All Your Real Estate Answers

Frequently Asked Questions

What is the first step of buying a home?

The first step of the buying process is getting a pre-approval for a mortgage. The reason for this is because buyers need to know how much they’re able to borrow. This also aids in searching for appropriate properties, and prevents buyers from becoming attached to listings outside of their price range. It demonstrates you’re a serious buyer as a loan estimate is required for a down payment and closing costs. In addition, you’ll be able to hold an interest rate for a fixed period of time prior to committing. Calculate your mortgage using our free mortgage calculator to get started today.

How long, on average, does it take to buy a townhouse?

It typically takes 10-12 weeks to buy a townhouse, including searching online to signing a contract. On average the buyer looks at 12 homes before offering on one and completing the closing period takes 30-90 days. These timings are under normal marketing conditions, as marketing conditions are a huge factor and can drastically change the length of the buying process. However, properties may be purchased quicker if home buyers are well prepared and pay in cash. If you’re looking to start this process, contact us today.

How long, on average, does it take to sell my home?

It can take anywhere between 2-12 weeks to sell a townhouse. Similar to buying a property, this process is highly influenced by market conditions.

What is a sellers’ market?

A sellers’ market is when the demand for properties (number of buyers) increases or there is a supply shortage, causing prices to increase. There are many factors which may influence the demand for homes:

  • Economic Factors - as the local labour market becomes more active, there is an inflow of new residents (increasing demand)
  • Interest Rates Decrease - it improves affordability, resulting in more people searching for homes
  • Short Term Spike in Interest Rates - buyers may be compelled to make a purchase as they believe the upward trend will continue
  • Geography and Building Supplies - low resources and space available to develop homes for the current demand causes higher prices

Learn more about selling by checking out our free Sellers' Guide.

What is a buyer’s market?

Opposite of a sellers’ market, a buyer’s market is when there is reduced demand (lower amount of buyers) and the prices of properties decrease. The contributing factors that influence this include:

  • Economic Factors - a large amount of people may be laid off by their employers, therefore they no longer have the income to purchase a property
  • Interest Rates - when interest rates increase it decreases the amount of money people can borrow, therefore reducing the amount of potential buyers
  • High Inventory - more townhouses available for the current demand causes lower prices
  • Natural or Human-Made Disasters - recent environmental conditions can decrease a property’s value

Learn more about the buying process by reading through our free Buyer’s Guide.

What is the maximum length of time a seller can take to respond to my offer?

In most cases, 24 hours is a sufficient amount of time for sellers to take to respond to offers. However, offers can be left open for as long as a buyer wants, and the seller will have to respond in that time.

Does the time of year influence the prices of homes? Is there a best time?

Yes, the time of year does influence prices and there is a best time to buy a townhouse. Traditionally, August and December are months where people are not focused on purchasing real estate and if you’re trying to sell your home in that time you’re probably quite motivated. Therefore a buyer is likely to get a better deal, however there is a limited amount of inventory to choose from. Prices depend on a number of factors including location, supply, demand, and other conditions. The number of days on the market is another large indicator of negotiating power. If a property has been on the market for some time, the seller is less likely to negotiate. Reach out to Kamil Lalji, one of Calgary’s Top Agents, to get professional advice today.

Does a higher credit score guarantee a better mortgage rate?

There is no guarantee, however a higher credit score does typically secure a better mortgage rate. As one's credit score is a measure of financial health making them more likely to meet scheduled payments. Calculate a mortgage estimate today using our free mortgage calculator.

Is there a particular way to prepare my home before selling it?

First impressions are very important, so ensure all entrance ways and rooms are clean and organized. It is also vital that HVAC, plumbing, and electrical systems are all working properly. If you want to learn more about preparing your townhome, contact us today to gain professional advice.

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Data is supplied by Pillar 9™ MLS® System. Pillar 9™ is the owner of the copyright in its MLS®System. Data is deemed reliable but is not guaranteed accurate by Pillar 9™.
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