Leaping into the housing market is a big decision for first-time buyers and then they have to learn a whole new language: mortgage talk.

“There’s a lot of things people don’t even think about,” said Chris Pughe, a mortgage-development manager for VanCity Credit Union.

Pughe’s job is to lead home buyers through the process of applying and qualifying for a mortgage, then helping them choose how to repay it.

One of the first questions is whether a prospective buyer has a good credit history.

“If you want to qualify on your own, you need to have some kind of credit history, and most first-time buyers do,” Pughe said. “If they don’t have any history, then we’re looking for a guarantor.”

The next step is determining how much a buyer can borrow, and for that, institutions want to know your income, where it comes from and how much money you have for a downpayment.

Most first-time buyers have a downpayment of less than 25 per cent, which means they will have to qualify for a high-ratio mortgage.

The Canada Mortgage and Housing Corp. will insure mortgages, for a one-time fee, which allows buyers to finance as much as 95 per cent of the purchase price. And as of March 1, CMHC changed its policies to allow homebuyers to borrow the remaining amount, effectively meaning a buyer can finance 100 per cent of the purchase price.

Buyers who require high-ratio financing also have to meet CMHC’s debt-to-income ratios. Total housing costs — mortgage, property taxes and strata fees — cannot exceed 32 per cent of the family’s gross income. Total debt — housing plus any other loans or credit card payments — cannot exceed 40 per cent of gross income.

“I always ask how much people think they can afford and most of the time it’s pretty close to what they qualify for,” Pughe said.

Prospective purchasers don’t always realize all the costs associated with buying a home and setting up a mortgage.

Paul Lermitte, a registered financial planner with IFC Planning Group in Vancouver, advises people not to buy their first home until they have saved 10 per cent of the price and can afford to repay the mortgage over 20 years rather than the usual 25-year amortization financial institutions offer.

He also says people should shop around for the best mortgage rates and terms by consulting mortgage brokers before negotiating with your financial institution.

Finally, Lermitte suggests calculating the mortgage payment based on an interest rate that is two per cent higher than the current rate to see whether it’s still affordable.

“If you can’t afford it, rent,” he says. “There’s no risk. If you buy when you can’t afford it, there’s a high risk of damaging your credit rating — and bankruptcy — if something goes wrong.”

© The Vancouver Province 2004

The spacious living room (above) and dining room in a Sussex House unit. CREDIT: Glenn Baglo, Vancouver Sun   (Dining room) CREDIT: Glenn Baglo, Vancouver Sun   The Sussex House complex in White Rock. CREDIT: Glenn Baglo, Vancouver Sun   An interion shot of one of the Sussex House condos. Almost two-thirds of the 150 suites have been sold. CREDIT: Glenn Baglo, Vancouver Sun

Glen and Donna Friesen have several good reasons for buying a suite at Sussex House, an upscale condominium project in White Rock.

“Mom and Dad live in a care home near here and our kids live in south Surrey,” says the 57-year-old Glen Friesen, who recently moved into the suite from the couple’s longtime home in Guildford. “We don’t have to drive for miles and I can walk to anything. And it’s quality construction. It’s concrete. We really like the location and there’s more sunshine here.

“We’re happy here.”

Sussex House is a new development by the Rykon Group of Companies that will total four condominium towers when completed. Two of them are eight floors high and the other two are seven floors.

The project involves 150 suites, of which 92 have now been sold. The second phase is about 50 per cent sold and the fourth phase has not yet gone to market.

All remaining suites have two bedrooms, with some having two bedrooms and a separate family room.

Sales associate Anne Deacon says it was originally believed the project would appeal primarily to retirees, but that hasn’t been the case.

“A lot of professionals are moving in too, people who gave up the house and yard after the kids left home. We’re getting people from 35 and up. Most of our buyers are local, from south Surrey and White Rock. This is the first new concrete highrise in White Rock in 10 years.”

Deacon says a main attraction is the proximity to White Rock’s amenities, which includes the beach a short walk away. “We’ve been selling well and it’s location, location, location.

“You can walk to everything. The Semiahmoo Shopping Centre is right across the street and banks and restaurants are all close by. There are also four golf courses in the area.”

Deacon says White Rock is a small town with a community feel to it. “It’s 15 minutes to the [U.S.] border and it’s also close to the city. And the weather’s better out here.”

All suites at Sussex House have nine-foot ceilings, 40-ounce carpets, tiled entrances, overheight cabinets in the kitchen, stainless steel appliances and granite countertops.

Many suites also have views, some of the ocean.

There are also floor-to-ceiling windows and wood blinds. Suites have inside storage and a work space area, as well as one underground parking stall [an extra stall sells for $14,000 plus GST].

Electric heating is standard. Siding is a combination of brick and hardiplank.

The 1,446-square-foot two-bedroom display suite has a kitchen nook with floor-to-ceiling bay windows, natural gas fireplace, separate den with French doors and soaker tub and shower in the en suite. There is also a mosaic inlay surrounding the tub and ceramic tile flooring.

Deacon notes that rooms are large. “They can accommodate oversized furniture.”

Common amenities include a fitness centre, guest suite for out-of-town visitors and meeting room with billiards table.

Washer and dryer are optional, as is a security system.

Sussex House has a 2/10/10 warranty, which means two years for materials and workmanship, 10 years for water penetration, and 10 years for structural protection.

The developer says the 10 years protection from water penetration is twice the amount required by government legislation.

Suites also have available high-speed internet connection, halogen track and pendant lighting, marble vanity countertops, separate shower and use of a one-third acre park provided to the city by the developer.

Buyers can choose from two designer colour schemes.

Semiahmoo Shopping Centre is right across the street and banks and restaurants are all close by. There are also four golf courses in the area.”

Deacon says White Rock is a small town with a community feel to it. “It’s 15 minutes to the [U.S.] border and it’s also close to the city. And the weather’s better out here.”

All suites at Sussex House have nine-foot ceilings, 40-ounce carpets, tiled entrances, overheight cabinets in the kitchen, stainless steel appliances and granite countertops.

Many suites also have views, some of the ocean.

There are also floor-to-ceiling windows and wood blinds. Suites have inside storage and a work space area, as well as one underground parking stall [an extra stall sells for $14,000 plus GST].

Electric heating is standard. Siding is a combination of brick and hardiplank.

The 1,446-square-foot two-bedroom display suite has a kitchen nook with floor-to-ceiling bay windows, natural gas fireplace, separate den with French doors and soaker tub and shower in the en suite. There is also a mosaic inlay surrounding the tub and ceramic tile flooring.

Deacon notes that rooms are large. “They can accommodate oversized furniture.”

Common amenities include a fitness centre, guest suite for out-of-town visitors and meeting room with billiards table.

Washer and dryer are optional, as is a security system.

Sussex House has a 2/10/10 warranty, which means two years for materials and workmanship, 10 years for water penetration, and 10 years for structural protection.

The developer says the 10 years protection from water penetration is twice the amount required by government legislation.

Suites also have available high-speed internet connection, halogen track and pendant lighting, marble vanity countertops, separate shower and use of a one-third acre park provided to the city by the developer.

Buyers can choose from two designer colour schemes.

– – –

NEW HOMES PROJECT PROFILE

SUSSEX HOUSE

Address: 406 — 1581 Foster St., White Rock

Project Size: 150 condominiums

Price and Size: $279,900 to $514,900; 1,168 square feet to 1,503 square feet.

Architect: Robert Ciccozzi

Developer: Rykon Group of Companies

© The Vancouver Sun 2004

An architctural model of the Vancouver Convention and Exhibition Centre expansion. CREDIT: The Province

The bill for Vancouver‘s expanded convention centre went up another $40 million before the deal was signed yesterday.

The good news? The extra is covered.

The price tag for the centre was originally put at $495 million, but Victoria and Ottawa recently added $20 million apiece to the mega-project.

In total, they’ve committed $535-million to build the new waterfront centre by 2008.

The two governments are kicking in $222.5 million each, with the other $90 million coming from Vancouver‘s tourism industry.

The extra $40 million will pay for two covered walkways between the new and old convention centres, and an upgrade to Canada Place.

Federal Environment Minister David Anderson said the project includes a new centre on Burrard Landing, which will triple Vancouver‘s convention capacity.

It will also feature an upgrade to Canada Place and link the two sites into a single convention and exhibition centre.

“B.C.’s already stellar international reputation as a destination of choice for conventions is about to go up,” Anderson said.

“Large international conventions will now be able to come to western Canada.”

John Les, B.C.’s Small Business Minister, said the project will cover the equivalent of four city blocks and would prominently feature B.C. wood products.

“We will bring this expansion in on time and on budget,” Les said. “This project is now ‘good to go’.”

The province will front the $90 million for the Vancouver tourism industry, which will repay it in a “contribution agreement” over 30 years.

Tourism Vancouver chair Terry Bubb said the repayments will come from its room tax revenues, and possibly a voluntary levy on the city’s tourism businesses.

The new centre will be entirely owned and operated by the B.C. government.

Canada Place was built for Expo back in 1986, and is at capacity. Les said $100 million in convention business was turned away last year because it’s too small.

The B.C. government bought the eight-hectare site last year for $27.5 million from Marathon Developments Inc.

Work will begin later this year. It’s expected to create 7,500 new full-time jobs.

© The Vancouver Province 2004

Some facts about the Vancouver Convention & Exhibition Centre expansion project, slated to open in 2008.

Cost: $535 million ($222.5 million each from federal and provincial governments, with the tourism industry covering the remaining $90 million).

Size: 1.1 million square feet, or 30 NHL hockey rinks. If you stood it up straight, the project would be 75 stories high.

Bling-bling factor: Floor-to-ceiling glass on all sides.

West Coast factor: Will feature B.C. wood, both structurally and for decor.

Utility factor: Will be home to Olympic media centre in 2010.

© The Vancouver Sun 2004

VANCOUVER – The Canadian Pacific Railway says it plans to appeal a B.C. Court of Appeal decision upholding the City of Vancouver‘s right to designate that the Arbutus railway corridor be developed only for specified public purposes.

The ruling was handed down on Wednesday.

“The decision today leaves us no option but to ask the Supreme Court of Canada for an appeal,” said Paul Clark, CPR’s vice-president of communications and public affairs. “We are very concerned with the decision.

“As a private landowner in Vancouver, this thing is extremely troubling and of concern to us when you find that the city can now designate private property for public use without negotiating with the owner.”

Vancouver Mayor Larry Campbell said he was happy with the ruling.

“We are very pleased that the B.C. Court of Appeal has upheld the powers of the city to preserve the Arbutus corridor,” Campbell said Wednesday. “The city wants to do what is in the best long-term interests of our citizens. We strongly believe the Arbutus corridor should be preserved as a whole, to be used in the future for transportation and greenway uses.

“Once the corridor is gone, it is gone forever. However, we know Vancouver will continue to evolve and the needs of residents will only increase.”

The 11-kilometre stretch of railway line runs from False Creek southward to Marpole on the banks of the Fraser River and includes more than 20 hectares of property. It is no longer used for railway purposes.

The battle began in 1999 when the CPR announced plans to discontinue rail service on the line and indicated it was considering commercial or residential development, or selling the land.

In 2000, the city of Vancouver enacted the Arbutus corridor official development plan, which designated the property for future transportation use, as well as pedestrian, cycling or recreational purposes.

That led to a battle in B.C. Supreme Court, with the CPR claiming the bylaw unfairly prevented it from developing the land the way it saw fit, without requiring the city or other interested public bodies to purchase the land. In October 2002, the B.C. Supreme Court ruled against the city.

But on Wednesday, the B.C. Court of Appeal held that the city had acted within the powers of the Vancouver Charter, and that the courts could not interfere in its actions.

A cross-appeal by CPR that the city be ordered to pay for the land also failed, as did another cross-appeal that the bylaw be set aside as ultra vires — outside the power of the law.

Ann McAfee, the city’s co-director of planning, echoed the remarks of the mayor and supported the official development plan for the corridor.

“It’s directed at the opportunity that a complete corridor offers the city,” McAfee said. “CPR isn’t the issue, it’s really the issue of an opportunity that an existing corridor offers.”

But Clark said he didn’t see how private-property owners in Vancouver could stand by the decision.

“It’s easy for people to think this has nothing to do with anybody but a large company,” he said, “but I certainly wouldn’t want to be considering investing here, owning a piece of property that the city might declare to be more important to have as a park or roadway.”

However, McAfee dismissed any suggestion that the official development plan and the Appeal Court decision would chill the property-investment climate in Vancouver.

“I think that the world has had a lot of evidence otherwise in terms of the many things that are respected around the world, the developments here,” she said.

But the ruling caused alarm at the Urban Development Institute, which represents some 400 corporations in the development industry. It called the decision “a dangerous precedent” for all B.C. private land-holders.

“The approach the bylaw takes discourages business confidence in Vancouver by grossly disrespecting the rights and interests of property owners and investors,” said UDI executive director Maureen Enser. “The real issue is treating property owners and citizens fairly, rather than stripping away their rights.”

[email protected]

DISPUTED TERRITORY:

Arbutus corridor quick facts:

– The corridor is an 11-kilometre stretch where originally a rail line ran, from False Creek south to Marpole on the banks of the Fraser River

– The property’s value in 2000 was estimated at about $100 million

– At a city hall hearing, local resident Pamela Sauder spoke in opposition to rapid transit through Kerrisdale and her quote became a flashpoint in the debate:

“We are the people that live in your neighbourhood. We are dentists, doctors, lawyers, professionals, CEOs of companies. We are the creme de la creme in Vancouver. We live in a very expensive neighbourhood and we’re well educated and well informed. And that’s what we intend to be.”

Ran with fact box “Disputed Territory“, which has been appended to the end of the story.

© The Vancouver Sun 2004

OTTAWA – The federal and B.C. governments will announce today a $40-million increase in the public contribution for an expanded convention centre on the Vancouver waterfront.

The additional $20 million apiece from both levels of government will increase the total projected value of the Vancouver Convention and Exhibition Centre expansion to $535 million.

Construction is expected to begin later this year and conclude by the fall of 2008, allowing the facility to be used as the main international media centre for the 2010 Olympic Games in Vancouver.

The expanded centre is also intended to be a powerful magnet for convention-goers, giving a huge boost to the local economy.

The two levels of government will each contribute a total of $222.5 million, with the tourism industry chipping in the remaining $90 million.

Environment Minister David Anderson (Victoria), federal Infrastructure Minister Andy Mitchell, and John Les, the B.C. government’s minister of small business and economic development, will jointly make the announcement at the Canada Place site.

The two governments originally committed $202.5 million in late 2002, but there soon was talk that the initial project cost estimates were too low.

The federal government expressed a willingness to increase its commitment as long as Ottawa wasn’t exposed to further cost overruns.

“Additional construction money was requested from the province. Negotiations ensued, and in response to the province being willing to put up an additional $20 million we put up an additional $20 million,” a federal official said Wednesday.

The Treasury Board recently approved the full federal contribution.

The additional funds to be announced today are being described as necessary to ensure proper integration of the old and new parts of the convention centre.

Premier Gordon Campbell said in December that Vancouver lost out on 50 conventions over a 12-month period, costing the local economy about $150 million, because the existing centre is too small.

He said the expanded centre would spark an extra $229 million a year in delegate spending and “support” 7,500 new jobs.

Tourism Vancouver chairman Terry Bubb, who will attend today’s event, has previously said that the industry’s share of $90 million could be raised through voluntary levies on tourists using taxis or tour busses.

Bubb also suggested that Olympic-linked sponsorship deals could generate cash to contribute towards construction costs.

© The Vancouver Sun 2004

A condominium development draws interest in Vancouver yesterday. CREDIT: Jason Payne, The Province

Just when you thought the white-hot housing market had peaked, the latest Greater Vancouver real-estate figures have scaled new heights.

Last month’s sales are the highest since April 1991, with condo buyers leading the charge.

While total sales jumped by 32 per cent from last year to 4,371 properties sold, condo sales skyrocketed to an all-time high — up 60 per cent from last year with almost 2,000 units sold in March.

The statistics come as no surprise to Firenze sales manager Kerry Lum.

More than half of the suites in the development’s three new buildings at International Village in east Vancouver were sold in advance of the opening of its sales office March 27. As of yesterday, 340 of the 457 suites were sold.

Lum said it’s been one of the strongest months he’s seen in the past 14 years.

“We haven’t had a lot of people lining up in the past for condos,” he said.

“Now we’re seeing people wanting a piece of the action. We’ve had tremendous response. I was doing the presentations 10 at a time — it was just constant for the whole day.”

Some of the interest has been from Americans and baby boomers moving to the city from the suburbs, he said.

But Real Estate Board of Greater Vancouver president Andrew Peck said that, for the most part, young, first-time home buyers wanting to stay in the urban core were the demographic propelling condo sales.

As space for developments dries up downtown, condo fever seems to be migrating to the suburbs.

In Port Moody, buyers camped over-night to be the first to purchase suites in the Sentinel development when its presales office opened Saturday.

“It’s unusual here,” said Bev Currie of Sutton Group West Coast Realty, who lined up Thursday for clients, musing that the suburban condo market was becoming like Vancouver’s, where days-long lineups are not uncommon.

MARCH HOUSE PRICES

MEDIAN SELLING PRICES Detached homes Attached homes Apartments

Mar. 2004 Mar. 2003 % change Mar. 2004 Mar. 2003 % change Mar. 2004 Mar. 2003 % change

Abbotsford $266,000 $227,000 17.2% $160,000 $153,000 4.6% $105,000 $87,900 19.5%

Burnaby $445,000 $370,000 20.27% $261,097 $221,900 17.66% $180,000 $155,000 16.13%

Coquitlam $401,000 $339,000 18.29% $251,900 $257,500 -2.17% $158,000 $128,000 23.44%

Delta South $412,000 $350,100 17.68% n/a n/a n/a $194,000 $163,000 19.02%

Delta North $294,000 $265,000 10.9% $175,000 $141,500 23.7% $108,000 $59,900 80.3%

Langley $336,000 $288,500 16.5% $201,500 $171,000 17.8% $133,000 $117,500 13.2%

Maple Ridge – Pitt Meadows $315,000 $272,000 15.81% $188,000 $157,500 19.37% $123,000 $102,500 20.00%

Mission $255,000 $180,000 41.7% $143,500 $137,000 4.7% $95,000 $89,000 6.7%

New Westminster $332,000 $274,999 20.73% n/a n/a n/a $159,900 $148,000 8.04%

North Vancouver $569,000 $475,000 19.79% $374,500 $294,000 27.38% $225,000 $166,000 35.54%

Port Coquitlam $337,000 $285,000 18.25% $255,000 $195,000 30.77% $143,000 $109,500 30.59%

Port Moody – Belcarra $557,500 $381,000 46.33% $249,500 n/a n/a $169,500 n/a n/a

Richmond $433,800 $357,820 21.23% $290,000 $246,000 17.89% $183,000 $140,000 30.71%

Squamish $315,000 $283,000 11.31% n/a n/a n/a n/a n/a n/a

Sunshine Coast $242,500 $188,000 28.99% n/a n/a n/a n/a n/a n/a

Surrey $338,000 $290,000 16.6% $215,000 $189,900 13.2% $125,000 $98,500 26.9%

Vancouver East $414,000 $334,000 23.95% $279,900 $255,000 9.76% $178,000 $146,000 21.92%

Vancouver West $799,000 $665,000 20.15% $374,900 $328,025 14.29% $261,000 $236,100 10.55%

West Vancouver – Howe Sound $875,000 $650,000 34.62% n/a n/a n/a $339,000 n/a n/a

White Rock $462,000 $395,000 17.0% $275,041 $233,000 18.0% $185,000 $147,000 25.9%

Sources: Real Estate Board of Greater Vancouver, Fraser Valley Real Estate Board

© The Vancouver Province 2004

Allen Lai says upscale Firenze was 75-per-cent sold in two weeks. CREDIT: Ian Smith, Vancouver Sun   Allan Lai is happy at rapid selling of units in the yet-to-be-built Firenze development. CREDIT: Ian Smith, Vancouver Sun

First Yaletown Park. Now Firenze and QUBE.

Vancouver’s hot condo market shows little sign — at least for now — of cooling down, with the latest entries in the apartment buying sweepstakes reporting big sales in the past two weeks, especially last Saturday when the two projects held their grand openings.

“We’ve sold about 80 per cent in a week,” says Cameron McNeill, of MAC Real Estate Solutions, which is marketing QUBE at 1333 West Georgia. “We’ve sold 155. We expect to be completely sold out in the next week or two. This is the hottest I’ve ever seen the market.”

Allen Lai, president of Henderson Development Group, Firenze‘s developer, agrees. “It’s going amazingly well,” says Lai of Firenze, a 457-unit development. “We’ve sold 75 per cent in less than two weeks. We had lineups of people [last Saturday]. For the whole day it was non stop. It’s the first time we’ve seen these kinds of sales. We should be sold out by the end of April. I’m very confident of that.”

The latest sales frenzy follows on the heels of the rapid sale of about 500 condos at the Yaletown Park project. The condo-buying frenzy hit a fever pitch Feb. 28 when buyers snatched up 494 suites in the two new Yaletown towers. It was the Vancouver record for one-day sales. The project’s third tower is scheduled to open April 24.

However, both McNeill and Lai believe the buying-spree in Vancouver‘s condo market will start to cool off in the next year or so.

“I think the market will hold its value, but supply and demand will equalize in the next year,” says McNeill. “Now it sells out in a blink. It will be more of a normal situation, in which they sell out during the course of construction.

“There’s a perception that there’s an over supply. But there’s an under supply. Demand will come down slightly and supply will come up slightly. But I don’t believe it will be a correction or a bubble bursting. I think it will get to a situation where you don’t have to be the first in the door.”

Lai agrees that things will slow down, although he thinks the city is still two major projects away from that point.

“Eventually it will slow down,” says Lai. “There was a lot of pent-up demand, but it will start slowing in a while.”

Firenze, which means Florence in Italian, will be adjacent to General Motors Place and Andy Livingstone Park. Prices range from $168,000 to $733,000 and it is expected to be ready for occupancy in late 2006 or early 2007.

QUBE is actually the landmark Westcoast Transmission office building, which is considered by architects to be one of Vancouver‘s most earthquake-resistant structures because of its unique design. It will undergo a $20-million redevelopment to convert it into an upscale residential tower.

Spurred by the current hot demand for luxury condominium living along the city’s Coal Harbour waterfront, building owner Anthem Properties plans to replace the office space inside the existing 12-storey facility with 180 state-of-the-art condos.

The Vancouver-based company purchased the Westcoast building in 1998.

It was named QUBE to reflect its unique “cube on a pedestal” shape. The over-all appearance of the building will remain unchanged.

Condo owners would take occupancy in mid-2005.

Designed by architects, William Rhone and Randle Iredale, and structural engineer Bogue Babicki, the Westcoast Transmission Building opened in 1969 as Westcoast’s head office.

The structure they adapted was that of a suspension bridge, hanging the floors from aluminum-clad steel cables draped over the top of the concrete core. This design provided greater earthquake resistance and column-free floor space.

© The Vancouver Sun 2004

Home inspector Rose Marie Moore examines the drains and roof of a home. CREDIT: Bill Keay, Vancouver Sun Files

Homebuyers in today’s hot market should consider hiring a building inspector to go through the house during an open house if they fear they can’t get an inspection as a subject condition for sale, says a spokesman for the B.C. branch of the Canadian Association of Home and Property Inspectors.

“There’s a real danger of jumping the gun without knowing the true condition of the house,” says CAHPI public relations director Rose Marie Moore, herself a home inspector.

“Buyers know there will be multiple offers, so an inspector could go through the house during the open house. We can do a full inspection at that time.”

Moore says that a hot market means many buyers are forced to buy their home with no subjects, meaning that they often don’t have the luxury of getting a house inspection before making a decision to buy.

That’s bad for purchasers, she says. “There’s that danger of jumping the gun without knowing the true condition of the house.”

However, Moore recommends getting a home inspection even after the purchase. “It will still put the house condition into proper perspective for the buyer.”

Moore says more people are hiring inspectors to go through new houses as well as older homes.

“In the pre-occupancy walkthrough [for a new home], inspectors can find such things as damaged drywall, rugs or baseboards not installed properly, floors that are not level and damaged wood. It’s called the deficiency list. Builders used to do the walkthrough, but buyers are getting smarter.”

She recommends choosing an inspector who belongs to a professional association with standards of practice and a code of ethics in place.

She also recommends researching builders to ensure they have a good reputation. “There are a lot of good builders, but there are some who are just average.”

Meanwhile, the author of a new book on home inspection agrees that it’s important to not only know who’s doing the inspecting, but to go along on the inspection.

“If buyers get involved with choosing the right inspector and attending the inspection, they can really learn a lot and use what they learn to their advantage during the purchase process and once they move into the home,” says Mike Kuhn, co-author of the new Pocket Idiot’s Guide to Home Inspections (Alpha Books) and a 17-year veteran of residential home inspections.

Kuhn offers several tips for making your home inspection really count.

They include:

– Hire an insured inspector. Check with the inspection company to make sure their inspectors carry Errors & Omissions [E&O] insurance, which is a form of protection for the buyer and inspector in the event that the inspector misses something. If the inspector doesn’t carry this insurance, then the homebuyer can be left in the lurch — without financial recourse.

– Tag along on the inspection as your inspector goes through each element of the house. A good inspector will take the client along during the inspection and not only answer questions, but also point out important valves, circuit breakers, switches, pipes and so on, that you’ll need to know about once moved in. “It really can be a great education about the home’s systems, especially if you’ve never owned a home,” adds Kuhn.

– After a good home inspection, consumers receive a full report of all findings and can use this as a platform from which to negotiate if expensive repairs are needed. “Using the findings of the inspection report can help lower the price in order to accommodate costs of any needed repairs,” says Kuhn.

– During the inspection, you’ll find out what needs repair or replacement immediately, versus in a few years, so you can budget accordingly and know what repairs are in your future. “This takes some of the surprise out of home ownership and allows money to be put aside, particularly in hotter markets where sellers are unwilling to negotiate or make the repairs themselves.”

© The Vancouver Sun 2004