12 Questions To Ask Before Selling Or Buying A Home

Sellers think the home they are selling is special. Buyers want to fall in love with a home before they buy. Yet remember, when you are looking at the real value of a home, it is still going to be about supply and deamnd. Here are some questions to help buyers and sellers determine whether the area they're looking at will be in demand.

1. Is your area's average income increasing faster than the provincial average?
2. Is your area's population growing faster than the provincial average?
3. Is your area creating jobs faster than the provincial average?
4. Does your area have more than one major employer? Real estate values in entire towns and cities can devaule overnight because a major automobile plant closes.
5. Are real estate values rising faster in regions far away from you?
6. Have the local political leaders created an environment that is assisting growth? Look at the land transfer tax policy change in the City of Toronto, introduced on January 1, 2008; it had a negative effect on real estate values all over the city.
7. Are you expecting a new major development?
8. Is your area considering a major transportation improvement? Better roads make it easier for people to commute to and from your area.
9. Is the area attractive for baby boomers as well as young families?
10. Is your town experiencing short term layoffs?
11. What are the demographics in your area?
12. What is the crime rate, and how does it compare to the provincial average.

You can find answers to many of these questions by searching the internet and by reading the statistics published by your municipality and local police departments. Good real estate salespeople who market in your area may include a lot of this information on their own website. The more information you have at your fingertips about a neighbourhood you are interested in, the less likely you'll have an unpleasant surprise after you purchase your property.

Source: "Put the Pen Down!" by Mark Weisleder, ECW Press 2009.