tom smok-mississauga real estate blog

Market Update

2012-02-15T10:31:00.001-05:00

Housing market expected to remain steady: CMHC

MLS® Home Price Index

2012-02-08T10:27:00.000-05:00

MLS® Home Price Index

Market Updated

2012-02-04T15:01:00.001-05:00

Condo Sales

Market Updated

2012-02-03T19:45:00.001-05:00

NEWS RELEASE

Market Update

2011-12-05T11:17:00.001-05:00

GTA REALTORS® Report Mid-Month Resale Housing Market Figures

TORONTO, November 16, 2011 – Greater Toronto REALTORS® reported 3,379 transactions through theTorontoMLS® during the first two weeks of November. This result represented more than a 13 per cent increase compared to November 2010. New listings were up 16 per cent over the same period.

"The results for the first two weeks of November point to two important facts: First, despite global economic uncertainty, buyers have remained confident in the affordable housing market in the GTA. Second, stronger growth in new listings means that it is becoming easier for buyers to find a home that meets their needs," saidToronto Real Estate Board President Richard Silver.

The average selling price through the first 14 days of November was $481,548 – up by 10 per cent compared to the average of $437,510 reported for the first two weeks of November 2010.

"Little or no movement is expected for mortgage rates through 2012. Low rates coupled with the consensus outlook for continued economic growth next year suggests that homes will remain affordable in the GTA and households will remain confident in doing deals. Look for the average selling price to advance to the $485,000 mark next year," said Jason Mercer, the Toronto Real Estate Board's Senior Manager of Market Analysis.

2011-06-04T09:09:00.004-04:00

Sales and Price Increase in May

June 3, 2011 – Greater Toronto REALTORS® reported 10,046 sales in May 2011 – up six per cent compared to May 2010. This result was the second best on record for May under the current Toronto Real Estate Board service area. The number of new listings in May, at 16,076, was down 15 per cent compared to last year.

"Positive economic news and low borrowing costs led to strong sales through the first five months of the year, including the increase in May," said Toronto Real Estate Board President Bill Johnston. "At the same time, the market has become much tighter compared to last year, due to a substantial dip in new listings."

Homes were on the market for an average of 23 days and sold for an average price of $485,520– up nine per cent compared to $446,593 in May 2010. The strongest rate of price growth was experienced for single-detached homes sold in the City of Toronto.

"We have seen clear-cut seller's market conditions emerge over the past two to three months," explained Jason Mercer, TREB's Senior Manager of Market Analysis. "The robust price appreciation that we have seen will hopefully prompt more households to list, resulting in a more balanced market later this year," continued Mercer.

Median Price
In May, the median price was $400,000, from the $376,750 recorded during May of 2010.

Buying a Home? Get the Facts on HST

2011-03-23T22:38:00.001-04:00

TORONTO – March 21, 2011 - Revenue Minister Sophia Aggelonitis and Toronto Real

Estate Board President, Bill Johnston, today released a video explaining to prospective

buyers the facts about the HST and the housing market.

The video highlights the fact that there is no HST on the purchase price of resale homes.

Sales tax did not apply to the purchase price of resale homes under the previous PST, and

it does not apply under the HST.

For new housing, additional tax only applies to the portion of the price above $400,000.

The Ontario Enhanced New Housing Rebate means that buyers of new homes receive a

rebate of up to $24,000 regardless of the price of the new home. Buyers of new homes

priced up to $400,000 (about three-quarters of new homes built in Ontario) on average

pay no more – and possibly even less – tax than under the previous PST, where sales tax

was hidden in the price.

"Buying a home is one of the most important investments a person will make in their

lifetime. That's why I'm pleased to be working with TREB to provide information about

purchasing a home in Ontario."

— Minister of Revenue Sophia Aggelonitis

"REALTORS® are happy to help inform the public about the HST. It is important that

the public understands that HST does not apply to the purchase price of a resale home."

— Bill Johnston, President, Toronto Real Estate Board

QUICK FACTS

 The HST does not apply to the purchase price of resale homes.

 Sales tax did not apply to the purchase price of resale homes under the previous PST.

 In addition to not having HST on resale homes, a refund of Land Transfer Tax of up

to $2,000 is available to first-time home buyers of resale homes.

March 16, 2011

2011-03-16T21:56:00.000-04:00

GTA REALTORS® Report Monthly Resale Housing Market Figures

TORONTO, March 16, 2011 -- Greater Toronto REALTORS® reported 4,138 sales during

the first two weeks of March 2011 – a five per cent decrease compared to the first

two weeks of March 2010. The number of new listings also dipped – down by 15

per cent compared to the same period last year.

"A positive economic outlook for the Greater Toronto Area, including steady

growth in jobs and incomes, has kept households confident in their ability to

purchase and pay for a home over the long term," said Toronto Real Estate Board

(TREB) President Bill Johnston.

The average price for transactions during the first 14 days of March was $460,196,

representing a 4.6 per cent increase compared to the first two weeks of March

2010.

"Market conditions are tighter compared to this time last year, resulting in more

competition between buyers and sustained upward pressure on the average

selling price. The annual rate of price growth is expected to range between three

and five per cent in 2011," said Jason Mercer, TREB's Senior Manager of Market

Analysis.

Consider investing in a fixer-upper

2011-03-08T23:16:00.000-05:00

Consider investing in a fixer-upper

Like many world centres, Toronto is a city of neighbourhoods in which demographics, cultures and house values can vary from one cross street to the next.

Identifying a community that reflects your lifestyle is an essential part of the buying process and while your preferred neighbourhood's average sale price is also an important practical consideration, it needn't present a stumbling block.

Buying a fixer-upper can be a great way to get into a desirable neighbourhood at an affordable cost. It's important to recognize though, that all renovations involve some inconvenience and a lot of elbow grease. While you're rolling up your sleeves, it's wise to maximize your efforts and investment by going green.

According to the Appraisal Institute of Canada, upgrading kitchens and bathrooms is a smart choice, potentially offering a 75 to 100 per cent return on your investment.

Energy efficient lighting, appliances, faucets, toilets and showerheads are a few of the options for increasing the green factor in these two essential rooms.

Making environmentally conscious choices with respect to floors, cabinets, and countertops can have an even greater impact.

When it comes to flooring, cork and bamboo are among the greenest options, as they are derived from renewable resources. While bamboo is also an excellent choice for cabinets, wood that is certified by the Forest Stewardship Council of Canada is another responsible option. When choosing countertops, you may consider surfaces made from recycled glass, concrete, and steel rather than selecting non-sustainable materials like granite, quartz or marble.

Visit the Appraisal Institute of Canada's RENOVA, an interactive web-based guide to the value of home improvements. RENOVA is designed to give consumers a better idea of the return on investment they can expect for a variety of home improvements.

Painting can return 50 to 100 per cent of your investment and in this case, be sure to consider low VOC paints, which reduce the number of unstable, carbon-containing compounds that enter the air and react with other elements.

It's also important to consider what your home needs most. Window and door replacement may offer a more limited return of 50 to 75 per cent, but if your existing units are broken, this upgrade should take priority. When purchasing windows, look for low-E argon-filled units with the Energy Star symbol to achieve the highest thermal efficiency.

Similarly, replacing a roof may only offer a 25 to 75 per cent return but it's an upgrade that should not be deferred due to the potential for water damage. Fortunately, roof shingles made from a variety of recycled materials are widely available.

Heating systems can offer a 50 to 75 per cent return, while central air conditioning can deliver 25 to 75 per cent on your investment, but given the extreme temperatures of our climate, these are also wise investments, particularly when you choose models with the Energy Star symbol.

Regardless of the upgrades you undertake, keep in mind the two other components of environmentally responsible living: reduce the amount of waste you generate by donating or recycling construction materials and be sure to reuse items, refurbishing them to add greater character to your home.

A great way to do this while supporting a charitable cause is to consider your local Habitat for Humanity ReStore. This building supply store accepts and resells quality new and used building materials. Funds support Habitat's building programs while reducing the amount of used materials that are headed for overflowing landfills.

While decorating choices may be subject to taste, you'll find that when it's time to move again, energy efficient, money-saving upgrades have universal appeal.

CMHC Forecasts Return to Stability in 2011

2011-02-23T09:44:00.000-05:00

There is news that demographic fundamentals will be a guiding force in 2011 for housing activity, according to the Q1 2011 forecast released by CMHC.

After moving somewhat lower during the end of 2010, CMHC predicts that housing starts will start to stabilize in 2011 and continue through to 2012.

According to the forecast, "Housing starts will be in the range of 157,300 to 192,900 units in 2011, with a point forecast of 177,600 units. In 2012, housing starts will be in the range of 154,600 to 211,200 units, with a point forecast of 183,800 units."

"Modest economic growth will continue to push employment levels higher this year and next. This, in conjunction with relatively low mortgage rates, will continue to support demand for new homes. Housing starts will remain in line with long term demographic fundamentals over the course of 2011 and 2012," said Bob Dugan, Chief Economist for CMHC

CMHC predicts that existing home sales will be in the area of 398,500 to 485,500 units for 2011- with a point forecast of 441,500 units with expectation that this will increase through to 2012. The point forecast for 2012 is 462,900 units; they expect MLS sales will move from 406,300 to 519,700.

There is expectation that the market, although achieving some balance in 2011, will remain in the sellers' market range. Building on MLS price gains that happened at the end of 2010, as a further indication of a return to balance, they feel that MLS price will keep on a growth curve consistent with "economy wide" inflation that will carry through 2011-2012.

Highlights from across the country include a Western bucking of the rest of the national trend, where in B.C, there is expectation that starts will increase by 1.6%. Alberta will hold the status quo.

In Ontario, the improving economy will provide momentum for an upswing in housing starts, but CMHC feels that they will not be realized until 2012.

New Brunswick is expected to be the weakest of the Atlantic Provinces.

Most of the rest of the country is expecting to see a decline in housing starts, but there is promise of return to growth towards 2012.

First-Time Home Buyers’ Tax Credi

2011-02-22T22:46:00.001-05:00

Program

First-time home buyers may be eligible for a 15 per-cent income tax credit for closing costs.

Details
• To assist first-time home buyers
with the costs related to the
purchase of a home.

• The First-Time Home Buyers'
Credit (FTHBC) provides a 15
percent credit on a maximum of
$5,000 of home purchase costs
(e.g. legal fees, land transfer
taxes, etc.), meaning maximum
tax relief of $750.

• Applicable to first-time buyers
purchasing a home closing after
January 27, 2009.

• The FTHBC is claimable for the
taxation year in which the home
is acquired.

• An individual will be considered
a first-time home buyer if neither
the individual nor the individual's
spouse or common-law partner
owned and lived in another
home in the calendar year of the

home purchase or in any of the four preceding calendar years.

Market Update

2011-02-18T23:23:00.000-05:00

GTA REALTORS® Report Mid-Month Resale Housing Market Figures

TORONTO, February 17, 2011 -- Greater Toronto REALTORS® reported 3,084 sales during the first two

weeks of February 2011 – a 13 per cent decrease compared to the first two weeks of February 2010.

"We are on pace for a strong sales result in February, but transactions will come in lower than the record

result reported last February. Sales remain strong because the GTA resale market contains a diversity of

housing types catering to a wide array of home ownership needs," said Toronto Real Estate Board

(TREB) President Bill Johnston.

The average price for transactions during the first 14 days of February was $451,257, representing a five

per cent increase compared to the first two weeks of February 2010.

"Average selling price growth for existing homes is expected to range between three and five per cent this

year. Tighter market conditions over the last four months have pushed price growth to the top end of this

range," said Jason Mercer, TREB's Senior Manager of Market Analysis.

TORONTO CONDO FORECAST

2011-02-16T22:42:00.001-05:00

By Nate Hendley

Urbanation, which describes itself as "Canada's leading condominium market research company" recently released a market overview of condo sales in the Toronto Census Metropolitan Area (CMA). The study pegged new and resale condominium sales at 37,041 in 2010—only three percent lower than the 2007 record of 38,306 sales.

Urbanation also forecasts that 15,000 – 17,000 new condo units will be launched in the Toronto CMA during 2011, with 16,000 sales.

Studio Toronto interviewed Ben Myers, executive vice-president and editor of Urbanation for more details.

Q. Condo sales in the Toronto CMA reached a near-record high in 2010. What's driving this surge?

A. New investors are buying units in droves to rent them out because we're not building a lot of new rental buildings and we're still getting plenty of immigration. Then, there are first-time buyers. People realize the benefit of getting into real estate as soon as possible. With interest rates low and units small, they're able to purchase. We see also single women getting into the market more than they ever have before.

Q. Is the trend towards strong sales going to continue into 2011 or are we going to hit a slump very soon?

A. I don't think we'll hit a slump. If we have a slow-down it's going to be more gradual, it won't be a drop off a cliff. I think people realize the benefit of owning over renting if you're going to be there for any significant period of time.

Investors are still purchasing even though prices keep going up. People keep looking and saying, 'Oh, is this the point where investors are going to drop off?' because they're not going to get the returns that they want. Every time we think that's going to happen we have another quarter where we had 6,000 sales and that's what happened in Q4 2010 in the new condo market. It doesn't seem like anything can slow [the condo market] down.

Q. What's the average price people are paying for new condos?

A. In the new market we track … the sold price per square foot (psf) and the unsold price per square foot (psf). The sold price per square foot basically takes into account projects over the course of their life, as long as they are still active in the market. That's about $471 per square foot in the Toronto CMA area. The unsold is basically the average of all the unsold units in the Toronto market and that was $530 per square foot in the Toronto CMA at the end of the fourth quarter 2010.

Q. What parts of the Toronto CMA have the most new condo developments and strongest sales?

A. Certainly, the downtown core is always very strong, but North York city centre has been very strong too. Even the Etobicoke waterfront is doing very well. I think people see the value of having a waterfront view even if it isn't downtown.

Q. What neighbourhoods are going to be hot in the next year or two?

A. I always keep my eye on the downtown east. There seems to be a pretty big gap between Parliament Street and the DVP (Don Valley Parkway) where there's not a lot of activity. I think that's an area where developers are going to look now that we have the West Don Lands getting a little built up.

Q. What kind of condos are doing well in this market?

A. Smaller suites, as in, 500 square feet … 500 to 600 square feet is kind of the unit investors look at because they can find easier rents. First-time buyers [also like them] because those are the ones that are affordable. Developers aren't building as many large units now.

Q. Are there any particular developments you're keeping an eye on?

A. We put out a list of the top sellers from 2010. One Bloor was the best selling site in 2010, with somewhere in the neighbourhood of 550 sales.

Q. Anything that isn't doing well on the market? Anything you've noticed over the last year or so that's fizzling?

A. We did mention in our January press release, there's a kind of flatness overall in the resale market. It was at $374 per square foot in Q4 2010 and that's only up from $369 per square foot overall in Q1.

Q. Are you seeing more seniors getting into condos?

A. I don't think so. Everyone's kind of waiting for this with the baby boomers, but we certainly haven't seen that in droves. A lot of the buildings are aimed at first-time buyers in the investor market because that's what's selling. As a senior, you may not necessarily want to be living in a building that's 40 – 50 percent rented with a whole bunch of students. You'll want more of a boutique style in a quieter neighbourhood with larger suites and those just aren't getting built right now, certainly not in the former City of Toronto. There's a few being built in the suburbs, but if you're used to living in Toronto all your life you may not want to move to Aurora.

Q. Is there a demographic of the typical condo buyer in the Toronto CMA?

A. The typical condo buyer is either a young single or a couple … first-time buyers and move-up buyers.

Q. Are any new demographics emerging?

A. I think the new demographics probably came out five years ago where we started to see what we call "marriage casualties". Lots of divorcées buying units for themselves and single women getting into the market.

[In the past] a lot of families would buy a condominium unit as a first time purchase. They would get some appreciation for [the unit] then buy a house. But now we're seeing people buying the smaller unit—500 to 600 square feet—then they move up to a 700 to 800 square foot unit and then potentially even buy a third unit as opposed to going out to buy a house. That's certainly a change from where we were 10 years ago.

Q. Are there any upcoming projects we should keep an eye on?

A. The spot to watch is Waterfront Toronto's waterfront projects. I think that's going to totally change the city … You've obviously seen the Corus building being built. It's completed now. Great Gulf is going to launch a condominium tower—the first residential down there. I think that's going to be a fantastic transition down there. They've looked at other cities [to see] what works and what doesn't. [They want commercial space at ground level] and I think that will really drive it as opposed to other areas where we've had giant patches of land that we've put a bunch of towers up and there's no life at the bottom—people just going to work and coming back. This is actually going to be an area where people stay, 24/7.

Q. Final question. What are your thoughts for this year?

A. I'm a little more bullish than some people out there. I think it's going to be a good 2011.

Market Update

2011-02-16T10:29:00.000-05:00

Good Start to 2011

February 4, 2011 -- Greater Toronto REALTORS® reported 4,337 transactions through the TorontoMLS® system in January 2011. This result was 13 per cent lower than the record result reported in January 2010.

"While off the record pace experienced a year ago, the GTA resale market has started the year on a solid footing. Home buyers in Toronto and surrounding areas continue to benefit from a diversity of housing types for sale at many different price points," said TREB President Bill Johnston.

The average selling price for January 2011 sales was $427,037, representing an increase of over four per cent compared to the average of $409,058 reported in January 2010.

"The average selling price is expected to grow at a moderate pace in 2011. Growth rates in the three to five per cent range will be sustainable from an affordability perspective," said Jason Mercer, TREB's Senior Manager of Market Analysis.

Median Price
In January, the median price was $360,000, from the $350,000 recorded during January of 2010.

Housing market will be stable next two years: RBC

2011-02-13T12:22:00.002-05:00

A stronger economy will offset the effects of higher mortgage rates and keep Canadian house prices stable over the next two years, according to the Royal Bank of Canada.
In a market update that has the bank forecasting price gains of 0.5 percent in 2011 and 1.3 percent in 2012, economist Robert Hogue said that after two years of "gyrating wildly," the Canadian housing market is likely to be a much less interesting place for the next several years.
"Going forward, we see nearly perfectly offsetting forces driving Canada's housing market," he said. "On the upside, the economic recovery will gather strength in 2011, continuing to boost employment and family incomes. On the downside, interest rates are expected to rise."
The Bank of Canada will likely raise interest rates by 100 basis points this year and another 150 basis points in 2012, he said, making mortgage payments more expensive for the majority of homeowners. But real gross domestic product is expected to increase to 3.2 percent in 2011 from 2.9 percent in 2010.
"The net effect of these forces is expected to be close to nil, thereby leaving resale activity largely flat," he said.
There have been a flurry of forecasts issued in the last week, as the market starts the year stronger than expected. Capital Economics issued a cautious report that suggested higher interest rates could drive prices down as much as 25 percent over the next three years, while the Canadian Real Estate Association raised its sales forecast for the next two years as it suggested that a stronger economic recovery and continued low interest rates would keep the market balanced.
"Even though mortgage rates are expected to rise later this year, they will still be within short reach of current levels and remain supportive for housing market activity," CREA chief economist Gregory Klump said. "Strengthening economic fundamentals will keep the housing market in balance, which will keep prices stable."
Capital Economics economist David Madani said too many optimistic forecasts are based on too short a time frame to be useful, because many mortgages won't reset until rates rise much higher than they are today.
"Let's balance this discussion a bit and think longer term," he said in a recent interview. "As far as housing prices are concerned, we think they're overvalued and we don't see income growth closing that gap."

National resale housing activity in December 2010

2011-01-16T12:38:00.002-05:00

Resale housing market solid in December

by mcherun

OTTAWA – January 14th, 2011 – National resale housing activity in December 2010 was slightly above average for the month of December, according to statistics released today by The Canadian Real Estate Association (CREA).
Actual (not seasonally adjusted) national sales activity via the Multiple Listing Service^® (MLS^®) Systems of Canadian real estate Boards was down 14.4 per cent on a year-over-year basis in December 2010, which reflects record level sales for the month of December in 2009. Activity in December 2010 ran slightly ahead of the ten year average for the month (Exhibit 1).
The national trend for monthly sales remained stable in December, with seasonally adjusted sales activity having edged down by less than a percentage point from the previous month. Led by Calgary, Winnipeg, and Hamilton-Burlington, seasonally adjusted sales activity was up month-to-month in half of local markets. Toronto, Vancouver, and Montreal were among the markets that posted a small month-over-month decline in December.
"Overall sales activity has improved in recent months, but the upturn has been uneven among local markets," said Georges Pahud, CREA President. "Housing market trends often differ due to a number of local factors, so buyers and sellers should consult their local REALTOR^® to understand how trends are shaping up in their market."
National home sales activity improved steadily over the second half of 2010, with seasonally adjusted sales up 18.3 per cent in December compared to the recent low reached in July. As a result, seasonally adjusted activity in the fourth quarter of 2010 rose 12.1 per cent from third quarter levels, and was up less than a percentage point compared to second quarter activity.
"The hand off to 2011 for sales activity in the fourth quarter suggests that the continuation of low interest rates will further support the housing market," said Gregory Klump, CREA's Chief Economist. "Sales may be starting to plateau in some of Canada's most active and expensive housing markets. Combined with a pickup in new listings and further interest rate increases, the stage is being set for smaller price gains and a further deceleration in the growth of mortgage debt."
Some 447,010 homes traded hands over Canadian MLS^® Systems in 2010, down 3.9 per cent from 2009. Annual sales activity was higher than CREA had forecast previously due to stronger than projected sales activity in the fourth quarter.
The number of new residential listings on Canadian MLS^® Systems held steady in December, rising by less than one percentage point on a seasonally adjusted basis. New listings remain 14.2 per cent below the recent peak reached in April 2010.
The housing market remained in balanced territory on a national basis in December, with sales as a percentage of new listings amounting to 55.2 per cent. Just over half of local markets in Canada were in balanced territory in December.
Three-quarters of the remaining local markets are sellers' markets. "With activity having returned to healthy levels and a firm floor under prices, many sellers who shied away from the market heading into the summer are expected to list their properties heading into the spring," said Klump. "Sales in the months ahead are not expected to continue trending upward as steeply as they have in recent months, so an increase in new listings may return many sellers markets to balanced territory."
The number of months of inventory represents the number of months it would take to sell current inventories at the current rate of sales activity, and can be used to gauge the balance between housing supply and demand. The seasonally adjusted number of months of inventory stood at 5.8 months at the end of December on a national basis. This was unchanged from November, and remains 1.4 months below where it was in July. The number of months of inventory in December rose compared to November levels in British Columbia, Saskatchewan, Quebec, New Brunswick and Nova Scotia, and was down from the previous month in Alberta, Manitoba, Ontario and Prince Edward Island.
The national average price for homes sold in December 2010 was $344,551, up two per cent from the same month last year, and stable compared to average price in October and November. About 60 per cent of local markets recorded year-over-year gains in December. Average price was down on a year-over-year basis in 30 per cent of local markets, and remained stable in the remainder.
The annual average price for homes sold via Canadian MLS^® Systems rose 5.8 per cent to $339,030. Much of the increase reflects compositional factors within and across housing markets that caused average price to be skewed downward in 2009.
PLEASE NOTE: The information contained in this news release combines both major market and national MLS^® sales information from the previous month.
CREA cautions that average price information can be useful in establishing trends over time, but does not indicate actual prices in centres comprised of widely divergent neighborhoods or account for price differential between geographic areas. Statistical information contained in this report includes all housing types.
MLS^® is a co-operative marketing system used only by Canada's real estate Boards to ensure maximum exposure of properties listed for sale.
The Canadian Real Estate Association (CREA) is one of Canada's largest single-industry trade associations, representing more than 100,000 REALTORS^® working through more than 100 real estate Boards and Associations.

2010-12-22T21:12:00.002-05:00

2010-11-04T22:06:00.001-04:00

October Price Growth Reflects Healthy Housing Market Conditions

November 3, 2010 -- Greater Toronto REALTORS® reported 6,681 sales through the Multiple Listing Service® (MLS®) in October 2010. This represented a 21 per cent decrease compared to the 8,476 sales recorded in October 2009. Through the first ten months of the year, sales amounted to 75,582 – up one per cent compared to the January through October period in 2009.

"The annual change in sales and average selling prices has been quite uniform across the GTA and by property type as the market has balanced out from record levels of sales in the second half of 2009 and first few months of 2010," said Toronto Real Estate Board (TREB) President Bill Johnston.

"The composition of GTA home sales does differ depending on location. Condominium apartments accounted for 42 per cent of total sales in the City of Toronto and almost 60 per cent of sales in TREB's central districts," Johnston continued. "In regions surrounding the City of Toronto, in contrast, low rise home types accounted for almost 90 per cent of transactions."

The average price for October transactions was $443,729 – up five per cent compared to the average of $423,559 reported in October 2009. The average selling price through the first nine months of the year was $430,802.

"The average selling price in the GTA has continued to grow relative to 2009 because home ownership has remained affordable," said Jason Mercer, the Toronto Real Estate Board's Senior Manager of Market Analysis. "A household earning the average income in the GTA can comfortably afford the mortgage payments associated with the purchase of an average priced home."

"The outlook for mortgage rates and income growth over the next year is favorable. The average home selling price could increase moderately next year and remain affordable for the average GTA household," continued Mercer.

Median Price
In October, the median price was $366,000, from the $357,000 recorded during October of 2009.

2010-10-19T16:51:00.002-04:00

How Employment History Affects Your Mortgage

You might be thinking I've got a job I can make my mortgage payments who cares beyond that?

That's not true, there are things about employment you should be looking out for that could affect your mortgage application.

Here are a couple of things you should be looking at:

1. Employment History

The longer you're working at one place of employment the better it looks on your mortgage application.

This means NO:

Job hopping

Career changes every year

Why?

You really want to show the lender that you are going to be able to continue that job for the next 4-5 years and pay back that mortgage regularly.

2. Employment Status:

You might not know, but there is a huge difference between:

Full-time

Part-time

Contractor

You might be getting full-time hours, but not full-time status. This status just refers to how consistent and how guaranteed your income is.

In life there are no guarantees, but the lender wants to be absolutely sure because they are signing on with you for the next 4-5 years.

If you don't know what your employment status is give your employer a call and talk with the HR department to get that clarified.

Once you have cleared that up, give your mortgage broker a call they'll be able to tell you what the differences in employment statuses are and if what you have will qualify for those really great discounted mortgage rates. If not they'll be able to provide some good tips of what to look for in the future and if you're just building up your employment history, it's a great place to start.

The Buyer Representation Agreement

2010-08-26T16:37:00.002-04:00

Guaranteeing You the Very Best in Real Estate Service When it comes to just about every kind of contract, signing on the dotted line makes us all a little bit nervous.

When selling a home, most people are aware they sign a Listing Agreement with a REALTOR®. There is, however, an agreement that REALTORS® ask their home-buying clients to sign. It's an agreement that works in favour of buyers, guaranteeing the very best in real estate service.

The Real Estate Council of Ontario (RECO), a public agency formed to protect consumers and regulate the industry, introduced guiding principles mandating that REALTORS® ask their clients to sign a Written Representation Agreement at the earliest possible time.

When choosing representation, homebuyers have the option to sign either a Buyer Representation Agreement or a Buyer Customer Service Agreement.

The Buyer Representation Agreement signifies that for a designated period of time, the buyer has engaged a specific REALTOR® firm to work exclusively on his or her behalf at finding a property. The agreement confirms the REALTOR®'s commitment to make his or her best efforts for the buyer.

By signing the Buyer Customer Service Agreement the buyer acknowledges the Broker has provided him/her with written information explaining agency relationships including Seller Representation, Sub-Agency, Buyer Representation, Multiple Representation and Customer Service.

For more information on this important subject, call your local REALTOR®. The term REALTOR® is designated to those who have chosen to belong to local, provincial and national real estate associations, agreeing to adhere to a strict code of professional standards that ensures the highest levels of service and integrity. In Toronto, local REALTORS® belong to the Toronto Real Estate Board, Canada's largest real estate board, serving more than 30,000 Members.

Tweet from: @bbgeeks

2010-08-23T21:23:00.003-04:00

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The Multiple Listing Service and your REALTOR

2010-08-23T21:08:00.003-04:00

The Multiple Listing Service and your REALTOR Like other professionals, a REALTOR is as good as the information at his or her disposal. The Multiple Listing Service is a co-operative system used by REALTOR Members of Canada's real estate boards. It is different than the consumer website www.REALTOR.ca, which offers a brief description of most properties listed on MLS systems. The Toronto Real Estate Board's Multiple Listing Service provides an ongoing inventory of available properties and other related information. With training, experience and access to this database, a REALTOR can provide invaluable assistance in buying or selling your next resale home. For sellers, a REALTOR can use the system to determine a fair listing price by performing a comparative market analysis. This analysis focuses on the geographical location of your property and describes it as accurately as possible. The database can then be searched to reveal comparable sold, active and expired properties, retrieving information such as sold price, list price and average time on the market to help determine a range of fair listing prices. For buyers, a REALTOR can match your very specific needs to all properties listed. Your REALTOR can create a profile outlining your desired price range, location and specific details like the number of bathrooms, bedrooms and fireplaces. For buyers who are geographically focused, your REALTOR can even search all active listings on a particular street and retrieve all relevant information including property description, a photograph, and assessed value. The system updates nightly, listing all potential properties that meet your particular needs and automatically emailing them to you. In helping you to determine an offer, your REALTOR can also search specific properties' historical data such as previous selling prices. As well, the MLS allows REALTORS to monitor monthly sold statistics to ensure property prices reflect current market conditions. Whether you are a buyer or a seller, the MLS system supports your REALTOR in helping you make informed decisions that lead to successful transactions. Serving Greater Toronto REALTORS®

Getting into Hot Water

2010-06-12T12:55:00.000-04:00

Getting into Hot Water: "Hot water tanks don’t get much attention because they last for years with no maintenance. But some aggressive door-to-door sales tactics have thrust them into the news in Ontario. Here’s what you need to know about your most-ignored appliance.

2010-03-19T22:20:00.001-04:00

Market Watch

February Sales and Average Price Increase Annually

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

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

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

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

Resale housing forecast extended to 2011

2010-02-11T20:28:00.000-05:00

Resale housing forecast extended to 2011: "

OTTAWA – February 8, 2010 – The Canadian Real Estate Association has revised its forecast for home sales via the MLS® Systems of Canadian real estate boards in 2010, and extended the forecast to 2011.

With Canadian economic growth rebounding from the recession, the unusually severe decline in sales activity in early 2009 is not expected to recur in 2010. Annual activity in 2010 is forecast to be well above the previous year’s level as a result.

CREA forecasts national activity will reach 527,300 units in 2010, up 13.3 per cent from 2009. This would represent a new annual record, standing 1.2 per cent above the previous peak in 2007. Low interest rates are expected to boost housing demand in the first half of the year, resulting in strong annual sales growth in nearly all provinces in 2010, led by British Columbia and Ontario.

National home sales activity is expected to remain strong in the first half of 2010, fuelled by low interest rates and homebuyers motivated to avoid the HST before it comes into effect in Ontario and British Columbia. Over the second half of the year, national activity is expected to trend downward as the last of pent-up demand is exhausted, interest rates begin rising, and the HST comes into effect in Ontario and British Columbia.

Interest rate increases will contribute to weaker national sales activity in 2011. National home sales activity is forecast to decline 7.1 per cent to 490,100 units in 2011, putting it on par with annual levels reported in 2005 and 2006.

“Although interest rates are expected to rise, they will still be low enough to keep affordability within reach for many homebuyers requiring mortgage financing, and support overall housing demand,” said CREA President Dale Ripplinger.

The national average home price is forecast to climb 5.4 per cent in 2010, reaching a record $337,500, with average price gains forecast in all provinces. The national average price increase will continue to reflect upward skewing from the rebound in activity among Canada’s priciest markets, particularly in British Columbia and Ontario.

The national average price is forecast to ease by 1.5 per cent in 2011. Modest average price gains are forecast for all provinces except British Columbia and Ontario, whose share of national activity is expected to ease. The shift in the contribution made by provinces toward national activity will continue skewing the annual comparison in the national average price in 2011.

The price trend is similar but less dramatic for the weighted national average price, which compensates for changes in provincial sales activity by taking into account provincial proportions of privately owned housing stock. The weighted national average price is forecast to climb 4.8 per cent in 2010, and remain stable in 2011.

“Improved financial market stability and recovering global economic growth mean that home sales activity in 2010 is unlikely to repeat the dive it experienced in late 2008 and early 2009,” said Chief Economist Gregory Klump.

“Fiscal restraint, a strong Canadian dollar and a subdued inflation outlook point to marginal interest rate increases over the next couple of years, especially if the U.S. economic recovery proves to be weak and protracted,” said Klump.

“The Bank of Canada will need time to gauge the effect of interest rate increases on Canadian economic growth,” Klump said. “It recognizes that consumer debt burdens are running high, so it will want to gauge the impact of interest rate hikes on domestic demand and overall economic growth. Changes in interest rates impact the economy with a lag, so the timing and magnitude of interest rate hikes will be tricky, given that the Bank expects the private sector to lead economic growth once temporary government stimulus spending expires,” he added.

“The decline and subsequent rebound in sales activity for homes in the upper price spectrum in some of Canada’s priciest markets skewed average prices upward in the second half of 2009 and into 2010. This segment of housing activity in Ontario and British Columbia is expected to ease beginning in the second half of 2010, causing average prices to moderate in those provinces,” said Klump.

“A downward trend in national sales activity combined with an increase in listings will result in a more balanced market. Although builders are understandably more upbeat than they were during the depth of the recession, speculative building will likely continue to be held in check. As a result, while the real estate market will become more balanced, Canada will continue to avoid the massive realignment in housing supply and demand experienced in the U.S.”

CREA Residential Market Forecast:

Residential unit sales forecast	2009	2009 Annual percentage change	2010 Forecast	2010 Annual percentage change	2011 Forecast	2011 Annual percentage change
Canada	465,251	7.7	527,300	13.3	490,100	-7.1
British Columbia	85,028	23.4	101,900	19.8	88,800	-12.9
Alberta	57,786	2.5	63,050	9.1	64,000	1.5
Saskatchewan	10,856	6.5	10,900	0.4	11,050	1.4
Manitoba	13,086	-3.2	14,050	7.4	14,350	2.1
Ontario	195,840	8.2	223,700	14.2	200,300	-10.5
Quebec	79,290	3.3	87,950	10.9	85,450	-2.8
New Brunswick	7,003	-7.3	7,550	7.8	7,700	2.0
Nova Scotia	10,021	-7.8	11,400	13.8	11,500	0.9
Prince Edward Island	1,404	-0.6	1,450	3.3	1,450	0.0
Newfoundland	4,416	-5.9	4,900	11.0	5,050	3.1

Residential average price forecast	2009	2009 Annual percentage change	2010 Forecast	2010 Annual percentage change	2011 Forecast	2011 Annual percentage change
Canada	320,333	5.0	337,500	5.4	332,400	-1.5
British Columbia	465,725	2.4	485,500	4.2	476,600	-1.8
Alberta	341,201	-3.3	357,300	4.7	361,700	1.2
Saskatchewan	233,695	4.1	242,500	3.8	248,500	2.5
Manitoba	201,343	5.8	210,300	4.4	215,300	2.4
Ontario	318,366	5.3	332,700	4.5	326,000	-2.0
Quebec	225,412	4.7	240,500	6.7	249,100	3.6
New Brunswick	154,906	6.3	159,400	2.9	164,200	3.0
Nova Scotia	196,690	3.6	200,900	2.1	204,700	1.9
Prince Edward Island	146,044	4.4	149,900	2.6	153,200	2.2
Newfoundland	206,374	15.6	222,300	7.7	238,900	7.5

NOTE: All statistics contained in this release are obtained through analysis of the MLS® Systems of real estate Boards across Canada.

MLS® Systems are co-operative marketing systems used only by Canada’s real estate Boards to ensure maximum exposure of properties listed for sale.

About The Canadian Real Estate Association

The Canadian Real Estate Association (CREA) is one of Canada’s largest single-industry trade associations, representing more than 98,000 real estate Brokers/agents and salespeople working through more than 100 real estate Boards and Associations.

Registrants in any province who become members of organized real estate have an obligation to act in accordance with the REALTOR® Code. This Code outlines the accepted standard of conduct for all real estate practitioners who are members of a real estate Board or a Provincial Association.

CREA owns the MLS® and REALTOR® trademarks, which signify a high standard of service and identify members of CREA.

For further information, please contact:

Spencer Callaghan, Communications Officer The Canadian Real Estate Association P: 613-237-7111 or 613-884-1460 E: scallaghan@crea.ca

To view the complete release visit: http://www.crea.ca/public/news_stats/pdfs/nationalresidentialforecast2010.pdf

2010-01-23T00:06:00.000-05:00

GTA new home sales up 24 per cent in 2009

Tony Wong

New home sales in the Greater Toronto area were up by 24 per cent in 2009 compared to a year earlier,

according to figures released today.

The Building Industry and Land Development Association (BILD) stated 33,165 new homes and condos

were sold in the GTA, compared to 27,153 in 2008.

Most of those sales were in the second half of the year when consumer confidence, sparked by low

interest rates, returned to the market.

The solid figures were helped by a strong December, with 3,148 home sold, representing a more than

five-fold increase over December of 2008.

The recovery was "kick started by builders slashing costs and margins on inventory and new product to

the bone," said the association.

"It was propelled by an improving economy, increased consumer confidence and overall housing

affordability."

That strength has continued into 2010. Sales in the first two weeks of January were almost double those

of the same period last year - 1,749 so far this year up from 888 at the same time in 2009, according to

figures released by the Toronto Real Estate Board on Monday.

The average price of a home in January was also up, at $395,307, compared with $332,495 in the same

month in 2009.

The board expects the strength in sales and pricing will continue for the next few months.

Source: YourHome.ca

2010-01-22T20:39:00.001-05:00

"Sales activity in 2009 came in like a lamb and went out like a lion,"

Toronto developer Jim Ritchie thought his biggest challenge last year would be persuading consumers to purchase his condominiums during the recession.

But it turned out his main problem was getting new developments to market quickly enough to satisfy demand.

"There was very little activity for six months, and then things just started to take off," said the senior vice-president of condominium developer Tridel Corp.

Tridel had shelved projects at the beginning of the year only to scramble six months later to take advantage of a market ignited by low interest rates. Another factor has been spillover demand from the existing homes market and increased consumer confidence.

The strongest December in history for sales of existing homes helped power the Canadian real estate market to a strong finish in 2009.

The Canadian Real Estate Association reported Friday that 27,744 homes traded hands in December, up 72 per cent from a year ago.

"Sales activity in 2009 came in like a lamb and went out like a lion," said CREA president Dale Ripplinger.

The average national residential price was $337,410 in December, up 19 per cent year over year.

On an annual basis, prices were up 5 per cent to a record $320,333. Sales rose 7.7 per cent, representing the fourth-best year on record.

In the Toronto market, existing home sales bettered 2008 by 17 per cent, while the average price of a home gained 4 per cent to $395,460.

Like many developers, Tridel had been expecting a slowdown in 2009, but Ritchie said sales have increased by about 15 per cent.

The company launched four projects last year and virtually all sales occurred in the second half of the year.

Another project, the Hull-Mark Centre in North York, which would likely have been shelved under earlier projections, is to be launched next week.

The developer's outlook has been helped by a lack of inventory in the resale home market that has contributed to buyers moving into the new home market.

Friday's powerhouse numbers meanwhile, did nothing to quell the concerns of some economists who say the market is looking a little frothy.

"Canadian home sales just continue to roll right along even in the face of stern warnings from policy-makers, pundits, all and sundry," BMO Capital Markets Economist Doug Porter said Friday.

Porter warns the market is not in "full-blown bubble territory quite yet ... with an emphasis on yet."

The economist said the market could continue to be heated with "a risk of further sales and price surges in the coming months ahead."

Ritchie, meanwhile, said he doesn't see a bubble.

"I haven't seen prices and values increasing to such a point that they would collapse," he said.

"The Toronto market has been incredibly resilient."

Some economists have said that Toronto-area housing prices are already overvalued by up to 6 per cent based on demographics and historical valuations.

But some steam may already be coming out of the market, which could help avoid a correction.

In December new listings rose 4.8 per cent from the previous year, the first year-over-year gain in 12 months.

Toronto Star

GTA Resale Market Resilient in 2009

2010-01-12T14:42:00.001-05:00

GTA Resale Market Resilient in 2009

January 6, 2010 -- Greater Toronto REALTORS® reported 87,308 MLS® transactions in 2009 – a 17 per cent increase over 2008. This result included 5,541 sales in December. The 2009 result was in line with the healthy levels of sales experienced between 2004 and 2006, but lower than the record of 93,193 set in 2007. “After a slow start to the year, existing home sales rebounded during the second half of 2009,” said TREB President Tom Lebour. “As consumer confidence improved, many households moved to take advantage of affordable home ownership opportunities in the GTA. The strong residential real estate sector was a key contributor to overall economic recovery in Canada.” The average home price in 2009 climbed four per cent to $395,460. The average price for December transactions was $411,931. “Market conditions became very tight in the latter half of 2009. Sales climbed strongly relative to the number of homes listed for sale, resulting in robust price growth that more than offset average price declines in the winter,” said Jason Mercer, TREB’s Senior Manager of Market Analysis. “A greater supply of listings in 2010 will see home prices grow at a sustainable pace.”

Median Price In December, the median price was $349,000, from the $305,000 recorded during December of 2008.

Canada's real estate market expected to continue strong gains into the first half of 2010

2010-01-08T12:25:00.004-05:00

- Demand and supply finding balance in the second half of the year -

TORONTO, Jan. 7 /CNW/ - Canada's residential real estate market is forecast to remain unusually strong through the first half of 2010 as economic conditions across the country improve and the stimulus impact of low interest rates continues to stoke demand, according to today's Royal LePage Market Survey Forecast and House Price Survey. As confidence in the recovery builds in early 2010, increases in average house price levels and overall market activity are expected to continue. The gradual erosion of affordability driven by higher house prices and the expected late-year modest upward movement of interest rates, together with an improvement in listings supply as confidence improves, are expected to bring the market back into balance in the second half of the year, when home price increases are expected to moderate.

"The Canadian real estate market enters 2010 with considerable momentum from an unusually strong finish to the previous year," said Phil Soper, president and chief executive, Royal LePage Real Estate Services. "The stimulus effect of low borrowing costs has contributed to a sharp rise in demand that has driven activity levels to new highs. This demand, coupled with a typical seasonal undersupply of homes for sale, should cause home prices to continue to appreciate significantly during the early months of the year. Improving supply as the year unfolds and easing demand as the cost of home ownership rises should moderate home price increases in the second half of 2010."

In contrast to the difficult months during the worst of the recession, house prices appreciated during the later part of 2009, with fourth quarter price averages surpassing averages from the fourth quarter 2008. The average price of detached bungalows rose to $315,055 (up 6%), the price of standard two-storey homes rose to $353,026 (up 5.2%), and the price of a standard condominium rose to $205,756 (up 6.4%). The first two quarters of 2009 saw significant year-over-year price declines across the housing types surveyed and the third quarter provided the first signs and saw a strong rebound in Canadian home values.

Regions that saw the strongest declines during the recession are now showing marked gains. Those regions include Toronto and the Lower Mainland, B.C. Vancouver in particular experienced a robust quarter, with home prices rising across all housing types surveyed.

"No other sector of the economy has been as highly affected by economic stimulus as housing," commented Soper. "As consumer confidence has improved, Canadians have shown a lingering reluctance to acquire depreciating assets such as consumer durables, but have embraced the opportunity to invest in real property. Predictably, the regions benefiting most from this renewed interest in home ownership are those with lower average house prices and strong economic confidence, such as Winnipeg and parts of Atlantic Canada."

Soper added, "Our forecast is built upon an expectation that interest rates will ease upward before the year's end, which should have a dampening effect on demand, allowing it to come into balance with the supply of resale homes on the market. Further, we expect to see an increasing number of homes listed for sale as the year progresses - as Canadians regain confidence in the economy, they should be more willing to enter into a large financial transaction such as the sale of a home."

REGIONAL MARKET SUMMARIES

Halifax saw varied gains across all surveyed housing types in comparison to fourth quarter 2008. Notably, more affordable homes posted the highest price increases due to the influx of workers returning from Western Canada.

Montreal saw strong gains this quarter as year-over-year price levels rose across all three housing types surveyed. Recent increases in demand have resulted in lower than normal inventory levels. Inventory levels are expected in increase in 2010. Continued demand is expected to result in moderate price levels.

House price levels in Ottawa are moderately higher this quarter compared to fourth quarter 2008 across all housing types surveyed. Fourth quarter sales activity did not slow as expected, and the demand has resulted in higher incidences of sellers receiving multiple offers, an unusual occurrence in end of year activity for this region. While inventory levels are low and there is competition among home buyers, this may abate as the government eases economic stimulus in 2010.

The Toronto market saw year-over-year price increases across the housing types surveyed in the fourth quarter. Of particular interest is the increase in sales of higher priced units, which were hit hard by the recession over the previous 12 months. There was a surge of first-time buyers active in the market last year, depleting the inventory of entry-level units. They are expected to be joined by move-up, executive, and luxury buyers in the coming year, resulting in additional price appreciation.

Winnipeg saw some of Canada's largest home price increases this quarter. More than one third of homes sold in the region went for above their asking price driven largely by first time buyer activity. This strong growth is expected to continue well into 2010.

Inventory levels in Regina are low, as much as thirty per cent lower than expected for this time of year; this situation should be corrected in the spring of 2010. House prices should continue to increase into 2010, driven by labour force growth in the construction industry.

Price levels in Calgary remain constant as the market is correcting from the record growth seen in the middle of the previous decade. Inventory levels are one quarter the levels seen in 2008, and the reduction in choice has delayed purchases. Activity and price levels are expected to increase modestly in 2010.

House price levels in Edmonton are also still correcting from the 2005 to 2007 boom. Low inventory levels have provided some price support, and activity is expected to increase in the spring of 2010.

Vancouver saw significant gains in price levels, with average increases of approximately ten per cent across the housing types surveyed. Inventory levels are beginning to decrease, and there has been an increase in sales involving multiple offers. Sales activity may drop off due to the city's focus on the Olympics in the first quarter, but the market is expected to be robust for the remainder of the year.

The Highest Offer May Not Be the Best

2010-01-08T01:09:00.000-05:00

The Highest Offer May Not Be the Best
Sellers who get more than one offer should be aware that the highest offer isn't necessarily the best offer, say experienced practitioners.

In this tough market, going with the buyer who has enough cash to pay a large down payment and who won't be scared away if the inspection uncovers some needed repairs is often the wise choice.

Practitioners should encourage sellers to review all the terms and conditions of the sales contract. In some areas, the allocation of fees can take a big bite out of the net proceeds. While most contracts are written to reflect that, it isn't always the case.

Also, the closing date in the offer should be considered carefully. A buyer who can close quickly can save a seller thousands. Offers contingent on the sale of another property are particularly suspect in this market.

Source: Inman News, Dian Hymer (12/28/2009)

Homeowners – Exterior Remodeling Projects Prove Best Bang for Your Buck

2009-12-27T00:36:00.001-05:00

Homeowners – Exterior Remodeling Projects Prove Best Bang for Your Buck: "RISMEDIA, December 24, 2009—Despite a slow market and a slight decrease in the resale value of most remodeling projects, Realtors report that the smartest home improvement investments may also be some of the least expensive. Results from the 2009 Remodeling Cost vs. Value Report show that small-scale exterior projects are ...

Looking Ahead: Canada's Housing Demand to 2036

2009-12-22T12:50:00.000-05:00

Looking Ahead: Canada's Housing Demand to 2036: "As the Canadian population ages, immigration will be the key factor driving housing demand for the next few decades. Jim Adair looks at what other changes are in store for the housing industry."

My Google Profile

2009-12-20T18:40:00.000-05:00

My Google Profile: "Check out my new Google profile."

December 2009

2009-12-20T17:57:00.000-05:00

GTA REALTORS® Report December Mid-Month Resale Housing Market Figures

TORONTO, December 17, 2009 - Greater Toronto REALTORS reported 3,079 existing home

transactions in the first two weeks of December compared to 1,487 in 2008. The strong

growth represents both increased home ownership demand and the fact that we are

comparing the recovery phase of the sales cycle this December with the contraction

phase experienced last winter

Year-to-date sales, at 84,888, were up 16 per cent compared to the same period last year

and have moved in line with the healthy levels experienced in the 2004 through 2006

period.

"We experienced a very strong and broad based recovery in the second half of 2009,"

said Toronto Real Estate Board President Tom Lebour. "The rebound in the housing

sector speaks to the confidence that households have in overall economic recovery.”

The average resale home price during the first two weeks of December rose 17 per cent to

$423,103. The year-to-date average was $395,411, up four per cent compared to the same

period in 2008.

“The double-digit price growth we have experienced since September will continue

through the first quarter of 2010. Average price growth will move to a sustainable pace in

the spring as listings increase," according to Jason Mercer, TREB's Senior Manager of

Market Analysis.

Summary Of December Sales And Average Price

December

2009 2008

Sales Average Price Sales Average Price

City of Toronto ("416") 1,343 $460,828 619 $382,759

Rest of GTA ("905") 1,736 $393,918 868 $344,887

GTA 3,079 $423,103 1,487 $360,652

Source: Toronto Real Estate Board

Greater Toronto REALTORS® are passionate about their work. They adhere to a strict Code of Ethics

and share a state-of-the-art Multiple Listing Service. Serving over 29,000 Members in the Greater

Toronto Area, the Toronto Real Estate Board is Canada’s largest real estate board. Greater Toronto Area

open house listings are now available on www.TorontoRealEstateBoard.com.

2009-09-06T11:15:00.001-04:00

Strong Sales Increases Continue in August

September 2, 2009 -- August 2009, Greater Toronto REALTORS® reported 8,035 sales, up 27% per cent from August 2008. The average price for August transactions was $387,921 – up by six per cent compared to the same month last year. "The increase in demand for existing homes has been widespread across different housing types and price ranges," said TREB President Tom Lebour. "This suggests many categories of home buyers have chosen to make a long-term investment in housing, from first-time buyers to move-up buyers or buyers who are seeking a lifestyle change." Year-to-date sales, at 58,421 were up two per cent compared to the first eight months of 2008. Average price, at $385,978 was up by less than one-half of one per cent. "We have heard more positive economic news lately. The improved housing market has played a key role," explained Jason Mercer, TREB's Senior Manager of Market Analysis. "Home sales have helped other sectors of the economy through home buyers' spending on things like financial and legal services, moving, renovations and home furnishings."

Median Price In August, the median price was $338,000, from the $318,000 recorded during August of 2008.

GTA REALTORS® Report August Mid-Month Resale Market Figures

2009-08-20T19:33:00.000-04:00

GTA REALTORS® Report August Mid-Month Resale Market Figures TORONTO, August 18, 2009 - In the first two weeks of August, Greater Toronto REALTORS® reported 3,832 sales – up 27 per cent compared to the first two weeks of August 2008. The average price for these transactions was up three per cent year-over-year to $383,796. "The results for the first half of August indicate that many households in the GTA remain confident in their ability to purchase and pay for a home over the long term," said TREB President Tom Lebour. Year-to-date sales, at 54,303 are up slightly compared to 54,138 in 2008. Average price, at $385,603 is down by less than one half of one per cent. "Strong resale housing demand will contribute to broader economic recovery as each transaction results in substantial spin-off benefits to other sectors of the economy," explained Jason Mercer, TREB's Senior Manager of Market Analysis. Summary Of August Sales And Average Price August 2009 2008 Sales Average Price Sales Average Price City of Toronto ("416") 1,465 $391,252 1,192 $394,563 Rest of GTA ("905") 2,367 $379,181 1,827 $360,326 GTA 3,832 $383,796 3,019 $373,844 Source: Toronto Real Estate Board Greater Toronto REALTORS® are passionate about their work. They adhere to a strict Code of Ethics and share a state-of-the-art Multiple Listing Service. Serving over 28,000 Members in the Greater Toronto Area, the Toronto Real Estate Board is Canada’s largest real estate board. Greater Toronto Area open house listings are now available on www.TorontoRealEstateBoard.com.

Existing home sales set July record

2009-08-15T00:22:00.002-04:00

Existing home sales set July record

August 14, 2009 Tony Wong
BUSINESS REPORTER

Canadian existing home sales set a record for July, up 18.2 per cent from the same time last year according to figures released today.

A total of 50,270 homes exchanged hands last month, breaking the previous record set in July of 2007 when the market was at its peak, according to the Canadian Real Estate Association.

Year over year gains in Toronto (up 28 per cent), Calgary (up 22 per cent) and Montreal (up 19 per cent) helped set the record. Vancouver was the stand out, however, with a 90 per cent year over year gain.

Prices nationally are up 7.6 per cent from a year ago to $326,832.

However, only seven markets in Canada posted new average price records. This suggests that a strong rebound in sales activity in the more expensive cities in Canada is skewing national prices upward.

The trend toward fewer listings is also having an impact. For the seventh month in a row, listings were down. This time by 13 per cent in July as buyers have fewer inventory to choose from.

Nationally, there were 4.4 months of inventory last month, well below the recessionary peak of 12.8 months in January of this year.

"Home sales through the MLS systems in July provide clear evidence that sentiment about making major purchases continues to improve," said CREA Chief Economist Gregory Klump. "These trends are supporting average prices."

thestar.com

CMHC

2009-08-09T20:07:00.000-04:00

Canada Mortgage and Housing Corporation (CMHC) is Canada's national housing agency, which is best known as a provider of mortgage loan insurance. It is also involved in helping Canadians most in need to gain access to safe, affordable housing. CMHC is a source of reliable, objective housing information for Canadians and is well-known internationally for sharing expertise with others around the world.

GTA

2009-08-06T17:55:00.000-04:00

GTA REALTORS® report resale record in July

TORONTO, August 6, 2009 - In July 2009, Greater Toronto REALTORS® reported a record

9,967 sales, up 28 per cent from July 2008. The average price for July transactions was

$395,414 – up by six per cent compared to the same month last year.

"Households confident in their positioning within the current economic environment have taken

advantage of housing affordability in the GTA," said TREB President Tom Lebour. "The real

estate sector has been one of the sectors making a positive contribution to economic growth in

the GTA, not to mention Ontario and Canada more broadly."

Year-to-date sales, at 50,632 are down 1.2 per cent compared to the first seven months of 2008.

Average price, at $385,808 is down by less than one-half of one per cent.

"The steep drop-off in sales experienced at the beginning of the year has all but dissipated,"

explained Jason Mercer, TREB's Senior Manager of Market Analysis. "With five months left to

go in the year, it is probable that total existing home sales in 2009 will be at or above last year's

level."

Summary Of July Sales And Average Price

July

2009 2008

Sales Average Price Sales Average Price

City of Toronto ("416") 3,880 $421,110 3,132 $395,343

Rest of GTA ("905") 6,087 $379,035 4,674 $355,401

GTA 9,967 $395,414 7,806 $371,427

Source: Toronto Real Estate Board

For a complete copy of the Market Watch Report visit www.TorontoRealEstateBoard.com

Greater Toronto REALTORS® are passionate about their work. They adhere to a strict Code of

Ethics and share a state-of-the-art Multiple Listing Service. Serving over 28,000 Members in the

Greater Toronto Area, the Toronto Real Estate Board is Canada's largest real estate board.

Greater Toronto Area open house listings are now available on

www.TorontoRealEstateBoard.com.

GTA REALTORS® report sales

2009-08-06T10:31:00.000-04:00

GTA REALTORS® report sales up first two weeks of July TORONTO, July 20, 2009 - In the first two weeks of July, Greater Toronto REALTORS® reported 4,437 sales up 27 per cent compared to the first two weeks of July 2008. The average price for these transactions was up four per cent year-over-year to $394,750. "The resurgence in home ownership demand experienced in the spring has continued into the summer. Home buyers continued to take advantage affordable market conditions in the first half of July," said TREB President Tom Lebour. "If the mid-month results carry forward, we may see the best July on record." Year-to-date sales, at 45,213 are down four per cent compared to 2008. Average price, at $384,645 is down one per cent. "The GTA housing market has held up very well this year given the current economic climate, especially relative to past economic slow-downs," explained Jason Mercer, TREB's Senior Manager of Market Analysis. "The cost of borrowing has been key. With inflation in check, the Bank of Canada has been able to aggressively lower interest rates – an option that wasn’t available in the early 1990s or early 1980s." Summary Of July Sales And Average Price July 2009 2008 Sales Average Price Sales Average Price City of Toronto ("416") 1,703 $419,754 1,369 $419,199 Rest of GTA ("905") 2,734 $379,174 2,128 $353,257 GTA 4,437 $394,750 3,497 $379,072 Source: Toronto Real Estate Board For a complete copy of the Market Watch Report visit www.TorontoRealEstateBoard.com Greater Toronto REALTORS® are passionate about their work. They adhere to a strict Code of Ethics and share a state-of-the-art Multiple Listing Service. Serving over 28,000 Members in the Greater Toronto Area, the Toronto Real Estate Board is Canada’s largest real estate board. Greater Toronto Area open house listings are now available on www.TorontoRealEstateBoard.com.

Homes to become more affordable this year: observers

2008-01-25T20:44:00.001-05:00

Buying a home in Canada should become more affordable this year, with interest rates being lowered in hopes of avoiding a recession and mortgage rates declining, real estate observers suggest. In its latest housing affordability report released Thursday, the Royal Bank of Canada said that after homeownership costs climbed steadily in 2007, mainly because of higher prices in booming western Canadian cities, homes should become easier to buy and finance this year. As a result of the recent lowering of interest rates by the Bank of Canada that has led to lower rates on mortgages tied to the dropping prime rate, consumers should see affordability improve across all classes, said Derek Holt, assistant chief economist at RBC. "Longer-term mortgage rates will come down because the spreads charged for bank lending and borrowing in international markets are likely to come down a little bit, and that will get passed on to longer-term borrowers," said Holt. For short-term mortgages, the central banks are probably going to continue to push interest rates lower, he said. "We're expecting the Bank of Canada to cut rates by a further 100 basis points or a full percentage point from where they stand right now." Continue Article Let's face it, said Peter Norman of real estate research firm Altus Clayton, "if you have an expectation that mortgage interest rates are going to decline by 50 basis points or so, then it would be reasonable to expect that that would probably bring about an improvement in affordability." A basis point is one-hundredth of a percentage point. But it's important to also point out that the deterioration in affordability in the last couple of years hasn't been interest-rate driven per se, he said. "It's been mainly due to rising house prices in the West." Affordability steady in Toronto, Central Canada In fact, in markets like Toronto and elsewhere in Central Canada and the East, affordability has been reasonably steady. In Alberta, though, "there were very severe shortages of labour and materials, and other aspects that went into the production of housing," said Norman. This forced housing prices up, affecting affordability. Holt said almost every housing class in every province and major city saw affordability deteriorate last year. Unlike the late 1980s and early 1990s when double-digit unemployment rates and interest rates led to a housing crunch and declining affordability, the prime culprit this time around has been a long string of house price gains that have outstripped income gains, he said. The Royal's affordability report measures the proportion of pre-tax household income needed to service the costs of owning a home. All of Canada's big banks have been increasingly interested in tracking house trends across the country since a big chunk of their profits come from mortgage lending to homebuyers. Condos most affordable type of housing Across the country, the standard condo remained the most affordable housing type, requiring about 30 per cent of pre-tax household income. A standard townhouse was next at 34 per cent, followed by a detached bungalow at 42 per cent. A standard two-storey home remained the least affordable housing type at 47 per cent. New record highs for the amount of household income going towards home ownership costs are being set across most housing classes in British Columbia, Alberta and Saskatchewan, the report said. But there is some light at the end of the tunnel that should help affordability, besides declining mortgage rates, said Norman. In Alberta, "we're starting to see a reversal" in the deterioration of affordability. Many of the scarcities in labour and supplies "are starting to become addressed, and also the demand has gotten a little bit softer" as people have started to leave the province in search of work in other western provinces such the oilfields in Saskatchewan, he said. Both of these developments, said Norman, should bring the housing market much more back into balance into 2008. © The Canadian Press, 2008

No recession in Canada, bank economists say

2008-01-13T00:28:00.000-05:00

Canada's economic growth will slow down this year, but will avoid a recession, top economists at Canada's biggest banks agreed Wednesday. TD Bank chief economist Don Drummond, speaking at a forum at the Economic Club of Toronto, is forecasting GDP growth of 1.9 per cent in Canada this year, while Sherry Cooper of BMO Capital Markets is calling for 2.2 per cent — the same as the Bank of Canada predicted in its last economic outlook in October. The five economists don't see a recession in the U.S. either, although some say it will be close. "We sure are not far from it and it will feel like a recession," said Cooper, chief economist at BMO, calling the decline in the U.S. housing market "without precedent." "The [U.S.] recovery is going to be very very lethargic," said Scotiabank chief economist Warren Jestin. "We're going into a recuperative period that may very well span all of the 2009 calendar." CIBC World Markets chief economist Avery Shenfeld said people shouldn't assume a U.S. recession is automatic if weak economic numbers start to emerge in the first quarter. Continue Article "We should remind ourselves that other slowdowns in the past looked like recessions, but didn't end up being so," he said. And TD's Drummond suggested that people stop with the fixation on the "r" word. "The economy's going to be weak, we've all said that," he said. "I think that's the key thing. The challenge is going to be there whether it satisfies the technical [definition of]recession or not." Merrill Lynch Canada said its own outlook calls for the Canadian economy to grow by just 1.7 per cent this year. Merrill Lynch Canada economist David Wolf is predicting the Bank of Canada will slash its key lending rate to just three per cent this year — 1.25 percentage points below where it is now. The central bank is widely expected to cut its overnight lending rate by a quarter of a percentage point at its next policy meeting on Jan. 22. Meanwhile, another major U.S. investment bank is forecasting that a U.S. recession is likely this year. "The recent data suggest that the U.S. economy is falling into recession," Goldman Sachs economists said in a research note Wednesday. But they say the recession will be "relatively mild by historical standards" and should last two or three quarters. Goldman Sachs said the U.S. Federal Reserve would end up slashing its key overnight lending rate by 1.75 percentage points to 2.5 per cent. A day earlier, a Merrill Lynch report said the U.S. economy was already in recession. But most economists are still leaning against the possibility of a U.S. recession, according to a survey by Bloomberg. The news agency polled 47 economists and found only five said the U.S. economy would contract in the next year. Canadians' pessimism grows A majority of Canadians (61 per cent) say the U.S. economy will worsen this year, a new poll suggests. Only 17 per cent see a healthier American economy, according to a Pollara survey. The weakening U.S. economy, reduced optimism about Canada's employment picture — especially in Ontario and Quebec — and fears of rising inflation have combined to make Canadians more cautious about their outlook for the coming year, the polling firm said. Half of all Canadians surveyed said they expect their household income to fall behind the cost of living this year. That's the most pessimistic personal outlook the annual survey has uncovered in its 24-year history. "This is not just a baseless prediction," said Pollara chair Michael Marzolini. "The number of Canadians who say they lost ground in 2007 has doubled [to 40 per cent] from the year before," he said. The survey's results were based on 4,589 online responses between Dec. 14 and Dec. 21. The results are considered accurate to within 1.5 percentage points, 19 times out of 20. CBC News

Two New Records Set In First Two Weeks of December!

2008-01-05T21:54:00.000-05:00

TORONTO, December 19, 2007 -- The Greater Toronto resale home market reached two new heights during the first half of this month Toronto Real Estate Board President Maureen O’Neill announced today. “The 2,868 transactions recorded during the first two weeks of December have made this the first year that sales have exceeded 90,000,” said Ms. O’Neill. This activity also represents a 3 per cent increase over the 2,783 sales recorded during the first two weeks of December 2006. This year’s record activity has been matched by record prices. “The average price is now $404,707, which is the first time it has exceeded $400,000,” said Ms. O’Neill. The current average price has increased 3 per cent since last month and 19 per cent compared to the same timeframe a year ago. In the Danforth area (E03) transactions are up 24 per cent compared to mid-December 2006, as a result of strong semi-detached sales. New Toronto transactions (W06) are up 43 per cent compared to the same timeframe a year ago, as a result of strong condominium apartment sales. Condominium apartment transactions Downtown (C01) also pushed overall sales in that area up 28 per cent compared to the first half of December 2006. In North York (C14) detached home transactions led to an overall sales increase of 34 per cent in the area compared to mid-December 2006. “The two new precedents set in the last two weeks is certainly positive news, said Ms. O’Neill. It’s shaping up to be a busy holiday season for homebuyers and sellers alike.” Toronto Real Estate Board.

Best Year Ever with Six Weeks To Go!

2007-12-04T17:20:00.000-05:00

TORONTO, November 19, 2007 -- With six weeks remaining, 2007 has already become the best year on record for resale homes in the Greater Toronto Area, Toronto Real Estate Board President Maureen O’Neill announced today. “As I predicted last month, 2007 will indeed be a banner year for home sales in our city,” said Ms. O’Neill. “So far this year, 84,994 properties have changed hands, as compared to 84,145 sales in 2005, our previous best year.” With 3,544 transactions to mid-month, November sales are also up five per cent compared the same timeframe last year. The current average price is $393,084, a nine per cent increase over the first half of November 2006. The year-to-date average price stands at $374,678, up six per cent over the $352,807 recorded during the first 111/2 months of 2006. In West Agincourt (E05), transactions were up 39 per cent as compared to the same timeframe a year ago, driven by a significant increase in detached home sales. Newmarket (N07) saw an increase of 50 per cent compared to the midway point of last November, due to a substantial number of detached and semi-detached home sales. Northwest Cooksville (W15) experienced an overall sales increase of 27 per cent compared to mid-November 2006, mainly as a result of condominium townhouse sales. In the downtown core (C01) condominium apartment transactions resulted in a 32 per cent overall increase as compared to the first half of last November. “All of the economic conditions remain in place for a strong housing market in the GTA. The unemployment rate fell by approximately half a per cent last month, Statistics Canada anticipates sustained immigration throughout the next decade and mortgage rates remain historically low,” said Ms. O’Neill. “Toronto is a very vibrant city in which to live and compared to other urban centres like New York, Los Angeles and London, our housing is very affordable.” Toronto Real Estate Board

Real estate continues to climb

2007-11-16T23:30:00.000-05:00

Canada's real estate scene is showing no sign of the weakness sweeping through the U.S. market, as sales and prices continue to rise.

CMHC Purchase Plus Improvements

2007-11-03T18:21:00.000-04:00

CMHC Purchase Plus Improvements Program Canada Mortgage and Housing Corporation (CMHC) insured mortgage loans are available to cover the purchase price of a home as well as an amount to pay for immediate major renovations or other improvements that the purchaser may wish to make to the property. This option eliminates the need to obtain secondary financing after the purchase to pay for improvements. The homebuyer obtains a single first mortgage, makes a single mortgage payment, and benefits from first mortgage interest rates. Details The insured loan will be based on the lower of: The purchase price plus the actual cost of improvements, or, The “as improved” market value. Prior to approval, CMHC will determine the market value of the property after renovations/ improvements. The lending value will not exceed the market value of the property after renovations/ improvements. Applicants must have the following: A minimum of 5% down payment of total cost (purchase price plus renovations/ improvements). Cost estimates for renovations/improvements. Qualifications to obtain a CMHCinsured loan through an approved lender. For more information call CMHC at (416) 221-2642 or www.cmhc.ca. EXAMPLE: Purchase Price $100,000 Renovations/improvements costs $25,000 Total cost $125,000 Lending Value $125,000 Maximum Mortgage (95%) $118,750 Mimimum 5% down payment $6,250

Market News 10/18

2007-10-20T09:19:00.000-04:00

October housing activity confirms consumer confidence in real estate market TORONTO,October 18,2007 -- Resale housing activity substantially outpaced mid-October results from a year ago, Toronto Real Estate Board President Maureen O’Neill announced today. “There were 3,297 sales reported to mid-month, which is a 10 per cent increase over the 3,007 homes sold during the same period last year,” Ms. O’Neill said. “We are on course to rival October’s best result, which was in 2003 with 7,227 sales.” In Riverdale (E01) the number of transactions to mid-month jumped 29 per cent compared to the same timeframe a year ago due to strong sales in all housing types. Streetsville East (W19) saw a significant increase in the sale of semi-detached homes, which helped push overall sales up 48 per cent compared to mid-October 2006. A combination of strong condominium and detached home transactions drove Willowdale’s (C07) mid-month sales to an overall increase of 83 per cent. At the northern edge of TREB’s reporting area, Innisfil (N23) saw sales to mid-month double as compared mid-October 2006, driven mainly by the sale of detached homes. Meanwhile, the average price rose to $399,013, up nine per cent over the $364,364 recorded to the middle of September. This figure is also 13 per cent higher than the first half of October last year when the average price stood at $353,677. “While mid-month figures simply provide a snapshot of current activity, we are encouraged that sales remain robust. The activity we have seen this autumn shows that consumers continue to have a great deal of well-founded confidence in the housing market,” said Ms. O’Neill. “There’s no question that home ownership is the best long-term investment you can make.” However, if the City of Toronto imposes a second land transfer tax, this could have far reaching impacts on the City’s economy. “A doubling of land transfer taxes could impact the market and will reduce the amount of money home buyers spend,” noted Ms. O’Neill.

Five Per Cent Down Payment Program

2007-10-18T15:54:00.001-04:00

Five Per Cent Down Payment Program With as little as five per cent down payment, from personal or other sources (see below for eligible other sources), all home buyers have access to mortgage insurance enabling then to enter the housing market, as long as they can manage the costs of home ownership. Details Mortgage insurance for 95 per cent mortgages is available to both first time and repeat home buyers. Homebuyers have the option of using personal sources, such as savings or gifts, or other sources, such as lender incentives, borrowed funds/credit, or sweat equity (the amount of money spent to help construct the home) for the required five per cent down payment. Buyers using the Program may consume up to 32 per cent of their gross monthly household income for payments on loans for 95 per cent of the lending value of the house where the five percent down payment comes from other sources will be 2.9 per cent of the mortgage loan. This premium can be added to the mortgage. The maximum amortization period is 25 years. Insurance premiums on loans for 95 per cent of the lending value of the house where the five percent down payment comes from personal sources will be 2.75 per cent of the mortgage loan. Insurance premiums on loans for 95 per cent of the lending value of the house where the five percent down payment comes from other sources will be 2.9 per cent of the mortgage loan. This premium can be added to the mortgage. Borrowers are required to demonstrate, at the time of application, their ability to cover closing costs equal to at least 1.5% of the purchase price. Where the minimum equity requirement is being met by way of a financial gift, the funds must be in possession of the borrower 15 days before making an offer to purchase. Five Per Cent Down Payment Program With as little as five per cent down payment, from personal or other sources (see below for eligible other sources), all home buyers have access to mortgage insurance enabling then to enter the housing market, as long as they can manage the costs of home ownership. Details Mortgage insurance for 95 per cent mortgages is available to both first time and repeat home buyers. Homebuyers have the option of using personal sources, such as savings or gifts, or other sources, such as lender incentives, borrowed funds/credit, or sweat equity (the amount of money spent to help construct the home) for the required five per cent down payment. Buyers using the Program may consume up to 32 per cent of their gross monthly household income for payments on loans for 95 per cent of the lending value of the house where the five percent down payment comes from other sources will be 2.9 per cent of the mortgage loan. This premium can be added to the mortgage. The maximum amortization period is 25 years. Insurance premiums on loans for 95 per cent of the lending value of the house where the five percent down payment comes from personal sources will be 2.75 per cent of the mortgage loan. Insurance premiums on loans for 95 per cent of the lending value of the house where the five percent down payment comes from other sources will be 2.9 per cent of the mortgage loan. This premium can be added to the mortgage. Borrowers are required to demonstrate, at the time of application, their ability to cover closing costs equal to at least 1.5% of the purchase price. Where the minimum equity requirement is being met by way of a financial gift, the funds must be in possession of the borrower 15 days before making an offer to purchase. For more information please visit my webside at www.tomsmok.com