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June 1, 2022 Yash Paliwal Comments Off on Canadian Housing Industry boom finally dwindling For Buyers, More Info, News

Canadian Housing Industry boom finally dwindling

Is the Canadian Housing Industry boom finally dwindling?

The greatest boom in the Canadian real estate and housing industry is finally coming to a halt after two years

Economists fear that this slowdown can cause a fall of around 10-20% in home prices this year.

While the national economy is recovering post-pandemic, soaring interest rates have also made a major dent on the Canadian real estate market.

National home sales dropped by 12.6% on a month-over-month basis which records the lowest level of monthly activity since the summer of 2020.
Actual monthly activity came in 25.7% below the monthly record set in 2021.
The sales-to-new listings ratio has declined to 66.5%, its lowest since June 2020.

The pandemic rushed the housing industry to new heights. Both 2020 & 2021 broke all previous yearly records for real estate sales exceeding demand over available supply. Despite odds, the historically low-interest rates during the pandemic helped the market for this rapid shoot-up.

CREA’s (Canada Real Estate Association) April stats

While market experts predicted a correction from Covid-time market levels, it was somewhat uncertain when and how it would happen. As soon as the Bank of Canada shifted its policies in recent months, as precedent, the interest rates started to rise causing a decline in the housing market.

Canadian GDP numbers have also slowed down in the first quarter of 2022. However, economists are still confident that the national economy holds firm grounds. Another raise in interest rates of 50 basis points by the Bank of Canada came in on June 1. We recently saw an increase of half a percent in April. Another raise lead to a policy rate of 1.5%, a quarter-point below the pre-pandemic levels.

The higher borrowing costs are going to affect several markets. Home prices will also be affected as mortgage rates are rising based on these new economic policies.

According to Mr. Kavcic, Bank of Montreal senior economist, when we talk about housing correction, it is not whether it will happen, but it’s about where, how much, and how long. He says that the suburban markets in Ontario look the shakiest.

There has also been a sudden change in buyer sentiment in the last few weeks. Realtors are noticing zero offers on some homes even after spending weeks on the market, in contrast to a previous couple of years during the pandemic when homes lured dozens of bidders and sold for several thousands of dollars above the listed price.

First Time Home Buyer Seminar
May 9, 2022 Yash Paliwal Comments Off on Immigration and Canada’s economic recovery For Buyers, More Info, News

Immigration and Canada’s economic recovery

IMMIGRATION AND CANADA'S ECONOMIC RECOVERY

permanent residents Canada

The Numbers Are Looking Good

In 2021, Canada welcomed a number of permanent residents, more then 405,000.

Immigration accounts for almost 100% of Canada’s labor force growth and nearly 80% of our population growth.

Canada regained many of the Jobs lost during the pandemic, but there remain 960,000 unfilled positions across all sectors.

Strong Economic Need for Increased Immigration

By 2030, 5 million Canadians are set to retire and the worker to retiree ratio Will drop down to only 3:1.

This is a clear sign that we have a strong economic need for increased immigration.

The 2022-2024 Immigration Levels Plans aims to welcome 431,645 permanent residents in 2022, 447,055 in 2023 and 451,000 in 2024.

By 2024, overall admissions Will amount to 1.14% of the Canadian population with nearly 60% of admissions in the Economic Class.

SOURCE
Member of Parliament
Mississauga – Malton
Spring 2022 Newsletter

Canada Immigration
First Time Home Buyer Seminar
Picture by Blake Wheeler on Unsplash
May 6, 2022 Yash Paliwal Comments Off on April home sales down 41% from last year, 27% since March: Toronto realty board For Buyers, More Info, News

April home sales down 41% from last year, 27% since March: Toronto realty board

TORONTO – Prospective homebuyers saw clear signs of a cooling Toronto market in April as the region’s real estate board reported sales dropped by about 41 per cent since last year and 27 per cent from a month earlier.

The Toronto Regional Real Estate Board said Wednesday that April sales amounted to 8,008 across the region, down from 13,613 during the same month last year and 10,939 in March.

The board attributed much of the decline to homebuyers who are taking a break from the market to reassess how they will change up their strategy as interest rates climb and reduce their buying power.

“We’ve seen a change in the market … business is still happening, but it’s not as crazy,” said Despina Zanganas, a Toronto Realtor with PSR Brokerage.

“What I’ve seen is a lot of properties just sitting on the market.”

Months ago, it was hard for her to even secure a booking to visit some condos listed for sale, but now viewings have plunged. She often sees condos receive only one or two visits a day from prospective buyers, leading her to believe demand has slowed.

The slowing is most pronounced in the area surrounding Toronto known as the 905, which includes municipalities such as Mississauga, Brampton, and Markham. TRREB found the year-over-year decline in sales was greatest in the 905 last month and was particularly apparent in the detached housing category.

Sales of detached homes in the 905 totalled 2,732, a more than 47 per cent plunge from the year before, while the market’s 1,033 townhouse sales amounted to a 44 per cent drop. There were 491 sales of semi-detached homes in the 905 last month, a 40 per cent fall from the year before, and the 685 condo sales decreased by roughly 32 per cent.

April detached home sales in the city of Toronto, which is linked to the 416 area code, reached 868, a 34 per cent drop from a year before, and semi-detached home sales fell 26 per cent to 311. Townhouse sales for the month amounted to 335, a 42 per cent fall from the same month a year earlier, while 1,488 condos sold in April, down 35 per cent from the same month in 2021.

The drops in sales also weighed on home prices, which have been climbing steadily for much of the COVID-19 pandemic and were often fuelled by bidding wars and intense competition.

April’s average home price for Greater Toronto reached more than $1.2 million, down from about $1.3 million the month before.

However, April’s average price was still up by about 15 per cent from the year before, when the average price was more than $1 million.

Zanganas believes it is taking time for sellers to adjust to the market’s current conditions.

“A lot of these sellers are not accepting the reality of what’s happening, so they’re still overpricing their properties and expecting like $200,000 over,” she said

Last weekend, she viewed several homes, which had offer dates and didn’t yield the kind of bids sellers were hoping for.

The sellers have since increased the price, but a lot of these homes have been sitting on the market for about 20 days, far longer than they would have earlier this year or last, when conditions were heated and homes sold in little time.

TRREB previously predicted the average selling price across all home types would be more than $1.2 million by the end of 2022.

“It is anticipated that there will be enough competition between buyers to support continued price growth relative to 2021, but the annual pace of growth will moderate in the coming months,” said Jason Mercer, TRREB’s chief market analyst, in a release.

Price growth and supply are being closed watched because buyers and brokers spent the start of the year bemoaning a lack of listings and predicting that the spring market would turn things around.

April’s new listings dropped by about 12 per cent to 18,413 from 20,841 during the same month the year before, TRREB found.

Many clients have yet to list their properties because they are anxious about how the market will respond to interest rates, the forthcoming Ontario election, Russia waging war in the Ukraine and soaring inflation, said Zanganas.

“There’s so much in the air right now that people just are waiting to see what happens and they’re waiting to pull the trigger, but there’s definitely a lot of people who want to get in.”

December 13, 2021 Yash Paliwal Comments Off on National Bank of Canada Calls 2022 “The Year of The Hike,” Sees Rates 6x Higher For Buyers, More Info, News

National Bank of Canada Calls 2022 “The Year of The Hike,” Sees Rates 6x Higher

One of Canada’s “Big Six” banks is declaring next year to be “The Year of The Hike.” National Bank of Canada (NBC) chief strategist (and poet-in-residence) Warren Lovely is calling the first interest rate hike in just a few months. He sees the Bank of Canada (BoC) making its hike in March, way ahead of schedule. Over the next year, the overnight rate is forecast to recoup much of the ground lost during the pandemic. However, Canada’s real estate bubble will prevent it from going much further. Since the country went all-in on housing, it can’t pursue more aggressive policies like healthier economies. 

The Bank of Canada Will Hike Rates In March

Canada is expected to wind up its overly easy monetary policy pretty fast. Next year, National Bank sees five full, 0.25 basis point (bp) hikes. The first will be in March, bringing the overnight rate to 0.50% about a month before the BoC forecast. The only other institution to call a hike that early is BMO. However, mounting inflation pressures might force others to adjust in the coming weeks. 

The remaining four hikes to the BoC’s overnight rate are forecast throughout the year. The second and fourth quarters are expected to see one full 0.25 bp hike each. In the third quarter, they see two full hikes. Canadians should see the overnight rate at 1.50% in one year, 6x the current level. That’s going to be a significant change. 

Canada’s Real Estate Bubble Will Prevent Rates From Rising Too Fast

In 2023, they don’t see much more happening due to Canada’s real estate bubble. The bank only sees one more rate hike, topping out the country at 1.75% — the lower bound for the neutral rate. A neutral rate is the level of interest where money is cheap enough to support full employment but high enough to control inflation. According to the BoC’s last estimate, the neutral rate for Canada is between 1.75% to 2.75%. 

The reason NBC only sees the rate rising to the lower bound is “interest-sensitive demand in the economy.” It’s a friendly way of calling out Canada’s real estate bubble, which is now so big it weighs policy decisions. “We don’t see the BoC as wanting to crush one of the main drivers of Canadian economic activity,” said Warren. 

National Bank sees interest rates rising earlier than most other forecasts but ending faster. For example, Scotiabank sees interest rates climbing in the second half of next year. However, they also see rates rising closer to the middle of the neutral range, ending hikes around 2.25% in 2023. A slower start but higher rise compared to the NBC forecast. 

While National Bank’s forecast is lower, it’s higher than the current rate, and that’s going to throttle credit. The forecast is the same level before the recession began, which had slowed home sales. It wasn’t until the end of 2019 when the BoC began providing mortgage liquidity injections, that the market picked up.

Daniel Wong. (2021, December 11). National Bank of Canada Calls 2022 “The Year of The Hike,” Sees Rates 6x Higher. Betterd Welling Website.

July 16, 2020 editor Comments Off on The Challenges Of COVID-19 For Buyers, More Info, News

The Challenges Of COVID-19

How The Real Estate Industry in Canada Adapted Through The Challenges Of COVID-19

Before the pandemic began in Canada, the typical situation for realtors in selling properties is conducting open homes, arranging private showings, etc. However, Conducting Open Houses are currently banned by the Toronto Real Estate board because of the prevailing health hazard. While COVID-19 challenged everyone who wanted to sell property, the real estate industry transformed itself to adapt and resume the business.

The Challenges That COVID-19 Brought to Real Estate in Canada

The government of Canada and Ontario is doing everything they can to protect the health of citizens in Great Toronto and in Peel region of Ontario, including the restrictions for public gatherings. It challenged the realtors, builders, and preconstruction teams to find new sellers in the real estate market. The reduced competition also caused rarer discounts. It encouraged realtors to hold off buying and selling unless they have to.

Another challenge is the increased doubt of lenders and mortgage brokers. They are more careful than ever because of the rent strikes that existed in some places last April. The crisis caused buyers and tenants to face a loss of income from their businesses and Jobs, affecting their ability to pay.

The ‘New Normal’ In Real Estate

Everyone in the real estate industry is continually looking for solutions to operate safely, following government protocols. One new solution they have found is using technological advancements. Realtors conduct virtual open houses for their clients online through a live stream. They equip reliable technical gear to entertain every client and elaborate on the actual measurements.

The experience of an actual open house is different from a virtual one. Because clients tend to gather at a specific schedule, the video conference only requires less than an hour to view the property. However, technology still cannot replicate the emotional element that a real viewing can provide. These changes are gradually becoming the “new normal,” while the internet serves as a standard media.

The decline of sales forced some realtors to conduct strategies such as going door-to-door to search for a new seller or a new buyer. This practice puts everyone’s health at risk, and these agents can face disciplinary actions from the government. Thus, the best way to find a client is by increasing the online presence of the property listing.

Photo by Gus Ruballo on Unsplash

February 17, 2020 Yash Paliwal Comments Off on Home Buying Toronto, Mississauga, ON, Canada. Offer Presentation Process Negotiation Bidding War For Buyers, More Info, News

Home Buying Toronto, Mississauga, ON, Canada. Offer Presentation Process Negotiation Bidding War

How to the find the best Real Estate Agent in Canada? Offer presentation and Negotiations explained for home buyers in Canada

For the buyers and specially First Time  home buyers in Ontario, Canada:

Many buyers – when making an offer to buy a property, house  in Canada are not fully aware as how the offer presentation/negotiation system works or what is the common practice  for the sellers to deal with their offers.

What is an Offer ? Offer is the common term for an Agreement of Purchase and sale (APS) which is prepared by the Real Estate Agent or your Realtor for you and to be presented to the seller on your behalf. Usually the offer is presented through the sellers agent or the listing agent in Ontario, Canada.

In Canadian real estate home buying or selling process, usually – Buyers and sellers never meet for negotiations face to face or even talk directly to each other.

So you are all dependent on your Real Estate agent who is representing you in the process.

How much Commissions do I have to pay for buying a house/Condo? In Ontario Canada 99% Time you don’t have to pay any commission or any kind of fee to your Real Estate Agent, When you are buying a house or a Condo apartment. Your agent  gets paid through the seller. In other words seller pays the commission for their Real Estate agent as well as for the buyer’s agent.

So, if you are a home buyer you get the free services of your agent. Your REALTOR is the most important person in your home buying process in Ontario, Canada. Because he is the only one dealing on your behalf. You trust him with the Biggest purchase of your life.  It is all about the knowledge, experience, professionalism, honesty  and skill set of your real estate agent who is working for you.

In realty most situations your agent must also work as your consultant, but in 95% cases they fail to deliver honest and valuable advice.  As on October 2022 there are around 70,000 agents in Greater Toronto area (GTA) and out of these 5% of these 70,000 agents do 95% of Total business. So, 95% of GTA agents are doing hardly 1 to 6 deals in the whole year. In other words either they are new, not very knowledgeable and successful or may be a part time agents. So, you need to find an agent who is at least 10+ Year experienced and has a track record of doing at least 25 deals every year and on top of that enjoys a great ranking on RankMyagent.com , Only most authentic Web portal approved and recommended by REALTOR.CA and RE/MAX.CA

As often, many agents are more concerned to make the deal happen ASAP so that they may get paid.

It is very hard to comprehend for the first time home buyers or even if you are buying a property after long time that how important is the selection of a right and good realtor/agent.

Now the question is: How to find a great and honest real estate agent in Greater Toronto Area, Brampton, Milton and Mississauga?

Now Let us look at the different scenarios of how your offer or Agreement of Sale and Purchase is dealt with.

For the protection of buyers and consumers in Ontario, Canada the format of the offer document is prescribed by the Ontario Real Estate Association known as OREA.

Scenarios # 1 : Yours is the only  offer on the table.

Your (Buyer) agent will find out from the seller’s agent that yours is the only offer in the hand of sellers–that means no one else is competing against you in this transaction. That is the best situation for you to negotiate with the Sellers. (Well many factors will decide – how much you may negotiate).

Scenarios # 2 : Yours is the NOT the only  offer on the table.

This is NOT a good situation for you as now you are going to compete against the other offer.

Now, What will happen and how your offer will be dealt with ?

  • Sellers agent is NOT supposed to inform your agent – what the value (Price and other terms) of this offer.
  • You may only find out total # of offers you are competing with.
  • Sellers will and have to pick and choose  only one offer out of multiple (2 or more) offers to work with

Sellers will select the best offer in their interest and situation, based upon many merits and reasons.

  1. Price on the offer
  2. Conditions in the offer.
  3. What are the implications? 
  4. Sellers will and have to pick and choose  only one offer?

That means if yours is not the best offer – it will not be picked – in this out of multiple (2 or more) offers to work with.

The whole process in multiple offers or commonly known as bidding war  situations is very complex. This is the real acid test of your Realtor and this is the time you will find out if your agent is doing his/her job most honestly and only in your best interest.

It is the time when most agents are unable to handle it or cope up with it. 

At such times , Only a highly skilled, experienced and honest agent may deliver the best results in your best interest.

Interested to understand the whole process better?

Have questions–What if?

Ask for the information to attend a “ First Time Home Buyer Seminar in Ontario” or for a Face to face meeting for a clear understanding of the home buying process in Canada.

Get in touch with highly acclaimed and RE/MAX International -Hall of fame, Platinum Club award winner RE/MAX  TEAM Paliwal today !

December 2, 2017 akanksha No Comments More Info

Common Mistakes of Home Sellers

1. Failure to effectively market the property

Good marketing distinguishes your home from hundreds of others on the market, selling its benefits not just its features. Open houses and print advertising (the most obvious) are only moderately effective. Only 1% of homes are sold at open houses, and just 3% of people purchased their homes after seeing a print ad! Your Realtor© should be using other methods as well to attract prospects. Ask your sales professional to provide a list of things they will do to market your home.

2. Basing your asking price on needs or emotion not market value.

Many sellers base their pricing on what is termed as Subjective Value. To an appraiser, subjective value is based on emotions. For example, how much a seller paid for their home, how much they love their home, and overall pride of ownership is considered subjective value. Objective Value, is what ALL appraisers base the true value of a property.

Setting the asking price of a property should always be based on Market Value. Appraisers call this objective value. Objective value looks at the condition of the property; it’s location, what properties with similar features in the same area are selling for, what other properties in the same area are listed for, and the overall condition of the economy and real estate market.

If your home is not priced competitively, homebuyers will prefer larger or better homes in the same price range, increasing your time-to-sell. When your price is later lowered, buyers may be wary because they suspect other reasons the house has remained unsold so long.

3. Failing to “present” the home

A property that is not clean or well maintained often suggests hidden defects that increase the total cost of ownership. Sellers should make necessary repairs, and spruce up the house inside and out, keep it clean and neat, or risk chasing away buyers brought in by realtors. Buyers will leave themselves a large margin for error for the cost of repairs, reducing their offer price. As a home sellers you may also take the services of Home Stager professionals.

4. Over-improving your home before you sell it

Most buyers will base their decision on purchasing a home based on how they feel about the kitchen and bathrooms. If these areas of the home meet both their emotional and physical needs it makes it easier to sell a home. It is a good idea to get a real estate professional to do a market assessment of what your home is worth BEFORE improvements. The next step would be to get a written estimate for improvement costs; then have your real estate professional give you an update on the market value to determine how much more money your home will sell for AFTER improvements are made. This will let you know whether it makes sense to upgrade your home first, then put it on the market, or to just put it on the market for sale the way it is.

Sellers may spend thousands of dollars doing the wrong upgrades to their home prior selling, expecting to recoup this cost. If you are thinking of selling, ask your Mississauga Remax real estate agent Gyanesh ‘Rana’ which upgrades are cost effective. Typically the most important and saleable areas of any home are the kitchen and bathrooms.

5. Choosing the wrong Realtor© or choosing for the wrong reasons

Many homeowners list with the agent who tells them the highest price, or a popular Real Estate company in the area. Remember it is NOT the sign that sells a home it is the real estate sales agent. Sellers should always choose the sales agent who will be most committed to you and the one the seller thinks has the best negotiating skills. More negotiating skills could mean a higher price at the negotiating table, selling in less time, and with less hassles along the way.

6. Failing to take the first offer seriously

Many sellers believe that the first offer received will be one of many to come, hoping to hold out for a higher price, especially if the offer comes in soon after the home is listed. Often the first offer ends up being the best buyer, and many sellers have had to accept far less money than the initial offer much later on in the selling process. The first 2 weeks of the listing term is critical. It is this time that the home will usually get MOST of its action. Do NOT let how quickly the offer came in determine your decision to accept it or not.

7. Using the “Hard Sell” during showings.

Buying a home is an emotional decision, and buyers are looking to see if a house is comfortable for them. Good Realtors© let the buyers discover the home’s features on their own, pointing out only features they are sure are important to them. Overselling your home during showings make buyers think they are paying for features that are not important to them and can lose the sale.

8. Not knowing your rights and obligations

The contract you sign to sell (The Listing Agreement) your property is a complex and a legally binding document. An improperly written contract can allow the purchaser to void the sale, or cost you thousands of unnecessary dollars. Have your Realtor© fully explain the contract or have your lawyer review it before acceptance.

December 2, 2017 akanksha No Comments More Info

Benefits And How To Buy: For First Time Home Buyers in Great Toronto Area, Ontario Canada

BUYING A NEW HOME FOR THE FIRST TIME?

Being a first time home buyer doesn’t have to be hard.

Buying your first home can be a very exciting time! With tons of things to know and learn however, it can seem overwhelming. Which is why The RE/MAX Team at Real Value Home is doing our very best to simplify the whole process. What you want to know, what you need to know, and perhaps a few things you’ve never even considered. Browse through our simple step by step: 8 steps home buyers guide. In fact what you need is: face to face and Free consultation by experienced and professional real estate agents to understand the step by step process, different types homes and type of home options available to you within your price range. Fortunately world’s best known company and brand RE/MAX offers such totally FREE First Time Home Buyer Class from their Mississauga office for all areas of Greater Toronto area, Durham region, Halton and Hamilton region in Ontario Canada.

Neighborhood and Type of House?

What neighborhood you’re interested in? Single detached or townhome? Square footage and upgrade packages? If you’ve never purchased a home before these are things you may never even know you had to think about.

Where do you want to live?

It may sound like a simple question but it seems to be the most obvious: where do you want to live? Consider the city’s convenience versus more relaxed rural settings. Suburbs versus downtown. As a rule, considering the needs of your family is the best way to decide where to live. In fact, a recent study by found that 90% of first-time buyers settled on the neighborhood where they wanted to live before choosing the actual home they wanted to buy.

What type of home to buy?

Once you know where you want to live you need to decide what you want to live in. Detached, semi-detached, townhome, condo? Semi-detached homes or townhomes are usually less expensive than comparably sized detached single family dwelling. If having neighbors close to you are OK then this is perfect. If you prefer a little more space to call your own however perhaps a detached home would be more to your liking. Condos are great if you’re looking for extensive fitness and social amenities but remember, you pay for them in the initial cost and in the monthly condo fees, whether you use them or not.

Figuring out what you can afford

The easiest way is to figure out what you can afford is by examining your income, expenses, investments, savings and debt. When you do that, try to keep in mind inevitable expenses such as a wedding, new car, etc., etc.) And always keep a little extra for items such as legal fees, real estate agent fees, land transfer fees, and mortgage insurance to name but a few.

A professional and experienced real estate agent may help you to calculate these numbers and connect you with suitable lenders and mortgage professionals to find out as how much mortgage / Loan you may get. That will finally determine you’re your home purchase price range.

May I withdraw money for down payment for my first home purchase in Canada from my Registered Retirement Savings Plan (RRSP) ?

Yes, This program simply allows prospective homebuyers to borrow money from their own RRSP’s to buy a home. Similar to a loan this money must be paid back within a specified time frame. You must be an RRSP holder, a resident of Canada and a first-time homebuyer to qualify. The plan allows you to withdraw up to $35,000.00 tax free from your RRSP to purchase your home, provided it is paid back within 15 years. If these funds are going to be used for a down payment they must have been deposited at least 90 days before you sign your agreement of purchase and sale.

If me and my spouse both qualify to participate or Withdraw under the HBP?

Yes, each of you may withdraw up to $35,000 from your own RRSPs for a combined maximum withdrawal of $70,000. You can make a single withdrawal or a series of withdrawals in the same calendar year.

Home Buyers’ Plan (HBP)

To help you come up with a down payment, you may be eligible for the HBP. The HBP allows you to withdraw up to $35,000, tax-free, from your Registered Retirement Savings Plan (RRSP). You must use this amount to buy or build a qualifying home. You have up to 15 years to repay the amounts you withdraw.

Find out if you’re eligible and how to participate in the HBP.

CMHC (mortgage insurance)

Many first-time buyers face unique financial challenges along the way. We know saving up for a down payment in these expensive times can be difficult, and every penny counts. Luckily there are a variety of programs available from both the provincial and federal governments to help simplify and make the process much easier.

If your down Payment is less then 20% you are required to pay for lender’s insurance offered by CMHC and other agencies. There are slab rates for such insurance that is if you are putting 5%, 10%, 15% or less then 20%. Such one time insurance fee will be added to your loan amount to be paid within the amortization period of 25 Years. Check this link for CMHC mortgage loan insurance premium calculator.

Home land transfer tax refund

This program applies to newly-built or Re sale (Old) homes and gives eligible purchasers a refund of their land transfer tax based on the purchase price of their home. To be eligible, you and your spouse must be first-time home buyers.

The Province of Ontario in Canada has doubled the maximum refund better known as rebate for first-time homebuyers from $2,000 to $4,000, effective January 1, 2017.

For more information, ask at your The Team at Real Value Home Sales Office or contact the Ontario Ministry of Finance 1-800-263-7965

WE AT REAL VALUE HOME ARE HERE TO HELP

Whatever home you choose, whichever route you take, buying a new home is one of the most exciting and dynamic experiences of your life. So have fun and remember if you have any questions, the experts Gyanesh and his team at Real Value Home are just a phone call away!

November 9, 2017 akanksha No Comments More Info

Canada Renovation Loan Grants

The renovation loan grant offers financial assistance to low-income households who own and occupy substandard housing to enable them to repair their dwellings to a minimum level of health and safety. It is called the Residential Rehabilitation Assistance Program (RRAP).

Who is eligible?

Homeowners may apply for renovation loan grants if, the value of their house is below a specified figure; and their household income is at or below established ceilings (limits) based on household size and area.

Properties must be lacking basic facilities or require major repair in one or more of five categories: structural; electrical; plumbing; heating; fire safety. Assistance may also be available to alleviate overcrowding. Other criteria may be applicable. Consult CMHC Canada Mortgage Housing Corporations.

Ask your Area CMHC Consultant what assistance is available for your situation?

The maximum renovation loan grants are available vary according to the three geographic zones. Additional assistance may be available in areas defined as remote. Maximum Total Loan Maximum Forgiveness

Zone 1:

Southern areas of Canada
Maximum Loan amount $18,000
Maximum Loan Forgiveness $12,000

Zone 2:

Northern areas of Canada $21,000
Maximum Loan Forgiveness $14,000

Zone 3:

Far northern areas, Northwest Territories, Yukon, Labrador and northern Quebec
Maximum Loan Amount $27,000
Maximum Loan Forgiveness $18,000

IMPORTANT:

Work carried out before the loan is approved in writing is not eligible for funding under this program.
Other CMHC programs are available to assist eligible Canadians with repairs to substandard housing, housing modifications and adaptions for persons with disabilities and seniors.

In some areas of Canada, the Government of Canada, and the provincial or territorial government provide funding for these or similar programs jointly. In these areas, the provincial or territorial housing agency may be responsible for delivery of the programs. Program variations may also exist in these areas.

November 9, 2017 akanksha No Comments More Info

Toronto Buyer Representation Agreement – Form

Buyer Representation Agreement for Mississauga, Brampton, Greater Toronto Area Home Buyers

Thinking of buying a home or property in Brampton, Mississauga, Toronto area in Ontario, Canada ?

New or Resale…You need a Buyer’s Representative. A Real Estate Agent to represent you.

You as a Buyer should be aware of your options so that you are better able to protect your position in a Real Estate deal/transaction. The role of a Real Estate Agent has been undergoing tremendous change over the past several years. Prior to 1995, all Real Estate Agents worked for the Seller in a Real Estate transaction. A buyer can now choose to retain representation with a Licensed Real Estate Agent and receive the same legal relationship that Sellers have received for nearly 100 years. Buyers may sign an agreement with the Real Estate Agent known as“Buyer Representation Agreement”. This is basically an Authority for Purchase or Lease.

A buyer who understands their options will typically want to select their Real Estate representative EARLY in the transaction in order to avoid potential conflicts of interest should they be making many calls to various Realtors (typically listing sales representatives representing the Seller) or if shopping New Home sites (representatives are not necessarily licensed Real Estate Agents – thereby having no accountability to the Buyer through RECO* or REBBA**).

The careful selection of a committed Real Estate Agent to represent your interests in the acquisition of property may play a vital role in buying right property at right price. A skilled Buyers sales representative will add tremendous value to the buyer during Home, Property search, drafting of the contract, during negotiations, and overseeing the contract to completion.

Buying your dream home is an important decision. You must spend some time to find a smart and committed Real Estate Agent in Mississauga, Brampton, Toronto area to help make it all happen?

As a home / property buyer in Ontario, Canada we may explain you your rights.

While buying a home, anything you say while un-represented could be used against you during negotiations;

You have the legal right to be REPRESENTED.

If you choose NOT to be represented; Then all Realtors will work on behalf of the Seller during negotiations.

What is a “Buyer Representation Agreement”

Guaranteeing You the Very Best in Real Estate Service

When it comes to just about every kind of contract, signing on the dotted line makes us all a little bit nervous.
When selling a home, most people are aware they sign a Listing Agreement with a REALTOR®. There is, however, an agreement that REALTORS® are now asking their home-buying clients to sign. It’s an agreement that works in favour of buyers, guaranteeing the very best in real estate service.

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

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

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

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

The term REALTOR® in Canada is designated to those who have chosen to belong to local, provincial and national real estate associations, agreeing to adhere to a strict code of professional standards that ensures the highest levels of service and integrity. In Toronto, local REALTORS® belong to the Toronto Real Estate Board, Canada’s largest real estate board, serving more than 24,000 Members.

Make the Right Move. Consult Gyanesh, REALTOR® of Toronto Real Estate Board.

To find out more, please feel free to contact me, or book a complimentary private consultation to discuss your Real Estate Goals.

My services are guaranteed to ensure your complete satisfaction!

RECO*      – Stands for Real Estate Council of Ontario.
REBBA**  – Stands for Real Estate Business Brokerage Act.

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