Greater Vancouver Real Estate BlogRecently posted or modified blog posts by tag - Rental propertyhttps://www.vancouverhousefinders.com/blog/Copyright VancouverHouseFinders.com2022-04-25T05:37:53-07:00tag:vancouverhousefinders.com,2012-09-20:4260Why Foreign Investors Choose To bet on Canada’s Real Estate Market?<img src="https://assets.site-static.com/userfiles/1084/image/investing-in-canada-toronto-2.jpg" width="700" height="326" />
The decision of Brexit has been one of the most important ones in 2016 with its impact being transmitted through financial markets that has led to many investors to sell off risky assets and invest heavily in safe options such as the dollar and the sovereign debt of U.S, Germany and Japan. In lieu of the same, central banks have been monitoring the funding and financial conditions of its banks and through the Federal Bank established currency swaps; other major banks have access to the dollar as well.
Investment in Real Estate is a good option during this market condition and Canada is one of the best countries to invest in. This is due to a majority of reasons, ranging from its economy, banking system, social strata and exemptions.
The beautiful country does not require residency or citizenship for buying or owning property and when you purchase the same, a provincial transfer tax is levied which is 1% on the first $200,000 and 2% on the balance. But, some exemptions do apply if it’s the first purchase in Canada. In terms of rental property, the owner is liable to deduct two types of incurred expenses to earn rental income, namely current operating expenses and capital expenses.
If you are well aware about the taxes, procedures and exemptions, it’s easy to be profitable while investing in Real Estate. But, profitability is not the only reason to invest in such a beautiful country; it is also one of the biggest frontiers in terms of its economy and people.
Canada ranks 13th out of 144 banks according to the World Economic Forum’s Global Competitiveness Index 2015-16 with powerful tools for home equity loans provided in form of HELOC and Reverse Mortgages. It ranks 9th in the Corruption Perception Index, 12th in the Bloomberg Innovation Index and 7th in the Forbes Best Countries for Business.
While as one of the most important factors pertaining to purchase of a home would be the country’s Human Capital Index on which Canada ranks 4th, higher than Sweden and Japan.
If you are a foreign investor and wondering the credibility and current market situation along with other players, U.S buyers are the dominant players in the market although China comes in second with a 42% share. In 2016 alone, China bought $1.3 billion of Canadian commercial real estate and is fastly becoming one of the largest foreign investor. The total foreign investment up until now has been a total of $1.4 billion in the second half of 2015, while as in Vancouver; the total has been $588 million with a 42% share of foreign investors.
All in all, Canada is a country that has a strong hold on its banking system along with the economy in terms of its business ethics, corruption possibilities and innovation.<br />Not only that, the country is also an ideal abode to imagine your future life ahead and also be at rest if you aren’t a native about other foreign investors who are also forking down to invest in this ever-expanding country.
Source:<br />www.investopedia.com/articles/mortgages-real-estate/09/owning-real-estate-canada.asp<br />https://www.biv.com/sections/real-estate/<br />https://www.dropbox.com/sh/1fet89nrichutf5/AADbTsI9weNyHH25QllG209fa?dl=02016-07-14T22:17:00-07:002018-10-31T15:37:23-07:00Hani Farajtag:vancouverhousefinders.com,2012-09-20:4258The steady rise of Fixed-Term Rental Agreements in Vancouver BC leading to a decline in Real Estate Market.<img src="https://assets.site-static.com/userfiles/1084/image/580_Image_house_keys_big.jpg" width="580" height="386" />
Imagine this – You have spent a year in your rental unit but, after the period ends, you wish to stay and forward it but you are not faced with the usual British Columbia’s 2.9% annual rent increase but instead the rent has actually increased by almost 30%.
According to a fixed-term rental agreement, the landlord and renter sign a clause that states that after a certain period, the renter will have to vacate the unit. But, if he/she wishes to continue, then he has to negotiate a new lease altogether which will usually include a huge spike.
Even though the development of rental units has been encouraged, the problem of the fixed-term rental agreement has not been addressed leading to many landlords trying to make tidy sums by increasing the rent between the range of 10%-30%, which is far above the 2% plus inflation annual rate allowed by the legislation.
Although, one side of the stated issue is that many argue that when a rental agreement ends, the tenancy has also expired. Hence, the new rental agreement would be negotiated at the market rate and not the 2% increase so levied by legislation.<br />But the issue has been brought to notice to the Residential Tenancy branch and it has vowed to work on the same.
It is highly possible that Fixed Term contracts are increasing the cost of rents in Vancouver, which goes hand-in-hand with the statistics collected by Canada Mortgage and Housing Corporation, stating more than 7.1% increase between 2015 and 2016 in Downtown Vancouver.
Currently, the city is battling the rise in rents which could be due to a lot of reasons such as Fixed-rental agreements, inflation or even the introduction of AirBnb which has led to many units being treated as temporary housing solutions leading to the decreased supply and increased rental prices.
The City of Vancouver is battling the issue at hand and encouraging the development of rental units so as to simultaneously increase supply and also adjust the increasing prices of rental units.2016-06-15T22:58:00-07:002018-10-23T05:58:59-07:00Hani Farajtag:vancouverhousefinders.com,2012-09-20:42575 ways to spruce up spaces and attract clients!A lot of times, it so happens that as an agent you are showcasing rental units, commercial or residential spaces, but most of your clients are apprehensive about how the space would look like or what it would be to live/work in such a space.
<img src="https://assets.site-static.com/userfiles/1084/image/real_Estate.jpg" />
This is often the case at hand because clients want to be able to imagine their lives in those spaces and many a times since these units are empty or hardly made-up, the same feeling cannot be imagined.
As real estate agents, it’s important to prepare for such cases beforehand by bringing in bits and bops which have low investment and a greater turnaround possibility.
Hence, we have compiled a list of 5 things that you can bring along to every property you showcase which can help in gaining more business and traction;
1. Bedspreads and Sofa Throws
A little can go a long way, which is completely true in case of quirky and bright sofa throws or bedspreads which assist in adding the oomph factor in any home and let the client imagine the possibilities.
2. Lights – Lamps/Fairy Lights
Adding some lights in form of a Lamp or Fairy Lights can be beneficial to not only showcase the possible lighting in any unit but also to bring about a homely feeling or that of a workspace unit.
Check Also: <a href="https://www.vancouverhousefinders.com/blog/how-do-you-prepare-for-an-open-house/">how to prepare for an open house</a>
3. Place-mats/Center Pieces
Another excellent idea if for the clients to possibly witness the dining area where most of their conversations would be held over supper, or even imagine business meetings across tables. Hence, bringing place mats or centerpieces will add that extra value.
4. Flowers!
The smell of fresh and the sight of beautiful flowers always leads to a better and chirpier mood which can lead the client’s psyche to believe that it could be a beautiful space for them to live/work in.
5. Food
It may sound odd, but when you bring in some cookies or doughnuts for the clients, they tend to form a bond with you as an agent but also tend to enjoy their experience during the showcase.
You can always carry en number of elements and accessories, which would beautify the house or even make the design feel more homely and comfortable.
At the end of the day, it’s extremely important for the clients to feel comfortable and be able to imagine the space that they wish to buy/rent which can not only lead to increased business and traction but also build long-term relationships.
<a href="https://www.vancouverhousefinders.com/">House for sale in Greater Vancouver</a> - check out the latest listings! If you are looking for a new home in the Vancouver area, you will want to check out our selection of houses for sale in Greater Vancouver. Whether you are looking for a single-family home, a townhome, or a condo, we have the perfect property for you.2016-06-15T22:53:00-07:002022-04-25T05:37:53-07:00Hani Farajtag:vancouverhousefinders.com,2012-09-20:4233The Options for Home Renters<img src="https://assets.site-static.com/userfiles/1084/image/renters-insurance.jpg" width="341" height="226" />
One of typical dreams that we have is to own a house. It is not only a dream but a practicality so you will be able to protect yourself in rising rents and lock in your mortgage for a housing cost.
If you have read newspapers or online articles, there is a widening gap between rental costs and household incomes as the Canadian Real Estate Association (CREA) released their findings of a study early this year.
Know the Situation
In Canada, an average renter has to allocate 30% of their income on housing while in comparison a homeowner can anticipate of 15% of their budget to spend on housing cost.
Just to site another example, in Vancouver, an average renter spends 59% of their monthly income on housing and nearly 65% in Toronto. This may go higher and continue to rise every year for other metro areas.
Furthermore, in Canadian Real Estate Associations (CREA) study revealed there was 15% increase in rental cost while in comparison only 11% growth in household income of renters over the last five years. If you are one of those who rents, this incongruence in growth could put you in a difficult situation wherein you have to raise up the bar just to save for a down payment.
If you have purchased a home over the same five-year period, you have locked in the housing cost and are able to grow household net worth as mortgage balances have gone down and home values have increased.
Know your Way Out
Do not think that you cannot have your own dream house, this is the first mistake you could take.
The current situation is that most homebuyers think that they are not qualified in terms of their credit score or they don’t have enough money for a down payment. But in recent reports, over 60% who recently bought homes had paid less than 20%; and 36% have paid less than 5% for down payments.
Your dream of having a home is more attainable than you could imagine! Just like any goals you may have in your life, first step is having a good mindset. Think that you can and find out what you can do.
Take your First Step
If you really aspire to own your dream home, then know your options. There’s a way out of renting and you could become part of the statistics of homeowners. Have someone help you out if you are eligible for a mortgage, seek a professional’s knowledge and skills to achieve your goal.
Sometimes, it only takes one question to know your options and having your own home.2015-09-22T21:57:00-07:002018-10-23T02:33:58-07:00Hani Faraj