The one thing you can always say with absolute certainty about Vancouver’s housing market, is that it’s never boring. These past few months have certainly been no exception.
Between the federal election, ongoing speculation about interest rates, our constantly-changing market conditions, and what can sometimes feel like daily threats of new tariffs or all-out trade wars coming from south of the border, the future trajectory of the Lower Mainland’s real estate markets has become almost impossible to predict.
Thankfully, while we may not always know what to make of the latest headlines on the six o’clock news, there are several proven things homebuyers can do in both good times and bad to help them navigate the real estate landscape successfully, and find the right house at the right price – no matter where the markets may (or may not) be headed.
Tip #1: Know your budget
First, make sure you figure out exactly how much you can afford to spend on your new home before you start looking. This will not only save you a lot of time and headaches further down the road, but it also lets you narrow your search down to exactly – and only – those homes that fit your budget.
In addition to calculating things like your income and assets, your outstanding debts, and how much you can put down as a down payment, you should also consider getting pre-approved for a mortgage before you begin your search. This will give you a clear and precise idea of the price range you should be looking in, and how much your monthly mortgage payments will be.
If math isn’t your thing, there are many free budget and mortgage calculators available online that can do the number-crunching for you. Just be sure to use one that’s on the website of a company you know or trust, like your bank or credit union.
Tip #2: Make a list of “needs” and “wants”
Next, make a detailed list of everything you’re looking for in a home, including both the “must haves” and the “would be nice-es.”
This includes concrete factors like the location, square footage, number of bedrooms and bathrooms, whether you prefer a fixer-upper or move-in ready, and if you’re looking for a single-family home, a townhouse or a condo, to more personal preferences like whether it has a northern or southern exposure, if it’s a new build or resale, how close it is to transit or good schools, whether or not there’s a rental suite to help with the mortgage, how much outdoor space there is, or anything else that’s important to you and your family.
Tip #3: Get to know the market
Once your list is ready, find out as much as you can about your local real estate market. Visit the websites of a few different financial institutions or talk to a mortgage broker to see what the current mortgage interest rates are, and which direction they’re heading.
If you’re interested in new builds, check out local builders to see what their reputations and reviews are like, or talk to friends and family members to get a few recommendations. And of course, start visiting REALTOR.ca on a regular basis to size up comparable properties in the communities and price range you’re looking in.
Tip #4: Get your paperwork together
To save time later, start gathering all the things you’ll need in order to apply or get pre-approved for a mortgage. This includes bank and financial statements, pay stubs or other proof of employment, income statements, and details about the amount and sources of your down payment.
It can also be a good idea to find out what your credit score is, and see if there’s anything you can do to improve it. Plus, be sure to find out if you qualify for any of the government programs that are available to support first-time or other homebuyers, like the federal Home Buyers’ Plan, the Home Buyers’ Tax Credit or the GST/HST new housing rebate.
Tip #5: Work with a REALTOR®
Lastly, whether this will be your first home or your fifteenth property, it’s always a good idea to work with a REALTOR® who knows the area where you want to buy, has experience with the types of properties you’re looking for, and who you feel a genuine rapport with.
An experienced REALTOR® can help you find a property that meets your needs and preferences, put in an offer, negotiate the best price, and make sure all the paperwork is taken care of.
But apart from what they bring to the table professionally, the relationship between you and your REALTOR® is one of the most important factors in the success of your house hunt. Choosing a REALTOR® you trust and can connect with will help the entire homebuying process go much more smoothly, and help make sure you can move into the home of your dreams that much sooner.
Are you in the market for a new home?
If you’re thinking about buying a new home in the Lower Mainland, contact us for the answers to your questions or to book your free consultation today!