If you’re retiring, looking to cut back on expenses, or perhaps have a bit too much extra space now that the kids have flown the coop, downsizing to a smaller home might be a smart choice. 

Regardless of your reasons for downsizing, it’s enough to make you wish there was someone who could do the hard work for you and make the whole process that much easier (like, say, a REALTOR®). 

Whether you or your older relatives have decided it’s time for you to move to a smaller home, or you’re just curious to learn more about the process, read on to get the low down on downsizing.

When is it time to downsize? 

Making the choice to downsize can be complicated, but identifying the tell-tale signs—and understanding the new freedom and lifestyle that comes with living in a smaller space—can make your decision easier.

Time to cash in

If you’ve owned a larger home for an extended amount of time, your property has likely appreciated considerably over the years, and moving from your large house to a smaller home or condo more suitable to your current and future needs can help provide financial freedom. 

Too much upkeep

If you’ve noticed maintaining your larger home is beginning to take its toll on you, it may be time to consider downsizing. Whether you’re tired of cleaning rooms and fixing or attending to aging appliances or home finishes regularly – or overpaying someone else to do it for you – moving to a smaller home can lessen the workload.

Empty nest

As your children grow up and move out, they leave behind their unused rooms and old belongings. While it’s certainly hard to leave a family home due to sentimental attachment, downsizing to a smaller place means you can spend less time cleaning and doing maintenance, while also saving money. Besides, given how limited housing inventory is in some parts of the country these days, you’d be giving another growing family an opportunity to fill out the space you’re leaving behind. 

Retiring

People often consider downsizing as they approach retirement. Decreasing the cost of property taxes, homeowner’s insurance, maintenance expenses, and house utilities frees up cash flow so your retirement savings stretch further. Downsizing can allow those who are retired to relax more and enjoy their time off from work with ease.

What’s the difference between downsizing and decluttering?

When it comes to moving, you might think you simply need to declutter your personal belongings to make packing easier. But there’s a difference between decluttering and downsizing. Karen Shinn, president of Downsizing Diva, explained decluttering focuses on appearance while downsizing focuses on functionality. 

“Let’s say you have a number of vases and 12 full China settings on display, but you really only ever use one, andt you also don’t want to part with any of them either. So, rather than getting rid of them completely, you would pack them up and put them away into storage only leaving out what you want people to see,” said Shinn. 

With downsizing, you actually eliminate the items you no longer use or have a purpose for and remove them from your home entirely. 

“Over the years, we all collect things that hold sentimental value, so when it comes to downsizing, it’s tricky because you have to decide what items you can and can’t part with,” said Shinn.

How far in advance do you need to start downsizing

Whether you’re moving to a smaller home, to a retirement community, or you’re renovating your home to be more accommodating for a life transition—whatever that is—start downsizing as soon as you can. Anyone who’s ever moved before knows just how stressful an endeavour it can be.

“As soon as you start to think about moving, start downsizing. Don’t wait,” said Shinn.

She explained you need to start small, so begin with downsizing a cupboard, a shelf, or a drawer. 

“It’s a process and not a fast one. But once you start, the more you do, the easier it becomes.”

Things to consider when downsizing

Moving into a smaller space means combing through everything you’ve accumulated over the years—which can be a daunting task if you’re not prepared. But Shinn recommends keeping these four questions in mind:

• Do you want it?
• Do you use it?
• Do you need it?
• Do you like looking at it?

If you answer no to any of those questions, it will be easier to part ways with items.

Shinn added it’s important to take a step back and evaluate what’s important to you, so you can decide what you actually need. For most people, when it comes to letting go of personal items, it’s easier if you know they’re going to someone who will appreciate them, rather than just donating them or throwing them out. Shinn describes this as a safe passage because you know the items you treasure and care for will be going to someone who will enjoy them as much as you did. Upcycling and Buy Nothing groups in your neighbourhood could be a great way to pass along these items, knowing they’ll be put to good use. 

Tips for downsizing

Sorting through a lifetime of belongings can be emotionally and physically exhausting, but getting rid of clutter can also be rewarding. Shinn recommends keeping these tips in mind to ease the process:

• Start small, and start now.
• Find a place for everything.
• Be a generous giver.
• Use the good stuff.
• Edit your wardrobe seasonally.

How do you choose a professional downsizer

When choosing a downsizer, Shinn says to look for a company that’s part of the National Association of Specialty and Senior Move Managers (NASSM), which is the leading membership organization for move managers in the United States, Canada, and abroad. Companies that are members of NASSM must meet certain requirements and adhere to a code of ethics. NASSM members are also full-time workers and are required to take courses and be certified. Also, keep in mind your REALTOR® likely has downsizing contacts if you’re having trouble finding someone. 

Downsizing a home can lead to lots of stress and anxiety for anyone who has a hard time parting with their belongings, but as Shinn added, “when you simplify your home, you simplify your life.”

Source: https://www.realtor.ca/blog/the-low-down-on-downsizing/25520/1366
Photo: pexels.com

There’s a harsh reality for plenty of Canadians with green thumbs who can’t indulge in the luxury of a full yard to explore. Perhaps you’re in an apartment or condo, maybe you rent, or it could be you simply want to bring the outdoors inside. 

Tall potted plants use vertical space to help add depth to a smaller residence, and we’ve seen how planters can add to outdoor appeal without hurting your budget. Herb gardens, big or small, indoors and out, are always popular with foodies, and if you play your flora cards right, you may attract some desirable fauna even without a huge greenspace.

To help you ease into some new ideas for your space-friendly garden, we’ve collected some thoughts to share with you. Be sure to add your own tips and tricks in the comments and on our social media pages. 

Container gardening

While the idea is obvious with more than a touch of cliché, there’s a reason why: containers simply make sense when your space is limited. 

In a large yard, you can replant to take advantage of soil conditions or the sun. Without access to square metres of soil, containers give you versatility, not to mention the easy redecorating options. You’ll also have the ability to move containers indoors through frost warnings, or extend your growing season in both directions—much to the envy of your plot-bound friends. 

When choosing your container, do so carefully. Drainage is a must no matter what style direction you choose. Think both complement and contrast when considering design and, for larger pots, avoid choices that are too bold, since they can’t be swapped out easily. 

The vertical garden

When you’re looking at the limited footprint of a balcony or patio—and wondering how to keep your planned garden out from under foot—take a look around at the amount of vertical space you have to work with. Now it’s time to think up. From hooks and hangers through shelves, to dedicated wall pots, vertical alternatives assure you have maximum room for seating and tables. You can also find vertical tower gardens that grow fresh produce without soil! 

Or, how about a string garden? Kokedama is a Japanese garden artform with a history as old as bonsai. Translating literally to “moss ball,” kokedama starts with the root ball of a plant, surrounded by a clay and peat mixture that gets wrapped in soft green moss. You can place your kokedama on a tray, but the most dramatic way to display these pieces of living art is suspended from string. These are a spectacular addition to your vertical garden. 

Edible gardening

You don’t need an extensive ground plot to grow your own food, so don’t rule out fruits, vegetables, and herbs from your yardless gardening. You can mix container and vertical plantings for grape and cherry tomatoes or climbing strawberries—plants that use cages for upward mobility. 

Strawberry pots are a genre unto themselves and you need not be limited to growing berries. The multiple pockets in a terra cotta urn are a perfect way to keep your herbs organized, with perhaps a few spaces left for new flavours you’ve never tried. 

Can you imagine growing your own potatoes in a visually appealing way? Look no further than the potato grow bag. You can improvise your own solution, but commercial versions with a velcro side flap are handy at harvest time. 

The window box

Inside or out, there’s perhaps no more logical place to add garden space than a window ledge. A sunny kitchen window simply cries out for herbs and an otherwise lacklustre view is perked up with a splash of colourful annuals. 

Though you may start your garden in the spring and summer months, consider fall and winter seasons, too. The cooler temperatures may not support active growth, but a window box out of direct sunlight supports long-lasting seasonal arrangements. Imagine your favourite holiday wreath reassembled horizontally. 

Add some brown and orange elements to suggest fall, or choose a holiday theme when December arrives. Don’t forget to go vertical here, too. A window box can add curb appeal as well as brightening the view from inside.  

When you’re renting or when you have a condo association in place, there may be limits on the sizes and types of planters or fixtures you can use. Be sure to research any restrictions before your trip to the greenhouse to avoid disappointment later in the season. 

Make a budget and a list before you leave for the garden centre, since you know you’ll be tempted to go overboard when you’re surrounded by lush greenery. Otherwise, now is the time to put your planting plans in motion. Happy digging! 

Source: https://www.realtor.ca/blog/patio-growth-landscaping-without-a-yard/25628/1363
Photo: pexels.com

Working with a contractor, in lieu of DIY, can be the difference between a successful home renovation or repair and a botched project. Yet, finding a contractor for your home can be easier said than done. You want to make sure the person you hire has adequate experience, can give you the best value for your buck, and communicates in a clear and transparent way. 

How can you ensure you’re making the right choice when hiring your next contractor? 

We’ve outlined 10 questions you should ask to make sure you’re finding the best person or company for the job, helping you avoid any unpleasant surprises that may affect your wallet and leave you dissatisfied.

1. Ask yourself: How do I know a repair or renovation is best suited for a contractor instead of attempting to DIY?

DIY projects are a great way to save money on repairs and renovations around your home, but without professional training, you should limit yourself to small-scale jobs. For projects that require special skills and patience, such as kitchen and bathroom renovations, electrical wirings, exterior refinishings, landscaping, and roof repairs, it’s probably best to hire a general contractor. You can save yourself a lot of frustration and time, and you might even stay under budget by not cutting corners or fixing preventable mistakes. 

Blaise McDonald, President and CEO of MAC Renovations Ltd. in Victoria, British Columbia, says once you start getting into work that requires permits, it’s time to look for a contractor or you may face some liability risks. 

“If you’re doing repairs and you’re single-sourcing specialty contractors, the homeowner can usually manage that,” McDonald explains. “As soon as you get to a point where you’re hiring multiple trades, you become the prime contractor and it puts you at risk—liability risk for the safety and liability of all those companies.”

2. Ask yourself: Where should I look to find a contractor? 

Word of mouth is the best form of advertising, so you can look to your family, friends, and colleagues for recommendations. A local REALTOR® is also a great resource when looking to hire a professional, as they likely have a list of trusted and licensed contractors they can refer you to. Alternatively, you can do an online search or use websites like SmartReno and HomeStars, which offer a database of contractors you can request quotes from.  

3. Ask your contractor: Are you licensed in the province you’ll be performing the job?

Licensing requirements largely depend on a contractor’s designated trade and the province they’re registered in. For instance, carpenters are only required to have trade certification in Quebec—every other province is voluntary. For electricians, trade certification for domestic and rural electricians is only compulsory in Newfoundland and Labrador and Ontario, but the requirements for construction electricians are different. Check your province’s requirements to confirm if the contractor you hire, and their subcontractors, are legally compliant. For peace of mind, you may want to opt for a contractor who has a certified trades designation through a post-secondary program or workplace training. 

“Certain work—electrical, gas work, plumbing—requires specialty trades,” McDonald says. “If you’re getting into large complex renovations or new home construction, you should find out if that contractor is a registered builder.”

4. Ask your contractor: What type of experience do you have?

One of the most important questions to ask contractors is how long they have been offering their services. You should also inquire about how much experience they have with the type of project you need help with and if they have specific areas of specialization. For example, if you’re looking to have your basement finished, you’ll likely want to hire someone who has completed this project before, not someone who has only ever worked on kitchens and bathrooms. 

Keep in mind, just because someone has 10 years’ experience doesn’t mean they’re automatically better for than someone with less. Each scenario will be different, but this type of information is always good to know about to help make a more well-rounded decision. 

5. Ask your contractor: Will you use your own crew or recruit subcontractors? 

If you’ve decided you want a general contractor, they’ll provide a plan that details what exactly you’ll need to complete your repair or renovation, including information on the team they need for the job. Many general contractors will have their own crew, but they may use subcontractors for tasks their team isn’t qualified to do. According to celebrity contractor Mike Holmes, contractors might bring engineers, architects, and interior designers into the mix. Just make sure you know about the subcontractor’s qualifications and experience levels before agreeing to anything. 

6. Ask your contractor: Do you have a website, portfolio, or photos that show your work?

Seeing is believing. Whether you’re relying on word of mouth, or on a web database, you should ask for examples of previous work the contractor completed. This will give you a sense of the workmanship, as well as the types of projects they tend to focus on. Most general contractors will also offer design services, so seeing past examples of their work will let you know if their style aligns with your overall vision. 

You can even take it a step further by asking for references. Get in touch with people who have worked with the contractor in the past if you want testimonials for a boost of confidence.

“Just do your due diligence,” McDonald recommends. “Ask to talk to previous clients, check on Google reviews, check business insurance, all that stuff should be available. A low price is not always the best price or real price. You want to make sure the contractor or organization you’re hiring has a proven track record or experience in that vocation. No website, no reviews online? Those are all red flags. If someone says you don’t need permits or not to get a permit, those are also red flags.”

7. Ask your contractor: What do your timelines typically look like? 

Time is always a key factor when determining the best contractor for your job. You’ll want to get a full-picture idea of what the timelines will look like—not just how long a project will take, but also when the team typically completes work, what it means if things get held up, etc.

Determine when work will take place so you can plan around the disruptions. If you’re someone who doesn’t like to wake up early, you certainly don’t want construction sounds starting at 6 a.m. If you want to continue being in good standing with your neighbours, giving them a heads up about potential noise would be helpful. 

It’s also helpful to know what your contractor and their crew’s workload is before they start working for you. This is crucial because issues with another project, like delays, could end up affecting the progress of yours. Ask how flexible they can be with your needs and how they divvy up their workload.

It’s also a good idea to ask your contractor what their contingency plans are in the event supplies get delayed or something else happens that pushes the timelines back. What does that mean for the completion of your project? How will it get handled? You don’t want to be left with a half-finished project for months on end because the allotted time for your project is up and the contractor can’t fit you into their current schedule. 

8. Ask your contractor: Do you have workers’ insurance? 

Worker safety should always be top priority. The last things you need on your plate are medical and property damage bills because the contractor you hired isn’t covered by insurance. Confirm the contractor has business liability insurance. You can also ask them about their Workers’ Compensation status. According to the Canadian Home Builders’ Association, request the contractor provide a Letter of Clearance from your province’s Workers’ Compensation program.

“[In British Columbia,] the homeowner can go to WorkSafe BC and see if the contractors have worker’s compensation and if there have been any issues (or claims), that’s public knowledge,” McDonald says. “A general contractor should have all the liability insurance certificates from all the subcontractors working on a specific project. The general contractor will manage those insurance certificates to make sure that everyone is covered. If there is a loss, it comes back to the general contractor, not the homeowner.” 

Course of Construction, otherwise known as Builder’s Risk insurance, is also something to consider. This covers the impact of fires, floods, theft, and other unwanted—and unpredictable—accidents. 

“Some mortgages require this kind of insurance in the event there’s a loss,” McDonald says. 

9. Ask your contractor: Does my project require permits, and if so, will you obtain them?

You may never know which permits you need until your contractor takes a look at the project at hand. In most cases, they’ll handle the process for acquiring the necessary permits from the city. That being said, it’s in your best interest to do your own research and be sure everything is being done properly. 

“A contracting firm like ours provides a single source of accountability,” McDonald explains. “We obtain and manage the permits on behalf of the client. Be wary of anyone who tells you not to get permits.”

The obtention of permits should also be factored into your overall timeline. Ask how far in advance these permits need to be obtained before work can start, and how long it usually takes for them to be approved. 

10. Ask your contractor: What type of contract do you provide and will it outline all your fees up front?

Before you give them money, clarify what type of agreement the contractor wants you to sign. Read the fine print and make sure it outlines all the terms you’ve both agreed to, including timing, insurance, permits, etc., and make sure you’re on the same page about the payment schedule. Some contractors will require a downpayment at the start of the project, while others only need to be paid at the end of the project. 

In addition to asking these questions, you want to make sure you get the best possible estimate for the work you’re hiring for. Don’t be afraid to shop around! The best way to do this is by requesting quotes from multiple contractors not only so you can see who will fit within your budget. But, just because a quote is lower doesn’t mean it’s the best way to go. Carefully compare your quotes to see what each contractor is offering. Make sure their workmanship, details, and timelines are aligned with your own ideas.

Source: https://www.realtor.ca/blog/speed-date-your-contractor-10-important-questions-to-ask/25337/1363
Photo: pexels.com

As a first-time home buyer, you probably already know you’ll need a chunk of cash for a down payment. But lots of other costs can creep up when it’s time to jump into the real estate market, so it’s a good idea to save up for them and be ready for when the time comes to make an offer. Here’s how one first-time home buyer is navigating this exciting time.

Start budgeting early 

When Montrealer Kelly Wong decided last summer to buy a two-bedroom condo or small home on her own, she knew she had lots of homework to do, including figuring out what she could afford. 

TIP: Using an online tool like the REALTOR.ca Mortgage Payment Calculator can allow you to see what your mortgage expenses will look like.

Wong also teamed up with Jean-François Gionet, a Broker and REALTOR®, with the Katia Samson Real Estate Group to make sure she was getting the best experience possible. Gionet helped Wong think about saving up for the required down payment, plus other related costs.  

“On top of preparing for the biggest purchase in your life, you also have to consider your other (living) expenses, including car payments, home insurance, and more,” says Wong. 

Before she was pre-approved for a mortgage, Wong also consulted a financial advisor who helped her with calculations.

“Even when you get numbers saying you can afford a mortgage of $1,000 a month, I know that’s just your mortgage payment; there are still utilities, property taxes, condo fees, and things like Netflix,” she says. “I think it’s good to overestimate what you really need to pay every month, so you don’t have any unpleasant surprises.”

It’s also wise to put money away monthly as part of an emergency or savings fund. If your furnace breaks down, your roof leaks, or you desperately need to upgrade your dated kitchen, those costs are all on you.

Prepare for extra costs associated with buying a home

Beyond the significant deposit on the home, you might have to pay extra for a parking spot if you’re purchasing a condo. You’ll also need to put some cash away for a professional home inspection, which could run between $500 to $1,000 or more depending on where you live. Then there are different closing costs you might have to pay on top of the final price for the property. Some costs are offset by various tax credits, which your REALTOR® can explain.

“Another thing I budgeted for is Quebec’s transfer tax, also known as the Welcome Tax,” says Wong. 

Land transfer fees vary from province to province. In Wong’s case, it’s based on the municipal assessment, and can be anywhere from 0.5% to 1.5% of the total cost of your home. You can use the REALTOR.ca Land Transfer Tax Calculator to get an idea of what some costs might be. 

Then there are notary or attorney’s fees to pay for, which cover the research and paperwork associated with the transfer of properties. Sometimes, you’ll have other smaller costs, like reimbursing the sellers if they paid for certain utilities in advance or a fee to change the locks if you choose to do so. It’s also important to have a cushion for things like installing a security system, plus fun stuff like buying new furniture or sprucing up your décor, adds Wong.

“You want to have the money prepared for things like notary fees, but you might want a new paint job or a facelift for the kitchen cabinets or to pull up the carpet,” she says.

Let your REALTOR® guide you through the process

Wong says she found working with Gionet extremely helpful because together they talked through her needs, wants, and budget. 

“For example, we talked about parking spaces—indoor versus outdoor, one or two—and whether I wanted a balcony; he helped me evaluate what’s really important to me,” says Wong. “He also helped me realize I want a nice place in a nice neighbourhood near public transportation, but perhaps not in a super modern, fancy building where your condo fees could be quite expensive.” 

They also discussed which types of properties would be good for resale down the road, plus the option of renting out a bedroom to a student to help offset part of the mortgage cost.

When you’re a first-time home buyer, you’ll have lots of questions. The best solution is teaming up with a REALTOR® who can pave the way for you. For more information, consult the Canadian Real Estate Association’s (CREA) Home Buyers’ Road Map, which features more great tips to make the home buying journey easier.

The information discussed in this article should not be taken as financial or legal advice. This article is for informational purposes only.

Source: https://www.realtor.ca/blog/first-time-home-buyer-budgeting-what-you-need-to-know/25325/1362
Photo: pexels.com

Pets are part of the family. But unlike the rest of us, they don’t pick up after themselves. From litterbox aromas to wet-dog scent on your couch, our furry friends can bring with them some less-than-lovely pet odours. How to remove the smell of pets from your home? We’ll show you.

Bath Time

Over the course of the pandemic, homeowners have been re-evaluating what they need most out of their property. For some, this has meant packing up and downsizing to a smaller city or community for greater living space, privacy, and a more relaxed pace of life.

Both statistically and anecdotally, we’ve witnessed buyers moving to the suburbs and other rural areas over the past two years. Small towns like Squamish, Wasaga Beach, Kingston, and Collingwood have been home to some of Canada’s fastest growing populations lately, a trend largely attributed to residents moving from urban centres in search of more affordable housing, according to a report from RBC Economics.

Why have buyers been moving to smaller cities?

Right now, there are two main reasons buyers are flocking to smaller Canadian cities—affordability and lifestyle.

Colin Breadner, a REALTOR® with One Oak Group at eXp Realty in Prince George, British Columbia, explains over the past two years, he’s helped more people move from larger cities to Prince George than he has in the last 15 years. Many of these buyers are from British Columbia’s Lower Mainland, and several from Ontario. Most purchasers are in their late 20s and early 30s, said Breadner, and have been struggling to get ahead in the country’s more expensive markets. 

“Our cost of living is low enough that people who are starting off, if they come up here and work for a while, they can really get ahead,” Breadner said. “I know the people who have been moving up here are just basically priced out.” 

For Ryan O’Donnell, a REALTOR® with RE/MAX Park Place in Sydney, Nova Scotia, the Cape Breton market has been driven by out-of-province buyers since the pandemic began, a pattern that was present even leading up to the COVID-19 pandemic. After years of outward population migration, the tides have started to turn as younger home buyers have returned to the Cape Breton area thanks to remote working and comparatively affordable real estate prices. Communities like Sydney offer everyday amenities, with the added benefit of a country lifestyle close to a downtown district.

“The pandemic really opened a lot of people’s eyes on what’s really important in life,” said O’Donnell. “Cape Breton, I think, offers a quieter, slower pace of life that is a little more laid back.”

What are buyers looking for in smaller cities?

Buyers who are flocking to Canada’s smaller cities are in search of all kinds of properties.

Dale Devereaux, a broker and co-owner with Century 21 Maximum in Red Deer, Alberta, explains many people are looking for more space.

“We’ve certainly seen a lot of people who have been working out of their homes and the home feels like an office,” said Devereaux. “I think you’ve seen some people take on some properties that are a little bit bigger, [and have] a little bit more room for the family so the office isn’t the living room.”

Compared to the rest of the country, Alberta’s real estate market experienced a downward trend during the first half of the pandemic, but has seen sales increase within the last year, explains Devereaux. Job opportunities and construction investments have piqued buyer interest, especially out-of-province buyers who are looking for income properties. In many cases, purchasers have relocated to Red Deer—conveniently located in between Edmonton and Calgary—to stretch their dollar and still be close to the bigger cities.

Devereaux explains, “Maybe their kids have lived here for a few years, they’ve gotten a little bit older themselves, their homes have gotten to a price where they are now worth over $1 million. They can come here, buy a home for $400,000 or $500,000, put some money in their pockets and be close to their kids. That’s the biggest movement I saw last year.”

In Cape Breton, purchasers have been interested in all kinds of housing options, including farming, waterfront and income properties, said O’Donnell. Cape Breton University attracts a large international student population into Sydney, which has opened opportunities for those looking to purchase property. The rise of remote working, which has enabled some buyers to move around the country with ease, has also played a role in what purchasers are looking for in a home.

“[If] they like the house and the property, they’re asking about the internet connection because they used to be based out of Toronto and they now have an opportunity to work the same job [from home]. I’ve seen a lot of people who are moving here for that reason,” said O’Donnell.

Is a smaller city or community the right fit for you?

If you’re looking to make the switch to smaller city living, there can be many upsides.

In Prince George, Breadner explains the benefits are purely lifestyle oriented. For one, it’s typically a shorter commute to amenities and workplaces. In larger centres where rental costs are higher, saving for a downpayment can be much more difficult, but smaller communities can offer a lower barrier to entering homeownership.

“You can buy a newer home here for probably half or a quarter of a big city. You can jump on an airplane and be in Vancouver, Calgary, [or] Edmonton within an hour if you want to go to those areas. And, because we have such a lower cost of living, you can afford those things,” said Breadner.

Those who crave small-town living with urban conveniences may also find comfort in smaller cities. In addition to restaurants, businesses, and recreational opportunities like golf courses and lakes, Devereaux said Red Deer has a prominent volunteer community and a close-knit feel that people are drawn to.

“You can walk somewhere and you’ll run into five people and you can say ‘Hey, how are you doing today? How are your kids?’ We still have that feel to it even though we’re 100,000 people,” he said.

Source: https://www.realtor.ca/blog/why-a-smaller-city-could-be-a-good-move/25280/1361
Photo: pexels.com

Throw open the windows and let the sunshine in — it’s springtime! Which means we’re getting our cleaning and dusting game on. Spring cleaning is an annual tradition, but even the most seasoned spring cleaning pros miss a spot or two. Here are some of the most common places you probably forgot to clean.

The Mattress

Thanks to social media platforms like YouTube, Pinterest, TikTok, and Instagram, there’s an almost infinite amount of DIY inspiration out there. However, before you tackle that built-in bookcase or refresh your home with paint, you should know the DIY world is full of common—but thankfully avoidable—mistakes. To help you navigate your next DIY project, we spoke with three local home-owning DIY pros about the most common mistakes that are made.

Not doing enough research beforehand

When renovating her home, Tobie (@tobesgoesdiy) says she didn’t do enough research on installing tongue and groove laminate flooring and ended up installing it backwards. Similarly, in one of her first tiling projects, Dalyn (@humpjackhome) thought the bigger the tile, the faster the job. Instead, measuring and cutting the large tiles was more time consuming and ended up being more unforgiving than small tiles would have been. What may seem like a simple and straightforward task can quickly turn into a complex—not to mention, expensive—project if you haven’t done enough research.

Not investing in the right tools and materials

DIY can be a thrifty option, but one common mistake is not investing in the right tools and materials at the beginning. After painting her bathroom, Paisley (@thehomebodyden) says she found the use of cheap rollers and painter’s tape had led to paint seeping beneath the edges. Instead of crisp lines, she had an uneven finish requiring her to meticulously fix the lines with a brush.

While it can seem cost effective to make do with the tools you already have or to try and find the cheapest option, fixing the mistakes caused by subpar equipment will end up losing you time and money in the long run. Not having the right tools for more technical or potentially dangerous jobs, like hanging drywall, could even put you at risk of injury.

Not knowing how big the project is

Not every DIY project can be done over the weekend! Make sure you’re fully aware of how much work a project will be and that you’re ready to give it the time and effort it requires. Working too much for too long on one project can lead to burn out, diminish your excitement and commitment, and cause you to rush or make more mistakes along the way.

Not considering your home’s quirks

A common DIY mistake is not considering how your existing walls and ceilings could affect your project. From how your walls were painted originally to whether your ceiling sags, your home’s quirks could quickly derail your DIY.

“I wasn’t prepared to work with my existing walls and ceiling, which affected me while I was installing the kitchen,” Tobie says. “My cabinets were sitting too high to the low part of the ceiling and some of the doors wouldn’t open.”

She ended up having to spend a lot of time shifting everything down to leave a larger gap between the cupboard and ceiling.

While painting seems like an easy DIY (so long as you have the right equipment), Dalyn says to beware of oil paint, which is often used in old houses, as regular latex paint will peel right off of it.

Not having an overall vision for your space

If you’re doing a larger scale project, like a whole room redo, it’s much better to have an overall vision before you start buying materials or décor. In the past, Dalyn says she would replace certain things as needed, such as a bathroom vanity. Afterwards, when she was ready to tackle the rest of the room, instead of getting to fully embrace the style she dreamed of, she had to work with what was already there.

Not budgeting enough

Perhaps the biggest DIY mistake is not budgeting enough for a project. Surprise costs do arise and too many small one-off items sure add up (such as replacing that cheap tool you purchased thinking it would be OK). In Dalyn’s experience, DIY projects always end up costing more than you think they will, and suggests adding a cushion of at least 30% to your total estimated budget.

These six common DIY mistakes all lead to the same thing: lost time, wasted effort, and additional costs. Luckily, you can learn from those who have gone before and avoid most of these DIY mistakes through proper planning and attention to detail.

Source: https://www.realtor.ca/blog/6-common-diy-mistakes-you-can-avoid/25248/1367
Photo: pexels.com

In recent years, it’s likely you’ve heard the media, your colleagues and even politicians speak about “inflation.”

You also may have noticed prices for regular everyday items including food, gas, or larger purchases such as homes, furniture and vehicles have risen sharply since the start of the COVID-19 pandemic.

Up until a few months ago, when government officials and the media spoke about the current rise in inflation, they often defined it as “transitory”. Now, officials at the Bank of Canada are stating inflation may actually be more persistent, and have signaled the future path for Canadian interest rates may be a series of rate hikes to help bring inflation back down to within its target range of 1% to 3%. In fact, last month, the Bank of Canada announced that they would raise the policy rate from an all-time low of 0.25% to 0.5% and they are considering an end to their Quantitative Easing program.

What is inflation?

Before we get ahead of ourselves, I think it’s important we take a step back and understand what inflation is and how it can impact our daily lives.

Inflation is a persistent rise in the average price of goods and services over time—or the increase in the cost of living. It can also be looked at as a reduction in the purchasing power of your money; as the prices of goods and services rise, your money can afford less. Therefore, the level of inflation has a major effect on the overall Canadian economy.

Part of the Bank of Canada’s mandate is to keep inflation low, stable, and predictable. The target aims to keep the total Consumer Price Index (CPI) inflation rate at the 2% midpoint of the target range of 1% to 3% over a medium-term horizon. The Bank raises or lowers the policy interest rate as it deems appropriate by either raising it to control inflation or cutting it to help encourage spending and borrowing in economy. This was seen at the beginning of the pandemic to help support the Canadian economy devastated by pandemic-related lockdowns and monetary policy continues to remain accommodative.

How do we track inflation levels?

There are a few ways to track and measure levels of inflation in the economy, one being the CPI which is produced by Statistics Canada.

The CPI is calculated by comparing the cost of a fixed basket of goods and services purchased by consumers over time. The CPI is a widely used by government agencies and private organizations as an indicator of the change in the general level of prices experienced by Canadian consumers. The goods and services in the CPI basket are divided into eight major components: food, shelter, household operations, clothing/footwear, transportation, health/personal services, recreation & education/reading, and finally, alcoholic beverages.

There are various measures of CPI that Statistics Canada produces, some include the price of more volatile costs such as energy and food which can be influenced by changes in weather patterns and other factors. When setting monetary policy, the Bank of Canada looks past these volatile and sometimes transitory moves in total CPI inflation and tries to focus on more “core” measures of inflation that may better reflect underlying trends in inflation. There are three core inflation measures the Bank focuses on: CPI-trim, CPI-median and CPI-common.

When looking at the chart, we can see Total CPI is well-above the target range for the Bank of Canada while the measure for CPI-common is within the target range but looks to be rising quick. Lingering supply-chain effects from the pandemic as well as rapidly growing/changing geopolitical tensions across the globe continue to drive inflation higher and could stay well above the Bank of Canada’s target rate for the foreseeable future. This has forced the bank to raise rates earlier than they were forecasting, and they are now forecasting the beginning of a period of “quantitative tightening” to try to bring inflation back closer to 2%.

Inflation and housing

In terms of how the Canadian housing market has matched up against inflation over time, I conducted an analysis to see how average home prices compared to overall consumer price inflation from 1971-2021.

First, I deflated the Canadian residential average price to remove the consumer price inflation amount, giving us the “real” average home price. This calculation is simply taking the Canadian annual average price and dividing it by the CPI number for that year. I then looked at the compound average annual rate of change in home prices broken out by decade over the last 50 years. Unfortunately, these decades do not all line up perfectly with housing booms/busts, but they do a decent job. There are probably many ways to present this data, but I think the chart below helps to capture both home prices and inflation for a reasonable time period going back with some historical differences, all just in six bars! So, what you’re looking at, is the real average price growth for Canadian real estate (that is, over and above inflation) compounded at an annual average rate for each decade since the 1970’s.

The chart above shows how the growth rate has differed over the past 50 years, with healthy levels of real growth in the 1970s when inflation was high. There was decent growth in the 1980s owing to the housing boom in the second half of that decade and negative real price growth in the 1990s, when home prices were basically flat. The highest amount of growth in the 2000s when the market boomed, up until 2007. And finally, another period of strong growth in the 2010s, all backloaded in the years 2016-2020, with 2020 being the second largest year for price growth on record (after 2021).

Throughout the last 50 years, the overall real growth rate over time has been in the 2.5% to 3% range, showing that over time, real estate has generally been a safe long-term and reliable hedge against inflation. One caveat worth mentioning, is that because inflation has been relatively subdued over the last few decades, we haven’t had much inflation scares in which our central bank had to react strongly to. If the current rate of inflation were to persist above the Bank of Canada’s target range going forward, the upcoming rate tightening cycle which would be needed to control that inflation could seriously slow down the housing market from its currently elevated levels.

There are many reasons why home prices would grow faster than inflation over time outside of those cyclical ups and downs. Canadian housing markets are influenced by a multitude of factors, including population growth, demographic factors, employment growth, the rate of new housing being built, the type of new housing that is being built, speculation, zoning, density, physical/natural constraints—the list goes on.

Keep up to date on the latest interest rate changes, consumer confidence and more on CREAStats.ca.

Source: https://www.creacafe.ca/what-you-need-to-know-about-inflation-and-real-estate/
Photo: pexels.com