For Sale by Owner

[Eagle Eye]

Originally posted by Bend it like Bourgeois@Dec 20 2004, 11:35 AM
I sold my own place about 3 years ago when we built our current home (built by Jayman in Evergreen, coincidentally).

We are actually looking at buying in Evergreen, funny thing is it is about a block away from where I live right now

[Indi]

Originally posted by Red+Dec 20 2004, 05:23 PM--></div><table border='0' align='center' width='95%' cellpadding='3' cellspacing='1'><tr><td>QUOTE (Red @ Dec 20 2004, 05:23 PM)</td></tr><tr><td id='QUOTE'> <!--QuoteBegin-jcody@Dec 20 2004, 09:26 AM
actually, I think that realtor fees are 7% on the first $100,000 and 3% on the rest. Then those are split in half between the two realtors. If you are looking for a good realtor, I can recommend a good one who cuts her fees in half.
Good luck

yes, that's the rate before negotiating, but most people don't pay more than 5 and 3.5% so your realtor falls in to the average. [/b][/quote]
you can never discount the purchasing realtors cut...NEVER...or they simply will not show it. The industry norm is 7&3, with 3.5 & 1.5 going to each realtor. The one that I had used cut her rate to 1.75 and .75......so she cut her rate to half. If that puts her in the avg column, well, I guess shes average. The purchasers realtor may move to help cover some deficiency found in an inspection, to try and make the deal go thru

[Bend it like Bourgeois]

Originally posted by 'Eagle Eye'+Dec 20 2004, 11:53 AM--></div><table border='0' align='center' width='95%' cellpadding='3' cellspacing='1'><tr><td>QUOTE ('Eagle Eye' @ Dec 20 2004, 11:53 AM)</td></tr><tr><td id='QUOTE'> <!--QuoteBegin-Bend it like Bourgeois@Dec 20 2004, 11:35 AM
I sold my own place about 3 years ago when we built our current home (built by Jayman in Evergreen, coincidentally).

We are actually looking at buying in Evergreen, funny thing is it is about a block away from where I live right now [/b][/quote]
Holy Small world.

We moved from Millrise to Evergreen. About 2 blocks. I could see my new house under construction from my old bedroom window. It was hardly worth a moving van.

[Eagle Eye]

Originally posted by Bend it like Bourgeois+Dec 20 2004, 01:33 PM--></div><table border='0' align='center' width='95%' cellpadding='3' cellspacing='1'><tr><td>QUOTE (Bend it like Bourgeois @ Dec 20 2004, 01:33 PM)</td></tr><tr><td id='QUOTE'>

We are actually looking at buying in Evergreen, funny thing is it is about a block away from where I live right now

Holy Small world.

We moved from Millrise to Evergreen. About 2 blocks. I could see my new house under construction from my old bedroom window. It was hardly worth a moving van. [/b][/quote]
Let me guess 'Millrise Sq'?

I am in Shannon Sq

Bend it... Did you sell your house through Jayman Reality?

[Red]

Originally posted by jcody+Dec 20 2004, 12:02 PM--></div><table border='0' align='center' width='95%' cellpadding='3' cellspacing='1'><tr><td>QUOTE (jcody @ Dec 20 2004, 12:02 PM)</td></tr><tr><td id='QUOTE'>

yes, that's the rate before negotiating, but most people don't pay more than 5 and 3.5% so your realtor falls in to the average.

you can never discount the purchasing realtors cut...NEVER...or they simply will not show it. The industry norm is 7&3, with 3.5 & 1.5 going to each realtor. The one that I had used cut her rate to 1.75 and .75......so she cut her rate to half. If that puts her in the avg column, well, I guess shes average. The purchasers realtor may move to help cover some deficiency found in an inspection, to try and make the deal go thru [/b][/quote]
Of course, I never said otherwise.
Its' nothing special to get 5 and 3.5 (3.5+1.75 going to buyers) and you got 5.25+2.5 or thereabouts.

For the record, I have not met anyone that paid full 7+3.5, that's why I don't consider it a norm.
________
Prilosec Attorney

[northernflame]

I am not sure what the housing market is doing in Calgary at the current moment, but two years ago my brother sold his cono in the SE in less than one week.

He simply went around posting information at various local outlets (library, bulletin board at Shopper's Drug Mart etc). It worked out very well.

For me, if I were to sell I would do it by sealed auction. Have everything ready to go (legal etc) on the Friday night. Let people view over the weekend, those interested could submit a sealed bid, starting at whatever price you want for the house. Auction ends at midnight on the Sunday, first in higest bid wins.

[ratech]

I'm looking to do the same, but I have been thinking about renting my currnet house out instead. I hear housing prices are going to boom next year and if you can get the right people to rent then why not let them pay your mortgage. Maybe this could be a solution for you as well? Any thoughts on how hard it is to rent out a house and I'm not talking near the University to 6 CP freshman.

Nice neighborhood
Nice house
Would be looking for a family type situation

Anybody ever done this?

MODS - This is not an ad - just looking to save some time and make the right decision.

[Indi]

there's also another side to being a slum lord...You are now paying taxes on the 'income' earned ie. the rent collected. Also, when you do go to sell the property, because it is no longer a prinicple residence, you will have to pay capital gains on a portion of the sales price. There are some definite upsides, but also some downsides. The alberta tenant act is very vigorous in protecting tenants, so If you get a bad one, it is very difficult to get them out in short order, usually 30 day min, giving them lots of time to get 'their money's worth' out the damage deposit. Big thing now is grow ops, insurance company's are refusing to cover damages caused by any grow op now, and law enforcement are contemplating charging property owners who have tenants that run grow ops, they want more periodic visits by the owner

jc

[Mike Oxlong]

Originally posted by jcody@Dec 22 2004, 04:50 PM
there's also another side to being a slum lord...You are now paying taxes on the 'income' earned ie. the rent collected. Also, when you do go to sell the property, because it is no longer a prinicple residence, you will have to pay capital gains on a portion of the sales price. There are some definite upsides, but also some downsides. The alberta tenant act is very vigorous in protecting tenants, so If you get a bad one, it is very difficult to get them out in short order, usually 30 day min, giving them lots of time to get 'their money's worth' out the damage deposit. Big thing now is grow ops, insurance company's are refusing to cover damages caused by any grow op now, and law enforcement are contemplating charging property owners who have tenants that run grow ops, they want more periodic visits by the owner

jc

I don't get people who use that TAX argument. If I gave you $10,000 but you had to pay $2000 in taxes would you not prefer that to not having anything? There are ways to minimize the tax you pay as well. You can start a corporation and out the income directly into the corporation. I beleive if you reinvest the profits into other investment you can also defer the tax payments. Best thing is to check with a good accountant. If you have lived in the house for more than a year I don't think you have to pay capital gains tax either.

The most difficult part about renting your house for a lot of people is getting approved for 2 mortgages. Many people won't qualify to have 2 mortgages that they are responsible for. If you go a month or two with no tenants you have to pay 2 mortgages and your bank will look at that.

If you have the ability to pull it off though it is a GREAT way to make some cash.

[Indi]

I didn't say don't do it, I just said that there are tax implications. If the house was a permanent residence, then a rental, and then sold, capital gains apply to the appreciated value of the house from the time you moved out to the time you sold. If you go to the bank with a signed lease and the downpayment, the bank will lend you the money. You need the 25% downpayment because CMHC will only insure mortgages for primary residences (this may have changed). I researched this topic fairly heavily a couple of years ago, things may be different now for qualifying and such. Lets face it, if this was such an easy thing to do, and such a big cash cow, everybody would be doing it

jc