Jane Field and Louisa Cochrane

Timeshare Resales

Posted by on February 1, 2011 | No Comments

Recently, I had a call from one of my readers. She was wondering how to go about selling the vacation timeshare she had purchased several years ago.
A timeshare interest is defined as a person’s interest in a timeshare plan. A timeshare plan is a plan in which the persons participating each have a right of recurring use for a certain number of years, of all or part of the land/property/condo/hotel room. A timeshare plan does not require that the persons acquire an ownership interest in the land/property/condo/hotel room. We see them most often applied to resort properties in holiday destinations throughout the world. There are many different types and systems of timeshares and ownerships. The buyer pays a certain price at the outset plus an annual fee of roughly $300 – $700 per share per week depending on size of unit, location and quality of the resort, etc. etc. There are probably annual fees both higher and lower than this. I’m just using figures I have seen myself in various timeshare offerings I’ve read about.
Most timeshares I have seen cost at least $5,000 per week at the outset, in addition to the annual fees. I have also seen them priced at $40,000-$50,000 and more. It’s my observation that timeshare resales are sold for less than the original prices paid, although I suppose that may not always be the case. Timeshares are commonly in exchanges so that the owner can “trade” their resort time for that time in a resort elsewhere in the world. I understand that the better the location of your timeshare property, the more easily it trades for other destinations.
Timeshares are not to be confused with fractional ownerships and perhaps I’ll explain that in a future column.
But, to get back to my reader’s question of how does she sell it. Canadian Realtors don’t normally do this for three reasons. Firstly, there is usually no interest in the land so we’re not licensed to do this. Secondly, we have little or no training in this field. Thirdly, we may have to charge a fee of perhaps a third or a half of the value of the share just to have a budget to promote and advertise.
I think most timeshare owners go to the most reputable timeshare resale companies they can find. They also go back to the company where they originally bought it as that can be a source of buyers. For example, existing timeshare owners may want to pick up additional weeks so they can vacation longer. Or perhaps happy vacationers at the resort want to buy a timeshare so they know they can get that same time next year. Another method to find buyers is the vacation section of your local newspaper. Would-be holiday’ers read those ads when they are thinking of booking their next vacations and may consider the option of a timeshare purchase.
To seek out reputable timeshare resale companies may be a daunting task. If you find a company you think you may like to deal with, do check with the Better Business Bureau or the equivalent in that country before proceeding.
Always seek a good lawyer to assist you in asking the right questions and to read over anything you may be asked to sign.
By the way, I have no substantial expertise in this subject. I only know the little I have learned in talking to timeshare salespeople a few times while on my holidays, and to friends and clients.
It does occur to me that this might be a better time to purchase a timeshare, if you are so inclined. Because of the U.S. recession it’s likely there are some lower prices being offered.
Thank you to my reader for suggesting this topic.

Originally published in the Vernon Morning Star – January 29, 2009.      To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Property Tax Deferral

Posted by on January 27, 2011 | No Comments

Did you know that you can defer payment of your property taxes if you have attained the age of 55?  Previously you had to be 60 years old.  This is effective for the 2007 tax year.
To better familiarize you with the tax deferral program here are the basics.  If you are a property owner who is either a Canadian citizen or a landed immigrant and you or your spouse are 55 or older and you have lived in British Columbia for at least one year, you are qualified to apply for the deferral program.  You can also apply if you are a widow or widower.  If you are a physically disabled person as defined under the Guaranteed Available Income for Need Act you are also likely eligible.  In all cases this is only possible on the taxes on your principal residence.
The deferral tax amount is charged a modest two percent below the prime rate / 2% below the province’s borrowing rate.  The tax deferral program appears as a lien on the title to your home.  The taxes are paid when you sell your property or they are paid out of the proceeds of your estate.  So, if you are not concerned that the value of your estate will be diminished, this is an ideal way to keep your expenses down.  The hope is that this program assists homeowners in being financially able to remain in their homes for longer.  I see on the Government of BC website that currently about 11,000 BC households have chosen to defer their property taxes.
Other requirements for a successful application are that you must have and maintain a minimum equity of 25% of your BC Assessment stated value.  That means after you have accounted for your mortgages or lines of credit or any other charge against your home.  You must also maintain fire insurance on your home.
It is possible to defer all or part of your taxes, whichever you choose.
I have looked over the website www.sbr.gov.bc.ca/rpt (click on property tax deferment) and found a few more details, but nothing too difficult. It’s easy to understand and I recommend you visit that website.  You can also go to the local government agent’s office if you prefer or phone 250-387-0555.
 f you intend to do this you must take your application form along with your current mortgage statement to the government agents office before your tax due date.

Originally published in the Vernon Morning Star -  March 2007.      To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Sales of Estate Properties

Posted by on January 27, 2011 | No Comments

In most cases the estate paperwork is either complete or nearly complete when the estate property is presented to the marketplace for sale, but not always.
As a buyer you want to be able to rely on the title being able to be passed to you without being entangled in any legal problems of the estate. Realtors make it their business to check with the estate executor(s) and their legal counsel so as to clearly understand what, if any problems may have arisen and if delays are expected. If the passing of the title cannot occur, then it is likely that the buyer will not be allowed possession of the property either. For most buyers, that would be a problem.
It needs to be clear if there are unexpected claims to the estate. For a judge to sign the Letters Probate, she/he must be of the opinion that the wishes of the deceased are being carried out and that there are no other lawful claimants that need to be heard.
If Letters Probate have been granted and there has been no contradiction with the Wills Variation Act, then it’s fine for the Seller to proceed with a contract to sell the property. However, if there is doubt, realtors commonly add the following clause. “Subject to the Seller receiving the following by a certain date
1. copy of the Letters Probate
2. assurance that everyone entitled to claim under the Wills Variation Act has waived or released his or her claim against the property. This condition is for the sole benefit of the Seller.”
There is protection in the clause for the Buyer to, as if the Seller can’t get the Letters Probate etc. by that certain date, the Buyer would be made aware of the delays. The Buyer can then decide whether or not they wish to extend their purchase contract.
I am occasionally asked by Buyers if they can get an extra good deal by buying an estate property. My experience has been that most executors/executrix are very cautious that they get real market value for the property. They feel responsible to the heirs to do so.
Whether you are buying or selling estate property, it’s always best to get legal advice. Problems do not often occur, but it’s best to be careful.

Originally published in the Vernon Morning Star -  Feb 2007.      To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Owner Built Homes

Posted by on January 27, 2011 | No Comments

As of July 1, 1999 The Homeowner Protection Act came into effect. This act allows people to build their own homes or manage the building of their own homes without providing third party Warranty Insurance. However, to meet the legal requirements an owner-builder must “be an individual who builds a detached, self-contained dwelling for their own personal use not more than once every 18 months.” The 18 months begins after the completion of construction and once the homeowner actually begins their personal use. i.e. living in the home.
As a result of not being required to provide the third party Home Warranty Insurance, owner-builders are personally liable to buyers of their home for a full 10 years after the owner-builders first occupancy. Buyers need to be cautious and aware that the owner-builders warranty is only as good as the owner-builders financial capability and/or their ability to repair the defects in the home.
When considering buying such a home, a prudent buyer would be well advised to have a competent, certified home inspection from a registered home inspector as a minimum level of investigation of the home. Buyers should check the home out further by establishing that a final occupancy certificate exists for the home. Anything a buyer can do to investigate the home so that they know what they are buying is advisable.
When an owner-builder is seeking a building permit, or wants to start building in an area where building permits are not a requirement, the owner-builder must apply to the Homeowner Protection Office for an owner-builder exemption. Once approved, the HPO will issue an Owner-Builder Declaration and Disclosure Notice. For the first ten year period any buyer of an Owner-Builder home must be provided a copy of the Owner-Builder Declaration and Disclosure from the owner-buyer. It shows that there is no third party Warranty Insurance.
If the home was built by an owner who has not met the legal requirements of the owner-builder exemption, then the home is seen to be illegally constructed, and when sold the HPO sees it as an illegal sale. If the owner builder is fraudulent they can face large fines and criminal records. So, it is very important if you want to be an owner-builder, that you do in fact personally use the new home for the required period of time before offering your home for sale.
Whether you are a buyer of an owner-built home or an owner-builder, get legal advice when buying, building or selling such a home.
A website with more details than I can provide in this column is www.hpo.bc.ca

 

Originally published in the Vernon Morning Star - May 2007.     To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Okanagan Paradise

Posted by on January 27, 2011 | No Comments

 It was another busy month for real estate in our area. It felt almost as active as July.
As I write this article, my husband and I are relaxing on our boat. It’s Sunday afternoon on the last weekend of another Okanagan summer. We’re at an anchorage somewhere south of Fintry.  The lake is calm. The water is so clear I can easily see the fish in the water as they circle our boat in the hopes we’ll throw them some special morsel to eat. There aren’t very many boats on the water today. Those of us with school age children are getting organized for back to school. Others are taking in the sights at the Interior Provincial Exhibition in Armstrong.
 A family of Merganzers swam by early this morning. The young ones appeared to be fully grown but the mother is still very busy protecting them and bossing them.
 There are tinges of autumn colours showing in the forested hillside above us. Just a few moments ago we were thrilled to see a young bear, barely old enough to be on its own, gorging itself on the berry bushes along the waters edge.
 The water is gently lapping at the rocky shoreline. That’s so enjoyable to listen to. I really appreciate that today as it has been a windy summer and we have had very few calm days.
 I look across to the other side of the lake at the orchards and vineyards. They are amazingly beautiful, no matter what time of year it is. I see acres of lush dark green that show sharp contrast to patches of blond grasslands and the forests.
 Westside Road is above us, and the silence here is often broken by a motorcyclist or group of motorcyclists out enjoying a Sunday drive through this picturesque area.
 Except for the red trees from the pine beetle infestation, the view looks to me to be picture postcard perfect.
 I absolutely love this beautiful Okanagan. Ninety miles of lake to enjoy. I never tire of going on a boat cruise or taking a drive when I can find time.
 Small wonder we have so many people choosing to move here. Many are retiring, but others have chosen to open businesses here or have found work here. They’ve come to raise their families and to enjoy all the beauty our area has to offer.
 My own prediction is that our local population will continue to show steady growth. Demand for our real estate will continue. How could I possibly believe otherwise as I sit on our boat on a Sunday afternoon in paradise?

Originally published in the Vernon Morning Star – Sept 2007.     To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Choosing a Realtor

Posted by on January 27, 2011 | No Comments

Question: How do I find the right real estate agent?
Answer: The first thing I want to impress on you is that you DO need to pick A real estate agent. Buyers and Sellers who dart around from realtor to realtor get lower quality service. The reason for this is simple. Realtors are not paid one red cent for their work unless they successfully complete a purchase or a sale. To give of their time and service a realtor must have an expectation of profit (a wage). It does follow that a realtor will put in the most energy and expertise when they know they will get paid. For a realtor to spend time and dollars with a client who is not loyal to that realtor just isn’t sensible. The realtors’ time is better spent elsewhere.
Choosing a realtor via calling on an ad isn’t the way to go. You could get any calibre of realtor … poor or good.
Please know there is no need for a buyer to call individual realtors on individual listings. Technology, being what it is, means that all realtors have immediate access to all MLS listing information. A buyer needs only to work with their chosen agent who will be sorting through the listings on the buyers behalf looking for homes which match that buyers’ criteria. It is almost without exception these days, that the listings are on MLS.  Multiple Listing Service is an organized central source of listings. All Okanagan Mainline Real Estate Board’s realtors send their listings to this one source.
I recommend that you ask around amongst your family, friends and acquaintances. They will tell you who their realtor is and how well their last real estate transaction went. Another good group of people to ask are mortgage representatives and brokers and real estate lawyers. They usually know who the really good realtors are.
Question: What qualities should you look for in your realtor?
Answer: Find a realtor who listens well. Nothing is more frustrating than looking at the wrong properties! Having said that, be sure you try to be a good communicator too. Your realtor can do a better job if she or he can know what type of property you wish to buy. There is no advantage in keeping your realtor guessing.
The next trait to look for is attitude. You have to feel that the realtor will devote the necessary energy towards your search. That realtor should be showing sincere interest in your positive outcome.
Look for experienced realtors. There is no substitute for this. The more transactions a realtor has been through, the better they know the potential for problems, the better they know our areas’ idiosyncrasies, the better they know laws and by-laws, the good and not so good re-sale areas etc.  A realtor knowing in advance what the problems can be, goes a long way to preventing problems for you, the consumer.
Don’t fall for “come-on” advertising. Discounts and offers for guaranteed sales and free this and that most certainly do not guarantee quality service.
Choosing a realtor should be a lifetime choice, just like your dentist or accountant. Once you have bought or sold with your realtor and the experience was a good one, plan on using that realtor in the future and recommending that realtor to others. Once the loyalty is established you’ll be amazed at how good your relationship with your realtor can be.
Realtors are a professional group and as a whole they are dedicated to providing a complete service with the clients’ best interests at heart.

Originally published in the Vernon Morning Star – Feb 2007.  To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Benefits of M.L.S.

Posted by on January 27, 2011 | No Comments

In Canada we have a national Multiple Listing System. All major real estate companies are members of the M.L.S. system and almost all of the minor companies are, as well. In the Okanagan, I know of no exceptions. It is a system whereby all information on all listings is shared by all realtors, so that their clients have easy access to information on listed properties and so that the value of properties sold is readily available. This aids the accurate pricing of new listings.
In all the provinces in Canada, all the M.L.S. listings are on the world wide web on the site known as www.mls.ca. Those who are interested in obtaining information on any property listed for sale in Canada can go to this site and get all basic information on that property. The site is well organized. Firstly it’s arranged by province, then by zone and then by city or town. From there the listings are sorted by type and price. It is a pleasingly simple and straightforward system where one can readily locate the cities and properties they are interested in.
Some realtors set their listing data up on www.mls.ca so that when the inquirer clicks on a certain listing, they are automatically connected to that realtors’ website where the inquirer may obtain even more detailed information.
The benefit of such an organized system when you are buying, is fairly obvious, but  just think of the benefits if you are selling. This site is well advertised by every real estate board in the country. Therefore the majority of prospective buyers know to go to this site for the richest resource of properties on the market. The result for sellers is that they get their properties sold more easily and commonly for better prices. For sale by owner websites pale by comparison. World wide web coverage means exactly that. Inquirers from other countries soon discover www.mls.ca once they begin searching on the internet.
Locally, in the Central Okanagan and North Okanagan, the M.L.S. listing coverage is taken one step further. The listings are compiled and published in tabloid format approximately every three weeks. It is then available to the public in most newstands, hotels, motels, service stations and of course, real estate companies. This makes the information available to those who do not access the internet. This is a clear benefit to both sellers and buyers.
All realtors have access to all M.L.S. listings. Realtors get the listing data on their system just a few days ahead of www.mls.ca. Because M.L.S. realtors have greater familiarity with areas and listings they can make informed suggestions to Buyers. They can access all listings from all real estate companies. If not for the convenience of the M.L.S. system, buyers would have to contact every real estate company in town to see what was listed. How cumbersome! With M.L.S., buyers can select one realtor who they know and have confidence in. That realtor will listen to the buyers needs and preferences and then provide details on the most suitable listings.
It’s a wonderful system for all consumers, buyers, sellers and realtors and I am most grateful we have it in Canada.

Originally published in the Vernon Morning Star – March 2006.  To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

The Bare Land Strata Concept

Posted by on January 27, 2011 | No Comments

There are several bare land strata developments in the Vernon area. Most are adult communities. Some of the earliest bare land strata adult communities were Uplands, Hillview Meadows and Sandpiper. Other examples are Quail Run and Quail Vista.
The bare land strata concept is best described as a larger piece of land that has been subdivided into several strata lots. The road within the development is known as common property. In addition to owning their lot, all the strata owners have a proportionate share of ownership in that roadway. The same proportionate share of ownership would apply to other common property such as the complex swimming pool or clubhouse.
Locally, residential bare land strata is most commonly freehold ownership and is rarely leasehold. The developer subdivides the parcel into several strata lots and submits it to Land Registry. Each strata lot gets its own lot number and the whole development will be registered under a certain Plan number. The developer has a fee simple ownership on all of the lots at the outset. The developer can then sell the lots to buyers who will subsequently be freehold owners.
Each owner pays their own individual property taxes. Their taxes are based on their individual lot and its improvements, together with their share of the common property. Each lot within the bare land development is assessed separately.
As with all strata developments when a strata plan is filed at the Land Title Office a strata corporation is established. The owners of the strata lots in their strata plan are the members of that strata corporation.
The duties of the strata corporation are to manage and maintain the common property and to keep records, such as the list of owners and their addresses. They must hold annual meetings and see that a strata council is formed each year. That strata council has to enforce the rules, regulations and bylaws. Financial records must also be kept. They must show the strata fees collected and publish how each dollar is spent or saved.
As with all strata, the owners have to vote on items such as rentals and age restrictions, etc. Other than the owners having to comply to the Strata Property Act they are free to vote on any issues that concern their complex. Minutes of all meetings are required to be kept.
In a bare land strata each owner is normally responsible to insure their individual home and also to maintain and repair the home inside and out, including roof and siding.
This is a very abbreviated summary of the bare land strata concept. This column attempts only to cover the basic idea.

Originall published in the Vernon Morning Star in 2005.  To suggest topics for future articles or to ask  questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Rights of a Lakeshore Owner

Posted by on January 25, 2011 | No Comments

The lakeshore boundary of a lakeshore lot is generally to the normal high water mark.  This is a natural boundary.  Any land that is between the high water and the lake itself  is called the foreshore.  The foreshore is owned by “The Crown” a.k.a. the Provincial government.  Since this  is public property the lakeshore owner cannot prohibit access by others to the foreshore.  To prevent such access is an offense.
To establish the boundaries of your lakeshore property it is best to obtain a copy of the legal survey map from the City, Regional District or Land Registry Office.  If you have any doubt at all as to your property’s boundaries,  it is best to order a new survey from an accredited surveyor. To establish the high water mark itself, surveyors use visual evidence such as a soil change or a change in the colour of the rocks or vegetation.
Waterfront ownership entitles you to a certain set of rights known as “Riparian Rights”. These rights include the right to apply for accretion.  Over time, new land may be gradually and imperceptibly deposited to the foreshore.  This causes the high water mark to shift leaving new land between the new high water mark and the existing titled property.  You as the lakeshore owner, may apply to the Provincial government to have that new land added to your existing lot.  You would have to prove that this new strip of land was created by natural causes (as opposed to adding fill) and you would also have to pay survey and legal expenses. Ultimately,  you may decide it is not worth the expense.
There is also the right of lakeshore owner to construct erosion barriers as long as such barriers are above the high water mark.  Owners should be careful to obtain the correct approvals before commencing this type of work as such work may have an impact on fish habitat and the like.
The third Riparian Right is that you have the right to access your property from the water at any point on your water frontage.  This brings me to another subject.  You may not build a dock or create moorage without a licence or lease from The Crown.  The right to a dock must be applied for and if granted, you will be obligated to pay a fee for that right to the Provincial government.  Your dock licence or lease must be renewed from time to time.
The protection of fish habitat has become a very real issue to waterfront owners.  You cannot interfere with any fish habitat.  An example of this would be you would not be able to add sand at your beach or dredge the water’s edge.
For more interesting details, go to the Land and Water BC website -
www.lwbc.bc.ca.

Originally published by Jane Field in the Vernon Morning Star  July 2005.        To suggest topics for future articles or to ask questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

Moving Your Pet

Posted by on January 25, 2011 | No Comments

Our four legged family members may find a move to a new home very stressful.  Right from the arrival of the empty moving boxes they sense something is happening and begin to feel uneasy.  Pets favour routine and your move may disrupt every aspect of their lives.
Even the trip to the new home can be traumatic. Most moves for pets are in the family automobile. Many pets are only put in the car to be taken to the vets office and the pet may assume that is the destination.  You will have to be especially considerate of your pets’ feelings and needs at this time.
Obtain a travel cage that is large enough for your pet to rest in comfortably.  Bring along the pets’ favourite food and a supply of water.  When you stop for pet breaks, never let the pet out of your car without being on a leash.  When they are nervous they are apt to bolt and could end up in the path of another vehicle or run off into the city or countryside. No matter what type of pet you own, be sure to call ahead to ensure your overnight accommodation is pet friendly.  Even in moderate weather, overnight alone in the car is just too traumatic for them.
Cats cope less easily than dogs.  They especially need their routines.  Suddenly they must adjust to brand new surroundings.  Gone is their favourite perch on the back of the sofa overlooking the familiar street.   Their litter box is moved.  Their drinking water smells strange.  Vets warn us that cats stress easily.  I personally once had a cat so upset by moving, it became almost bald. Sometimes cats go off their food.
To ease the upset try following these steps.  While in your present home, shut your cat in a quiet room with things that are most familiar.  Include his favourite toys and food, water and a small litter box.  Put a “Do Not Disturb” sign on the door for moving day so that the moving people do not invade the space.  After arriving at the new home, set up the same scenario.  Don’t let the cat out until he has settled and is naturally curious about the new abode.  This can take a few days.  For his introduction to his new outdoor area, keep him on a leash until you can tell he is not going to race off and start an “Incredible Journey” home to the old place.
Dogs find the process easier.  Usually, where the owners are, the dog is happy to be.  Make sure to use his leash for all outings just to be safe.
Take time to be with your pet.  Talk to him.  The sound of your voice is reassuring.
If you have concerns about your pet coping with the transition, be sure to consult your veterinarian.

Originally published by Jane Field in the Vernon Morning Star  Feb.  2005.      To suggest topics for future articles or to ask Jane questions, email Jane at jane@vernonrealestate.ca or call 250.503.3755.

 

Filed Under: General Information

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