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"Kamran Anvari" is one of GTA's most knowledgable Real Estate Brokers & Consultants. He has been consulting and writing for GTA online and paper publications for the last 11 years. He can be reached at AnvariTeam@Gmail.com

What’s the most interesting part of the TREB report?

The table below is part of report regularly being released by-weekly by Toronto Real Estate Board.

First line is about detached homes showing steady and strongly price appreciation in recent years, detached homes have been on demand for years, as many home owners enjoy having a backyard while investors like having more land.

What I believe is that the population of mother earth is increasing constantly yet the size of our planet is not expanding accordingly! So the land per capita is going to be less and less, thus the value of the land goes up and up.

On the other hand government and cities are not encouraging people to own detached homes. It’s not easy for cities to provide services like water, sewer, gas, electricity, etc. to many detached houses compared to a condo complex. This is of course despite the fact that a detached home still can be a better long-term investment for the owner.

But the most interesting part of Treb’s report for me is the last line of the table where Condo market is a strong segment of the market. Whether it is about affordability or changing life styles condos are getting high in demand in today’s housing market. Young professionals love living in or close to the city core having an active life and hating long commutes to work. Shovelling winter snow and mowing lawns is not for them!

Please look at the below table, numbers talk themselves.

treb-June1-30

Home repairs you should never ignore!

Many people put off repairs in their home. We tend to dodge it and push it off for as long as possible. Everyone realizes that repairs must be done, but other events take a higher priority and often the funds are not readily available. All that said, certain repairs must be done sooner rather than later. These common tasks can lead to greater problems if pushed off for too long. CondoWashroom

  • A water leak – Leaks can lead to a whole lot of problems if not handled immediately. Constant moisture can cause the wood to rot, mold, dry rot, or termite infestations. Rotting can compromise the stability of the foundation, subfloor, or roofing, leading to very expensive repairs if the foundation or roof buckles. Most importantly, water-related problems can get your home blackballed by insurance companies worried about mold-related claims.
  • Peeling paint – Paint is a home’s protection from the elements. It’s the first line of defense against incursions by water and pests. Exterior paint is formulated to protect your house from rain and moisture. If the paint peels, water can seep into wood and lead to rot.
  • Unusually high fuel bills – This is more than a money issue. If your heating system isn’t running properly, it can be leaking carbon monoxide. Be sure to have carbon monoxide sensors in your house to alert you if levels are increasing.
  • Unusual flickering lights – If your lights are consistently flickering – more than a bulb needing to be changed – then wiring in your house may be off or your circuit board isn’t hooked up properly. Be sure to check on this because it can cause fires!

Rodents – Rats and mice love to chew through just about anything. When it comes to your house, they will chew through insulation and wiring (among other things). This can be dangerous as exposed wires can sometimes cause fires. If they have chewed through wires, be sure to replace them. Certain areas (i.e. theo mountains and hilly areas) are often prone to vermin. If this is the case, try to keep any infestations under control.

Why winter is the best time to sell?

Timing is a critical factor in buying a home. Real estate wisdom tells us that spring and summer are the major seasons for house hunting. People are more likely to get out and house hunt when the weather is nice. Sellers know that their yards look better when not covered in snow. And all these are compelling reasons for going shopping for a house in the winter time!!!

WinterRoadWe want to tell you that buying a home in the winter months may be one of the housing industry’s most downplayed opportunities…

Sales are slow with both price and inventory decreasing starting from November and hitting rock bottom in December. Thus making the holiday season a great opportunity for motivated buyers and investors.

Fewer Buyers to compete with means you can maximize your purchasing power – In simple economics, the low demand will work in your favor. So for investors looking to grab a great deal, winter can be prime time.

Sellers are motivated – as mentioned above, sellers will choose not to list in winter unless they are motivated. Real estate agents know that the slow winter months are when sellers are more willing to negotiate, whether it is on selling price, closing costs, closing date, or terms of the sale including what comes with the property and the conditions of the sale. Motivators could be dictated by job offers, divorce, financial woes, etc.

Less chance for multiple offers on the real estate of your dreams – buyers will have the upper hand in negotiating for extraordinary properties and real estate that otherwise would most certainly be out of their reach during the rest of the year.

Lastly, with less real estate activity, your realtors have a less demand for their time. This can be a wonderful opportunity for them to give you undivided attention and be able to work harder for you.

SO BRAVE THE COLD and get out there. Your dream home could be waiting for you.

Winter Preparation for your home

Now that the cold is officially here, it is time to consider preparing your home for winter. If you live in a cold and snowy region, it is important to make these arrangements in order to avoid future home repairs.

  1. Tune up your heating system: When the weather gets cold, it will be the worst time to find out that your heating system doesn’t work. You do not want to have to wait for someone to come out, while you are freezing!! For around a $100 you can have a technician inspect your furnace or heat pump to ensure your heating system is clean and in good condition. It will also ensure your system in reaching maximum efficiency and not leaking carbon monoxide. Make sure your technician is licensed and qualified!
  2. Reverse the ceiling fans: Some people may not know that ceilings fans can be reversed. If your ceiling fan has a reverse switch, turn it on to run the fan blades in the other direction when you have the heater running. The fan will create an updraft and push the hot air back down into the room. This will keep your room warmer and is great in rooms with high ceilings.
  3. Prevent ice dams: If your home tends to get a lot of icicles there is a chance that your home can get ice dams. This causes water to back up and flow right into your house which can cause rotting, mold, foundation and structural problems. A home-energy auditor or weatherization contractor can identify and fix air leaks and inadequate insulation in your home’s attic that can lead to ice dams.
  4. Check the roof: Look for damaged, loose or missing shingles that may leak during winter’s storms or from melting snow. If need be, hire a handyman to repair a few shingles or a roofer for a larger section ($150 to $450 for a 100-square-foot area). Check and repair breaks in the flashing seals around vent stacks and chimneys, too.

If your roof is flat and surfaced with asphalt and pebbles, rake or blow off fall leaves and pine needles, which hold moisture. Don’t sweep aside the pebbles; that will expose the asphalt to damaging sunlight.

  1. Caulk around windows and doors: If the gaps between siding and window or door frames are bigger than the width of a nickel, you need to reapply exterior caulk. Make sure to check the joints in window and door frames, too. Silicone caulk is best for exterior use because it won’t shrink and it’s impervious to the elements. Check window glazing putty, which seals glass into the window frame. Add weather stripping as needed around doors, making sure you cannot see any daylight from inside your home.
  2. Clean the gutters: If your gutters are full of leaves and debris, water can back up against the house and damage roofing, siding and wood trim — plus cause leaks and ice dams. You’ll typically pay $70 to $300 to clean gutters on a single-story house, depending on its size. Look for missing or damaged gutters and fascia boards and repair them.
  3. Divert water: Add extensions to downspouts so that water runs at least 3 to 4 feet away from the foundation. For example, you can purchase a spout extension, which extends 25 to 55 inches, for $5. (Water near or directly against the foundation can cause huge problems in the future).
  4. Turn off exterior faucets: As the weather drops, undrained water in pipes can freeze and will cause pipes to burst as the ice expands. Disconnect all the garden hoses and drain the water that remains in faucets. If you don’t have frost-proof faucets, and if your home is 10 to 15 years old you probably do not have them, turn off the shut-off valve inside your home.
  5. Drain your lawn irrigation system.It is probably best to call in a professional to do this job. Your sprinkler service will cost between $75 and $150, depending on the size of your system. If you drain them, it will avoid any freezing and leaks that will happen as a result freezing water expansion.
  6. Mulch leaves when you mow: Mow your leaves instead of raking them. The trick is to cut the leaves, while dry, into dime-sized pieces that will fall among the grass blades, where they will decompose and nourish your lawn over the winter. Use your lawnmower without its bag, and optionally swap the cutting blade for a mulching blade, which will cost about $30 to $50. The process may take several passes, but at least you don’t have to rake it!
  7. Prepare to stow your mower: As the mower sits through the winter, fuel remaining in its engine will decompose, «varnishing» the carburetor and causing difficulty when you try to start the engine in the spring. If you’ve added stabilizer to your fuel to keep it fresh longer, then fill the gas tank to the top with more stabilized fuel and run the engine briefly to allow it to circulate. If not, wait until the tank is nearly empty from use and run the engine (outdoors) to use up the remaining fuel. Check your mower’s manual for other cold-weather storage steps.
  8. Prune trees and shrubs in late-winter: Horticulturalists advise waiting to prune until late winter for most plants when they’ve been long dormant and just before spring growth begins. To get advice specific to your plants and region, don’t be afraid to talk with master gardeners at your local nurseries.

There is an exception to this: If your larger trees need a trim, you may need to hire an arborist to remove deadfall or trim limbs close to your home or power lines that could cause problems in a winter storm.

  1. Call a chimney sweep: Before you burn the Yule log, make sure your fireplace (or any heating appliance burning gas, oil, wood or coal), chimney and vents are clean and in good repair. That will prevent chimney fires and prevent carbon monoxide from seeping into your home. You can expect to pay $50 to $100 for an inspection to see if you need a cleaning and $100 to $300 for the cleaning.
  2. Avoid the rush: Get your snow and cold weather supplies early! Salt, shovels, snowblowers, etc., get them before the first snowfall to avoid higher prices and lower inventory.

New Harmonized Sales Tax (HST) Effective July 2010

HST Transition Rules

The provincial government has announced that it intends to combine the eight percent Provincial Sales Tax with the five percent federal Goods and Services Tax, creating a 13 percent Harmonized Sales Tax (HST).

• The HST is NOT YET IN EFFECT. The provincial government has indicated that it intends to bring the HST into effect beginning on July 1, 2010; however, note transition rules below.

• HST will not apply on the purchase price of re-sale homes.

• HST would apply to services such as moving cost, legal fees, home inspection fees, and REALTOR® commissions.

• HST will apply to the purchase price of newly constructed homes. However, the Province is proposing a rebate so that new homes across all price ranges would receive a 75 per cent rebate of the provincial portion of the single sales tax on the first $400,000. For new homes under $400,000, this would mean, on average, no additional tax amount compared to the current system.

Transitional Rules for New Housing

• Generally, sales of new homes under written agreements of purchase and sale entered into on or before June 18, 2009 would not be subject to the provincial portion of the single sales tax, even if both ownership and possession are transferred on or after July 1, 2010. • The tax would also not apply to sales of new homes under written agreements of purchase and sale entered into after June 18, 2009 where ownership or possession is transferred before July 1, 2010.

more details : The Canada Revenue Agency GST/HST enquiry line at 1-800-959-8287

Real Estate Report – March 2010

April 6, 2010 — Greater Toronto REALTORS® reported 10,430 sales through the Multiple Listing Service® (MLS®) in March, pushing total first quarter 2010 sales to 22,418 – the best result on record under the current Toronto Real Estate Board (TREB) boundaries. The average price for March transactions was $434,696. The average price for the first quarter was $427,948.

“The strong rebound in the existing home market was one of the initial drivers of economic recovery,” said TREB President Tom Lebour. “While we don’t expect to see the same rates growth moving forward, GTA households will remain confident in ownership housing as a quality long-term investment, especially as economic recovery expands across all industries.”

The annual rate of growth for new listings continued to accelerate in March. The number of new listings grew by 42 per cent compared to March of 2009.

“The average home price in the GTA will continue to grow this year, but the pace will slow as we move through the spring,” said Jason Mercer, TREB’s Senior Manager of Market Analysis. “As growth in new listings starts to outstrip growth in sales, buyers will experience more choice, resulting in more sustainable single digit rates of average price growth.”