Showing posts with label moving-and-relocation. Show all posts
Showing posts with label moving-and-relocation. Show all posts

Wednesday, November 09, 2011

FW: China's Rich

Hi

Interesting trivia tid bit...

There is 960.000 people in China worth more than U$ 1.000.000.
(There are now approx. 272 Billionnaires).

Oddly enough, more than 46 % intend to immigrate.

Reason: There are worried about the security of their assets.

Immigration choices: # 1 - United States, # 2 - Canada.


Let's hope that they all want to invest in real estate in GTA!!

Mark

Sunday, November 08, 2009

CRA and Moving expenses

I hope that you find that this article is interesting and will give you some insight into some of the items to consider when moving. This will also give you some of the expenses that are deductible.

This is another in a series of articles meant to help and educate you with regards to real estate.

It’s important to know that not all moves will qualify for such tax relief. The tax rules provide that, where a taxpayer moves to be at least 40 kilometers closer to his or her place or work (for example, a taxpayer who moves from Toronto to take a job in Regina), most moving costs will be deductible from employment or business income earned at the new location. The 40- kilometer distance is measured using the shortest route normally available to the traveling public, which inmost cases would mean the distance by road. Also,moving to be closer to work doesn't have to mean moving to a new company; a job transfer to another city while continuing to work for the same employer will qualify, assuming the 40- kilometer criterion is met.

Spring is typically the busiest season for real estate sales and, consequently, the time when most moves take place. Selling one’s home and moving qualifies as one of life’s more stressful experiences, but it’s an experience that most families will go through at least once. In addition to the upheaval of leaving behind a home, a school, and a neighbourhood, the financial outlay associated with moving can be considerable. While our tax system can’t do anything to help with the non-financial costs of moving, it does, in some circumstances, minimize the financial hit by providing a deduction from income for moving expenses incurred

The list of expenses that may be deducted is fairly comprehensive, but not all moving related costs are deductible. Under the Canada Revenue Agency' administrative policies, as outlined in its Form T1-M, Moving Expenses Deduction (available on the

CRA Web site at http://www.craarc.

gc.ca/E/pbg/tf/t1-m/t1-m-08e.pdf), the

following are considered eligible moving expenses:

• traveling expenses, including vehicle expenses,meals, and accommodation, to move the tax payer and members of his or her family to their new residence (note that not all members of the household have to travel together or at the same time);

• transportation and storage costs (such as packing,hauling, in-transit storage, and insurance) for household effects, including items such as boat sand trailers;• costs for up to 15 days for meals and temporary accommodation near either the old or the new residence for the members of the household;• lease-cancellation charges (but not rent) on the old residence;• legal fees incurred for the purchase of the new residence, together with any taxes paid for the transfer or registration of title to the new residence;• the cost of selling the old residence, including advertising, notarial or legal fees, real estate commissions, and any mortgage penalties paid when a mortgage is paid off before maturity; and• the cost of changing an address on legal documents, replacing driving licenses and noncommercial vehicle permits (except insurance), and utility hook-ups and disconnections.It sometimes happens, especially where, as is now the case, the real estate market is slow, that a move to the new home has to take place before the old residence is sold. In such circumstances, the taxpayer is entitled to deduct up to $5,000 in costs incurred related to the maintenance of that residence while it is vacant and efforts are being made to sell it. Specifically, costs including interest, property taxes, insurance premiums, and heat and utility expenses paid in relation to that residence may be deducted.It may seem from the foregoing that virtually all moving-related costs will be deductible; however,there are some costs that the CRA will not allow to

be deducted, as follows:

• expenses for work done to make the old residence more saleable (i.e., home-staging costs, furniture or art rental charges, cleaning costs, etc.); deduct them from income earned in subsequent years.• any loss incurred on the sale of the old residence;• expenses for job- or house-hunting trips to another city (for example, costs to travel to job interviews or meet with real estate agents);• expenses incurred to clean or repair a rental residence to meet the landlord’s standards;• costs to replace such personal-use items as drapery and carpets; and• mail-forwarding costs.To claim a deduction for any eligible costs incurred,supporting receipts must be obtained. While the receipts do not have to be filed with the return on which the related deduction is claimed, they must be kept in case the CRA wants to review them .Anyone who has ever moved knows that there are an endless number of details to be dealt with. In some cases, the administrative burden of claiming moving-related expenses can be minimized by choosing to claim a standardized amount for certain types of expenses. Specifically, the CRA allows taxpayers to claim a fixed amount, without the need

for detailed receipts, for travel and meal expenses

related to a move. Using that standardized, or flat rate,

method, taxpayers may claim up to $17 per meal, to a maximum of $51 per day, for each person in the household. Similarly, the taxpayer can claim set per-kilometer amount for kilometers driven in connection with the move. The per-kilometer amount ranges from 49.5 cents for Saskatchewan to 66 cents for the Yukon Territory. In all cases, it is the province or territory in which the travel begins that determines the applicable rate. These rates were in effect for the 2008 taxation year – the CRA will be posting the rates for 2009 on its Website early in 2010, in time for the tax-filing season.



Any moving-related expenses can be deducted from employment or self-employment income (but not investment income or employment insurance benefits) earned at the new location. Where a move takes place late in the year, it’s possible, especially where the move is a long-distance one, that such expenses will exceed income earned at the new location during the calendar year. In such cases, it's possible to carry forward the excess expenses and deduct them from income earned in subsequent years. Generally, these rules apply to moves made from one location to another within Canada. While it’s possible to deduct expenses arising from moves

from Canada to another country, from another

country to Canada, or between two locations outside of Canada, the rules governing deduction sin such situations are far more restrictive.

The rules governing the deduction of moving expenses are outlined in some detail on the CRA’sT1-M form, and any questions not answered by that form can be directed to the CRA’s individual enquiries line at 1-800-959-8281.



I hope this finds you Happy and Healthy!

All the Best!

Mark

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


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
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 : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com

Tuesday, August 11, 2009

Gen X is flexing their new real estate purchasing muscle

Gen X is flexing their new purchasing muscle

Our internal survey of RE/MAX offices across the country have reported that Generation X purchasers are poised to replace aging baby boomers as the major force in recreational property markets across the country.

This demographic shift was originally noted in our 2009 RE/MAX Recreational Property Report highlighting sales, pricing, trends and developments in 50 Canadian markets. Our report found demand from Gen X (those born between 1965 and 1980) has nearly doubled over one year ago. Seventy-four per cent of markets surveyed this year reported a marked trend toward thirty-something buyers snapping up affordably-priced product, ranging from waterfront cottages to resort condominiums, compared to just 40 per cent in 2008.


I hope this finds you Happy and Healthy!

All the Best!

Mark

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


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
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 : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com


Thursday, March 05, 2009

Mortgage interest rates for longer terms are falling slightly

You will see the current posted and best mortgage rates available in the GTA in the table below.

Longer term rates are falling, this is good news for anyone thinking of buying in the next few months!

I hope this finds you Happy and Healthy!

All the Best!

Mark

TERMPOSTED Best RATES*
6 Month 5.2%5%
1 Year5%3.89%
2 Year5.75%4.34%
3 Year5.75%4%
4 Year5.69%4.19%
5 Year5.79%4.22%
7 Year7%5.9%
10 Year7.35%6.05%
Variable Rate3.75%
Prime Rate3%

* Rates are subject to change without notice.

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


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
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 : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com


Sunday, November 23, 2008

Home Staging, when should you stage your house?

When to Stage your House?

Before The Sign Goes Up.

You can't change the location or the size of your house, but you can enhance its presentation.

Ñ Before the appraisal is done

So it will appraise for top dollar

Ñ Before the sign goes on the lawn
So you have the competitive advantage Sell for more money in less time.

Ñ Before the photos are taken
Great first impression to entice Buyers to view your house

Ñ Before the feature sheets are prepared
To capture and highlight the best selling features

Ñ Before the real estate agents tour
Great first impression to entice Agents to show your house

Ñ Before open houses and viewings to appeal to the widest range
of potential Buyers so Buyers will see Pride of Ownership

Ñ Before money is spent on advertising or marketing

Courtesy of:
Lydia Pollard
Owners Pride Home Staging & Design
http://www.ownerspride.ca/

Read more about: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
mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Homes for Sale

Monday, October 27, 2008

blogger labels to create new blogger labels for future posts

this post is necessary to create more of my new blogger labelsToronto Real Estate Board (TREB) Average Prices and Graph

For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

Friday, September 26, 2008

Shorter Amortization on Canadian mortgages is better in the long run

You may have heard that CMHC has lowered their maximum amortization on a mortgage to 35 years from 40 years. As well, there is no longer a no-money down-payment option, you must have minimum 5% cash to buy a property.

I like these changes, for one, it reduces the possibility of a real estate meltdown as is currently happening in the US.

Government changes mortgage rules for CMHC

The federal government here in Canada is attempting to avoid the kind of sub-prime mortgage meltdown plaguing the United States. Effective October 15, 2008, the 40-year mortgages with no money down will no longer be covered through the federal government insurance program administered by Canada Mortgage and Housing (CMHC). Instead of this option, the longest period of amortization for a Canadian mortgage insured by CMHC will be 35 years.

As well, a buyer insured by CMHC will have to make a minimum down payment of five per cent of the home's value. This will be grandfathered, as Canadians already holding 40-year no-money-down mortgages won't be affected by the changes.

The regulations will apply to such federal agencies as CMHC, (the Canada Mortgage and Housing Corp)., which has an estimated 60 per cent share of the mortgage insurance market. However, private-sector mortgage insurance rivals such as Genworth Financial, PMI Mortgage Insurance Co. Canada and AIG United Guaranty are free to offer the product.

One difference is that the federal government will no longer provide insurance that protects lenders in the event of a default by the insurers.

Existing 40-year mortgages will be grandfathered, a Finance Department spokesman said. In 2006, the maximum amortization period was extended to 40 years from 25, and longer-term mortgage products have become increasingly popular with buyers looking for lower monthly payments as the price of Canadian homes soared.

Today's announcement marks a responsible and measured approach by the government to ensure Canada's housing market remains strong, and to reduce the risk of a U.S.-style housing bubble developing in Canada," the Finance Department said in a statement.

In 2007, 37 per cent of new mortgages were for terms of longer than 25 years, according to the Canadian Association of Accredited Mortgage Professionals (CAAMP). But while longer amortizations stretch out monthly payments, they also greatly increase the cost of a mortgage over its lifetime. For example, the total interest on a $300,000 mortgage can soar from $286,161 over the life of a 25-year mortgage to $498,416 over a 40-year amortization period – adding more than $200,000 to the cost of the home.

According to analysts, the Canadian housing market would have slowed sooner if longer- term amortizations had not been introduced. The longer amortizations mean much greater interest costs over the life of the mortgage, but smaller monthly payments, which allows buyers to bid on a more expensive home than they otherwise could afford.

Bank of Canada Governor Mark Carney said in May he was concerned about the prevalence of long amortizations. "They add to the momentum in the housing market, and if everyone has a 40- year amortization mortgage, then you just have higher housing prices."

This, combined with the fact that these mortgages are often combined with little or no equity, raised alarm bells with policy makers looking at the turmoil that took place in the U.S. when house prices started to fall.

"We've seen an inclination now, a trend, toward longer-term amortizations and smaller down payments, and that is a matter of some concern," Finance Minister Jim Flaherty said in a speech in May. Mr. Flaherty was not available for comment Wednesday.

Jim Murphy, president and chief executive of CAAMP, said in talks with him the government expressed concern about the risky lending products that collapsed the U.S. housing market. The Finance Department was also worried about the future impact of competition between mortgage insurers, which led to the introduction of 40-year mortgage in 2006, Mr. Murphy said.

"I think you have a clear case of the government sitting down and looking at its risk exposure and wanting to review that. They have financial guarantees in place for the CMHC and private insurers, and they were saying, 'What is our risk, and what is the risk to the Canadian taxpayer?' " he said.

Others, however, say home buyers and banks have been prudent with their finances, and are being punished for the more lax approach south of the border. "Things here are not like they are in the U.S. where they had those NINJA loans, no income, no job, no assets. … It's only going to hurt the consumer," said John Panagakos, owner of Toronto brokerage Mortgage Centre.

Reaction from the industry was mixed. "CMHC supports the new parameters … . We also support their efforts to maintain the strong Canadian housing market," said spokesperson Stephanie Rubec, adding CMHC will stop insuring 40-year and zero down payment mortgages in October.

"It's the right move," said Nick Kyprianou, president of Home Capital Group Inc., whose principal subsidiary, Home Trust Co., provides alternative mortgages. "Why get people overextended? Nobody wins by getting people right to the end of the cliff."

The move actually comes at a time when the housing market has moved on to other concerns, the most pressing of which is chilling consumer sentiment due to high fuel prices, said Douglas Porter, deputy chief economist at BMO Nesbitt Burns Inc.

This was issued by CREA 10/07/2008

You may read more about this at my site, www.mississauga4sale.com

Thanks

Mark

Saturday, July 19, 2008

Trends in Seniors Housing

Current and Future Trends in Seniors Housing are –

i. A landowner who wants to know what to develop
ii. A developer who wants to hear his choices in the Over 50s Market
iii. An Architect who needs to know what the Boomer Market is buying
iv. An existing Aged Care Housing provider who wonders if there are any economic opportunities beyond the running of a Nursing Home

This is a growth sector that requires much more attention and focus

- There are dozens of market niches in Housing for the Over 50s

- How can we assist with enthusiasm and renewed passion for developing Over 50s Housing.

Seniors Housing, discoursing on trends and weaving the knowledge into your dilemmas, conundrums and land development opportunities.

Analyze the Seniors Housing Sector - giving some shape to the new future of Over 50s Housing in Canada.

Who can benefit by observing trends in seniors housing? Builders, developers, financiers, architects, owners, seniors housing executives who are either, contemplating entering the over 50s housing sector and long standing industry players who need an outside view to freshen up thinking, perspective or re-evaluate industry positioning.

I will be providing detailed analysis of the 100 sub-trends in 50s independent housing, as well as the sub-trends in semi-dependant housing and the future of nursing homes, socio-economic trends, social impacts, financing techniques and an overview of best practice developers, finders, managers and operators as well as a review of design, architecture, construction and business models.

Check back in the future for more content.

Read more about: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
mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Homes for Sale

Thursday, July 10, 2008

RBC reports that markets have changed across country

Tide turns in 2008

Last year, major markets delivered a sixth consecutive year of 10% house price gains, sales-to-listings ratios held firmly in seller’s

territory, and housing starts held above 220,000 units for a fourth year running as excess demand in the resale market spilled over into

the new home market. But, housing markets are now on a clear cooling path.

Calgary and Edmonton have moved from chart-toppers to bottom-of-the heap in only a matter of months on a range of key housing

market indicators, including house prices and sales.

Regina and Saskatoon continue to clock year-over-year price gains that are several multiples above the pace of their local wage

growth. This lends evidence that current momentum is unsustainable,. with a similar fate to Alberta’s likely for both of these cities in a

year’s time.

Many of the middle-of-the-pack markets — like Toronto, Ottawa and Montreal — are maintaining their slow and steady cruising

speed. House prices across much of central and eastern Canada are growing between 5% and 10% year-over-year.

Mark

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


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
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
Website : Mississauga4Sale.com

Monday, June 09, 2008

Canada Real Estate Practices

Canada Real Estate Practices

Overview

Canadian real estate agents work in much the same way in all of the provinces and territories. However, educational and licensing requirements vary provincially and agents are licensed by their provincial regulators.

The majority of Canadian real estate agents are Realtors®- i.e. are members of the Canadian Real Estate Association (CREA). Canadian Realtors place almost all of their property listings on the Multiple Listing Service (MLS), and as a result property listings are available to view by all Realtors in the marketplace.

Both the Land Titles (Torrens) System and Registry System are established and maintained through provincial legislation. While the Land Titles System provides a certified, accurate land record and guarantees title; the Registry system requires buyers to search titles based on a history of conveyances and satisfy themselves. Regardless of the system used, the information is computerized and publicly accessible in exchange for a user fee which varies with the municipality.

Real Estate Practices

Generally speaking, one Realtor will act on behalf of a seller and another will represent a buyer. Sellers typically pay the broker's commission and costs relating to the closing. Legal fees are shared by the buyer and seller.

The Realtor will draft the Contract of Purchase and Sale (the Offer), and do the negotiating between buyer and seller via the seller's Realtor. Typically, they then provide the contracts to the lawyer/notary who handles the legal aspects of the transfer of title. Along with the offer, the buyer brings a deposit to show good faith to the seller. The seller's agent is obligated to bring all offers to the seller's attention. If the offer is accepted and all the conditions are met, the offer becomes binding between the buyer and seller.

Mortgages are commonly used to purchase real property and second, third and fourth mortgages are permissible in Canada. Mortgages are available primarily from banks and lending institutions and the typical maximum term is 10 years, although the average consumer is usually in a 5-7 year term mortgage. At the end of the term, the outstanding balance is due but is usually renegotiated for a further term at the then current rate of interest.

Interest paid on a mortgage in Canada is not tax-deductible. And unless one has at least 25% of the purchase price of a home to put down or 50% for vacant land, mortgage insurance is charged by the lender. The percentage charged on the mortgage varies, depending on the amount put down, but starts at 3.25% for those putting only 5% down. Usually, the payments are simply worked into one's mortgage payments. Given that non-resident borrowers are limited to borrowing 65% of the property value; this added cost is non-applicable to a foreign buyer.

The closing process typically occurs less than 60 days following execution of the contract on resale property. Although there is no legal requirement to do so, the closing usually occurs through both the buyer's and seller's legal counsel.

All Realtors in Canada must pay a federal tax of 6%, called the Goods and Services Tax, on commissions earned, and in some provinces a provincial tax is levied as well. The seller pays for these taxes. Resale homes are not subject to the 6% federal tax, although one must pay it on new homes. If the new home is to be a primary residence, a rebate is offered.

Capital gains is payable on homes sold by non-residents. A capital gains tax of 25% is charged on the gain and, if not paid, the buyer's Realtor must withhold anywhere from 20 to 25% of the total sales price from the seller in order to ensure payment is made.

Read more about relocaiton: http://www.mississauga4sale.com/relocation.htm

Mark

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


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
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 : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com


Wednesday, April 02, 2008

How to make the move as easy and stress free as possible

How to Create a Smooth Move for Your Family

Moving to a new community may be one of the most stress-producing experiences a family faces. Frequent moves or even a single move can be especially hard on children and adolescents. Studies show children who move frequently are more likely to have problems at school. Moves are even more difficult if accompanied by other significant changes in the child's life, such as a death, divorce, loss of family income or a need to change schools.

Moves interrupt friendships. To a new child at school, it may at first seem that everyone else has a best friend or is securely involved with a group of peers. The child must get used to a different schedule and curriculum, and may be ahead in certain subjects and behind in others. This situation may make the child stressed, anxious or bored.

Children in kindergarten or first grade may be particularly vulnerable to a family move because developmentally they are just in the process of separating from their parents and adjusting to new authority figures and social relationships. The relocation can interfere with that normal process of separation by causing them to return to a more dependent relationship with their parents.

In general, the older the child, the more difficulty he or she will have with the move because of the increasing importance of the peer group. Pre-teens and teenagers may repeatedly protest the move, or ask to stay in their hometown with a friend's family. Some youngsters may not talk about their distress, so parents should be aware of the warning signs of depression, including changes in appetite, social withdrawal, a drop in grades, irritability, sleep disturbances or other dramatic changes in behavior or mood.

Children who seem depressed by a move may be reacting more to the stress they are experiencing than to the relocation.

If the child shows persistent signs of depression or distress, parents can ask their family doctor to refer them to a child and adolescent psychiatrist or therapist. The psychiatrist or therapist can evaluate and treat the child's emotional problems which may be associated with stress and also help parents make the transition easier for the whole family.

While preparing for possible difficulties, remember that many good things can come from a move. The family may grow closer; parents may learn more about their children from going through the experience with them; and children may enjoy a new sense of independence and accomplishment. With the proper attention from parents, and professional help if necessary, moving can be a positive growth experience for children, leading to increased self-confidence and interpersonal skills.

Making the Move Easier:



Explain clearly to the children why the move is necessary.
Familiarize the children with the new area with maps, photographs or the daily newspaper.
Describe advantages of the new location that the child might appreciate such as having their own room, a new playground, a nearby beach or an amusement park.
After the move, get involved with the children in activities at your church or synagogue, school, scouts, YMCA, etc.
If a son or daughter is a senior in high school, consider the possibility of letting him or her stay with a trusted family until the school year is over.
Let children participate in designing or furnishing their room.
Help children keep in touch with friends from the previous neighborhood through telephone, letters, e-mail and personal visits. Information for this article was provided by the American Academy of Child and Adolescent Psychiatry.

Read my moving checklist http://www.mississauga4sale.com/moving-checklist.htm

Read more about: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
mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Homes for Sale

Monday, September 17, 2007

What is The Secret to Pricing Your Home to Sell?




The Secret to Pricing Your Home to Sell - What's the Secret?

Reprinted in part from the article by Jim Remley

Contrary to popular belief, when selling your home its value is determined by one thing and one thing only - what a qualified buyer is willing to pay for it. No more and no less. Sure, many sellers will argue that their home has an insurance replacement value, or an appraised value, or a tax assessed value, but unless your insurance agent, your banker, or your tax assessor is willing to write you a check for the home - guess what? None of that matters. A home without a buyer has no value in the market place. Sure it might have a value to you the seller, and it might have a value to your banker, and to your insurance agent, and to your appraiser. But none of these people are buyers.



So here is the secret to pricing your home to sell - It's not what you think the home is worth that matters, it's what a reasonable buyer will think your home is worth that will ultimately determine if your home will sell.



Now you maybe thinking - Hey wait, if I left it up to a buyer, they would pay me as little as possible for my home. True, they would. But in the real world every buyer knows that you, the seller, have no obligation to sell your home at any price. To purchase your home the buyer will have to make you an offer you can't or won't refuse. One that will motivate you to pack up your Ken and Barbie collection, hire a local mover, and wave good bye to a home full of memories.



But here-in lies the trap that many sellers fall into (myself included), which is the mistaken idea that we can hold out for an inflated price and eventually the market will come to us. Wrong! Buyers are under no obligation to buy any particular home, and no amount of marketing, open houses, websites, or signage will motivate a buyer to purchase an overpriced home. Why? Because they can buy one of your neighbours homes for less! This reveals one of the most important considerations in pricing your home - Price VS Time.

Understanding Price VS Time

The age old dilemma that has faced buyers and sellers since the dawn of private property rights is a simple question: What is more important price or time? Believe it or not this conundrum underlies and controls every sellers decision to sell, and every buyers need to complete a purchase. For sellers this boils down to the need to sell within a set time frame or instead to hold out for the best possible price, and as you might guess, for buyers it's the need to buy within a set time frame or to purchase a home for the lowest possible price.


A seller who would like to sell for top dollar should be prepared to potentially wait longer for a buyer willing to pay a premium price. Like trying to sell ice during December, a seller might have to give the stuff away just to get rid of it, but if they wait long enough, say until mid-August when temperatures crest over 100 degrees suddenly that same ice can have real value. On the flip side, a seller who needs to sell quickly, and doesn't have time to wait, should expect to discount their price somewhat because of the limited time they have to expose their home to the market.

What's the difference? Timing!

Buyers are in the same boat. A buyer who has the luxury of shopping for a home over a long period of time can probably wait to find a bargain, while another buyer who must buy a home in the next few weeks will probably be willing to pay a premium. Again it boils down to price vs. time. So you might ask yourself what is your highest priority - Selling quickly or selling for a higher price?

Many homeowners will attempt to put the responsibility of getting both top dollar and fast sale on the back of their hired gun, the real estate agent. The result can be summed up in one word - frustration. Why? Because no matter how much a seller yells, screams, and kicks a real estate agent, they don't do miracles. This is why successful sellers understand that while a real estate agents job is to provide marketing, expert advice, and negotiating services, in the end they don't own the property. They don't make the final decisions on pricing. The seller does, and ultimately the seller's asking price will in large part determine how slowly or quickly the home will sell.

To frame this discussion in a different way, consider what you will do should you arrive luggage in hand at the end of your listing period and the home has not yet sold. At that point are you more likely to give it a little more time or adjust your price? I know - Neither, I'll just fire the agent! To be honest, this is exactly what many sellers' do, they fire their agent and reboot the marketing. Does it work? Sometimes it does, but often these sellers end up three months later in the same slow boat to nowhere. Successful sellers on the other hand take ownership of their pricing decisions by making a clear decision about which is more important to them, selling quickly or selling for top dollar.

Successful sellers have learned that to price their home accurately means they need to think like a buyer, they need to get inside a buyers skin and look at the world through a buyers eyes. For instance, imagine for a minute that you are moving to another area of the country, to a city that you are completely unfamiliar with. If you were faced with buying a home in strange city what would be your first step?

As a typical internet empowered real estate buyer you will look at an average of nine homes over eight weeks with the assistance of a real estate professional. By the end of your journey, like many buyers, you become so knowledgeable about the market that by the last showing you are able to guess, with reasonable accuracy, each homes listing price before your agent can even tell you.

So what happened here? As a buyer you went from a blank slate, with no impression of the market to having the ability to predict listing prices.

Summary: if your home is not priced correctly, it is usually rejected by most buyers before they even see it. And, if they do see it they will reject it because it does not favourably compare to other homes in the same price range.

Read more about pricing your home to sell


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
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FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
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Wednesday, September 05, 2007

Moving Company Website Review

The following is a sponsored post.
"MY Moving Quote" Moving Company Website Review

Recently I had the opportunity to review a moving company website called Mymovingquote.com. This company provides the most complete directory for online moving companies, services, and listings for professional movers and associated specialty services of any moving site that I have reviewed.

The reason that I like this site is that it is a one stop service for relocation within your city, across the country or around the world. The best part about the site in my opinion is that they offer online moving quotes.

The url for the site is
http://www.mymovingquote.com/ and as they say at their site, they are dedicated to helping people select the best professional movers and not just just the best local movers, but also the best international moving company to meet your international relocation needs.

They also provide people with free Auto Shipping quotes from several companies that would be located in your area. Their website offers car transport tips, storage information, help with understanding car insurance issues, vehicle hauling, and international movers too!

They will provide you with free moving overseas quotes from several international movers in your area. The website also offers moving and packing tips, storage information, help with understanding international insurance protection and international shipping too! Take the worry out of your Relocation by choosing from among the best international moving companies in your area. You can save time by selecting among moving companies that specialize in the types of moving and services that best suit your needs.

My Moving Quote website is dedicated to helping people like you select the best moving company to meet your relocation needs. They will provide you with free moving quotes from several moving companies in your area. Their site offers moving and packing tips, storage information, help with understanding moving insurance issues, auto transport, and international movers too!

You will find many packing tips and packing services at their site. They have a complete and comprehensive section at
http://www.mymovingquote.com/Content/PackingTips.shtml

There is also a section that will help you pick a mover. As there are many considerations when choosing a moving company, this site will assist you in making that decision at
http://www.mymovingquote.com/content/choosingamover.html

Moving with children can create special concerns and can be as challenging as it is exciting. Sometimes more so. Moving is as hard for kids as it is for adults. They are leaving behind familiar places and important friends. They are starting over: seeking new friends and adjusting to a new home, neighborhood, and school. But because they're still learning how to socialize and how to effectively get their needs, children need caring adults to listen and help them adjust to their new home, now more than ever.

When you are moving with pet, this too can create challenges. Pre-planning is the key to an easier transfer, regardless of the mode of transportation chosen. Travel arrangements should be completed as far in advance of moving day as is practical, keeping departure day tasks to a minimum. One person in the family should assume responsibility for the pet.

You may read more about
this moving website.


Toronto Real Estate Board (TREB) Average Prices and Graph

For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com