at the edges. This process is called solarization. Heat will build up beneath the plastic, killing both the weeds and their seeds.

6. Herbicides
Though herbicides are effective, it’s generally best to use them only as a last resort because they contain chemicals that are released into the environment. If you use a herbicide, make sure to follow the directions carefully. You can find herbicides at garden centres and home improvement stores. Remember to check for any by-laws regarding the use of herbicides in your area as some provinces in Canada prohibit the use of herbicides.
If you follow these steps in your garden, you should have very few weeds. And remember, weeds are just plants in places where you don’t want them to be. If you try everything and a few stubborn weeds persist, try to see their virtues. After all, dandelion greens are considered a delicacy by many!

Below, he describes a service he offers which I think would be of benefit to any homeowner, whether you are buying a home or just trying to save some money on living in your existing one.

Ryan Coffey

Streamlining the Energy Usage of your Home

As a smart homebuyer you will likely have a home inspection completed before you complete your purchase so that you better know what to expect. But what about determining the amount of energy this home uses?

Within the next couple of years it is expected that the province will require all homes (new and resold) to have an energy audit completed before being sold. That way homebuyers will be able to intelligently compare the expected energy consumption of each home, just as we can do with motor vehicles.

In the meantime you can hire an energy consultant to help determine the relative energy efficiency of any given home. This can be done in a walk-about with the homebuyer, or the information can be provided in a written report. The advantage of walking through the home together is that the prospective homebuyer can see its relative strengths and weaknesses, learn what to look for, as well as discuss the various options of updating the home.

In some cases (such as installing a draft stopper in an open fireplace) a solution can be very inexpensive and very cost-effective.

The cost is $150, plus G.S.T.

A report can be given to that home buyer, or to all whom view the home. This costs only $50 extra.

The result is that the home buyer will be able to more intelligently compare homes and have a better idea what to expect.

For the serious home buyer who wishes to take advantage of up to $5,000 in government incentives toward energy upgrades (such as a heat pump, more insulation, a solar hot water system, etc.) a certified energy audit can be arranged.

Ian Gartshore of Shore Energy Solutions has been assisting homeowners in this way since 2004. His company also installs energy saving devices, solar hot water systems, and other renovations. Contact him at www.shoreenergy.ca or locally at 250-754-0698.

Shore Energy Solutions Ltd is a member of the Better Business Bureau of Vancouver Island, The Canadian Home Builder’s Association, the Built Green^© Program and B.C. Hydro’s PowerSmart Alliance

For many homeowners, nothing symbolizes summer quite like getting outside and grilling up some tasty treats on the barbeque. As we dust off our hamburger flippers and prepare for another grilling season, however, it’s important to remember that when used or maintained improperly, barbeques can cause serious damage to property and to people. Here are a few simple recommendations to help keep your family safe as you enjoy your barbeque this summer:

Positioning the Grill

• Position your grill a minimum of five feet away from the house and any flammable objects in your yard.
• Make sure your grill is stable and on level ground, so there is no risk of it toppling over.
• Grills or stoves should be situated far enough from the windows and doors so that smoke from cooking will not waft inside.
• Burning charcoal produces carbon monoxide which is highly toxic, so never burn charcoal in any kind of enclosed area.

Proper Use & Maintenance:

• Check for grease build-up and clean your dripping pan frequently, as excessive grease can cause unexpected flare-ups.
• If you have a gas grill, remember that propane tanks require sophisticated valve equipment to keep them safe for use. To check your hoses and connections for gas leaks, spray them with soapy water and look for bubbling.
• Remember to close the tank valve when you’re finished using it.
• Check for rusted and corroded burners. These parts wear out quickly, but they are easy to replace.
• If your grill bottom has vent holes, be certain that it also has an ashcan to catch hot embers that might fall through onto the surface below.
• Embers and coals should be completely extinguished before disposal. Coals can smolder for hours and can cause fires if thrown away with flammable materials.
• Always store propane tanks outside in a well-ventilated area.

To learn more tips on how to keep your home safe this summer, please contact your local Pillar To Post office.

Being a Realtor I have an inside perspective on one detail of the bill which I think misleads people. It is understandable why the taxing system works the way it does and I also understand why so many people have the misconception that they do. That being that the assessed value of a property is accurate enough to be used as part of their decisions making processes of buying or selling real estate. I am not trying to blame anyone, I just want to clear up this all too common misconception.

Quite often people will tell me the assessed value (for taxes) of their property, or they will ask about the assessed value of a property on the market that they have some interest in. My answer is that although the prices are generally in the right ballpark, that they are not usually so accurate and in many cases way off the mark. Not everyone takes me for my word, and thanks to my university years I am in the habit of being able to back up what I claim. So when someone challenged me on it one day I pulled up a large sample of recently sold properties and compared the sale prices to the assessed values and created an average by use of a computer program Realtors have access to.

Not five minutes ago, I did this again for the purpose of this post. Read on if you are skeptical, curious or the sort who likes stats and numbers.

According to the program us Realtors use known as “Interface”, there were 111 properties that sold in the Nanaimo area from April 26th until May 26th this year. There were five properties that didn’t have assessed values attached to them so they were removed from the list. I averaged the numbers on all of these listings and here is the pertinent info I found:

Average List Price:                  $347,555

Average Sale Price:                 $333,170

Average Assessed Value:        $313,811

Of course, we know that the people making these assessments have not been inside the properties so they have no idea what the places are like. As I understand it, hey have a budget that needs to be payed for and they have to find ways to justify the way they collect it. Now before you start complaining, think of how much more it would cost to run the system if they went to each home and made sure it was totally accurate. I don’t know about you, but I’m glad they don’t. Again, I’m not saying the system needs to change, I just think people should know what these assessments are NOT for: pricing a property that’s to be sold.

I might be labouring the point, but here are some of the more notable differences I found in that list of recently sold properties. You’ll notice that they tend to under value the properties rather than overvalue. Not a bad thing for the home owner whose home value is inaccurately assessed.

Sold Price Assessed Value

$65,000             $108,000

$272,380           $105,000

$360,000           $340,000

$370,000           $311,000

$384,000           $440,000

$400,000           $446,000

$515,000           $207,788

$718,000           $557,000

$1,500,000        $983,000

Ryan Coffey

Ryan Coffey

TOP 3 ROOMS TO INVEST IN

Homeowners are continually exposed to the latest and greatest in remodeling and renovation trends on TV programs, in magazines, and on home improvement web sites. It seems there isn’t any place in the house that’s off-limits to improvement, expansion, or updating. If a homeowner is planning to remain in their home for many years to come, they should consider projects that genuinely suit their own needs – the custom kitchen, a fabulous master suite, a new home office. But if the plan is to sell the home in the not-too-distant future, homeowners should focus on projects that will have the best chance of getting the highest return on their investment. Let’s take a look at the 3 rooms that rise to the top of the ROI list of midrange projects (our list does not include home additions or necessary repairs):

KITCHEN Average ROI = 83% (minor remodel), 78.1% (major remodel)*

Even within a particular room, project costs can vary widely depending on the extent of the improvements. A major kitchen remodel –custom cabinetry, expensive surfaces, high-end appliances, and engaging a designer – may cost upward of $100,000 and, on average, get a return on investment of about 78%. A minor kitchen “facelift”, on the other hand, averages a similar ROI in percentage terms, but will cost far less. This more-modest project may entail cabinet refinishing, replacement of countertops and flooring, and perhaps swapping out dated appliances for new but inexpensive models that improve the room’s appearance.

BATHROOM Average ROI = 78.3%*

Bathroom remodels consistently rank at or near the top in term of return on investment. Whether it’s a powder room or a master bath, beautiful, updated surfaces, water-saving fixtures, and neutral tones are the minimal improvements that should be considered. Taking another step up, enlarging the room itself and adding luxurious “spa” elements such as a deep soaking tub, heated floors, and a double shower will obviously increase the budget and, likely, the appeal of a master bath.

ALL ROOMS – WINDOW REPLACEMENT Average ROI = 81.2% (wood), 79.3% (vinyl)*

Replacing windows may not rank high on the glamour scale, but buyers appreciate the appearance and improved energy efficiency of new windows and are willing to pay for them. Insulated windows are a smart improvement for homes in any climate, and will make the house look better both inside and out.

Here are a few more thoughts to keep in mind:

Regional differences – While the above figures are average, what’s most in demand in one geographical area may differ elsewhere. Do your homework before committing to a project. Aim for universal appeal – Avoid highly unusual designs, strong colors, and unique custom components that can be polarizing to potential buyers. Remodeled spaces should look great to the widest possible audience. Don’t over-improve – Homeowners should be careful to keep upgrades and improvements within the range of similar homes in their neighborhood. The most expensive home in the area, however attractive, is rarely the easiest to sell.

Bob Muir, RHI (250)729-0069 877-751-2973 Bob.Muir@pillartopost.com www.pillartopost.com/nanaimo