Should I Buy My Home From My Landlord? + Do Garden Suites Add Value? - ‘The Situation’ Consumer Q&A
ฝัง
- เผยแพร่เมื่อ 8 พ.ค. 2024
- We are back with our popular consumer Q/A segment, ‘The Situation’!
Urmi once again asks John to respond to the detailed questions you send in about the real estate decisions you are making as you navigate through the Toronto area housing market.
00:00 Intro
00:53 Choosing the Right Agent
03:47 Do Garden/Laneway Suites Add Value to Homes?
13:46 Should I Buy the Home I’m Renting From My Landlord?
24:33 Should I Sell My Condo or Rent It Out - and What Taxes Are Involved?
Links for today’s show:
- Kyle Lamothe, Tax Lawyer: www.thor.ca/lawyers/kyle-lamo...
If you would like to send in your questions to be featured on a future episode, please email askjohn@movesmartly.com
If you have a more specific or particular real estate situation to discuss with John and his team at Realosophy Realty, connect with John at movesmartly.com/meetjohn
Listen to this episode when available on Move Smartly Podcast (New episodes drop Tues mornings): link.chtbl.com/movesmartly
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Connect with Us
John Pasalis, President and Broker, Realosophy Realty, Toronto | Email: askjohn@movesmartly.com | Twitter: @JohnPasalis
Urmi Desai, Editor, Move Smartly | Email: editor@movesmartly.com | X-Twitter: @MoveSmartly
About This Show
The Move Smartly show is co-hosted by Urmi Desai, Editor of Move Smartly, and John Pasalis, President and Broker of Realosophy Realty. MoveSmartly.com and its media channels on TH-cam and various podcast platforms are powered by Realosophy Realty in Toronto, Canada.
Hey Jon, local appraiser in Southern Ontario here. Two items you missed about garden suites/renos:
1. You could see the end value of your home exceed the costs associated with a renovation if you successfully brought the home up into a different 'class' of property in the area, usually through an addition and adding sqft. So making your 1300 sqft home into a 2000+ sqft fully renovated home in an area thats highly desirable and where people will pay a premium to not have to go through the renos themselves. I find this is common in older, more mature neighborhoods. BUT, that also means you have to buy correctly during the initial transaction when you purchase the home.
2. Its a better investment to add an addition to your home instead of a garden suite. You can configure it so that its totally separate and the location of windows keep your yard area private, while at the same time providing private living space for a renter or loved one. The key part is to rough in openings inside the walls so that the space can be easily connected to the remainder of the home if desired, thus increasing the living space for someone who may not want a rental unit for themselves. It also gives you the opportunity to add additional living space for yourself above or below the suite area and doesnt come with size limits that garden suites typically have from the municipalities that allow them to be built.
Love the show, keep up the great work!
Hey guys, another great show.
On the Laneway Suite and Garden Home adding value to the property, there are many nuances to consider from the lender and appraisal perspective.
I’ve helped clients with these types of builds. And I can say that the client was successful in adding nearly 90% of her construction costs of her nearly 700 sq/ft garden home in Hamilton. This because the entire build followed and checked the boxes required from the lender when the entire property was appraised.
I agree with John that it’s also in the eye of the buyer but yes, if done correctly, the value will be added in the appraisal of the property.
Lastly, if you are considering the cost of buying a condo vs that for building an ADU on your property, it’s a no brainer to construct the ADU whether or not it’s for personal use and especially for extra income. In the very near future, these ADU’s will be very valuable as multi generational living grows and grows as a necessity.
Happy Easter weekend to all!
Most people do want to live beside their tenants. So as an investment it is less desirable. Also, buying another freehold is a far better investment than paying out of pocket to build an ADU on an existing property because it opens up the door for further density for the investor. ADUs are a very specific feature to a home that will not appeal to everyone. In most cases, you're better off building an addition and adding more sqft to the primary home in order to achieve what you want. And if you're wondering, I'm a real estate appraiser.
I have a different opinion about pools. Since the pandemic, pools have become more valuable, and the cost to build one has increased a lot. People have realized how useful pools are during the pandemic, and you can enjoy using the pool from June to the end of September (4 months). Having a pool also improves the appearance of your backyard, making it look like a waterfront area.
Way too Canadian PC answer on garden suites without discussing/skirting the major issues! Garden suites are very valuable in lower income/middle class or ethnic areas where multi-generational living is hardwired into the DNA/culture! In higher income born in Canada areas they actually subtract value! There you go I SAID IT! Call a spade a spade guys!
That's so simplified that it could be harmful to someone reading it if they chose to use it as sound advice for their home.
Hi guys, I love your show! I have a question, is it required/okay for the seller’s agent to be present for the home Septic inspection? Thanks
It's common practice for the seller and their agent to not be home for any inspection, but they are allowed to be there, and in some cases, it may be helpful to have them there