The trend toward more balanced market conditions continued in June with 8,600 properties changing hands, Toronto Real Estate Board President Maureen O’Neill announced today.
It is important to note that in this release you will also find market numbers specific to the resale
housing activity in 2006 and 2007. This comparison is provided to help present a more accurate
perspective of the resale housing market of 2008.
At $395,866, the Greater Toronto Area average price for last month increased by four per cent
compared to June 2007 when it was $381,963. The City of Toronto’s average price of $433,082 last month increased three per cent from $421,139 in June 2007. In the 905 Region, last month’s average was $370,559, an increase of four per cent, from $355,240 in June 2007.
In the first two quarters of 2008, the average GTA price increased four per cent to $390,054 from $373,719 during the same time period in 2007, and up 9 per cent from the $356,977 recorded in the same period in 2006.
In the City of Toronto, the average price in 2008 increased four per cent to $427,198 from $411,530 in 2007, and up 10 per cent from $389,313 during the same period in 2006. In the 905 Region the increase was five per cent to $365,536 from $347,852 a year ago, up 9 per cent from$334,220 in 2006.
“Although June 2008 sales in the Greater Toronto Area (GTA) have declined 18 per cent to
8,600 from the June 2007 total of 10,451, June 2007 was the best performance ever for that month,”said Ms. O’Neill.
“This year we’re seeing a return to calmer conditions but the market remains healthy. When
compared to the 8,730 transactions in June 2006, GTA sales activity in June 2008 decreased by
only one per cent.” Record month June 2007 saw a 20 per cent increase over June 2006.
In the City of Toronto there were 3,481 transactions last month, a decline of 18 per cent from June
2007 with 4,238 sales but down 4 per cent over the 3,641 transactions in June 2006. When you compare record month June 2007 with June 2006, a period before the Toronto Land Transfer Tax went into effect, sales increased 16 per cent.
The 905 Region experienced an equivalent decline of 18 per cent, with 5,119 sales last month
compared to 6,213 transactions in June 2007 but a one per cent increase over the 5089 properties sold in June 2006. When you compare record month June 2007 with June 2006, sales in the 905 Region increased by 22 per cent.
In the first two quarters of 2008, GTA sales declined 14 per cent to 43,685 transactions from
50,648 during the same time a year ago and down five per cent from the 45,797 recorded in the
same period in 2006. When you compare the first two quarters of 2007 with the same period in
2006, GTA sales increased by 11 per cent.
In the City of Toronto, sales for the first two quarters declined 15 per cent to 17,370 from 20,574in 2007 and down 8 per cent from 18,917 in 2006. In the 905 Region sales declined 12 per centto 26,315 from 30,074 in 2007 and down 2 per cent from 26,880 in 2006. However, when youcompare the first two quarters of 2007 with the same period in 2006, sales increased by 9 percent in the City of Toronto and by 12 per cent in the 905 Region.
“The increase in listings we have seen in recent months has resulted in a slightly longer period
during which homes are on the market, from 29 days a year ago to 34 days currently,” said Ms.
O’Neill. “This has given buyers and sellers a little more time to make well-considered decisions.”
In certain pockets however, the pace of sales remained brisk this June.
Brooklin (E19) experienced a 35 per cent increase in overall sales based on strong detached
home transactions.
Burlington (W25) saw a 65 per cent increase in activity, driven by detached home transactions
and even more robust attached/row house sales.
In Downtown East (C08), activity was up four per cent due to attached/row house and
condominium apartment sales.
“We expect to see balanced market conditions continue in the coming months,” said Ms. O’Neill.
“When you look at it from a long-term perspective real estate invariably provides stable returns.”
Tuesday, July 08, 2008
Tuesday, June 10, 2008
CREATING CURB APPEAL
They say you can’t judge a book by its cover. But when it comes to houses, the exterior can be just as important as the interior if selling or buying.
When selling, it is the outside, or the home’s curb appeal that often determines whether the inside is ever seen. How a house 'shows’ from the street can tell a potential buyer a lot about what it may be like inside. Even if the inside is the sparkling, charming, structurally sound dream home they’ve been searching for, a buyer is not going to forget a cracked driveway, fallen shutters, overgrown grass and flower beds.
That’s why most Realtors recommend a house not be seen for the first time at night. If you have no choice but to view homes at night, always be sure to drive past them during the daytime before making any final decisions.
For sellers, there are many ways to enhance the exterior of a home to achieve the curb appeal necessary to attract prospective buyers. Start by taking a close, objective look at your home from the curb. Be sure to view it from different angles. Ask friends and neighbors for their unbiased opinions. What are the appealing features? What’s not so appealing? What can you do to improve its appearance?
Are the shrubs untrimmed? Are there broken doors and windows, loose screens and railings? Does the exterior trim, or entire surface, need a paint job?
The interior may be clean, without a leaky faucet, cracked floor or loose door hinge in sight. But if the exterior roof, gutter, walls, driveway, garage and yard look dirty and untidy, chances are you’re not going to get a lot of potential buyers knocking at the door.
Creating curb appeal is making your home inviting from the outside -- where first impressions begin. This doesn’t mean spending a great deal of money remodeling and renovating. Adding a new front verandah might add a lot of curb appeal, but so will a couple of wicker chairs and potted flowers by the front door - at a lot less cost.
Here are some more tips for making the outside of your home attractive and inviting:
CLEAN UP THE YARD
Mow the lawn, trim the hedges, weed the flower beds, get rid of dead trees and shrubs; get rid of any broken lawn furniture; shovel the walk and driveway in winter; rake the yard in the fall.
REPAIR ANY PROBLEMS
If the roof is damaged, repair it. Also repair any doors and windows that have loose hinges or other damage; fix storm doors and window screens; caulk window exteriors; clean and repair sidings and other structural flaws.
ELIMINATE CLUTTER
If you have yard and construction debris piled up along the side of the house, or elsewhere, get rid of it. The exterior of your home should be as uncluttered in appearance as the interior. This includes cleaning out the garage - a major breeder of clutter. Be ruthless. If you haven’t used something in a year, give it to charity or recycle it.
GIVE SIDING A FRESH NEW LOOK
Cleaning the exterior surface is all your home may need for a fresh new face. Before rushing to paint siding, try washing it. For painted wood siding and aluminum siding, use a solution of one cup strong detergent and one quart chlorine bleach in three gallons of water. Be sure to wear rubber gloves, goggles and other protective garments. Work from the bottom up and rinse thoroughly.
To spruce up vinyl siding, hose it down, sponge it with a mild liquid detergent and rinse.
USE PAINT TO BRIGHTEN, RE-PROPORTION EXTERIOR
A paint job can do wonders for the exterior of a home. A low house can look more graceful and tall from the curb by emphasizing its vertical features. Paint elements such as doors, shutters and corner trim in a color that contrasts with the siding material or color. On a high home, emphasize horizontal by using a contrasting paint color on window sills and fascia boards. You can also make a tall house look lower by painting it a dark color, provided that the roof is dark too. Conversely, a light color will make a home look larger.
CO-ORDINATE THE EXTERIOR 'LOOK’
The more co-ordinated your house looks from the outside, the more appealing it will be. Co-ordinate the 'look’ of your home by painting the garage, tool shed, playhouse and other outdoor structures with the same color schemes as the house. If your house is a mixture of conflicting textures - vertical siding, shingles and brick, for instance - try painting them all the same color, or in two related shades of the same color, to create a harmonious look. Dark tones work best when working with conflicting textures.
USE FLOWER POWER
Well-placed flowers, trees and shrubs can really make the outside of a home look inviting. Not only does attractive landscaping invite buyers, it can increase the value of a home. Even without major landscaping, flowers can make a yard look colorful and pleasant. Plant them in garden beds, hang them from railings and porch ceilings, add flower boxes to window sills. There is no limit to the power of flowers.
At night, highlight garden features with spotlights and floodlights. Well-lit paths and entrances promote safety, discourage burglars and are an added feature to any home. A pretty wreath on the door and a welcome mat will finish things off.
When selling, it is the outside, or the home’s curb appeal that often determines whether the inside is ever seen. How a house 'shows’ from the street can tell a potential buyer a lot about what it may be like inside. Even if the inside is the sparkling, charming, structurally sound dream home they’ve been searching for, a buyer is not going to forget a cracked driveway, fallen shutters, overgrown grass and flower beds.
That’s why most Realtors recommend a house not be seen for the first time at night. If you have no choice but to view homes at night, always be sure to drive past them during the daytime before making any final decisions.
For sellers, there are many ways to enhance the exterior of a home to achieve the curb appeal necessary to attract prospective buyers. Start by taking a close, objective look at your home from the curb. Be sure to view it from different angles. Ask friends and neighbors for their unbiased opinions. What are the appealing features? What’s not so appealing? What can you do to improve its appearance?
Are the shrubs untrimmed? Are there broken doors and windows, loose screens and railings? Does the exterior trim, or entire surface, need a paint job?
The interior may be clean, without a leaky faucet, cracked floor or loose door hinge in sight. But if the exterior roof, gutter, walls, driveway, garage and yard look dirty and untidy, chances are you’re not going to get a lot of potential buyers knocking at the door.
Creating curb appeal is making your home inviting from the outside -- where first impressions begin. This doesn’t mean spending a great deal of money remodeling and renovating. Adding a new front verandah might add a lot of curb appeal, but so will a couple of wicker chairs and potted flowers by the front door - at a lot less cost.
Here are some more tips for making the outside of your home attractive and inviting:
CLEAN UP THE YARD
Mow the lawn, trim the hedges, weed the flower beds, get rid of dead trees and shrubs; get rid of any broken lawn furniture; shovel the walk and driveway in winter; rake the yard in the fall.
REPAIR ANY PROBLEMS
If the roof is damaged, repair it. Also repair any doors and windows that have loose hinges or other damage; fix storm doors and window screens; caulk window exteriors; clean and repair sidings and other structural flaws.
ELIMINATE CLUTTER
If you have yard and construction debris piled up along the side of the house, or elsewhere, get rid of it. The exterior of your home should be as uncluttered in appearance as the interior. This includes cleaning out the garage - a major breeder of clutter. Be ruthless. If you haven’t used something in a year, give it to charity or recycle it.
GIVE SIDING A FRESH NEW LOOK
Cleaning the exterior surface is all your home may need for a fresh new face. Before rushing to paint siding, try washing it. For painted wood siding and aluminum siding, use a solution of one cup strong detergent and one quart chlorine bleach in three gallons of water. Be sure to wear rubber gloves, goggles and other protective garments. Work from the bottom up and rinse thoroughly.
To spruce up vinyl siding, hose it down, sponge it with a mild liquid detergent and rinse.
USE PAINT TO BRIGHTEN, RE-PROPORTION EXTERIOR
A paint job can do wonders for the exterior of a home. A low house can look more graceful and tall from the curb by emphasizing its vertical features. Paint elements such as doors, shutters and corner trim in a color that contrasts with the siding material or color. On a high home, emphasize horizontal by using a contrasting paint color on window sills and fascia boards. You can also make a tall house look lower by painting it a dark color, provided that the roof is dark too. Conversely, a light color will make a home look larger.
CO-ORDINATE THE EXTERIOR 'LOOK’
The more co-ordinated your house looks from the outside, the more appealing it will be. Co-ordinate the 'look’ of your home by painting the garage, tool shed, playhouse and other outdoor structures with the same color schemes as the house. If your house is a mixture of conflicting textures - vertical siding, shingles and brick, for instance - try painting them all the same color, or in two related shades of the same color, to create a harmonious look. Dark tones work best when working with conflicting textures.
USE FLOWER POWER
Well-placed flowers, trees and shrubs can really make the outside of a home look inviting. Not only does attractive landscaping invite buyers, it can increase the value of a home. Even without major landscaping, flowers can make a yard look colorful and pleasant. Plant them in garden beds, hang them from railings and porch ceilings, add flower boxes to window sills. There is no limit to the power of flowers.
At night, highlight garden features with spotlights and floodlights. Well-lit paths and entrances promote safety, discourage burglars and are an added feature to any home. A pretty wreath on the door and a welcome mat will finish things off.
Wednesday, June 04, 2008
101 Streetsmart Condo Buying Tips for Canadians
Location:
One of the prime considerations is the location. How close is the property to schools, cultural attractions, shopping centres, recreational facilities, work and transportation? How attractive is the present and future development of the area surrounding the property?
Noise:
Assess the levels of noise. Consider such factors as nearby highways or busy streets, driveways, parking lots, playgrounds and businesses. Consider the location of the garage doors, elevators, garbage chutes and the heating and air-conditioning plant or equipment, in relation to the unit you are interested in.
Privacy:
Privacy is an important consideration and has to be thoroughly explored. Make sure that the sound insulation between the walls, floors and ceilings of your property is sufficient. Consider the distance between your unit and other common areas, including walkways, roads and fences.
Pricing:
The pricing of the property you are considering should be competitive with that of other, similar offerings. You may decide that you do not want extra facilities, in which case paying an extra price for the unit because of these features would not be economical. On the other hand, you have to look at the resale potential.
Common Elements and Facilities:
Review all the common elements in the development and consider these from the perspective of the relevance to your needs, as well as the maintenance or operational costs that might be required to service these features.
Parking Facilities:
Are the facilities outdoors or underground? Is there sufficient lighting for security protection? Is there ample visitor parking?
Storage Facilities:
Does there appear to be sufficient storage space for your needs, or will you have to rent a mini-locker?
Quality of Construction Materials:
Thoroughly look at your building and the surrounding development to make an assessment of the overall quality of the development. Hire a contractor whom you trust, or a building inspector, to give you an opinion on the quality and condition of the building or unit.
Design and Layout:
Consider your present and future needs. Are there restrictions relating to the exterior of your unit or any structural changes that you may make to the unit? If you are intending to have a separate room for an expanded family, in-laws or an office, you should consider the implications beforehand.
Neighbourhood:
Look at the surrounding neighbourhood and make an assessment as to whether the value of the residences in the neighbourhood will affect the value of your property.
Owner/Occupiers vs. Tenants:
Ask how many tenants as opposed to owners there are currently in the complex, and the maximum number of tenants allowed. The higher the percentage of owners/occupiers, the more pride of ownership.
Management:
Inquire whether the condo building is being operated by a professional management company, a resident manager or is self-managed. Check out the condominium unit or property in order to give you a better profile of noise factors, children or parties, and the effectiveness of the management control.
Property Taxes:
Compare the costs of taxes in the area that you are considering with those of other areas equally attractive to you. Also inquire as to whether there is any anticipated tax increase and why.
One of the prime considerations is the location. How close is the property to schools, cultural attractions, shopping centres, recreational facilities, work and transportation? How attractive is the present and future development of the area surrounding the property?
Noise:
Assess the levels of noise. Consider such factors as nearby highways or busy streets, driveways, parking lots, playgrounds and businesses. Consider the location of the garage doors, elevators, garbage chutes and the heating and air-conditioning plant or equipment, in relation to the unit you are interested in.
Privacy:
Privacy is an important consideration and has to be thoroughly explored. Make sure that the sound insulation between the walls, floors and ceilings of your property is sufficient. Consider the distance between your unit and other common areas, including walkways, roads and fences.
Pricing:
The pricing of the property you are considering should be competitive with that of other, similar offerings. You may decide that you do not want extra facilities, in which case paying an extra price for the unit because of these features would not be economical. On the other hand, you have to look at the resale potential.
Common Elements and Facilities:
Review all the common elements in the development and consider these from the perspective of the relevance to your needs, as well as the maintenance or operational costs that might be required to service these features.
Parking Facilities:
Are the facilities outdoors or underground? Is there sufficient lighting for security protection? Is there ample visitor parking?
Storage Facilities:
Does there appear to be sufficient storage space for your needs, or will you have to rent a mini-locker?
Quality of Construction Materials:
Thoroughly look at your building and the surrounding development to make an assessment of the overall quality of the development. Hire a contractor whom you trust, or a building inspector, to give you an opinion on the quality and condition of the building or unit.
Design and Layout:
Consider your present and future needs. Are there restrictions relating to the exterior of your unit or any structural changes that you may make to the unit? If you are intending to have a separate room for an expanded family, in-laws or an office, you should consider the implications beforehand.
Neighbourhood:
Look at the surrounding neighbourhood and make an assessment as to whether the value of the residences in the neighbourhood will affect the value of your property.
Owner/Occupiers vs. Tenants:
Ask how many tenants as opposed to owners there are currently in the complex, and the maximum number of tenants allowed. The higher the percentage of owners/occupiers, the more pride of ownership.
Management:
Inquire whether the condo building is being operated by a professional management company, a resident manager or is self-managed. Check out the condominium unit or property in order to give you a better profile of noise factors, children or parties, and the effectiveness of the management control.
Property Taxes:
Compare the costs of taxes in the area that you are considering with those of other areas equally attractive to you. Also inquire as to whether there is any anticipated tax increase and why.
Wednesday, March 05, 2008
GTA Resale Housing Down but Healthy
March 5, 2008 -- President Maureen O'Neill announced today, Toronto Real Estate Board Members recorded 6,015 resale home transactions last month, down 11 per cent in the Greater Toronto Area overall , 14 per cent in the City of Toronto and 9 per cent in the 905 suburbs compared to February 2007.
“To get an accurate perspective of current market conditions, a number of factors have to be considered,” said Ms. O’Neill. “With 18,018 properties available for sale, inventory has decreased seven per cent from last February."
“This indicates that despite moderate sales, there is not an over-supply of homes on the market. Generally, properties that are listed are selling fairly quickly and with a list to sale price ratio of 99 per cent, for the most part, sellers are realizing their asking price,” O’Neill added.
Despite the decrease in the number of sales from this time last year, there was positive news with respect to prices in February. At $382,048 in the Greater Toronto Area and $424,235 in the City of Toronto, the average price increased four and two per cent respectively compared to February 2007. As well, the time on market in February was 30 days compared to 35 days a year ago.
Despite the overall decline, some GTA neighbourhoods experienced strong sales in February.
In Pickering (E13) sales rose 28 per cent overall compared to a year ago due to a strong increase in condo townhouse and condo-apartment transactions.
Strong condo-apartment sales also drove transactions in Rexdale (W10) to an overall increase of 18 per cent compared to February 2007.
Richmond Hill North (N05) experienced a 19 per cent sales increase compared to a year ago primarily as a result of strong detached home transactions.
“All economic indicators are in place for an active year in the GTA, and as the weather improves sales are expected to increase as well,” said Ms. O’Neill.March 5, 2008 -- President Maureen O'Neill announced today, Toronto Real Estate Board Members recorded 6,015 resale home transactions last month, down 11 per cent in the Greater Toronto Area overall , 14 per cent in the City of Toronto and 9 per cent in the 905 suburbs compared to February 2007.
“To get an accurate perspective of current market conditions, a number of factors have to be considered,” said Ms. O’Neill. “With 18,018 properties available for sale, inventory has decreased seven per cent from last February."
“This indicates that despite moderate sales, there is not an over-supply of homes on the market. Generally, properties that are listed are selling fairly quickly and with a list to sale price ratio of 99 per cent, for the most part, sellers are realizing their asking price,” O’Neill added.
Despite the decrease in the number of sales from this time last year, there was positive news with respect to prices in February. At $382,048 in the Greater Toronto Area and $424,235 in the City of Toronto, the average price increased four and two per cent respectively compared to February 2007. As well, the time on market in February was 30 days compared to 35 days a year ago.
Despite the overall decline, some GTA neighbourhoods experienced strong sales in February.
In Pickering (E13) sales rose 28 per cent overall compared to a year ago due to a strong increase in condo townhouse and condo-apartment transactions.
Strong condo-apartment sales also drove transactions in Rexdale (W10) to an overall increase of 18 per cent compared to February 2007.
Richmond Hill North (N05) experienced a 19 per cent sales increase compared to a year ago primarily as a result of strong detached home transactions.
“All economic indicators are in place for an active year in the GTA, and as the weather improves sales are expected to increase as well,” said Ms. O’Neill.March 5, 2008 -- President Maureen O'Neill announced today, Toronto Real Estate Board Members recorded 6,015 resale home transactions last month, down 11 per cent in the Greater Toronto Area overall , 14 per cent in the City of Toronto and 9 per cent in the 905 suburbs compared to February 2007.
Friday, January 25, 2008
Annoucement
I’m excited to announce that I have joined Keller Williams Advantage Realty. Keller Williams is the fastest growing real estate company in North America and I am thrilled to be joining this dynamic organization!
With the support of Keller Williams, this change will translate into superior results for my clients.
My new coordinates are Dan@DanCorcoran.ca and encourage your to visit my web site at www.DanCorcoran.ca
I look forward to working with you under the Keller Williams banner and I want to extend my heart felt thanks for your continued support!
Warm Regards,
Dan
With the support of Keller Williams, this change will translate into superior results for my clients.
My new coordinates are Dan@DanCorcoran.ca and encourage your to visit my web site at www.DanCorcoran.ca
I look forward to working with you under the Keller Williams banner and I want to extend my heart felt thanks for your continued support!
Warm Regards,
Dan
Monday, October 01, 2007
Home Maintenance
Hello,
The fall market is strong once again. We have yet to see any real impact from the mortgage fraud issues affecting the US market.
If you would like further information on this topic or any other, please let me know.
All the best...Dan
Priority Maintenance for Home Buyers
There are so many home maintenance and repair items that are important; it can be confusing trying to establish which are the most critical. To simplify things, we have compiled a short list of our favorites. These are by no means all-inclusive, nor do they replace any of the information in a home inspection report. They should, however, help you get started on the right foot. Remember, any items marked as priority or safety issues on your home inspection report need immediate attention.
One-Time Tasks
1. Install smoke detectors as necessary (usually one on each level of the home, near any sleeping areas). Install carbon monoxide detectors, according to manufacturer’s recommendations.
2. Make any electrical improvements recommended in the home inspection report.
3. Remove any wood/soil contact to prevent rot and insect damage.
4. Change the locks on all doors. Use a dead bolt for better security and to minimize insurance costs.
5. Correct trip hazards such as broken or uneven walks and driveways, loose or torn carpet or uneven flooring.
6. Correct unsafe stairways and landings. (Railings missing, loose, too low, et cetera.)
7. Have all chimneys inspected before operating any of these appliances.
8. Locate and mark the shut-offs for the heating, electrical and plumbing systems.
9. Label the circuits in electrical panels.
10. If there is a septic system, have the tank pumped and inspected. If the house is on a private water supply (well), set up a regular testing procedure for checking water quality.
Regular Maintenance Items
11. Clean the gutters in the spring and fall.
12. Check for damaged roofing and flashing materials twice a year.
13. Cut back trees and shrubs from the house walls, roof and air conditioning system as needed.
14. Clean the tracks on horizontal sliding windows annually, and ensure the drain holes are clear.
15. Test ground fault circuit interrupters, carbon monoxide detectors and smoke detectors using the test button, monthly.
16. Service furnace or boiler yearly.
17. Check furnace filters, humidifiers and electronic air cleaners monthly.
18. Check the bathtub and shower caulking monthly and improve promptly as needed.
19. If you are in a climate where freezing occurs, shut off outdoor water faucets in the fall.
20. Check reversing mechanism on garage door opener monthly.
21. Check attics for evidence of leaks and condensation and make sure vents are not obstructed, at least twice a year. (Provide access into all attics and crawl spaces.)
The fall market is strong once again. We have yet to see any real impact from the mortgage fraud issues affecting the US market.
If you would like further information on this topic or any other, please let me know.
All the best...Dan
Priority Maintenance for Home Buyers
There are so many home maintenance and repair items that are important; it can be confusing trying to establish which are the most critical. To simplify things, we have compiled a short list of our favorites. These are by no means all-inclusive, nor do they replace any of the information in a home inspection report. They should, however, help you get started on the right foot. Remember, any items marked as priority or safety issues on your home inspection report need immediate attention.
One-Time Tasks
1. Install smoke detectors as necessary (usually one on each level of the home, near any sleeping areas). Install carbon monoxide detectors, according to manufacturer’s recommendations.
2. Make any electrical improvements recommended in the home inspection report.
3. Remove any wood/soil contact to prevent rot and insect damage.
4. Change the locks on all doors. Use a dead bolt for better security and to minimize insurance costs.
5. Correct trip hazards such as broken or uneven walks and driveways, loose or torn carpet or uneven flooring.
6. Correct unsafe stairways and landings. (Railings missing, loose, too low, et cetera.)
7. Have all chimneys inspected before operating any of these appliances.
8. Locate and mark the shut-offs for the heating, electrical and plumbing systems.
9. Label the circuits in electrical panels.
10. If there is a septic system, have the tank pumped and inspected. If the house is on a private water supply (well), set up a regular testing procedure for checking water quality.
Regular Maintenance Items
11. Clean the gutters in the spring and fall.
12. Check for damaged roofing and flashing materials twice a year.
13. Cut back trees and shrubs from the house walls, roof and air conditioning system as needed.
14. Clean the tracks on horizontal sliding windows annually, and ensure the drain holes are clear.
15. Test ground fault circuit interrupters, carbon monoxide detectors and smoke detectors using the test button, monthly.
16. Service furnace or boiler yearly.
17. Check furnace filters, humidifiers and electronic air cleaners monthly.
18. Check the bathtub and shower caulking monthly and improve promptly as needed.
19. If you are in a climate where freezing occurs, shut off outdoor water faucets in the fall.
20. Check reversing mechanism on garage door opener monthly.
21. Check attics for evidence of leaks and condensation and make sure vents are not obstructed, at least twice a year. (Provide access into all attics and crawl spaces.)
Tuesday, May 01, 2007
Cottage Property
Hello,
I hope you're enjoying the springtime weather. The market is going strong, so if you're thinking of selling or jumping in, give me a call!
Baby Boomers Living Large in Recreational Property Markets
(May 01, 2007) – Luxury recreational property sales are set to soar in coming months as affluent baby boomers drive demand for upscale product from coast-to-coast, according to a report released by RE/MAX.
The 2007 RE/MAX Recreational Property Report found the top-end of the market stands to gain most from the aging baby boom demographic, as many prepare for their retirement years. Teardowns, custom-builds, and renovation continue unabated as a result, changing the shoreline of lakes and rivers in 34 of the 39 markets surveyed from Newfoundland/Labrador to British Columbia. Upper-end sales have also affected recreational property values across the board, placing upward pressure on prices, particularly in Western Canada. Starting prices have topped $500,000 in 31 per cent of recreational property markets. Only seven offer waterfront properties under the $250,000 price point.
It's been said that money made in stocks and bonds typically works its way into real estate. This year is a prime example, as economic performance and stock market profits have propped up activity in most Canadian markets. The boomer attitude is go big or stay home.
I hope you're enjoying the springtime weather. The market is going strong, so if you're thinking of selling or jumping in, give me a call!
Baby Boomers Living Large in Recreational Property Markets
(May 01, 2007) – Luxury recreational property sales are set to soar in coming months as affluent baby boomers drive demand for upscale product from coast-to-coast, according to a report released by RE/MAX.
The 2007 RE/MAX Recreational Property Report found the top-end of the market stands to gain most from the aging baby boom demographic, as many prepare for their retirement years. Teardowns, custom-builds, and renovation continue unabated as a result, changing the shoreline of lakes and rivers in 34 of the 39 markets surveyed from Newfoundland/Labrador to British Columbia. Upper-end sales have also affected recreational property values across the board, placing upward pressure on prices, particularly in Western Canada. Starting prices have topped $500,000 in 31 per cent of recreational property markets. Only seven offer waterfront properties under the $250,000 price point.
It's been said that money made in stocks and bonds typically works its way into real estate. This year is a prime example, as economic performance and stock market profits have propped up activity in most Canadian markets. The boomer attitude is go big or stay home.
Wednesday, March 28, 2007
FIRST TIME BUYERS CONTINUE TO BOOST HOME SALES
Hello all. I hope your enjoying the improving weather! The market is moving along swiflty. Please read below to learn more.
All the best...Dan
Mississauga, ON (March 20, 2007) – Higher housing values, tight inventory levels, and all-out bidding wars have yet to deter first-time buyers in their quest to realize homeownership in major Canadian centers this year, according to a report released today by RE/MAX. “Despite a decade of year-over-year price increases, compounded by challenging market conditions this year, entry-level buyers continue to be a driving force in real estate,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. “Their undaunted enthusiasm is expected to translate into sales at or ahead of last year’s record levels in the Spring.”
The RE/MAX Affordability Report, which highlights first-time buying activity and trends in 13 housing markets across the country, found that substantial price increases have had little impact on buyer intentions. The greatest year-over-year price appreciation occurred in Edmonton, Calgary, Saskatoon, and Kelowna, where averages rose 52, 29, 26, and 23 per cent respectively. Average price in the country’s most expensive market – Greater Vancouver – has jumped 11 per cent, topping the half million dollar
mark. While prices in these markets may now seem costly, entry-level product such as
Condominiums can start at half the average price.
“Buyers are finding the means necessary to enter the market, even in the western provinces, where double-digit price gains have been reported and sales to listings ratios hover above the 80 per cent mark,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “Purchasers simply refuse to be priced out of the market, even though household income has not kept pace with housing appreciation. Something’s got to give -- and the trends identified in this report show it’s the how, what,
where and when of the equation.”
Case in point is the surge in condominium sales from coast-to-coast. Affordability and accessibility have made the condominium lifestyle a popular choice. Condominiums now represent fewer than one in every two sales in markets like Vancouver and Victoria. In Edmonton, Calgary, and the Greater Toronto Area, close to one in every three sales involve a condominium apartment or town home. In smaller markets like Saskatoon, Regina, and Winnipeg, condominiums are gaining momentum. Condominium sales represent approximately 12 per cent of total residential sales in Halifax-Dartmouth and Ottawa.
“Low interest rates and solid economic performance in most major Canadian centers have also played a substantial role in providing purchasers with the confidence to go out and buy their first home,” explains Polzler. “Yet, in some centers, there are other motivating factors at play. Price increases, for example, area reality in the marketplace. One year can set you back – from location to house size – and your dollar just doesn’t have the same purchasing power.” Yet, buyers have found inventive ways to address that as well. Innovative financing has allowed a growing number of first-time buyers to enter the marketplace. With most prepared to up the ante to realize “the dream of homeownership”, unique new mortgage products with longer amortization periods
are helping to make mortgage payments easier to carry.” The offloading of family wealth and inheritance are also factors influencing the up swell in home-buying activity,” says Ash. “Some first-time buyers are digging into RRSPs and borrowing money from parents, while others are looking to offset carrying costs through in-law suites, now factored into debt service ratios by a growing number of lending institutions.”
All the best...Dan
Mississauga, ON (March 20, 2007) – Higher housing values, tight inventory levels, and all-out bidding wars have yet to deter first-time buyers in their quest to realize homeownership in major Canadian centers this year, according to a report released today by RE/MAX. “Despite a decade of year-over-year price increases, compounded by challenging market conditions this year, entry-level buyers continue to be a driving force in real estate,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. “Their undaunted enthusiasm is expected to translate into sales at or ahead of last year’s record levels in the Spring.”
The RE/MAX Affordability Report, which highlights first-time buying activity and trends in 13 housing markets across the country, found that substantial price increases have had little impact on buyer intentions. The greatest year-over-year price appreciation occurred in Edmonton, Calgary, Saskatoon, and Kelowna, where averages rose 52, 29, 26, and 23 per cent respectively. Average price in the country’s most expensive market – Greater Vancouver – has jumped 11 per cent, topping the half million dollar
mark. While prices in these markets may now seem costly, entry-level product such as
Condominiums can start at half the average price.
“Buyers are finding the means necessary to enter the market, even in the western provinces, where double-digit price gains have been reported and sales to listings ratios hover above the 80 per cent mark,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “Purchasers simply refuse to be priced out of the market, even though household income has not kept pace with housing appreciation. Something’s got to give -- and the trends identified in this report show it’s the how, what,
where and when of the equation.”
Case in point is the surge in condominium sales from coast-to-coast. Affordability and accessibility have made the condominium lifestyle a popular choice. Condominiums now represent fewer than one in every two sales in markets like Vancouver and Victoria. In Edmonton, Calgary, and the Greater Toronto Area, close to one in every three sales involve a condominium apartment or town home. In smaller markets like Saskatoon, Regina, and Winnipeg, condominiums are gaining momentum. Condominium sales represent approximately 12 per cent of total residential sales in Halifax-Dartmouth and Ottawa.
“Low interest rates and solid economic performance in most major Canadian centers have also played a substantial role in providing purchasers with the confidence to go out and buy their first home,” explains Polzler. “Yet, in some centers, there are other motivating factors at play. Price increases, for example, area reality in the marketplace. One year can set you back – from location to house size – and your dollar just doesn’t have the same purchasing power.” Yet, buyers have found inventive ways to address that as well. Innovative financing has allowed a growing number of first-time buyers to enter the marketplace. With most prepared to up the ante to realize “the dream of homeownership”, unique new mortgage products with longer amortization periods
are helping to make mortgage payments easier to carry.” The offloading of family wealth and inheritance are also factors influencing the up swell in home-buying activity,” says Ash. “Some first-time buyers are digging into RRSPs and borrowing money from parents, while others are looking to offset carrying costs through in-law suites, now factored into debt service ratios by a growing number of lending institutions.”
Tuesday, February 13, 2007
2007 Market Research
Hello,
Just a short update on how 2007 is starting off. Contact me directly anytime if you have any questions…All the best…Dan
Strong start for 2007TORONTO, February 13, 2007 -- The January resale housing market was the best January ever, registering 13 per cent more transactions than a year ago, Toronto Real Estate Board President Dorothy Mason announced today. The 5,173 sales in the month were six per cent above the previous record set in January 2002.
“Sales have been very solid to start the year,” Mrs. Mason said. “It's a very good sign for the market to see a healthy level of activity carrying over from last year's strong finish.”
Scarborough's Birchmount Park / Cliffside area (E06) saw 55 per cent more overall sales compared to last January, with detached homes accounting for nearly all transactions.In the Islington / Kingsway area of Etobicoke, a jump in condominium transactions helped to push overall sales 42 per cent higher than January 2006
.
An increase in sales of condominiums and semi-detached homes helped lift Forest Hill to an overall increase of 56 per cent over January of last year.
North of the city, in Markham West / Langstaff (N01), 50 per cent more homes changed hands in January than during the same month a year ago.
Ted Tsiakopoulos, CMHC's Ontario regional economist, noted that Toronto's housing market has been a very stable sector of the economy.
“The market remains resilient despite slower job growth, high energy prices, and a loss of migrants to western Canada,” Mr. Tsiakopoulos said. “Historically low interest rates, strong income growth and healthy consumer confidence are important factors keeping January home sales buoyant across the GTA.”
TREB's President added that while the results are preliminary, they should instill confidence in consumers.
“The housing market is healthy and continues to be well supported by strong economic fundamentals,” Mrs. Mason said. “These are ideal conditions, and consumers can feel confident making a switch to another home or realizing their dream of home ownership for the first time.”
Just a short update on how 2007 is starting off. Contact me directly anytime if you have any questions…All the best…Dan
Strong start for 2007TORONTO, February 13, 2007 -- The January resale housing market was the best January ever, registering 13 per cent more transactions than a year ago, Toronto Real Estate Board President Dorothy Mason announced today. The 5,173 sales in the month were six per cent above the previous record set in January 2002.
“Sales have been very solid to start the year,” Mrs. Mason said. “It's a very good sign for the market to see a healthy level of activity carrying over from last year's strong finish.”
Scarborough's Birchmount Park / Cliffside area (E06) saw 55 per cent more overall sales compared to last January, with detached homes accounting for nearly all transactions.In the Islington / Kingsway area of Etobicoke, a jump in condominium transactions helped to push overall sales 42 per cent higher than January 2006
.
An increase in sales of condominiums and semi-detached homes helped lift Forest Hill to an overall increase of 56 per cent over January of last year.
North of the city, in Markham West / Langstaff (N01), 50 per cent more homes changed hands in January than during the same month a year ago.
Ted Tsiakopoulos, CMHC's Ontario regional economist, noted that Toronto's housing market has been a very stable sector of the economy.
“The market remains resilient despite slower job growth, high energy prices, and a loss of migrants to western Canada,” Mr. Tsiakopoulos said. “Historically low interest rates, strong income growth and healthy consumer confidence are important factors keeping January home sales buoyant across the GTA.”
TREB's President added that while the results are preliminary, they should instill confidence in consumers.
“The housing market is healthy and continues to be well supported by strong economic fundamentals,” Mrs. Mason said. “These are ideal conditions, and consumers can feel confident making a switch to another home or realizing their dream of home ownership for the first time.”
Thursday, January 25, 2007
Green Bin Program
This is some interesting information on how the Green Bin works:
http://www.toronto.ca/greenbin/faq.htm#note
How the program works
Where is the organic material going?
A:
Your organic materials are picked up at the curb by collection vehicles and taken to the Dufferin Organics Processing Facility in Toronto, which was built specifically for the Green Bin Organics Program. A biological process that uses bacteria in the absence of oxygen ("anaerobic digestion") converts the organics into organic solid material. This material is taken to another facility where it is turned into compost.
Q:
What will the finished compost be used for?
A:
It will be used as a soil amendment for farmland and parkland.
Q:
Is this program safe and sanitary? What about germs/bacteria from diapers or animal waste?
A:
The Green Bin Program is completely sanitary and safe. All of the materials collected in the green bin were previously collected as garbage, so the common sense precautions you take when handling household waste still apply. Between collection days, store your green bin in a secure location to avoid accidental tipping and animal interference. Keep the lid closed to minimize odours and discourage flies/pests. Just as you would after handling any waste container, wash your hands after handling the green bin.
Materials collected in the Green Bin Program go through a series of processing operations resulting in a clean and safe compost product. Mechanical operations separate organic materials from the film plastic bags used to either line the green bin or the kitchen container and the contaminant materials normally found in such waste. Final processing involves aerobic composting, a biological process that occurs in the presence of oxygen, produces a stabilized organic material called compost. Composting has been used for decades to convert a variety of organic materials, including human and animal waste, into a safe and bacteria-free product.
Through decades of experiment and experience, sanitary engineering practice has developed standards for the composting process that ensure elimination of disease-causing organisms (pathogens). The high temperatures occurring naturally during the composting process destroys pathogens. Maintaining such high temperatures for a minimum time period ensures the final finished compost is pathogen-free.
Ontario’s Ministry of the Environment specifies and regulates processing requirements via the operating permits it issues to composting facilities in the province.
Q:
How have the bins been tested to ensure they are durable?
A:
The containers have been thoroughly tested by the manufacturer and are guaranteed to last five years. The City did additional testing, including drop tests, and involved both collectors and ergonomists to analyze the bins. If your bin cracks or breaks, please call Customer Service at 416-338-2010 to find out where to go to replace it (you will need to bring your broken bin with you).
Q:
Are apartment residents participating in the Green Bin Organics Program?
A:
Not at this time. There are pilot projects being undertaken across the City in apartment buildings to determine the system that would work best there.
Hello,
http://www.toronto.ca/greenbin/faq.htm#note
How the program works
Where is the organic material going?
A:
Your organic materials are picked up at the curb by collection vehicles and taken to the Dufferin Organics Processing Facility in Toronto, which was built specifically for the Green Bin Organics Program. A biological process that uses bacteria in the absence of oxygen ("anaerobic digestion") converts the organics into organic solid material. This material is taken to another facility where it is turned into compost.
Q:
What will the finished compost be used for?
A:
It will be used as a soil amendment for farmland and parkland.
Q:
Is this program safe and sanitary? What about germs/bacteria from diapers or animal waste?
A:
The Green Bin Program is completely sanitary and safe. All of the materials collected in the green bin were previously collected as garbage, so the common sense precautions you take when handling household waste still apply. Between collection days, store your green bin in a secure location to avoid accidental tipping and animal interference. Keep the lid closed to minimize odours and discourage flies/pests. Just as you would after handling any waste container, wash your hands after handling the green bin.
Materials collected in the Green Bin Program go through a series of processing operations resulting in a clean and safe compost product. Mechanical operations separate organic materials from the film plastic bags used to either line the green bin or the kitchen container and the contaminant materials normally found in such waste. Final processing involves aerobic composting, a biological process that occurs in the presence of oxygen, produces a stabilized organic material called compost. Composting has been used for decades to convert a variety of organic materials, including human and animal waste, into a safe and bacteria-free product.
Through decades of experiment and experience, sanitary engineering practice has developed standards for the composting process that ensure elimination of disease-causing organisms (pathogens). The high temperatures occurring naturally during the composting process destroys pathogens. Maintaining such high temperatures for a minimum time period ensures the final finished compost is pathogen-free.
Ontario’s Ministry of the Environment specifies and regulates processing requirements via the operating permits it issues to composting facilities in the province.
Q:
How have the bins been tested to ensure they are durable?
A:
The containers have been thoroughly tested by the manufacturer and are guaranteed to last five years. The City did additional testing, including drop tests, and involved both collectors and ergonomists to analyze the bins. If your bin cracks or breaks, please call Customer Service at 416-338-2010 to find out where to go to replace it (you will need to bring your broken bin with you).
Q:
Are apartment residents participating in the Green Bin Organics Program?
A:
Not at this time. There are pilot projects being undertaken across the City in apartment buildings to determine the system that would work best there.
Hello,
I hope the cold isn't getting you all down! We were out sledding this past week taking advantage of the good snow!
Below you will find an interesting article about the Green Bin program and how it works...All the best...Dan
The big picture: Diverting waste from landfill
Q:
Is the Green Bin Program really helping Toronto reduce waste from landfill?
A:
Yes. We know by studying results from the Etobicoke and Scarborough communities' participation that, on average, each participating household is diverting 200 kg of organics from landfill - a lot more than the City had hoped for. How much is that exactly? Enough to keep almost 1,500 trucks bound for Michigan landfill off the road each year. And if Toronto, York and East York perform as well as Etobicoke and Scarborough, that will represent an additional 1,800 or more trucks bound for Michigan landfill off the road annually.
Tuesday, January 09, 2007
Happy New Year
Hello all! I hope you had a nice Holiday. We were off to London to see family and friends. Spent New Years Eve in a friend’s restaurant called “The Tasting Room” in London Ontario on Richmond Street. Check it out if you find yourself in the area. The proprietors, Carl and Pam are sure to show you a great time!
Tuesday, November 28, 2006
Hello all! Just got back from a trip to Cleveland seeing Susan's family...Grandma, in her 87th year, is still going strong!
Below are some home Maintenance steps to keep in mind...All the best...Dan
Priority Maintenance for Home Buyers
There are so many home maintenance and repair items that are important; it can be confusing trying to establish which are the most critical. To simplify things, I have compiled a short list of our favorites. These are by no means all-inclusive, nor do they replace any of the information in a home inspection report. They should, however, help you get started on the right foot.
One-Time Tasks
1. Install smoke detectors as necessary (usually one on each level of the home, near any sleeping areas). Install carbon monoxide detectors, according to manufacturer’s recommendations.
2. Make any electrical improvements recommended in the home inspection report.
3. Remove any wood/soil contact to prevent rot and insect damage.
4. Change the locks on all doors. Use a dead bolt for better security and to minimize insurance costs.
5. Correct trip hazards such as broken or uneven walks and driveways, loose or torn carpet or uneven flooring.
6. Correct unsafe stairways and landings. (Railings missing, loose, too low, et cetera.)
7. Have all chimneys inspected before operating any of these appliances.
8. Locate and mark the shut-offs for the heating, electrical and plumbing systems.
9. Label the circuits in electrical panels.
10. If there is a septic system, have the tank pumped and inspected. If the house is on a private water supply (well), set up a regular testing procedure for checking water quality.
Regular Maintenance Items
11. Clean the gutters in the spring and fall.
12. Check for damaged roofing and flashing materials twice a year.
13. Cut back trees and shrubs from the house walls, roof and air conditioning system as needed.
14. Clean the tracks on horizontal sliding windows annually, and ensure the drain holes are clear.
15. Test ground fault circuit interrupters, carbon monoxide detectors and smoke detectors using the test button, monthly.
16. Service furnace or boiler yearly.
17. Check furnace filters, humidifiers and electronic air cleaners monthly.
18. Check the bathtub and shower caulking monthly and improve promptly as needed.
19. If you are in a climate where freezing occurs, shut off outdoor water faucets in the fall.
20. Check reversing mechanism on garage door opener monthly.
21. Check attics for evidence of leaks and condensation and make sure vents are not obstructed, at least twice a year. (Provide access into all attics and crawl spaces.)
Below are some home Maintenance steps to keep in mind...All the best...Dan
Priority Maintenance for Home Buyers
There are so many home maintenance and repair items that are important; it can be confusing trying to establish which are the most critical. To simplify things, I have compiled a short list of our favorites. These are by no means all-inclusive, nor do they replace any of the information in a home inspection report. They should, however, help you get started on the right foot.
One-Time Tasks
1. Install smoke detectors as necessary (usually one on each level of the home, near any sleeping areas). Install carbon monoxide detectors, according to manufacturer’s recommendations.
2. Make any electrical improvements recommended in the home inspection report.
3. Remove any wood/soil contact to prevent rot and insect damage.
4. Change the locks on all doors. Use a dead bolt for better security and to minimize insurance costs.
5. Correct trip hazards such as broken or uneven walks and driveways, loose or torn carpet or uneven flooring.
6. Correct unsafe stairways and landings. (Railings missing, loose, too low, et cetera.)
7. Have all chimneys inspected before operating any of these appliances.
8. Locate and mark the shut-offs for the heating, electrical and plumbing systems.
9. Label the circuits in electrical panels.
10. If there is a septic system, have the tank pumped and inspected. If the house is on a private water supply (well), set up a regular testing procedure for checking water quality.
Regular Maintenance Items
11. Clean the gutters in the spring and fall.
12. Check for damaged roofing and flashing materials twice a year.
13. Cut back trees and shrubs from the house walls, roof and air conditioning system as needed.
14. Clean the tracks on horizontal sliding windows annually, and ensure the drain holes are clear.
15. Test ground fault circuit interrupters, carbon monoxide detectors and smoke detectors using the test button, monthly.
16. Service furnace or boiler yearly.
17. Check furnace filters, humidifiers and electronic air cleaners monthly.
18. Check the bathtub and shower caulking monthly and improve promptly as needed.
19. If you are in a climate where freezing occurs, shut off outdoor water faucets in the fall.
20. Check reversing mechanism on garage door opener monthly.
21. Check attics for evidence of leaks and condensation and make sure vents are not obstructed, at least twice a year. (Provide access into all attics and crawl spaces.)
Wednesday, November 01, 2006
Court assails mortgage-fraud law
Ontario couple freed from bogus financing as judge scolds province, bank and broker
KIRK MAKIN
JUSTICE REPORTER
An Ontario judge has absolved a Toronto couple of the need to pay off a fraudulent $247,860 mortgage on their condominium -- and lashed out at a chink in the law that has created "a serious mortgage-fraud plague."
In a blistering judgment, Mr. Justice Randall Echlin of the Ontario Superior Court said yesterday that the fraud perpetrated against Seyed Rabi and Shohreh Shafiei could have been quickly detected had the Toronto Dominion Bank or its mortgage broker exercised "rudimentary due diligence."
He said numerous irregularities in the way the bogus financing took place ought to have set off alarm bells -- simply sending an appraiser to the condo door would have tipped the institutions to the fact they were being hoodwinked.
"I cannot help observe that there ought to have been more care taken in advancing a sum in excess of one quarter of a million dollars," he noted.
Morris Cooper, a lawyer for Mr. Rabi and Ms. Shafiei, hailed the ruling as a dramatic turning point in a scandalous situation that has left numerous victims. "Today's decision and how the Court of Appeal deals with it will undoubtedly have nationwide impact," he said in an interview. "This decision is certainly a breakthrough in this entire area of law relating to title and mortgage fraud. To make homeowners responsible for compensating the bank is perverse."
In an unusual departure, Judge Echlin went so far as to call for the province to better protect innocent homeowners who find themselves required to fight for compensation from a special fund.
"This can involve years of proceedings and tens of thousands of dollars in legal expense, not to mention heartbreak and aggravation," he said. "Victims of the system are essentially revictimized."
Mr. Rabi and Ms. Shafiei bought the condo, where they live with their two children, in 2001. They had it paid off in full by 2004, when fraudsters used false documents and a falsified "purchaser" name to take out a mortgage on the property.
A year later, the couple noticed that it was no longer registered in their name. By that time, the fraudsters had disappeared with the money. Meanwhile, the mortgage broker delegated by the bank to complete the deal refused to compensate the bank, claiming it was a valid mortgage.
Toronto Dominion acknowledged at trial last month that the couple was defrauded. However, the bank said that it was an equally innocent victim, and that Mr. Rabi and Ms. Shafiei ought to be legally responsible for the mortgage.
"It is extremely curious that the condominium unit in question was listed as having a locker and two parking units, and yet the fraudulent sale did not refer to these, nor did it offer any explanation for the absence of such transfers," Judge Echlin noted yesterday. "Finally, it was odd that there was no deposit. All of these red flags should have raised questions for the lender.
"In this day and age of impersonalized mortgage lending and borrowing in which banks download the appraisal process to a mortgage broker who, in turn, does as little as possible to maximize profit, such frauds can and will occur," he added.
The focus now moves to the Ontario Court of Appeal, which will hear a major appeal later this month dealing with the mortgage fraud problem.
Previous Court of Appeal decisions have stated that while a fraudulent mortgage can be re-registered, there is nothing the courts can do to relieve innocent homeowners of the burden of paying the mortgage.
Ontario couple freed from bogus financing as judge scolds province, bank and broker
KIRK MAKIN
JUSTICE REPORTER
An Ontario judge has absolved a Toronto couple of the need to pay off a fraudulent $247,860 mortgage on their condominium -- and lashed out at a chink in the law that has created "a serious mortgage-fraud plague."
In a blistering judgment, Mr. Justice Randall Echlin of the Ontario Superior Court said yesterday that the fraud perpetrated against Seyed Rabi and Shohreh Shafiei could have been quickly detected had the Toronto Dominion Bank or its mortgage broker exercised "rudimentary due diligence."
He said numerous irregularities in the way the bogus financing took place ought to have set off alarm bells -- simply sending an appraiser to the condo door would have tipped the institutions to the fact they were being hoodwinked.
"I cannot help observe that there ought to have been more care taken in advancing a sum in excess of one quarter of a million dollars," he noted.
Morris Cooper, a lawyer for Mr. Rabi and Ms. Shafiei, hailed the ruling as a dramatic turning point in a scandalous situation that has left numerous victims. "Today's decision and how the Court of Appeal deals with it will undoubtedly have nationwide impact," he said in an interview. "This decision is certainly a breakthrough in this entire area of law relating to title and mortgage fraud. To make homeowners responsible for compensating the bank is perverse."
In an unusual departure, Judge Echlin went so far as to call for the province to better protect innocent homeowners who find themselves required to fight for compensation from a special fund.
"This can involve years of proceedings and tens of thousands of dollars in legal expense, not to mention heartbreak and aggravation," he said. "Victims of the system are essentially revictimized."
Mr. Rabi and Ms. Shafiei bought the condo, where they live with their two children, in 2001. They had it paid off in full by 2004, when fraudsters used false documents and a falsified "purchaser" name to take out a mortgage on the property.
A year later, the couple noticed that it was no longer registered in their name. By that time, the fraudsters had disappeared with the money. Meanwhile, the mortgage broker delegated by the bank to complete the deal refused to compensate the bank, claiming it was a valid mortgage.
Toronto Dominion acknowledged at trial last month that the couple was defrauded. However, the bank said that it was an equally innocent victim, and that Mr. Rabi and Ms. Shafiei ought to be legally responsible for the mortgage.
"It is extremely curious that the condominium unit in question was listed as having a locker and two parking units, and yet the fraudulent sale did not refer to these, nor did it offer any explanation for the absence of such transfers," Judge Echlin noted yesterday. "Finally, it was odd that there was no deposit. All of these red flags should have raised questions for the lender.
"In this day and age of impersonalized mortgage lending and borrowing in which banks download the appraisal process to a mortgage broker who, in turn, does as little as possible to maximize profit, such frauds can and will occur," he added.
The focus now moves to the Ontario Court of Appeal, which will hear a major appeal later this month dealing with the mortgage fraud problem.
Previous Court of Appeal decisions have stated that while a fraudulent mortgage can be re-registered, there is nothing the courts can do to relieve innocent homeowners of the burden of paying the mortgage.
Monday, October 16, 2006
Hello All! I have had fantastic feedback from so many of you. I will continue to develop the site to make it a greater resource center. Please let me know what else you might want to see on the site. On a personal note, I was away at the family cottage this past weekend with my brothers closing it for the winter...and we ran into a foot of snow! Had my first full out snowball fight of the year with no injuries...wishing you all the best...Dan
Toronto's healthy market rolls along
Toronto's healthy market rolls alongTORONTO, October 16, 2006 -- The Toronto Area resale housing market showed solid activity throughout September with 6,622 sales to maintain the year's strong performance, Toronto Real Estate Board President Dorothy Mason announced today.
“Though the overall sales pace is at more normalized levels, 2006 remains within one per cent of 2005's all-time record pace for the year,” Mrs. Mason said.
The average price of a home during September was $349,142, up five per cent from the $335,334 recorded last September.
According to Jason Mercer, Senior Market Analyst for the Canada Mortgage and Housing Corporation, good economic conditions continue to provide strong support for the housing market.
“While trending lower, sales are forecast to remain near record levels through 2007,” Mr. Mercer said. “Steady job creation and low borrowing costs are key factors underlying continued strong demand for existing homes.”
In Toronto's east end, Guildwood / Scarborough Village (E08) showed 37 per cent more overall transactions than the previous September as condominium sales in the area nearly doubled from the year before.
Strong results were seen in North York during the month, including a 27 percent jump in overall transactions in North York City Centre West / Willowdale (C07) compared to September 2005. Strong detached home sales contributed to the increase.
“We are still seeing healthy sales levels consistent with a housing market that is in very good shape,” Mrs. Mason said. “Prices are increasing steadily and demand is based on real need. It's an excellent time to take advantage of these conditions by getting into the market or making a move to another home.”
“Though the overall sales pace is at more normalized levels, 2006 remains within one per cent of 2005's all-time record pace for the year,” Mrs. Mason said.
The average price of a home during September was $349,142, up five per cent from the $335,334 recorded last September.
According to Jason Mercer, Senior Market Analyst for the Canada Mortgage and Housing Corporation, good economic conditions continue to provide strong support for the housing market.
“While trending lower, sales are forecast to remain near record levels through 2007,” Mr. Mercer said. “Steady job creation and low borrowing costs are key factors underlying continued strong demand for existing homes.”
In Toronto's east end, Guildwood / Scarborough Village (E08) showed 37 per cent more overall transactions than the previous September as condominium sales in the area nearly doubled from the year before.
Strong results were seen in North York during the month, including a 27 percent jump in overall transactions in North York City Centre West / Willowdale (C07) compared to September 2005. Strong detached home sales contributed to the increase.
“We are still seeing healthy sales levels consistent with a housing market that is in very good shape,” Mrs. Mason said. “Prices are increasing steadily and demand is based on real need. It's an excellent time to take advantage of these conditions by getting into the market or making a move to another home.”
Wednesday, October 11, 2006
Launch
Welcome to my new Blog, this is an exciting time for me! Launching my new web site and a blog! I want to thank Mike MacMillan. I met Mike and Terri a few years back and had the pleasure of selling them a home. Mike took this upon himself to design a site that reflected my vision and needs. I think he did a great job! I hope over time, with you're input, to develop a library of useful reference material in addition to current market evaluations. Looking forward to you're comments...All the Best
Wednesday, October 04, 2006
The faster you pay the more you save on mortgage costs
Interest can double the price of your home Make extra payments whenever possible
ROB FERGUSON
STAFF REPORTER
Chances are you've never met Rick Mathes, but he's offering some "been-there-done-that" money-saving advice for first-time homebuyers.
When shopping for a mortgage, think long and hard about how you plan to pay it back.
The longer you take, the more it costs. In fact, interest costs alone, over the life of a long mortgage, can tally almost as much as the house.
Such thoughts are an occupational hazard for Mathes, a mortgage expert whose official title is vice-president of real estate secured lending at TD-Canada Trust.
"For most people, it's the largest financial transaction of their lives," he says, recalling his own first home-buying experience years ago.
"I was traumatized. I thought, `I'm going to be paying how many tens of thousands of dollars in interest?'"
Here are the cold, hard numbers:
A 25-year mortgage on a $300,000 entry-level house costs about $200,000 in interest at current rates. The combined total: $500,000.
That's why Mathes hunkered down, taking advantage of typical mortgage features like doubling his regular payments and paying down a chunk of the principal — the original amount borrowed — every year. Many lenders allow customers to pay down up to 15 per cent of the principal once a year, usually on the anniversary date.
"If you do that, you can turn a 25-year mortgage into about five years," says Mathes, with the unsurprising caveat that "not many people have the wherewithal to do that."
Present company excepted, of course.
"I got rid of mine in about six years," Mathes notes. "But then you're looking at renovations or moving up."
Marion Nader bought a condo last fall and is hoping she'll soon be able to afford some extra payments, but it's not easy.
"I know the sacrifices I make now will pay off," says Nader, who lived in Woodbridge before moving to the King and Bathurst St. area to be closer to work.
But with rising hydro bills, property taxes and the recent RRSP deadline all pinching her pocketbook, Nader is finding home ownership "a little bit more than what I had anticipated."
Still, many people are finding the cash.
At least one bank reports the average payoff period for mortgages has declined to 18 years, as homeowners become better educated and take advantage of additional pay-down privileges.
One strategy is to make sure your mortgage payments — which should tally no more than one-third of gross family income — are manageable, then to have the discipline to put any extra cash down on the principal.
Given the way mortgages are structured, the highest interest costs are in the early years.
Here's how it works: The repayment plan for a mortgage is based on an amortization period — the length of time you plan to take to pay down the loan. Typically, it's 25 years. Every weekly or monthly payment retires more of the loan's principal, so the interest charges, therefore, become less and less.
In the first five years of a mortgage, a whopping three-quarters of your regular payments typically go to interest and just one-quarter to the principal.
Asked for his top advice to first-time homebuyers, Mathes says don't automatically opt for a five-year mortgage term with a fixed interest rate.
It's a traditional choice for many rookie buyers, who like the idea of knowing how much their mortgage payments are going to be.
Owning a home typically comes hand-in-hand with unexpected cash outlays for home repairs and maintenance, not to mention things like decks, new furniture and — maybe —starting a family.
"The most classic mistake is they go in the five-year mortgage and, two or three years later, everything changes and they wish they weren't locked in," says Mathes.
But he acknowledges that the popoularity of five-year terms has increased in the past few months as rates crept up. That's because homeowners have been locking in on rates before they sneak higher, a switch from the past few years of declining rates, when the best option for many people was a variable rate mortgage, in which rates rise or fall with the market.
As an example, he notes that a $200,000 five-year-mortgage at 7.95 per cent, taken out in December 1999, would have cost $33,000 more in interest than a variable rate mortgage, because rates declined over that period. Of course, the interest cost would have been higher had rates risen instead.
"If you have risk-tolerance, you should play the odds," says Mathes, adding that studies by a number of banks over recent years suggest short mortgage terms and their typically lower rates are more economical in the long run.
Many homebuyers are shying away from variable-rate mortgages these days. The flexible-rate plans account for just 20 per cent of sales, compared with 40 per cent six months ago at TD-Canada Trust, Mathes says.
By the way, he also advises making the maximum RRSP contributions every year and using any tax refund to pay down the mortgage.
He does not recommend raiding an RRSP nest egg to come up with a down payment, unless you are a disciplined saver with a good cash flow to replace it later. But he says "it's an individual decision." While getting a big enough down payment to avoid having to purchase government-required mortgage insurance
Interest can double the price of your home Make extra payments whenever possible
ROB FERGUSON
STAFF REPORTER
Chances are you've never met Rick Mathes, but he's offering some "been-there-done-that" money-saving advice for first-time homebuyers.
When shopping for a mortgage, think long and hard about how you plan to pay it back.
The longer you take, the more it costs. In fact, interest costs alone, over the life of a long mortgage, can tally almost as much as the house.
Such thoughts are an occupational hazard for Mathes, a mortgage expert whose official title is vice-president of real estate secured lending at TD-Canada Trust.
"For most people, it's the largest financial transaction of their lives," he says, recalling his own first home-buying experience years ago.
"I was traumatized. I thought, `I'm going to be paying how many tens of thousands of dollars in interest?'"
Here are the cold, hard numbers:
A 25-year mortgage on a $300,000 entry-level house costs about $200,000 in interest at current rates. The combined total: $500,000.
That's why Mathes hunkered down, taking advantage of typical mortgage features like doubling his regular payments and paying down a chunk of the principal — the original amount borrowed — every year. Many lenders allow customers to pay down up to 15 per cent of the principal once a year, usually on the anniversary date.
"If you do that, you can turn a 25-year mortgage into about five years," says Mathes, with the unsurprising caveat that "not many people have the wherewithal to do that."
Present company excepted, of course.
"I got rid of mine in about six years," Mathes notes. "But then you're looking at renovations or moving up."
Marion Nader bought a condo last fall and is hoping she'll soon be able to afford some extra payments, but it's not easy.
"I know the sacrifices I make now will pay off," says Nader, who lived in Woodbridge before moving to the King and Bathurst St. area to be closer to work.
But with rising hydro bills, property taxes and the recent RRSP deadline all pinching her pocketbook, Nader is finding home ownership "a little bit more than what I had anticipated."
Still, many people are finding the cash.
At least one bank reports the average payoff period for mortgages has declined to 18 years, as homeowners become better educated and take advantage of additional pay-down privileges.
One strategy is to make sure your mortgage payments — which should tally no more than one-third of gross family income — are manageable, then to have the discipline to put any extra cash down on the principal.
Given the way mortgages are structured, the highest interest costs are in the early years.
Here's how it works: The repayment plan for a mortgage is based on an amortization period — the length of time you plan to take to pay down the loan. Typically, it's 25 years. Every weekly or monthly payment retires more of the loan's principal, so the interest charges, therefore, become less and less.
In the first five years of a mortgage, a whopping three-quarters of your regular payments typically go to interest and just one-quarter to the principal.
Asked for his top advice to first-time homebuyers, Mathes says don't automatically opt for a five-year mortgage term with a fixed interest rate.
It's a traditional choice for many rookie buyers, who like the idea of knowing how much their mortgage payments are going to be.
Owning a home typically comes hand-in-hand with unexpected cash outlays for home repairs and maintenance, not to mention things like decks, new furniture and — maybe —starting a family.
"The most classic mistake is they go in the five-year mortgage and, two or three years later, everything changes and they wish they weren't locked in," says Mathes.
But he acknowledges that the popoularity of five-year terms has increased in the past few months as rates crept up. That's because homeowners have been locking in on rates before they sneak higher, a switch from the past few years of declining rates, when the best option for many people was a variable rate mortgage, in which rates rise or fall with the market.
As an example, he notes that a $200,000 five-year-mortgage at 7.95 per cent, taken out in December 1999, would have cost $33,000 more in interest than a variable rate mortgage, because rates declined over that period. Of course, the interest cost would have been higher had rates risen instead.
"If you have risk-tolerance, you should play the odds," says Mathes, adding that studies by a number of banks over recent years suggest short mortgage terms and their typically lower rates are more economical in the long run.
Many homebuyers are shying away from variable-rate mortgages these days. The flexible-rate plans account for just 20 per cent of sales, compared with 40 per cent six months ago at TD-Canada Trust, Mathes says.
By the way, he also advises making the maximum RRSP contributions every year and using any tax refund to pay down the mortgage.
He does not recommend raiding an RRSP nest egg to come up with a down payment, unless you are a disciplined saver with a good cash flow to replace it later. But he says "it's an individual decision." While getting a big enough down payment to avoid having to purchase government-required mortgage insurance
Realtor's help is free, so why not hire one?
First-time buyers can benefit from realtors' knowledge Buying a house can be emotional and stressfulBuyer gets the benefit but seller pays the fee`She pointed out things I'd never notice'
DONNA JEAN MACKINNON
STAFF REPORTER
At 26, Margaret Fury came to a crossroads in her life. The upshot was she ended up buying a house.
Her grandfather was ill and she had planned to move in with her grandmother. But it wasn't to be.
"My grandmother advised me to go out on my own and live my own life — as long as I didn't move far away," says Fury, who was living with her parents, rent-free, in Brampton and whose car was paid for.
The first step was finding a real estate agent, which immediately begs the question: Why do you need an agent?
Kim Campbell, a Brampton realtor, who specializes in first-time buyers, answers: Why not?
"As a buyer, you don't pay the agent anything. The seller pays the commissions," she says. "It's basically a free service for buyers, so why not take advantage of the agent's expertise?"
First-time buyers are going into unknown territory, she adds, and a savvy agent can guide them through the intricacies of house hunting and the offer process.
Also, agents do the legwork for their clients. They may check out 15 houses and decide only two are suitable, thus saving clients endless hours of driving around and poring over MLS listings.
Fury's mother was on Campbell's email list and spotted the perfect house on it.
Fury loved the four-bedroom, semi-detached house. It was not a fixer-upper and was close to family. Located in Peel Village (Highway 10 and Steeles Ave.), the house was built in the 1960s. It had a large lot with gardens and mature trees, which were alive with blue jays and cardinals.
"The older couple selling were so nice," Fury says. "They were the original owners."
There was already an offer on the house, but the deal fell through over a washer and fridge. Fury made an offer of $320,000 and a month later she was ensconced in the house.
After 18 months, she looks back and says the first year was the hardest financially. Fury forked out a 25-per-cent down payment, so she didn't have to pay mortgage insurance, which is added automatically if the upfront sum is less than 25 per cent.
"But I felt house-poor — no more free-and-easy shopping and spending," she says. "Living on a budget was scary."
Fury became a homebody, entertaining friends with style, thanks to a "mammoth" barbecue that was a housewarming gift.
`As a buyer, you don't pay the agent anything. The seller pays the commissions. It's basically a free service for buyers, so why not take advantage of the agent's expertise?'
Kim Campbell, Brampton realtor
Then Fury made another change. She left her downtown sales job and found more lucrative work in Etobicoke, a 20-minute commute away.
"Now I can still afford a vacation, and the plush white carpets in the house will be replaced," she says.
Fury listened to experienced people such as Campbell who believe in making money on your first house.
"Now I tell everyone to buy, not rent," Fury says. "In one year, I've made money. My house is worth at least $400,000."
Campbell says Fury is among the growing number of single women buying homes as an investment — sort of a forced savings plan.
She advises first-time buyers to focus on location, and is convinced there is more value in the suburbs than the city.
"Being in a good neighbourhood is No. 1," she says. "I advise being picky about the location and foregoing an extra ensuite and double-car garage to pay for the best location they can afford."
Campbell also worked for Jean and James Rowlandson, a couple with a baby. They rented in Mississauga for two years to save for a down payment and then contacted Campbell.
"We hit it off. We were so pleased with Kim. I knew about financing, but she pointed out things I'd never notice," says Jean, a 34-year-old banker now on maternity leave.
The couple looked at about 20 houses in the $250,000 to $270,000 range. When they walked into a five-year-old house in a subdivision at Sandalwood and McLaughlin, north of Brampton, they knew this was it. The price tag was $268,000.
"I was always on the other side of the desk," Jean says. "It was just numbers then. Suddenly, buying a house became emotional and stressful."
The house had been upgraded and had custom work, so they didn't worry about major improvements. James did finish the basement and they figure the house is now worth about $339,000.
But Jean is not happy about the pie-shaped lot, since it has a minuscule backyard and a "non-existent" front yard, taken up by two garages.
The couple now plans to move somewhere like Midland, where they can get a lot more house for less money. Jean is sure she can get a transfer and James, a self-employed distributor, can work anywhere with high-speed Internet.
First-time buyers can benefit from realtors' knowledge Buying a house can be emotional and stressfulBuyer gets the benefit but seller pays the fee`She pointed out things I'd never notice'
DONNA JEAN MACKINNON
STAFF REPORTER
At 26, Margaret Fury came to a crossroads in her life. The upshot was she ended up buying a house.
Her grandfather was ill and she had planned to move in with her grandmother. But it wasn't to be.
"My grandmother advised me to go out on my own and live my own life — as long as I didn't move far away," says Fury, who was living with her parents, rent-free, in Brampton and whose car was paid for.
The first step was finding a real estate agent, which immediately begs the question: Why do you need an agent?
Kim Campbell, a Brampton realtor, who specializes in first-time buyers, answers: Why not?
"As a buyer, you don't pay the agent anything. The seller pays the commissions," she says. "It's basically a free service for buyers, so why not take advantage of the agent's expertise?"
First-time buyers are going into unknown territory, she adds, and a savvy agent can guide them through the intricacies of house hunting and the offer process.
Also, agents do the legwork for their clients. They may check out 15 houses and decide only two are suitable, thus saving clients endless hours of driving around and poring over MLS listings.
Fury's mother was on Campbell's email list and spotted the perfect house on it.
Fury loved the four-bedroom, semi-detached house. It was not a fixer-upper and was close to family. Located in Peel Village (Highway 10 and Steeles Ave.), the house was built in the 1960s. It had a large lot with gardens and mature trees, which were alive with blue jays and cardinals.
"The older couple selling were so nice," Fury says. "They were the original owners."
There was already an offer on the house, but the deal fell through over a washer and fridge. Fury made an offer of $320,000 and a month later she was ensconced in the house.
After 18 months, she looks back and says the first year was the hardest financially. Fury forked out a 25-per-cent down payment, so she didn't have to pay mortgage insurance, which is added automatically if the upfront sum is less than 25 per cent.
"But I felt house-poor — no more free-and-easy shopping and spending," she says. "Living on a budget was scary."
Fury became a homebody, entertaining friends with style, thanks to a "mammoth" barbecue that was a housewarming gift.
`As a buyer, you don't pay the agent anything. The seller pays the commissions. It's basically a free service for buyers, so why not take advantage of the agent's expertise?'
Kim Campbell, Brampton realtor
Then Fury made another change. She left her downtown sales job and found more lucrative work in Etobicoke, a 20-minute commute away.
"Now I can still afford a vacation, and the plush white carpets in the house will be replaced," she says.
Fury listened to experienced people such as Campbell who believe in making money on your first house.
"Now I tell everyone to buy, not rent," Fury says. "In one year, I've made money. My house is worth at least $400,000."
Campbell says Fury is among the growing number of single women buying homes as an investment — sort of a forced savings plan.
She advises first-time buyers to focus on location, and is convinced there is more value in the suburbs than the city.
"Being in a good neighbourhood is No. 1," she says. "I advise being picky about the location and foregoing an extra ensuite and double-car garage to pay for the best location they can afford."
Campbell also worked for Jean and James Rowlandson, a couple with a baby. They rented in Mississauga for two years to save for a down payment and then contacted Campbell.
"We hit it off. We were so pleased with Kim. I knew about financing, but she pointed out things I'd never notice," says Jean, a 34-year-old banker now on maternity leave.
The couple looked at about 20 houses in the $250,000 to $270,000 range. When they walked into a five-year-old house in a subdivision at Sandalwood and McLaughlin, north of Brampton, they knew this was it. The price tag was $268,000.
"I was always on the other side of the desk," Jean says. "It was just numbers then. Suddenly, buying a house became emotional and stressful."
The house had been upgraded and had custom work, so they didn't worry about major improvements. James did finish the basement and they figure the house is now worth about $339,000.
But Jean is not happy about the pie-shaped lot, since it has a minuscule backyard and a "non-existent" front yard, taken up by two garages.
The couple now plans to move somewhere like Midland, where they can get a lot more house for less money. Jean is sure she can get a transfer and James, a self-employed distributor, can work anywhere with high-speed Internet.
Welcome to my new Blog, this is an exciting time for me! Launching my new web site and a blog! I want to thank Mike MacMillan. I met Mike and Terri a few years back and had the pleasure of selling them a home. Mike took this upon himself to design a site that reflected my vision and needs. I think he did a great job! I hope over time, with you're input, to develop a library of useful reference material in addition to current market evaluations. Looking forward to you're comments...All the Best
Monday, September 11, 2006
Handy-man special can be a real bargain
If it's well done, you'll get all the money back
Apr. 20, 2006. 01:00 AM
PAUL IRISH
STAFF REPORTER
If you're looking for a house in an established area with some real character, don't buy the best one on the block, buy the worst.
It's advice many real estate agents give to first-time homebuyers who — unlike their counterparts in new subdivisions — don't want to wait 30 years for their trees to mature, but still can't afford to pay top dollar.
The theory is simple: Any renovations or refurbishing will more than pay for themselves as the worn and neglected home is brought up to the loftier neighbourhood standards.
A $250,000 fixer-upper could eventually fetch $400,000 in the right Toronto neighbourhood with the purchase of a new $40,000 kitchen, two new bathrooms totalling $30,000 and perhaps another $20,000 to paint the walls, refurbish the floors, install new windows, put on a new roof and make over the gardens.
It's a lot of money but you'll come out ahead with more coin in your pocket as the value of your newly refurbished home is pushed up by the market.
But it's not a slam dunk, as anybody who has undertaken renovations — big or small — will tell you. It's even more complicated when the owners have small children, as your home becomes a major construction area with debris, dust and tools.
Renovating isn't as easy as it's sometimes made out to be on the makeover TV shows. You might have the money, but do you have the time? If you have the time, do you have the expertise?
Dean Artenosi, a developer and president of Renosolutions, a division of the Arten Group of Companies (http://www.renosolutions.ca), says he deals with many first-time homeowners.
A lot of people try to do renovations themselves, he says, but it has a way of coming back and biting them. With time being the "new currency," he advises against it.
"I admire the ambition that many people have, but it's stressful just being in a home that's undergoing renovations, let alone doing the actual work. It can be a very trying time and we do our best to get it done and get out."
Chris Willerton, 33, and his wife recently purchased a home near Woodbine and Mortimer Aves. in Toronto and immediately put in a new main washroom.
"When we first saw the house, everything was there except a suitable washroom," he says. "Instead of continuing our search, we decided we could put in a new one."
Willerton says he's good at basic jobs around the house, but they decided to spend about $20,000 on a professional contractor.
"I know my limitations and we decided we wanted some real quality out of this," he says.
Willerton is confident he'll get the $20,000 back and more, when the house is sold.
Apr. 20, 2006. 01:00 AM
PAUL IRISH
STAFF REPORTER
If you're looking for a house in an established area with some real character, don't buy the best one on the block, buy the worst.
It's advice many real estate agents give to first-time homebuyers who — unlike their counterparts in new subdivisions — don't want to wait 30 years for their trees to mature, but still can't afford to pay top dollar.
The theory is simple: Any renovations or refurbishing will more than pay for themselves as the worn and neglected home is brought up to the loftier neighbourhood standards.
A $250,000 fixer-upper could eventually fetch $400,000 in the right Toronto neighbourhood with the purchase of a new $40,000 kitchen, two new bathrooms totalling $30,000 and perhaps another $20,000 to paint the walls, refurbish the floors, install new windows, put on a new roof and make over the gardens.
It's a lot of money but you'll come out ahead with more coin in your pocket as the value of your newly refurbished home is pushed up by the market.
But it's not a slam dunk, as anybody who has undertaken renovations — big or small — will tell you. It's even more complicated when the owners have small children, as your home becomes a major construction area with debris, dust and tools.
Renovating isn't as easy as it's sometimes made out to be on the makeover TV shows. You might have the money, but do you have the time? If you have the time, do you have the expertise?
Dean Artenosi, a developer and president of Renosolutions, a division of the Arten Group of Companies (http://www.renosolutions.ca), says he deals with many first-time homeowners.
A lot of people try to do renovations themselves, he says, but it has a way of coming back and biting them. With time being the "new currency," he advises against it.
"I admire the ambition that many people have, but it's stressful just being in a home that's undergoing renovations, let alone doing the actual work. It can be a very trying time and we do our best to get it done and get out."
Chris Willerton, 33, and his wife recently purchased a home near Woodbine and Mortimer Aves. in Toronto and immediately put in a new main washroom.
"When we first saw the house, everything was there except a suitable washroom," he says. "Instead of continuing our search, we decided we could put in a new one."
Willerton says he's good at basic jobs around the house, but they decided to spend about $20,000 on a professional contractor.
"I know my limitations and we decided we wanted some real quality out of this," he says.
Willerton is confident he'll get the $20,000 back and more, when the house is sold.
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