You've probably been hearing that the real estate market is hot. If you haven't, thank you for crawling out from under your rock to read this. Now that we can agree this is common knowledge, let's delve into some lesser-known things you should know about the Airdrie real estate market.
Unconditional offers don't always mean the buyer is paying cash. In a desperate (yet not illogical) attempt to win in a bidding war, buyers are writing unconditional offers. In fact, this is likely the only way to properly secure a home when competing with other prospective buyers.
However, there is often a financing approval that still needs to take place. Guess what? If that financing approval doesn't go through, the buyer needs to find the cash immediately. If they can't, the buyers can get sued and they will definitely lose their deposit.
As for the sellers? Well, they'll get the deposit, and they'll have to put their home back on the market.
The moral of the story is that if you're selling, it's not just the price that matters, but the deposit too. Make sure it's a big one. And if you're buying, then make sure you've had a serious conversation with your mortgage broker about your financing approval.
Marketing still matters
When homes are selling fast, people get lazy. They think they don't have to do that final push to make their home look its best. They figure it's going to sell no matter what. This is where you start to see iPhone listing pictures, unmade beds, toilet lids up, and people trying to sell their homes themselves.
Guess what? Those homes will sell, but I can promise you they will sell for dramatically less than a beautifully curated home that has been marketed professionally. Putting in extra effort and expertise equals extra dollars.
You can't under-price your home
Seriously. Buyers will compete, the house will go into multiple offers, and the more desirable the home is, the more money it will sell for. Price it too high and you might get a couple of bites. Price it spot on and you'll end up with 28 bids (like I did) and you'll sell the home for a far higher price than you were hoping for.
Material latent defects must be disclosed
There is a law in Alberta that a home with a defect that is not visible but would render the home uninhabitable, pose a health risk to occupants, or be expensive to fix, needs to be disclosed.
This can't be avoided, so if you know you have a problem with water in the basement, mould behind the walls, or a structural problem that is hidden, be open about it. You might be surprised to learn that someone is willing to take on the problem and still buy your home.
Condos are about to become a hot commodity
Ok, this is a little bit of prediction, and a little bit of logic. With detached homes selling so fast, it stands to reason the massive condo inventory in Airdrie will start to get absorbed. If you own a condo, I'd encourage you to watch the market closely this year. It may finally be time to sell.
Don't be too quick to sell though. Make sure first that you have somewhere to move into.
If you did write an unconditional offer on a home, you should still do a home inspection when you take possession. Start your new journey on solid footing. Be proactive.
For more real estate advice in this ever-changing and fast-paced real estate market, keep an eye out for our monthly House & Homes feature in the Airdrie City View or online at AirdrieToday.com
Natalie Berthiaume is a local Airdrie Realtor with more than 12 years of experience servicing the city.