The REEP Report
Here is a 7 page report on a 5 star home that I evaluated for a client in August 2025
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REAL ESTATE EVALUATION PROGRAM - REEP
HOW TO BUY A 5 STAR HOME!
OVER VIEW
Who does not enjoy staying in a 5 star hotel? It speaks of quality, value, exceptional features, amenities, and is recognized and rated with a formal assessment from a qualified evaluator. It speaks of attention to detail in all aspects of your stay. The Real Estate Evaluation Program (REEP) provides you with that same certainty that the home you are considering purchasing also has a Star rating that you can be confident in.
Of course not everyone can afford a 5 star hotel. In home buying, you too might find that somethings are not that important to you and you will be just as happy in a 3 or 4 star home. The important thing is that you truly know the quality of the home you are considering.
The REEP will provide you the certainty and clarity that your purchase has been accurately and thoroughly reviewed and rated. The REEP works for you!!
It makes sure you have considered all of the key elements in your home purchase and have not over looked even minor points. Realtors, lawyers, banks, and appraisers all play a part in your purchase and get paid accordingly. REEP works for you and only you. It looks after all of your interests not just a portion of them. A home is both a place to live and an investment.
Here are the categories that you will get a report on when you employ REEP
1. Home Value Does your home have value?
2. Return on Investment What would be your Return on Investment if you needed to rent it?
3. Cash Flow If you rented it, would the income cover the costs of owning it?
4. Life Style. Does this home match your life style?
5. Personal Budget. Can you afford to purchase this home and live comfortably on your income?
For a $25 investment, and about 45 minutes of your time, you will have confidence in any home that you choose, because you have evaluated it thoroughly. You know how your options compare to each other. You know what is truly important to you in your purchase. And you will get a full 7 page report explaining the details in a clear and concise manner that you can easily understand.
Why take a chance on your biggest investment, when $25 in REEP can give you the confidence that you are choosing the best home for you?
We look forward to assisting you in your home search and adding you to our list of happy confident customers. Our goal is to help you find the 5 star home of your dreams!!
TIM FUNK
PRESIDENT, REEP
We pride ourselves on our adaptability and commitment to excellence in every aspect of our service. Explore what we have to offer and how we can contribute to your success.
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REAL ESTATE EVALUATION PROGRAM - REEP
HOW TO BUY A 5 STAR HOME!
1. HOME VALUE STAR
Determining your home value is very important and identifies if your home has value in many different areas. It covers a list that compares
your home to others, in major criteria. Having a Home Value over 45 points adds a 1 star rating . More important factors in this evaluation are given a greater score to identify their importance. A home under 15 years old, will receive a score of 8 while a 50 year old home will receive a score of 1.
Clearly a newer home has more value than an older one. By answering the series of questions about your home purchase you will get
a thorough review of the value of the home. Some criteria if missed are so critical, that they will give you a minus 50 score. Failing to
read strata minutes are a good example. Answer that one with a "No" and it will stop you from buying a home. Ask the right questions and
you will get the right answer. You won't make a mistake that might cost you thousands of dollars in the future.
Once complete, you can look at your breakdown of your Home Value and it will help you understand what is really important in buying a home. Some criteria are critical and some are helpful. All of them added up, will give you a great understanding of the value of your home when compared to other options. If your evaluation falls into a stop score (30 or less) or a wait score (31-45) category, think carefully about your purchase and make sure you understand what it is that you are missing. If you move forward, be prepared to live with the issues that have kept your score low. Here is the Value review of this home.
CRITERIA
DATE > mo/day/yr 2-Aug-25
LOCATION > ADDRESS 1445 Glenview Ave
CITY CITY KELOWNA
BUILDING NAME BUILDING OR REGION GLENMORE
LISTING # REAL ESTATE NO. 10360676
YOUR SCORE
BUILDING FLOORS 2 1
BUILDING TYPE CO, TH, DU, DE 8
AGE OF HOME 69 1
SQ FT OF HOME 2216 5
BEDROOM NUMBER 5 5
BATHROOMS 2 5
INSUITE LAUNDRY YES 1
PARKING SPACES 5 5
RENTABLE YES 3
AGE RESTRICTION NO 2
PETS YES 0
NEIGHBOURHOOD GOOD 3
HAVE YOU HAD A HOME INSPECTION? PENDING 0
STRATA MINUTES READ? PENDING 0
DO YOU HAVE A EXPERIENCED LAYWER? YES 1
DO YOU HAVE AN HONEST REALTOR? YES 1
DO YOU HAVE FINANCING CONFIRMED YES 1
PURCHASE PRICE $650,000 1
PRICE/SQ FT 293 5
SPECIAL ASSESSMENT OR RENO Amount $5,000
PERCENT DOWN PAYMENT 20%
DOWN PYMT $130,000
MORTGAGE AMOUNT $520,000
MORTGAGE RATE PERCENTAGE RATE 4.15%
MONTHLY INTEREST RATE 0.35%
MORTGAGE PERIOD YRS 25
TOTAL MORTGAGE MONTHS 300
MORTGAGE TERM TERM IN YEARS 5
MORTGAGE PAYMENT MONTHLY $2788
MONTHLY NONMORTGAGE COSTS $798 1
ANNUAL RENT $51,600 5
TOTAL SCORE 54
SCORE 0-35 36-45 46-70
STOP WAIT BUY
HOME VALUE STAR 1
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REAL ESTATE EVALUATION PROGRAM - REEP
HOW TO BUY A 5 STAR HOME!
2. CASH FLOW
Most buyers purchase a home to live in and often with long term plans to do so. Sometimes life changes which could put you in a position to rent out your home. Should that occur, you will want to know that you could rent out your home and cover all of the costs associated with owning it.
That is a key criteria that all home owners and investors will want to have in their purchase. Earning more money than the total expenses of owning it on a monthly basis is called a Positive Cash Flow property. Here are the revenue and expenses that you should consider when purchasing a property. A home that can cover all of your expenses will give you assurance that your home is a positive investment, regardless of whether you live there or not.
MONTHLY REVENUE
1 MONTHLY RENT UNIT 1 $2800
2 UNIT 2 1500
3 UNIT 3 0
4 TOTAL RENT $4300
MONTHLY EXPENSES
5 MONTHLY MORTGAGE PYMT $2788
6 MONTHLY INSURANCE 150
7 MONTHLY TAXES 348
8 MONTHLY STRATA / R&M 300
9 VACANCY ALLOWANCE 5% $215 0
10 MANAGEMENT FEE 5% 215 0
11 MONTHLY TOTAL EXP ON DEPOSIT OF 20% $3586
12 MONTHLY NET CASH FLOW $714
CASH FLOW STAR 1
If your home produecs $1 or more every month, that is considered a Cash Flow + star
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REAL ESTATE EVALUATION PROGRAM - REEP
HOW TO BUY A 5 STAR HOME!
3. RETURN ON INVESTMENT STAR
As the biggest investment that most people make in their lives, making sure your home is a good financial investment is about choosing the right property and knowing what its value is for the money you invested. A common way to measure that investment is by calculating its Return On Investment.
In simple terms, it is the money you can generate on the property divided by the amount of money you invested. This is the key criteria that is valued at 1 star on the REEP program. A second measurement that is helpful is the Capitalization Rate you would earn if you purchased the home with no mortgage. In a similar manner it is the amount of money you could earn on it divided by the purchase price. Although this is not a Star rating measurement it is a valuable measurement for those who do not require a mortgage.
Another factor that has a major impact on your ROI, is capital appreciation. We encourage users to keep this factor at 0% to be conservative. That will keep you from making an investment that is based on the value of the property increasing over time. Even a 1% increase in value can substantially improve your ROI. In markets that fluctuate this should be considered a bonus not a basis for a purchase.
Other positive factors that can improve your ROI include, the potential for rezoning, having a major subway or transit system expand in your area, making a home improvements or renovation that will increase the value of your home, buying an under valued home in a wealthy neighbourhood, or having a major attraction occur in your area like a park or school development built near you. These would all be recognized in an Annual Appreciation area of the program. Use this area when you have a high degree of certainty of your home increasing in value. Make your home a smart investment along with a great place to live.
If your home earns greater than 8% annually, this is considered a Return On Investment, Star
ANNUAL
ANNUAL RENT $4300 X 12 $51,600
ANNUAL APPRECIATION RATE Percent 0%
ANNUAL APPRECIATION $650,000 0
ANNUAL PRINCIPLE PYMT $11,876
TOTAL ANNUAL INCOME $63,476
ANNUAL EXPENSES
ANNUAL INSURANCE $1,800
ANNUAL TAXES 4,176
ANNUAL STRATA / R&M 3,600
ANNUAL MORTGAGE 33,456
TOTAL ANNUAL EXP + MORTGAGE $43,032
TOTAL ANNUAL NET INCOME $20,444
DOWN PAYMENT ON HOME 130000
RETURN ON INVESTMENT 15.73%
ROI EXPECTED 8.00%
RETURN ON INVESTMENT STAR 1
If your home produces a return of greater than 8% that is considered a Return On Investment star
CAP RATE (NET INCOME + MORTGAGE PYMT)/PURCHASE PRICE 8.29%
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REAL ESTATE EVALUATION PROGRAM - REEP
HOW TO BUY A 5 STAR HOME!
4. LIFE STYLE STAR
Who buys a home without considering whether that home will give them the life style they are looking for? There are some fundamental things that your home should have regardless of the type. There are also some qualities that make a home exceptional. When you find both, you will have a 5 star home
SCORE
1 .SPACE DOS IT HAVE SUFFICIENT SPACE FOR YOUR LIFE STYLE? ( YES, NO) YES 1
Does your home have sufficient space both inside and out, to ensure you have a comfortable life. Is
the home large enough to accommodate family, hobbies, a basement, an enclosed garage, yard
space. That criteria is for you to decide. Just make sure you don't over look its importance family,
hobbies, a basement, an enclosed garage, yard space. That criteria is for you to decide. Just make
sure you don't over look its importance.
2. QUIET IS THE ROAD AND NEIGHBOURHOOD QUIET? ( YES, NO) YES 1
Do you need a quiet home. Are you on a busy street. Is your neighbourhood crowded with lots of
traffic Are you in a building that is not well insulated from your neighbours? Are you near an
elevator, or the building main door. Are there pets in the building that will affect your peace. Be
aware of your surroundings. They can impact you more than you think.
3. COMMUTE IS IT REASONABLE FOR YOU? ( YES, NO) YES 1
Is your commute reasonable? Have you mapped out your route, during rush hour?. Do you have a
bridge to cross? Will your commute time increase or decrease? Do you have access to transit? Will
you have to walk to transit?
4. PARKS, RECREATION, WALKING TRAILS ARE THEY WALKING DISTANCE? ( YES, NO) YES 1
Do you have a park close by. Do you have a recreation center close, an ice rink, curling, community
center, gym. Do you require a church that is local? Know your recreational needs and confirm if
your home accommodates them.
5. SHOPPING IS IT CLOSE AND CONVENIENT? ( YES, NO) YES 1
Do you have accessable shopping close by? Groceries, building centers, malls,specialty stores. Is
your drive to get these items enroute from work, or during normal travel trips? Do you have access
to medical, dental, or health care? For some, these issues are very important to their quality of life.
6. SCHOOLS IS IT OF QUALITY, CLOSE, AND NEAR FRIENDS? ( YES, NO) YES 1
Do you have school aged children? What do you know about the schools close by? Do they have
friends in those schools. Can your children walk to school? Is there transit available for them to get
to school. Is the travel time there, reasonable?
7. NO WORK REQUIRED ON HOME ARE YOU FREE FROM RENOVATIONS ? ( YES, NO) YES 1
What work is required on the home, and are you prepared to do the work or know what the cost will
be to have a professional complete the work? Is the house ready to move in without work? Will you
have to add space, or outside buildings like a shed, or enclose a garage? Your assessment of this can
add substantially to the cost of your home. Make sure you have considered that.
8. SAFETY IS THE AREA FREE FROM CRIME AND HEAVY TRAFFIC? ( YES, NO) YES 1
Safety encompasses, the absence of crime, disruptive neighbours, high speed roadways, poor
lighting, underground parking, or walking a distance from your car to your home. Can you wait
at a transit stop, and feel comfortable day or night? Are there other people normally around to
addto your safety? Is there a dark park that you have to walk by? Check your neighbourhood and
ensure you feel safe.
9. NEIGHBOURS ARE YOUR NEIGHBOURS COMPATIBLE? ( YES, NO) YES 1
Neighbours are often a key point in enjoying your home. Does your neighbour have loud parties
next door? Are pets in your area, that you are afraid of? Do you speak the same language as your
neighbours? Do you have a social connection with the neighbourhood? Will you and your family be
able to make friends? Do you have a communiity that you are comfortable in? Know your neighbours
10. FAMILY, FRIENDS ARE YOUR FRIENDS AND FAMILY CLOSE BY? ( YES, NO) NO 0
For some buyers they don't assess the need of family and friends in their decision. If you use family
for child care, or socialize extensively with a friendship group, check your home impact. Missing
close friends, or losing family connection can turn a home into an empty house. Do you have
amenities that your friends would enjoy using? A swimming pool, a gym in the building , a play area
for children. Make sure your house considers your close circle of contacts.
11. VIEW ARE THERE VIEWS OF WATER, MOUNTAINS, SCENERY? ( YES, NO) NO 0
For some, they focus extensively on a home purchase because of the view that is offered. It can be a
tremendous addiiton to the value of your home and provide you with an almost resort aspect. At
times that view may come at a cost of a long elevator ride to your home, a hillside entry that has a
steep driveway, or a strenous walk. Is that view year round, or will trees block the summer view. Will
the neighbourhood redevelop and change your view or the serenity of your view. Understand the
value of the view and surroundings.
YOUR SCORE 9
TOTAL AVAILABLE 11
PERCENTAGE 82%
LIFE STYLE STAR 1
If your home produes a percentage greater than 64%, that is considered a Life Style star
We pride ourselves on our adaptability and commitment to excellence in every aspect of our service. Explore what we have to offer and how we can contribute to your success.
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REAL ESTATE EVALUATION PROGRAM - REEP
HOW TO BUY A 5 STAR HOME!
5. HOUSEHOLD BUDGET STAR
Completing a Household Budget is one of the most over looked areas of purchasing a home. None of the other stake holders
(realtor, banker, appraiser, lawyer) are concerned about your personal finances other than can you pay for the house that
you are purchasing. If the answer is yes, than they are happy to take your money. Budgeting is not fun, it is necessary.
Many people can become house rich, and cash poor and over time really begin to regret their purchase. This affects their life
style, but can lead to significant financial loss or hardship if not thought out carefully before buying. This budget is in a simple "answer
the questions correctly" format which will ensure you are confident and capable of purchasing the home you have chosen.
Don't let the excitement of buying a home cloud your better judgement in managing your personal finances. Have a plan on how
you will pay, and ensure that you have enough leftover at the end of the month, to have a buffer in the case of unexpected expenses.
The bar is set at $250 for a surplus, but for many it should be much higher. If you have less than $250 per month after all expenses, you should consider getting your finances in better shape before proceeding. Paying off loans, reducing your life style expenses, and evaluating if your new home will either increase or decrease your monthly living expenses is important. In some cases, gaining a higher income can be a good choice but make sure your personal finances stated will be achievable within your desired life style.
A thorough look in this area can often help you discover expenses that you could easily eliiminate with little sacrifice and provide you with
greater financial freedom as a result. If you do not get a 1 star in this category, make it your priority to fix your finances so that you are
capable of purchasing this home.
REVENUE AMOUNT
EMPLOYMENT INCOME 1 MONTHLY AMOUNT $3500
EMPLOYMENT INCOME 2 MONTHLY AMOUNT 3000
RENT MONTHLY AMOUNT 1500
OTHER MONTHLY AMOUNT 0
TOTAL REVENUE $8000
EXPENSES
CABLE MONTHLY AMOUNT $125
CAR R&M MONTHLY AMOUNT 125
ENTERTAINMENT MONTHLY AMOUNT 200
FOOD MONTHLY AMOUNT 450
GAS MONTHLY AMOUNT 200
GIFTS MONTHLY AMOUNT 100
HOLIDAY MONTHLY AMOUNT 200
INSURANCE CAR MONTHLY AMOUNT 225
INSURANCE HOUSE MONTHLY AMOUNT 150
LOAN PAYMENT MONTHLY AMOUNT 0
LOAN PAYMENT MONTHLY AMOUNT 0
LOAN PAYMENT MONTHLY AMOUNT 0
MISCELANEOUS MONTHLY AMOUNT 0
MORTGAGE MONTHLY AMOUNT 2788
PET MONTHLY AMOUNT 100
PROPERTY TAXES MONTHLY AMOUNT 348
RESTAURANTS MONTHLY AMOUNT 200
SAVINGS MONTHLY AMOUNT 200
STRATA FEE / R&M MONTHLY AMOUNT 300
UTILITIES MONTHLY AMOUNT 150
_________________________________ MONTHLY AMOUNT 0
_________________________________ MONTHLY AMOUNT 0
_________________________________ MONTHLY AMOUNT 0
TOTAL EXPENSES $5861
NET INCOME $2139
SCORE
$0 $1- 250 $251 +
STOP WAIT BUY
HOUSEHOLD BUDGET STAR 1
If your household budget has greater than $250 left over after all monthly expenses , that is considered a
Household Budget star
We pride ourselves on our adaptability and commitment to excellence in every aspect of our service. Explore what we have to offer and how we can contribute to your success.
PAGE 7
REAL ESTATE EVALUATION PROGRAM - REEP
HOW TO BUY A 5 STAR HOME!
SUMMARY
Here is the summary of your home evaluation. It is intended to give you a complete assessment of your home pointing both the positives and
the negatives of your potential home. It also gives you the confidence of knowing how one home compares against another on your list. As in all major purchases, numbers don't dictate your decision, they just provide invaluable information that will help you feel confident in your decision. No more wondering if you missed something. Just clarity on how all of those issues and decisions add up to help you make the right decision.
If your home does not receive a 5 star rating, it does not mean that the home is not the right purchase for you. I seldom if ever stay in a 5 star hotel, because I am quite content in staying in a 3 or 4 star hotel. What I do know by the rating, is that I can be confident in my stay. The REEP will give you that same confidence in your purchase. Take the time to review each category, so that you understand the value in your decision.
As you evaluate more properties, you will get more and more confident in your choice. Use the results of this program to show your other stakeholders why you are making the right choice, and also ensuring that you are a qualified and prepared buyer. Banks, realtors, appraisers, and lawyers will all respect the detail and work that you have put into evaluating your purchase. This can make you a 5 star client. You are exceptionally well prepared, understanding all of the issues, displaying confidence, and showing that you are the right customer to work with.
Your $25 investment might be viewed as the best investment you could ever make before buying a home. God luck in your pursuit for just the right home for you!!
SUMMARY
26-Aug-25
1445 Glenview Ave
KELOWNA
GLENMORE
# 10360676
$ 650,000
SCORE STANDARD .+ / - STAR RATING
1. HOME VALUE STAR 54 46 117% 1
Know your home has excellent value with 21 features evaluated.
2. CASH FLOW + STAR $714 $0 $714 1
Know your home will provide you a positive cash flow if you chose to rent it out
3. RETURN ON INVESTMENT STAR 15.73% 8.00% 7.73% 1
Know your home provides a great return on your investment if rented
4. LIFE STYLE STAR 9 7 129% 1
Know your home fits your life style in 11 different important areas.
5. HOUSEHOLD BUDGET STAR $2,139 $250 $1,889 1
Know your home can be financially managed by an accurate and thorough review of your personal finances
TOTAL STARS 5
You now know your home evaluation has considered all of the factors involved in purchasing your home and has been
reviewed against other properties on the market. You chose the best home that is just right for you!
CONGRATULATIONS, YOU HAVE FOUND A 5 STAR HOME!!
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