Inspections.. more than meets the eye

Anyone who knows me as a real estate agent, or has worked with me, will not be surprised to hear that I think home inspections are an important part of the home-buying process. 

When it comes to [what makes a good inspector], one of the most important traits is their ability to explain things and put them in context. I've seen purchases killed by an inspector who didn't fully explain something or what it takes to correct it.  Every inspection will find flaws (that's their purpose), so it's important to also get an idea of how serious they are.

Of course, that's not to say that knowledge and thoroughness are not important.  One of the challenges with a home inspection is that we are limited to what can be observed.  But a professional inspector knows there can be 'more than meets the eye', similar to a huge iceberg with only a small part showing at the top.  Inspectors are trained to see things most of us won't.. little hints and clue that there might be something more serious hiding. 

A [good home inspector] will also come with a complete tool kit to help them explore a bit further than the naked eye allows.  A couple of tools whose value shouldn't be underestimated are the moisture meter and a thermal camera.

The moisture meter is a handy little tool that can help to identify potential leaks in foundation, plumbing or roof.  You place it against a surface and it will give a moisture reading.  What a 'normal' reading is will depend on the material (drywall, plaster, wood panel, etc), and knowing what is typical allows the inspector to interpret the reading and know whether there is a potential issue.  However, the moisture meter is limited in that you have to touch the right spot to find a problem. It's possible to use one and still miss something because you just didn't happen to get the right spot.

Enter the thermal camera.  I love this gadget.  Without getting too technical, a thermal camera reads surface temperature and presents a visual reading showing the temperature ranges on a digital screen. A good one is sensitive enough that it will show your hand print if you touch a wall for a few moments, because your hand leaves behind some heat.  Using the thermal camera, an inspector can do a quick and easy visual sweep of walls and ceilings to identify missing/flawed insulation, air leaks, and even moisture problems - all of which can result in a variation in temperature.

And I can say from personal experience that these tools come in handy.. I've recently been on an inspection that went fairly well.  But then near the end, between the thermal camera and moisture meter, the inspector identified a likely plumbing leak hidden behind the dining room ceiling.  In this case, the buyer proceeded with the purchase but they were able to do so as an informed decision... that issue can be fixed in a timely fashion rather than coming up as a surprise when a piece of the ceiling falls off.

How important is preparing your property for sale?

So you're thinking of putting your house on the real estate market soon. But how important is it, really, to do some preparation work first?

Somewhere between pretty important and essential.

In a hot sellers' market, you want to make the best first impression with the potential buyers coming through.

But on the other hand, in a slower buyers' market, you have more competition for fewer buyers.
Either way, if you want to sell quickly and for top dollar, you will need to give some serious thought to what is needed to prepare your property.

And a half-way job won't do either. There's no point in de-cluttering if you're not going to keep the property clean for showings, and even the cleanest property can take longer to sell if small repair jobs are left as eyesores. And I have personally seen a property that was completely prepared on the inside flounder on the market because the seller left a major curb appeal issue un-resolved.

If you're not sure what to do, my best advice is... get advice.

Ask a professional real estate agent (I'm happy to help with this) or hire a professional stager. Get that honest outside evaluation and make a list of stuff that needs to be done before listing for sale. Then make like Nike and just do it.

Is it worth it to try a really low offer on a property?

There is nothing wrong with trying a real low-ball as long as you are reasonable in your expectations. 

For one thing, you certainly shouldn't be surprised if they are not willing to accept it.  For that matter, you should be prepared for them to be offended and simply choose not to even send back a counter-offer. 

Just to be clear, I'm not talking about a normal offer coming in below list price to leave room for negotiation.  Nobody wants to pay full price if they can help it and a little bit of haggling is to be expected, but no seller wants to sell below fair market value either.

Properties typically sell within 5% of list price at the time of the offer.  (Obviously, competing offers changes the situation completely)  So if you're 20% below the list price, it's most likely going to be a tough sell.  Even if you honestly think the property is only worth your lower price, the seller obviously has different thoughts on the matter.  You can still try, nonetheless, if you have an agent who is willing to do it.

If you're looking for an investment property, it might be what you need to do in order to make the deal work for your long term goals.  I always advise investor clients to keep emotion out of it and offer only what they are comfortable with for their purposes.

A low offer is a bit riskier if you're looking for a personal home and the house you're offering on is "the one", since you might well offend them to the point where they simply won't be very cooperative with you, even if you bring in an offer closer to what they are looking for.  And as a side note, if you can't afford the house without the much lower price, you might want to re-visit your needs and wants to bring them in line with your buying power.

In any case, talk to your real estate agent and get their opinion.  Sometimes really low offers will work out.  And often they won't, so it's just a matter of managing expectations.

Watch out for electrical 'vampires' in the home

Almost every modern house has them.. the vampire load, also known as a ghost load or phantom load.

Insert a scary ghost noise here... ooOOooOo..

Of course, the term sounds scarier than it is, but it isn't something to ignore either.  A less colourful name for it is 'standby power draw'.

To put it in simple terms, a vampire load is any draw on electricity by an appliance or device even while it is not in use. The draws are usually fairy small where the device is in a low-power sleep or 'standby' mode.  The first culprit to come to mind is likely the computer in sleep mode, but many other items might not come to mind.  The LED-light switch on a power bar. The mobile device left on charge after the battery is full.  Or bigger appliances like the TV that has to keep a small power draw on so that the system is ready to respond to a signal from the remote control to turn on.

There are [lots of other little draws] constantly going on in the house. And while small power draws are not horrible on their own, they can add up pretty quickly. If you click the link just above you'll see that some items draw more than others, making them a higher priority to deal with.

Fortunately, there's no stinky garlic required for getting rid of these little vampires.  Some of them are actually pretty easy to eliminate: plug items like TVs, cable boxes and game consoles into a power bar and turn the power bar off when the items are not in use. You'll need to turn the bar back on when you want to use them, but that is not a particularly onerous task in trade for savings on the electrical bill.

Hydro One has some [other tips and suggestions on their site], as well. But essentially it comes down to unplugging or "unpowering" items when not in use or actively charging, whenever possible.

New Year Resolutions for your home: slamming doors

Did your mom ever get on your case for slamming doors when you were a kid?  Maybe not everyone did, but I think a lot of us can relate.

As it turns out, mom was right - it's not a good habit.

Slamming doors on a regular basis, whether out of anger or just force of habit, is not good for them. Over time it can push the door jamb out of line, which can affect the weather sealing on an exterior door and allow heat loss and increase your home energy bills.

It can also damage or loosen hinges and closing hardware - not usually an expensive repair but still an inconvenience compared to taking the little extra bit of time to close doors properly.

New Year Resolutions for your home: smoke detectors

Smoke detectors are an important safety feature in our homes.  They sit there silently (except maybe when we burn toast in the kitchen and such) and it can be easy to take them for granted.  But it's important to think about them every now and then.

For one thing, you should have one on every level of the home.  Besides the fact that [the law requires this], it improves their effectiveness.  Although a second floor smoke detector will eventually pick up smoke from a fire in the basement, there will be a delay until the smoke reaches the top floor.  This can vary in speed depending on barriers to the smoke from basement doors being closed to bulkheads and walls creating a damming effect on the smoke's flow.  This can allow the fire to spread more before you are alerted on the second floor, and with how quickly fire can spread even a few minutes can mean a difference between life and death.  So, if you don't already have one on every level, it would be a good thing to take care of right away.

Second, changing their batteries on a regular basis is a good idea.  Everyone has their own preference about when to do it, but many do it either at the beginning of the year (good time to start now if you haven't done them recently) or at one (or both) of the DST time changes.  At least once a year is a good idea to be safe.  Most smoke detectors have a low-battery warning where it will intermittently chirp to indicate the battery is getting low.  Certainly changing the battery in this situation is a good idea, but it's better not to rely on it - it wouldn't be the first time a battery died quickly and you may miss any warning while out of the house.  And when it comes to the smoke detectors, "better safe than sorry" is no weak platitude.

Finally, it's also a good idea to change the smoke detectors themselves every now and then.  Every manufacturer and model will have their own guidelines so check them out.  If you can't find information on your smoke detector or don't know how old it is, it might be a good idea to install new ones to be safe.

More information on maintaining your smoke detectors is available on Ontario's [Ministry of Community Safety and Correctional Services site].

New Year Resolutions for your home: regularly changing the furnace filter

We're one week into 2019.  Have you forgotten your New Year Resolutions yet?  I hope not, but if you have you can always start again.

On the topic of changes of habits, though, let's look at some over the next few posts for your home.

When was the last time you changed your furnace filter?  Are you keeping track of when you change it?  It's not horrible if you let it go a little longer than you should but severe neglect can cause the furnace to work harder than it has to, adding to wear and tear.

A furnace filter should typically be changed every 90 days or so, and it's a good habit to put a new one in for the start of each usage season (ie. first time using heat in the cold months and first time using A/C in the warm months). 

[How often you should change it can depend on a few factors though]..

For one thing, there is a difference in quality of filters.  Really cheap filters would be better replaced more frequently, as much as every 30 days.

But even with a better quality filter that is good for 90 days, if you add some pets into the household, it's advised you change the more often.  Every 60 days with one cat or dog, or as frequently as every 20-45 days with more than one. 

Allergies in the home will also affect how often you want to change it, but you'll probably be able to tell when that is becoming an issue.  A better quality filter can also be helpful with this.