Alberta real estate professionals must use the Residential Measurement Standard (RMS) when measuring residential properties. This measurement standard helps consumers easily and accurately compare different types of residential properties.
The RMS offers a consistent means of representing the property’s above grade space. Among other things, the RMS sets out what parts of a property can be included in its measured-area. For example, if a room has a dormer with a ceiling height of only 4 feet, is it included as floor space? What about finished basements that are entirely below grade? The RMS information benefits consumers because:
- sellers want their property size accurately described
- buyers want to ensure the property size meets their needs
- buyers and sellers want to be able to compare the size of different types of properties
- landlords want to accurately describe their rental property’s size
- tenants want accurate information regarding their leased space size
When stating a residential property’s area, your real estate representative must follow the RMS principles:
- Real estate professionals must use the RMS.
- Identify if the measurement system is metric or imperial, and apply it consistently. Measurements must be calculated to within 2% of the RMS size.
- For detached properties, measure the property using the exterior wall at the foundation.
- For properties with common walls, such as half-duplexes, townhouses, and apartments, measure the interior perimeter walls (paint-to-paint) at floor level. An additional area representation may be made assuming exterior measurements.
- Include floor levels that are entirely above grade and exclude floor levels if any portion is below grade. Below grade levels may be measure, but the area must not be included in the RMS area.
- Include all additions to the main structure and conversions of above grade areas within the structure of they are weatherproof and suitable for year-round use.
- The property must have a minimum floor-to-ceiling height of 2.13 metres (7 feet). If the ceiling is sloped, the area with a floor-to-ceiling- height of at least 1.52 metres (5 feet) is included in the RMS area, provided there is a ceiling height of 2.13 metres (7 feet) somewhere in the room.
- Included extensions from the main structure that have a minimum floor-to-ceiling height of 1.5 metres (5 feet), such as cantilevers, bay and bow window, and dormers.
- Exclude open areas that have no floor, such as vaulted areas.
Your real estate professional also has a responsibility to ensure you understand the RMS and its implications, and is required to discuss it with you. This discussion will help you make informed decisions about the size and suitability of properties.
For more information about the RMS, you can read the Consumer Guide to the Residential Measurement Standard in Alberta, here. You can also read up on the Top 6 Things to Know about Property Measurement.
– Information provided by The Real Estate Council of Alberta
What is a foreclosure?
By definition, a foreclosure is “the action of taking possession of a mortgaged property when the mortgagor fails to keep up with the mortgage payments”.
Essentially this means that the homeowner failed to keep up their end of the agreement by not making the mutually agreed upon mortgage payments. The foreclosure process can take months to make its way through the court system, sometimes even years. In general, the foreclosure proceedings will not commence until the borrower has missed 3 or more payments on the mortgage. Once the bank has taken back possession of the property, the bank will re-list the home for sale on the open market. Many people are under the assumption that these homes are always a “bargain”; however, this isn’t always true. The bank will do a formal appraisal of the property and take into account numerous things such as market value, location and the actual condition of the property. Once the home is sold, the proceeds will go to pay the remaining amount of debt owing to the bank that held the mortgage. The remaining proceeds, if any, will then be released to the original home owner minus any legal expresses, taxes or anything else owing against the property.
If you’re thinking about buying a foreclosure, WE CAN HELP! We have years of sales experience in the Calgary and area market. We have the knowledge and tools to help you make an informed decision about buying foreclosed properties.
What is an Infill?
Most people believe that an “Infill” is a new duplex in an older area where the previous home has been torn down. This is correct to some extent; however, the definition of an Infill is: “the use of land within a built-up area for further construction”. An Infill can take the form of several property types, including a single detached home, a duplex and a four plex. In Calgary, we have seen tremendous growth in this type of construction. In SW Calgary, Altadore has been the main hub for Infill development; the same can be said for the Hillhurst area in the NW. The driving force behind the cost of these homes is land value, the one component of real estate that cannot be recreated; when it’s gone it’s gone. Another factor that affects Infill development is the zoning classification for an area: R1, R2- RC2 and so on. These zoning codes dictate what type and how many of a property type can be built on a specific land parcel, thus making certain plots more desirable for developers.
If you’re thinking of getting into the Infill market, I have an extensive background in Infill marketing, development and new construction. Please give me a call anytime to discuss what your options may be if you’re considering building or purchasing an Infill!