Peter Tarshis Toronto Realtor

2012-01-09T12:00:00.001-08:00

Making an Offer

When it comes time to make an offer you will require current market information and assistance in drafting your offer. You will need a Real Estate Professional.

A Real Estate Professional will communicate your Offer to Purchase to the seller, or the seller's representative, on your behalf. Sometimes there may be more than one offer on a property at the same time. A Real Estate Professional can guide you through this process.

"HELPING YOU IS WHAT I DO"

Peter Tarshis

Royal LePage Real Estate
55 St. Clair Ave. West
Toronto, M4V 2Y7

416.921.1112 office
416.921.7424 fax
1.800.622.9536 toll-free

416.705.1181 cell/text

Search Listing's> www.PeterTarshis.com

Real Estate news> http://tinyurl.com/6gme5ev

Master Sales Award 2010 Royal LePage

I Believe in building relationships.
I am here to meet your needs
- to Serve & Protect - Your Investment.

Thank You for Your Trust.

Here are ten tips to help you prepare your home for winter:

2011-11-02T05:39:00.000-07:00

1) Furnace Inspection:

Call an HVAC professional to inspect your furnace and clean ducts.
Stock up on furnace filters and change them monthly.
Consider switching out your thermostat for a programmable thermostat.
If your home is heated by a hot-water radiator, bleed the valves by opening them slightly and when water appears, close them.
Remove all flammable material from the area surrounding your furnace.

2) Get the Fireplace Ready:

Cap or screen the top of the chimney to keep out rodents and birds.
If the chimney hasn't been cleaned for a while, call a chimney sweep to remove soot and creosote.
Buy firewood or chop wood.
Store it in a dry place away from the exterior of your home.
Inspect the fireplace damper for proper opening and closing.
Check the mortar between bricks and tuckpoint, if necessary.

3) Check the Exterior, Doors and Windows:

Inspect exterior for crevice cracks and exposed entry points around pipes; seal them.
Use weather-stripping around doors to prevent cold air from entering the home and caulk windows.
Replace cracked glass in windows and, if you end up replacing the entire window, prime and paint exposed wood.
If your home has a basement, consider protecting its window wells by covering them with plastic shields.
Switch out summer screens with glass replacements from storage. If you have storm windows, install them.

4) Inspect Roof, Gutters & Downspouts:

If your weather temperature will fall below 32 degrees in the winter, adding extra insulation to the attic will prevent warm air from creeping to your roof and causing ice dams.
Check flashing to ensure water cannot enter the home.
Replace worn roof shingles or tiles.
Clean out the gutters and use a hose to spray water down the downspouts to clear away debris.
Consider installing leaf guards on the gutters or extensions on the downspouts to direct water away from the home.

5) Service Weather-Specific Equipment:

Drain gas from lawnmowers.
Service or tune-up snow blowers.
Replace worn rakes and snow shovels.
Clean, dry and store summer gardening equipment.
Sharpen ice choppers and buy bags of ice-melt / sand.

6) Check Foundations:

Rake away all debris and edible vegetation from the foundation.
Seal up entry points to keep small animals from crawling under the house.
Tuckpoint or seal foundation cracks. Mice can slip through space as thin as a dime.
Inspect sill plates for dry rot or pest infestation.
Secure crawlspace entrances.

7) Install Smoke and Carbon Monoxide Detectors:

Some cities require a smoke detector in every room.
Buy extra smoke detector batteries and change them when daylight savings ends.
Install a carbon monoxide detector near your furnace and / or water heater.
Test smoke and carbon monoxide detectors to make sure they work.
Buy a fire extinguisher or replace an extinguisher older than 10 years.

8) Prevent Plumbing Freezes:

Locate your water main in the event you need to shut it off in an emergency.
Drain all garden hoses.
Insulate exposed plumbing pipes.
Drain air conditioner pipes and, if your AC has a water shut-off valve, turn it off.
If you go on vacation, leave the heat on, set to at least 55 degrees.

9) Prepare Landscaping & Outdoor Surfaces:

Trim trees if branches hang too close to the house or electrical wires.
Ask a gardener when your trees should be pruned to prevent winter injury.
Plant spring flower bulbs and lift bulbs that cannot winter over such as dahlias in areas where the ground freezes.
Seal driveways, brick patios and wood decks.
Don't automatically remove dead vegetation from gardens as some provide attractive scenery in an otherwise dreary, snow-drenched yard.
Move sensitive potted plants indoors or to a sheltered area.

10) Prepare an Emergency Kit:

Buy indoor candles and matches / lighter for use during a power shortage.
Find the phone numbers for your utility companies and tape them near your phone or inside the phone book.
Buy a battery back-up to protect your computer and sensitive electronic equipment.
Store extra bottled water and non-perishable food supplies (including pet food, if you have a pet), blankets and a first-aid kit in a dry and easy-to-access location.
Prepare an evacuation plan in the event of an emergency.

We hope you enjoy this issue of our November Newsletter

20 things to look for in a home inspection

2011-09-15T10:57:00.000-07:00

September 09, 2011
Mark Weisleder

I continue to receive complaints from readers about problems that they
discover after closing their home purchase. Most complain about sellers who
fail to disclose defects or home inspectors who fail to find them. The system is far from perfect. However, there are steps that buyers can take before and during a home inspection to protect their interests.

Check all electrical outlets to make sure that they work.
Open windows, even in the winter, to make sure they are not stuck or painted shut.

Look under any area rug or bed and behind any picture to check for cracked
tiles, stained carpets or walls. Lift anything on the kitchen counters to look for defects.

Do any of the appliances show any rust? How old are they? If they are
discontinued models, you will likely have to replace them if they break down because of the difficulty of finding replacement parts.
Start the dishwasher at the beginning of any home inspection.

By the end, it should have gone through its entire cycle, without leaking.
Put a thermometer inside the oven and turn it on to 350 degrees. After 10
minutes, check the temperature. Test stove burners.

Put a cup of water in the microwave for 45 seconds. Does it heat up?
Flush every toilet and see whether it stops running after it is filled.
Check sinks, tubs and showers in the house. Is there proper water flow from
each faucet and does everything drain properly?

You may want to consider turning all the faucets on at the same time and then flushing a toilet upstairs to see whether the water pressure slows or stops in any sink. This could indicate a problem with the system.

In older homes, consider a separate sewage inspection. Stan Collini, the
President of Roto-Rooter Plumbing and Drain Service in the GTA, tells me that for $295, you can do a video camera of a property’s sewer system to see if there are any problems that would not be visible on a typical home inspection.

Check under the water heater for leaks or stains on the floor.
Ask how old the air conditioning unit is and when was it last serviced Is there sufficient hot or cold air reaching all of the rooms in the house?
Does the owner have a plan with their gas company to inspect the furnace once a year? When was the last inspection conducted?]

If the house has an addition, ask whether any upgrade was done to the heating or cooling systems to account for the additional living area.
Look for water stains in the ceiling which could indicate leaking from the roof or other problems with the plumbing system.

When your inspector is on the roof, ask them to check for broken or cracked shingles. If it is a flat roof, look for the low spots where water can collect for any evidence of a problem. Check the eaves to see if there is any rot or decay. If any concerns are noted, consider bringing in a roofing contractor for an additional opinion, especially if the home is 15-20 years old and it is still the original roof.
You may also want to consider a separate inspection for mould or termites, as these may not be visible on a home inspection but can result in significant costs to repair later. Check if this is a known problem in the area.

Always ask the seller and the seller’s agent if they know about any hidden defects that are not visible. They must answer truthfully if you ask them.
Consider looking into after-sale warranty protection. Many of these products on the market will generally cover problems with a home electrical, plumbing,heating and cooling system, as well as the major appliances. But like any warranty, ask about deductibles and what is excluded from coverage.

By being properly prepared and asking the right questions both before and during any home inspection, you will be better protected against costly
surprises after closing.

Toronto GTA REALTORS® REPORT AUGUST RESALE MARKET FIGURES

2011-09-12T06:17:00.000-07:00

Greater Toronto REALTORS® reported 7,542 sales through the TorontoMLS® system in August – a 24 per cent increase over 6,083 sales in August 2010. New listings, at 12,509, were up by 20 per cent compared to August 2010. Market conditions remained tight as sales growth outstripped growth in new listings.

2011-09-04T05:10:00.001-07:00

For sale: 91 Medland Cres, High Park,Toronto, M6P2N3 ~Open House Sunday Sept 4, 1-4pm
http://t.co/R7xaG8E

2011-09-03T04:35:00.001-07:00

For sale: 91 Medland Cres, High Park,Toronto, M6P2N3 bit.ly/rtgypg posted

Toronto Real Estate Downtown Report - April/May Market Report 2011

2011-05-04T04:36:00.000-07:00

SALES COMMENTARY:

March continued the upward trend in sales, as 9200 units were sold on TREB. This number was 11% lower than March of 2010 which was a record. In April we are expecting about 9600 sales which will again be lower than last year’s record number. In spite of what the media reports, this market is very strong – what separates it from last year are really two factors: first the poor weather in comparison to last year’s spring; and secondly, a lack of listing inventory – new listings in March were 19% lower than in March a year ago. When the weather improves and listings increase, we expect to see 2011 sales on a monthly basis move ahead of 2010 perhaps by May or June at the latest. No one is forecasting that except us!
The downtown condo market presents a different market. Here condo sales in March were 6% higher than March of 2010. This trend will continue for the balance of the year. The reason of course is that so many new condo projects are being registered and are entering the resale market. The question being asked is can the market absorb this many new units? The answer is yes!! The sale-to-listing ratio downtown for condos was 48% this March versus 55% last March – not much of a difference when you factor in all the new condos entering the resale market.

This month, we tracked sales at a newly registered condo – the Vibe at 100 Western Battery in Liberty Village. It was built by Monarch and was just registered at the end of 2010. The first unit we tracked was a two-bedroom/2 bath unit with parking sold by the Developer in 2009 for $390,000. The identical unit, at 838 sf, sold in January and February of this year for $424,000 and $425,000. By March the unit sold for $433,000 or $515 per sf. A smaller unit at 611 sf – a one-bedroom with parking sold at the end of 2010 for $305,000 (probably as an assignment). Two identical units sold in February this year for $322,000 and $324,000 or $530 per sf. The point to be made for buyers is that assignments are cheaper and once the building is registered prices usually go up by $20,000.

RENTAL COMMENTARY:

As predicted, rental rates are moving up and there is a significant shortage of available units, even with record rental volumes. There were 22 studios, 383 one-bedroom units and 223 two-bedroom units leased in March. The number of rentals is an indication that the majority of investors in the pre-construction market have decided to rent rather than sell their units at registration! Studios leased at an average rate of $1325. One-bedroom units without parking averaged $1550. Add a den plus parking and you can pay $1725! Renters are now looking to convert a den into a second bedroom. The market for two-bedroom units is also in high demand and units start at $1950 and go to $2400 for a den and parking. There are no three bedroom units in the market place – developers don’t build them! Only five units were leased last month at an average price of $3500. How tight is this market? The average one bedroom stays on the market 6-10 days and many attract multiple offers.

2011-03-27T11:03:00.001-07:00

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2011-03-27T11:01:00.001-07:00

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Toronto's Front Yard Parking Issues & License's 2011

2011-03-27T10:33:00.000-07:00

Toronto Real Estate : Parking red tape should be streamlined

Bill Johnston - President of the Toronto real Estate Board

If you are a regular reader, you will remember I recently wrote about the City of Toronto’s decision to clarify its rules to ensure that residents could continue to park their cars on their driveways. As I mentioned then, adequate parking, or the lack of it, can be a deal maker or a deal breaker in a real estate transaction. So, I want to spend some more time on this issue. However, this time my focus is on the city’s rules for front-yard and/or boulevard parking.

For most Toronto residents, parking their vehicles is straightforward: they park them in their driveway, garage, or both. However, many residents don’t have either of those options and rely on parking spots added by altering the landscaping of their front yards and the boulevard portion of their property. Homeowners are required to obtain a permit from the city for such parking spots.

The city’s process to obtain a permit is not simple. It creates significant red tape for homeowners and requires the payment of various permit fees. Nevertheless, although that is an important consideration, my main focus with this issue is how the city handles front yard parking spots that have already been approved when a property is sold.

While city rules do allow the licence for an existing front-yard parking spot to be transferred to a new home owner, they also require that the new owner complete an application and pay a fee of $115.10 to have the licence transferred. According to city staff, it may also be necessary to have the parking spot inspected before the licence can be transferred.

Nobody appreciates surprises during the home-buying process, which is why I’m zeroing in on this aspect of this issue. Realtors believe that any government rules that add red tape to the home-buying process should be streamlined to help ensure smooth and efficient transactions. With regard to Toronto’s front yard licence transfer process, where a parking spot has been approved and conforms to the terms of the approval, the licence transfer should be quick, certain, and costs, if any, should be minimal.

Realtors make it a priority to work with all levels of government to reduce the red tape. In this regard, we plan to communicate our concerns about Toronto’s front-yard parking rules to the city, and I look forward to updating you on this.

For more information, go to www.Petertarshis Twitter @PeterTarshis, on Facebook Peter Tarshis Toronto Realtor .

Condo-mania in the Toronto Real Estate Market - 2011

2011-03-23T10:26:00.000-07:00

Condo sales in Toronto reached an all-time high for the month of February this year, shattering the previous record by a margin of 26 per cent.

Typically known for being a slow month for real estate, an impressive 2,202 new condos were sold around the GTA. This is the first time sales in February have exceeded the 2,000... mark.

The Building Industry and Land Development Association said the number of condos sold, marked a 36 per cent, increase from last year.

The previous record was set back in 2002, long before the infamous housing bust of 2008.

February numbers showed the second lowest number of low-rise homes sold in history, partly due to a price increase thanks to a shortage of available housing.

Finding a Condo Investment Unit (Part 1)

2011-03-10T08:28:00.000-08:00

If you’re an investor looking for a condo unit, you’ve probably noticed a breadth of (sometimes confusing) options offered, in just about every corner of the city. These days, it seems that no matter where you turn, condos are aplenty!

The Mercer, X Condos, Majestic Court, Waterclub, Emerald Park, Harbour Square, Eve, Uptown Markham, Ventus at Metrogate are just a few of the new condo's available in Toronto. Look around downtown - east - west - all you see are cranes !

With so many different choices – from buildings that are older, newer and soon-to-come, to high-rises, low-rises and everything in between – it begs the question: where does one begin in the painstaking quest to find an investment unit that best suits their needs?

Like anything else, there are many different schools of thought on this matter and if you speak to 100 different people, you’re likely to hear just as many different opinions.

We’ve spoken with a handful of seasoned investors and trusted real estate professionals, and while opinions differed amongst them, we’ve done our best to highlight their most critical ideas.

If there’s one thing that’s clear, it’s that there is no “right” answer to the great investment debate. Every investor is different, and as such, you’ll have to do your homework and figure out what works best for your personal circumstances and style.

While there are many factors to think about, for most, the major considerations will be investment type and budget, followed by location, size, and other issues.

This post is part of three-part series in which we’ll touch upon all of these issues. Today we begin with the first, and arguably the most important, two: investment type and budget.

Investment Type (Age)

There are several categories of investments that you can consider. These are:
Pre-construction / blueprint;
New condo (pre-registration);
Completed condo.

Pre-construction condos

A popular choice to-date has been purchasing a condo pre-construction or blueprint. History suggests that this is typically where you’ll find the best pricing, often purchased through a realtor with access to the sales centre (e.g. VIP sales event) prior to its public opening.

The advantages to buying pre-construction includes not only the lowest prices, but also the widest selection of suites, the opportunity to purchase something never-before-lived in and a longer period of time to save up your down payment (over the course of the builder’s deposit schedule).

Having said that, pre-construction units are not for everyone. There’s an element of risk involved with buying blueprint (e.g. project cancellation or changes). And depending on your outlook on the condo market, there may be more hesitation to commit at today's pricing than in years prior. For inexperienced buyers, the prospect of purchasing from a blueprint, without a physical space to see, touch and feel, can also be challenging.

Hints & Tips: Look for a condo expert with early access to projects to take advantage of the often lower pricing and wider selection of suites.

New condos (pre-registration)

This option refers to condos purchased from the time construction has begun up until the building has been registered (when title is transferred from the developer to each of the individual owners). Prices are typically higher during this period than in the pre-construction phase, and generally see a steady increase until registration.

The advantages and disadvantages to buying a new condo (pre-registration) are similar to those for pre-construction; although there’s often a narrower selection of available suites and higher price per square foot.

Other than buying from the builder, pre-registration units can sometimes be purchased from other buyers by way of assignment. Some of the experts we spoke with observed that once a building is near completion (or is under occupancy, not yet registered), there’s often a premium when purchasing through the builder when compared with buying units within the same building on assignment. However, assignment purchases have their own set of benefits and risks and should be discussed with an experienced professional.

Hints & Tips: When negotiating prices via assignment, remember that the seller will be saving on closing costs (such as land transfer tax).

Completed condos

Then, there’s the option to purchase a condo that’s already completed. Completed condos range widely in age, with some buildings in the GTA dating back to 1970s.

Within this category, there are also several options. You may decide to purchase an investment unit that’s already tenanted. The advantage of this is a turnkey operation; however, the risk involved in assuming an existing tenant is that you also assume any existing issues (e.g. late payments, etc.) that may be associated with that particular individual.

If you’re a little more hands-on, another option is to purchase a vacant unit. If the condo is in need of repair or update, this would give you an opportunity to complete any necessary renovations in order to make the unit more rentable. For investors who prefer to find and qualify tenants on their own, this could be an ideal scenario; however, there will of course be a period of vacancy that you’re willing to accept while renovating and/or searching for that perfect tenant.

The benefits to purchasing a completed condo include the ability to see the physical space that you’re buying into and garner some insight into how well the building is being maintained. If the building is a little older, you’ll also gain a better sense of how much the maintenance fees have been. It’s pretty much “what-you-see-is-what-you-get”. Our experts have suggested that the average price per square foot on completed units tends to be lower when compared with new projects within the same neighbourhood, so there may also be a price advantage associated with completed condos. In addition, buying a completed condo also allows you to receive some monthly cash flow from the investment almost immediately.

On the other hand, having to cough up the full down payment for your condo within a short span of time (typical resale closings occur within 30-90 days from the date of purchase) can be daunting for many investors. Maintenance fees in older buildings can also be higher given natural wear-and-tear, and you’ll want to be wary of any potential issues pending for the condo such as major repairs, structural issues and lawsuits that can heavily impact your carrying costs. Finally, if the completed condo isn’t new but located in an area where there are many new buildings cropping up, it may be more difficult to rent as many tenants prefer a never-before-lived-in space where available.

Hints & Tips: Maintenance fees not only contribute to your monthly carrying costs, but will also have an impact on the future resale value of your property. To minimize any unpleasant surprises, ask your lawyer to review the condo’s status certificate which will paint a formal picture of the of the condo corporation’s current financial and structural health.

Still trying to decide? While there’s a definite premium on rent rates for newly constructed condo units, some of our experts have suggested that in today’s market, such a premium doesn’t necessarily balance out the premiums paid on price. This likely varies within each local market, so it’s definitely worth comparing the numbers to see for yourself what makes the most sense. Whether you decide to purchase new or old will depend on your investment and management style (of the property and tenants), personal preferences and of course, budget.

Budget

Needless to say, your decision to purchase an investment unit will be defined and limited by your available budget. In addition to looking at the monthly cash flow impact of any condo investment, you should also consider:

Financing pre-approval

All of the experts we spoke with were unanimous in their opinions that any condo investor should obtain a mortgage pre-approval prior to beginning their search in order to know with certainty what they can afford. Contrary to popular belief, the mortgage pre-approval is a typical requirement even when purchasing a unit directly from the developer, so this recommendation applies regardless of whether you decide to head down the pre-construction, new build or completed condo route.

Mortgage rules

To begin, it’s important to keep in mind the recent mortgage rule changes which will directly impact your decision to purchase an investment property. As of April 2010, non-owner-occupied units purchased for speculation in Canada require a minimum 20% down payment in order to qualify for a mortgage. And on March 18, 2011, a few more changes will come into effect. For further information on the upcoming mortgage rule changes, please click here.

Hints & Tips: Getting a mortgage pre-approval as suggested above will help you narrow down the impact of these changes.

While important, remember that the two factors discussed here – investment type and budget – are only part of the equation in determining which condo investment property is right for you. Tune in tomorrow for Part 2 of this series in which we’ll discuss some other important factors – location and size – to consider in purchasing a condo investment property.

FOR PEOPLE GETTING INTO THE TORONTO INCOME PROPERTY MARKET:

2011-03-09T13:37:00.001-08:00

If you are a first time buyer of a duplex, triplex or multi-unit apartment building in the GTA here are a few steps that you ought to follow to ensure your chances for success:

i. Define Your Investment Goals

Each time you review a listing or visit a property you should ask yourself would this property meet my fiscal objectives? Some of the specific factors that you should consider are: suitability of neighbourhood for renters, the current vacancy rate, economic conditions and your own propensity to stick it out with the property long-term.

ii. Identify Your Needs & Desires

Determine what you'd like to have versus what you must have. These include obvious items like location, type of investment property and whether you have a penchant for doing renovations if necessary.

iii. Know Your Financial Readiness

The financial questions that you have to ask yourself before you get started include:

How much money can you afford to put towards a deposit on your income property?

How much of a debt obligation you are prepared to undertake? What is the maximum that you will be able to borrow?

What is your net monthly payment comfort level? Set a maximum dollar amount and do not exceed this threshold when searching for properties

iv. Establish a Relationship with a Lender

This is very important because there a myriad of financial products on the market today. The mortgage business has become one of Canada's fastest growing segments. You can get no money down options, 40 year amortizations and there are specific programs for self-employed people that don't show a lot income on their tax returns. I often say that how we finance a purchase is just as important as how much we pay for the property.

v. Develop a Purchase Strategy

There are many ways to proceed here. I obviously recommend using a realtor like myself for getting into income properties. My knowledge comes from countless hours in the field looking at rental properties, which I think is the best way to truly gain a proper understanding of the market. Once you have found a qualified agent to assist you, then it is important to develop a strong plan of attack. Start by having your agent search your local real estate board's listings as often as possible. There are many different ways in which income properties are listed on the Multiple Listing Service (MLS) so ensure that your agent is are being thorough in conducting searches. Look for listings with multiple kitchens and bathrooms and always check both residential and commercial listings. Challenge your agent to determine an innovative campaign to find you the right income property. If you don't find what you are looking for you may ask them to call income property owners of certain target buildings in your area - you never know when an owner may be thinking of selling. In addition, you may want to place classified ads outlining your specific investment criteria.

FOR LANDLORDS:

Once you have purchased a property and have gotten it all rented out, here a few pointers that may help your continued success with your venture.

i. State of the premises:

This may sound obvious, but under no circumstances should you let your property fall into a state of disrepair. If your tenants are paying each month, on time, then you have an obligation to keep everything in good working order. If something breaks down, fix it. Also, please try and keep up on maintenance items. Make sure the snow gets shoveled, the eaves get cleaned, the grass gets cut, etc. A tidy property is better all around for both you and your tenants.

ii. Rent Increases & the Residential Tenancies Act

You are allowed to raise your tenants rent only 0.7% for the year 2011. Keep up on your allowable limit and try and stay familiar with you rights and obligations under the tenancies Act. If are unfamiliar with this, please take a look at:

http://www.ontariotenants.ca/law/act.phtml

iii. Fire Issues

As a landlord you are obligated to ensure that your rental property meets fire code guidelines. The best way to ensure that your building is compliant is to hire a retrofit consultant who will give you a laundry list of all the things that need to be done.

I recommend Paul Schuster at www.pcfirecode.com.

iv. Eliminating Expenses

Sometimes you are limited on how much rent you can get away with, so the best way to improve your profitability is to cut on expenses. Things like separate hydro meters help but ensuring that your building isn't wasting energy can go a long way to saving you money in the long term.

--

"HELPING YOU IS WHAT I DO"

I Believe in building relationships.

I am here to meet your needs

- to Serve & Protect - Your Investment.

As a Real Estate Consultant I am dedicated to the Real Estate Investor & Home Owner

- who is willing to work for one of the most precious things in the World

- Freedom.

Peter Tarshis

Royal LePage Real Estate

55 St. Clair Ave. West

Toronto, M4V 2Y7

416.921.1112 x 574 office/pager

416.921.7424 fax

1.800.622.9536 toll-free

416.705.1181 cell/text

See Peter on:

www.PeterTarshis.com

http://petertarshistorontorealtor.blogspot.com/

http://twitter.com/PeterTarshis

www.rlptv.com

www.Linkedin.com

www.torontorealestateboard.com

http://activerain.com/blogs/petertarshistorontorealtor

A referral is a big responsibility...it is also the biggest compliment a client can give me and is never to be taken lightly. I pledge to treat everyone that is referred to me with the utmost level of respect and professionalism.

Thank You for Your Trust.

.

Toronto REALTORS® reported 6,266 transactions through the TorontoMLS® system in February 2011

2011-03-09T13:24:00.000-08:00

TORONTO, ONTARIO--(Marketwire - 03/03/11) - Greater Toronto REALTORS® reported 6,266 transactions through the TorontoMLS® system in February 2011. This result was 14 per cent lower than the record sales reported in February 2010.

While not representing a record, February 2011 sales were 50 per cent higher than the number reported in February 2009 during the recession and slightly higher than the average February sales over the previous ten years.

"Continued improvement in the GTA economy, including growth in jobs and incomes and a declining unemployment rate, has kept the demand for ownership housing strong," said Toronto Real Estate Board (TREB) President Bill Johnston.

The average selling price for February 2011 transactions was $454,423, which was more than five per cent higher than the average selling price reported in February 2010.

"Market conditions remain quite tight in the GTA. There is enough competition between home buyers to promote continued price growth," said Jason Mercer, TREB's Senior Manager of Market Analysis.

---------------------------------------------------------------------Source: Toronto Real Estate Board
Greater Toronto REALTORS® are passionate about their work. They adhere to a strict Code of Ethics and share a state-of-the-art Multiple Listing Service. Serving over 31,000 Members in the Greater Toronto Area, the Toronto Real Estate Board is Canada's largest real estate board. Greater Toronto Area open house listings are now available on www.TorontoRealEstateBoard.com.

Get the latest real estate news and Market Watch information including market watch summary video

www.twitter.com/TREB_Official

Canada Toronto National Bank House Price Index™

2011-02-03T05:03:00.000-08:00

The Teranet – National Bank House Price Index™ is an independent representation of the rate of change of Canadian single-family home prices. The measurements are based on the property records of public land registries. The monthly indices cover six Canadian metropolitan areas: Vancouver, Calgary, Toronto, Ottawa, Montréal and Halifax. The metropolitan areas are combined to form a national composite index.

In addition to their informational role, the Teranet – National Bank House Price Index™ was developed be a trustworthy benchmark for financial professionals. Teranet and National Bank of Canada offer licenses covering all index-linked products.

http://www.housepriceindex.ca/Default.aspx

Buying Your New Home or Investment

2011-01-27T05:43:00.000-08:00

Buying a home in Toronto is an exciting and complex adventure.
It can also be a very time-consuming and costly one if you or your agent is not familiar with all aspects of the process, and missing important information and resources. Our diverse landscape and dramatic varying styles of homes makes it important to have a complete understanding of the Toronto real estate market.

Over 90% of our business is from referral. From people who have experienced first hand, the benefits of working with seasoned professionals. One of our specialties is representing the best interests of Toronto real estate buyers throughout the home buying process. Our comprehensive, high-quality services can save you time and money, as well as make the experience more enjoyable and less stressful.

If you're like most people, buying a home is the biggest investment you will ever make. So whether you're buying a starter home, your dream home or an investment propert, take advantage of our experience as local marketing experts for Toronto real estate to make the most informed decisions you can, every step of the way.

Let's begin with an overview of the buying process:

Step 1: Initial ConsultationDuring our initial consultation, I'll gain a sense of your values, interests and priorities. It's of utmost importance that I understand exactly what your needs are so I can help you accomplish your goals. Together, we'll identify the features you are looking for in a home, and we'll work to narrow down the neighborhoods that best suit your lifestyle. I will also discuss the steps in the homebuying process and give you an update on the current real estate market.

Step 2: Obtaining FinancingIt's important to understand your financing options. Working with an experienced mortgage consultant, we will be able to determine the amount of financing you can obtain. There are various loan options, and we can discuss which option works best for your situation:

Fixed Rate Mortgage
Adjustable Rate Mortgage
Government-assisted financing (CMHC)
Seller-assisted financing
Financing will carry through the rest of the steps, culminating with the completion of escrow.

Step 3: Finding the Right HomeAs we begin to search for your dream home, we'll take into consideration your time frame and select homes that meet your needs, including your financial parameters. You can use my site to search all listings for Toronto & Ontario at your leisure. For even more powerful searching capabilities, I will set up a customized search for more property details, sold data, and automatic email alerts. Meanwhile, we'll begin visiting homes and critiquing them according to your objectives.

Step 4: Preparing an OfferOnce we find the right home and you've made your decision, we'll make an offer. As we prepare the offer, we will take into consideration your financial situation and determine an offer price. I will then submit your offer to the seller's agent.

Step 5: Reaching an Agreement with the SellerOnce we reach an agreement with the seller, you and I will work together to ensure that all the terms of the agreement are met.

Step 6: Protecting Your InterestsTo ensure a trouble-free home purchase, I will obtain a written property disclosure statement from the seller. I'll also recommend that you obtain a professional inspection of the home. You and I will determine if a home warranty that covers major home operating systems and appliances is necessary. A preliminary title report will be ordered as well. Then you and I will do one final walk-through before closing.

Step 7: Completing the Escrow ProcessThe escrow process can be a complicated one, so I'll explain all the steps to you and answer any questions you might have. I'll work with the seller's broker to make sure they fulfill their responsibilities under the purchase agreement. I'll also help escrow move forward by staying in touch with the escrow officer, title officer, lender and others. All the while, I'll communicate with you on a regular basis so there are no surprises.

It may seem a little intimidating, but don't worry; you'll be in good hands. I will help you every step of the way. So let's get started!

2011-01-04T09:13:00.001-08:00

129 St. Clair Ave W, the site of Deer Park Church, is in development...http://bit.ly/hErZvT

2011-01-04T08:48:00.001-08:00

2010 buildings - architects, planners, and developers,
http://ping.fm/CvhCP

2011-01-04T08:39:00.001-08:00

Best wishes for a happy and healthy 2011 ~ http://ping.fm/86bom

2011-01-04T08:17:00.001-08:00

The Best of Winterlicious 2011: Toronto Life’s 62 favourite restaurants | De-licious | torontolife.com http://t.co/trZQzfz via @torontolife.com

Toronto Homes near Schools offering IB programs

2010-11-23T08:54:00.000-08:00

And now it’s time for your Toronto Real Estate ABC’s.

A) There’s a new incentive for buying a house right now. B) A school with an International Baccalaureate diploma.

C) It’s a smart move.

Know this, and you can advance to the head of Toronto’s home-purchasing class.

Anecdotal evidence suggests that IB schools are behind a recent spate of bidding wars erupting in the GTA.

Widely perceived as a private school perk, academically elite IB programs are increasingly on offer through the public system, and houses in neighbourhoods with IB schools already in place are reaping the benefits.

“They’re a new real estate trend,” says Bill Thom an agent with Re/Max who says much of his business these days is coming from parents looking to buy homes in areas where there are schools with an IB program.

“Instead of giving $25,000 to a private school, I tell my clients to put that money instead on their mortgage. An IB school in their neighbourhood is a guaranteed world-class education, so why look elsewhere?”

Agent Bill Thom in Richmond Hill, an area that he believes has exploded in value thanks to local IB programs.
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Mr. Thom says that houses in areas with an IB school are selling faster and for more money right now than those in areas where this rigorous academic program isn’t already in place.

One of his recent listings was a two-storey at Bayview and 16th Avenue that after only five days on the market received 10 offers, largely because of nearby Bayview Secondary School, which implemented its IB program about five years ago.

“When that came in, it changed Bayview Hill’s housing prices,” says Mr. Thom. “Then they turned Bayview Hill Elementary School into an IB school too, so that made Bayview Hill even more desirable.”

IB schools have a reputation for providing among the most challenging of high school programs. The International Baccalaureate was originally developed in Switzerland in 1948 as a rigorous study program that would give the children of diplomats an entree to schools around the world.

The two-year academically enriched program stresses enhanced time-management skills along with an academic program combining advanced study with creative and athletic pursuits.

Home buying
Homes that get an A+
DEIRDRE KELLY
Toronto— From Friday's Globe and Mail

Toronto schools offering IB programs are often sought out by people moving to the city for the first time who are looking to buy real estate, says Alex Pino, an agent with Sotheby’s International Realty Canada.

“I think houses that are close to IB schools sell faster as there are many buyers coming from all over the world to the city looking for this education for their kids,” Mr. Pino says.

“In Rosedale and Summerhill, we see houses close to Branksome Hall and The York School selling faster and sometimes with several families bidding on them as they want their kids to walk to the IB schools. We just sold a Rosedale house to a family from South Asia whose girls are going to the local IB School.”

But it’s the public schools with IB programs having the biggest impact on the local real estate market, experts say.

Such is the case of Monarch Park Collegiate, an east-end high school that for decades has had a bad rap for being in a sometimes rough-and-tumble working-class neighbourhood.

Real estate surrounding the school has rarely been a hot commodity.

But that has changed since the implementation in September, 2008, of an IB world program that over the past two years is credited with turning the neighbourhood around, at least from a real estate point of view.

“Frequently, I get calls from people wanting to move into the area from another province or country who are looking for an IB school,” says John Au, Monarch Park’s IB program co-ordinator. “It becomes a factor for them wanting to move into the neighbourhood. They want to be closer to our school.”

Homeowners don’t necessarily have to buy in areas with an IB school in order to attend. As a specialized program within the Toronto District School Board (which, unlike other districts, doesn’t charge students wanting an IB diploma), the IB program is open to students outside a particular school’s catchment area.

But, increasingly, families are drawn to a neighbourhood, wanting proximity to their child’s education.

In Parkdale, an until recently downtrodden neighbourhood in Toronto’s west end, the presence of an IB school is cited as one of the reasons the area is turning itself around.

Parkdale Collegiate, founded in 1888 and the city’s second oldest high school, implemented its IB diploma in September, 2008, and since that time enrolment has spiked as a result of families actively seeking out the school, says Andrew Lin, the school’s IB program co-ordinator.

“We had 600 students before, when we didn’t have the program, and we now have 875. We average about 50 to 90 new students a year,” Mr. Lin says.

“The IB program is one of the main reasons for that increase. People in the neighbourhood recognize the value of an IB world school, and they recognize its value to the community.”

Buying a Home in Toronto

2010-11-18T05:37:00.000-08:00

Finding the perfect home doesn't happen in one day. There are a number of things you can do to simplify the process, including defining financial parameters, potential neighbourhoods and the desired features in your next home.

Do you need an extra bathroom, a garage, a fenced backyard, or lower utility bills? Do you want a fireplace, a short drive to work, or maybe minimal yard work? Once your list is complete, decide what is most important to your lifestyle.

Then it's location, location, location. Location affects your day-to-day living and is one of the most significant influences on value. Your choice of location may be limited somewhat by the price you can afford. Even so, make sure you consider such things as distance to work, schools, shopping and entertainment.

What type of property do you want? A single-family detached home is attractive to many people because it typically provides more living space and land. On the other hand, a condominium may be a more appropriate choice for you, with an emphasis on maintenance-free living.

A REALTOR® can help you analyze all of these buying issues. A REALTOR® working as a buyer's agent works to find the connection between homes available in the market and the needs and financial capacity of buyers. Talk to and compare the services of REALTORS® to help you navigate through this complicated business transaction. Be comfortable and confident with the REALTOR® you are selecting as your business partner.

As your agent, the REALTOR® owes you the duties of utmost care, integrity, confidentiality and loyalty. Make sure you discuss agency with your REALTOR®. In most provinces, if a REALTOR® is showing you homes, they are automatically deemed to legally be your agent, and owe you all of the associated obligations.

A REALTOR® will use various tools to try and find properties that meet your specifications including the MLS® service. One of the important search tools will be the local MLS® system. By sitting down at a computer the REALTOR® can key in your needs, choice of neighbourhoods and price range and immediately come up with a list of suitable properties available through the MLS® system. You can also view listings posted to the national REALTOR.ca web site.

When you select a property and decide to visit a house, there are many things to consider. Does it have all the features you wanted? Is the neighbourhood what you expected? Try to picture your favorite furnishings in a room. Remember all of the technical considerations:

what type of wiring does the house have?
what about power outlets? Different appliances use different types.
what type of heating system does it use?
what about the roof and foundation?
what condition are the windows in?
what about the plumbing?
There are other things to look at as well. If you don't have time or don't feel comfortable doing it, home inspection services are available for a reasonable fee. Having a qualified home inspector look at the house is always a good idea. The older the home, the greater the need for professional inspection.

Once you find the house you want to make your home, work with a REALTOR® to develop an offer. In the offer, you should specify how much you're willing to pay. State when the offer expires, and suggest a closing date for the transaction. You can also propose some conditions on the offer. Some common types of conditions are:

getting a suitable mortgage (include the amount, interest rates and any other figures you feel important);
selling your current home (the seller may continue to look for a buyer, but will give you the right of first refusal);
the seller providing a current survey, or a "real property report," showing the location of the house on the property owned by the seller and that there are no encroachments;
the seller having title to the property (your lawyer will check this out when he or she conducts a title search to see if there are any liens on the property, easements, rights of way or height restrictions);
if there is a septic system, the seller should have a health inspection certificate, stating the system meets local standards;
if you still have any doubts about the home's safety and construction, you may wish to make the purchase conditional on an inspection by a qualified engineer;
any inclusions - basically, what stays and what goes.
You will need to present a deposit along with your offer. An appropriate deposit will show your good faith to the seller. The seller's agent is bound by law to bring all offers to the seller's attention.

After your offer is accepted and all the conditions are met, the offer becomes binding on both sides. If you walk away from the deal at that point, you may lose your deposit. You may also be sued for damages. Make sure you understand and agree with all of the terms of the offer before signing.

No matter what type of home or property you're buying, plan on some extra expenses. In some provinces, you may have to pay a land transfer tax (a sales tax on property).

You may also have to pay:

a mortgage Broker's fee:
an appraisal fee;
surveying costs (if the seller couldn't come up with a current survey); and,
a high-ratio mortgage insurance premium.
an interest adjustment. Mortgages are normally calculated from the first of each month: if your closing date is the same as the beginning of your mortgage, there will be no adjustment. However, if your closing date is July and you move in on June 15, those last 15 days are the interest adjustment period. Your lender will expect you to cover the cost of the interest during that time.
You'll also have to reimburse the seller for the unused portion of any prepaid property taxes or utility bills. As well, you must also pay any legal fees, and, if applicable, any REALTOR® fees. Be prepared to furnish proof to your lender that you have insured your new house as well.

Before the property can formally change hands, there are still a few things to do. On or before closing day, your lawyer and the seller's lawyer will arrange to transfer title of the property from the seller to you. The mortgage money will be transferred to your lawyer's trust account, and then to the seller, and your lawyer will bill you all additional expenses such as land transfer taxes or outstanding legal fees.

At this time, be sure to check with your lawyer that everything is as stated in the offer-to-purchase. Once you're satisfied and the keys to the front door are in your hands, there's nothing else to say... except welcome home!

(The comments contained on this site are for information purposes only and do not constitute legal advice.)

2010-11-16T05:02:00.001-08:00

47-St.Tower, Dwntwn Tor.~King W Theatre Row frm $299,9. B 1st. 2 preview prices/floor plans. www.PeterTarshis.com

Happy Condo Living

2010-11-11T06:31:00.000-08:00

Secrets for Happy Condo Living
Living in an apartment or condo can be a rewarding experience and you can truly be happy with a lower cost and little work. However, a condo is more than a financial commitment; it's a social commitment as well. In this article we'll examine these considerations to make sure that your new condo life is a great one.

When you're in buying mode, it's common to think only in terms of dollars and cents. But it's essential not to forget the social aspect of living in a condo. Different complexes work well for different kinds of people, so get to know your complex as well as your prospective neighbours to make sure that they're a good fit for you. If you're easing into retirement, it might not be a great idea to buy a condo next to a bunch of hard-partying college kids or vice versa.

When you live in a condo you have to share walls, ceilings, floors and common areas with neighbours. All of this means keeping close quarters with your neighbours. While that is not a big deal for those who have lived in apartments, others will have to get used to that level of close proximity to their neighbours.

The key to happy condo living is keeping your neighbours happy too. Respecting your neighbour’s right to the quiet enjoyment of their home is part of the arrangement. Your neighbours will appreciate, and hopefully reciprocate your efforts to lower the volume, walk quietly, and limit your vacuuming and entertaining to reasonable hours.

Another big issue in condominiums is pets. Most people are good about looking after their dog, but some people who exercise their pets will take them to the courtyard and not clean up after their pet’s mess.

A little flexibility is important too. If your neighbours are willing to turn down the volume for you and keep things as quiet as they can, perhaps you can be more understanding to their situation as well. They’ll really appreciate the give-and-take relationship. For your neighbours with children, try to remember that kids will be kids.

You need to remember that a condo living is a community, so you need to deal with your neighbours as community members and try to resolve the issues together. If that fails, the board will then intervene. For the most part, condo boards will ask people to resolve most issues themselves. They will recommend going to the neighbour and sitting down to talk with them to work things out.

Before you make a condo purchase, knock on a couple of doors and introduce yourself as a potential buyer. Ask your future neighbours questions about the complex that aren't being answered by the real estate agent, or ask the same questions again to get a different perspective without the sales pitch! Not only can you learn a lot about the people you'll possibly be living next to, but you can gain insight into how much they enjoy living in the complex.

Toronto Condo's on a roll- Fall 2010

2010-11-08T12:24:00.000-08:00

In an astonishing turnaround, the Greater Toronto Area's new condo market shot from

moribund to near record-breaking in September.

In August only 861 suites changed hands,

while in September that number rocketed to 1,658.

Investor Alert - Fall 2010 - Condo Report

2010-11-05T09:00:00.000-07:00

TORONTO-In contrast to the short backward slide of the US market, Toronto’s office space actually saw a drop in vacancy in the third quarter 2010 to less than 10%, which hasn’t been seen since early 2009. The lease-up of four new office towers to about 10% vacancy helped the market, though Avison & Young experts say the focus is now on large blocks available in former bank buildings downtown.

Bill Argeropoulos, VP and director of Canada research for the company, says the movement seen but not proven in the second quarter finally came to roost in the third, with close to 2.5 million square feet of transactions, 70% being renewals and expansions, and 30% relocations. However, he tells GlobeSt.com that the 9.7% vacancy isn’t too wonderful, as space that’s currently occupied but being marketed boosts the potential vacancy to 11.6%. “It’s likely foreshadowing, the vacancy figure will probably tick up higher and peak in 2011 before it begins to retreat,” he says.

He says four of the five new office towers downtown are now 90% occupied, including Bay-Adelaide Centre West, Telus Tower, RBC Centre and Maple Leave Square. Only 18 York St. is still under construction, “and that building is largely leased, only one floor available, and it should be delivered in the latter half of 2011,” Argeropoulos says. There are 11 full floors available in these developments, with the largest contiguous block being 80,000 square feet.

Now, it’s the older large bank buildings in the city’s financial core that are at risk of losing tenants. “If you look at the four towers there, there’s more than 200,000 square feet available, a result of tenants vacating for the new buildings or other properties,” Argeropoulos says. “They’re at 16% vacant, a glut in that district that I’ve not seen in my 22 years in the business.”

These older structures include Commerce Court West, Royal Trust Tower, First Canadian Place and TD Bank Center. Argeropoulos says renovation projects have begun for the properties, especially at the Brookfield-owned First Canadian, where the company is in the process of re-skinning the 72-story, 2.4-million-square-foot building, now about 17% vacant.

Similar to the US market, the Toronto trophy office market is starting to narrow, he says. “It’s getting so that large-block users, and/or tenants who want a LEED-certified space, may have to wait another three-to-four years. There isn’t a developer who is going to go into the ground on a speculative basis unless there’s a willing lead tenant,” he says.

Categories: International, Office, Leasing, Canada
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Buying a Home : 10 things You need to know!

2010-11-05T08:18:00.000-07:00

Buying a home: 10 things you need to know

Tony Wong

Buying a house can be daunting, but a little planning makes it less stressful.

Shutterstock/Shutterstock

Buying a home is the largest purchase you’ll likely make. No wonder you’re stressed. Where should you look? Can you afford it? What will happen if interest rates rise? It may all seem daunting, but you can make it more manageable with a little planning. Here are a few things to figure out before you make the leap.

1. Get your financial house in order

Figure out your net worth, which is your assets less your liabilities. Assets are things like cash, investments, savings, cars, boats and so on, while liabilities are things you owe – car loans, amounts on lines of credit, overdrafts, credit cards. Subtracting one from the other tells you what you’re worth. Hint: If you get a negative number, you should probably re-think the whole thing.

The bigger the down payment the less interest you will pay in the long run. Well before you start looking for a house or condo, build a budget that will allow you to put some money away each month for that down payment.

2. Talk to a broker or your bank

Choosing a mortgage is like going to an ice cream parlour – there are dozens of choices and different flavors.

It may be time for a mortgage broker or adviser at your bank. A mortgage broker will shop around, much like an insurance broker, to find you the best deal. Your banker will sell you a mortgage offered by the bank. That doesn’t mean you can’t negotiate with your bank. The posted rates are a starting point and you can usually get a better deal. If they won’t negotiate go somewhere else.

Don’t be afraid to ask questions. If you go to a broker, ask how long they’ve been in business, what kind of products they offer and if they have references. Often the best way to find a broker is word of mouth. Ask your friends.

3. Terms and rates

The next decisions revolve around how long you want to lock the mortgage in and than will determine the rate of interest you pay. This is called the mortgage term and can be as little as six months or as long as seven years. It locks you in to a set of payments for the length of the term. Shorter terms have lower rates of interest.

Along with this is the amortization period, or the amount of time it will take to pay off your loan. It might run anywhere from say, 15 to 35 years.

The longer your amortization, the more interest you will pay. It may be worth considering a weekly mortgage. The monthly payment is divided by four, but the advantage is that you make four extra payments a year which are applied to principal. It’s a painless way to pay down your mortgage faster.

Once you’ve settled on a rate, term and amortization period, you get a mortgage pre-approved by your lender.

4. Get a real estate lawyer

While your dentist can likely do a fine root canal, an endodonist will likely do a better job. In some cases there won’t be a substantial difference in cost, but it could save you some pain down the road. Similarly, having an experienced real estate lawyer looking over your purchase agreement, checking for outstanding taxes and liens or claims against the property can be a lifesaver down the road.

Line the lawyer up in advance and explain your plan. That way, there’s no surprise when you put in your offer and come back to him with the deal.

5. Have realistic expectations

First time buyers often start with a wish list that may not be realistic given their resources. Starting big is fine, as long as you recognize that along the way you’ll make trade offs between location, size of house and features.

First, assess your lifestyle . If you are single, enjoy walking to Starbucks for a latte and hate cutting grass, then a detached home in the suburbs is likely not for you.

Make a list of the things you want. Do you need a two car garage? Space for a home office? Are you going to have children? Is it a good location? [hotlink to 10 things story] Don’t look at the house in isolation. Make sure the neighborhood, schools and surrounding amenities and services fits your needs.

Now start looking around. Use the internet, newspapers, and real estate magazines to get up to speed. Go to open houses to get a sense of what’s available at what price. Knowledge is power. A good place to start is with your local Multiple Listing Service site.

6. Stick to your plan

Understand what your spending limit is and don’t go over it. A pool might be nice, but it is not a necessity. Buying a home is ultimately a compromise of needs versus wants.

Try not to get emotional. In a hot market, bidding wars can be tough on buyers. But you could end up with a whole pile of buyer’s remorse if you think you overpaid.

Or what may look like a lemon. Homes that are in disrepair or need fixing up can usually be purchased for less. Don’t be hung up on the wallpaper, or the fact that the kitchen isn’t pristine.

Use a little imagination. Yes, it’s going to take work, but the savings could be worth it. Because when life gives you lemons, a slap of paint and a trip to the hardware store will Increase housing value like you wouldn’t believe.

7. Buyer agency agreement

Make sure that your agent represents you. A buyer agency agreement helps to reduce conflict of interest since the brokerage represents you exclusively. The seller’s agent represents the vendor.

A buyer’s agent for example, will tell you why you shouldn’t be buying a particular home. Make sure that the guy or gal on your team is batting only for you.

8. Get a home inspection

You wouldn’t buy a used car without checking under the hood, so why buy a house without a home inspection?

A home inspector will check for structural and electrical defects, roofing and foundation problems. This can come back to haunt you later. It also gives you some negotiation room when you put in your offer.

In hot markets, sellers may press to have the inspection waived. Don’t give in and get swept away in the heat of the moment. Walk away.

At the end of the day, it boils down to your risk profile. I have a friend who sometimes drives without a seatbelt. My cousin meanwhile, loves the fact they have somehow managed to invent car airbags for her knees. My theory is it’s better to have somewhere soft to land.

9. Don’t be afraid of being a landlord

One way to pay your mortgage off faster is to have someone help you. Buying a duplex or triplex is not a bad way to go, particularly in urban areas where prices have been bid up. Renting out the basement in a single detached home or a spare room is also a smart idea if you’re not using the space. And the extra money in your pocket may mean that you can afford a nicer home in a better neighborhood.

10. Maybe you should rent

Just because all your friends have put money down on a new condo doesn’t mean that you have to follow suit. Depending on your circumstances, it might make more sense to rent than buying a home. A rent versus buy calculator can help you figure it out http://www.ic.gc.ca/eic/site/oca-bc.nsf/eng/ca01821.html

Taxes, maintenance and utilities can add up. A low interest rate environment can tip the rent verses buy equation into the buy side, while higher interest rates, which make buying less affordable, can make it more favorable to rent.

In many cases, it is much cheaper to rent than it is to buy. Most studies show however, that in the very long term, it is better to buy. However, if you tend to move a lot, don’t like to deal with maintenance issues, and want to free up some money for other things, then renting might be the best lifestyle choice.

Tony Wong writes about real estate for The Toronto Star.

via thestar.com

Preparing your home for Fall

2010-11-05T06:50:00.000-07:00

Keep your home in tip-top shape inside and out

Early Fall is the time of year to prepare your home for the cooler weather.
It's extremely important to make sure that your heating system is working properly and safely. It is recommended that a heating and cooling specialist look over your system once a year at this time.

If you have a forced hot air system, your heating and cooling use the same filters. If they're dirty then filthy air will be circulating around your home. Filter changing is something that homeowners can do themselves. It should be done three or four times over the course of the winter.

If you have gas heat, your serviceperson should check the pilot light, burner and chimney flute. That is where carbon monoxide byproduct exists in your home and you want to make sure that it is not building up in your home.
Forced hot water heating systems (baseboard heat) should be checked and serviced as well.

There may also be things that need attending to beneath your property. Have your sprinkler system flushed before the cold sets in. The process involves blowing air into pipes to displace leftover water. This is important because water lines are typically only 6 to 8 inches below the ground and are prone to freezing.

Homeowners with septic tanks should think about having them pumped out now before the ground freezes and snow buries the yard. Septic tanks should be checked every year and cleaned no less than every three years.

More Fall maintenance tips in the next issue.

Dream of home ownership

2010-11-03T11:31:00.000-07:00

The dream of home ownership is no longer pie-in-the sky, it's just up in the air. Literally.

The crux of a Re/Max Ontario-Atlantic Canada report released this week reveals Canadians have stopped dreaming of "white picket fences" and are now focused on "funky loft apartments."

But even the real estate company had to admit in its press release that this desire to live in condominiums is principally being driven by the fact that's all many people can afford the first time they dip their toes into the housing market.

"As one of the few affordable housing options available to first-time buyers, the concept is poised for dramatic growth in years to come," said Michael Polzler, the executive vice-president of the company.

The condo market has become part of the urban landscape with one in every three homes sold in the Greater Toronto Area falling into the category. Even in small centres like Halifax, the condo has become a significant chunk of the housing market.

As home ownership levels have climbed during this housing cycle, one of the reasons behind the surge has been the rise of the condo, says Craig Alexander, chief economist with TD Bank Financial Group.

"Condos, generally speaking, have a lower entry point than many other dwellings. Of course, that is generalizing. But if you are single and you are entering the housing market for the first time, a one-bedroom condo is often the key entry point," he says.

Mr. Alexander says the big question for prospective condo buyers is what will happen to prices as supply begins to surge. Toronto is building more high-rise condo units than any other city in North America, says research firm Urbanation Inc.

"Condos are at most risk if we see a cooling and softness in prices," he says, adding the that this segment of the housing market is going to reap the benefits from a change in demographics and attitude that has people wanting to live downtown. "We are seeing a renaissance in urban living, people want to live in the core."

He can't prove it statistically, but Mr. Alexander says it's become more common for children to go directly from their parents' home to buying a home, skipping over the renting stage that had become common for previous generations.

Part of the reason is affordability, but government policy has also made it easier to buy property and the condominium model is gaining from the ease of entry into the market. Government-backed mortgage insurance has made it possible to buy a home with as little as 5% down, compared to 10% in the early 1990s. At one point the down payment could be as little as 0% until the government cracked down two years ago.

Then there's the amortization period, which was stretched to 40 years from 25 years by the mortgage industry before it was scaled back to 35 years. But even at that length, it's much easier to qualify for a mortgage as your monthly payment goes down.

But if all you can afford is a condominium, should you make a condominium your first home?

"The condominium market is more volatile, it moves faster in both directions. But having said that, owning a principal residence is generally a good thing, as long as you can afford that," said Ted Rechtshaffen, a certified financial planner and chief executive of TriDelta Financial Partners "It's a good wealth builder because it's the only thing you can buy that is tax-free [in terms of capital gains]."

All of that is true, but a condominium should be like any investment. You have to consider whether you plan to hold it long term. If you do, then price gyrations up and down are not as important. The same holds true for transaction costs.

"It's like a stock portfolio. If there are lots of transactions, it adds costs. One of the reasons people think real estate is safe and stocks are not, is they hold real estate for 10 or 15 years," Mr. Rechtshaffen says. "If your plan is to be there for two years, there are a lot of transaction costs to cover."

The days of flipping a cond are long over, if they ever truly existed in this cycle. Once you figure land transfer costs, real estate commissions, lawyer fees and the cost of mortgage insurance, a condo is really like any other housing stock, just cheaper.

gmarr@nationalpost.com

Toronto Investor Rental Info -

2010-09-26T13:08:00.000-07:00

Value of a Landlord’s Reputation
by Richard Warren on September 2010

Many people demonize landlords as evil and greedy bloodsuckers. Some of them are to be sure. Most of them (us) are really just investors trying to make a living and build wealth. Finding a story about a slumlord that does nothing but collect rent is easy. They do as little as possible in terms of maintenance and repair and are simply looking for their monthly check. Ever here the story about the great property owner that treated his tenants fairly, made sure his rentals were properly maintained, safe and secure? I didn’t think so.

You only hear about the terrible landlords because bad news travels fast and good news isn’t very entertaining. It’s like sports referees or umpires; they go unnoticed until they blow a call. The value of having a good reputation as a landlord can be summed up in one word – vacancies.

A Fact of Life

Hear the one about the long-time landlord that never had a vacancy? Neither did I. Vacancies are a fact of life; tenants get new jobs, get married or divorced, have kids and need a bigger house, or buy a house of their own. When a tenant moves out it is rare to have a new one move in the next day. The property may need some repairs or updates, new occupants need to be found, and screening prospective renters takes time. If you can have it rented by the following month you are doing well.

A wise landlord uses a vacancy factor when calculating cash flow projections, generally 7-10%. Sometimes that’s sufficient, sometimes it’s not. Two years ago I wrote an article about two rental properties I owned that were polar opposites in terms of vacancies. While a vacancy factor is an assumption, it can vary wildly. I just experienced such a situation.

I own homes in a rural Nevada mining town with a very high demand for rentals. While I’ve certainly had vacancies, I recently went almost two years without one. Then I had one tenant of more than five years give notice because he had finally been able to purchase a house of his own. I was disappointed to lose an excellent tenant but I really couldn’t complain. Not two days later I had a call from another good tenant; she had to move out due to a family emergency. I suddenly had two vacancies – the law of averages had reared its ugly head.

A Priceless Commodity

Imagine a slumlord in that situation. His reputation will keep the good tenants away and he is left with the dregs that can’t get anyone else to rent from him. Fortunately I’m not in that situation – it’s just the opposite.

I immediately put the word out to my network that I had two rentals available. One was ready to go as soon as I changed the locks, the other needs to have a few things taken care of and it was time for new carpet. Within forty-eight hours I had received numerous calls on both properties. In the first case my long-term tenant actually found not one, but two prospective tenants for me. The one I selected is so anxious to move in that my total downtime on the rental will be ten days. The second house is actually paid through the end of September and I am in the process of selecting a tenant for an October 1st move-in.

Why did I have so many people calling me? It’s not because there are no other rentals or because they’re priced too low. The rents are right at market and there are enough properties available that people have a choice. The reason is that this is a small town and I have developed a reputation as a landlord who is fair, but firm, maintains the houses and treats tenants with respect. Want to have a low vacancy rate in your properties? Then develop a stellar reputation in your community.

It takes many good deeds to build a good reputation, and only one bad one to lose it. – Benjamin Franklin

Photo Credit: boliyou

Bottom line? It’s always a good time to buy, says expert

2010-09-25T10:40:00.000-07:00

Beyond the numbers

By Dianne Daniel Special to QMI Agency

Recent interest rate activity has left many homeowners and buyers wondering whether to buy, refinance or lock in. To shed some light on the subject of pricing trends and rate activity, Homes Extra caught up with Lois Volk, a mortgage broker with Invis Inc. Here’s what she had to say.

Q: What’s the best mortgage strategy right now?
Variable or fixed rate? A: It depends a lot on the individual situation. First-time buyers are more inclined to choose a five-year fixed rate because they know what the payment is going to be for the next five years and it helps with their budgeting. But for second time purchasers there’s a lot more interest in the variable rate. Right now the spread between the variable rate (2.3 versus 3.79) amounts to about $200 a month on a $250,000 mortgage payment. So it’s really hard to argue that they should lock into a higher payment, but it’s just a guessing game as to how long these exceptionally low rates will last. If they’re going to be in a real tight budget situation than maybe they should be looking at the fixed rates.

Q: What if rates go up? Will I still be okay?
A: Risk tolerance is real big factor here. Some people won’t sleep at night if they know their mortgage payment might go up. So they’re a better candidate for a fixed rate and I have no problem selling a five-year fixed rate at 3.79 — it’s an excellent rate. But the economists will tell you that 80 to 85% of the time you’ll come out ahead with a variable rate mortgage. When I’m working with clients who want a variable rate mortgage, I always show them the cost if the mortgage goes up a per cent, and another per cent, and another. We have prime rate now at three per cent, it’s not unlikely that it could go to five or six per cent over the next five years.

Q: Is now the time to lock in my rate?
A: There’s no panic. Personally, I think you’re going to be okay with a variable rate mortgage for the next year, possibly more, but nobody has any idea what’s going to happen after that. In any variable rate mortgage you can lock in to a fixed rate at any time and the shortest term for a variable rate is three years. If you’re taking a variable rate mortgage, we suggest you pay based on a higher rate (for example, the bank’s qualifying rate of 5.39). That way you build in protection if the rate does go up, plus you’re paying off a big chunk of your principal in the meantime. The other thing to consider is there are a number of lenders offering split term mortgages where you can do part of it at a fixed rate and part of it at a variable rate. So if you’re a bench sitter, or a couple where one wants variable and one wants fixed, you can split it in half.

Q: Should I be considering refinancing?
A: I’ve actually been doing a lot of refinancing lately, partly because the interest rates are very low but also because the economy has left people in tighter situations. A lot of people refinance to consolidate debt; they’ve got credit cards and loans at higher rates with higher payments and in those cases it can be very much to their advantage to refinance at a lower rate with a longer amortization. There are a number of reasons why people will refinance (to buy a cottage, to invest, catch up on RSP contributions) and a mortgage is still the cheapest way of borrowing.

Q: Is now the time to buy?
A: Generally prices have come down across the country. In Toronto, it depends on the neighbourhood. If you can afford it and you want a house, it’s always a good time to buy.

The Canada Mortgage and Housing Corp. and many large real estate brokerages are predicting a more normal and well-paced market.

Rookie mistakes to avoid when buying a home

2010-09-23T06:38:00.000-07:00

They’re often heedless, emotional, rigid and, even worse, uninformed.

September 22, 2010 VIVIAN SONG

Experts say they see the same rookie mistakes in first-time homebuyers who are entering the housing fray: they don’t do their research, underestimate their finances, and let their emotions carry them away.

But with falling house sales and declining prices in the GTA, first-time buyers may find that market conditions are currently in their favour.

“We’re moving towards a balanced market right now,” said Mark Salerno, GTA district manager at the Canadian Mortgage and Housing Corporation (CMHC). “Because the pace of sales has slowed, houses remain listed for longer, which gives people more time to do research, and do their homework without any pressure.”

To help first-time homebuyers avoid making the same rookie — and costly — mistakes as their predecessors, experts at CMHC and the Toronto Real Estate Board have provided some helpful advice on common homeowner traps.

Mistake 1: Jumping into homeownership without understanding the implications.

Just because market conditions seem ripe doesn’t mean you’re ready to become a homeowner. If you’re a renter, the first thing to do is check the terms of your lease agreement, says Bill Johnston, president of the real estate board. What are the conditions of termination? Can you sublet?

“Fifteen-hundred dollars in rent can be a significant burden if you suddenly find that you’re stuck,” he said.

The CMHC also reminds first-time buyers that being a homeowner means being responsible for all payments, repairs and maintenance, which requires additional time and money. If you have an unstable jog, or if you’re not prepared to deal with leaky pipes or spend the weekend shovelling and painting, you may want to reconsider buying.

Mistake 2: Not getting pre-approved.

Shopping for a home without getting pre-approved could dash your dreams if you set your sights on houses that are out of your price range: you need to know how much you can afford to play with.

One of the first orders of business is to get pre-approved by a lender. Your pre-approval will depend on your gross household income, down payment, credit history, assets and liabilities. Online mortgage calculators can give you a rough idea of your maximum loan amount.

The general rule lenders use to determine your maximum mortgage is that your monthly housing costs — mortgage, taxes, heating and other expenses — should not exceed 32 per cent of your gross monthly income. Secondly, your debt load should not be any more than 40 per cent of your gross monthly income, which includes housing costs, car payments and credit card payments.

Mistake 3: Underestimating the costs.

Don’t forget that in addition to your mortgage, the closing costs for sealing the deal can range from 2 to 5 per cent of the home purchase price. That includes lawyer fees, home inspection, deposits, land-transfer tax, moving expenses, property tax and home insurance.

If you’re buying a house, chances are you may have to purchase major appliances, furniture, window treatments and lawn or snow-clearing equipment, as well as connection fees for cable TV, phone and Internet. If you’re buying a condo, you have to factor in maintenance fees.

It’s also estimated that maintaining your house will cost 1 per cent of the home purchase price per year.

Mistake 4: Having preconceived notions of downtown or suburban living.

Here’s where our experts are divided. Although the knee-jerk reaction may be to look farther afield to the suburbs to get more bang for your buck, first-time homebuyers need to look at the whole picture, advises Salerno of CHMC.

“If you work in the city, while your house may be more expensive, the proximity may mean you don’t need two cars, or before- and after-school programs for the kids,” he said. “I would caution people to really think about the time it takes to live in the suburbs.”

He also reminds prospective homeowners that condos usually come with amenities, such as swimming pools and gyms, and are also typically close to city parks.

Johnston, on the other hand, advises expanding your horizons and keeping an open mind about location. A knowledgeable realtor, for instance, could find the exact home you’re looking with all the amenities you need — just in a different neighbourhood than you wanted.

“A realtor will give you options,” he said. “For instance, I ended up in Richmond Hill and I swore there was no way I would live north of Steeles Ave. But I love it.”

Mistake 5: Not considering the resale value of the home.

“One of the things with homebuying is that you have to step back and recognize that while you are moving into the house now, you will move out years later,” Salerno said.

Try to look at the house objectively, experts say. In addition to considering how it fits your needs, consider if it could also fit the needs of future homebuyers, such as families and couples. Although a nearby railway or highway may not disturb your sleep, it may be a major deterrent for future buyers.

Check zoning and development plans for the area, especially if there are vacant lots, empty fields or underdeveloped areas.

Take a drive through the neighbourhood and check out the level of amenities nearby, such as grocery stores and shopping, as well as the quality of schools.

Mistake 6: Not shopping around for the best mortgage.

Don’t make the mistake of bellyaching about your high-interest mortgage because you didn’t take the time to shop around.

Mortgage brokers are great resources because they will act on your behalf and try to secure the lowest possible rate. Because they’re paid by the lender, there’s no additional fee for you.

You may also miss out on valuable first-time homebuyer incentives if you fail to do your research. For example, the federal government introduced a First-Time Homebuyers Tax Credit last year that could provide up to $750 in federal tax relief for eligible buyers.

For those who buy a fixer-upper, you can also apply for a home renovation mortgage, or purchase plus improvement, which lets you finance the purchase and renovations as one loan.

“Everyone is frenzied in the homebuying process,” Salerno said. “The buyer wants to get into the house and the realtor doesn’t want to lose the sale, which can result in all parties missing opportunities.”

Mistake 7: Not doing a home inspection.

Here’s where the adage “Don’t judge a book by its cover” applies. Don’t be fooled by the little old lady who reassures you the house is a well-oiled machine.

Behind shiny new, stainless steel appliances could lurk rotting wood, busted pipes and families of rats. You’re already plunking down wads of money to buy your dream home; you don’t want another loan to fix things you never knew were broken.

If you find yourself in a bidding war, no matter how much you want the house, don’t make the mistake of forgoing the home inspection as a condition of purchase.

Mistake 8: Letting your emotions dominate.

Homebuying can be an emotionally charged event, especially for first-timers who are making the biggest purchase of their lives. But letting the heart overrule the head can cloud your judgment and end up costing you dearly.

“The mistake a lot of buyers make is that they get caught up in the frenzy of the marketplace, which is driven by fear and greed,” Johnston said. “Buyers who are lined up in multiple offers will then end up paying too much for a property.”

Take advantage of today’s quieter market, but do your research first.

First-Time Home Buyers Tax Credit (HBTC)

2010-09-10T06:31:00.001-07:00

The First-Time Home Buyers Tax Credit (HBTC) is one of the measures provided by the federal government in 2009 to encourage investment in Canadian housing.

For 2009 and subsequent years, the HBTC is a new non-refundable tax credit, based on an amount of $5,000, for certain home buyers that acquire a qualifying home after January 27, 2009 (i.e., generally means that the closing is after this date).

The HBTC is calculated by multiplying the lowest personal income tax rate for the year (15% in 2009) by $5,000. For 2009, the credit was $750. Each year, the credit is recalculated, so it may be higher or lower than previous years.

How do you qualify for the tax credit?
You, and anyone you purchase the home with, must be considered a first time home buyer to be eligible for the tax credit. The home must be used as your principal residence, and if you purchase with your spouse, common-law partner, or even a friend, then either one of you can claim the credit (or share it). However, the combined total cannot exceed $750.

If you are a person with a disability or are buying a house for a related person with a disability, you do not have to be a first time home buyer. See the Government of Canada website for further details.

What is a qualifying home?
To qualify for the First-Time Home Buyers Tax Credit, a home must be a housing unit located in Canada, including mobile homes, condominiums and apartments. A share in a co-operative housing corporation that entitles you to possess, and gives you an equity interest in, a housing unit located in Canada also qualifies. However, a share that only provides you with a right to tenancy in the housing unit does not qualify.

Also, you must intend to occupy the home or you must intend that the related person with a disability occupy the home as a principal place of residence no later than one year after it is acquired.

How to Claim the First-Time Home Buyers Tax Credit?
First-time homebuyers purchasing a home may claim the HBTC on their income tax returns. Starting with the 2009 taxation year, line 369 is incorporated into the Schedule 1, Federal Tax to allow you to claim the credit in the year in which you acquired the qualifying home.

The home must be registered in your or your spouse's or common-law partner's name in accordance with the applicable land registration system.

Claimants should ensure that documentation supporting the purchase transaction is available if requested by the Canada Revenue Agency. Claimants are also responsible for making sure that all applicable eligibility conditions are met.

Keep the HBTC in mind when you consider buying a Canadian home. It’s just another great reason to take the final step of real estate home ownership.

For more Information visit: http://www.cra-arc.gc.ca/gncy/bdgt/2009/fqhbtc-eng.html

The changings face of CREA's realtors campaign | Marketer News

2010-08-26T07:22:00.000-07:00

The changings face of CREA's realtors campaign | Marketer News

Equine Therapy in Action!

2010-08-22T11:00:00.000-07:00

6 Ways to Tell If Your Real Estate Agent Is Lying

2010-07-27T12:43:00.000-07:00

6 Ways to Tell If Your Real Estate Agent Is Lying

RECO decision heralds new rules about basement apartments

2010-07-26T08:02:00.000-07:00

Bob Aaron bob@aaron.ca
July 10, 2010

A discipline decision by the Real Estate Council of Ontario (RECO) earlier this year has established what may be a new disclosure standard for real estate agents dealing with basement apartments and land surveys.

Back in 2006, Richmond Hill real estate agent Sean Marandi listed a property for sale. In the published listing, it was described as a “magnificent house . . . elegant design with two apartments in the basement ($1,150 income) . . . three fridges, three stoves . . . Seller and agent do not warrant the retrofit status of basement apartment.”

Two days after the listing was published, Marandi drafted an offer on behalf of a buyer. He had advised the buyer that the property would be an excellent purchase for investment purposes because the previous owner had built a separate entrance to the basement.

The buyer signed a dual representation acknowledgement confirming that Marandi and his brokerage represented both buyer and seller.

In preparing the offer, Marandi did not insert a clause to ensure that the buyer was fully informed of the legality and suitability of the basement units for his intended use.

The offer did, however, contain a clause requiring the seller to provide an existing land survey of the property. That was never done.

Shortly after closing, the municipality informed the new owner that the basement entrance and basement apartment did not comply with the building code, and it issued a violation order against the property.

The cost of remedying the faulty construction of the basement door came to about $50,000. On top of that, the tenants took the buyer to what was then known as the Ontario Rental Housing Tribunal due to problems with the door.

Eventually the owner was forced into bankruptcy when the tenants stopped paying rent.

RECO filed discipline charges against Marandi for breach of its code of ethics. At a hearing in March, Marandi admitted to unprofessional conduct when he failed to verify the status of the basement apartment and failed to follow through with delivering a land survey to the purchaser.

The RECO discipline panel ruled that Marandi acted unprofessionally by not inserting a condition in the offer to ensure that the buyer received information or assurances about the legality of the basement apartment before the offer became binding. Marandi was ordered to pay a penalty of $7,500 and take a course in ethics and business practices.

Based on my reading of the case, it seems that in similar circumstances, potential purchasers have a right to expect very high disclosure standards from their real estate agents:

• Agents are now required to verify the legality and/or intended use of basement apartments with the municipality before offers are submitted.

• Agents can no longer insert clauses into offers stating that they and the seller “do not warrant the retrofit status” of basement apartments (a common practice at present).

• Agents are now required to “follow through” and ensure that buyers will promptly receive a land survey if the offer provides for it.

In a 2004 Ontario court decision in a civil case for damages, the judge ruled that agents have a positive duty to tell purchasers whether a basement living unit might not comply with the municipal bylaw. He wrote in his judgment that an agent must fully and fairly disclose to his clients all material information regarding the property.

The Marandi discipline decision echoes that high standard of full disclosure in offers to purchase. In future, disclosures should avoid words indicating that there is no verification of retrofit status, in favour of a blunt statement, such as “The purchaser acknowledges that the basement apartment is illegal.”

My colleague Merv Burgard, a London, Ont. lawyer who lectures extensively to real estate agents, tells me of a careful Brampton real estate agent whose advertisements often read “illegal in-law suite.” Hopefully, this degree of honesty and disclosure may soon become common practice in Toronto.

“When in doubt,” Burgard tells his students, “tell the whole truth, and warn (buyers) of the risks.”

***

RECO DECISION http://www.reco.on.ca/publicdocs/20100315_30735.pdf

and

http://ww.aaron.ca/columns/marandi decision.pdf

--------------------------------------------------------------------------------
Bob Aaron is a Toronto real estate lawyer. He can be reached by email at bob@aaron.ca, phone 416-364-9366 or fax 416-364-3818. Visit the column archives at http://aaron.ca/columns/toronto-star-index.htm for articles on this and other topics.

Tips For Getting The Most For Your Home When Selling.

2010-07-26T07:14:00.001-07:00

In any real estate market, prepping your home so that potential buyers see it in its best light can mean that your home sells more quickly and possibly at a better price. Here are a few simple steps that can yield big dividends:

Check the curb appeal – make sure that the front yard and front porch / entrance way is clean and free of any messy looking items such as recycle boxes.

Get it fixed – repairs are important: make sure that bathroom tiles are not cracked, or the kitchen faucet doesn’t drip, to give two obvious examples.

Spruce things up in the kitchen – if this room is in need of a remodeling, you can update the space quickly and inexpensively with new curtains, new cabinet knobs, and a fresh coat of neutral paint.

Thoroughly clean – you may wish to hire a professional cleaning service to ensure that everything in your home from floor to ceiling has been carefully cleaned and/or dusted. Power-washing the exterior is also a good idea. Make sure rooms are free of extra clutter.

Brighten up your home – very clean windows and higher wattage bulbs do wonders for making a space seem airier and bigger.

Don’t get too personal – anything directly connected to you should be stashed from sight, such as toiletries in the bathroom or framed family photos, so that potential buyers can easily imagine themselves living in the home.

Always be sure to use a qualified Realtor when selling your home.

Toronto Area there are five active public real estate companies

2010-07-21T06:07:00.000-07:00

Will the GTA be flooded by PPP opportunities?
In the Greater Toronto Area there are five active public real estate companies: Build Toronto, Toronto Lands Company, Waterfront Toronto, Ontario Realty Corporation and Canada Lands Company owner of Downsview Park. Each organization has been established to develop and manage public property in order to generate a sustainable revenue stream or enhance the value of its assets or both.

Build Toronto

The newest of these organizations Build Toronto announced that it is open for business today, May 12th at the Toronto Board of Trade. It was established in 2009 by the City of Toronto under the direction of Mayor David Miller.

Build Toronto has a portfolio of 31 properties representing hundreds of millions of dollars worth of real estate. The properties include underutilized transit land, parking facilities, libraries, police stations as well as the City’s residential properties.

Four large projects have been identified by Build Toronto as its first priority in the search for Canadian and International investors to partner in unlocking the market value of these sites. The properties include:

(1) A 54-acre location next to the Downsview subway station.

(2) 154 Front Street at the corner of Sherbourne and Front in the St. Lawrence neighbourhood in downtown Toronto.

(3) A 24 acre industrial property off the QEW highway near Islington Ave. and Lakeshore Blvd. in the city’s west end.

(4) 4050 Yonge St. an under underutilized 2 acre site projected for a 450,000 square foot development at the corner of York Mills Rd. and Yonge St.

All of these are Class A locations with extraordinary development potential. Under the direction of the Build Toronto Board, which includes leaders in Canadian real estate industry, Build Toronto seemed destined to find suitable partners that will see the properties developed.

In addition to Build Toronto there are four other public real estate companies. They are:

Toronto Lands Company

The Toronto Lands Corporation was created in September 2007 and incorporated in April 2008 as a wholly-owned subsidiary of the Toronto District School Board. The TLC’s mission is to maximize the Toronto District School Board’s real estate revenues in order to reinvest in TDSB schools and students.

Shirley Hoy, CEO of Toronto Lands Company said her organization is expected to generate a $30-million surplus annually for the Toronto School Board.

Waterfront Toronto

The Waterfront Toronto website says that it is building the largest urban revitalization project in North America. It is mandated by the three levels of Government each equally represented on its Board of Director to develop the publicly owned waterfront lands in downtown Toronto.

Ontario Realty Corporation

The Ontario Realty Corporation manages one of the largest real estate portfolios in Canada, consisting of approximately 6,000 buildings and structures and over 80,000 acres of land across the province. The portfolio includes a wide variety of properties ranging from detention centres to office space, courthouses and heritage buildings.

Its major projects in Toronto include 222 Jarvis St., the Keele-Wilson Provincial Campus Redevelopment and the West Don Lands Flood Protection Platform.

Canada Lands Company

Canada Lands Company Limited is an arms length, self-financing Crown Corporation reporting to the Canadian Parliament through the Minister of Transport, Infrastructure and Communities.

In Toronto CLC owns the CN Tower and several downtown office locations as well as other properties listed on its website.

Downsview Park in Toronto is a 572 acre property that was taken over by the Federal Government after the Canadian Forces Base on the property was closed in 1994. It is operated by PDP a crown corporation and subsidiary of the CLC established in 1999 that received full ownership of the Park in 2006.

While Build Toronto is well positioned to succeed with a strong Board of Directors and an exceptional portfolio of properties all five of these organizations are competing in the same jurisdiction for essentially the same partners and investment.

Does the presence of the five public development organizations work to their advantage or will the GTA becoming flooded with public private opportunities? Could flooding the market dilute the value of the opportunities to the development organizations and the public?

The Miracle is You - Kute Blackson (OFFICIAL Music Video)

2010-07-16T11:44:00.000-07:00

Protecting Your Privacy While Your Home is on the Market

2010-07-14T14:19:00.000-07:00

Numerous people are likely going to spend a considerable amount of time browsing through your home while it is on the market. If you are living in the home while it is for sale, your personal things will be on show too and potential buyers might look through drawers and other items that are inside your home. Your privacy and security may become an issue when showing your home, so it is important to consider all your options before you welcome someone into your home.

For many individuals, it is very important for them to protect their privacy, while others are simply concerned that buyers will make assumptions about them and judge them instead of simply judging their home. However, the importance of protecting your privacy is all the same and that goes for anything personal from financial information, such as cheque books to bank statements and personal letters.

Protect your documents
Keep in mind that a potential buyer may open cabinets or drawers—this is not considered snooping. Buyers can innocently tug on a drawer to inspect its construction or depth and find important documents that you might not intend for anyone to see.

Don't leave mail where anybody can find it
Many sellers make the mistake of leaving piles of opened mail neatly stacked on the kitchen counter or somewhere else in the home. By leaving your correspondence out on the table, a potential buyer can find out about your credit card debt, whether you have filed for bankruptcy and other private information that you probably don't want the seller to be aware of. Not only is this an invasion of your privacy, it can also change the offers that you receive from buyers. If you have a stack of mail from a collection agency, the buyer will know you are desperate to make a sale and will likely propose far under the list price.

Remove personal effects from your walls
From diplomas and religious artifacts to wedding certificates and personal photos, don't provide buyers with any personal information about yourself or your family. De-personalizing is also an important move to make when staging your home for sale anyway, so you can actually accomplish two things by removing the personal effects from your home.

Don't leave your computer up and running during showings
Gaining personal information from your computer takes only minutes for a professional hacker or thief, so be proactive and turn your computer off before potential buyers arrive.

Before you put your home on the market, empty out drawers, stage closets and pack up anything personal including medications. Disassociate yourself with your home—remind yourself that it is a house—a product to be sold on an open market that is bound to see plenty of new faces throughout the term of the selling process.

Consider renting a locker at your local bank and store away your jewelry and other valuable items. It is better to be safe than sorry.

Toronto real Estate Market 2010 - Report

2010-07-14T14:10:00.000-07:00

The Canadian resale housing market is now moving towards a balanced market, rather than the seller’s market we have been in for most of the past year.

For the first time in almost a year, inventory increased in June/July. With more homes to choose from, many home buyers have been making less-aggressive offers. This has resulted in less upward pressure on the average selling price.

In a stabilizing market, consumers need to rely more on the expertise of a REALTOR® because prices are highly local and competitive.

Just back from Chicago - & if your going !

2010-07-13T07:13:00.000-07:00

Peter Tarshis
Just back from Chicago & stayed at the Westin Ohare ~ the hotel was great, affordable & I was well looked after + also heard great reviews from the other 700 ppl who also stayed there while attending the Spiritual Awakening (SA) conference held at this hotel.

The amazing things about the city is how they have protected & developed their large waterfront for the people not greedy developers. The elevated 'clean' subway ride ($2.50) took us right downtown just a 2 blocks walk from the Westin Ohare.

One day I took advantage of the nearby forest preserve for a 'get away from it all' walk.

Great hotel, helpful staff, grateful all my requests were looked after including top floor with a view.

If your going to 'Sweet Home Chicago' I definitely recommend this Westin Hotel.

O'Hare Hotel - The Westin O'Hare
www.starwoodhotels.com
The Westin O'Hare is in the heart of Rosemont, Illinois conveniently located to Allstate Arena, Donald Stephens Convention Center, Harey Caray's Restaurant and Chicago O'Hare International Airport

--
"HELPING YOU IS WHAT I DO"

I Believe in building relationships.
I am here to meet your needs
- to Serve & Protect - Your Investment.

As a Real Estate Consultant I am dedicated to the Real Estate Investor & Home Owner
- who is willing to work for one of the most precious things in the World
- Freedom.

Peter Tarshis

Royal LePage Real Estate
55 St. Clair Ave. West
416.921.1112 x 574 office/pager
416.921.7424 fax
1.800.622.9536 toll-free

416.705.1181 cell/text

See Peter on:
www.PeterTarshis.com
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A referral is a big responsibility...it is also the biggest compliment a client can give me and is never to be taken lightly. I pledge to treat everyone that is referred to me with the utmost level of respect and professionalism.

Thank You for Your Trust.

Buying an Old House! A Money Pit or Gold Mine?

2010-06-25T06:09:00.001-07:00

By Peter Tarshis Toronto Realtor

It’s like a love affair; some older homes make your heart skip a beat! It is hard not to fall in love with an older home’s historic unique architecture, gabled roofs, hardwood floors, crown moldings, and antique light fixtures—older homes definitely have their charm.The plastered walls, leaded glass windows, original chandeliers, and oak paneling make an old home as attractive as it can possibly be. If you found your love you should be aware of the following money pitfalls of old houses. You do not want to discover that beneath the surface of your dream home lays a dilapidated wreck.

This article provides you with some valuable tips to help you identify potential problems and some renovation rules, should you decide that this love affair is going to be your Gold Mine.

Foundation
The foundation is the most important aspect of any home especially for older ones. One problem that is common for older homes is called the “sulphate attack”. This can occur as a result of a chemical reaction between the soil and the concrete, which causes the foundation to crack and crumble and that can be very problematic. Another major concern with older homes is that the centre beam of the home can begin to sink. This can result in a sagging roof, bowed walls, and sloping floors. If the old house has a bad foundation then renovating it can be very expensive where the cost can range from several thousand dollars to $50,000 depending on the size of the home. Also, in some cases, one might need to jack up the house to replace the foundation and shore up the centre beam.

Electrical Wiring
When buying an older house, it is very important to find out if there are any problems with the state of the electrical and lighting system. Do the lights flicker? Is the current steady or do the lights fluctuate between bright and dull? Is there adequate lighting in the home? It’s important to have the wiring carefully inspected. Also, many older houses use aluminum wiring, which is cheaper than copper wiring but it is a serious fire hazard. Ensure that you factor the cost of rewiring into your offer price. Also, you should consider whether there are enough outlets in the home to suit the needs of a modern household. Install more outlets in order for you to run a number of devices at once like a television, computer, stove, etc.

Lead Paint
In older homes, lead paint is very common as lead was used as a white pigment in paint until the mid-1950s. If you are planning to repaint the home, call in a professional renovation firm as they know the safety precautions needed to be taken when repainting the house. Children and pregnant women should not be in the home during renovations.

Asbestos
Asbestos is a mineral that makes a very effective fire and heat-resistant material that was discovered to cause lung disease. When the tiny particles of this mineral are inhaled, over a period of years they begin to damage the tissue of the lungs. In old homes, asbestos was used in carpet underlay, textured paints, roofing felt, electrical wiring insulation, acoustic ceiling material and insulation. Getting the house checked for asbestos is very critical.

Galvanized Pipe
Galvanized pipes are known to rust very quickly. Most insurance companies now refuse to cover water damage caused by leaks in a home with galvanized pipes.

Condition of the Older Home
Just like people, years will eventually take a toll on homes as well. An older home may begin to sag and slope, which is why it’s very important to know about the conditions of the house you’re planning on purchasing.

Older homes may be beautiful, but they aren’t designed for modern living without a total update or upgrade. Make sure the house structure can be modified easily to suite a current living style.

For older homes, renovations are a challenge. To determine the price you are willing to pay, add up the estimated costs to renovate the property based on a thorough assessment of the house. Then, subtract that from the home’s market value after renovation. Allow for an additional 5% for cost overruns and unforeseen problems plus inflation.
Preserve the Charm of Your Old House

If you have already fallen in love with this old house, then make sure you follow the golden rules in repairing your dream home and preserve its historic features and value.

The golden rule of remodeling is, “do no harm”. As you update your older home, make sure to preserve its historic details. Reuse existing materials. Keep historic moldings and hardware. Wire gas lamps for electricity. Keep distinctive examples of craftsmanship. Restore marbling, stenciling, and carvings.
Don’t try to undo long-ago renovations. Most buildings change over time, and alterations to your house may have historic significance in their own right.
Whenever possible, repair rather than replace. Don’t throw away that old claw foot bathtub—have it re-glazed. Fix damaged doors, refinish old cabinets and patch cracking plaster.
If historic features cannot be repaired, look for a similar item at an architectural salvage centre, or buy a new item that matches the old in design, colour, texture, and other visual qualities.
And best of all make sure you hire a contractor that shares your passion and understands your love affair with your old house.
Good luck, you may have found your Gold Mine

Is an Open House Worth the Effort?

2010-06-25T06:02:00.000-07:00

Open houses require a lot of preparation and are inconvenient to the home occupants and the selling agent. Many agents now refuse to hold open houses, considering them a waste of time and a security threat. And many sellers prefer to open their doors to serious buyers only.

Holding an open house might help you sell your home, but it is not the most important factor to consider. An open house is usually not the major marketing tool that agents rely on when they are trying to sell a property.

Many real estate agents believe that open houses serve more to attract semi-interested prospects rather then serious buyers. Agents admit that few sales traditionally come from open houses. As well, the Internet is also making open houses even less valuable.

But there are agents and homeowners who view open houses as an effective marketing tool that does help with sales.

So is an open house worth the effort?

There are times when an open house is not practical at all, such as if a house is off the beaten path, or in a gated community. Likewise, it might be best to avoid an open house on a shabby listing or one that requires a lot of work. It probably won't get much traffic, and agents will be reluctant to have their name advertised heavily in association with it.

However, an open house can be a valuable opportunity to get feedback about what is and isn’t attractive about a house. But it is not a good idea to hold them too often, as it can send a signal that the house is “market worn” and a tough property to sell.

On the other hand, in a hot sellers market where houses are selling rapidly, there is no need for an open house. If the MLS listing and posting pictures on the internet are already generating enough traffic to help you sell your house an open house is also no longer necessary.

The development of internet listings and other online real estate information is quickly making open houses more of an option, rather than a requirement for selling a home.

Many agents believes that an open house is only worth having if it's done properly and this includes sprucing up the house and its landscaping and advertising it well in advance.

If you’re planning an open house:

Clean like crazy beforehand, preferably with good-smelling organic cleaners that won’t upset anyone’s allergies.
Clear out the clutter, pets, toys and even extra cars from the garage.
Draw back the drapes, clean the windows and remove the screens so the most light shines in.
Mow the lawn, trim the hedges and put some blooming flowers in pots by the doorway.
To increase traffic, try some unusual marketing strategies, like holding your open house during rush hour, or coordinating your open house with others in the neighbourhood.

On Your Way Into the Office - 21 Ways to Pray at Work- Beliefnet.com

2010-06-21T14:39:00.000-07:00

On Your Way Into the Office - 21 Ways to Pray at Work- Beliefnet.com

Canada Market Watch – June 2010

2010-06-18T05:21:00.000-07:00

Canada's Hot Resale Housing Market Starting to Cool

Home sales activity in Canada came up short of the record for the month of April and new listings continued to climb, according to statistics released by The Canadian Real Estate Association (CREA).

“Many of the sales that would normally have occurred in May were pulled back to April, due to buyers trying to avoid the May 1st transitional implementation date for the HST, as well as new mortgage regulations that came into effect April 19th,” said Ottawa Real Estate Board President Pierre de Varennes. “Buyers knew they would be paying 8% more for all of the service costs associated with a real estate transaction if their closing date was after July 1st, and that it might be more difficult to qualify for financing, so they moved quickly to avoid either situation. In addition, by comparison May 2009 was a record-breaking month as the floodgates opened on pent-up demand following the brief downturn in the market,” he added.

In general the Canadian real estate market is moving towards a balanced market where inventory is increasing well to meet demand. Buyers, sellers and REALTORS® can all relax and enter a sales transaction without pressure.

The easing trend in national sales activity masks a rising trend in a number of major markets. Real estate is local, so buyers and sellers should engage the services of a REALTOR® for knowledge about housing market trends in their market. For sellers, getting specific advice about home values in their local neighbourhood is crucial in a competitive market.

Bank of Canada raising interest rate - June 1 2010

2010-06-01T06:48:00.000-07:00

The Bank of Canada raised its benchmark interest rate for the first time since 2007, saying inflation is unfolding as expected and that spillover from the European debt crisis has been limited, while stressing there remains “considerable uncertainty” about an “increasing uneven” global recovery.

With his much anticipated decision to lift the central bank’s overnight rate by one-quarter of a percentage point to 0.5 per cent after more than a year at a record low level, Governor Mark Carney has become the first central banker in the Group of Seven to tighten since the financial crisis and recession began in 2008.
In a statement on the move, however, Mr. Carney and his rate-setting panel sought to emphasize that investors should not necessarily interpret the increase as the first in an uninterrupted series.

``This decision still leaves considerable monetary stimulus in place, consistent with achieving the 2 per cent inflation target in light of the significant excess supply in Canada, the strength of domestic spending and the uneven global recovery,’’ the central bank said Tuesday. ``Given the considerable uncertainty surrounding the outlook, any further reduction of monetary stimulus would have to be weighed carefully against domestic and global economic developments.’’
The central bank’s statement touched on themes that will no doubt be front-and-centre at the Group of 20 leaders’ meeting in Toronto at the end of June, where Canadian officials have said they will be pushing for continued efforts to smooth out the global imbalances that exacerbated the slump that much of the world is still clawing out of.

``The required rebalancing of global growth has not yet materialized,’’ the bank said, contrasting ``strong momentum’’ in emerging markets with recoveries in economies such as the United States and Japan that remains ``heavily dependent’’ on low interest rates and government spending.

``In general, broad forces of household, bank, and sovereign deleveraging will add to the variability, and temper the pace, of global growth,’’ policy makers said.
While flagging the possibility of ``renewed weakness’’ in Europe, where drastic spending cuts and higher borrowing costs will be the likely result of continent-wide debt problems, so far the effects of the crisis on Canada have been ``limited to a modest fall in commodity prices’’ and somewhat tighter financial conditions, the bank said.

The Canadian economy, which on Monday posted a whopping 6.1-per-cent annualized growth rate for the first quarter – the fastest in more than a decade – is ``unfolding largely as expected,’’ the bank said, led mostly by a hot housing market, higher incomes and a labour-market recovery that have helped fuel consumer spending.

Still, the central bank suggested that household spending and the economy will slow in the coming months as consumers deal with higher borrowing costs and try to limit or reduce their debt loads and as government stimulus spending fades. As a result, an ``anticipated pickup in business investment will be important for a more balanced recovery,’’ the bank said.
Inflation, which the central bank has been watching closely for months, has been in line with policy makers’ projections to exceed 2 per cent this year and reflects a combination of strong domestic demand, slowing wage increases and ``excess supply’’ leftover from the recession.

The central bank also said it is making a technical, yet significant, change to re-establish ``normal functioning’’ of the overnight market, whereby its benchmark will return to halfway between the rate it pays to chartered banks to hold deposits and the amount that it charges private-sector lenders for loans.

Spring Home Maintenance Checklist

2010-05-27T05:56:00.000-07:00

Keeping your home in top shape requires year-round care. While each season brings different tasks and challenges for homeowners, spring is an especially important time – it’s when to assess winter wear and prepare for summer.

Many big home repairs start out small but, left unattended, become more costly problems. By taking care of little issues now, you can save yourself a lot of money and stress in the long run. Keeping a list of what needs to be done, and when, can help you to avoid and prevent the most common household problems.

Many of the necessary tasks are probably easy enough for you to take care of yourself. However, if you don’t feel comfortable or don’t have the proper equipment, consider hiring a qualified contractor to help you.

Inspect your roof. Shingles that curl (turn up) and claw (turn down) can make your roof inefficient and susceptible to leaking. Check around vents, skylights and chimneys for leaks and repair as necessary.

Don’t forget to check your roof from the inside too. Look in the attic for any signs of moisture or surface discolouration on the underside of the roof that may point to leakage from above or air leaks coming from your house.

Get a chimney check-up. Have a professional chimney sweeper clean/inspect your active or decorative chimney. Professionals should also check the chimney flue and cap for cracks or leaking.

Clean gutters and drain pipes so leaves won't clog them and be sure they drain away from the house. Drain outside faucets.

Clean siding with a pressure washer to keep mold from growing. Check all wood surfaces for weathering and paint failure. If wood is showing through, sand the immediate area and apply a primer coat before painting. If paint is peeling, scrape loose paint and sand smooth before painting. Replace rotted siding or trim.

Check foundation walls, floors, concrete and masonry for cracking, heaving, or deterioration. If you see large cracks or a significant number of bricks losing their mortar, call a professional.

Spring is also a great time to clean your windows, screens and hardware and replace storm windows with screens. Check your screens for holes or tears first and repair or replace them if needed. Examine putty/caulk lines around exterior windows and doors and ensure weather stripping creates a good seal.

Check all decks, patios, porches, stairs and railings for loose members and deterioration. Open decks and wood fences need to be treated every four to six years, depending on how much exposure they get to sun and rain. If the stain doesn't look like it should, or water has turned some of the wood a dark gray, hire a professional to treat your deck and fence.

Prune landscaping and create good drainage. Shrubs and landscaping help against soil erosion, but should be planted to form a negative grade, which means water will flow away from the house. You don't want growth up against the foundation of the home itself.

Inside the house:

When it’s warm enough outside, turn off your gas fireplace pilot lights where possible.
Carry out the manufacturer’s recommended maintenance for your air conditioning system and ventilation equipment. Be sure to consult your owner’s manual for cleaning instructions or hire a qualified contractor.
Check your smoke, carbon monoxide and security alarms and replace the batteries.
Reopen any valves for outside hose bibs that were shut off last fall.

Toronto & Canada Real Estate Market Watch – May 2010

2010-05-27T05:00:00.000-07:00

Canadian Housing Market Continues at a Healthy and Balanced Pace
The Canadian housing market continues at a healthy and balanced pace. Many areas have registered record sales in April as buyers continued to take advantage of affordable home ownership opportunities.

“This spring market is one of the best we’ve had,” said REALTORS® Association of Hamilton-Burlington’s (RAHB) President Joe Ferrante. "The number of residential sales is the highest in any April on record, and we broke last month’s new record for the number of listings taken in a month, ever.”

Demand levels continue to be strong with the number of sales occurring being above long-term historical levels. A rise in the number of new listings coming on to the MLS® System in March and April has added to supply, especially in cities, adding further balance to the market and generally keeping any significant upward pressure on prices in check.

This strong market is expected to last through the spring, but it will probably be at the expense of the second half of the year, when the HST kicks in for Ontario and British Columbia and mortgage rates go up again.

Ontario - A Record First Quarter Sales

Toronto, May 5, 2010 – Greater Toronto REALTORS® reported 10,898 sales through the Multiple Listing Service® (MLS®) in April, representing a 34% increase compared to April 2009. There were also 20,683 new listings in April – a 59% annual increase. Both the sales and new listings results amounted to new records for the month of April under the current Toronto Real Estate Board (TREB) boundaries.

“The GTA resale market is functioning properly. Sales were high as buyers continued to take advantage of affordable home ownership opportunities. Listings grew as home owners reacted to strong sales and price growth,” said Toronto Real Estate Board President Tom Lebour. “More balanced market conditions will result in sustainable rates of annual price growth in the second half of 2010.”

The average price for April transactions was $437,600 – up 13% compared to the average of $385,641 recorded in April 2009.

“Home sales continue to be driven by many different segments of the market, with sales growth for all major home types in both the City of Toronto and surrounding 905 regions,” said Jason Mercer, TREB’s Senior Manager of Market Analysis. “Home sales will remain strong in the second half of 2010, but will slip from the current record pace as borrowing costs rise.”

Hamilton, May 5, 2010 – The Greater Hamilton-Burlington area resale market reported a total of 1,537 units sold in April, an increase of 38.2% over April of last year, according to the Multiple Listing Services® (MLS®) statistics released by the REALTORS® Association of Hamilton-Burlington (RAHB).When compared to March of this year, total unit sales were 7.3% higher in April, 2010.

Residential properties sold during April totaled 1,490, which included 1,228 freehold properties and 262 condominiums. Commercial sales for April, including industrial, farm, vacant land and business, totaled 47 units.

The average price of freehold residential properties sold in the month of April was $336,625, an increase of 11.35% over the same month last year and an increase of under 1% over last month. In the condominium market, the average price of condominiums in April was $230,186, an increase of over 7% over April 2009 and an increase of 4% from last month.

April’s total average residential sale price increased 11.1% over the same month in 2009. The total number of units listed for sale during April was 2,517, which is almost 35% higher than were listed in the same month in 2009.

Ottawa, May 5, 2010 – Members of the Ottawa Real Estate Board sold 1,841 residential properties in April through the Board’s Multiple Listing Service® system compared with 1,591 in April 2009, an increase of 15.7%. Of those sales, 425 were in the condominium property class, while 1,416 were in the residential property class.

“Last month’s sales blew away the record for April, which is always one of the busiest months of the year for our market,” said Ottawa Real Estate Board President Pierre de Varennes. “The increased sales activity may be partially due to buyers trying to avoid the impending HST and the mortgage changes that came into effect on April 19th, but also demonstrates that consumers feel confident about our local economy,” he added.

The average sale price of residential properties, including condominiums, sold in April in the Ottawa area was $332,979, an increase of 11.6% over April 2009. The average sale price for a condominium-class property was $254,220, an increase of 17.4% over April 2009. The average sale price of a residential-class property was $356,617, an increase of 11.7% over April 2009.

British Columbia – Home Buyer and Seller Activity Increases in Busy Spring Market

Vancouver, May 5, 2010 - The Greater Vancouver housing market experienced increased activity in April thanks to a steady balance of home buyers and sellers entering the marketplace.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver totaled 3,512 in April 2010, the fifth highest-selling April on record. The figure represents an increase of 18.5% compared to the 2,963 sales in April 2009; 9.1% more than April 2008’s 3,218 sales; and 3.7% more than April 2007’s 3,387 sales. April 2010 sales also represent a 12% increase compared to last month.

“We’re in the midst of another strong spring season thanks to high levels of activity on both the buyer and seller side of our market,” said REBGV’s president, Jake Moldowan,. “The number of homes coming on the market has increased significantly in recent months, which is providing a healthy level of choice for those looking to buy during this busy period.”

New listings for detached, attached and apartment properties in Greater Vancouver totaled 7,648 in April 2010, a 64.5% increase compared to April 2009 when 4,649 new units were listed, and a 9.2% increase compared to March 2010 when 7,004 properties were added to the inventory. At 15,901, the total number of property listings on the MLS® increased 17% in April compared to last month, and is up 11% compared to this time last year.

Over the last 12 months, the MLSLink® Housing Price Index (HPI) benchmark price for all residential properties in Greater Vancouver increased 18.9% to $593,419 from $499,021 in April 2009.

“It was at this time last year when home prices in our region began their recovery from the declines that occurred during the recession period,” Moldowan said.

Sales of detached properties in April 2010 reached 1,370, an increase of 15.1% from the 1,190 detached sales recorded in April 2009 and a 6% increase from the 1,293 units sold in April 2008. The benchmark price for detached properties increased 21.2% from April 2009 to $818,403.

Sales of apartment properties reached 1,526 in April 2010, an increase of 29.4% compared to the 1,179 sales in April 2009 and an increase of 15.9% compared to the 1,317 sales in April 2008.The benchmark price of an apartment property increased 16.9% from April 2009 to $397,779.

Attached property sales in April 2010 totaled 616, an increase of 3.7% compared to the 594 sales in April 2009 and a 1.3% increase from the 608 attached properties sold in April 2008. The benchmark price of an attached unit increased 16.4% between April 2009 and 2010 to $502,399.

Alberta – Housing Market Continues at a Healthy and Balanced Pace

Calgary, May 3, 2010 – Calgary’s housing market continues at a healthy and balanced pace, according to figures released today by the Calgary Real Estate Board (CREB®). The number of single family homes sold in April 2010 in the city of Calgary was up 5% from the same time a year ago, while condominium sales saw an increase of 10% from the same time a year ago. April 2010 saw 1,352 single family homes sold in the city of Calgary. This is a decrease of 3% from 1,396 sales in March 2010. In April 2009, single family home sales totaled 1,290. The number of condominium sales for the month of April 2010 was 639. This was an increase of 5% from the 609 condominium transactions recorded in March 2010.

“Continued economic optimism, improved choice and price stability are all contributing to a healthy and balanced housing market in Calgary,” says Diane Scott, president of CREB®. “Calgary’s housing market is set to simmer, not sizzle in 2010. We can be grateful that we are not facing any real danger of a housing bubble here in our market.” “There has been some talk about a bubble in some parts of Canada but the rapid price increases seen in Vancouver, Victoria and southern Ontario have not been seen in Calgary,” Scott acknowledges.

“Single family house prices are coming back nicely compared to 2009,” says Scott. The average price of a single family home in the city of Calgary in April 2010 was $460,378, showing an decrease of 2% from March 2010, when the average price was $471,269, and showing an increase of 8% from April 2009, when the average price was $426,311.

The average price of a condominium in the city of Calgary was $289,588, showing a 2% decrease from March 2010, when the average price was $296,660 and a 4% increase over last year, when the average price was $277,953. Average price information can be useful in establishing trends over time, but does not indicate actual prices in centres comprised of widely divergent neighbourhoods, or account for price differentials between geographical areas.

“Calgary didn’t see the impacts of the very low interest rates the way other areas of Canada did,” says Scott. “Calgarians are also not rushing out to beat the rate increases as they are seeing less risk of rising prices squeezing them out of the market. In fact financially, Calgarians are in a very healthy position. Just over 37% of our median pretax household income was needed to service the mortgage on a typical detached bungalow in Calgary that’s below the national average,” says Scott.

Nova Scotia -Strength in Resale Market Expected to Increase Listings

Nova Scotia, April 26, 2010 – For the sixth month in a row, the real estate market in Nova Scotia continued its trend of increases in sales and small decreases in listings, though the number of listings are expected to increase as we move further into spring. The Nova Scotia Association of REALTORS® (NSAR) reported that the number of residential units sold across the province through the Multiple Listing Service® (MLS®) System from January to March was up 23.2% compared to the same three months last year. Listings were down only 0.1%. The average price in the province was up 12.3%, with larger increases in Yarmouth and the South Shore.

NSAR President Karen Edwards who began her term in March 2010 says that the strength of the resale market will likely drive up the number of listings, resulting in a more balanced resale housing market.

“As we move into spring, those waiting for warmer weather and an increase in buyers to sell are now listing their properties. The number of listings has increased over the last couple of months and that’s a good thing – there certainly seems to be plenty of buyers in most areas of Nova Scotia,” says Edwards.

As more homes come on to the market, sellers must ensure they have an effective marketing and pricing strategy in place. A REALTOR® has access to information and tools that can assist the seller in getting noticed in a more competitive market.

Saskatchewan - April Sales Jump

Regina, May 6, 2010 – Residential property sales in April have once again exceeded 2009 levels. 387 sales were reported in April, an increase of 17% from 330 in 2009. Inside the city of Regina there were 332 sales, up 10% from 303 sales in 2009.

The monthly average sales price of $256,871 set a new high and was up 3% over the previous high of $248,234 recorded in 2009. The average price inside the city was $263,973, up 4% from 2009’s $252,826. For the year-to-date there have been 1,185 homes sold, up 18% from 2009’s 1,007 sales.

Homes sold in April were on the market for an average of 36 days before selling compared to 31 in March of 2010. Homes sold at an average of 97.2% of asking price. There were 1,336 active listings on the market at month end, including 783 in the city. There were 648 new listings placed on the MLS® System during the month, a decrease of 7% from 2009’s 696.

“In many ways the residential real estate market is a close barometer of what’s happening in the local economy. Sales in April have again demonstrated the continued strength of the local market and economy,” said Gord Archibald, Executive Officer of the Association of Regina REALTORS® Inc.

Today's Most Desirable Home Features

2010-05-27T04:43:00.001-07:00

Housing trends and styles are changing constantly. Today, more than ever, buyers have a strong sense of what they want in a home.

Today’s desirable home features depend greatly on the type of buyer. Buyers can be divided into two main groups. The first group are first-time buyers which is pretty self-explanatory. The second group are the move up buyers, which are looking to move into a home that addresses the shortcomings of their existing home. They aren't necessarily second-time buyers but they are often people that have out grown their current home. Buyer age is also a main factor in deciding the desired home features.

This article focuses on what is hot in the housing market today. Whether you are planning on renovating, selling, or you are looking for a new home, this information will help you make choices that will contribute to both your real estate enjoyment and investment.

Home Exterior
Today, stone and stucco are very popular choices. Brick is the standard material used with mass builders, but the more customized and trendy home builders are using stone and stucco on a more frequent basis.

Floor Layout
Bungalows are hot nowadays. Excessive floor level changes are no longer popular as people desire to live on one or two levels.

Room Sizes
Room sizes have been gradually increasing for a number of years. Buyers tend to place the most importance on three key rooms: the kitchen, family room and master bedroom. You can expect to see these three rooms continue to increase in size over the next 10 years while rooms such as the living and dining room are likely to get smaller or disappear altogether. Many new homes scrap the living room and instead incorporate that space into the family room or the 'Great' room.

Buyers still, ideally, desire four bedrooms in their home and would like, if possible, two living areas. One of the living areas can be the recreation room in the lower level (basement).

A master bedroom on the main floor is ranked very important for buyers 65 and older. A two-car garage with ample storage area and a main floor laundry area is desirable for move-up buyers.

Kitchen and Bathrooms
The kitchen is becoming the hub of the house. The most desired features for the kitchen include: an abundance of counter space, a butler’s pantry, deep drawers and two sinks. Stainless steel appliances are also very popular today, and in the upper end market, appliances concealed as cabinetry are very chic.

Large kitchens with an island and counter tops made of granite or marble are very desirable for move up buyers. However, this must be matched with stylish kitchen cabinets.

Luxurious bathrooms with a separate tub and multiple shower heads; pedestal sinks and large mirrors; an overall spa like feeling; attached dressing rooms and a place to sit are all desirable features. Master suite soaker tubs and whirlpools are still desirable for many home buyers, but not as important as other features.

Energy Efficiency
With the green movement becoming more popular, energy efficient appliances, high-efficiency insulation, eco-friendly treatments, and environmentally smart building plans are among the "green" features touted in homes.

Tech-readiness
Satellite and internet wired along with multiple phone jacks are what people want in today’s technology world. With today’s busy lifestyles relaying heavily on technology, even a day or two without high speed internet could be a major inconvenience.

Home Office
Today, many people would much rather have home office space than a formal dining room. Many employers are seeing the business advantages of allowing employees to work from home. As well, many people are using work from home opportunities to help supplement income because of work shortage or as an opportunity to make money online.

Outdoor Living Space
The popularity of outdoor spaces continues to grow. Patios, deck, exterior lights, fenced yard and fire pit extend the outdoor living space at home and make a great extra feature.

Other Notables
Some other notable features that home buyers consider very important when buying a home include central air conditioning, recessed lighting, hardwood flooring, energy efficiency and the potential to turn a profit should they decide to sell their home in the near future.

Today’s buyers are looking for a little luxury and features and treatments that are the highest quality their price range will permit.

Set budget for moving expenses

2010-05-25T05:23:00.000-07:00

May, 2010 -- In the last five years an average of more than 80,000 homes per year have changed hands in the Greater Toronto Area. While our reasons for changing the scenery are as diverse as the city itself, there’s no doubt that a different space or lifestyle can offer new inspiration and more importantly, an opportunity for a fresh start financially.

The key to ensuring that you begin your next chapter with a solid financial footing is careful budgeting of all costs associated with the transaction.

While many homebuyers plan for the most apparent expenses such as the deposit and down payment, mortgage insurance costs, appraisal and inspection fees, land transfer taxes and legal costs; there are a number of less obvious expenses that should also be taken into account.

Transporting your belongings is one such expense. Professional moving costs can range from hundreds to thousands of dollars so it’s best to be sure you’re comfortable with the company you’ve chosen by seeking referrals from family and friends. Even if you only plan to rent a truck, be sure that you fully understand the agreement and account for extra gas and mileage costs. Include packing supplies like tape and bubble wrap in your budget as well.

When it comes to moving, it’s wise to expect the unexpected. Since delays can happen at either end, budgeting funds for accommodations, storage facilities and additional rental fees is a must. Given that settling in doesn’t happen overnight, you should also expect the additional costs of eating take-out food for a few days. Anticipate a higher than normal grocery bill at the outset as well, as you restock staples that may have been discarded prior to your move and replenish much-needed cleaning supplies.

To make your new house a home you’ll want to set aside some funds for furniture, window treatments, light fixtures and area rugs. Even minor assorted hardware items can add up. Utility, phone, television and Internet service providers typically charge to establish a connection. As well, to provide for better security, plan to have your locks re-keyed or replace the entire lockset yourself.

As a condition of your mortgage you will need to obtain home insurance. Since premiums can vary widely, be sure to get a number of quotes. Remember as well, that if the seller has prepaid utility bills and taxes beyond closing, you will be required to reimburse them. If you’re moving into a larger space, higher ongoing utility costs should also be considered. Account for the fact that property taxes could also increase significantly if you’re a move-up buyer.

While the preparation might seem a little daunting, the benefits of your new investment far outweigh the inconveniences of moving. A home after all, is not only the sole type of investment in which you can live while it appreciates; it’s also a place to build memories that last a lifetime.

To ensure you’re well prepared for your next move talk to a Greater Toronto REALTOR® and visit www.TorontoRealEstateBoard.com where you’ll find available properties, neighbourhood profiles and the latest market statistics.

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Tom Lebour is President of the Toronto Real Estate Board, a professional association that represents 29,000 REALTORS® in the Greater Toronto Area.

Cottage inheritance: What could go wrong?

2010-05-25T04:47:00.000-07:00

Globe and Mail Update
Published on Monday, May. 24, 2010 6:00AM EDT

Last updated on Monday, May. 24, 2010 3:00PM EDT

.As Allison Marshall prepared on Friday for the drive to her parents’ cottage, succession planning was on her mind.

Ms. Marshall, a Toronto-based financial advisory consultant with RBC Wealth Management Services, was concerned that her parents had not yet made official plans for their retreat on Little Rideau Lake, north of Kingston, and planned to raise the issue with them.

Informally, the family has talked about Ms. Marshall and her sister inheriting the cottage through a co-ownership agreement. But formally, nothing is in place. “My sister and I have a good relationship, so I’m sure my parents are assuming that we’ll work it out amongst ourselves.”

Even for close-knit families, a lack of planning can lead to problems. Once parents have passed away and have stopped making the important decisions, “quite frequently, siblings don’t see eye to eye,” Ms. Marshall says. She has seen clients in disputes over the most trivial issues, including whether or not to install a dishwasher. “It can cause some very big family rifts.”

Ms. Marshall is determined not to let that happen to her and her sister. “Deciding who’s going to use it and pay for the upkeep is going to be important to lay out in the beginning so that it doesn’t affect our relationship going forward.”

Here are Ms. Marshall’s tips for avoiding family squabbles over the cottage:

Have a family meeting

Communication is key to avoiding conflicts before they arise. Having the family sit down together to engage in a frank discussion about how they see themselves involved in the property today and in the future is very important. For example, don’t assume it will be fine for everyone just to drop in whenever they please. Also, decide whether family members are allowed to bring guests to the cottage, and whether they are allowed to rent it out. If conflicts arise or are expected to arise, consider hiring a mediator to attend the meeting. The expense could be well worth it if the alternative is to sell the cottage outright.

Buy out other family members

If your family does not share the same passion for the cottage, or if they live too far away or don’t have the financial means to afford the cottage expenses, consider buying out the other person’s interest. One option may be taking out a mortgage on the property to finance the purchase. However, be careful not to overstretch your finances. A financial adviser can help to determine whether a buyout makes sense for you.

TD sees housing correction in 2011

2010-05-18T11:57:00.000-07:00

TD sees housing correction in 2011

Calgary on world's 'radar'

2010-05-17T05:17:00.000-07:00

Calgary on world's 'radar'

Estate planning can prevent devastating family feuds - KansasCity.com

2010-05-17T05:08:00.000-07:00

Estate planning can prevent devastating family feuds - KansasCity.com

Competition Bureau misguided about MLS - Yourhome.ca

2010-04-23T18:01:00.000-07:00

Competition Bureau misguided about MLS - Yourhome.ca

Buying a home is a lot different than buying an airline ticket. Yet if you read the complaint by the Competition Bureau against the Canadian Real Estate Association (CREA), you would think it is that simple to buy or sell a home in Canada, by just using the Internet for support. Unfortunately, it is not that easy.

Selling Your Home? Appeal to the Homebuyer's Senses

2010-04-14T06:24:00.000-07:00

Every seller wants his or her home to sell fast and bring top dollar. It's not luck that makes that happen. It's careful planning and knowing how to professionally spruce up your home that will send home buyers scurrying for their cheque books.

Your home will be judged not only on its outward appearance, but also on the feelings it evokes in those who view your property. Follow these simple tips to prepare your house and turn it into an irresistible home.

Sight
Use light to showcase your home. Open draperies in the daytime and turn on lights (day and night) to accentuate a cheerful atmosphere. If you have a fireplace, burn a Duraflame log. De-clutter and remove any personal photographs and any potentially offensive posters or religious signs.

Sound
Consider playing soft background music while people tour your home. If there is exterior noise, such as traffic or nearby construction, work with your sales agent to schedule showings around noisy times of day.

Smell
Make sure your home is sparkling clean. Grind a fresh lemon in a garbage disposal or boil cinnamon sticks to add a clean, fresh scent. Candles and flowers look nice and smell pleasant as well. Lingering scents of strong-smelling foods, smoke or pets should be aired out prior to showing your home.

Taste
Realtors and home stagers say that one of the most appealing smells to people is fresh baked cookies. Bake a small batch of cookies before every showing (or at least on the weekends when there will be multiple showings). This not only adds a pleasant scent to the home, but also adds to the hospitable home atmosphere. Potential homebuyers may also appreciate a cookie or lemonade.

Add a human touch
Your home should appear livable. Update the look by making simple changes like rearranging furniture and accessories, painting, and adding stylish and practical pieces.

Buyers who come with agents are more at ease when the owner's not around, so it is best if you take your children and pets on a short walk during the showing. To ensure your safety, remember to remove keys, jewelry and other valuables from your home during showings.

The key to getting your house sold is to make it stand out from the comparable real estate properties around you. This process is best done by making an emotional lure with a lot of bait. That bait comes in the form of unique characteristics of livability. Use plenty of hooks, and people looking to purchase a home will swarm to your bait and take it.

Canada Real Estate Market Watch – April 2010

2010-04-14T06:13:00.000-07:00

Residential Resale Market Maintains Momentum
The spring market kicked off early and strong this year, possibly boosted by the unseasonably warm weather and absence of snow in March. Inventory is still lower than at this time in 2009, but has begun to increase slightly in recent months.

“The strong rebound in the existing home market was one of the initial drivers of economic recovery,” said Toronto Real Estate Board President Tom Lebour. “While we don’t expect to see the same rates growth moving forward, GTA households will remain confident in ownership housing as a quality long-term investment, especially as economic recovery expands across all industries.”

Most major banks raised their fixed mortgage rates in late March and the Bank of Canada has warned that interest rates will rise again after the second quarter. Many buyers are hurrying to lock in rates and find a home before the more stringent qualification requirements for mortgages come into effect on April 19th.

“There is consumer confidence in this market and both buyers and sellers appear eager to enter the housing market,” said Larry Westergard, president of the REALTORS® Association of Edmonton. “Prices are up about 10% from a year ago and sellers are eager to take advantage. Buyers are aware of higher mortgage rates ahead and are getting into the market before the rates rise.”

Ontario - A Record First Quarter Sales

Toronto, April 6, 2010 - Greater Toronto REALTORS® reported 10,430 sales through the Multiple Listing Service® (MLS®) in March, pushing total first quarter 2010 sales to 22,418 – the best result on record under the current Toronto Real Estate Board (TREB) boundaries. The average price for March transactions was $434,696. The average price for the first quarter was $427,948.

The annual rate of growth for new listings continued to accelerate in March. The number of new listings grew by 42% compared to March of 2009.

“The average home price in the GTA will continue to grow this year, but the pace will slow as we move through the spring,” said Jason Mercer, TREB’s Senior Manager of Market Analysis. “As growth in new listings starts to outstrip growth in sales, buyers will experience more choice, resulting in more sustainable single digit rates of average price growth.”

Ottawa, April 7, 2010 - Members of the Ottawa Real Estate Board sold 1,499 residential properties in March through the Board’s Multiple Listing Service® system compared with 1,161 in March 2009, an increase of 29.1%.

Of those sales, 327 were in the condominium property class, while 1,172 were in the residential property class. The condominium property class includes any property, regardless of style (i.e. detached, semi-detached, apartment, stacked etc.) which is registered as a condominium, as well as properties which are co-operatives, life leases and timeshares. The residential property class includes all other residential properties.

The average sale price of residential properties, including condominiums, sold in March in the Ottawa area was $329,767, an increase of 15% over March 2009. The average sale price for a condominium-class property was $240,409, an increase of 15.1% over March 2009.

The average sale price of a residential-class property was $354,698, an increase of 15.1% over March 2009. The Board cautions that average sale price information can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The average sale price is calculated based on the total dollar volume of all properties sold.

British Columbia – Buyer’s Market Continues in Fraser Valley

Surrey, April 6, 2010 – With plenty of selection and relatively modest price increases, buyers are enjoying a healthy spring market in the Fraser Valley. The Board’s Multiple Listing Service® (MLS®) recorded 1,565 sales in March, an increase of 30% over February’s sales and an increase of 56% over the 1,006 sales processed March of last year.

Deanna Horn, president of the Board says, “March sales volumes can fluctuate as much as the weather, and this year’s reached the mid-point between the highs and lows seen over the last decade. However, available listings were near the peak, meaning buyers had lots to choose from and were clearly taking advantage of great buying opportunities.”

There were 3,395 new listings entered onto the MLS® in March, slightly higher than in March 2009, when 3,028 new listings were added. Altogether, there were 9,828 active listings on the MLS® at the end of March, on par with the 9,832 active listings one year ago.
The ratio of sales compared to active listings, which indicates the type of market, reached 16% in March, representing a buyer’s market. This is up from last year’s 10% but a far cry from the 25% ratio in March 2007, when the Fraser Valley was in a seller’s market.

“Prices are closing in on the record highs we last saw in spring 2008, so it’s no surprise to see the increase in listings as sellers position themselves to move up or downsize into a smaller residence using their home equity for their purchase,” Deanna Horn stated.
In March, the benchmark price for Fraser Valley detached homes was $514,787, an increase of 11.9% from the March 2009 price of $459,841.

The benchmark price of Fraser Valley townhouses in March was $326,307, a 10.3% increase compared to $295,809 in March 2009. The benchmark price of apartments increased by 8.6% year-over-year going from $227,188 in March 2009 to $246,673 in March 2010.

Alberta – Edmonton Buyers and Sellers Remain Optimistic

Edmonton, April 6, 2010 - Housing figures released by the REALTORS® Association of Edmonton for March and the first quarter of 2010 show that resale housing prices are up, and listings and sales are up.

Single family residences in the Edmonton area sold on average for $388,473 in March which is up 4.7% from February and 11% from a year ago. Condominium prices rose by 8.4% month-over-month and 10.5% year-over-year. The average condominium sold for $252,416 in March. Duplex and rowhouse prices (at $313,836) dropped a third of a percent in March but were up 10.4% from a year ago. The average residential price was $343,607 (up month-over-month by 8.5%).

Sales also demonstrated the optimism of the marketplace. 3,728 residential listings in March were up over 30% from a year ago and up 246% in the first quarter. Residential sales of 1,571 properties in March were up 15.1% from a year ago and 77.3% in the first quarter. Sales were up from 1,307 in February: a 20.2% increase. The March sales-to-listing ratio was 42%; down from 52% in February.

“Seller activity has boosted the inventory to 6,770 residential properties,” said Westergard. “I am less concerned about available inventory now than I was at the beginning of the year. I think the market has reached a balance between buyers and sellers.”

The average days-on-market in March was 41 as compared to 47 in February.
Alberta will not be influenced by the GST harmonization taking place in Ontario and British Columbia so we may not see the sales slump in the second quarter that is expected in those two provinces.

The worst that can happen

2010-04-06T10:21:00.000-07:00

Apply The Law Of Unintended Consequences To The New Mortgage Rules And The Picture Isn't Pretty

The worst that can happen

The worst that can happen

2010-04-06T10:18:00.000-07:00

Apply The Law Of Unintended Consequences To The New Mortgage Rules And The Picture Isn't Pretty

Read more: http://www.financialpost.com/magazine/story.html?id=2766745#ixzz0kLDu4JCM

All About Home Inspections

2010-04-05T09:13:00.000-07:00

If you are in the market to buy a home, then it is time to understand the basics of home inspections.

According to the National Association of Realtors, 77 percent of home buyers had a home inspection prior to purchasing their home, and Realtors report that 84 percent of home buyers requested a home inspection as part of their contract.

When choosing a home inspector, you want to find a qualified and experienced professional. In this field, that means having client contacts or testimonials to back up their work, as well as the appropriate state license to operate as a home inspector. Not every state requires a license, and if not, you can ask whether of not they are a member of the American Society of Home Inspectors or the National Association of Home Inspectors. In your inspector interview, ask about cost, whether they offer a guarantee on their work, how long their inspection should take, and how you'll be receiving the report (written or otherwise).

Some inspectors charge a flat rate, but the cost can vary depending on the size of the job, the expertise level of the inspector, among many other factors. As a ballpark, an inspection can cost around $400.

You should expect a typical inspection to take several hours. Smaller homes take less time than larger or older homes. If you really want to be invested in this process, it is recommended that you are present for the inspection. Ask for things to be explained as you go – including how certain things work and where valves, switches, and such are.

Be sure to ask for a written report,and consider asking for price estimate for repairs. A repair estimate is a good negotiation tool when it comes to settling on a final sale price for a home.

It is important to note that a home inspection is not a gold stamp of approval that your new home will be in perfect working order. Things break and items will need repaired. Your home inspector is not liable for repairs or damages.

You can, however expect an inspection of hundreds of items, including: Structural elements, exterior evaluation, roof and attic, plumbing, systems and components, electrical, appliances, and the garage.

2010-04-05T08:44:00.001-07:00

"Success doesn't come to you... you go to it"

What Is Title Insurance & How You Can Use It To Protect Your Home

2010-03-29T13:46:00.000-07:00

Ray Leclair is an experienced real estate lawyer & Vice President, TitlePLUS
For a great many of us, purchasing a home is the largest investment we will make in our lifetimes. Despite the enormous price tag and the fact that most of us will be paying off our mortgage for decades to come, on a more personal level, the act of purchasing a home probably stirs up a number of emotions in great many of us. We've all heard about how emotions can cloud our judgment, leaving room for oversight. Oversight in turn, can lead to a number of dangerous outcomes, principally fraud.

Home-buyers should be aware of three main types of fraud; Title fraud, Mortgage fraud and Value fraud.

Title fraud occurs when a fraudster changes the ownership or title of a property into his/her or another name in order to sell or refinance the property.

Mortgage fraud occurs when the fraudster leaves title or ownership in the owner's name but mortgages it without the owner's knowledge, sometimes by fraudulently discharging the existing mortgage.

Value fraud occurs when a homebuyer is led to believe the property is worth considerably more than it really is through fraudulent concealment or intentional misrepresentation, such as giving the buyer a forged appraisal or fraudulent "comparables."

No matter where you're buying a home in Canada these days, chances are you're part of an active real estate market – one in which homes have had many owners over the past few years. The more often your home has changed hands, the more difficult it can be to trace a problem with title back to a specific owner. That's why more and more home-buyers are opting to protect their most important investment through title insurance.

Title insurance is a form of insurance that provides compensation for losses suffered from title issues even if they are not discovered until years after the sale is completed. Title insurance protects home buyers against unpredictable or undetectable problems related to your home's title.

Risks covered by title insurance include unpredictable or undetectable issues such as forgery, fraud, missing heirs, unregistered rights-of-way and other issues that can affect rights of ownership. While real estate lawyers protect home-buyers with thorough record searches and inquiries during the home ownership transaction, they will also often arrange for title insurance to try to offset issues that could not easily be discovered and certain future problems.

If a problem arises with title that only becomes known after closing, title insurance can often compensate the home-buyer for the problem.

"Home-buyers put a great deal of time and energy into finding their dream home, so it's good to protect it with appropriate insurance – not just for fire and theft, but for title-related issues," says Ray Leclair, an experienced real estate lawyer and vice-president, TitlePLUS ® . "Title insurance provides a security blanket for the homeowner once the deal is closed."

Identity theft and fraud have increasingly become a new worry with respect to title. A criminal with the homeowner's information can transfer title or take a mortgage out on the property in the homeowner's name. The criminal takes off with the money and the homeowner is left without title or with a mortgage improperly registered against the property. Title insurance will assist in recovering title or removing the fraudulent mortgage.

Title insurance is a one-time purchase, usually made at the time the home is bought, although also available later for those who already own their homes. For a $500,000 home, it costs about $250 to $300. You pay that money only once for as long as you or your heirs own the home. There are no deductibles and no additional annual fees.

Also, purchasing title insurance can sometimes save on closing costs as a real estate lawyer can often reduce the number of searches and investigations, thereby saving the clients out-of-pocket costs on their overall legal bill.

Title insurance is also often bought when homeowners are refinancing. A useful resource for people looking to learn more about title insurance, the role of a lawyer and refinancing is the TitlePLUS Real Simple Real Estate Guide, which is available for free. The guide provides important information on the role of a real estate lawyer as well as specifics about refinancing a mortgage. The guide also offers useful calculators, a glossary of terms and a locate-a-lawyer tool.

The Offer: There’s More to It Than Just The Price

2010-03-19T09:02:00.000-07:00

Fixating on price in real estate may cost you the deal:

Sellers who decide that a specific dollar figure will buy their home and won’t budge from that bottom line may sell themselves short.

Buyers who drop out of a transaction for a property they love because the seller’s counter-offer shocks them may be quitting before they have really started negotiating.

When a buyer makes an offer to purchase a house, condominium unit or commercial property, the purchase price is a prime consideration, but it represents only part of the total value offered to the seller.

Problems may arise for both sides of the transaction when this fact is forgotten.

Value Elements in an Offer The value expressed in a buyer’s offer to purchase, or in a seller’s offer to sell, involves 5 key elements — a financial package:

Purchase Price, the stated amount of dollars offered by the buyer, represents a significant contributor to value, but there are other important factors which can reduce the amount the seller receives or which can compromise the transaction. It’s not the purchase price, but the net proceeds of the sale that sellers — and savvy buyers — should concentrate on.

Closing Date, or the day ownership changes hands and the seller receives the money, can represent cost or value to both parties. Savvy buyers usually attempt to meet the seller’s preferred moving date, especially when the seller has committed to purchasing another property or needs the proceeds of the sale on a specific date. For instance, a closing before that date may be expensive because the seller would have to move out and store everything until they could move into their new home. That double move and the inconvenience represent out-of-pocket costs and time lost that make the actual purchase price lower than stated. A closing date later than the seller’s preferred date may leave the seller owning two homes – and paying off two mortgages – at once. The seller may incur extra costs in arranging bridge financing to meet legal obligations to close on their new home before they receive proceeds from the sale of their current home. Choice of closing date may represent costs or value to the buyer as well. Balancing this reality for both parties is key in negotiation.

Inclusions and Exclusions to the sale also represent costs and value for both parties. Appliances, heating systems and draperies are common seller inclusions designed to boost value for buyers. If warranties for everything from a new roof or solar panels to new appliances cannot be transferred to a buyer, these items become “second-hand”and will probably represent less value to buyers. Buyers are also free to include excluded seller items, like an antique light fixture, in the offer to purchase. Deals have been lost to disagreements over light fixtures, fireplace accessories and vintage furnishings, so prudent sellers remove contentious items before listing. A buyer may offer less than list price and ask for nothing; a seller could sign back for more money and include items to sweeten the pot. Value is very subjective for these non-real-estate items and that’s where negotiations can get heated.

Terms and Conditions are clauses in the offer which cover “what if” risks for one party and the obligations of both parties. These clauses detail what the buyer asks the seller to do for the purchase price. Arrange a survey or include a treasured light fixture? Sellers can create conditions in an offer to sell, but usually conditions are of greater concern to the buyer, particularly if approval of a third partly like a lender or city planning department is involved in determining the property’s suitability. Conditions to arrange financing or a home inspection are among the “ifs” that define the offer to purchase. The degree of uncertainty attached to the conditions and the buyer’s related ability to close effect the value of an offer. For instance, a buyer who is pre-approved for a mortgage of sufficient size offers less risk to a seller. However, if the purchase price is significantly-above market value, the lender may not approve the mortgage, so a condition for financing is essential to protect all parties.

A full-price offer with conditions that will be difficult to meet may hold less value than an under-list-price offer with no conditions. Alternatively, if the conditions are merely formalities, the conditional offer could represent greater value.

Would you recognize the difference if you were the seller?

That’s where the expertise of the real estate professionals involved becomes valuable…

Intent and Sincerity are vital aspects of an offer although difficult to quantify. How determined is the buyer to buy, and why? How determined is the seller to sell? If either party changes their mind after the contract exists and before the closing date, the injured party has remedies in court. These legal steps may not make up for lost time and, perhaps, a missed market. An investor or flipper may decide to cut losses and bail out of the deal if the market drops significantly before closing. A seller may have second thoughts if their plans to move fall through. For both parties, value should lie in the certainty that the other party will close in spite of market shifts. Yes, price matters, but there’s a lot more involved in creating an offer that demands to be accepted.

That’s why an experienced real estate professional is a valuable contributor to success. Professionals can calculate, or at least estimate, the seller’s net proceeds after costs related to the offer and deduction of commission. This information helps the seller accurately evaluate an offer to purchase.

Understanding cost and benefit for all elements of an offer helps a buyer intent on ownership to create the best financial package possible. Tip: Re-read this article when you are ready to make an offer, counter an offer or accept one.

This will ensure value is visible to you on all levels before you decide to walk away or sign on the dotted.

Toronto, Ontario Condominium Occupancy Fees

2010-03-17T11:33:00.001-07:00

Whenever you purchase a new condo, there is a period of time between when you take occupancy of your unit and when you take ownership of your unit. This is known as the ‘occupancy period’ or ‘interim occupancy’. During this period you will be requested by the developer to pay occupancy fees or ‘phantom rent’ as it is also known.

The Condominium Act requires condo developments to be constructed to a substantial level prior to registration of the condominium plan. Title to a unit cannot be transferred until the condominium is registered.

Thus, with newly built condominium apartments, there are two “closings”. The “interim closing”, occurs at the time of occupancy and the “final closing”, occurs at the time of final registration.

The process works something like this; the developer undertakes to build a condo development by submitting a site plan with the Municipality. When the Municipality registers this site plan it becomes a “Registered Site Plan”, setting out exactly what the developer is promising to deliver.

The developer then sells the suites as “pre-construction”; based on floor plans, brochures etc. Once the developer sells enough units, say 60% or more, they start the construction while continuing to sell the units.

When construction is completed, the municipality verifies the building to be in accordance with the registered site plan and issues the “Occupancy Certificate”. The developer start to contact all the buyers notifying them of their occupancy date, at this stage your unit is ready and liveable; you take possession of it, but not ownership. This is the first or “Interim Closing”.

Since the buyer’s down payment is deposited into the lawyer’s trust account, the developer does NOT receive any money until the building registers (final closing), a process that normally takes 4-6 months.

Until such time you must pay the developer “occupancy fees” for the right to live in the unit. The amount of the occupancy fees is roughly equivalent to the interest on the amount outstanding on the purchase price. For example, a $300,000 condo with 25% down means you must pay monthly occupancy fees roughly equal to interest payments on $225,000.

When the municipality completes its process and registers the building, the second or “final closing” take place. This is where the purchasers receive title to their property and their mortgage payments starts, and this is when the developer gets his money.

During the occupancy period the buyers undertake a portion of the developer’s mortgage, also called “Phantom Mortgage”, which is equal to their proportionate share of the overall condo.

The occupancy period is normally 4-6 months, but the higher up you are in the building, the shorter the occupancy period will be. So if you buy a unit on the ground floor, you can expect a long occupancy period. If you buy the penthouse, you will likely have a very short occupancy period.

There is no way to say absolutely how long the occupancy period will be. In most cases the length of the occupancy period depends on the experience level of the developer. Experienced developers who are familiar with process and have diligent lawyers working behind the scenes for them know how to build and how to register a building as quickly as possible.

It is in the developer’s best interest to register the building as quickly as possible and to have the occupancy period as short as possible. This is because they don’t get their money from the banks until the building is registered and all the unit owners have their mortgages commence.

The “Occupancy Fee” is made up of three components and is roughly equivalent to the:

interest calculated on a monthly basis on the unpaid balance of the purchase price
the monthly maintenance fee contributed for the unit; and
a factor for property tax
In total it will be about the same amount as if you took a mortgage. But you cannot get a mortgage because there is no “Title” to the property, thus banks cannot issue a mortgage.

Occupancy fees will be paid to the developer when you purchase a new condo, it does not apply for re-sale condos.

The purchaser can avoid paying the interest portion of the occupancy fee should he/she elect to pay the full balance of the purchase price owing on the date of occupancy. However, in order to do this, the purchaser or his lawyer must request this during the 10-days rescission (or cooling off) period.

In all the cases it is left to the developer to include or exclude any of the above components in the occupancy fee, as long as this is made clear in writing and disclosed in the developer’s disclosure documents.

Canada Tax-Deductible Moving Expenses

2010-03-17T11:30:00.000-07:00

Have you recently moved to a new location? Do you know that you can deduct certain moving expenses on your next tax return, including transportation, packing and storage costs.

Many people never realize these tax benefits because they don't know what can be deducted. If you are preparing to move, it's best to be informed beforehand so you know which receipts to keep. You may find it worthwhile during a move to pay for various services that are tax-deductible rather than doing them yourself. A typical move involves a number of costs including hiring a company to transport personal effects and furniture, hotel stays and meals (if the move involves driving a long distance to a new home), and service fees to disconnect and reconnect utilities. In addition, renters who leave on short notice may have to pay the cost of breaking a lease.

Homeowners will incur closing costs and commissions on the sale of their home as well as legal and other fees on the purchase of their new home. This article provides information regarding tax deductible moving expenses.

To claim moving expenses on your taxes, your move has to meet the following conditions:

You moved to your new home or new apartment to start a job or a business, or to attend full-time post-secondary courses at a university, college or other educational institution
Your new place of residence is at least 40 km closer to your workplace or school than your previous home.
You moved from one place in Canada to another place in Canada.
Two groups are eligible to deduct a portion of their moving expenses: students moving away from home to attend school and people moving to a new area for a job or relocation by their employer. There has been a challenge to the rules regarding eligibility for the self-employed as you'll read later in this article.

Students

Students must fulfill two main qualifications: the distance between your home and school must be at least 40 km (by the shortest public route) and you must be a full-time student. A full-time student is defined as someone who regularly attends a college, university, or other educational institution in a program at a post-secondary school level (whether in Canada or not) and is taking at least 60% of the usual course load during each semester.

As a student, you can only deduct eligible moving expenses from award income (scholarships, fellowships, bursaries, prizes, and research grants) that you report on your return. Your moving expenses must be greater than your award in order to deduct any moving expenses. As Revenue Canada's website reads, "If your moving expenses are more than the award income you report for the year, you can deduct the unused portion of those expenses from the award."

Although many students will not earn award income and will therefore not be able to deduct moving expenses, tuition fees themselves are a tax deduction. If a student has a part-time job, tuition can reduce taxes paid on those earnings. Students who meet the qualifications and have received award income can deduct the costs of travel, shipping and transportation of belongings, as well as items listed below under 'Expenses you can deduct'.

Employees

If you are moving for work (e.g. a company relocation or new job), are employed and establish a home at least 40 km closer to a new job than your old home, then you qualify to deduct moving expenses. Similarly, if you are self-employed, and you establish a home at least 40 km closer to your new operational business than your old home, you also qualify to deduct moving expenses.

According to Revenue Canada, you must establish your new home as the place where you and members of your household ordinarily reside. For example, you have established a new home if you have sold or rented (or advertised for sale or rent) your old home.

Employed and Working from Home: an Exception to the Rule

Until recently, employees who work from home and move have faced some restrictions regarding moving expenses. In the court decision Gary Adamson v. the Queen, Mr. Adamson had incurred moving expenses as an employee who was required to provide his own office in his home.

Expenses you can Deduct:

transportation and storage costs (such as packing, hauling, in-transit storage, and insurance) for household effects, including items such as boats and trailers;
traveling expenses, including vehicle expenses, meals, and accommodation, to move you and members of your household to your new residence (you can choose to claim vehicle and meal expenses using the simplified method);
costs for up to 15 days for meals and temporary accommodation near either residence for you and the members of your household (you can choose to claim meal expenses using the simplified method); and
the cost of canceling a lease for your old residence, except any rental payment for the period during which you occupied the residence.

When your old residence is sold as a result of your move, eligible moving expenses also include:

legal or notaries fees for the purchase of the new residence, as well as any taxes paid (other than GST/HST or property taxes) for the transfer or registration of title to the new residence, if you or your spouse or common-law partner sold the old residence, and
the cost of selling your old residence, including advertising, notarial or legal fees, real estate commission, and mortgage penalty when the mortgage is paid off before maturity.

Expenses that are not Deductible:

expenses for work done to make your home more saleable;
any loss from the sale of your home;
expenses for house-hunting trips before you move;
the value of items movers refused to take, such as plants, frozen food, ammunition, paint, and cleaning products;
expenses for job hunting in another city (such as traveling expenses);
expenses to clean or repair a rented residence to meet the landlord's standards;
expenses to replace personal-use items such as tool sheds, firewood, drapes, and carpets;
mail-forwarding costs (such as with Canada Post);
costs of transformers or adaptors for household appliances; and
costs incurred in the sale of your old home if you delayed selling for investment purposes or until the real estate market improved.

Remember to keep receipts and documents supporting your claims, you do not have to include these documents in you tax claim but Canada Revenue Agency may want to see them at a later date.

Keep in mind that this article is for information only. The tax laws are frequently modified. We recommend that you visit the Canada Revenue Agency's website for specific details about which moving expenses you can claim or consult a professional accountant to maximize your tax return.

2010-03-17T11:29:00.001-07:00

How Will the New Mortgage Rules Affect the Canadian Market?
Finance Minister Jim Flaherty recently unveiled new mortgage rules aimed at stopping housing speculators and ensuring homebuyers can adequately handle their debts when interest rates inevitably rise. Mr. Flaherty stressed that Canada's real estate market is healthy, and that the new rules, which take effect April 19th, would stop “negative trends” from development.

"There's no clear evidence of a housing bubble, but we're taking proactive, prudent and cautious steps today to help prevent one. Our government is acting to help prevent Canadian households from getting overextended, and acting to help prevent some lenders from facilitating it," commented Minister Flaherty.

"The underlying message is that Canadians should be prudent in the obligations they take on because we can all expect that mortgage interest rates will rise over time," Flaherty added.

Here is a quick look at the changes which apply to government-backed insured mortgages:

1. Borrowers must now qualify based on a five-year fixed rate even if they choose a mortgage with a lower interest rate and shorter term. The government’s rationale for this change is that it will help borrowers prepare for higher rates, although it may squeeze the purchasing power of home buyers. It remains unclear whether borrowers must qualify at the five-year posted rate or the five-year discounted rate.

2. The maximum amount Canadians can withdraw in refinancing their mortgages will be reduced to 90% of the value of their homes, instead of 95%. This change will help ensure home ownership is a more effective way to save. The impact of this change is expected to be minimal as relatively few homeowners withdraw equity from their homes to this extent.

3. A minimum down payment of 20% will be needed for government-backed mortgage insurance on non-owner-occupied properties “purchased for speculation,” which realistically means rental properties. While this measure is intended to hamper the speculative buying of properties by reducing the leverage of buyers, it will also impact those buying real estate for general investment purposes.

How will these changes affect the Canadian real estate market?

For most consumers, the changes are unlikely to make it harder to get a mortgage but it could reduce the size of the mortgage an individual consumer can negotiate with a lender. And they might have to look at buying slightly less expensive properties.

People buying real estate for investment purposes including those looking for rental properties may find it harder to get into the market as they have to shell out more money form their own savings.

Undoubtedly there will be a rush of mortgage applications to beat the April 19th deadline. However it is expected some lenders will start to implement these guidelines before April 19th.

Some volatility is expected in the housing market in the short term as home buyers rush to beat the April 19th date. After that, the activity will likely fade because so many buyers moved up their purchases. This could end up softening the sharp year-over-year price increases that have been characteristic in many cities recently.

The economic implications of this rule change are unlikely to be severe, and we expect the housing market to slow its ascent without crashing down.

Toronto -Ontario - A Great Start to 2010 for Ontario Housing Market

2010-03-17T11:26:00.000-07:00

Toronto, March 3, 2010 - Greater Toronto REALTORS® reported 7,291 sales through the Multiple Listing Service® (MLS®) in February, representing a 77% increase over February 2009. The average price for these transactions was up 19% year-over-year to $431,509. Sales and average price increases represent both increased demand for ownership housing and the base year effect, which involves a comparison of economic recovery this year to a period of economic decline last year.

“Increases in existing home sales and average price were noted across the Greater Toronto Area (GTA) in low-rise and high-rise home types. Similar rates of growth were experienced in the City of Toronto and surrounding 905 regions,” said Toronto Real Estate Board (TREB) President Tom Lebour. “This suggests that first time, move-up and down sizing buyers are all active in the existing home marketplace.”

New listings also increased in February, climbing 24% compared to the same month last year.

“Annual growth in new listings is expected to continue. New listings growth will start to outstrip sales growth as we move through 2010,” said Jason Mercer, TREB’s Senior Manager of Market Analysis. “As the market becomes better supplied, we will see more sustainable single-digit rates of price growth.”

Ottawa, March 5, 2010 - Members of the Ottawa

Market Watch – March 2010

2010-03-17T11:24:00.000-07:00

Canadian Housing Market Continues Its Healthy Upward Trend

The Canadian housing market continues its healthy upward trend across the country, with significant increase in both number of sales and sale value. This trend is expected to continue through to early Spring as we approach the upcoming changes to mortgage qualification rules.

Buyers in Ontario and British Columbia are aware of two key changes that could impact their purchasing ability. The new mortgage rules coming in April, plus the Harmonized Sales Tax in July.

“The upcoming changes to mortgage qualification rules and impending mortgage rate increases may prompt some buyers to enter the market earlier and cause some additional slowdown in the third quarter,” said Larry Westergard, president of the REALTORS® Association of Edmonton.

2010-03-12T04:53:00.001-08:00

Cabbagetown Open House this Saturday & Sunday 2-4pm, Chttp://tinyurl.com/yck5vyd

Electric Car Charging Stations Gain Speed

2010-03-10T13:53:00.000-08:00

California-based KB Homes is offering high-voltage vehicle charging stations as an incentive for buying in its newest developments in the Los Angeles area.

The number and popularity of electric cars is increasing with Nissan, GM and Ford either already offering models or about to. Electric car sales have been particularly successful in this region of California.

These cars all have batteries requiring charging. Homes that are equipped with a charging station that does the job quickly could eventually make the home more valuable, KB says.

Everything you need to know about HST and Tax Credits coming our way July 1, 2010

2010-03-10T13:26:00.000-08:00

Harmonized Sales Tax (HST) and Comprehensive Tax Package

www.rev.gov.on.ca

Ontario's proposed Harmonized Sales Tax (HST) and comprehensive tax package would be the most important tax reform in a generation. Many Ontarians would also receive a personal income tax cut in January

L Tower + Sony Centre Construction Update

2010-03-10T13:13:00.000-08:00

Here's a birds eye view taken from BCE Place yesterday afternoon of the new L Tower under-construction. Work has started on the south west corner of the Sony Centre, where this 57 storey condo is slated to rise.

Developed by Castlepoint, Fernbrook and Cityzen, it is designed by Daniel Libeskind in tandem with P&S. Libeskind is, of course, famous locally for his design of the recent addition to the ROM.

This is one project that should be extremely unique and, as skyscraper geeks, we are super excited to see it rise.

Choose mortgage words carefully

2010-03-10T10:11:00.000-08:00

When it comes to your mortgage contract, watch your language.

Most consumers only look at their mortgage contract --one of the most important documents they will ever sign -- just before they are about to close on a house, says Toronto real-estate lawyer Steve Brett.

"It's very rare they come to me [first]. In residential transactions, they usually strike the deal first," he says. "The mortgage commitment comes shortly prior to closing. I'll talk to people over the phone and they'll say, 'These are the terms of the deal--is that the way it should be?' "

For about $200, Mr. Brett says a consumer could run a pre-approved mortgage by him before buying a house. "But in 35 years, I've never had that happen. I sometimes might get asked [to look at a mortgage contract] on refinancing."

Even the most basic mortgage contract terms, such as what constitutes the "prime rate" on a variable-rate mortgage, can create confusion.

"There can be different meanings to things like the prime rate or the base rate," Mr. Brett says. "They could have prime rate of 2%, but the base rate for residential mortgages might be prime plus one [percentage point], so their prime rate becomes 3%. Clients could get into difficulty thinking they are getting a heavily advertised prime rate but they are not."

He had a customer come in recently with an offer of financing from a mortgage broker that said he was getting the "prime rate" from a specific company. "I pointed out that [their version] of prime rate might not be the same as the banks'. He might have to pay a higher rate. His prime could be bank prime plus half a percentage point."

A bigger issue for consumers might be what their contract says about locking a variable-rate mortgage into a fixed rate during the term of the contract, usually five years. If they take advantage of the ability to lock in the rate, who gets to decide what that rate will be?

"It can be pretty open-ended. The banks' posted rates, for example, are not the real rate," Mr. Brett says. "You've got the right to lock in, but you are going to want to negotiate that rate and all the bank is obliged to do is give you the posted rate."

Mr. Brett says a preferable position would be to have a contract that says you have the right to negotiate at certain discounts to the posted rate if you lock in. "You always have the right to go elsewhere," he says, adding that can mean financial penalties.

Gary Siegle, a Calgary-based regional manager with Invis Inc., a mortgage broker, advises consumers to forget what is said to them verbally and try to understand what the terms in their contract actually mean.

"If it says you get the prime rate, you need to know how they will be establishing [that rate]. Is it on the company website? Is it based on the Bank of Canada rate?" Mr. Siegle says. "Consumers hear these words all over the place and they need to establish what they mean. You need to make sure your contract has a measurable rate."

He says most variable-rate mortgages are pretty standard: The consumer gets the prime rate plus or minus a certain number of basis points. There is little room for argument.

The debate begins, he says, when consumers want to lock in their mortgage and start stumbling over the terms in the contract. Defining the rate, however, is usually the biggest issue. "Often, that part is not clear," Mr. Siegle says.

So, make sure it is before you sign.

Vast majority of Canadians view buying a home as a good investment

2010-03-09T10:54:00.000-08:00

Home purchase intentions full steam ahead: RBC poll

TORONTO, March 8, 2010 — Homebuying momentum in Canada continues to gain steam with the portion of Canadians who are very likely to purchase a home in the next two years rising to 10 per cent from seven per cent two years ago, according to the 17th Annual RBC Homeownership Study. Younger Canadians, aged 18 to 24, will lead the charge this year, with those very likely to buy almost doubling to 15 per cent from eight per cent in 2009.

The RBC study conducted by Ipsos Reid found that 91 per cent of Canadian homeowners believe a home is a good investment, the highest level in 12 years, and one-quarter (26 per cent) expect their home to be their primary source of income when they retire.

"With the Canadian housing market showing continued vigour, it's not surprising that Canadians feel more confident in the long-term value of owning a home," said Robert Hogue, senior economist, RBC. "Exceptionally low mortgage rates and improved affordability have been key reasons for the resurgence in the housing market this past year."

Most Canadians who intend to buy a new home in the next two years are planning to take a fixed rate mortgage (44 per cent). However, combination mortgages had the highest increase in popularity this year, with 40 per cent intending to take both a variable and fixed rate component, up from 32 per cent last year.

For Canadians planning to take a fixed rate or combination mortgage, seven-in-10 intend to take a term of five years or longer. Sixteen per cent said they intend to take a variable rate mortgage, down from 20 per cent in 2009.

"Canadians seem to be opting for more caution this year and may be factoring in potential rate increases down the road," said Marcia Moffat, RBC's head of home equity financing. "Choosing a combination mortgage can take some of the guesswork out of making a decision between whether it is better to lock in to a longer-term or stay in a variable rate."

In the wake of the recent housing rebound, most Canadians (six-in-10) also believe housing prices will rise in 2010, up significantly from 25 per cent in 2009. Similarly, a majority (64 per cent) believe mortgage rates will be higher over the next year, also up from 33 per cent a year ago.

"The expectation of higher mortgage rates on the horizon could be motivating buying intentions this year. But it's important that homeowners - especially first time buyers - get solid advice about what they can afford, not only today, but down the road," added Moffat.

In addition to seeking customized advice from a financial advisor, Moffat provides the following tips:

For homebuyers:

1. Lock in your rate when you apply for your mortgage.
Depending on your situation, there are rate guarantees that allow you to lock in your mortgage rate for up to 120 days.

2. "Stress test" your mortgage for rate increases.
If you are concerned about affordability down the road, knowing what your payments would be with a one - three per cent rate increase will give you greater peace of mind that your new home is affordable both today and in a few years time, when rates might be higher.

3. For first time homebuyers, leave some wiggle room.
With a pre-approved mortgage you will know what you can afford today. But before making a decision to find a home at the top of your pre-approval amount, also consider your current lifestyle preferences and how future changes in your circumstances could impact your payment comfort zone.

For homeowners renewing their mortgage:

1. Take advantage of early renewal options.
Some mortgages allow you to renew up to 120 days before the end of your term. This means you can lock in your new mortgage rate early.

2. Consider a combination (hybrid) mortgage to manage your interest costs.
If you are unsure of where rates are headed, consider splitting your mortgage into part fixed and part variable. You will have rate protection on the fixed rate mortgage portion, while you benefit from today's low interest rates on the variable rate mortgage portion.

2010-03-09T09:07:00.001-08:00

“Vision without action is a daydream. Action without vision is a nightmare.” -Japanese Proverb

2010-03-07T05:56:00.001-08:00

"Courage is being scared to death - but saddling up anyway." - John Wayne

Toronto Real Estate Feb 2010 Chart

2010-03-04T08:03:00.001-08:00

March Events

2010-03-04T07:31:00.000-08:00

* March 9th - Commonwealth Day
* March 12th-21st - March Break
* March 14th - Daylight Savings Time begins
* March 17th - St. Patrick's Day
* March 20th - First day of Spring!
* March 28th - Palm Sunday
* March 30th - Passover

* March is: Red Cross Month; Help Fight Liver Disease Month; National Nutrition Month; National Epilepsy Month; Learning Disabilities Awareness Month

Things To Do On March Break In Toronto

2010-03-04T07:12:00.000-08:00

During March Break, many of Toronto's major attractions have extended hours and/or special programming. Kids can explore and create at many of the city's museums, galleries and historical sites. Below is a list of family outings.

Royal Ontario Museum (ROM)
The ROM has full and half-day camps for children ages five to 14. Kids learn about sorcery, go on archeological digs and examine live specimens. Also, check out the new bat cave open on February 27. The ROM has extended hours until 8:30 p.m. from March 13 to March 20. Admission is also half-priced to the museum after 4:30 p.m. On Sunday, March 21 the ROM is open until 6:30 p.m. Also, the first 50 children admitted into the museum during the break will receive a free bat t-shirt.

Ontario Science Centre
The Science Centre is all about sports this March Break. Greg Tarlin and Kristi Heath perform comedic routines and stunts to show that science is much more than just a demonstration of sport. There's also IMAX films to check out and the popular KidSpark. The hours are extended during the March Break week from 10 a.m. to 6 p.m.

CN Tower
The CN Tower offers meet and greets with SpongeBob SquarePants and Dora, a chance for kids to make their own jewellery with beads that change colour and Battle Strikers Top Tournaments. Kids and families can also see Toronto from a different point of view aboard the glass-fronted and -floored elevators. The tower is open daily from 9 a.m. to 10 p.m. and the attractions inside are open from 11 a.m. and 7 p.m.

Toronto Zoo
Families can keep warm inside any of the tropical pavilions. The newest edition to the zoo is baby gorilla Nassir. With a hot chocolate in hand, guests can also hear Keeper Talks along the trails. A new highlight is the Tundra Trek Exhibit with polar bears, Arctic wolves, reindeer and more. The extended hours for March 13 to March 21 are 9 a.m. to 6 p.m.
Art Gallery of Ontario (AGO)
The King Tut Returns exhibit has people talking, with 130 pieces from King Tut's tomb. On until April, it's a time-ticketed event. Children under five are always free at the gallery and Wednesday evenings are free for everyone from 6 p.m. to 8:30 p.m. (King Tut exhibit excluded).

Bata Shoe Museum
Kids are invited to take part in footwear-themed arts and crafts. They can decorate small clogs or make a shoe fridge magnet. Also, there's a treasure hunt in the galleries and a chance to be part of a collective collage. The drop-in activities are between 11 a.m. and 4 p.m. (March 15 to March 19). The special pricing is $8 each for both children and the adults accompanying them.

Historic Fort York
Kids are encouraged to dress up, make crafts, participate in a sword drill, listen to storytelling and more during the break. This annual event happens March 15 to March 19, 10 a.m. to 3 p.m. daily. There's no registration and admission is regular price.

Casa Loma
Toronto's castle turns into a fairytale during March Break. Robin Hood: Welcome to Sherwood Forest consists of several events. The comedy troupe, Men in Tights, perform in the library, master ventriloquist Tim Holland performs in the billiard room, costumes of princes and princesses adorn the second floor hallway and characters like Maid Marion and Friar Tuck roam around the castle. Casa Loma is open daily from 9:30 a.m. to 5 p.m. and admission for the special event is anywhere from $11.50 to $19.

Hockey Hall of Fame
This hockey-lover's favourite attraction offers a chance to take shots on real-time goalies, call play-by-plays on some of the greatest goals, see hockey flicks and get up close and personal with the Stanley Cup. Between March 13 and March 21 the Hockey Hall of Fame has extended hours, 9:30 a.m. to 6 p.m. from Monday to Saturday and 10 a.m. to 6 p.m. on Sunday. Click on Kids Free for a coupon valid until April 30, 2010.

Toronto Botanical Gardens
The gardens offer a place for kids to get their hands dirty. Some of the camps allow kids to cook food, examine carnivorous plants, learn about how animals protect themselves, play music, paint and more. The camps are March 15 to March 19 from 9 a.m. to 4 p.m. and are geared towards those six to 10 years old.

Aluminum Wiring

2010-03-04T07:08:00.000-08:00

Houses with aluminum wiring are generally safe and do not cause concern even on the insurance level.

Most of the Insurance companies identified that your homes electrical panel is your main concern.
If your home still has an older fuse type panel, it could be a major insurance, and safety risk. Fuse panels can be upgraded to breaker panels quite easily, and at a lower cost than rewiring an entire home.
The main areas of concern with aluminum wiring are your homes connectors and receptacles. When aluminum wiring was first being installed, the same receptacles and connectors were used as for copper wire, but this does not work.

The connections can become loose and overheat, possibly causing a fire. According to the mostly certified Licenced electricians that receptacles can be retied with copper tails, which is roughly a 1-2 day task to refit an entire home.

This increases your homes safety and brings it up to today's code standards.

Knob & Tube Wiring

2010-03-04T05:16:00.001-08:00

Knob & Tube wiring is a type of wiring which was in common use until the 1940's. More than 1.5 million homes across Cana
da were built with knob and tube wiring. It was an early form of electrical wiring that was used up to 1945. So, many homes still have it but is now considered too risky and dangerous to be insurable, and for your own safety, and home resale value it should be replaced with copper wiring.

Knob & tube wiring is comprised of insulated wires clamped on two-piece porcelain knobs; positive and negative are carried separately. Hollow porcelain tubes carry the wires, through beams and other combustible materials. Modern electrical codes do not permit this type of wiring. It can present a hazard if tampered with, particularly at unenclosed, soldered-and-taped junctions. The unsheathed insulation is subject to deterioration, particularly where it is exposed, that is, not enclosed in a wall or ceiling. Worn insulation, of course, presents a shock hazard

The ESA's (Electrical Safety Authority) recommendation to insurance companies on knob and tube wiring is that they ask for inspections to make sure the wiring is safe. It does not recommend denying someone insurance simply because they have some knob and tube wiring, although individual insurance firms can refuse coverage for homes with knob and tube wiring as they see fit

Yorkville. The land of Canada's rich and famous.

2010-03-03T07:34:00.000-08:00

The land where people do not like change.

Well, looks like some change is coming to the glamorous and historic street of Hazelton Avenue, much to the dismay of the lobby group "SAVE YORKVILLE!". Check out Hazelton 36 [map].

I don’t know much about the current plans for this building, but am excited for it!

Intensification! A 5 minute walk to two subway lines. A 2 minute walk from a grocery store. A 5 minute walk from another grocery store. An 8 minute walk from, yet another, grocery store. Nearby gyms, art galleries, bars, restaurants. ...etc...etc...etc.. This is a fantastic place for a new condominium and intensification.

As for the nay-sayers who live on Hazelton (errr... the owners of all the rental houses in the area)? Too bad.

Unfortunately, I hear that the building has been brought down in height and number of units? Time will tell. Lets hope Ken Zuckerman reads BuzzBuzzHome, and will contact me with some further details.

Coming May 2010! Cant wait to see more details!

Experienced REALTORS can provide knowledge and expertise on new home purchases.

More on Toronto Real Estate on March 3 2010

2010-03-03T06:59:00.001-08:00

Toronto housing market expected to cool in 2010
March 3 2010

GTA homes market to cool...

The Toronto-area real estate market will continue to do well in 2010 before retrenching significantly next year, a CMHC forecast says.

Sales of new and existing homes in the Toronto area should fall significantly next year, as the market continues to slow, according to a forecast released today.

The Canada Mortgage and Housing Corporation said existing home sales will drop to 83,000 units, falling by 9.3 per cent over 2010.

The new homes market will be even harder hit, falling by 38.5 per cent over 2010 figures according to the federal housing agency in their first outlook for 2011.

New mortgage rule changes, higher interest rates and the introduction of the harmonized sales tax in Ontario will all have an impact on sales, say analysts.

Still, 2010 is expected to be an extremely healthy year with sales surpassing last year. New home sales and existing home sales are expected to be 29 per cent and 2.5 per cent higher respectively over 2009.

The CMHC also expects sale prices to be up significantly this year by 8.5 per cent over last year. However, price appreciation and sales are expected to decline as the market slows moving forward.

Bank of Canada - Rate Watch - March 2 2010

2010-03-02T12:01:00.000-08:00

Rate Watch

The Bank of Canada announced today that it is leaving its key interest rate unchanged, and repeated its commitment to hold the rate steady until the second quarter of 2010, conditional upon inflation.

In its statement the Bank judges that the factors affecting its inflation outlook are “roughly balanced” at this time. “On the upside, the main risks are stronger-than-projected global and domestic demand. On the downside, the main risks are a more protracted global recovery and persistent strength of the Canadian dollar.”

The Bank also noted that “the economy grew at an annual rate of 5 per cent in the fourth quarter of 2009, spurred by vigorous domestic spending and further recovery in exports.”

Pricing for loans that are typically linked to a lender’s prime rate (such as variable-rate mortgages, variable-rate credit cards) is expected to remain unchanged in the wake of today’s announcement. Pricing for fixed-rate mortgages is not directly affected by the Bank’s key rate.

2010-02-26T11:18:00.001-08:00

Toronto real estate information
With over 4 million residents, on over 7125 km2 of Greater Toronto Area real estate, there is always a diverse collection of Toronto homes for sale. Luxury Toronto real estate, in the Bridle Path neighborhood, include listings priced for as much as $15 million. While on Toronto Island, set on publicly owned lots, home for sale go for around $200,000. The average price for a Toronto real estate transaction in October 2009 was $423,559, according to figures published in November 2009 by the Toronto Real Estate Board. This average price does not paint a complete picture of the range of Toronto real estate listings that exist on the market. Toronto real estate values vary greatly depending on a number of factors. With one of the world's most used transit systems, a listings' proximity to a Toronto Transit Commission (TTC) station will greatly impact the value of a Toronto home for sale. From thousands of new condos for sale in the downtown core to the East End's Victorian-era listings, the city offers a broad range of real estate choices.

Within the Toronto real estate market, listing transactions are taxed through both a provincial land transfer tax and a second Municipal land transfer tax. To find out more about Toronto real estate taxation please refer to the Ontario fact sheet: http://ping.fm/xBARm and the City of Toronto's information guide: http://ping.fm/qQF6I Also be sure to consult your Realtor. Zoocasa is excited to get you going with your search for a perfect Toronto real estate listing. Our interactive map, neighbourhood walk-scores and the ability to see important points of interest (ie. Transit Stations) while you search, make sifting through the Toronto real estate market a breeze.

TORONTO CONDO MARKET REPORT March 2010

2010-02-25T12:27:00.000-08:00

Sales Commentary
January sales on the Toronto Real Estate Board at 4986 units were up by 87% over 2009. Condo sales, performed even better, with an increase of over 100%. But that is not the real story. The numbers were expected. More importantly sales matched those of 2007 and 2008 for January. Hence we have established a bench mark for this market. Why some naysayers still see sales retreating to levels of five years ago makes little sense. Looking forward, we are forecasting February sales at 7600 units which will be an 'all time' record for the month of February!

But there are some factors which give pause to this euphoria. In the downtown condo market, the sale-to-list ratio was 44% in January, down from over 80% at the end of last year and the number of new listings in February is accelerating. While multiple offers are common on well priced units in the popular price range ($300-450,000), more and more listings that are not priced right will sit in this market. We also know that time is running out for sellers. The HST, coming July 1st, does not apply to resale housing but it will impact new sales coming after that date. The immediate impact is that consumers will be paying more for a lot of items not previously taxed such as utilities and maintenance contracts imbedded in condo fees, legal fees and realtor commissions. This, together with any increase in mortgage interest rates, will reduce the number of buyers who can qualify in the second half of the year. As we said in our forecast, 2010 will be the reverse of 2009 - strong first half, and lower second half! In total, we expect sales to match the record breaking year of 2007. (If you want to see our comments on the new mortgage qualification rules go to www.bloggingforcondos.com)

In this issue, we examined sales at New Times Square - 109 Front Street E. in the St. Lawrence Market area. Prices in this building tend to be lower than others in the area. The first unit we looked at was a one-bedroom, 780sf, 2 level loft with parking and locker. The last sale was in August of 2009 at $332,000 (107% of list). It previously sold in 2006 for $245,000 and in 2003 for $215,000. The current price is $425 per sf and the unit has appreciated by 55% over 6 years or just under 9% per year. A second unit we looked at was a two-bedroom, two bath unit with parking and locker. At just over 900sf it sold at the end of 2009 for $450,000 (again 107% of list). It also sold in 2003 and 2001 for $295,000 each time. The current price of $490 per sf supports what we told you two years ago, that while smaller units were more expensive on a per sf basis, larger units would generate higher prices in the future and we are now seeing that changeover, as condo buyers start to move up and demand bigger units. The problem is that developers are building fewer big units over 1,000sf and that will be where the price premium will kick in as we go forward in this market.

Rental Commentary
The rental market in January picked up. Downtown, 20 studios, 197 one-bedroom, 75 two-bedroom, and 5 three-bedroom units were leased in January. Leasing activity has picked up about 20% from the end of last year. Rental prices are also holding steady with studios going for $1250, and one-bedroom units ranging from $1450 with no parking to $1650 for parking and a den. Two-bedroom units ranged from $2000 to $2500 for parking and a den. Three-bedroom units averaged $4500. Units are leasing for 100% of list price, on average and there has been the occasional 'multiple offer' situation as the vacancy rate for rental condos is still under 1%.

Get Unplugged

2010-02-24T10:55:00.000-08:00

When you're not using your coffee maker, microwave or VCR, unplug them.

(Who cares if the clock is perpetually blinking 12:00?)

Any appliance with an LED display or battery charger draws electrical power, even when it is off.

Even small items such as cell phones and MP3 chargers draw electricity when they're plugged in.

February record sales activity jumps 74 per cent in Toronto

2010-02-23T09:06:00.001-08:00

| Monday, 22 February 2010

The Greater Toronto Realtors reported a 74 per cent increase in sales for the first two weeks of February compared to last year, when the recession hit hardest.

There were 3,555 sales through MLS during the first half of this month, compared to 2,0044 during the same period in 2009. This month's activity was even 7.7 per cent higher than the previous record in 2006.

"Home ownership demand remains strong in the GTA, as households remain confident that economic recovery is at hand and that ownership housing will continue to be a quality long-term investment," says Tom Lebour, president of the Toronto Real Estate Board.

Accordingly, the increased activity has led to higher prices as well. The average price for February mid-month transactions was $429,997, up 18 per cent from 2009. That's also drawn more sellers out hoping to cash in. New listings with the Toronto Real Estate Board's boundaries were up 15 per cent to 6,212.

The board's senior market analyst Jason Mercer says double-digit price increases wil continue through the first quarter of the year.

"However, as new listings continue to increase, creating a better supplied market, we will see the annual rate of price growth moderate into the single digits," says Mercer.

Learn How to Sell a House Fast & Profitably

2010-02-22T15:41:00.000-08:00

Selling

It is arguably the real estate market will slow during the holiday season. This is good for real estate agents and property investors who have worked very hard to help clients buy and sell houses but not so good for buyers and sellers.

If you’re in the market to buy a house in December and January can be a good time to take a bargain on a house because there are not many buyers. It can also cause a problem for home buyers because the number of homes available is generally lower during the holidays as home sellers do not want to travel during this time.
The cold also affected the property market.

The colder it is outside the home buyers are at least buying a new house greater and the lower number of open houses real estate agents have. During the months when the weather is hot, the number of houses for sale increases as the number of homes sold each month.

Does this mean you should wait to sell your house before spring? Well, if you can wait it might be a good idea too, but many homeowners must sell their house now.

The truth, that’s life happens and there are many reasons a home you expect to stay in seven to ten years suddenly becomes a home you can stay in two or three years.
Homeowners who must sell their home fast are usually one of the following reasons: foreclosure, job transfer, divorce, relocation, family illness, selling, etc. There are many homeowners have reasons to sell a house, but if you experience any of the issues mentioned above you are more likely to need to sell quickly.

The problem with need to sell a house quickly in today’s market, real estate is many homeowners have no equity and so selling a home can be very difficult. If you owe more for your mortgage than your house is worth may seem impossible to sell your home. The truth is that you still have options of selling a house. You can have a real estate professional or investor completes a short sale, the option of renting your house until the market rise, or you can rent your home until the market rises and selling then.

It is important that if you’re interested in selling a home, you discuss all your options with a real estate professional. Real estate can be a difficult thing to handle especially when you have an emotional attachment to the house. All options of your discussion with someone who is an expert and has no emotional attachment can help facilitate the process of selling a house.

A Different Kind of Bank ~ Canada

2010-02-22T12:51:00.000-08:00

When Bailout-phobie Earns You 30% in Eight Months…

Canada exports mainly commodities and automobile parts. The world’s second-largest country (by geographical landmass) is also home to the best hockey talent, the best maple syrup and — since 2007 — the best banking model.

Aside from Japan, which already went through a crippling deflation of its banking system in the 1990s, Canada is the only G-7 country that doesn’t require a bank bailout. No Canadian bank has failed since August 2007 and most have not even suffered a losing quarter.

Canada has largely escaped the wrath of toxic mortgage-backed securities and sharply declining real estate loans. That’s because the Canadian banking system, though not immune to global volatility, is far more regulated than its U.S. and international counterparts.

Indeed, Canada had limited exposure to toxic mortgage assets and its banks have already written-off these securities: housing markets are indeed declining since late last year but continue to require a 25% down-payment — something that was unheard of in the United States or the United Kingdom until recently.

Canadian banks, however, did suffer approximately C$32 billion ($25 billion) in losses tied to short-term asset-backed commercial paper markets starting in mid-2007. Though not completely resolved, Canadian regulators are working to address these losses by restructuring the terms of outstanding commercial paper.

Approximately a third of these losses have already been written off by the country’s banks. As asset markets improve, banks hope to cap these losses.

Still, despite a severe recession south of the border, most Canadian banks are not overly exposed to U.S. commercial real estate. Instead, they are actually sitting on the sidelines, seeking to expand their portfolios of distressed American property in 2010.

Some of the Last Banks Standing
Royal Bank of Canada (RBC) and Toronto-Dominion Bank (TD) are among only seven banks worldwide that still carry a Moody’s AAA credit rating. None of the five largest Canadian banks has cut its dividend since WWII. And despite plunging more than 35% collectively since peaking in 2007, Canadian banks have outperformed essentially insolvent international banks like Citigroup and Lloyds by 30% or more.

Canada’s banking system has received kudos from global governments and regulators alike. It also served as a regulatory framework at the April G-20 meeting in London. Indeed, the industrialized world looks to Canada for a model of successful bank supervision, after the total collapse of intermediary relationships sparked by the 2007 subprime fiasco.

The Toronto-listed iShares Canadian Corporate Bond Index or XCB holds 54% of its assets in senior Canadian bank debt, and it’s a great way to get some exposure to this opportunity.

In addition to holding 54% in Canadian bank debt, XCB also holds 12% in energy, 12% in infrastructure and another 20% in communications, securitization and industrial bonds. All bonds are rated investment-grade securities by Moody’s and Standard & Poor’s.

The iShares Canadian Corporate Bond Index holds 262 issues and pays a weighted average yield to maturity of 5.23%. The weighted average duration, which measures interest rate sensitivity, is only 4.8 years — a conservative duration. The ETF’s total expense ratio, which includes all fees, is just 0.40% with $485 million in assets.

The ETF’s biggest holdings include Toronto-Dominion Bank, Bank of Nova Scotia, Royal Bank of Canada, Canadian Imperial Bank of Commerce and The Bank of Montreal.

Another plus: the Canadian dollar has plunged by a third against the U.S. dollar since last July along with other currencies amid a massive de-leveraging process.

This safe-money play has delivered a return of roughly 30% since it was added to our Sovereign Individual portfolio this past May. It’s a big winner not just in terms of capital appreciation, but currency diversification as well (since it’s denominated in Canadian dollars). At present, this play is more of a “hold” since the Canadian dollar is near par with the USD. But a little more short-term strength from the dollar could once again make Canadian bank debt a stellar play.

Eric Roseman, Investment Director for The Sovereign Individual

Finding the right real estate agency is key

2010-02-22T09:12:00.000-08:00

Peter Tarshis has the experience
to maximize the value of real estate transactions
for homeowners and investors alike.

We're ready and available to make a full-time commitment to you and your needs.
Our experience in the market gives you the negotiating edge.
Work with an agency that embraces modern technology without losing the personal touch.

Let's get together and talk about your plans

Canadian Realtor's Code of Ethics

2010-02-22T07:35:00.000-08:00

CREA’s Code of Ethics and Standards of Business Practice has been the measure of professionalism in organized real estate for over 40 years.

The first code was approved in 1913 at the convention of the National Association of Real Estate Boards held in Winnipeg. The first Code of Ethics specifically prepared for members of The Canadian Real Estate Association was approved by members in 1959.

The Code establishes a standard of conduct, which in many respects exceeds basic legal requirements. This standard ensures that that the rights and interests of consumers of real estate services are protected. As a condition of membership, all REALTORS® agree to abide by the Code.

Some of the requirements of the Code include:

REALTORS® must disclose in writing whom they are representing as an agent in the transaction. Parties to a transaction must be told what their agency relationship is to the REALTOR®.

Definitions, terminology and presumed agency relationships vary from province to province. Most jurisdictions have their own forms for complying with disclosure requirements, which have been drafted to accommodate agency relationships as they exist in your province or territory.

All financial arrangements between REALTORS® and others (e.g. referral fees, compensation from more than one party, rebates or profits on expenditures) must be fully disclosed to clients;

REALTORS® cannot acquire an interest in property (either directly or indirectly) without disclosing the fact that they are real estate professionals;

REALTORS® cannot use the terms of an agreement of purchase and sale to negotiate commission.
While the Code of Ethics establishes obligations that may be higher than those mandated by law, in any instance where the Code of Ethics and the law conflict, the obligations of the law must take precedence.

A REALTOR®’s ethical obligations are based on moral integrity, competent service to clients and customers, and dedication to the interest and welfare of the public. The Code has been amended many times to reflect changes in the real estate marketplace, the needs of property owners and the perceptions and values of society. For more than forty years, through a variety of updates, the CREA Code of Ethics is unchanged in demanding high standards of professional conduct to protect the interests of clients and customers and safeguard the rights of consumers of real estate services.

Little Improvements in Getting Your Home Ready for Sale = Big Returns

2010-02-22T07:22:00.000-08:00

By Peter Tarshis Toronto Realtor

Little Improvements = Big Returns | Toronto Real Estate

It’s always a good idea to spruce up the exterior and interior of your home before listing it for sale.
But that doesn’t mean you have to undertake major and/or expensive project.

Just a little effort will greatly increase the perceived value of your home. After all, if you wanted to undertake a large-scale project, you probably wouldn’t be selling!

Here are some simple steps you can take to increase the perceived value of your home and make a great first impression.

Exterior Appearance
Keep lawns cut
Trim hedges and shrubs
Weed and edge gardens
Clear driveway and clean up oil spills
Clean out garage
Power wash
Touch up paint
Plant colorful, inexpensive flowers in pots if necessary.
At the Front Door
Clean porch and foyer
Ensure door bell works
Repair any broken screens
Fresh paint or varnish front door
Repair door locks and key access

Create a Buying Mood
Make sure your home smells fresh and clean
Turn on lights
Turn on air conditioner/heater
Open the drapes
Light the fireplace
Create Space
Clear halls and stairs of clutter
Store surplus furniture
Clear kitchen counter and stove top
Clear closets of unnecessary clothing and stuff
Remove empty boxes and containers
Put away personal photos so buyers can envision the house as theirs.

Maintenance
Repair leaking taps and toilets
Clean furnace and filters
Tighten door knobs and latches
Repair cracked plaster
Apply fresh coat of paint or touch up where necessary
Clean and repair windows
Repair seals around tubs and basins
Replace defective light bulbs
Oil squeaking doors
Repair squeaking floor boards.
Squeaky Clean
Clean and freshen bathrooms
Clean fridge and stove (in and out)
Clean around heating vents
Clean washer and dryer
Clean carpets, drapes and window blinds
Eliminate pet odors and stains

Guides in Buying a Toronto Commercial Property

2010-02-22T06:17:00.000-08:00

Commercial Property

Toronto is not only a well-known holiday resort for tourists, but also the business capital of the country.

It is a place where business opportunities are waiting for the entrepreneurs who want to start their own businesses.

To select the desired profit and success in your chosen business area, it is important that your own Toronto commercial real estate.

Here are some of the important factors that you need to determine to need the right commercial property for your business.

It is not easy to set up your own business. It is important that you think the kind of business that you want to start. They must ensure that the right kind of business you have to pursue. You have to think all over again and decide for yourself whether you can manage the right skills that have particular company.

And besides, it is important to check out the nature of the business, so you have to buy the idea of what kind of commercial real estate space that you need.

When purchasing a Toronto commercial real estate, it is important to check in every possible place where you want to find for your business. It is important that the site accessible to your target audience and is also available for all types of vehicles.
This is to ensure that your company easy access of the people.
Whatever you buy, it is important to have an idea of how much it will cost. It is important to examine your budget before rushing out looking for the right property. You need the amount of money you can safely assign the property to prevent that is to your budget for the operation of the company to be determined.

If you are just a beginner in investing in Toronto Commercial Real Estate, it is better to seek the help of a broker.

You need the services of estate agents, succeeded in is to ask the acquisition process. In this way you are sure that you will be succeed in buying the right commercial property that will cater your business’ needs.

Real Estate Investing

2010-02-22T06:10:00.000-08:00

Investing

There are many people who always dream of investing on something to earn money that they can use to enjoy life.

Some people invest in stocks to do this. Others put up businesses in areas they are familiar with or areas where they are good at. Others invest in real estate. Investing in real estate is something that can potentially give you what you are aiming for. However, a lot are afraid of it thinking that it is really very difficult to do. Here are some basic things that you must learn to help you decide whether or not you will go into it.

First you must know what investing in real estate is.

Real estate investing involves committing a good amount of money to a property with the intention of generating income from it. Usually investing in real estate is a long term investment. You cannot expect to generate income early on in the game. Unless of course your idea of investment is by buying a property, renovating it a bit and selling at a higher price. This is what actually what some do.

However, what you will earn from this is only limited to that mark up you put when you offer it in the market. After selling, you will need to look for a new property again to develop and sell.

How can a Pre-Listing Inspection Help You Sell Your Home?

2010-02-21T14:28:00.000-08:00

Here's a Few Ideas!
Pre-Listing Inspection? What's the Point?

Occasionally I get asked about pre-listing inspections, and I've been recommending them more and more lately. A pre-listing inspection is in fact a home inspection done by the seller prior to listing their home.

Now why would you inspect your house before you have a buyer? That I have many good answers for!

1. If there's a large problem with the home that you were unaware of, you can then decide whether you can price accordingly or whether you might be able to move at all. Much better to find this out now than when you're in the middle of selling with a buyer on the hook and possibly involved in your next property as well. I have had a buyer inspection discover something so severe that there was no way the seller could fix the home and still afford to sell.

2. It gives you a chance to fix items on the list at your own time and leisure, meaning that you can shop for repair bids or get it done yourself. When a buyer finds it at their inspection, you may only have a week to get items done before closing and they may ask for specific contractors, which could easily cost you more than the inspection would in the beginning.

3. Fixing items before listing helps your home show better as it will appear obviously well maintained and there will be less items that buyers and their agents will notice. Therefore they are more likely to give their best or better offers than if they saw unrepaired items from the get-go.

4. Being able to market your home as pre-inspected gives a nice warm, fuzzy confidence to a buyer that there shouldn't be any big surprises lurking down the path. You can easily provide the home inspection and evidence of repairs, which again should lead to better and higher offers. Lots of offers hedge against the unknowns that may be found at inspection time.

5. Already having an inspection and repairs done, the buyer's own home inspection contingency should be a breeze. There may be minor discrepancies between what everyone finds, as inspectors are human and each may miss or catch something the other doesn't, but anything of big concern should already be known. Since many contracts fall apart at inspection time, having already been through an inspection means that you're much much more likely to keep your deal together and get to closing.

6. Even if you're not making any repairs from the inspection, being able to provide this report up front should still mean better offers as buyers see what they are up against. Many buyers who purchase as-is or TLC properties come in quite low because they don't know the extent of the problems until inspection time.

I know, I know! Inspections can run you hundreds depending on the size of your home. But it may be better for you to spend a few hundred now than to lose a few thousand on the offer side of things. And the peace of mind from knowing exactly what you're up against is great. Selling a home is nerve-wracking enough just trying to find a buyer and wondering why all those other ones didn't like your house. With a pre-inspection, you can negotiate with your buyer in the confidence that you know what's going on with your home and with a higher likelihood that the deal will stay together and close!

For a list of registered home inspectors in our area and to discuss how it may affect your particular situation, feel free to contact me!

2010-02-21T13:54:00.000-08:00

Canadian Mortgage changes to tighten approvals

Canadian Real Estate Association

OTTAWA - Finance Minister Jim Flaherty tightened mortgage rules this week and, in doing so, may have taken some steam out of a housing market that has seen prices and sales activity rise rapidly over the last year.

For most consumers, the changes are unlikely to make it more difficult to get a mortgage, but it could reduce the size of that mortgage.

Mr. Flaherty's changes apply to any mortgage backed by Canada Mortgage and Housing Corp. (CMHC).

But Craig Alexander, deputy chief economist at TDBank Financial Group, said the practical effect of changes to CMHC-backed mortgages is that lenders tend to extend at least some of those provisions to all mortgages.

In his view, that means those who qualified for a mortgage under the old rules should still be able to get one, but may not be able to borrow as much and, as a result, might have to look at buying slightly less expensive properties.

That trend - forcing consumers to look at less expensive properties - could end up softening the sharp year-over-year price increases that have been characteristic in many cities recently. The Canadian Real Estate Association says that, in December, the average selling price of a home in Canada was a little more than $337,000, a jump of nearly 20% from the same month a year earlier.

The change most likely to affect most borrowers will be a new credit test for any CMHC-backed mortgage.

Previously, a lender wanted to ensure a borrower could make the monthly payments on a three-year fixed-rate mortgage. Now, they will want to see that a borrower can afford a five-year fixed-rate mortgage - even if the borrower plans to take out a mortgage with different terms that could result in a lower monthly payment.

Those refinancing a mortgage can borrow up to 90% of the asessed value of their home, down from 95%. The intent is to prevent a homeowner from carrying a mortgage worth more than the home itself.

Investors will now have to put up 20% of the purchase price instead of 5% to get a government-backed mortgage to buy any property that is not his own residence.

Rules go into effect April 19, but lenders are likely to begin enforcing most of these measures immediately.

Canadian Mortgage changes to tighten approvals

2010-02-21T13:53:00.000-08:00

Mortgage changes to tighten approvals