Canadian home prices in October were down 0.4% from the previous month, according to the Teranet-National Bank National Composite House Price Index™. This retreat followed a September monthly decline of 1.1% that ended a string of 16 consecutive increases in the composite index. Though prices were down in September in all six of the metropolitan markets surveyed, two cities showed a monthly rise in October - Halifax, 0.7%, and Vancouver, 0.1%. Vancouver's marginal gain followed three consecutive monthly declines. Montreal prices were flat from the month before. Prices were down 0.9% in Toronto, 0.3% in Ottawa and 1.0% in Calgary. For Calgary it was a third straight monthly decline.
For the entire article go to the link: http://www.housepriceindex.ca/
Thursday, December 30, 2010
Tuesday, December 14, 2010
Energetic Resale Market in the Toronto Area Drives Sale Prices Up 5%
An energetic resale market in the Toronto area has succeeded in driving selling prices up 5%.
According to recently released November statistics from the Toronto Real Estate Board(TREB) there were 6,510 sales in November, which is a 13% decline from November 2009’s record levels. The year-over-year sales drop was mirrored by a dip in new listings, indicating that the market was adequately tight to promote continued price growth. The average selling price in November was $438,030--up 5% from November 2009.
When compared to last year’s record-breaking statistics, the actual number of transactions continued to be lower in comparison. However, there are still indications that existing home sales since July are robust. For the last four months, there has been a consistent seasonally adjusted annual rate of sales, from the July low of 67,900 to 88,100 in November.
"The GTA resale market has tightened since the summer. Healthy market conditions continued to support growth in the average selling price," said Toronto Real Estate Board President Bill Johnston.
“Sales through the first 11 months of the year were down only marginally compared to the same period in 2009. We remain on track for one of the best years on record under the current TREB market area,” continued Johnston.
The average selling price for November transactions was $438,030 - up five % compared to November 2009.
"The average selling price in the GTA is affordable. A household earning the average income can comfortably cover the mortgage payments on an average priced home. Expect the average selling price to grow at a moderate pace over the next year," said Jason Mercer, TREB’s Senior Manager of Market Analysis.
According to recently released November statistics from the Toronto Real Estate Board(TREB) there were 6,510 sales in November, which is a 13% decline from November 2009’s record levels. The year-over-year sales drop was mirrored by a dip in new listings, indicating that the market was adequately tight to promote continued price growth. The average selling price in November was $438,030--up 5% from November 2009.
When compared to last year’s record-breaking statistics, the actual number of transactions continued to be lower in comparison. However, there are still indications that existing home sales since July are robust. For the last four months, there has been a consistent seasonally adjusted annual rate of sales, from the July low of 67,900 to 88,100 in November.
"The GTA resale market has tightened since the summer. Healthy market conditions continued to support growth in the average selling price," said Toronto Real Estate Board President Bill Johnston.
“Sales through the first 11 months of the year were down only marginally compared to the same period in 2009. We remain on track for one of the best years on record under the current TREB market area,” continued Johnston.
The average selling price for November transactions was $438,030 - up five % compared to November 2009.
"The average selling price in the GTA is affordable. A household earning the average income can comfortably cover the mortgage payments on an average priced home. Expect the average selling price to grow at a moderate pace over the next year," said Jason Mercer, TREB’s Senior Manager of Market Analysis.
Will We See The End of Land Transfer Tax in Toronto?
Toronto builders and realtors are waiting to see if Rob Ford keeps one of his key campaign promises when he’s sworn in as mayor – to repeal the Land Transfer Tax within the first year.
But exactly how long it will take remains a hot topic.
Ford told the Toronto Real Estate Board’s annual general meeting earlier this month the decision may have to wait until after next year’s provincial election.
“You have to work with the provincial government to eliminate the land transfer tax and the provincial government will be shut down starting probably in April or May,” he told CityNews after the meeting. “So anything that has to be filtered through the provincial government might be delayed.”
TREB spokesperson Von Palmer said late Thursday night Toronto doesn’t necessarily have to filter it through the provincial government. It can impose the tax – and remove it – without any provincial amendments under the City of Toronto Act. But he confirmed Ford could be planning to ask the province to amend the actual act itself, thereby preventing a future mayor from ever re-introducing the Land Transfer Tax.
Ford could also make the decision to repeal the tax retroactive. “This could be a helpful move especially if there is repeal of the tax to minimize any impact on the market,” Palmer explained, in an email to PropertyWire.ca.
Political observers say Ontario Premier Dalton McGuinty may also be more motivated to help remove the tax after this week’s municipal elections. Voters seemed to endorse change in Ford’s overwhelming victory, and Liberals fear that could spill over into next year’s provincial election.
The longer the decision takes, the more money adds up in city bank accounts. Officials confirmed the Land Transfer Tax brought in $183 million for Toronto in 2009.
The tax adds about $3,725 to the cost of a $400,000 home in Toronto.
What are your feelings about Rob Ford setting his sights on the land transfer tax - was it an empty election promise or will this change be coming before you know it?
But exactly how long it will take remains a hot topic.
Ford told the Toronto Real Estate Board’s annual general meeting earlier this month the decision may have to wait until after next year’s provincial election.
“You have to work with the provincial government to eliminate the land transfer tax and the provincial government will be shut down starting probably in April or May,” he told CityNews after the meeting. “So anything that has to be filtered through the provincial government might be delayed.”
TREB spokesperson Von Palmer said late Thursday night Toronto doesn’t necessarily have to filter it through the provincial government. It can impose the tax – and remove it – without any provincial amendments under the City of Toronto Act. But he confirmed Ford could be planning to ask the province to amend the actual act itself, thereby preventing a future mayor from ever re-introducing the Land Transfer Tax.
Ford could also make the decision to repeal the tax retroactive. “This could be a helpful move especially if there is repeal of the tax to minimize any impact on the market,” Palmer explained, in an email to PropertyWire.ca.
Political observers say Ontario Premier Dalton McGuinty may also be more motivated to help remove the tax after this week’s municipal elections. Voters seemed to endorse change in Ford’s overwhelming victory, and Liberals fear that could spill over into next year’s provincial election.
The longer the decision takes, the more money adds up in city bank accounts. Officials confirmed the Land Transfer Tax brought in $183 million for Toronto in 2009.
The tax adds about $3,725 to the cost of a $400,000 home in Toronto.
What are your feelings about Rob Ford setting his sights on the land transfer tax - was it an empty election promise or will this change be coming before you know it?
Wednesday, December 8, 2010
December, The Month to Plan for 2011
You Can Fail to Plan or You Can Plan to Fail!
Take your choice! Interesting that all effective business people have plans that they follow with their businesses. Business plans are like road maps to your activities for a year. They are essential for an effective business to prosper.
Unfortunately only 3% of real estate business people have business plans states Richard Robbins of Richard Robbins International at his recent Achieve in Toronto. That shows the sorry state of our industry as most sales people simply show up. They do not plan. and they do not implement. The show up say "Here I am!"
That is a plan to fail.
No direction, no consistency, no sustainability.
No Wonder! They have no leadership to show them the way. Top real estate brokers and managers show their staff what a proper business plan entails. They may have a business planning course or session as we do at RE/MAX Professionals Inc. Or they simply have a template that can be followed to put a simple but effective business plan in place.
A second approach is to hire a coach or mentor to assist in your planning. Richard Robbins International and Buffini and Company are two excellent coaching and mentoring organizations.
So do not plan to fail. Create a business plan today!
For further information contact Darryl Mitchell, Managing Broker, RE/MAX Professionals Inc. at dmitchell@remaxprofessionals.ca today!
Take your choice! Interesting that all effective business people have plans that they follow with their businesses. Business plans are like road maps to your activities for a year. They are essential for an effective business to prosper.
Unfortunately only 3% of real estate business people have business plans states Richard Robbins of Richard Robbins International at his recent Achieve in Toronto. That shows the sorry state of our industry as most sales people simply show up. They do not plan. and they do not implement. The show up say "Here I am!"
That is a plan to fail.
No direction, no consistency, no sustainability.
No Wonder! They have no leadership to show them the way. Top real estate brokers and managers show their staff what a proper business plan entails. They may have a business planning course or session as we do at RE/MAX Professionals Inc. Or they simply have a template that can be followed to put a simple but effective business plan in place.
A second approach is to hire a coach or mentor to assist in your planning. Richard Robbins International and Buffini and Company are two excellent coaching and mentoring organizations.
So do not plan to fail. Create a business plan today!
For further information contact Darryl Mitchell, Managing Broker, RE/MAX Professionals Inc. at dmitchell@remaxprofessionals.ca today!
Friday, December 3, 2010
Thursday, December 2, 2010
RE/MAX Professionals Rolls Out RE/MAX Collections in Mississauga and Toronto
There is not HST on a used residential home
Help Clear Up Public Confusion on HST and Resale Homes
December 1, 2010 -- Even though consumers have been dealing with the HST since July 1st, it appears there is still confusion about its applicability to the purchase price of resale homes. Consumers buying a resale home do not pay HST on the purchase price of the home. On the other hand, if you are buying a newly constructed home, HST will apply. Although the costs of purchasing or renting a commercial property are subject to HST, businesses are allowed to claim tax credits to offset these costs. Share this accompanying Ad with your clients and customers. Members are encouraged to use this ad and other related material (news release, President's article etc.) for use in Member newsletters, blogs, websites etc.DID YOU KNOW?
There is
price of resale homes.NO HST on the
HARMONIZED SALES TAX
RECO outlines various questions you may have on The Competitions Agreement
Real Estate Council of Ontario
The following questions and answers are related to the Consent Agreement between the Canadian Real Estate Association (CREA) and the Commissioner of Competition filed with the Competition Tribunal on October 25, 2010 and the Real Estate and Business Brokers Act, 2002(REBBA 2002).
This document will be updated as additional questions may arise in the coming weeks.
The Consent Agreement
Under the Agreement, the CREA must allow “mere posting” of a listing by a broker or salesperson who is a member of CREA who has chosen or agreed not to provide services to a seller other than submitting the listing for posting on the MLS® system.
Application in Ontario
Regardless of the terms of the Consent Agreement, all persons registered to trade in real estate in Ontario must comply with the Real Estate and Business Brokers Act, 2002 and its Regulations including the Code of Ethics (Ontario Regulation 580/05).
Question: As the listing brokerage, if I provide a mere posting service on MLS® and do not provide any other services, am I obligated to verify the accuracy of the information in the listing?
Answer: Yes, the listing brokerage is obligated to verify the accuracy of the information before posting on MLS® and is responsible for its accuracy.
Question: Can I opt out of any of the requirements under REBBA 2002 or the Regulations?
Answer: No, REBBA 2002, including the Regulations, is provincial law and no one can opt out of a provincial statute or regulation.
Questions & answers related to REBBA 2002 and the consent agreement Published by the Real Estate Council of Ontario Real Estate Council of Ontario Tel: 416-207-4800 Toll Free: 1-800-245-6910 http://www.reco.on.ca/ asktheregistrar@reco.on.ca
Page 2 of 3 Nov. 9, 2010
Question: As a buyer representative, am I obligated to inform a buyer of properties that meet his/her criteria when the listing brokerage is not offering a commission or the seller is offering a commission lower than I expect?
Answer: Yes. As a registrant you are obligated to inform buyers of properties that meet their criteria regardless of the amount of commission or other remuneration, if any, being offered.
See Section 19 of the Code of Ethics (Ontario Regulation 580/05).
Question: If a seller is not being represented by a brokerage, except for a mere posting on MLS®, and I, as a buyer’s representative, have an offer that I wish to present to the seller, how do I ensure the details of my client’s offer remain confidential in a situation where the seller obtains multiple offers on the property?
Answer: You can attempt to have the seller enter into an agreement regarding the confidentiality of the offer; however, the unrepresented seller is not obligated to agree. Please remember that REBBA 2002 and the Regulations do not govern the conduct or actions of non‐registrants.
Question: If I merely post a property on MLS® and do not provide any further services to the seller, should I complete a Trade Record Sheet?
Answer: Yes. See sections 17 (Ontario Regulation 579/05) and 30 of the Code of Ethics. You should keep a record of the listing agreement, the listing information, receipt of remuneration and any other documents pertinent to the property.
Question: What if I am representing the buyer?
Answer: If you are the buyer’s representative, you are required to make a Trade Record Sheet where your client enters into an agreement of purchase of sale. See Section 17 (Ontario Regulation 579/05).
Real Estate Council of Ontario Tel: 416-207-4800 Toll Free: 1-800-245-6910 http://www.reco.on.ca/ asktheregistrar@reco.on.ca
Page 3 of 3 Nov. 9, 2010
Question: As a buyer’s representative how will I know whether I can contact the seller directly?
Answer: Refer to the listing for clear direction and if there is any question, contact the listing brokerage directly and obtain written consent to contact the seller. See Section 7 of the Code of Ethics (Ontario Regulation 580/05).
Question: Where a listing broker merely posts a property for sale and my buyer wants to submit an offer to purchase, who is the deposit payable to?
Answer: It is negotiable between the buyer and seller. You will want to inform the buyer of RECO’s insurance program which provides consumer deposit protection when a registrant holds a deposit.
Question: In a mere posting situation am I required to get the permission of both sellers and buyers of a property before I can advertise the sale?
Answer: Registrants are required to obtain permission of both buyers and sellers before advertising a sale. (Please refer to the Advertising Matters column in the Fall 2010 edition of For the RECOrd for further information.)
Question: If I have an agreement to merely post the property on MLS® that includes a payment to me of a flat fee and the seller at a later time, within the term of the agreement, decides they want me to provide other services on the same property, what remuneration arrangements can be made?
Answer: If a flat fee was charged for a mere posting a registrant could negotiate an amendment to the listing agreement to provide further services for further flat fees, if agreed to by the seller.
Question: What if I have further questions?
Answer: If you have further questions, please contact RECO
The following questions and answers are related to the Consent Agreement between the Canadian Real Estate Association (CREA) and the Commissioner of Competition filed with the Competition Tribunal on October 25, 2010 and the Real Estate and Business Brokers Act, 2002(REBBA 2002).
This document will be updated as additional questions may arise in the coming weeks.
The Consent Agreement
Under the Agreement, the CREA must allow “mere posting” of a listing by a broker or salesperson who is a member of CREA who has chosen or agreed not to provide services to a seller other than submitting the listing for posting on the MLS® system.
Application in Ontario
Regardless of the terms of the Consent Agreement, all persons registered to trade in real estate in Ontario must comply with the Real Estate and Business Brokers Act, 2002 and its Regulations including the Code of Ethics (Ontario Regulation 580/05).
Question: As the listing brokerage, if I provide a mere posting service on MLS® and do not provide any other services, am I obligated to verify the accuracy of the information in the listing?
Answer: Yes, the listing brokerage is obligated to verify the accuracy of the information before posting on MLS® and is responsible for its accuracy.
Question: Can I opt out of any of the requirements under REBBA 2002 or the Regulations?
Answer: No, REBBA 2002, including the Regulations, is provincial law and no one can opt out of a provincial statute or regulation.
Questions & answers related to REBBA 2002 and the consent agreement Published by the Real Estate Council of Ontario Real Estate Council of Ontario Tel: 416-207-4800 Toll Free: 1-800-245-6910 http://www.reco.on.ca/ asktheregistrar@reco.on.ca
Page 2 of 3 Nov. 9, 2010
Question: As a buyer representative, am I obligated to inform a buyer of properties that meet his/her criteria when the listing brokerage is not offering a commission or the seller is offering a commission lower than I expect?
Answer: Yes. As a registrant you are obligated to inform buyers of properties that meet their criteria regardless of the amount of commission or other remuneration, if any, being offered.
See Section 19 of the Code of Ethics (Ontario Regulation 580/05).
Question: If a seller is not being represented by a brokerage, except for a mere posting on MLS®, and I, as a buyer’s representative, have an offer that I wish to present to the seller, how do I ensure the details of my client’s offer remain confidential in a situation where the seller obtains multiple offers on the property?
Answer: You can attempt to have the seller enter into an agreement regarding the confidentiality of the offer; however, the unrepresented seller is not obligated to agree. Please remember that REBBA 2002 and the Regulations do not govern the conduct or actions of non‐registrants.
Question: If I merely post a property on MLS® and do not provide any further services to the seller, should I complete a Trade Record Sheet?
Answer: Yes. See sections 17 (Ontario Regulation 579/05) and 30 of the Code of Ethics. You should keep a record of the listing agreement, the listing information, receipt of remuneration and any other documents pertinent to the property.
Question: What if I am representing the buyer?
Answer: If you are the buyer’s representative, you are required to make a Trade Record Sheet where your client enters into an agreement of purchase of sale. See Section 17 (Ontario Regulation 579/05).
Real Estate Council of Ontario Tel: 416-207-4800 Toll Free: 1-800-245-6910 http://www.reco.on.ca/ asktheregistrar@reco.on.ca
Page 3 of 3 Nov. 9, 2010
Question: As a buyer’s representative how will I know whether I can contact the seller directly?
Answer: Refer to the listing for clear direction and if there is any question, contact the listing brokerage directly and obtain written consent to contact the seller. See Section 7 of the Code of Ethics (Ontario Regulation 580/05).
Question: Where a listing broker merely posts a property for sale and my buyer wants to submit an offer to purchase, who is the deposit payable to?
Answer: It is negotiable between the buyer and seller. You will want to inform the buyer of RECO’s insurance program which provides consumer deposit protection when a registrant holds a deposit.
Question: In a mere posting situation am I required to get the permission of both sellers and buyers of a property before I can advertise the sale?
Answer: Registrants are required to obtain permission of both buyers and sellers before advertising a sale. (Please refer to the Advertising Matters column in the Fall 2010 edition of For the RECOrd for further information.)
Question: If I have an agreement to merely post the property on MLS® that includes a payment to me of a flat fee and the seller at a later time, within the term of the agreement, decides they want me to provide other services on the same property, what remuneration arrangements can be made?
Answer: If a flat fee was charged for a mere posting a registrant could negotiate an amendment to the listing agreement to provide further services for further flat fees, if agreed to by the seller.
Question: What if I have further questions?
Answer: If you have further questions, please contact RECO
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