Real Estate Insider: June 2018 News Report

Housing prices are moving on up and houses are harder to come by! Whether you're investing, buying your first home, selling, or renting, we've found 10 topics you need to look at before you make your next move.

Real Estate investing can be hugely profitable, but only if it’s done right! Read these 7 lessons one man learned from failing in Real Estate Investment (so it doesn’t happen to you)! >>

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Statistics show many young professionals and new families are moving back home to their mid-sized cities and towns and shying away from the “Big City Dreams”. The reason? These revitalizing cities are showing great potential and opportunity for everyone! Read more about the mid-sized city magnetism here. >>
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With the recent hike in property value in many Canadian cities, a lot of people are doing the math on how much money they have made on their home. But it’s much more complicated than most people think! Read this article to make sure you are calculation your ROI on your home correctly! >>

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Here’s a list of home insurance discounts most people don’t know about. See which ones you qualify for to make sure you are getting the best rate on your home insurance! >>

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When do you think the target age of home ownership should be? Discover The 2018 Zoocasa Housing Trends Report for the ideal time to buy a home. >>

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“What is capital cost allowance and when can I claim it for my rental?” >>

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Are you thinking about selling a rental property that is currently occupied? Here are 5 things to remember when selling a House with a Tenant! >>

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Regulations and zoning issues have made it difficult for builders to construct new single-family homes in some of the hottest real estate cities in Canada. The result? People overpaying for homes! Find out by just how much here. >>

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Looking to pay down your mortgage a little earlier than planned? Read here for a wide variety of tips on how to pay off your house earlier than expected! >>

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Passive income is quickly becoming the most sought after source of financial freedom and comfortable retirement. Check out this in-depth analysis of Triple Net Properties. >>

Basement Flooding 101

In our area of Windsor, Ontario, we had some very heavy rains this week. Although nothing comparable to some of the devastation in the Houston, Texas area, many people suffered substantial damage from basement flooding. The condo building I live in had 2.5 feet of water in the parking garage ☹. We thought this friendly reminder on basement flooding tips would be timely.

Follow any directives to turn off utilities. If you’re advised to switch off the main power source to your home, flip each breaker and then turn off the main breaker. You may also need to shut off the main valve for your home’s gas and water.

1. Be aware that submerged outlets or electrical cords may energize standing water. Keep the power off and do not enter a flooded area until it has been determined to be safe to do so by a professional.
2. Have an electrician inspect electrical appliances that have been wet. Do not turn on or plug in appliances unless and electrician tells you it's safe.
3. If the flooding is due to a sewage backup (or you are not sure), do not flush the toilet, run a washing machine, dishwasher or any other feature with a drain since this will likely increase the flooding.
4. Report the issue to the municipality. Documentation of flood locations helps municipal staff determine if any work is required on municipal infrastructure.
5. During clean up, provide as much ventilation as you can. Open windows if weather permits and use fans to dry things out.
6. Call your insurance company immediately. They will advise you on standard clean up procedures, contractors to call and claim information.
7. Make sure you take lots of pictures and document items that have been damaged or need to be replaced. Before you head out and start buying new stuff, make sure you are familiar with the coverage you have with your insurer. Keep any and all receipts for emergency work done, purchases, and/or repairs.
8. Insurance companies look favourably on homeowners wanting to undertake work on their own to reduce the likelihood of future flooding. Repeat claims with no efforts to reduce future risk may be sufficient for an insurance company to drop that form of coverage in the future.
9. Take preventative measures in the future to make sure the water stays away from your basement as much as possible. These include: making sure downspouts are extended and flow away from the foundation, gutters are clean and flowing, grading isn’t low in any areas and if it is having it filled it to flow away from the house, and having the sewer lines checked annually to make sure they are flowing and not backed up and possibly having them eeled out if need be.
10. If the preventative measures don’t work at keeping the water away, you may need to look at additional upgrades including: adding in a sump or multiple sumps with battery back ups, a back flow (check flow valve) to stop the sewer back up, doing the weeping tile along the perimeter of the basement, and digging up the exterior of the house to add a waterproof membrane.

Sometimes when we get a huge rain storm in a short period of time, there isn’t much you as a homeowner can do. Knowing some of these tips can help keep you safe next time and hopefully minimize the damage. Stay dry out there!

Title Insurance - Is It Needed and Who Does It Protect?

This is an area generally covered by your lawyer, but it plays a prominent role in a high percentage of real estate sales. Occassionally problems and defects regarding the property are not discovered prior to closing, but become major issues after you complete the purchase. Such matters are often costly to remedy, but more importantly can make the property less marketable when you subsequently look to sell. In short, TITLE INSURANCE provides coverage against such problems and helps cover the financial consequences which arise as a result.

Title insurance can be issued on behalf of both the purchaser and the lender, or both. Lenders will often require title insurance as a condition of approving a mortgage. Types of risk typically covered include:

• Survey irregularities
• Removal of existing structures
• Unregistered easements
• Set back or side yard non-compliance
• Zoning restrictions
• Right-Of-Way matters
• Fraud or forgery
• Fundamental Title Issues

As with any type of insurance, certain risks may not be covered. Be sure to discuss with your lawyer what risks are covered/excluded, and take the time to read the policy. Premiums will vary, but it is relatively inexpensive and well worth the investment.

Title insurance can often help ensure that a closing is not delayed due to a defect in title, especially one that arises right at the time of closing. It has become a widely accepted practice throughout the Ontario real estate industry and one that we strongly endorse.

We welcome any feedback that you may have had with Title Insurance – good or bad! And as always just reach out to us, if you would like to get connected to Windsor-Essex and learn more about our local market opportunities.

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Mark Lalovich
mark@lalovichrealestate.com
Office: (519) 966-0444
Cell: (519) 259-5434