When looking at properties to buy there are a few items we always look up no matter what. These items are a little different than what most people might look at and for good reason. We aren’t most people!
BC Assessment E-Value Report & Sold Comparable
In the BC Assessment report I look for things like:
- lot size
- the assessment value
- comparable properties sold in the previous year
These data points give me a foundation to work from in comparing properties. This information sometimes differs from the MLS listing info so I use this to establish the true facts of the property. Sometimes BC Assessments is outdated, sometimes MLS info is incorrect…sometimes they are both wrong…but at least this gives us another set of info to lead us to informed decisions.
Bonus info from BC Assessment – If you want to know what similar properties have sold for in the previous calendar year look up your property and select ‘compare sold properties’. This will produce a list of properties that fit the same criteria as the property address you looked up. Now, a few cautions about the BC Assessment information:
- this is the value according to BC Assessment which is a good benchmark but not always an accurate reflection of market value of a property. The assessment may not have been reviewed in a long time and sometimes the last review brought back a really high value which was never challenged. Use this info as a data point, not as a hard number for market value.
- the sold comps are generated based on criteria you cannot control. Sometimes it brings up great comps and sometimes they are not really comps at all other than they are similar in size and bedrooms. Takes these comps as another data point again, not hard numbers for market value.
Zoning Maps + Bylaws
Zoning maps can be found online in most municipalities. These maps are often used by property developers and as such are usually found in the building and development sections. An easy way to find the zoning map for your city is to google “zoning map for (insert your city name here)”. I know, not particularly high tech but it usually does the trick.
Easements can also be located on the city maps, sometimes these maps are interactive so you can turn on layers that show if there are sewer pipes running through your yard going to your neighbours (this would be an easement situation) or if there are parts of your land that have streams and protected areas for wildlife which would restrict your usage of the land.
Great, I found my zoning but now what?!? The zoning type (for example RS1) tells us what part of the city zoning bylaws we need to reference so we know what we can, and more importantly cannot do, with a property from a renovation and development standpoint.
Once you have the zoning type (for example RS1 meaning ‘Residential Single Family 1’) you can then go to the bylaws for your city and look up what you can and can’t do in your zoning area.
Bylaws are a set of guidelines that outline what can and can’t be done within the governing area of a city. The bylaws for zoning indicate the who, what, when, where, why and how of type of buildings and activities that can take place in specific areas. Every city has zoning bylaws, every zone has specific uses and restricted uses, make sure when you are buying you know these especially if you plan to do something other than just inhabit your home.
Typical restrictions and allowances that homeowner want to look for in zoning bylaws that will affect their plans or future resale values:
- secondary suites, laneway housing and duplexes
- suite locations – carriage houses, garden suites, duplex units
- parking space requirements
- building height and size restrictions
- set backs required for buildings and structures (how far back from your property line you have to be before you can build)
- home business uses
- special restrictions or allowances for specified neighbourhood areas
Reading the zoning bylaws will not be a fun and exciting read. Its dry and boring but important information to know before purchasing. We find it is easiest to go through and highlight the important information so it is easy to find again.
Not all information will be listed in your particular zoning section (example RS1). Some info might be referenced to other sections like parking bylaws, home business uses, and secondary suite amendments.
With the changes and growing demand for secondary suites and laneway housing many cities have created additional documents that outline the requirements and restrictions for these types of renovations/additions. Make sure you google your city and ‘secondary suite’ to see if there is a specific document.
For the Lower Mainland, Fraser Valley and Greater Vancouver you can use our Secondary Suites post as a reference tool.
OCP – Official City Plan
The OCP will outline what the City plans to do with areas or how the use is going to change over a 10-20 year period. This is information you will want to know for a few reasons:
- If the city plan indicates your new home is going to be in an area of ‘medium or high density’ within 20 years that means you are going to be surrounded by townhouses and condos unless you sell to a developer when they start to move in. This could be a good thing…or bad. Good – developers sometimes pay good money for properties they want; Bad – if you plan to stay in your house forever you will likely be unhappy with the neighbourhood changes before forever comes around.
- the city plan can also outline future greenways, parks, retail and commercial areas that will impact your property values
- if you are looking to buy now and develop the property to be something different later (i.e. single family to a duplex or a strata titled multifamily) you will be impacted by the city plans…know them first!
Property Taxes
For most people this one is a no brainer, most Real Estate Agents will bring this up with your when looking at buying a home but better to be proactive. The MLS listings usually state the property taxes, you can verify this with the city. Many cities have online lookup tools or property tax estimators so that you can get an idea of what the damage will be come July.
It is important to double check the property taxes especially if it is in the early part of the year (pre-May) as some changes may yet to be published for the current year. If you don’t believe check out our own real world example of why this is soooooo important below.
We were looking at a house that had commercial space, in an area that in the past decade had changed from residential to mixed use meaning commercial first floor and residential above. The property was awesome (and by awesome I mean it was in need of some Sitka Fixer Upper TLC) and we were seriously considering it. When we did our homework into the the zoning and property taxes we realized that the stated taxes for the previous year were seemingly for a residential only property.
What does that mean?
Well the taxes were about 1/3rd of what they should have been. When I looked again at the BC Assessment info (gathered from step 1) I realized that there had been a re-evaluation done on the property for the current year. We were in the early par to the year (March) and the BC Assessment notices had not gone out yet. By all accounts the current owner stated their taxes honestly, but what they didn’t realize until a few months later was that there property had been changed from residential only taxes….to commercial AND residential taxes…the result…and additional $8,000 in taxes owing for the current year. Yes that is in addition to the regular $3,500 that they had been paying every year for many many years. The total property taxes jumped from $3,500 to 0ver $11,000/year.
Needless to say, if we had bought that property in March and not know about the change in taxes we would have been hit with a HUGE bill that might have done some serious financial damage to our renovation budget.
Building Permits and Development Applications
The last time we usually look for is the active development permits and building permits in the area. Some cities have an online lookup system that show you the active and sometimes historical permit information for the city. This is particularly helpful if you want to know things like…
- what houses are slated to be torn down and rebuilt soon?
- is there a lot nearby the is soon to be a (insert a different use here…like a corner store, daycare, or retirement home)
- what are the builders and developers doing in the area? Is there a lot of redevelopment (sometimes good for market values) or is the area being left undisturbed (also sometimes good for market value)
By looking at the current and active permits you can get an idea of what is going on in the neighbourhood and what the immediate future might look like if there is building and development going on.
In the BC Assessment report I look for things like:
- lot size
- the assessment value
- comparable properties sold in the previous year
These data points give me a foundation to work from in comparing properties. This information sometimes differs from the MLS listing info so I use this to establish the true facts of the property. Sometimes BC Assessments is outdated, sometimes MLS info is incorrect…sometimes they are both wrong…but at least this gives us another set of info to lead us to informed decisions.
Bonus info from BC Assessment – If you want to know what similar properties have sold for in the previous calendar year look up your property and select ‘compare sold properties’. This will produce a list of properties that fit the same criteria as the property address you looked up. Now, a few cautions about the BC Assessment information:
- this is the value according to BC Assessment which is a good benchmark but not always an accurate reflection of market value of a property. The assessment may not have been reviewed in a long time and sometimes the last review brought back a really high value which was never challenged. Use this info as a data point, not as a hard number for market value.
- the sold comps are generated based on criteria you cannot control. Sometimes it brings up great comps and sometimes they are not really comps at all other than they are similar in size and bedrooms. Takes these comps as another data point again, not hard numbers for market value.
Zoning Maps + Bylaws
Zoning maps can be found online in most municipalities. These maps are often used by property developers and as such are usually found in the building and development sections. An easy way to find the zoning map for your city is to google “zoning map for (insert your city name here)”. I know, not particularly high tech but it usually does the trick.
Easements can also be located on the city maps, sometimes these maps are interactive so you can turn on layers that show if there are sewer pipes running through your yard going to your neighbours (this would be an easement situation) or if there are parts of your land that have streams and protected areas for wildlife which would restrict your usage of the land.
Great, I found my zoning but now what?!? The zoning type (for example RS1) tells us what part of the city zoning bylaws we need to reference so we know what we can, and more importantly cannot do, with a property from a renovation and development standpoint.
Once you have the zoning type (for example RS1 meaning ‘Residential Single Family 1’) you can then go to the bylaws for your city and look up what you can and can’t do in your zoning area.
Bylaws are a set of guidelines that outline what can and can’t be done within the governing area of a city. The bylaws for zoning indicate the who, what, when, where, why and how of type of buildings and activities that can take place in specific areas. Every city has zoning bylaws, every zone has specific uses and restricted uses, make sure when you are buying you know these especially if you plan to do something other than just inhabit your home.
Typical restrictions and allowances that homeowner want to look for in zoning bylaws that will affect their plans or future resale values:
- secondary suites, laneway housing and duplexes
- suite locations – carriage houses, garden suites, duplex units
- parking space requirements
- building height and size restrictions
- set backs required for buildings and structures (how far back from your property line you have to be before you can build)
- home business uses
- special restrictions or allowances for specified neighbourhood areas
Reading the zoning bylaws will not be a fun and exciting read. Its dry and boring but important information to know before purchasing. We find it is easiest to go through and highlight the important information so it is easy to find again.
Not all information will be listed in your particular zoning section (example RS1). Some info might be referenced to other sections like parking bylaws, home business uses, and secondary suite amendments.
With the changes and growing demand for secondary suites and laneway housing many cities have created additional documents that outline the requirements and restrictions for these types of renovations/additions. Make sure you google your city and ‘secondary suite’ to see if there is a specific document.
For the Lower Mainland, Fraser Valley and Greater Vancouver you can use our Secondary Suites post as a reference tool.
OCP – Official City Plan
The OCP will outline what the City plans to do with areas or how the use is going to change over a 10-20 year period. This is information you will want to know for a few reasons:
- If the city plan indicates your new home is going to be in an area of ‘medium or high density’ within 20 years that means you are going to be surrounded by townhouses and condos unless you sell to a developer when they start to move in. This could be a good thing…or bad. Good – developers sometimes pay good money for properties they want; Bad – if you plan to stay in your house forever you will likely be unhappy with the neighbourhood changes before forever comes around.
- the city plan can also outline future greenways, parks, retail and commercial areas that will impact your property values
- if you are looking to buy now and develop the property to be something different later (i.e. single family to a duplex or a strata titled multifamily) you will be impacted by the city plans…know them first!
Property Taxes
For most people this one is a no brainer, most Real Estate Agents will bring this up with your when looking at buying a home but better to be proactive. The MLS listings usually state the property taxes, you can verify this with the city. Many cities have online lookup tools or property tax estimators so that you can get an idea of what the damage will be come July.
It is important to double check the property taxes especially if it is in the early part of the year (pre-May) as some changes may yet to be published for the current year. If you don’t believe check out our own real world example of why this is soooooo important below.
We were looking at a house that had commercial space, in an area that in the past decade had changed from residential to mixed use meaning commercial first floor and residential above. The property was awesome (and by awesome I mean it was in need of some Sitka Fixer Upper TLC) and we were seriously considering it. When we did our homework into the the zoning and property taxes we realized that the stated taxes for the previous year were seemingly for a residential only property.
What does that mean?
Well the taxes were about 1/3rd of what they should have been. When I looked again at the BC Assessment info (gathered from step 1) I realized that there had been a re-evaluation done on the property for the current year. We were in the early par to the year (March) and the BC Assessment notices had not gone out yet. By all accounts the current owner stated their taxes honestly, but what they didn’t realize until a few months later was that there property had been changed from residential only taxes….to commercial AND residential taxes…the result…and additional $8,000 in taxes owing for the current year. Yes that is in addition to the regular $3,500 that they had been paying every year for many many years. The total property taxes jumped from $3,500 to 0ver $11,000/year.
Needless to say, if we had bought that property in March and not know about the change in taxes we would have been hit with a HUGE bill that might have done some serious financial damage to our renovation budget.
Building Permits and Development Applications
The last time we usually look for is the active development permits and building permits in the area. Some cities have an online lookup system that show you the active and sometimes historical permit information for the city. This is particularly helpful if you want to know things like…
- what houses are slated to be torn down and rebuilt soon?
- is there a lot nearby the is soon to be a (insert a different use here…like a corner store, daycare, or retirement home)
- what are the builders and developers doing in the area? Is there a lot of redevelopment (sometimes good for market values) or is the area being left undisturbed (also sometimes good for market value)
By looking at the current and active permits you can get an idea of what is going on in the neighbourhood and what the immediate future might look like if there is building and development going on.
