Showing posts with label remax. Show all posts
Showing posts with label remax. Show all posts

Tuesday, February 08, 2011

Real Estate experienced significant gains over the past 10 years

This is the latest report from RE/MAX and shows that our marketplace has
experienced significant gains over the past 10 years


See the graph on my site showing the previous 10 to 15 year run-up of real
estate prices


http://www.mississauga4sale.com/TREBavg1995date.htm


Enjoy!


Mark



'Wild card' props up Canadian housing markets over past decade, says RE/MAX


Inventory remains key to stability in 2011

Tighter inventory levels helped to make the last decade one of the
healthiest periods on record for Canadian real estate, insulating markets in
major centres from the peaks and valleys characteristic of past decades,
according to a report released today by RE/MAX.

The RE/MAX Housing Barometer Report measured monthly sales-to-new listings
ratios in 18 major centres across the country from January 2000 to December
2010. The report found strong seller's/balanced conditions prevailed for
much of the time frame, prompting significant gains in housing values. The
lone exception was when the market dipped into buyer's territory during the
latter half of 2008 and early 2009. However, fewer listings served to
offset diminished demand and provided greater stability. Average price
increases from 2000 to 2010 ranged from an annually compounded rate of
return of 4.82 per cent in London-St. Thomas to a high of 9.56 per cent in
Regina. Quebec City and Greater Montreal saw a return of 9.2 per cent and
8.48 per cent respectively. The national average was 6.82 per cent. By far
the tightest market in the nation was Winnipeg, where seller's ruled the
roost for 85 per cent of the decade, followed by Hamilton-Burlington (67 per
cent), Regina (63.6 per cent), Kitchener-Waterloo (59.8 per cent) and
Edmonton (57.5 per cent).

"There's no question that price appreciation has been solid over the past
decade, in large part due to tight supply, but history tells us that
exceptional growth supported by sound fundamentals is healthy," says Sylvain
Dansereau, Executive Vice President, RE/MAX Quebec. "Concern is only raised
when the underpinnings are insufficient to justify the trajectory. Canada's
real estate markets measure up to conventional wisdom. Quebec markets, in
particular, have performed exceptionally well since 2000, bolstered by job
security, lower interest rates, and a growing belief in homeownership. The
next decade is expected to bring more of the same, with inventory once again
playing a key role."

A number of city centres are already reporting stronger than usual housing
activity out of the gate, with first-time buyers comprising the vast
majority of purchasers and move-up buyers in close pursuit. Quebec markets
are no exception. Demand and supply are on relatively even keel at present
in most areas, but the traditionally busy spring season is expected to keep
the market at a perfect equilibrium in the days and months ahead. However,
there may be some exceptions to the rule. The country's largest markets-
Greater Montreal , Greater Toronto , and Greater Vancouver-are expected to
head into the second quarter with fewer listings overall. Two
centres-Newfoundland & Labrador and Kelowna-are still firmly entrenched in
buyer's markets.

"Inventory has always been the wild card," says Michael Polzler, Executive
Vice President, RE/MAX Ontario-Atlantic Canada. "Its influence is
remarkable, but a number of other factors will serve to bolster Canadian
real estate moving forward including land scarcity, intensification,
immigration, continued infrastructure and capital spending, improving money
markets and the rebounding economy. The threat of rising interest rates and
the changes to mortgage lending may also prompt a flurry of activity
affecting price growth in the weeks ahead. Yet, overall, gains in 2011 will
be more moderate than those noted in the past decade."

Western Canada experienced some of the highest rates of return for real
estate over the 11-year period. While values in Regina posted the greatest
percentage increase (9.56 per cent), Edmonton, (9.25 per cent), Saskatoon
(9.2 per cent), Winnipeg (9.01 per cent), Kelowna (8.42 per cent), Greater
Vancouver (7.8 per cent), Calgary (7.7 per cent) and Victoria (7.59 per
cent) all outperformed the national average.

Equally strong gains were posted in Quebec. While solid balanced market
conditions prevailed for much of the decade, housing values in Quebec City
and Montreal rose 9.2 and 8.48 per cent respectively on an annually
compounded basis.

Increases were more moderate in Ontario and Atlantic Canada-with the
exception of Newfoundland & Labrador, where values escalated 8.14 per cent
on average. Ottawa led in terms of price appreciation in Ontario at 6.78
per cent, followed by Hamilton-Burlington at six per cent,
Kitchener-Waterloo at 5.69 per cent, the Greater Toronto Area at 5.35 per
cent, and London-St. Thomas at 4.82 per cent.

"An improved global economic picture, lower unemployment rates and rising
consumer confidence have buoyed home buying activity since November," says
Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada.
"While sales figures are expected to be slightly off 2010's heated pace,
housing values are forecast to continue to climb in Canadian real estate
markets in 2011-with most a direct result of lower listing levels."

While the statistics are impressive, they alone cannot tell the tale. The
gains realized over the past decade speak to the tremendous resiliency of
the Canadian residential housing market. Considering catastrophic events,
both natural and manmade, that occurred throughout the period-SARS, forest
fires, ice storms, 9/11, a recession-the performance of the real estate
sector proved that much more significant. It remained a consistent bright
spot supporting economic growth and ancillary spending, and subsequently
helped lead the nation out of the greatest downturn in recent memory-its
hardy nature heightening its appeal as a long-term investment.

RE/MAX is Canada's leading real estate organization with over 18,000 sales
associates situated throughout its more than 690 independently-owned and
operated offices in Canada. The RE/MAX network, now in its 38th year, is a
global real estate system operating in 80 countries, with over 6,300
independently-owned offices and over 92,000 member sales associates. RE/MAX
realtors lead the industry in professional designations, experience and
production while providing real estate services in residential, commercial,
referral, and asset management.

I hope this finds you Happy and Healthy!

All the Best!

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc.
Providing Full-Time Professional Real Estate Services since 1987
BUS 905-828-3434
FAX 905-828-2829 CELL 416-520-1577
mark@mississauga4sale.com
Mississauga4Sale.com

* Thinking of selling your home in the next 3 to 6 months? Would you
like a Complimentary & Quick Over-The-Net Home Evaluation ?
www.mississauga4sale.com/internet-evaluation.htm


* Power of Sales and Foreclosures
www.mississauga4sale.com/Power-Sales-Bank-Sales-Alert-Request.htm


* If you have not already signed up to receive my monthly real estate
newsletter, you may do so here: On-Line Real Estate Newsletter sign up
www.mississauga4sale.com/popupquestion.htm


* See seasonal housing patterns
www.mississauga4sale.com/TREBprice.htm


* Would you like me to send you a desk or wall Calendar?
www.mississauga4sale.com/Calendar-Order-Form.htm

Monday, October 04, 2010

REMAX Market Share in Mississauga for August 2010

The graphic below shows that REMAX holds the highest market share in the
Mississauga area for listings sold in the month of August

Clearly if you are thinking of selling your home in Mississauga, REMAX is
the company you should choose!


May I also point out that I have the premier top ranking site on
http://www.google.com/ for all of Mississauga. Try
searching the phrase Homes for Sale in Mississauga or any similar search
term and my site comes up number one. This means that you will receive huge
internet traffic on your listing. Read more about


http://www.mississauga4sale.com/Achieving-Number-One-On-Google.htm


how
this benefits you.


Have a great day!

Mark


Wednesday, March 31, 2010

CREA and the Competition Bureau

This is the letter that our VP and regional director sent to us on March 25, 2010. It's in response to the CREA and competition bureau controversy.

RE/MAX, CREA and most realtors do not have a problem that people can put their homes on the mls for a flat fee. CREA still wants us realtors to give client service to these sellers and if so, then we must provide many services that we currently do. If this is the case, then a small flat fee may not suffice for the amount of responsibility and work that we must continue to put forth, even for a flat fee listing.

The competition bureau still believes that since CREA is mandating that we realtors continue to provide services to the client, they are still 'restricting' the openness of the mls.

In my opinion the competition bureau is a government organization that by definition must argue any restrictions, thus the reason for the problem.

If you want a realtor to list properties and give agency, then there are restrictions. If you don't want to use an agent but still want to list on the mls, why, it's CREA's system and they can make the rules.

Ultimately, as Michael states below, the public in Canada will have one more option to list their home on the mls with a flat fee. Not many will utilize this option. Not many agents will offer this option at a low price.

Everything will even out and reach an equilibrium based upon our free economy.

Sellers will have another option when selling.

Life will go on.

All the best!
Mark

This was the letter we received on March 25th, 2010:


_____

From: Michael Polzler
Sent: Thursday, March 25, 2010 5:21 PM
To: mark@mississauga4sale.com
Subject: CREA and the Competition Bureau


RE/MAX Ontario Atlantic Canada Inc. - Voice Of Real Estate
<http://www.remaxoa.com/10/Regional/REMAXVoiceOfRealEstate.jpg>

Dear RE/MAX Broker-Owners Managers and Sales Representatives:

CREA and the Competition Bureau

Confusion reigned across the country this week as the Canadian Real Estate
Association (CREA) announced anticipated amendments to the Multiple Listing
Service (MLS) in response to issues raised by the Competition Bureau.

My subsequent comments in the Globe and Mail didn't help. They were,
unfortunately, taken out of context and may have added fuel to the fire. Let
me assure you that I did not say that we should throw in the towel. However
I've also been in the business too long not to recognize the fact that our
industry is changing.

CREA was a little less than crystal clear in their communications, but in a
nutshell, under the new rules, clients can now choose a realtor for the sole
purpose of listing their property on MLS for a flat fee, but few will.

There is no doubt in my mind that the playing field is going to change in
the coming years. I do believe, however, that the impact on our industry
will be minimal and I speak from experience based on our US operations.
These rules have been in place south of the border for several years and
little has changed. In fact, the value of a great realtor has never been
more important.

Consumers are entitled to options and yes, there will be those that choose
to go it alone. But most people don't want to sell their own cars, let alone
their own homes. The fundamentals of this business are etched in stone and
will remain the same, no matter what happens between CREA and the
Competition Bureau. Those buyers and sellers who are making the largest
financial investment of a lifetime will still require the knowledge,
expertise and negotiation skills that a full-time, experienced real estate
professional brings to the table - and most, if not all, are willing to pay
for it.

There is more to what we do as realtors than place properties for sale on
the MLS. We should not define ourselves by MLS alone. MLS is just one of the
many tools that we use during the course of a transaction. The vast majority
of homes in this country are currently sold through a full-service realtor
and that trend will continue in the future. Let's not lose focus. We're
helping thousands of Canadians to buy and sell real estate annually. Our
role has not and will not be diminished.

I have no doubt that we will continue to thrive, as we always have. But more
important than ever before will be the value proposition you, as a realtor,
brings to a transaction. Knowledge, experience and professionalism are the
foundation on which our industry has been built. At the end of the day, it's
what the public expects of a professional realtor.

Don't underestimate your importance in the home-buying and selling
experience. The fact is, consumers need us. I welcome your thoughts at
mpolzler@remax-oa.com

Sincerely,
Michael Polzler Signature
<http://www.remaxoa.com/10/Regional/MikeSignature.jpg>
Michael Polzler
Executive Vice President and Regional Director
RE/MAX Ontario-Atlantic Canada Inc.

Wednesday, February 24, 2010

Low number of properties on the market in Mississauga, Toronto and GTA

This is the latest press release from RE/MAX regarding the state of our market. There is certainly a low number of properties on the market in Mississauga and this will only fuel the market!
All the best!
Mark


Low inventory levels set stage for heated Spring market in most major Canadian centres, says RE/MAX

Active listings down in 81 per cent of markets in January

Mississauga, ON (February 24, 2010) - Lack of inventory will be the greatest challenge facing housing markets across the country this Spring, according to a report released today by RE/MAX.

The RE/MAX Market Trends Report 2010, which examined real estate trends and developments in 16 markets across the country, found that unusually strong activity during one of the traditionally quietest months of the year has led to a sharp decline in active listings in 81 per cent of markets surveyed. The threat of higher interest rates, tighter lending criteria, and in British Columbia and Ontario, the introduction of the new Harmonized Sales Tax (HST) have clearly served to kick-start real estate activity from coast-to-coast, prompting an unprecedented influx of purchasers. As a result, 87.5 per cent of markets posted an increase in sales in January. Average price appreciated in 81 per cent of markets surveyed.

"There have never been so many motivating factors in play at once," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "We're in for a heated Spring market that will, in all probability, spill over into the summer months, as the window of opportunity draws to a close. The supply of homes listed for sale has been drastically reduced, housing values are once again on the upswing, and banks and governments are moving in unison toward stricter lending policies."

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

Saturday, December 19, 2009

Real Estate has helped Canada out of the recession

This is another good summary from REMAX regarding why Canada has rebounded from the recession with such quickness and apparent ease.

Enjoy!
Mark

Amid one of the worst recessions since the Great Depression, the one safe harbour proved to be housing. Not stocks. Not bonds. Real estate.

Why? The answer is really quite simple. Canadians believe in real estate.

Housing has proven itself a resilient and tangible investment that provides both a hedge against inflation and long-term appreciation. Buyers demonstrated their commitment en masse in 2009-taking advantage of rock-bottom interest rates and greater affordability levels-to drive housing sales and/or average prices to new heights. This year's real estate performance has been nothing short of remarkable.

The surge in sales has allowed residential real estate markets to play a key role in leading Canada out of the downturn. It is estimated that a total of $46,400 in ancillary spending are generated by the average housing transaction in Canada. With 465,000 resale homes expected to change hands by year-end 2009, that represents a $21.5 billion boost to the economy-not to mention the countless jobs and tax revenue housing supports. Going forward, the real estate sector is expected to have an even greater impact.

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


Friday, December 04, 2009

REMAX optimistic on 2010 housing market in light of economic stability in Canadian markets

This is another 'feel good' article from REMAX in Ontario and indicates that the housing market will improve even more in our area and across the country in 2010, let's hope!
Mark

Housing performance expected to accelerate in 2010, as economic stability returns to Canadian markets, says RE/MAX

Mississauga, ON (December 3, 2009) - In the midst of one of the most tumultuous economic periods in recent history, residential real estate has proven to be a safe harbour, with sales and average price expected to post gains in most major Canadian cities in 2009, according to a report released today by RE/MAX.

The RE/MAX Housing Market Outlook for 2010 examined residential real estate trends in 23 markets. The report found that sales are forecast to recover in almost all major centres by year-end 2009, led by an anticipated 45 per cent increase in Greater Vancouver. Two markets -- Ottawa and Quebec City -- are expected to hit historic highs in the number of homes sold. Average price should post new records in 65 per cent of markets surveyed this year. As economic performance ramps up across the country, so too will residential real estate. Eighty-three per cent of markets (19/23) are expecting sales to increase over 2009 levels while housing values are forecast to escalate in 91 per cent (21/23) of Canadian centres in 2010. The remaining markets will match 2009 levels.

Approximately 465,000 homes are expected to change hands nationally in 2009, a seven per cent increase over one year ago. Canadian housing values are forecast to close the year at $318,000, up five per cent from $303,594 in 2008. By year-end 2010, the number of homes sold is predicted to climb another two per cent to 475,000 units. The average price of a home is also expected to experience an uptick, rising two per cent to $325,000 - the highest level in Canadian history.

"2009 was without question the year of the house," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "Real estate not only defied industry and analysts' predictions in 2009 -- it's performance went well beyond the realm of expectation by boosting consumer confidence levels and ultimately kick starting the national economic engine. While low interest rates were a principle factor driving home buying activity, no one can discount the value that Canadians place in owning a home."

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, November 10, 2009

CREA and Competition Commissioner decision

Below is an email that we just received regarding the recent conclusions that the Commissioner of Competition in Canada released. In a nutshell, the commission concluded, among other items, that CREA and local boards must open their boards up to private listings for sale.
To say the above conclusions have created a "flashpoint" would be an understatement.
At any rate, here is our RE/MAX Ontario Atlantic VP and Regional Directors response on the matter below. It's the most clear and succinct information I've seen on this issue to date.
Enjoy!
Mark




To: RE/MAX Ontario-Atlantic Broker/Owners, Managers & Sales Associates:


I write to you today in response to various media reports that have transpired over the last week with respect to the inquiry by the Commissioner of Competition. Understandably there is some unrest and definitely many questions throughout our network with respect to whether this will affect our current business model and practices.

All that RE/MAX Ontario-Atlantic knows about the issue between CREA and the Competition Bureau is what has been reported in the media and minor clarifications that have been made thereto.

It is our understanding that CREA has not made a decision yet as to how they will proceed as they are still waiting to receive further clarification on what exactly the proposed changes will entail.

We are actively monitoring the situation to determine what any actual change will be. So far this is what we have been able to determine.


CREA has been in communication with the Competition Bureau regarding the inquiry by the Commissioner of Competition into certain practices in the residential real estate brokerage industry in Canada. The Bureau has recently informed CREA of the Commissioner's conclusions.
  1. CREA does not agree with the Commissioner's conclusions. CREA believes that the Bureau's concerns are based on a fundamental misunderstanding of the way in which the rules of the MLS® system operate.
  2. CREA has always indicated its desire to be responsive to concerns expressed by the Competition Bureau and to engage in productive dialogue with the Bureau. Although CREA believes that the Bureau's concerns about the MLS® rules the Bureau is focusing on are unfounded, it is evident that these concerns have become a flashpoint for the Bureau.

  3. The Board of Directors of CREA has determined that it will pursue a consensual resolution with the Bureau, subject to member support. It is my understanding that discussions are ongoing and that it is CREA's intention to inform its members and stake holders of any proposed solution and seek member support before agreeing to any settlement.
Please note a decision has not been made and it is business as usual.

Sincerely,

Michael Polzler
Executive Vice President and Regional Director
RE/MAX Ontario-Atlantic Canada Inc.

Tuesday, November 03, 2009

Real Estate Market Market Trends 2009

This is the latest press release from RE/MAX regarding the housing market in Ontario Atlantic Canada, all good news, of course!

Enjoy

Mark

Luxury housing sales edge higher as purchasers take advantage of buying opportunities in Ontario-Atlantic Canada, says RE/MAX

Mississauga, Ontario (November 3, 2009) - Luxury homes sales continue to accelerate as economic recovery takes hold in major markets in Ontario and Atlantic Canada, according to a report released today by RE/MAX.

The RE/MAX Upper End Report found that momentum is building in St. John's, Saint John, Halifax-Dartmouth, Ottawa, Kingston, Greater Toronto, Hamilton-Burlington, and London as purchasers realize that the best buying period in recent history is about to come to a close. Sales are already on par or ahead of last year's levels in 50 per cent of cities surveyed, while the remaining markets are set to reach 2008 figures by year-end.

"Twelve months of healthy home buying activity have clearly been crammed into five short months," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "It's hard to believe that the transition in the market began in May. We've seen steady upward momentum since that time, with solid year-over-year gains posted each and every month."

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, September 24, 2009

REMAX reports that Canadian housing markets are back!

This is the most recent report from RE/MAX about the Canadian Housing Market

Canadian housing markets buck recession and trend upwards, says RE/MAX

Mississauga, Ontario (September 24, 2009) - With the worst of the recession over, residential real estate markets in major Canadian centres are poised for growth in the final quarter of 2009, according to a report released today by RE/MAX.

The RE/MAX Bricks and Mortar Report found the bounce back that began in early Spring has made this recession one of the shortest on record for real estate. Low interest rates, pent-up demand, and improved affordability levels have all played a role in the recovery now well-underway. Percentage increases in sales from January to August 2009 were led by Vancouver, (up a substantial 14 per cent to 23,158), Victoria (up 7.4 per cent to 5,266), Edmonton (up 6.2 per cent to 13,691), Regina (up five per cent to 2,597), Ottawa (up 2.4 per cent to 10,830) and Toronto (up 1.8 per cent to 58,421). Housing values are already ahead of record-breaking 2008 levels in seven of the 11 markets surveyed, including Newfoundland-Labrador (18.1 per cent year to $203,584), Regina (6.4 per cent to $244,088), Halifax-Dartmouth (3.5 per cent to $239,633), Winnipeg (3.5 per cent to $207,006), Ottawa (3.3 per cent to $301,684), and Toronto (up 0.3 per cent to $385,978). Nationally, average price hovers at $312,585, up 0.5 per cent over one year ago.

"Markets are heating up across the country," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "Purchasers are clearly taking advantage of affordable prices and rock bottom interest rates. Those who missed the boat in years past have found that sitting on the sidelines can be a costly move. Prices are on the upswing and inventory levels are tightening, so the push toward homeownership is expected to continue throughout the Fall and possibly into early 2010."

This is the most recent report from RE/MAX about the Canadian Housing Market

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

Monday, July 13, 2009

REMAX reports residential real estate is now in recovery mode

This is what REMAX Ontario Atlantic reported about the real estate market in Ontario and Canada, all good news!
Mark


Mississauga, ON. (July 13, 2009) - Pent-up demand for residential housing has bolstered sales in Canada's major markets-a clear signal that the housing sector has shifted into recovery mode, says RE/MAX.

More balanced market conditions have emerged, effectively ending the stronghold that buyers had on the market over the past six to eight months. Canada's largest markets, Toronto and Vancouver, led the charge-with June sales among the highest in history for both local real estate boards. Close to 11,000 properties changed hands in Toronto, up 27 per cent over one year ago, setting a new record for sales in the month of June. The figure was just slightly off the all-time peak of 11,146 units. Residential sales in Greater Vancouver increased 75.6 per cent over one year ago, to 4,259 units, just short of the record breaking 4,333 sales, which occurred in June 2005. Overall, major markets began to recover in March, posting escalating sales in April, May and June. The impetus is expected to continue throughout the remainder of 2009, with most centres now forecasting year-end sales on par or ahead of 2008 levels.

"The strength of the market, amid the most significant global recession in recent history once again underscores its relevance to the nation's economic engine," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. Canadians believe in homeownership -- a fact best illustrated by the purchasers who ventured forward in recent months and snapped up some of the best real estate deals this market has seen in years. Those who chose to sit it out on the sidelines are now facing a market in transition, characterized by the threat of rising interest rates, low inventory levels, and upward pressure on housing values."

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, December 18, 2008

REMAX comments on press reports and state of market

This is what the regional director of RE/MAX Ontario Atlantic is telling us about the state of the economy, the real estate market and what we are reading in the press these days. He is saying that what is reported in the press is doom and gloom and if you ignore most of it, you will do fine. I agree, what do you think?
Mark

If the cup of coffee you were drinking on Tuesday morning didn't wake you up, the headline on the front page of the Globe and Mail most surely did.

The headlines screamed "Housing sales hit 20-year low as real estate slump widens" followed by huge sub-head noting an 11 per cent decline in prices and a 44 per cent drop in Ontario housing sales in large RED print, based on the December 15th press release issued by the Canadian Real Estate Association.

The only problem with the article is that it is incorrect. In the third paragraph, the author writes "Between May and November, the average price of an existing home in Canada fell by 11 per cent, matching the drop in 1990 that coincided with the onset of a painful recession. Housing prices would go on to fall about 20 per cent and it would be another decade before they managed to make new highs."

Unfortunately for the Globe, there was no 20 per cent drop. According to the Canadian Real Estate Association, the Canadian average price actually rose approximately 15 per cent from 1990 to 2000. There were three moderate dips in housing values in the decade – 1990 (3.4 per cent), 1995 (4.6 per cent), and 1998 (1.5 per cent). Average price in Canada has climbed consistently since 1998. It's also important to note that the decline in national housing values have typically been modest and have bounced back almost immediately. Finally there are no two consecutive years of falling prices.

While the national housing picture has been a picture of stability, average housing values in Ontario have seen slightly more volatility over the past 27 years. There have been six decreases in average price noted – with five of the six occurring between 1990 and 1996. Prices fell 17 per cent during that time frame, after climbing a phenomenal 70 per cent between 1986 to 1989 ($107,158 to $182,186). Residential average price has been on an upward trajectory since 1996 – the longest uninterrupted period of growth since 1980.

Based on our comments, the Globe and Mail has printed a correction in this morning's newspaper, page A2

So now that the folks at the Globe have been straightened out, we shift our focus to the challenges today's economic realities are bringing to the housing market. Truth be told, there is not a sector - not even gold - that has not been hard hit by economic turmoil in recent months. Real estate has held up remarkably well, in light of current market realities. We need to see some economic stability - and a recovery in consumer confidence levels - before we can expect housing markets to rebound. Job security will be key.

Inventory will also play an important role. If inventory levels subside, we could see stability return to housing values. To illustrate, new listings fell seven per cent in the Greater Toronto Area in November. If this trend continues, and existing inventory is absorbed, housing values may remain relatively stable in the year ahead.

I'd like to conclude today's communication with the story of a hot dog vendor in Chicago who sold the very best hot dogs by the side of the road. His business was booming, people loved his hot dogs, and his business steadily increases month after month. The man loved his business and believed in the need to provide great food at a great price.

This man was so busy advertising and selling his hot dogs and making lots of money, that he didn't even have time to read the newspaper or listen to the radio. Consequently, he never heard a word about a predicted recession or the need to cut back to save for the potential economic slowdown. As long as he continued to offer his delicious hot dogs, his customers bought them. He kept selling, and they kept buying.

Then one day his college educated son told him that an economic recession was surely coming. His son told him that people wouldn't have enough money to buy his hot dogs. The successful hot dog vendor believed this, so on his son's advice, he cut back on his advertising. Additionally, he started ordering less supplies and product, because after all, people would be cutting back soon.

He even went so far as to take down many of the billboards that lead to his roadside stand. And sure enough, people stopped coming to him. People stopped buying his hot dogs, and he eventually went broke.

Then he thought to himself. "How smart my son is in predicting this."

Don't be influenced by what you read in the newspapers or hear on your television. It's true that market conditions have changed, but human nature has not. Real estate is one of the largest investments people will make in their lifetime. It's also one of the safest. Get out and spread the word. If you bought a home in 1980 worth $67,000, that property is valued at over $300,000 today – an increase of 350 per cent and the profit is capital gains exempt. It's no wonder that Canada has one of the highest homeownership rates in the world, at close to 70 per cent.

No matter what the investment community will tell you, you can't live in your mutual fund.

I hope this finds you happy and healthy,

Mark

Wednesday, December 03, 2008

REMAX reports that threat of world wide recession will put downward pressure on Canadian home sales

This is a report just issued by REMAX Ontario Atlantic regarding our marketplace and the future of real estate in the year 2009.

They feel the the economic environment for 2009 will be challenging for sellers. We are already seeing this in the Mississauga and GTA

All the best!
Mark


Threat of global recession to hinder home sales in major Canadian housing markets in 2008 and 2009, says RE/MAX
Recovery linked to economic stability next year


Mississauga, ON (December 3, 2008) Global economic uncertainty weighed heavily on residential real estate activity in most major Canadian centres during the latter half of 2008.
Although the forecast for 2009 promises more of the same, most markets are expected to weather the storm, says RE/MAX.


The RE/MAX Housing Market Outlook for 2009 examined residential real estate trends in 22 markets across the country and found that average price held up remarkably well in 2008, despite 13 centres reporting double digit declines in home sales. Solid gains earlier in the year likely served to prop up housing values at year end. The prognosis for housing activity in the first six to nine months of 2009 is somewhat static, given continued volatility in financial markets and the threat of recession, but as stability returns to the financial sector, housing markets are expected to recover.

Nationally, 440,000 homes are expected to change hands in 2008, down 15 per cent from record 2007 levels. Canadian housing values are expected to hover at $300,000, a nominal three per cent decline from last year’s historic peak. By year end 2009, unit sales should match 2008 levels, while average price is forecast to fall another two per cent to $293,000.
“Housing market performance will clearly be contingent on economic performance at a local, provincial, and national level in 2009,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario Atlantic Canada. “Issues affecting the overall economy are impacting housing markets across the country and the situation is not expected to be remedied until consumer confidence is restored. That said, we could see a bounce back as early as spring


– if inventory levels remain stable, pent up demand kicks into gear, and lower interest rates stimulate home buying activity.”


Major markets are evenly split in terms of housing performance in 2009, with 11 centres forecast to match or exceed 2008 home sales and 11 expected to slide from 2008 levels. The highest percentage increase in unit sales is anticipated in Saskatoon, where the number of homes sold is forecast to climb three per cent in 2009. Housing values are expected to hold the line in 2009, with St. John’s, Montreal, Kingston, London, Winnipeg, Saskatoon, and Regina posting modest gains in average price in 2009.

“Canada’s real estate environment is considerably more complex than it has been in recent years,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “The landscape is definitely changing with most markets shifting into either balanced or buyer’s territory. The shut out is over. Sellers no longer rule the roost. Opportunities exist for purchasers like never before, including lower interest rates, greater inventory levels, the luxury of time to make decisions, and the upper hand at the negotiating table. Motivated vendors will need to take note of the new mindset and set their prices accordingly.”

Canadian sellers are slowly adjusting to new realities. For most markets, 2008 started in balanced territory and moved into buyer’s market conditions during the latter half of 2008. The year ahead will prove challenging, especially for vendors.

“While the economy will dictate real estate performance next year, it’s important to remember that demand still exists in the marketplace,” says Sylvain Dansereau, Executive Vice President, RE/MAX Quebec. “In the midst of stock market turmoil, sold signs continue to appear on lawns across the country. With affordable lending rates and increased selection, first time and move up buyers with good credit may choose to play their investment strategy safe and purchase a home.

The comfort of a tangible investment like real estate goes a long way in tough times.” RE/MAX is Canada's leading real estate organization with over 18,000 sales associates situated throughout its more than 670 independently owned and operated offices across the country.

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

Tuesday, November 18, 2008

REMAX Report on Real Estate Housing Market Conditions in the Greater Toronto Area

This is a report from REMAX talking about the current state of our real estate market

Toronto Real Estate Board stats for October created some heated dialogue in the industry in recent weeks. While many believe that the dismal statistics reflect the recent volatility in financial markets, some are now asking if they also identify an emerging trend in the Greater Toronto Area.

The simple answer is no. Although there are some serious negative factors influencing the marketplace, one month does not make a market. We need several consecutive months of momentum – one way or another – before we can really determine the direction of the market.

Make no mistake. 2008 has presented our industry with challenges across the board. Unit sales are down 16 per cent from one year ago, hovering at approximately 70,000, while average price at $380,654 is up marginally over year–to–date figures for the same period in 2007. And the prognosis will get worse before it gets better, considering the new land transfer tax rate implemented in January, 2008 artificially inflated housing values during the fourth quarter of 2007. Average price hovered close to $400,000 in October, November, and December of last year – which will be the measuring stick in the months ahead.

Clearly, market conditions have shifted in favour of the buyer. There are more homes listed for sale than one year ago and houses are taking longer to sell. Our forecast for 2008 – released in October of 2007 – said as much.

Sellers are adjusting to new market realities – albeit reluctantly – while buyers are taking it all in. Some are sitting on the fence, waiting for housing values to fall further or interest rates to decline a percentage point or two more. The courageous are jumping into the market, taking advantage of lower prices, greater selection, and less competition.

For those that are trading in the same market, it’s all relative. Sellers may get less than they thought for their homes, but they’ll also pay less on the other side of the transaction. With market conditions stabilizing, first–time buyers now have the luxury of time in making their housing decisions. They also have greater purchasing power than they had one year ago – and their dollar will go much farther.

Unlike other investment vehicles, residential real estate serves two purposes. It’s still considered an investment, but it is also a roof over your head. We know from past experience that housing appreciates at a rate of five per cent annually. It’s cyclical, so it may rise and fall, but the risk involved will never be as steep or as serious as in the stock market, where the value of your portfolio can drop 30 per cent overnight and some of your stocks can fall to 0. You also can’t live in your mutual fund.

Real estate in the Greater Toronto Area has faced many challenges over the years but continued to experience steady growth. In 2009, there are some announcements that are expected to have a positive impact on the housing market and they are as follows:

  1. The Bank of Canada has indicted that lending rates may fall further in 2009.
  2. Federal government intervention in the form of a $75 billion mortgage purchase from the CMHC will free up additional credit.
  3. Measures will be introduced by both the Federal and Provincial government to bolster the economy. In Ontario, that could mean a bailout package for the ailing manufacturing sector.
  4. A lower Canadian dollar – hovering at 85 cents American – may provide a much–needed boost to manufacturing.
  5. Job employment rates continue to hold steady in the GTA, despite upward momentum at the provincial level. The unemployment rate was 6.8 per cent in October, down from 6.9 per cent in September.
  6. Population in the GTA continues to grow through migration, with 60,000 plus households expected to form in 2009.

Last, but not least, we must remember that the Greater Toronto Area generates about 10 per cent of the country’s total wealth – that’s comparable to what New York, Chicago, Boston, and San Francisco make to the US economy. There’s no question that we are a world–class city – in a have–not province. We may be in for some challenges over the next six to nine month period, but we should see clear signs of recovery by late 2009. The good news is that lifecycle events will continue to occur, whether real estate is experiencing a bull or bear market.

Please email or post any comments or questions.

Thank you and have a good day,

Mark

Tuesday, October 21, 2008

Canada Optimistic Housing Market Conditions

This is what RE/MAX is saying about our current marketplace in Canada
Nice to see some positive and optimistic news on the housing front here in Canada!
Enjoy!
Mark



There’s been a lot of talk about real estate in the news in recent months. We’ve heard about declining housing starts, falling existing home sales, double-digit price depreciation, subprime fallout and foreclosures – in the United States. Fortunately, we live in Canada. And Canadian real estate markets are far-better positioned than their American counterparts for a good number of reasons.
  1. Subprime mortgages represent less than five per cent of our market nationally.
  2. Foreclosures occur in about one quarter of one per cent of mortgage transactions in this country.
  3. Canadians have more equity in their homes.
  4. We have less debt than our neighbours south of the border.
  5. Speculation has played little or no role in existing home sales in Ontario.
  6. The fundamentals of our economy are relatively solid. Of the G8 countries, only Canada is expected to show growth in 2008 and 2009.
  7. The Canadian banking system is one of the best in the world, relying more on old-fashioned lending than innovative financial products geared toward profit.
  8. The Canadian job market is stronger than the US, adding more than 200,000 jobs so far this year.
  9. Interest rates remain favourable.
  10. Housing values in Ontario major centres did not experience serious, double-digit price appreciation year-after-year for an extended period. Our markets were characterized by stable, healthy growth.
  11. Immigration continues to play a key role in housing markets. Between 2001 and 2006, more than 1.1 million immigrants came to this country, with about half settling in the province of Ontario. Immigrants tend to purchase a home within the first five years of living in Canada.
Real estate is cyclical. There will be peaks and valleys. The more restrained the peak, the more modest the valley.
There is no question that market conditions have moderated from 2007’s record pace. More listings, softer housing values, longer days on market – but most centres are relatively solid. While some buyers and sellers will adopt a wait-and-see attitude, there are those that will continue to venture forward.
They’ll need the services of a knowledgeable, experienced real estate professional to navigate the storm. They will look to you for information in today’s complex real estate environment. Understanding market conditions will be of paramount importance to today’s buyers and sellers, especially as conditions change in markets across the country.
That said, sellers will need to be realistic in setting a selling price. Listing a property at fair-market value will ensure that it will sell in a reasonable amount of time. This is not the time to test the market. Those that are truly interested in selling their properties know that over-priced homes risk stagnation. Buyers in today’s market will need to be careful not to overextend themselves. They should know exactly what they can afford. Pre-approval for a mortgage loan is ideal because it lets buyers know exactly how much they can spend on their new home.
Once educated, your clients will come to rely on your expertise. Make sure your follow-up skills are honed and your customer service is par excellence.
Looking forward, we anticipate a continuation of stable market activity, minus the urgency present in past. Gone are the multiple offers that left both buyers and sellers dissatisfied. The increase in the number of homes listed for sale are a definite advantage for purchasers who now have the luxury of time in making one of the most important decisions of a lifetime. For sellers, the time to trade-up has never been better.
Canadians are great believers in homeownership – a fact underscored by the close to 70 per cent who own homes in this country. History has proven time and time again that real estate is a solid, long-term investment that appreciates at a rate of about five per cent annually. You can’t live in your mutual fund, and after the last month in the financial markets, quite frankly, we’re not sure you’d want to.
New market realities may impact your business in the months ahead. That’s when the RE/MAX Brand and toolbox come into play. There are a wide variety of products and services that will give you an edge in today’s marketplace and a definite advantage when it comes to the competition. Ensuring you incorporate both a buyers and sellers presentation into your marketing materials is a great first step. Rather than focus on what you see or hear in the news, consider opportunities as they present themselves. You are, after all, in control of your destiny.
Sincerely,

Michael Polzler
Executive Vice President and Regional Director
RE/MAX Ontario-Atlantic Canada Inc.

Wednesday, September 17, 2008

REMAX says it's best to invest in home improvement to improve your selling price when in a soft market

Investment in home improvement, key in competitive housing market, says RE/MAX

Mississauga, ON (September 17, 2008) - An increasingly competitive housing environment is prompting a significant number of Ontario homeowners to invest in renovation before listing their homes for sale, according to a recent survey by RE/MAX Ontario-Atlantic Canada.

The RE/MAX Survey of Home Buying and Selling Trends in Ontario, conducted by COMPAS Research, in the first half of 2008 found 79 per cent of sellers said they made improvements to their homes two years prior to listing and more than one third (39 per cent) of them did so with selling in mind. Further indicative of how sophisticated sellers and buyers are becoming, 37 per cent of sellers made upgrades to their home after listing their property for sale. Home sellers are typically spending $21,000 on average in renovations; the most popular of which are updating kitchens, hardwood flooring, and new windows.

"Investing in renovation for the purpose of selling a home continues to grow in 2008," says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. 'Changing market conditions are largely responsible for the upward momentum in residential investment which is up four per cent to $6.9 billion in Ontario for the first half of this year, compared to last year at the same time. We are seeing two clear trends emerging with some homeowners looking to boost resale value by renovating and others choosing to bring their home up to today's standards by upgrading areas that are dated. In either case, the end result is a product that will more likely yield top dollar when it is time to sell."

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

Wednesday, September 03, 2008

RE/MAX Reports Solid condominium performance bolstered by affordability in the first half of 2008

Solid condominium performance bolstered by affordability in the first half of 2008, says RE/MAX

Mississauga, ON (September 3, 2008) - Showing remarkable resilience in a complex real estate environment, sales of condominium apartments, town homes, and lofts moved ahead of 2007 levels in 30 per cent of districts examined in the GTA this year, according to RE/MAX Ontario-Atlantic Canada.


Condominiums proved to be as solid an investment as single-detached homes in 2008, with property values of both rising virtually across the board in the first half of the year. The average price of a condominium appreciated in close to 87 per cent (52/60) of Toronto Real Estate Board districts examined by RE/MAX -- with 20 per cent (12/60) reporting double-digit increases from January to June 2008, compared to one year ago. Willowdale, Lansing (C07) topped the list of best performers, with a 14.66 per cent increase in values, rising from $258,884 to $296,854. Thornhill (N02) placed second with a 13.3 per cent increase, bringing average price to $290,709.

Both Willowdale and Thornhill saw nominal increases in sales activity as well, rising 2.8 and 3.5 per cent respectively. The downtown core (C01), including King West, secured third spot with an 11.35 per cent increase in average price, bringing values in the area to $355,201 from $318,974 one year ago. Lawrence Park (C10) saw an 11.3 per cent increase in values, rising from $350,916 to $390,589, and a 5.7 per cent increase in unit sales, rising from 174 in first half of 2007 to 184 in 2008. Cabbagetown (C08) placed fifth with a 10.82 per cent increase in average price, rising from $301,224 to $333,818.

"Condominiums experienced upward momentum during the first six months of the year, despite an overall lag in the marketplace," says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. "Their entry-level price point --between $200,000 and $300,000 for a small, one-bedroom unit downtown - clearly struck a cord with a broad range of purchasers. And while singles, empty nesters, and retirees, remain driving forces in the condominium market, a new demographic has emerged - young families. This active segment of the market is fuelling demand for town home developments throughout the central core."


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