Home renovation in Halifax

Our 1st year in Canada was quite eventful. We were able to purchase our 1st home in Halifax, Canada. This home was structurally good and we loved the home design but there were few things that needed work. This option was way better than purchasing a new home that would have cost us around $100K more with a design that we didn't like. So we purchased an old home and decided to renovate as necessary.

Rome was NOT built in a day!!

When you buy a home there is a mandatory inspection which will report every big and small finding. Besides based on your needs, you might want to change a few things. So, make a list of the things you want fixed and prioritize it.  These things not only take time and money but also the RIGHT approach and people. 

What type of handymen would you need?

Even for us, it was the 1st time we were doing a renovation and we weren't sure. There are YouTube videos for this too. This is also helpful when you have conversations with them.

• If you want to redo walls, redo your bathrooms, convert an open space into a room - You would need a drywall contractor.
• You might also need an electrician if you are moving the wiring. You will have to coordinate with the drywall contractor and electrician.

Finding the right people to do the work

Most people are not handymen and so you would need a firm or a contractor who would do the job. Extremely important - We recommend that you request reviews or find online reviews of the people/firm you are hiring.  This is because you would not just be spending money but also letting them in your house to do the job.  Besides, some of these jobs if left half-done can be dangerous.  So reliability is very important to ensure that the work is completed with quality.

In our friend circle, no one had done a renovation recently and so no one had any leads on handymen. We looked up a few renovation companies and they gave us quotes. These companies are way too expensive. They gave us a quote for 27000 CAD for upgrading the basement! That actually demoralized us for a few days.

So, we started looking for handymen online and decided to do the coordination ourselves between different handymen. We made the mistake of hiring someone from kijiji to do a small job of applying laminate flooring for a small room.We were too excited to start the job and thought that the guy was good enough for the job. But then he didn't turn up on time and delayed the job by 2 weeks. Although the job was done fine, we absolutely didn't like the work ethic of the person and didn't give him any further work.
LESSON learnt - When in doubt, don't go ahead. It is worthwhile to look further.

The walls of our basement had old panels and we wanted to upgrade it to dry walls and redo our bathroom. That was the biggest piece. We decided to visit home improvement stores like Home Depot, Kent and ask around. Our friends also agreed since the folks working there would definitely have recommendations. And that was the best decision ever!!! - Home Depot has a "PRO referral" program, in which they have a list of local professionals such as drywall men, electricians, plumbers etc. These are people for whom Home Depot has done background checks and also have insurance coverage (should they need it). We were able to hire our Drywall and electrician guys with this program.

Halifax is a small city in that sense and you would get your contacts verbally from people. The electrician guy recommended the plumber, who recommended the shower installer and we were happy with all of them.

Trust that once you find the right person for the job, you would be way happier!

Working with them on the job

If you are coordinating with all the contractors then it is important for you to understand the sequence of things. If not, you might waste days. Home Depot was a blessing because we got the materials such as drywall, boards, flooring etc. on financing (0% interest for the 1st 6 months). This will help with expenses. With multiple contractors, you have to make sure that all the materials are available whenever they need it. Some of the items like drywalls are huge and might not fit in your car. You can rent a truck for the same. Home Depot also offers a truck-renting option for your orders. Planning all this is going to be very important.

I had work from home ability but my husband didn't. So we had to adjust work schedules so that we could be around when these folks worked. If you have to buy shower, toilet, bathroom vanity, electrical appliances like fan and lighting then you should look online and in stores. The contractors will help you with the measurements of these things but ultimately you have to choose the model. So that research aspect won't go away. Find the best deal and schedule their deliveries or bring it yourself (based on the vehicle you have)  accordingly.

What did it ultimately cost?

Remember I got a quote of 27K CAD from a renovation company for renovating our basement? Ultimately, we went with contractors and it cost us about 14K CAD for the same thing! Practically half the cost. But it required lots of coordination. Home Depot had all the materials whatever was needed! Materials overall didn't cost more than 4K CAD. Labor is expensive and so make that you get the right people.

Last words

Renovating is fun. Do your research and work with the right people. Take your time!

Buying a home in Halifax - Process

Buying a new home is a big decision. We were home-owners in the States and we wanted to buy a house if we liked the place in Canada. We are now close to a year in Halifax in 2019, Canada and recently began our hunt. Now, there are a lot of similarities in the process if you bought a house in the States but if you didn't then this is a blog for you!

Learn more about different house types 

Owning a house isn't a one-time deal. You gotta nurture it because should you decide to sell it down the line, all the missteps will haunt you. (Trust me, buyers get that microscopic vision to detect every tiny thing.). The process outlined below will give you an idea of what to expect when selling as well. So think of what you would go thru. Bottom line is that you need to go with the house that you will enjoy and maintain. Go thru the links below for single family and condo homes (will also write about townhomesand semi-detached houses in future) so that you can learn about the pros and cons of different house types.

Find a good realtor/real-estate agent

Couple of reasons why you would want to do this -

1. Tons of paper work when you buy a house. The agent will guide you thru the same.
2. It takes a village to get to the point where you are an actual home owner. A good agent has a network - mortgage company, lawyer, accountant, inspection agents, other agents, handymen and a lot more.
3. S/he educates you in the process. You look at multiple houses before you zero in on one. If you are especially not from the civil engineering type of background, you probably wouldn't notice or even know about structural deficits in the house. For example, the roof of a house has a life span of about 15 years. It is important to know how old the roof is!
4. Since the agents are part of a network, your realtor has better access to listings even before they are online. A really good agent would be privy to such listings.
5. They know the laws and it is useful during negotiations! 

Our advice is to really invest time to find a good agent. Preferably recommended to you by family, friends, co-workers because then you could trust them. Conversely, if you get stuck with a bad agent, you would be stuck and have a bad experience. So, research the agent properly before you go with them. Privately going about this might not be a good idea if you are purchasing a home for the 1st time.

Find out what you can afford

You will save yourself a lot of time, money & perhaps even some heartbreak if you know what you can afford. If you have an agent they would have a mortgage company associate who can guide you here. We recommend that you wait a few months after coming to Canada before you buy a house. Now, we had over a decade in US and so they can request for your US credit report to give you the best rate. Initially even before you begin the process, the agent will ask your source of income (salary/self-employed) and then based on the same determine the price you can afford. They come up with a number and typically also tell you the estimated mortgage payment for that amount. Based on your life goals, your family can decide the maximum price you want to spend on the house. For example, the agent could tell you that you can afford a $500K house but you decide to spend at most $250K because you might want to invest in say mutual funds. That is your personal decision. Make it after factoring in everything.

House hunt

This is the fun and anxiety filled part. Now you have your max limit you want to spend, you can search houses in that range. Sites like viewPoint, remax, thinkHalifax etc. have listings. Your agent will also get also suggest different listings. Typically you would be able to get all the information online about the specifications such as number of rooms, bathrooms, yard, square footage and much more. You would also find information about the area such as schools, neighborhood. This will help you compare and contrast listings in the journey. Enjoy this process but don't compromise. Personally, I get ideas when I see houses and use them in mine.

Place an offer

Once you have zeroed down a home, you place an offer. Based on your assessment, you can decide on the price you are willing to pay and the terms. Your realtor should help with this. You also need to put in the closing date. This is the last day for the sellers and you will own the house from the next day. If you are renting then consider your lease end date before deciding the closing date. Usually it is within 3 months from the time you decide to place the offer. You might have to pay the mortgage as well as the rent for few months if you don't pay attention on this. Having an approval from the mortgage company makes it a strong case. You also send the token amount of about 1000-2000 CAD typically (varies on the price of the house) to signal the seller agent/seller that you are truly interested.

The seller would also have other offers and so they would revert back to you if they are interested. Once they express their interest, both parties sign a document stating that they are ready for the next stage i.e. inspection.

Inspection & Due-diligence process

Once you sign the document the next 10 days constitute the due-diligence period. This is the time when inspection is conducted. In this period you could decide to renegotiate the price or if the inspection bought out serious defects then you could back out. 

Exterior inspection

They review the roof, yard, the walls from the outside, patio (as applicable to your type of house). They look for leakages, cracks, structural deficits. They also inspect the sewer and do a radon test. They would tell you all the big and small findings.

Interior inspection 

Every inch of the house is inspected. All rooms, attics are checked for cracks, infestation and such. The house in the US didn't come with appliances.  But here they do - they inspect the stove (all burners), dishwasher,  washer and dryer. Most important of all they inspect the heating.

They prepare the report listing all the findings and send it to both parties.  You review it with your agent and even some of your experienced friends. You would then decide if you want to keep your offer as is, change it or worst case back out of it. So look thru it carefully. 

Closing

The closing date is the last day when the seller owns the home. You can move in after that AND your mortgage begins typically latest within a month. If you are renting in Canada then look at the lease agreement. You might land up paying mortgage and rent for a month or two depending on your leasing situation.

If you plan on doing some renovation or finishing before you move in, then you might want to make arrangements of your stay (i.e. make sure you have your apartment or arrange an AirBnB until you can move into your home).

Final thoughts

For us, it took less than 2 months to visit about 12-15 houses and visit several online before we zeroed down on our house. We were able to negotiate a date so that we just have a month where we were paying mortgage and rent. We had a similar experience in the US in terms of timeline. A lot depends on your requirements and your flexibility. So estimate accordingly so that you can plan on buying and moving in your home.

Hope the blog gives you various considerations before buying your home. Good luck!!!

Useful links 

• Learn more about Condo
• Learn more about Single family home

Types of homes - Single family home

This is another post in the series of buying a home in Canada.  One of the options is to buy a single family home.  As someone who bought such a home, even in the US, I find a lot of similarities between the States and Canada.

What is a single family home?

It is an independent house like a bungalow often with a yard and garage. The important thing is that you are not paying Home owners association fee because you will not be getting their services. So you own the complete upkeep of the house. They are typically bigger than condos, townhouses,  semi-detached houses. That is why they tend to be more expensive as well.

Few things to consider

1. Most of them will have storeys i.e. have few rooms on one storey and rest on the others. Some of them will have just one storey and a basement. You 'd consider that style if you don't like stairs.

2. Most houses have a basement and it is interesting to see how people use it. This is a pro, which you don't get in a condo and you might not get it or have smaller version of it in a townhouse.

• An entertaining room - Lot of people use it as home theater with TV, games, books. They use it as a way to have their parties and hang out with family and friends.
• Rent it out as an AirBnb - You can generate additional income. We recommend to do some research before pursuing this option. Your room/basement should satisfy certain safety requirements (eg: good size window for a firefighter to enter) otherwise should any untoward incident, you could be liable to pay back the rent to the tenant. 
• Gym - People furnish it with treadmills and weights and use it as a fitness area. Conversely, it can be turned into a yoga/pilates room. 
• Storage space - For the many houses we saw, it provides ample space for you to store your things.

3. You would have invest in a few accessories, which you otherwise wouldn't have to do for a condo/townhouse. Depending on how you see it, it may be a pro/con. 

• Lawnmower and other tools to maintain your lawn. This is definitely a cost you would incur but if you are someone who loves to do yard work then it is a pro for you. You can get really creative and build urban gardens in your lawn. You definitely have this benefit if you love gardening.
• Snow removing equipment - Winter definitely brings more work for this type of a home. The stairs to your house and driveway will have snow during those days. When you look at buying a house, look at how big the driveway and stairs into the house.
• If you at least have a garage, you could have an alternate entry to the house but you would still have to clean up the driveway.
• You will have to take care of pest control too. There are companies that offer packages to do the same.

4. Garage is one of the things to consider. Most single family homes might have it but if they don't have it then during winters you will spend time every morning cleaning up the snow/ice/sleet on your car, if you use one for traveling. Some people use their garage as storage too. Garage is a big pro.

5. No HOA fees - While you don't pay fees, you will be responsible for every aspect of your house.
Some of the biggest considerations are as below. Take note of it during the inspection that will be done.

• Roof - Know in how much time the roof will have to be replaced. New roof can cost about $15K CAD.
• Heating - In older houses, you will have oil furnace heating. Heat pumps are efficient. No problem if you buy an older house but consider replacing it with heat pump. It will definitely get you a lesser heat bill.

6. Many DIY projects can be done for your home. You can add new cabinets, do work around your yard and do some interior designing work. Depending on your preference, it can cost a couple hundred or thousands. But it will get your a lot of satisfaction!

Final take

Investing in such a home in the correct area can prove to be very beneficial if you were to sell it. But you should take note of different elements as mentioned above for you to balance cost vs. benefit.

Disclaimer - We are not real-estate agents but are sharing our research with you. Please do your own research before you proceed forward. This blog post is to be able to point you in the right direction.


Useful links -
1. Want to consider a condo?

Types of homes in Canada - Condo

Buying your 1st home in Canada sounds exciting! We had bought a home in North Carolina,  USA and sold it when we immigrated to Canada.  It was a good investment because we had bought it in a good area at a good price. So, we have been researching real estate. Lots of similarities to what we saw in the US.

Condominium or Condo

This is an apartment that you own. You 'd be sharing the building and the facilities with others. Usually these are under 1500 sq ft. You would have all rooms on 1 floor and so no stairs. With shared facilities the condo is usually managed by house owners association i.e. HOA. They help you if there is anything that needs to be fixed.

Pros 

1) No backyard/lawn/driveway - It is a lot of work to maintain a lawn. No need to clean the driveway during winter.
2) Gym/other recreation facilities - A gym membership can be really costly. Having it in your building is a real benefit.
3) Low maintenance - Ultimately it is less work for you personally if you own a condo. The HOA fees you pay enables you to have service should you need anything fixed around the house.
4) Garage - Many of them offer parking garages.
5) These are usually cheaper in price than townhouses,  semi-detached,  or individual family homes.

Cons 

1) HOA fees - You typically pay a monthly fee since condo is part of the association.  It is by and large at least over 100 CAD. Depending on the construction you may incur a much higher monthly fee. Keep an eye on that when you buy it.
2) You are sharing the building with many families and so might sometimes have to adjust. ( Adjust your television volume, might hear kids if any etc. )

Regardless of the type of home you want to buy, it is a huge investment.  Please research all the home types before you start looking. We will write more blogs for the same and even on the process. Stay tuned!

Disclaimer - We are not real-estate agents but are sharing our research with you. Please do your own research before you proceed forward. This blog post is to be able to point you in the right direction.