Archive for March, 2008
TRANSPARENCY IN REAL ESTATE or “Why read my blog?”
March 4th, 2008 Categories: Blogs, Blogging and the Blogosphere, First Time Buyers, Oakville Real Estate News
I went to a listing appointment a few months ago for a couple I had met at the Oakville Centre kiosk. A comment they made got me thinking.
“You seem very nice etc., but the last time we bought and sold, we interviewed 3 agents and picked who we thought would be the best one, but she turned out to be terrible! It was such a bad experience. Now we’re gun-shy.”
Selling or buying a home is a big deal. No doubt about that.
Picking a REALTOR that doesn’t match our expectations or our values or our personality type can be uncomfortable and stressful.
One of the challenges of our generation is we have TOO MANY CHOICES, TOO LITTLE TIME.
One of the reasons I have chosen to write a blog with almost daily postings, is so that people who are buying or selling can use this as a PRE-SELECTION TOOL.
When one writes a lot of stuff over time, one’s true self does get revealed.
What does this REALTOR know? How well does she understand the real estate market? How does she handle situations? What are her values, preferences, interests, viewpoints on real estate and other matters? What are her clients saying about her? What are other agents who comment saying about her? How abreast is she of the latest developments in real estate?
All good questions to which you are likely to find answers right here on this blog.
Then, by the time you pick up the phone to call me, we are both reasonably assured that we are a “good fit”. And that is the best thing for you and for me!
Sometimes when I meet people who have been reading it, they say “ I feel like I already know you.” That’s my goal folks!
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Can’t Afford A Fancy Condo in Florida or Muskoka Cottage? How’s This for a New Trend?
March 4th, 2008 Categories: First Time Buyers, Halton Real Estate, Investing in Real Estate, Lighten Up, Oakville Real Estate News, Real Estate News
Lisa Valade, my mortgage broker, sent me this photo this morning. If you have champagne taste but a beer budget, might be something to think about!
Call Hilary to talk about your dreams for real estate, 905–599–3311.
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Very Inspring True Story of a 12-year old Child Prodigy
March 3rd, 2008 Categories: Food for Soul and Spirit, Halton Real Estate, Oakville Real Estate News
My friend Grace sent me a link to a CNN video tonight that is so inspring and beautiful I had to share it. Akiane is a twelve-year self-taught artist who expresses deep emotion and spirituality through her paintings. She began having visions that she depicted from the age of four.
Although her mother and her upbringing was atheistic, Akiane from a young age believed in God and was able to express her visions of heaven and God in her art. Her faith began to impact her whole family.
Take a look for yourself, folowing this link http://tinyurl.com/yxewot.
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“How exactly does bridge financing work?” asks Claire from Oakville
March 3rd, 2008 Categories: First Time Buyers, Investing in Real Estate, Mortgages, Economics, Finance, Oakville Real Estate News
I was showing homes a few days ago to a nice lady named Claire who asked me a question: “How exactly does a bridge work?” She had been a senior bank employee and wanted to know how the numbers worked.
First let me explain why bridge financing may be necessary.
Imagine you’re looking for your next home, and walk into the place of your dreams. The space is tailor-made, the location is perfect, even the price is right. Just one problem: the owner of your dream home has to close the deal within the month, and you can’t sell your current home that quickly. How can you come up with the money to buy the new place, while carrying the old one?
Bridge financing could be your best way to seal the deal. This type of financing is a hefty short-term loan that bridges you over the period when you own and are paying for two homes.
To obtain bridge financing, you have to present your financial institution with two firm offers – one for your current house and one for your next home. You obtain a new mortgage on the new home and carry the two mortgages during the overlap period, before the sale of your current home closes.
Once that happens, you use the proceeds of the sale to pay off the bridge loan, plus interest and costs. Alternatively, you can arrange to repay the bridge loan in six months to a year. This may be useful if you need to save a bit to pay off the bridge in full.
Trouble is, the costs of bridge financing can really add up:
- interest on this type of short-term loan is relatively high, usually the prime rate plus two to five percent.
Set-up fees can be hundreds of dollars - worst-case scenario: the deal for your old home falls apart at the last minute. If that home is collateral for the bridge loan, the bank could seize it
The bottom line is you should only consider a bridge loan if you can afford the interest charges and can pay it off in full as soon as possible. With this type of financing, every single extra day can cost you hundreds or even thousands of dollars.
Having said that, if it is for a few days or you can afford it easily, it is a convenient way to deal with closings that don’t match up exactly.
I attended a mortgage financing seminar recently where the speaker gave the following example:
Hope this helps to clarify things. Best bet is to talk to your REALTOR, bank or mortgage broker before you go out househunting if you think you may want to utilize bridge financing.
CALL HILARY AT 905–599–3311 TO GO LOOKING FOR THAT DREAM HOME!
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“How do I claim the new land transfer tax rebate for first-time buyers?” says Dan from Mississauga
March 3rd, 2008 Categories: First Time Buyers, Mortgages, Economics, Finance, Oakville Real Estate News
I received a call this evening from a gentleman named Dan from Mississauga who had just purchased his first home, a resale.
Dan called me as he had read my post on the new rebate and had been surprised that his lawyer did not know about it. He was wanting to know how to go about claiming it.
LET’S REVIEW THE SITUATION:
1) December 13, 2007, the Ontario government announced a proposed amendment to extend the Land Transfer Tax Refund Program for First-Time Homebuyers to include purchases of resale homes, to a maximum refund of $2000.
2) But the proposed amendment has not yet been passed by the Legislature and needs to receive Royal Assent to become law. It is my understanding that this is a “formality” and that it will likely be passed.
WHAT DO DO BEFORE THE LAW IS PASSED?
1) Pay the land transfer tax upon registration
2) Download the form – Ontario Land Transfer Tax Refund Affidavit for First-Time Purchasers of Eligible Homes (Resale)
3) Submit a copy of the registered instrument on which land transfer tax was paid (in the case of electronic registration, include a copy of the docket summary which relates to the transaction along with a copy of the statement of adjustments)
4) Submit a copy of the agreement of purchase and sale (only those agreements of purchase and sale entered into after December 13, 2007 may qualify)
5) Although eligible first-time buyers of resale homes may apply for the refund once the transaction has closed and the tax has been paid, the ministry would retain the refund requests for processing and would issue refunds after the proposed amendments become law.
6) Certain conditions apply:
- The purchaser must be at least 18 years of age.
- Application for the refund must be made within 18 months after the date of the conveyance or disposition.
- The purchaser must occupy the home as his or her principal residence within 9 months of the date of closing.
- The purchaser cannot have owned a home or had any ownership interest in a home, anywhere in the world.
- A spouse of the purchaser cannot have owned a home or had any ownership interest in a home, anywhere in the world while he or she was the purchaser’s spouse
For more information consult the Ministry of Revenue website, click here or call:
Tel.: 905 433-6361
Fax: 905 433-5770
1 800 263-7776
Submissions should be mailed to:
Ministry of Revenue
Land Taxes Section
33 King Street West
PO Box 625
Oshawa ON L1H 8H9
Dan, hope that helps! Having an extra $2,000 back is nice when buying that first home. To keep abreast of real estate news subscribe now to the Oakville Buzz!
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Another Healthy Year Ahead For Canadian Real Estate Say Speakers at Scotiabank Forum
March 1st, 2008 Categories: First Time Buyers, Halton Real Estate, Investing in Real Estate, Latest Real Estate Market News & Stats, Mortgages, Economics, Finance
Scotiabank held a Canadian Real Estate Outlook and Trends Forum 2008 on February 26 last week. Here are quotes from some of the speakers:
“Our expectations are that balanced conditions will prevail throughout 2008, which will mark a return to a more ‘normal’ environment than the highly skewed sellers market that we have experienced over the better part of this decade.
A stumbling American economy will impact us, slowing growth here at home, yet the solid foundation that supports the contemporary Canadian economy should prevent the housing market here from retracting.
New flexible financial products, affordable interest rates and increasing choice in the condominium market across Canada, will continue to attract first-time buyers to real estate – even in high-priced markets. We can also expect to see a broadening buyer pool, as emerging high growth market segments such as single female buyers are anticipated to take advantage of the favourable market conditions.” – Phil Soper, President and CEO Royal LePage
“The Canadian economy is likely to maintain moderate growth momentum this year and next, with the strength of the development boom in the resource-rich regions of the country providing a much needed offset to the increasing drag on our manufacturing centres from the intensifying U.S. slowdown and persistently strong currency. – Aron Gampel, Vice-President and Deputy Chief Economist, Scotiabank
From a supply perspective, most Canadian markets are still in sellers’ territory, in which prices would be expected to rise faster than inflation. Yet, some of the hottest markets in recent years, including Edmonton, have become much better balanced due to a flood of new listings. Based on a combination of job growth, housing supply and affordability, among this year’s potential outperformers are Saskatoon, Regina and Winnipeg in the West, Sudbury, Hamilton and Quebec City in Central Canada, and St. John’s to the East. – Adrienne Warren, Senior Economist, Scotiabank
Hilary’s Note:
The unseasonably cold and snowy weather conditions in Southern Ontario have certainly put a damper on buyers wanting to brave frigid conditions to go house-hunting, while many sellers are waiting for a bit of a thaw before listing. Any day now we will see more of those FOR SALE and SOLD signs going up!
Read also:
Canadian Real Estate Market: A Decade in Review 1997–2007
Bank of Canada Governor Confirms Canadian Interest Rates to Be Cut
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