Wednesday, October 31, 2007

Toronto Land Transfer Tax - Slight adjustment in calculation

The Toronto Land Transfer Tax rate was adjusted down, slightly. See the new calcuation at this page of my site.

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

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Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

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Tuesday, October 30, 2007

Vancouver has the most expensive housing market in Canada

Vancouver has the most expensive housing market in Canada
Homes for Sale
VANCOUVER: On a recent Wednesday evening at the Gotham Steakhouse in the city center here, about 100 people gathered around an open bar for a party given by Ian Watt, a Century 21 broker, who had invited clients to thank them for buying property in the city.

One of the guests was Annu Gill. With her fiancé, Rick Gill, who coincidentally has the same last name, she had bought a 1,200-square-foot, or 110-square-meter, condominium at the Sheraton Wall Center, a 42-story hotel with 74 units in the center of Vancouver. The condo cost 1 million Canadian dollars, or $1 million.

"When I try to explain to friends in the States how much it costs here, they don't believe me," Annu Gill, 29, who is a real estate broker, said of the city's high prices. "They say, 'You're lying.' "

But 830 dollars a square foot - which is how much the couple paid for the condo - is not unusual these days.

The center of Vancouver is the most expensive housing market in Canada, according to a survey of 21 cities worldwide released last April by Century 21. The average sales price for a condo in Vancouver has been about 408,500 dollars this year, up 14.6 percent from last year, according to Royal Le Page Real Estate Services. The average sales price in Toronto, Canada's largest city, was about 235,300 dollars, up 15.7 percent from last year, and in Montreal, 196,400 dollars, up 4.6 percent.

Europe slow to turn to shared ownership

Vancouver has the most expensive housing market in Canada

Tide of investment sweeps Bahamas

The number of homes in Vancouver selling for almost 2 million dollars also rose this year, by 48 percent, according to Re/Max Associates. The higher prices reflect years of price gains of 15 to 20 percent, according to Helmut Pastrick, the chief economist for the Credit Union Central of British Columbia.

Fueling the high-end market are foreign and second-home buyers, he said, though not necessarily from the United States. The weak American dollar, which for the first time in decades is worth less than the Canadian dollar, has been making real estate in Canada more expensive for Americans.

Other foreign buyers make up a significant percentage of the market, according to Ian Gillespie, the president of Westbank Projects. The company is building several residential towers in the center, including the 60-story Living Shangri-La, which will be Vancouver's tallest building when it is completed in 2009.

"This is a very multicultural city," said Gillespie, who cited as an example a pharmaceutical executive from the Middle East, who recently bought a 1,700-square-foot, 3.55 million-dollar condo at the Fairmont Pacific Rim.

The city's population has grown substantially as a result. In 2006, there were 36,321 more people living in Vancouver than in 2005, according to Statistics Canada, and 72 percent of the newcomers were immigrants.

It is not hard to understand why the city is so appealing: Vancouver has been described as Canada's version of San Francisco. It has a cosmopolitan feel, yet it is surrounded by mountains and water. The temperate climate attracts retirees, while the vibrant urban lifestyle draws young singles. The economy, supported by forest products, mining and an active film industry, is also growing, thanks in part to the development associated with the city's serving as host to the 2010 winter Olympic Games.

The most expensive condo on the market in the center of Vancouver right now is a 7,000-square-foot waterfront penthouse listed for 17.7 million dollars. The 38-year-old owner, an entrepreneur, said he bought the condo for about 2.9 million dollars four years ago, then sank millions more into renovations.

Jamie MacDougall, an agent with Sotheby's International Realty, said that the condo was still considered cheap, compared with comparable properties in New York or San Francisco. It has been on the market since July.

Although price increases have slowed this year, Vancouver's housing market is not experiencing a bubble, Pastrick said. Less aggressive mortgage underwriting practices have helped shield Canada from the credit squeeze that swept through the subprime mortgage market in the United States.

Bob Rennie, the president of Rennie Marketing Systems, a real estate marketing company, said Canadians typically put down 20 percent in nonrefundable deposits.

Every crane in the center is sitting over a building that is 75 to 100 percent sold out, with large deposits in place, Rennie said. "So the consumer is committed, and the developer is not at risk with construction," he noted. There are about 50 condo towers under construction in the center area.

In 2006, Diana Becker, the owner of a culinary tourism company, paid 875,000 dollars for a two-bedroom in the 37-story Jameson House, which is scheduled to open in 2009. Becker, who now lives on the outskirts of the center, said she had been attracted to the development's design. "It feels very Spanish Moroccan," she said. Becker says she is also looking forward to being able to walk to her favorite restaurants like Le Crocodile.
Not everybody is enthusiastic about Vancouver's growth. To make room for some projects, hundreds of single-room-occupancy hotel rooms for low-income residents have been lost, said David Eby, a lawyer with the Pivot Legal Society, a legal advocacy group. High prices are pushing out middle-income renters and buyers, he added.


Gordon Price, the director of the City Program at Simon Fraser University, said the city had erred in abandoning its commitment to maintaining a 33 percent low-income housing mix in the Southeast False Creek site. The development is being built initially to house athletes during the Olympics. Later, it is to be converted into condominiums and town houses selling for 584,000 dollars to 5.8 million dollars.

The city reverted to a 20 percent low-income housing mix because of concerns about cost, said Jennifer Young, a city spokeswoman, explaining that there had been a drop in government financing for low-income housing.

Darek Cole, for one, said he felt lucky to afford a home in the city. "Vancouver is a difficult place to get into, compared to other cities," said Cole, 26, who works for a marketing company. He paid almost 263,000 dollars for a 600-square-foot condo in the city's Downtown Eastside neighborhood.

"I knew it would be a good investment," he said. By Linda Baker Published: October 25, 2007

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

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Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
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FAX 905-828-2829 ÈCELL 416-520-1577
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Monday, October 29, 2007

Positive CMHC Housing Market Outlook for 2007/2008

CMHC released their Housing Market Outlook for Q3 2007. The housing market forecast for the balance of 2007 and 2008 remains positive.

This article will highlight some of their findings (a "Coles Notes" version!):

Ontario - Overview

  • New home construction activity will moderate but remain near historical averages in 2007 & 2008;
  • Growth in Ontario's economy will range between 2 & 2.5% annually this year & next;
  • Ontario's economic growth will lag behind the Canadian average, but the growth gap between Ontario & the west will gradually narrow.

Ontario - Resale & Prices

  • Existing home sales through MLS will set a new record this year. Slightly higher carrying costs in 2008 will pull sales only modestly lower.
  • A more balanced resale market, resulting from higher listings, points to slower growth in house prices;
  • Average MLS price in Ontario will rise by 5.3% this year & 3.4% in 2008.

Mortgage Rates

  • Moderate inflation and a strong Canadian dollar vis-à-vis the U.S. dollar, will help keep Canadian bond yields and mortgage rates flat over remainder of this year.
  • Posted mortgage rates for 5 year terms are forecasted to be in the 6.5% - 7.5% ranges (for remainder of this year & 2008).

Ontario - Multiple Starts

  • Healthy pool of first time buyers looking for less expensive homes combined with provincial gov't efforts to promote higher density construction, suggest condo apartments will remain in demand;
  • Multiple starts will remain relatively stable - increasing slightly from 2007 to 2008.

Ontario - Single Starts

  • Demand for higher priced detached homes will cool despite a rapidly growing population of 'mid 40s' which prefer low density homes;
  • Single starts will cool from 2007 - 2008.

The Canadian Economy

  • The Canadian economy grew at a faster pace than expected in first quarter of 2007;
  • Consumer spending made a significant contribution to economic growth;
  • Key challenge for the Cdn economy has been the deterioration in net exports due to high value of CDN $ & the slow growth rate in US economy;
  • Consumer spending should stay vibrant thanks to high employment, income gains & relatively low interest rates.
The full report is available at http://www.cmhc-schl.gc.ca/odpub/esub/61500/61500_2007_Q03.pdf

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

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Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
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FAX 905-828-2829 ÈCELL 416-520-1577
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Friday, October 26, 2007

Celebrating 20 Years in Real Estate!


Celebrating 20 Years in Real Estate!

I obtained my real estate license on Oct 26, 1987 and thus, today marks my 20th year in the real estate business. Much has changed in the business in 20 years. The Lord's Day Act prohibited selling real estate on a Sunday back in 1987. We did not begin using a fax machine until spring of 1988, and those fax papers would fade away after a month or two.

For the past 20 years, I carry two press releases inside my presentation folder. The one article is from the Toronto Star. It 'shouts' that the average price is predicted to rise over $200,000 in the next year. The average GTA price in October 1987 was $192,500 (today it's $380,132).

Even though I had bought my first townhouse in 1985 I needed some credibility to help me convice others that real estate was a good investment. Being new in the real estate business, I would pull out the Toronto Star article when I would meet people to prove that real estate was a good investment. I highlighted some of the paragraphs in the article and the key paragraph stated, "Real estate has always been a good investment and it has always produced excellent equity appreciation". I've not pulled out this article for about 10 years, but the same certainly holds true today as it did back then.

The other article I carry around is written by the then business editor of the Toronto Star, none other than Garth Turner. His views carried much weight back then and when he spoke about real estate, people listened. The article I carry that is written by him talks about the "horrifying experience" if you are looking for a place to live in the GTA. Prices are nearly averaging $200,000 and only one apartment in a thousand is vacant! We (Toronto) have the highest housing prices in the entire country. Mortgage rates were about 11.5% at the time and inflation was about the same! Wow have times changed, except that he also states, "We have also had the most spectacular gains in the price of real estate. There are, however, more increases to come, because as pricey as it is, housing is still essentially undervalued". Where have you heard this before? People in the GTA have been saying this same thing for the past 20 years that I've been in the business and will continue to say this for at least the next decade.

I believe that real estate will continue to be an excellent method of 'forced savings', it also gives you a firm footing to raise your family and will contintue to be an excellent long term investment anywhere in the GTA, North to Barrie, East to Newcastle, West to London and around the Golden Horseshoe to Niagara Falls.

The last 20 years in real estate has been great for me and my family. I am looking forward to more exciting times in real estate over the next 20 years and hope you can enjoy the ride along with me!

I want to thank all of my clients and friends that have supported me and used my services over the past 20 years and especially those people who 'believed in me' back in those early years.

I hope that this finds you and your family healthy and happy and I wish All the Best

Mark


Read about how to become mortgage free faster!

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Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,


Mark


A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com


Thursday, October 25, 2007

TREB REALTORS® Disappointed that Public Opinion on Land Transfer Tax Ignored


REALTORS® Disappointed that Public Opinion on Land Transfer Tax Ignored

TORONTO, ONTARIO--(Marketwire - Oct. 24, 2007) - Toronto's REALTORS® are concerned about the potential impact of the City of Toronto's recently approved second land transfer tax and disappointed that the public's opinion of this tax was ignored.

"REALTORS® have been working hard to provide the facts about this unfair idea and the public responded with action. An overwhelming majority of Torontonians believe that this tax is a bad idea," said Maureen O'Neill, President of the Toronto Real Estate Board (TREB). "The public made their voices heard loud and clear but, unfortunately, they were ignored."

A poll conducted by the Environics Research Group, commissioned in part by TREB, showed that 62 per cent of Torontonians think that a land transfer tax is an unfair solution to the City's financial challenge and that 61 per cent of Torontonians wanted their Councillor to vote against it.

"Torontonians deserve to be treated fairly. A second land transfer tax is an extremely unfair way to address the City's financial challenges. It forces a relatively small group, home buyers, to pay for services for everyone. That, simply, is unfair," added O'Neill.

TREB also raised concerns about the potential impact of a second land transfer tax.

"Home ownership is something that the City should be trying to encourage, not discourage. The second land transfer tax will make it more difficult for people to achieve that dream and it could hurt property values for some current home owners," said O'Neill. "It could also have far-reaching impacts on the City's whole economy by reducing the amount of money that home buyers have to spend on things like furniture, renovations, and energy-efficiency upgrades."

TREB is disappointed that the City is choosing new taxes instead of more prudent solutions. Specifically, TREB believes that the City should have waited for the Mayor's panel to report on alternative options. The Environics poll showed that 78 per cent of Torontonians think that City Council should have waited until the Mayor's panel finished its work before deciding on new taxes.

"This is a classic example of putting the cart before the horse: tax now, save later. That, simply, doesn't make sense," said O'Neill. "The Mayor appointed a panel to look for savings and other options and we applaud him for that. The panel is something that TREB, and the public, called for, but they should have been allowed to finish their work so that fair options could have been considered instead of a land transfer tax."

TREB has consistently supported fair options for dealing with the City's financial challenges, including a more fair deal with senior levels of government, and continues to support City efforts in this regard.

"Unfortunately, we disagree with the City on the land transfer tax, and we will continue to oppose it. We continue to believe that it is not fair," said O'Neill. "Let's not forget that this tax doesn't solve the City's financial challenge. We look forward to working with the City towards fair solutions. We will continue to push for a fair deal for Toronto from senior levels of government, as we always have."

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 more than 26,000 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 available on http://www.torontorealestateboard.com/.


Read more about the New Toronto Land Transfer Tax




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Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,



Mark



A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com



The Boomers are coming - watch as affordability crunch fuel highrise sales

Boomers, affordability crunch fuel highrise sales

Industry insiders never thought they would see the day when sales of highrise condo suites outstripped low-rise new home sales; but that day may be just around the corner.

According to RealNet Canada Inc., 49 per cent of total new home sales in the GTA through the first eight months of this year were highrise condo suites.

If the sales trends hold for the remainder of the year, with highrise sales running 25 per cent ahead of last year, compared to 5 per cent growth in low-rise sales, this will be the first – but probably not the last time – that builders will sell (and ultimately produce) more high- than low-rise homes.

It has been fascinating to watch the growth in highrise market share from 25 per cent of the market in the early 2000s, to one-third of the market by 2004, to more than 40 per cent in 2005. Last year, highrise sales spiked to 45 per cent of total sales and this year they appear to be heading north of 50 per cent.

What's happening, and can it continue?

I don't believe this dramatic market shift signals an equivalent shift in consumer preference. I maintain that consumer preference is gradually shifting as more and more retiring baby boomers enter the condo market. But the shift has been exaggerated as the affordability crunch drives more and more first-time buyers into condos, just to get a toehold in the market.

My view is confirmed by a recent report prepared by the Conference Board of Canada for Genworth Financial.

The report looked at condo markets in Canada's eight largest urban areas and asserts that rising prices for single-detached homes has bolstered demand for apartment condominiums, which are a relatively affordable ownership alternative.

"In most markets, condominium starts have risen in tandem with increases in average overall prices," the report states.

As for the longer term, the report states that "an aging population, particularly a growing number and population share of those 55 and over in all major urban areas, provides a solid demographic underpinning that is critical to the market's longer term health."

That's the gradual shift I mention above.

The Genworth view is corroborated by Jane Renwick, editor of Urbanation, which has been analyzing the GTA condo market for more than 25 years. Speaking to a recent meeting of our association's highrise forum, Renwick stressed that affordability attracts first-time buyers to the new condo market but that diverse buyer groups such as upsizing second-time buyers and downsizing baby boomers are beginning to add to the mix.

With respect to the boomers, Renwick notes that the "first wave" of them turned 60 in 2006 and that "there's more downsizing to come" for the next 17 years as the rest of the boomers reach their 60th birthday.

As an aside, Renwick revealed the key market trends in the highrise market, including a shift to tall buildings, master-planned communities, mixed-use communities and green condos incorporating features such as all-off switches, dual-flush toilets and water-saving faucets, EnergyStar appliances, motion-activated common area lighting, green roofs, car-share programs – all good stuff.

Getting back to the market trends, it's clear that the highrise lifestyle is becoming an active and positive lifestyle choice for the boomers, while first-time homebuyers are more or less backing into that market due to the high cost of low-rise homes.

As those first-time buyers begin to start families, I hope the market and our industry will be able to provide more affordable low-rise or mid-rise homes to serve them.

In the meantime, it's make way for the boomers! From Bob Finnigan Toronto Star

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Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
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Wednesday, October 24, 2007

Maybe it's time to move to Mississauga as New Toronto Land Transfer Tax takes effect

Maybe it's time to move to Mississauga as New Toronto Land Transfer Tax takes effect

Highlights:
  • The new tax is 0.5 per cent of the first $55,000 of a home's value, 1 per cent on the next $345,000 and 2 per cent on any portion over $400,000. But first-time buyers pay nothing on the first $400,000.
  • You have until Dec. 31, 2007 to buy, and Feb. 1, 2008 to close
  • The tax affects only the purchase (not the seller) of real estate in Metro Toronto, not Mississauga
  • Maybe it's time you thought about moving to Mississauga!
If the average price of a home is about $400,000 the new tax in Toronto will add about 4475 to the purchase price. This means if you purchase the same home in Mississauga you will save nearly $5000!


Some scramble to close deals in 'bit of panic' over new tax; others wonder if prices will fall

Oct 24, 2007 04:30 AM Joanna Smith Staff Reporter Toronto Star

Suren Mahadevan felt forced into a snap decision.

As confused as any first-time buyer, Mahadevan was thinking carefully about whether to buy one big house where his retired parents could live with him or two condos, one for them and one for him.

But when his real estate broker told him the city of Toronto's land transfer tax was probably on its way, he made his move.

"It just made me jump on it a little bit sooner," said the 33-year-old real-estate appraiser who spent $170,000 on one condo on Monday, even before he knew whether there would be rebates for first-time buyers. "... you just pull the trigger and get one as quickly as possible."

Under the new tax approved by Toronto city council Monday night, potential homeowners have until Dec. 31 to buy, and Feb. 1, 2008 to close on their new home, to avoid paying up to 2 per cent in taxes.

The new levy will add thousands of dollars to the price of most houses in the city. If enough buyers feel the pressure, then sellers will continue to rule the market until the end of the year. Some realtors predict the market will slow down once the tax comes into effect.

"I think there will be (an increase in sales) in the next couple of months but after that it will slow down more than it would have normally," said real estate broker Darshan Sivanandarajah, who advised Mahadevan, who is now looking for a second condo, to buy now.

"I told them, `If you're going to buy for sure, you might as well do it before the land transfer tax," said Sivanandarajah, who works for Re/Max Crossroads Realty Inc., noting one young couple decided to buy their first home several months ahead of their wedding.

Another realtor, Sandra Rinomato, said that there might be "a bit of a panic" among buyers rushing to close the deal before the deadline.

"I don't know how that will necessarily affect the market compared to what it would have been and that's something that nobody will know," said Rinomato, who is also the host of the reality-television show Property Virgins. "Unless sales skyrocket, we won't ever be able to measure it effectively."

Like many other realtors, Rinomato said she is more concerned with any effects the new tax will have on sellers. She said a homeowner wanting to sell for $415,000, for example, "will have a very hard time getting over $399,999, because that's the cap for the land-transfer tax rebate for first-time buyers."

The new tax is 0.5 per cent of the first $55,000 of a home's value, 1 per cent on the next $345,000 and 2 per cent on any portion over $400,000. But first-time buyers pay nothing on the first $400,000.

Real estate broker Rachel O'Hearn said the market might see "a little flurry effect" because buyers were waiting on the new tax.

"I think now that the decision has been made, it's going to throw people into action to get it done before the end of the year," said O'Hearn, who works for Leslie Benczik Team-Re/Max All-Stars Realty Inc. in the downtown area. "And then we'll see what kind of effect it has on the market after that."

Scott Kavanagh was planning to wait until spring to buy a home in Toronto. "I'll definitely start looking more aggressively now," said Kavanagh, a 28-year-old events producer who owns a house in Stouffville. "I think it's significant enough to push me to move before the end of the year."



Some realtors are concerned sellers on the outer edges of Toronto will be adversely affected, because buyers may opt to buy elsewhere in the GTA, where there's no new tax.

Kavanagh said it has crossed his mind that if the market does slow down he might actually get a better deal in 2008 – especially if there's a spike in sales now.

"I think that's a question that will be on everyone's shoulders," he said. "There are so many variables that come into play now."

Read more about the new Toronto Land Transfer Tax



Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

CMHC's new snapshot of Canadian housing

CMHC's new snapshot of Canadian housing

Canada Mortgage and Housing Corp. (CMHC) recently released its annual state of the nation report on housing. The 2007 Canadian Housing Observer says building greener homes in higher-density neighbourhoods near public transit, rather than in sprawling suburbs, is key to reducing the housing sector's impact on the environment and lowering greenhouse gas emissions.

The 2007 Canadian Housing Observer analyzes the relationship between environment-friendly housing construction, neighbourhood design and transportation. It found that downtown living, which provides easy access to workplaces, schools, and shops, as well as housing located close to public transit, lead to reduced automobile use. Also, better design of the suburbs results in less short-distance driving and lower greenhouse gas emissions.

The 2007 Canadian Housing Observer also examines recent trends in affordable housing, housing finance and market developments. A key conclusion about the living conditions of Canadians, which is based on new CMHC information, found that the level of Canadians living in core housing need has declined slightly from 13.9 per cent in 2002 to 13.6 per cent in 2004. Core housing need is defined as "Households which occupy housing that falls below dwelling adequacy, suitability or affordability standards, and which spends 30 per cent or more of their before-tax income for the median rent of alternative local market housing that meets all three standards."

Other key findings of this year's Canadian Housing Observer include:
- Housing-related spending grew by 6.1 per cent in 2006, contributing more than $275 billion to the Canadian economy;
- Total mortgage credit outstanding in 2006 reached an annual average of $694 billion, up 10.7 per cent from 2005. This is mainly due to increased property values, which in turn increased the average mortgage amount approved;
- All of the fastest-growing metropolitan areas in recent years were in Alberta, Ontario and British Columbia, with the exceptions of Moncton, N.B. and Sherbrooke, Québec.
- Canada's population grew at a slightly faster pace in recent years than in the late 1990s mainly due to increased immigration. Senior, immigrant and Aboriginal groups are growing more rapidly than the general population. From 2001 to 2006, the vast majority (86 per cent) of population growth took place in metropolitan areas.
- The number of households in Canada owning second homes, vacation homes, or cottages reached 1.1 million in 2005, about 200,000 more than in 1999. From 1990 to 2004, high-income earners enjoyed much stronger income growth than those with low incomes. From 1999 to 2005, the average net worth of households in Canada, after adjusting for inflation, grew at an annual rate of more than four per cent. Increased equity in real estate played a major role in this increase.
- In 2006, the proportion of gross domestic product spent on housing increased to 19.1 per cent compared to 18.9 per cent the previous year.
- Total spending on housing renovations, repair and maintenance reached $43.9 billion in 2006, an increase of nine per
cent compared to 2005.
- From a record low of 5.99 per cent in 2005, mortgage rates rose to an average posted rate of 6.66 per cent for a five-year term mortgage in 2006. They were still low by historical standards. CMHC's 2006 Mortgage Consumer Survey found that the majority of mortgage consumers (84 per cent) were satisfied with the services they received when negotiating their current mortgage. About 70 per cent of mortgage consumers prefer to use one of the major lending institutions to obtain a mortgage.
- Urban households in British Columbia and Ontario continued to experience a high level of core housing need between 2002 and 2004. One-person households accounted for almost half (46.7 per cent) of Canadian urban households in core housing need, up from 43.7 per cent in 2002. The incidence of core housing need among senior-led urban households declined from 15.4 per cent in 2002 to 13.9 per cent in 2004. The percentage of immigrant urban tenant households in core housing need increased to 36.3 per cent in 2004 from 34.4 per cent in 2002.
- The 20 per cent of households having the lowest incomes accounted for about 81 per cent of all urban households in core housing need in 2004, up from about 78 per cent in 2002. Courtesy of R.Paul Chadwick TD/CT

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Monday, October 22, 2007

Housing Market Trends and information for buyers and sellers



This particular page will give you information about Toronto Housing Market Trends

Many reports still show Canada as a Hot Destination for Immigrants Canada's population grew last year. The increase was due to continued immigration who choose this country as home home.

Almost all regions of the country saw growth.
Canadian Mortgage Debt: Canada Homebuyers Continue get into more debt

Read more about Price Trends

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale



Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,



Mark



A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com



Sunday, October 21, 2007

REB's Forecast and Provincial Outlook

PROVINCIAL OUTLOOK

October 2007

Regional variations on the Canadian economic

advantage

Canada's economy is so far marching to the beat of its own drummer, but there are sharp regional variations on this economic advantage. As a result, we

have lowered our growth forecasts for the Ontario and Quebec economies and have become more bullish on near-term prospects in parts of western Canada.

First are the sharp regional differences in terms of dependencies on manufacturing and primary sector activities. The benefits from the positive swing in Canada's overall terms of trade are concentrated on the resource provinces. In contrast, high commodity input prices and the surging loonie are accentuating Ontario's and Quebec's greater downside sensitivity to the U.S. economy.

Second, Canadian job markets remain stronger than in the United States, but the effects are spread unevenly. Alberta, New Brunswick and British Columbia have the strongest job gains, which are translating into above-average consumer spending spin-offs for these provinces.

Third are the significant regional variations in housing market performance. On net, mortgage credit conditions have eased substantially in Canada despite modestly higher mortgage rates in recent months and a deterioration in the tiny sub-prime segment. Mortgage securitization is relatively unaffected in Canada because 85% of it is guaranteed by the federal government. The reason for the net easing in mortgage credit conditions is due to the arrival of long-amortization mortgage products, which now dominate mortgage purchase applications in the insured segment and comprise about one-quarter of total mortgage purchase applications in Canada. The effect of going for longer amortization is significant enough to extend Canada's housing cycle by about a couple of years by transferring future activity to the present. The highest take-up rates on longamortization products are in British Columbia and Alberta.

Fourth, Canadian fiscal policy is far better off than much of the rest of the world in terms of relatively low net debt levels compared to the size of the economy and federal surpluses. Surpluses or balanced budgets across the provinces add to this picture, but surpluses can mask underlying problems.

There is little doubt in our minds that Ontario's fiscal policy is exacerbating its competitiveness woes by transferring future growth to the present through a rapid rise in program spending and is partly financing this via the world's second highest business tax burden on new investments. The federal government's accelerated equipment write-offs are a partial offset.

Fifth, we expect a capital spending surge in Canada commencing by decade's end. The biggest effects will be felt in Alberta, Saskatchewan, Newfoundland and New Brunswick. Proportionately smaller influences will be felt in Ontario, Quebec and Nova Scotia. British Columbia lacks megaprojects to fill the void after the Vancouver 2010 Olympic and Paralympic Winter Games and, barring major hydroelectricity investments, Manitoba will also miss out along with Prince Edward Island. From RBC Economics

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Saturday, October 20, 2007

REB Comments on Ontario - Forecast lowered; competitiveness waning

Ontario Forecast lowered; competitiveness waning

We have shaved our 2008 growth forecast down significantly, but expect that growth will rebound modestly in 2009 as the U.S. economy accelerates, currency relief materializes, major capital spending by the provincial government kicks in and new auto sector investments swing into production. Renewed upward pressures on the currency, ongoing strength in oil and other commodity inputs, weaker U.S. growth and the surge in China's exports as a share of U.S. imports all mean that central Canada's manufacturers will face another challenging year.

Also, forestry, Ontario's second biggest sector, faces at least another year of weak commodity prices and escalating costs.

While 2009 may bring modestly stronger growth, our chief concern is for the economy's long-run competitiveness under the crushing corporate tax burden that acts as a sharp disincentive to invest. If the province were a country, then, when properly measured, it would have the second highest tax burden on new business investment in the world. Much of this goes to funding very rapid growth in short-term government program spending, with health accounting for about one-half. Ontario has had the second fastest growth rate on program spending behind Alberta in recent years, but in a relatively soft economy and without the Alberta government's resource royalties backing this spending.

Addressing this high tax burden would be a significant offset to the currency pressures on the province's businesses. In fact, much of the incentive to invest as a result of the 60% currency-induced cheapening in imported capital goods gets yanked right back by extraordinarily high rates of taxation. From RBC Economics

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Friday, October 19, 2007

Current Mortgage Interest Rates

Mortgage Rates

These rates are for fully qualified residential first mortgages.

Prime "A" residential rates effective on

Term

Posted rate

Your discounted rate

6 Months

1 Year

2 Year

3 Year

4 Year

5 Year

6 Year

7 Year

10 Year

VRM

Prime:

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark ArgentinoP. Eng. BrokerSpecializing in Residential & Investment Real EstateThinking of Selling? Best Mortgage Rates Current Home Prices Search MLS RE/MAX Realty Specialists Inc.Providing Full-Time Professional Real Estate Services since 1987( BUS 905-828-34342 FAX 905-828-2829 ÈCELL 416-520-1577 E-MAIL : mark@mississauga4sale.com8 Website : Mississauga4Sale.com