Selena News June 2021 Edition
ISSUE: 144
May long weekend was a non-event due to being cold, wet, and blustery conditions once again (I think the weather was identical to this the last 3 or 4 years) so for all those people who braved the elements and headed out camping…… I guess it’s one of those things you either love it or you don’t. Next up will be Father’s Day. Are you planning anything special? This year I am going to leave all the planning up to Fionna. She likes the responsibility and it could be a fun summer activity.
Market Update
Edmonton saw record number of sales and increasing prices for May and many home owners are aware that Edmonton Real Estate market has been going a little crazy lately and consider to sell. Spring market is generally best if you want to sell and this year is certainly no exception. There is however a big difference when it comes to what you are selling. The single family market has been doing great but the condo market has been relatively flat. It has been said before that this year of Covid restrictions has turned buyers away from the condo lifestyle and towards single family homes where you get more space, privacy and fresh air, and we are certainly seeing that shift here in Edmonton.
Getting creative
Some very creative buying strategies sound too good to be true, and I can see most new investors getting themselves into trouble by not knowing the market, or being greedy, and not having a plan. And it’s not just about Real Estate, although we come across many in this field, but any type of investing. There are too many gurus teaching people to get rich quick, and indeed get into trouble quick too. Setup your Real Estate plan first, understand the big WHY behind your plan. Real Estate investment is very good investment if you know what you are doing but for most people, you shouldn’t be looking at creative strategies to buy Real Estate. If you can’t buy it the traditional way and need to look at creative strategies, them maybe you shouldn’t buy. And while I am all for education and paying for that hard earned knowledge, I believe the cost should be reasonable and not the price of your down payment.
Real Estate 101
Instead of getting creative, Real Estate and Investing can be summed up with these trite sayings which I know you have heard before. There are lots of them out there so I have just included a few.
¹ Location Location Location.
² Don’t wait to buy Real Estate, Buy Real Estate and Wait.
³ Buy the worst house on the best street.
Let me elaborate. Location is about the only thing you can’t change with a house and there is even a difference with 2 houses next door to each other as one could be on a corner or one could be a T-bone, so make sure to buy a good location. Real Estate is long term. Yes it is possible to make money quickly but overall appreciation takes time. Lastly, If you buy the best house on the worst street, the only way to increase value is to buy all the neighbouring houses and improve them. That gets real expensive real quick, but if you buy the worst house on the best street it is easy to improve the home and see a return on your investment. As example, I recently sold an ugly home which was located in the best street. I’m not proud that my house was ugly but I’m happy to have been collecting the rent since 2007 which if you add up the gross rent for that period of time, it is equal to the price I paid for the property, plus when I sold it I walked away with some profit thanks to appreciation and mortgage paydown.
¹ Location Location Location.
² Don’t wait to buy Real Estate, Buy Real Estate and Wait.
³ Buy the worst house on the best street.
Let me elaborate. Location is about the only thing you can’t change with a house and there is even a difference with 2 houses next door to each other as one could be on a corner or one could be a T-bone, so make sure to buy a good location. Real Estate is long term. Yes it is possible to make money quickly but overall appreciation takes time. Lastly, If you buy the best house on the worst street, the only way to increase value is to buy all the neighbouring houses and improve them. That gets real expensive real quick, but if you buy the worst house on the best street it is easy to improve the home and see a return on your investment. As example, I recently sold an ugly home which was located in the best street. I’m not proud that my house was ugly but I’m happy to have been collecting the rent since 2007 which if you add up the gross rent for that period of time, it is equal to the price I paid for the property, plus when I sold it I walked away with some profit thanks to appreciation and mortgage paydown.
Every Month the Edmonton Real Estate Board gathers the latest sales figures sorted by property type, price ranges, listed and Sold. Click the above link to download a copy.
Re-Opening
Alberta has a strong plan to re-open for summer. While I welcome life getting back to normal, we are not there yet. The government may not even reach their target as the number of vaccinations has slowed and so they have set up a lottery to encourage people to get the first jab. They are offering 3 prizes of $1 Million. That is quite an incentive for some people, and if that is you then I hope you win.
Summer break
School’s Out and Summer Break is upon us. With many Covid restrictions still in place it will be more important than ever to plan activities wisely for your children this summer. Given Fionna had so much screen time with online schooling this last year we are trying to do as many activities that don’t involve a computer or iPad.
Simple, fun and in-expensive is kite making and flying. What are some of your favourites?
Simple, fun and in-expensive is kite making and flying. What are some of your favourites?
Disclaimer: Not intended to solicit buyers or properties under contract.
This article contains the opinions of Andrew Barrett and Selena Cheung. Licensed Realtors® with COLDWELL BANKER Venture Realty.
The trademarks REALTOR®, REALTORS®, MLS®, Multiple Listing Service®, and the associated logos are controlled by
The Canadian Real Estate Association (CREA) and identify real estate professionals
who are members of CREA or identify the quality of
services provided by Real Estate professionals who are members of CREA
Copyright © 2019 Wealthyhome. All rights reserved.
This article contains the opinions of Andrew Barrett and Selena Cheung. Licensed Realtors® with COLDWELL BANKER Venture Realty.
The trademarks REALTOR®, REALTORS®, MLS®, Multiple Listing Service®, and the associated logos are controlled by
The Canadian Real Estate Association (CREA) and identify real estate professionals
who are members of CREA or identify the quality of
services provided by Real Estate professionals who are members of CREA
Copyright © 2019 Wealthyhome. All rights reserved.