This is great news. Starting at $49 a month, you can have a solar hot water system in your home! Customers will be responsible for installation, but the panels and tank will be under rental contract. Rent-to-own options are available.
Check out the Utilities Kingston webpage for more info, including an application form and additional grant information.
Tuesday, November 11, 2008
Friday, October 10, 2008
Some lighter news
While you're counting pennies, take a break and enjoy this story about a shady realtor in New York, remembering that the present blog author is considerably less shady.
If your penny counting is not to your liking, contact Jacquie Jones.
If your penny counting is not to your liking, contact Jacquie Jones.
Thursday, October 9, 2008
Everything is fine
Nothing to worry about. No reason to be alarmed. You can sleep well at night. Who wants stocks?
Actually, things here aren't too bad, sarcasm aside. This article paints a really good picture of exactly the kind of thing that got the U.S. in it's current predicament.
Actually, things here aren't too bad, sarcasm aside. This article paints a really good picture of exactly the kind of thing that got the U.S. in it's current predicament.
Tuesday, September 16, 2008
Harper promises tax cuts to first time home buyers
Election time, lots of promises, etc. Here's a new one from Stephen Harper and the Conversatives.
http://www.cbc.ca/news/canadavotes/story/2008/09/16/harper-homes.html
http://www.cbc.ca/news/canadavotes/story/2008/09/16/harper-homes.html
Sunday, September 14, 2008
Back!
It has been quite a while hasn't it?
I've moved, started planning a wedding (Oct 11!), got a kid started in kindergarten and have generally been rather busy.
This coming Saturday, September 20, myself and 5 colleagues are hosting a First Time Home Buyers Seminar at Chapters (2376 Princess Street). We take you step-by-step through the process of buying your first home. You'll meet a mortgage broker, a Realtor (me!), insurance agent, home inspector, financial planner, and real estate lawyer.
If you or someone you know wishes to join us (it's free!), please call me at 613 539 8438 or email seminar@realtysource.com
In other news, the zero down payment program appears to be ending a couple of days earlier than originally planned. If you intend on taking advantage of this before it's history, you need to have an accepted offer in the lender's hands by October 13!
I've moved, started planning a wedding (Oct 11!), got a kid started in kindergarten and have generally been rather busy.
This coming Saturday, September 20, myself and 5 colleagues are hosting a First Time Home Buyers Seminar at Chapters (2376 Princess Street). We take you step-by-step through the process of buying your first home. You'll meet a mortgage broker, a Realtor (me!), insurance agent, home inspector, financial planner, and real estate lawyer.
If you or someone you know wishes to join us (it's free!), please call me at 613 539 8438 or email seminar@realtysource.com
In other news, the zero down payment program appears to be ending a couple of days earlier than originally planned. If you intend on taking advantage of this before it's history, you need to have an accepted offer in the lender's hands by October 13!
Monday, July 21, 2008
Kingston offers down payment assistance program
Once again, the City of Kingston is offering the Home Ownership Down Payment Assitance Program.
Highlights:
Highlights:
- 5% of the purchase to a maximum of $7,244
- Must not presently have ownership in a home or have any vested interest in a residence.
- Must be purchasing a home for $181,000 or less as established by Ministry of Municipal Affairs and Housing.
- Must not presently have ownership in a home or have any vested interest in a residence.
- Deadline to respond is August 7, 2008
When this was offered previously in the wintertime, I was fortunate to work with several buyers who took advantage of the program and were able to purchase their first home because of it.
If you have any questions about the program or any other aspect of buying your first home, please feel free to get in touch :)
Wednesday, July 16, 2008
Important changes to Canadian mortgages
As of October 15 of this year, the zero-down mortgage will no longer be available. It's been a popular option for a few years now, for those with good income and good credit but no cash on hand. The new rule (aka reverting back to the old rule) is that you'll be required to have a minimum 5% down payment.
The interesting twist is that they are lowering the Beacon score and TDR (total debt ratio) requirements, so you can have more debt and poorer credit, but you have to have the cash!
The 40-year amortization will be history also, which isn't an awful thing. What it meant was that you could afford to spend more on a house, but you'd pay a couple of thousand extra in CMHC fees, and it would take you considerably longer to start paying down the actual principal on the loan. The maximum amortization under the new changes will be 35 years, a healthier option in my opinion.
Some of the major banks have already stopped offering zero-down options, so if you had been considering this as a possibility, contact your mortgage broker NOW to get the process started.
Here's a selection of articles about the changes:
CBC
Globe & Mail
Reuters
The interesting twist is that they are lowering the Beacon score and TDR (total debt ratio) requirements, so you can have more debt and poorer credit, but you have to have the cash!
The 40-year amortization will be history also, which isn't an awful thing. What it meant was that you could afford to spend more on a house, but you'd pay a couple of thousand extra in CMHC fees, and it would take you considerably longer to start paying down the actual principal on the loan. The maximum amortization under the new changes will be 35 years, a healthier option in my opinion.
Some of the major banks have already stopped offering zero-down options, so if you had been considering this as a possibility, contact your mortgage broker NOW to get the process started.
Here's a selection of articles about the changes:
CBC
Globe & Mail
Reuters
More stats!!
It's certainly not a surprise to see an article like this. Basically reaffirming that the boom is over (for now) and it's definitely a buyer's market at this moment, particularly as we continue through the summer.
Well, well, well
There's a public information session tonight, hosted by a cleverly named group called Well Aware, that would be of interest to anyone who uses a well for their main water source.
Details
Details
Sunday, July 13, 2008
Housing starts down, hope is up.
"The second-quarter housing start numbers actually are reassuring and indicate that the Kingston housing market has shown no signs of the kind of collapse in housing starts that has occurred in the U. S."
http://www.thewhig.com/ArticleDisplay.aspx?e=1109642
http://www.thewhig.com/ArticleDisplay.aspx?e=1109642
Wednesday, July 9, 2008
Famous people sell houses too!
An interesting article about the things that make celebrities just the same as anyone else - they too can try to ask too much for their house.
http://edition.cnn.com/2008/LIVING/homestyle/07/09/celebrity.real.estate.ap/index.html
http://edition.cnn.com/2008/LIVING/homestyle/07/09/celebrity.real.estate.ap/index.html
Friday, June 27, 2008
Ontario To Require Fire Sprinklers In New Condos And Apartments
This isn't quite as sensational as all this new FINTRAC business, but important nonetheless.
Ontario Government Improving Fire Safety Standards
NEWS
Ontario is increasing the fire-safety of new large residential buildings. Changes to the Building Code will require sprinkler systems in new condos and apartments higher than three storeys.
The changes will come into force on April 1, 2010. Building permit applications for multiple-unit residential buildings higher than three storeys submitted on or after that date must comply with the new fire sprinkler requirements.
Residential fire deaths in Ontario have declined steadily since the Building Code was introduced in 1975, and Ontario has one of the lowest rates of residential fire deaths in Canada.
The changes will bring the Building Code into greater harmony with the model National Building Code of Canada and the codes in force in most Canadian and American jurisdictions.
“We are making our safe buildings even safer. These changes to the Building Code will ensure residents of new high-rises will have the same fire protection as all other jurisdictions in Canada,” said Jim Watson, Minister of Municipal Affairs and Housing.
"The experience of other jurisdictions across North America is clear: residential sprinklers significantly reduce injuries, deaths and property loss due to fire. This requirement is a huge step forward in the protection of citizens of this province from fire," said Pat Burke, Fire Marshal of Ontario
"Ultimately, residential sprinklers will provide a safer working environment for the brave men and women who put their lives on the line to protect us," said Linda Jeffrey, MPP for Brampton-Springdale, a long-time advocate for sprinklers in residential settings.
QUICK FACTS
- The Building Code is a regulation under the Building Code Act, 1992. The code applies to the construction of new buildings, and the renovation and change of use of existing buildings.
- The effective date of April 1, 2010 will ensure there are sufficient numbers of trained technicians available to install the newly required sprinkler systems.
- The model National Building Code of Canada is published by the National Research Council of Canada. Provincial and territorial governments, however, are responsible for building regulation and adopt their own codes.
Ontario Government Improving Fire Safety Standards
NEWS
Ontario is increasing the fire-safety of new large residential buildings. Changes to the Building Code will require sprinkler systems in new condos and apartments higher than three storeys.
The changes will come into force on April 1, 2010. Building permit applications for multiple-unit residential buildings higher than three storeys submitted on or after that date must comply with the new fire sprinkler requirements.
Residential fire deaths in Ontario have declined steadily since the Building Code was introduced in 1975, and Ontario has one of the lowest rates of residential fire deaths in Canada.
The changes will bring the Building Code into greater harmony with the model National Building Code of Canada and the codes in force in most Canadian and American jurisdictions.
“We are making our safe buildings even safer. These changes to the Building Code will ensure residents of new high-rises will have the same fire protection as all other jurisdictions in Canada,” said Jim Watson, Minister of Municipal Affairs and Housing.
"The experience of other jurisdictions across North America is clear: residential sprinklers significantly reduce injuries, deaths and property loss due to fire. This requirement is a huge step forward in the protection of citizens of this province from fire," said Pat Burke, Fire Marshal of Ontario
"Ultimately, residential sprinklers will provide a safer working environment for the brave men and women who put their lives on the line to protect us," said Linda Jeffrey, MPP for Brampton-Springdale, a long-time advocate for sprinklers in residential settings.
QUICK FACTS
- The Building Code is a regulation under the Building Code Act, 1992. The code applies to the construction of new buildings, and the renovation and change of use of existing buildings.
- The effective date of April 1, 2010 will ensure there are sufficient numbers of trained technicians available to install the newly required sprinkler systems.
- The model National Building Code of Canada is published by the National Research Council of Canada. Provincial and territorial governments, however, are responsible for building regulation and adopt their own codes.
Tuesday, June 24, 2008
FINTRAC roundup
As previously mentioned, FINTRAC has come to real estate.
To recap, in order to prevent money laundering, terrorism, and badism, we now have to ask you for a bit extra documentation if you're buying or selling real estate. Even if you done this with the same realtor several times, we have to do it again.
The majority of transactions will be quite simple. We just need your name, address, and a driver's license or an alternate ID. A compliance officer in our office retains all records (us Realtors don't retain them personally, unlike most of our other paperwork) and waits for the government to come sniffing for ill-begotten property.
It's not as intrusive as it sounds, like we're not dealing with Social Insurance Numbers or getting bank statements.
Please drop me a line if you have any questions about it. Otherwise, here's what the media is saying:
London Free Press
Reuters
CTV
CNW Group
To recap, in order to prevent money laundering, terrorism, and badism, we now have to ask you for a bit extra documentation if you're buying or selling real estate. Even if you done this with the same realtor several times, we have to do it again.
The majority of transactions will be quite simple. We just need your name, address, and a driver's license or an alternate ID. A compliance officer in our office retains all records (us Realtors don't retain them personally, unlike most of our other paperwork) and waits for the government to come sniffing for ill-begotten property.
It's not as intrusive as it sounds, like we're not dealing with Social Insurance Numbers or getting bank statements.
Please drop me a line if you have any questions about it. Otherwise, here's what the media is saying:
London Free Press
Reuters
CTV
CNW Group
Wednesday, May 28, 2008
Muskoka-area Realtor wins jackpot
I love selling real estate ... I get a real kick out of it. But make no mistake, I'd be tearing up my licence and leaving my clients high and dry in a second if I just won $27 million like this guy did. Actually, I'd probably buy up all my listings just for fun and purchase 2 waterfront properties for each of my buyers. THEN I'd quit. I'd do something cool like rent an airplane and skyjump into my bosses office and write my resignation letter in liquid gold.
The point is, I wouldn't keep working. That's just not how I roll.
Now I gotta go find the next winning theory to put my plan into action.
The point is, I wouldn't keep working. That's just not how I roll.
Now I gotta go find the next winning theory to put my plan into action.
Monday, May 26, 2008
mls.ca is changing!
As of June 30, 2008, http://www.mls.ca/ will be switching its focus to a new website at http://www.realtor.ca/.
I just did a beta test on the new site, there's still a few bugs (it's already a month past the initial launch date) but it's pretty impressive. You'll be to do a far more accurate search, inasfaras zooming in on the map the area you want and seeing one of those cute little markers where the houses are.
The site will also incorporate many wonderful tidbits about how important us Realtors are, the great things that we do and how you can't possibly function without us.
http://www.mls.ca/ will stay active for a short time afterwards, but will eventually re-direct to the new http://www.realtor.ca/.
I just did a beta test on the new site, there's still a few bugs (it's already a month past the initial launch date) but it's pretty impressive. You'll be to do a far more accurate search, inasfaras zooming in on the map the area you want and seeing one of those cute little markers where the houses are.
The site will also incorporate many wonderful tidbits about how important us Realtors are, the great things that we do and how you can't possibly function without us.
http://www.mls.ca/ will stay active for a short time afterwards, but will eventually re-direct to the new http://www.realtor.ca/.
Thursday, May 15, 2008
Yet another market update!
There's not too many questions I can think of that I get more than "how is the market?" - this story has a reasonable take on it.
You can check monthly reports from the Kingston Area Real Estate Association here.
My take - the boom is over, but that's not a bad thing. There's a pattern of moderate price increases over 2007 right now, but nothing huge. Buyers have a lot of great inventory to choose from, which is not good news for sellers, unfortunately. I've seen far too many good listings come on the market overpriced right off the bat, only to realize after 3 weeks that they need to bring that price down - the problem is, the majority of your viewing activity will almost always come in the first 3 weeks. So, sellers, this is not the time to get greedy!
You can check monthly reports from the Kingston Area Real Estate Association here.
My take - the boom is over, but that's not a bad thing. There's a pattern of moderate price increases over 2007 right now, but nothing huge. Buyers have a lot of great inventory to choose from, which is not good news for sellers, unfortunately. I've seen far too many good listings come on the market overpriced right off the bat, only to realize after 3 weeks that they need to bring that price down - the problem is, the majority of your viewing activity will almost always come in the first 3 weeks. So, sellers, this is not the time to get greedy!
Friday, May 9, 2008
FINTRAC
Over the next few weeks, you will hopefully be hearing about some changes to FINTRAC (Financial Transactions and Reports Analysis Centre of Canada).
While we've been obligated for some time to report any cash received over the amount of $10,000, for some reason we've never had to ask for identification before.
So, if you buying or selling anytime after June 23, a few things will be a bit different - you can read about them here (it's fascinating stuff!)
While we've been obligated for some time to report any cash received over the amount of $10,000, for some reason we've never had to ask for identification before.
So, if you buying or selling anytime after June 23, a few things will be a bit different - you can read about them here (it's fascinating stuff!)
Monday, April 21, 2008
The house that straw built
Ok I'm not fussy about the title ... that's from the source. But I am quite fond of this style of construction. I suspect (and hope) these houses will not be newsworthy after a couple of years as they grow in practicality and popularity.
LINK
Public gets rare chance to see inside straw-bale house
What: House constructed from straw bales opens to the public on Earth Day
Where: 1841 Morrison Road near Sydenham
When: Tuesday from 1 to 8 p.m. and Saturday and Sunday from 10 a.m. to 5 p.m.
Owner: Joe Vidal. For more information, e-mail strawhomes@hotmail.com.
I hope to see you there :)
LINK
Public gets rare chance to see inside straw-bale house
What: House constructed from straw bales opens to the public on Earth Day
Where: 1841 Morrison Road near Sydenham
When: Tuesday from 1 to 8 p.m. and Saturday and Sunday from 10 a.m. to 5 p.m.
Owner: Joe Vidal. For more information, e-mail strawhomes@hotmail.com.
I hope to see you there :)
The market is hot! And it's cooling!
Depends on who you ask:
http://www.thestar.com/Business/article/415769
http://www.baytoday.ca/content/news/details.asp?c=25274
The Kingston Area Real Estate Association posts our own take on local statistics - http://creastats.crea.ca/king/.
My take - big price adjustments are happening in Kingston this spring. We're seeing an awful lot of new listings, some sales, and a fair amount of price changes. This trend is likely to continue for the spring and balance out for the rest of the year as sellers and Realtors realize that prices are not going to be increasing this year as they have in the past.
http://www.thestar.com/Business/article/415769
http://www.baytoday.ca/content/news/details.asp?c=25274
The Kingston Area Real Estate Association posts our own take on local statistics - http://creastats.crea.ca/king/.
My take - big price adjustments are happening in Kingston this spring. We're seeing an awful lot of new listings, some sales, and a fair amount of price changes. This trend is likely to continue for the spring and balance out for the rest of the year as sellers and Realtors realize that prices are not going to be increasing this year as they have in the past.
Monday, April 14, 2008
Monday, March 31, 2008
Average female home buyer is 29
According to TD Canada Trust, single female women are most likely to buy a condominium, and the average age seems to be 29.
The article goes into greater depth, but interestingly enough two recent sales I've made were to single women in their mid-to-late 20s buying either apartment or townhouse condominiums.
"Aw, people can come up with statistics to prove anything, Kent. Forty percent of all people know that."
LINK
The article goes into greater depth, but interestingly enough two recent sales I've made were to single women in their mid-to-late 20s buying either apartment or townhouse condominiums.
"Aw, people can come up with statistics to prove anything, Kent. Forty percent of all people know that."
LINK
Tuesday, March 18, 2008
HRV fire hazard
Somehow, The Whig didn't pick up on this a couple of months ago when RealtySource first reported it (even though we included the announcement in their Real Estate section at the time) - but it's good to know anyways.
Some Venmar HRV (heat recovery ventilation) units may be subject to a fire hazard.
"Local fire departments warn that a defect in several brands of heat recovery ventilation systems has created a fire hazard.
Derrick Ethridge, fire inspector for Loyalist Fire and Rescue, said the department has already dealt with a few calls related to the defect. "The motors overheat," Ethridge said.
Loyalist Fire learned about the defect after receiving a release from Drummondville, Que.-based Venmar Ventilation, which asks people who may be affected to immediately turn off and unplug their unit and contact the company at www.venmar.ca or 1-866-441-4645 as soon as possible."
Some Venmar HRV (heat recovery ventilation) units may be subject to a fire hazard.
"Local fire departments warn that a defect in several brands of heat recovery ventilation systems has created a fire hazard.
Derrick Ethridge, fire inspector for Loyalist Fire and Rescue, said the department has already dealt with a few calls related to the defect. "The motors overheat," Ethridge said.
Loyalist Fire learned about the defect after receiving a release from Drummondville, Que.-based Venmar Ventilation, which asks people who may be affected to immediately turn off and unplug their unit and contact the company at www.venmar.ca or 1-866-441-4645 as soon as possible."
Wednesday, March 12, 2008
Home inspections on new homes
Our industry has been making home inspections a critical part of the real estate transaction for some time now, but it's been standard generally only on existing homes.
There's a bit of a movement on now to hire an inspector for new homes as well, the idea being that just because it's new doesn't mean it's perfect. This article in the Toronto Star addresses some of those issues.
There's a bit of a movement on now to hire an inspector for new homes as well, the idea being that just because it's new doesn't mean it's perfect. This article in the Toronto Star addresses some of those issues.
Wednesday, February 27, 2008
'A good year, but not a great year' - Toronto Star
Article in The Star yesterday tells us that the housing is going to cool off this year. And this is where the trick with these articles comes in to play, is that some people don't read the whole thing and they go around telling everyone that's it's a bad time to do anything in real estate cause the values are gonna plunge deep into a dark toilet and we're all screwed! This has happened to me several times recently, where I have to explain that we're still in a period of healthy growth with no signs of anything bad happening. Fact is we've seen such tremendous numbers, particularly since 2002, that having a steadier year isn't all that awful :)
Monday, February 25, 2008
So this guy definitely has a nice hat:
though I don't know if I'd make it the centrepiece of my real estate career.
though I don't know if I'd make it the centrepiece of my real estate career. My hat worked much better in one of my earlier lives:
Wednesday, February 20, 2008
First-time home buyer's seminar!
You are invited to a free seminar for anyone considering buying a property for the first time! Meet with 7 top industry professionals at Chapters (2376 Princess St - Community Room) on Saturday, March 1 at 11 AM. Limited seating available, RSVP preferred by February 27 at seminar@realtysource.com or 613 539 8438.
Don't rely on trial & error to get you through buying your first property. Join us for your introduction to all aspects of a real estate transaction. Our team of knowledgeable and experienced professionals will take you on a step-by-step tour through the home buying process and answer all your questions. It's free, and there's no obligation!
Having an in-depth understanding of the first-time home buying process is a fundamental element to the way we work with you.
Presentations by the following:
- Realtor (me, of course!)
- Mortgage broker (Bernie Harpell)
- Home inspector (Gary Howden)
- Financial advisor (David Sutherland)
- Insurance broker (Rick See)
- Home builder & designer (Tam Falcao/Falcon Homes)
- Lawyer (Akis Vitsentzatos)
I hope to see you there :)
Don't rely on trial & error to get you through buying your first property. Join us for your introduction to all aspects of a real estate transaction. Our team of knowledgeable and experienced professionals will take you on a step-by-step tour through the home buying process and answer all your questions. It's free, and there's no obligation!
Having an in-depth understanding of the first-time home buying process is a fundamental element to the way we work with you.
Presentations by the following:
- Realtor (me, of course!)
- Mortgage broker (Bernie Harpell)
- Home inspector (Gary Howden)
- Financial advisor (David Sutherland)
- Insurance broker (Rick See)
- Home builder & designer (Tam Falcao/Falcon Homes)
- Lawyer (Akis Vitsentzatos)
I hope to see you there :)
Thursday, February 7, 2008
This happens ALL the time ...
http://edition.cnn.com/2008/WORLD/europe/02/07/house.hang.ap/index.html - if it were me, I would have advertised it as "exotic, rare chandelier included in purchase price."
Wednesday, February 6, 2008
Real estate round up
- Centum LaBuick is offering a 50-year mortgage! The last couple of years have seen the introduction of 30-, 35- and 40-year amortizations, and while you pay a higher CMHC premium on these, it keeps your monthly payments lower and you can afford more house than you would get with a standard 25.
- It may soon be standard practice to register at open houses, due to recent theft issues reported in the Kingston area. If you're concerned about the information being used, the OREA standard 'open house guest registration' form has an option to check off that says you wish to not be contacted further.
Realtors will be looking at more ways of protecting ourselves, and our clients, following this disturbing event in Victoria on the weekend.
- Prices still going up? Royal LePage thinks we'll see a 3.5% increase in prices this year. 2007 is widely considered to be a banner year for real estate in terms of selling prices, so having a more moderate and steady 2008 is not really a bad thing.
- It may soon be standard practice to register at open houses, due to recent theft issues reported in the Kingston area. If you're concerned about the information being used, the OREA standard 'open house guest registration' form has an option to check off that says you wish to not be contacted further.
Realtors will be looking at more ways of protecting ourselves, and our clients, following this disturbing event in Victoria on the weekend.
- Prices still going up? Royal LePage thinks we'll see a 3.5% increase in prices this year. 2007 is widely considered to be a banner year for real estate in terms of selling prices, so having a more moderate and steady 2008 is not really a bad thing.
Wednesday, January 30, 2008
'Moderately unaffordable' real estate in Kingston - moderately stupid study finds
Whenever I see the phrase 'think tank' I cringe - basically a company that develops opinions, and is probably funded by another company that wants a certain opinion.
There is no housing crisis, at least not in this country. In fact since I started in real estate in 2006, it's become increasingly easier for people to purchase homes, particularly for the first time. Land Transfer Tax is being waived, there are 0% options (recently extended to investment properties as well), longer amortizations, etc.
Interestingly, many current opinions (be forewarned, this link is slightly self-serving to our industry) say that we're going to have a great year, and prices will hold reasonably steady with 2007.
From The Whig Standard:
If you want a good price on a house and you don't mind living 19 hours north of Kingston, consider moving to Thunder Bay.
The northern city may be the western world's most affordable housing market, according to a survey released yesterday by the Frontier Centre for Public Policy, a Winnipeg-based independent public policy think tank.
The survey of 227 housing markets in Canada, the U.S., the U.K., Australia and New Zealand found Kingston is among 40 moderately unaffordable housing markets.
An online calculator provided by the centre (http://www.fcpp.org/main/citycal.php) indicates the median cost of buying a house in Thunder Bay is about $233,000 less than in Kingston and takes about four years less to pay off, based on the Thunder Bay annual median household income of $58,500.
Despite being ranked, "moderately unaffordable," Kingston fared a lot better than most communities surveyed. A total of 38 were deemed "seriously unaffordable," while 90 were labeled "severely unaffordable."
Canada had three communities in the top 25 least affordable markets and eight communities in the top 25 most affordable markets category.
Thunder Bay was marked the most affordable of all 227 with it costing only 1.8 times the median household income to buy a home.
While it may cost a lot more to buy a house in Kingston than in Thunder Bay, Frontier Centre policy analyst David Seymour said the Limestone City is in pretty good shape.
That's because it's only 0.2 basis points off the median multiple of three that marks the line between an affordable market and an unaffordable one.
"Kingston is in a pretty good position overall," said Seymour. "It's only 0.2 of the median multiple basis point from from two- to three-year affordability zone where the average family can realistically pay off their house and go on to have a good lifestyle without too much trouble."
The 48-page report claims there is a housing affordability "crisis" that is making it difficult for people to buy their own houses. It blames "prescriptive planning" or "smart growth" strategies that aim to restrict the outward growth of cities.
The report says unless homes are in short supply, demand does not drive up prices. Instead, it says, house prices rise as a result of prescriptive planning that sets urban boundaries and drives up the price of property. House prices are also pushed up by infrastructure charges, which communities charge suburban developers who then pass the cost to home buyers, the report says.
"You can have smart growth, but bear in mind that there's a cost and that's the cost to housing affordability to Canadian families," Seymour said.
In Canada alone, there are huge disparities in affordability as well as the rate of change.
For example, in Vancouver 41 per cent of the median household income was required to pay the median mortgage in 2000. By 2007, 71 per cent was required, the report says.
In Ottawa, 18 per cent of the median household income was required to pay the median mortgage in 2000. By 2007, this had risen to just 25 per cent, the report says.
The harm caused by unaffordable housing doesn't just hurt household budgets, Seymour said.There are also social consequences, he said.
With home ownership more out of reach for younger households and lower income earners, it's more difficult to save for retirement. Thus, national pension systems and government assistance programs are more heavily burdened.
The extra money going into paying the mortgage also doesn't get investment in the local community, Seymour said.
While this is the first year Kingston has been examined, he said this city doesn't appear to be in danger of becoming a less affordable housing market.
"The key driver behind housing affordability ... [depends on] the attitude of municipal planners and people being able to purchase and develop land at the city fringes," Seymour said.
A quick look at this municipality's website convinced him that city planning staff are "reasonably reflexive and accommodating" to developers, he said, adding that Kingston also appears to have a lot of space around it, which helps.
"As long as municipalities are prepared to allow people to keep building, then there's no reason why house prices have to go up any further," Seymour said.
There is no housing crisis, at least not in this country. In fact since I started in real estate in 2006, it's become increasingly easier for people to purchase homes, particularly for the first time. Land Transfer Tax is being waived, there are 0% options (recently extended to investment properties as well), longer amortizations, etc.
Interestingly, many current opinions (be forewarned, this link is slightly self-serving to our industry) say that we're going to have a great year, and prices will hold reasonably steady with 2007.
From The Whig Standard:
If you want a good price on a house and you don't mind living 19 hours north of Kingston, consider moving to Thunder Bay.
The northern city may be the western world's most affordable housing market, according to a survey released yesterday by the Frontier Centre for Public Policy, a Winnipeg-based independent public policy think tank.
The survey of 227 housing markets in Canada, the U.S., the U.K., Australia and New Zealand found Kingston is among 40 moderately unaffordable housing markets.
An online calculator provided by the centre (http://www.fcpp.org/main/citycal.php) indicates the median cost of buying a house in Thunder Bay is about $233,000 less than in Kingston and takes about four years less to pay off, based on the Thunder Bay annual median household income of $58,500.
Despite being ranked, "moderately unaffordable," Kingston fared a lot better than most communities surveyed. A total of 38 were deemed "seriously unaffordable," while 90 were labeled "severely unaffordable."
Canada had three communities in the top 25 least affordable markets and eight communities in the top 25 most affordable markets category.
Thunder Bay was marked the most affordable of all 227 with it costing only 1.8 times the median household income to buy a home.
While it may cost a lot more to buy a house in Kingston than in Thunder Bay, Frontier Centre policy analyst David Seymour said the Limestone City is in pretty good shape.
That's because it's only 0.2 basis points off the median multiple of three that marks the line between an affordable market and an unaffordable one.
"Kingston is in a pretty good position overall," said Seymour. "It's only 0.2 of the median multiple basis point from from two- to three-year affordability zone where the average family can realistically pay off their house and go on to have a good lifestyle without too much trouble."
The 48-page report claims there is a housing affordability "crisis" that is making it difficult for people to buy their own houses. It blames "prescriptive planning" or "smart growth" strategies that aim to restrict the outward growth of cities.
The report says unless homes are in short supply, demand does not drive up prices. Instead, it says, house prices rise as a result of prescriptive planning that sets urban boundaries and drives up the price of property. House prices are also pushed up by infrastructure charges, which communities charge suburban developers who then pass the cost to home buyers, the report says.
"You can have smart growth, but bear in mind that there's a cost and that's the cost to housing affordability to Canadian families," Seymour said.
In Canada alone, there are huge disparities in affordability as well as the rate of change.
For example, in Vancouver 41 per cent of the median household income was required to pay the median mortgage in 2000. By 2007, 71 per cent was required, the report says.
In Ottawa, 18 per cent of the median household income was required to pay the median mortgage in 2000. By 2007, this had risen to just 25 per cent, the report says.
The harm caused by unaffordable housing doesn't just hurt household budgets, Seymour said.There are also social consequences, he said.
With home ownership more out of reach for younger households and lower income earners, it's more difficult to save for retirement. Thus, national pension systems and government assistance programs are more heavily burdened.
The extra money going into paying the mortgage also doesn't get investment in the local community, Seymour said.
While this is the first year Kingston has been examined, he said this city doesn't appear to be in danger of becoming a less affordable housing market.
"The key driver behind housing affordability ... [depends on] the attitude of municipal planners and people being able to purchase and develop land at the city fringes," Seymour said.
A quick look at this municipality's website convinced him that city planning staff are "reasonably reflexive and accommodating" to developers, he said, adding that Kingston also appears to have a lot of space around it, which helps.
"As long as municipalities are prepared to allow people to keep building, then there's no reason why house prices have to go up any further," Seymour said.
Tuesday, January 22, 2008
First-time buyers holding their own
New article with some interesting stats on first-time buyers. Buying a home has never been easier and more affordable, with the Ontario government expanding the Land Transfer Tax rebate for first-timers (up to $2000, which covers a purchase price of $227,500 or less). The former program was solely for new home purchases, but now covers all purchases (specifically existing properties). Mortgages are also being offered with more attractive premiums for unconvential mortgages (20% down as opposed to 25%), longer amortizations (30, 35, 40), and zero down options all make buying a home considerably easier. The last 4 properties I've sold have been to first-time buyers.
Incidentally, Kingston's price per square foot currently resides somewhere in the $160/psf range for new homes.
Despite years of escalating house prices across Canada, first-timer buyers are successfully financing and buying homes that meet their needs, says a national survey by Century 21 Canada brokers.
Don Lawby, president of Century 21 Canada, says first-time buyers have maintained their presence in the housing market by combining innovative buying and financing strategies with practical compromises.
“First-time buyers often enter the market with an unrealistic list of expectations, but soon find they need to decide on a smaller house or accept a longer commute time,” says Lawby. Once they choose a home, first-time buyers must tailor mortgage terms to meet their circumstances and lifestyles, he says. “Savvy first-time buyers are asking mortgage brokers to sort through the dozens of alternatives available from banks and other lending institutions.”
He says more first-timers are also getting a significant down payment from their boomer parents as an advance on their inheritance. “In other cases, parents are providing no or low interest loans to help their kids get into the market.”
The Century 21 national house price survey of typical first-time homes included 128 neighbourhoods within 55 cities and towns across Canada.
The most expensive cities for first-time buyers based on price per square foot are Vancouver, where a 412-square-foot condo in the downtown is $281,000 or $682 per square foot; the Toronto suburb of Thornhill, where an 800-square-foot bungalow on a 3,500-square-foot lot is $480,000, or $600 per square foot; and downtown Toronto, where a 340-square-foot condo in trendy Liberty Village is $200,000 or $588 per square foot.
The least expensive cities for first-time buyers based on price per square foot are St. John’s (2,150-square-foot two-storey bungalow, $170,000 or $79 per square foot), Halifax (1,408-square-foot semi-detached house, $129,900 or $92 per square foot), Windsor, Ont. (850-square-foot 1½-storey house, $91,000 or $107 per square foot), London (1,000-square-foot townhouse, $120,000 or $120 per square foot), and Sudbury (969-square-foot 1½-storey house, $140,000 or $144 per square foot).
The survey also found that the most expensive smaller centres for first-time buyers based on price per square foot are Fort McMurray, Alta., where the oil sands boom continues (1,120-square-foot bungalow, $565,500 or $505 per square foot), and Canmore, Alta., in the majestic Rockies just east of Banff National Park (1,100-square-foot townhouse, $445,000 or $405 per square foot).
The most affordable prices in smaller centres for first-time buyers based on price per square foot are in Fort Erie, Ont., 30 kilometres south of Niagara Falls on Lake Erie (1,157-square-foot 1½-storey house, $96,000, or $83 per square foot), Summerside, PEI (1,083-square-foot 1½-storey house, $89,900, or $83 per square foot), and Yorkton, Sask., 190 kilometres east of Regina (896-square-foot bungalow, $83,000, or $93 per square foot).
From: http://www.remonline.com/remonline/detail.aspx?dt=1051179&menu=26&app=153&cat1=473&tp=12&lk=g
Incidentally, Kingston's price per square foot currently resides somewhere in the $160/psf range for new homes.
Despite years of escalating house prices across Canada, first-timer buyers are successfully financing and buying homes that meet their needs, says a national survey by Century 21 Canada brokers.
Don Lawby, president of Century 21 Canada, says first-time buyers have maintained their presence in the housing market by combining innovative buying and financing strategies with practical compromises.
“First-time buyers often enter the market with an unrealistic list of expectations, but soon find they need to decide on a smaller house or accept a longer commute time,” says Lawby. Once they choose a home, first-time buyers must tailor mortgage terms to meet their circumstances and lifestyles, he says. “Savvy first-time buyers are asking mortgage brokers to sort through the dozens of alternatives available from banks and other lending institutions.”
He says more first-timers are also getting a significant down payment from their boomer parents as an advance on their inheritance. “In other cases, parents are providing no or low interest loans to help their kids get into the market.”
The Century 21 national house price survey of typical first-time homes included 128 neighbourhoods within 55 cities and towns across Canada.
The most expensive cities for first-time buyers based on price per square foot are Vancouver, where a 412-square-foot condo in the downtown is $281,000 or $682 per square foot; the Toronto suburb of Thornhill, where an 800-square-foot bungalow on a 3,500-square-foot lot is $480,000, or $600 per square foot; and downtown Toronto, where a 340-square-foot condo in trendy Liberty Village is $200,000 or $588 per square foot.
The least expensive cities for first-time buyers based on price per square foot are St. John’s (2,150-square-foot two-storey bungalow, $170,000 or $79 per square foot), Halifax (1,408-square-foot semi-detached house, $129,900 or $92 per square foot), Windsor, Ont. (850-square-foot 1½-storey house, $91,000 or $107 per square foot), London (1,000-square-foot townhouse, $120,000 or $120 per square foot), and Sudbury (969-square-foot 1½-storey house, $140,000 or $144 per square foot).
The survey also found that the most expensive smaller centres for first-time buyers based on price per square foot are Fort McMurray, Alta., where the oil sands boom continues (1,120-square-foot bungalow, $565,500 or $505 per square foot), and Canmore, Alta., in the majestic Rockies just east of Banff National Park (1,100-square-foot townhouse, $445,000 or $405 per square foot).
The most affordable prices in smaller centres for first-time buyers based on price per square foot are in Fort Erie, Ont., 30 kilometres south of Niagara Falls on Lake Erie (1,157-square-foot 1½-storey house, $96,000, or $83 per square foot), Summerside, PEI (1,083-square-foot 1½-storey house, $89,900, or $83 per square foot), and Yorkton, Sask., 190 kilometres east of Regina (896-square-foot bungalow, $83,000, or $93 per square foot).
From: http://www.remonline.com/remonline/detail.aspx?dt=1051179&menu=26&app=153&cat1=473&tp=12&lk=g
Saturday, January 19, 2008
The toilet seat world of real estate
A great show on CBC radio, GO!, had a highly entertaining today focusing on some highly entertaining takes on the Vancouver real estate market. Unfortunately I was in and out of the car and had to miss a few bits, but it featured Cam Phillips exposing a few real estate cliches like 'central location,' 'motivated seller,' ' character home,' etc.
They also discussed 'lookie loos' - which is a phrase I first heard in this great video. Enjoy!
They also discussed 'lookie loos' - which is a phrase I first heard in this great video. Enjoy!
Monday, January 14, 2008
604 Stanford Street
It'd be foolish of me not to shamelessly promote my own listings occasionally - though the majority of the posts here will be more on real estate-related news, projections, personal commentary, etc.
Huge lot, approx. 3000 sq. ft. of finished living space, needs updating, vendors willing to consider all offers!
Friday, January 11, 2008
Kingston-area housing starts likely to dip this year, analyst predicts
Interesting stats and comments here (though not sure about 'harsher weather' this January, confusing weather perhaps?!). 2008 should be a good year for the condo market as the Royal George nears completion, Admirals Walk begins construction, and it looks like Caraco will have a new high-rise in the West End.
From today's Whig-Standard:
The number of new houses being built in the Kingston area is expected to decline this year, the Canada Mortgage and Housing Corporation's analyst for Kingston said yesterday.
Housing data released by the CMHC yesterday shows housing starts skyrocketed in the fourth quarter of 2007, reversing a four-year downward trend. But CMHC market analyst Abdul Kargbo said he doesn't think the growth will last.
"For 2008, we're expecting a downward trend in total starts and single-housing starts are actually going to go down," Kargbo said.
From October to December, construction began on 240 new houses in the Kingston Census Metropolitan Area, 100 more than the same period in 2006. The Census Metropolitan Area includes Kingston, Frontenac Islands, Loyalist Township and South Frontenac.
Kargbo attributed the spike to predictions of a long, harsh winter. Instead of waiting until spring to start putting up new homes, local builders took advantage of milder temperatures to lay foundations in November, he said.
"People are expecting harsher weather [in] January through the rest of the winter, so I strongly believe, as a result of it, the builders decided to lay as many foundations as possible," he said.
While November's housing starts spiked at 129, December's were historically normal at 83.
"It was the highest since May of 1989 ... [when] we had 130 starts," Kargbo said of November's data.
While the number of new houses built has been falling over the last four years, the number of existing houses sold is rising.
Kargbo said that's because prices of new homes have been extremely high since 2005 and people are seeing better value in previously owned homes. Meanwhile, no apartment buildings were completed in the fourth quarter of 2007.
Kargbo said developers may have decided they built enough units in 2006 and 2007 for the short term.
n total, construction began on 280 apartment units in 2007, 207 fewer than 2006.
Kargbo said that decline represents a more typical level of activity.
From today's Whig-Standard:
The number of new houses being built in the Kingston area is expected to decline this year, the Canada Mortgage and Housing Corporation's analyst for Kingston said yesterday.
Housing data released by the CMHC yesterday shows housing starts skyrocketed in the fourth quarter of 2007, reversing a four-year downward trend. But CMHC market analyst Abdul Kargbo said he doesn't think the growth will last.
"For 2008, we're expecting a downward trend in total starts and single-housing starts are actually going to go down," Kargbo said.
From October to December, construction began on 240 new houses in the Kingston Census Metropolitan Area, 100 more than the same period in 2006. The Census Metropolitan Area includes Kingston, Frontenac Islands, Loyalist Township and South Frontenac.
Kargbo attributed the spike to predictions of a long, harsh winter. Instead of waiting until spring to start putting up new homes, local builders took advantage of milder temperatures to lay foundations in November, he said.
"People are expecting harsher weather [in] January through the rest of the winter, so I strongly believe, as a result of it, the builders decided to lay as many foundations as possible," he said.
While November's housing starts spiked at 129, December's were historically normal at 83.
"It was the highest since May of 1989 ... [when] we had 130 starts," Kargbo said of November's data.
While the number of new houses built has been falling over the last four years, the number of existing houses sold is rising.
Kargbo said that's because prices of new homes have been extremely high since 2005 and people are seeing better value in previously owned homes. Meanwhile, no apartment buildings were completed in the fourth quarter of 2007.
Kargbo said developers may have decided they built enough units in 2006 and 2007 for the short term.
n total, construction began on 280 apartment units in 2007, 207 fewer than 2006.
Kargbo said that decline represents a more typical level of activity.
Subscribe to:
Posts (Atom)
