Recently, the Canadian government has implemented some new changes to the way Canadians can borrow for their mortgages. These were necessary changes in order to keep the industry in check and not create another banking meltdown similar to what occured in the U.S recently. Although these changes will streamline buyers, there have been some more positive changes also that will encourage smart buying of property. One of these changes is the opportunity for first time buyers to use rrsp money for there down payment. First time buyers are advised to go to their home bank branch or contact a financial adviser on how they can borrow to make contributions to their rrsp. Individuals are finding the rrsp loan process easier than conventional lending. The banks see these types of loans as “good debts”. Once the loan is in place and the rrsp’s are purchased, the buyer must wait 90 days. Afterwhich they are free to utilize the funds for the downpayment. They can borrow up to $20,000 per person and up to $40,000 per couple. The criteria is that this loan must be paid back to the government with a 15 year period. In essence, through this vehicle one can use the governements money to buy your first home.
FSBOs are growing in numbers
The latest news in the Real Estate World is that a well known Full Sale by Owner Company is joining forces with other FSBO companies around Canada to become a Mega FSBO threat. The General Manager of ByTheOwner.com announced on Tuesday that they are going to create what they say is the “first national network able to compete with organized real estate”. There are five companies that have joined the Bytheowner.com team in order to attract more customers and increase the potential of selling their clients homes privately.
The reason for this collaboration is obvious. There is strength in numbers. Even though FSBO companies are growing by the number as new ones are created almost simultaneously, the Multiple Listing Service is still the number one resource used by sellers. The MLS will continue to be the number one go to place for potential buyers and savvy sellers which is almost impossible to be defeated.
As the old saying goes, “if you can’t beat them, then join them” and ByOwnerSale.ca does just that (in our own way). As a FSBO company we understand the importance of selling your home privately, so we want to make this experience for you as enjoyable as possible. We have the unique opportunity to list your property on the same network used by agents, which gives your property maximum exposure that you cannot receive anywhere else. On top of that, you as the seller still have the complete authority to sell your home privately. It’s the best of both worlds.
For more detailed information on the newest trend in FSBOs click here to read the article in the Toronto Star titled “Selling your own home businesses challenge traditional real estate”
Existing Home Sales Rise In August!
An article in the Toronto Star 
gave us some good news this morning. The Canadian Real Estate Association (CREA) says “sales of existing homes rose month-to-month in august for the first time since March.” We all know that the summer was very slow for home sales, but this is the very reason why home sales have increased suddenly. The market is playing a game of “Catch up.” The increase in sales is also very favorable to those sellers who put their property on the market during the summer months.
For more information about the rise in existing home sales in August click here
Housing Bubble Spreading Beyond Toronto and Vancouver
An article in the Toronto Star claimed that housing prices in Canada are actually due to fall. There has been an ongoing discussion about Canada’s current housing bubble, this is coming out after a report was released by the Canadian Centre for Policy Alternatives entitled “Canada’s Housing Bubble: An Accident waiting to happen”.
For those of us that are not in tune with Real Estate lingo a “housing bubble” occurs when prices increase more rapidly than inflation, household incomes and economic growth.
Now housing bubbles are not a new occurrence but what makes this one so different is that it is actually spreading beyond Toronto and Vancouver, which have both experienced housing bubbles in the past.
To read more on this historic housing bubble and to also read about the legislation that could be introduced to return mortgage lending just click here.
What do you think of Canada’s Housing Bubble? Is it just another part of the real estate market that you cannot control? Or is this something to be worried about?
Leave your comment!
The 905 Area Saw an Increase in High Rise sales!
An article featured in the Toronto Star titled “high-rise condo market shifting to 905” analyzed current data from the market and came to the conclusion that the Market is seeing an increase in high-rise condos in the 905 area. More specifically, the peel area of Mississauga and York area of Markham are experiencing a decline in low-rise sales. The reason for this decline, predicts editor Stephen Dupuis is because there is less inventory available in semi-detached, detached and townhomes in these areas.
For those that prefer numbers, according to recent stats of the market 1.222 units in July sold which is a 104% increase since last year around this time. Even more encouraging is that this increase in percentage is one of the top totals in the past 11 years. From these stats alone it is safe to say that the market is growing and expect to see an increase in high rise sales in the 905 areas.
For more on this topic please visit the Toronto Star.
Real Estate Deals: Ask Questions
An article in the Toronto Star touched on a subject that causes many home sellers and buyers weary of signing a contract with a real estate agent. The article titled “Promises matter in real estate deals” informs all buyers and sellers that they do have “legal rights and obligations when making or asking for promises in a real estate contract”. Mark Wesleder, goes over the confusing terminology associated with real estate such as choosing “representation” or a “warranty”.
To make things less confusing Wesleder gives various examples of what can go wrong if promises in contracts are not understood. For the most part, a law suit follows false misrepresentation. This can all be avoided however if the agent and their clients completely understand the promises they are making to each other. The best way to reassure that you know exactly what you are getting is by asking questions.
For more detailed information on real estate contracts click here to read the article.
College Dorm Room 101
In an article by the Toronto Star
, “Dorm Design 101”, writer Jennifer Brown shares some helpful tips that won’t cramp your college student style. Let’s face it; we all know that student living is not luxurious but with a few tricks your tiny dorm space can be maximized, comfortable and very cool. Students at Ryerson University school of Interior Design have first hand experience with transforming their boring rooms into a designer dorm on a student budget. All it takes is a little creativity.
Click here to read the rest of the article and find out how you can change your dorm from drab to fab!
Must Read Before you Sell Your Home
An article in the Toronto Star, Selling a home: 10 Things you need to know by Tony Wong Provides readers with 10 key things they need to know about selling their house.
- Tony Wong puts into perspective several factors that home sellers should take into consideration before they put their property on the market. Home sellers have a slew of inexpensive ways to sell their beloved homes without burning a hole in their wallets. These options range from “fluffing” your home without hiring a home staging to listing your property privately.
For more detailed information on ways in which you can sell your home stress free and in a budget friendly way please visit our website (www.byownersale.ca) or call our customer service representatives at 905-608-9993.
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Housing Options are as diverse as the city
An article in the Toronto Star 
titled “TREB: Housing options are as diverse as the city we live in” reminds Torontonians that there multiple types of homes available on the market. Toronto has something for everyone, whether you enjoy life on a farm or the waterfront, there are endless possibilities in the Greater Toronto Area.
For more information on the types of properties that are available in the GTA visit the article on the Toronto Star.
10 Things you Need to Know about Real Estate
A real estate article in the Toronto Star titled Real Estate: 10 Things you need to know is a must read before you buy or sell your home. It is without a doubt that selling and buying your home is at the top of peoples “scariest things on earth” list, but it doesn’t have to be that way. The writer of the column Tony Wong gives you his insight into the scary world of real estate to help you buy or sell your home with ease.
This article covers 10 things that everyone must know before they get involved in any home investment. The most important things on his list I believe are to be #3 “Location, Location, Location” as prices of a property vary from neighborhood to neighborhood. This means that even though your dream home is not within your budget in location A, it might be cheaper in Location B.
Secondly, #5 “you don’t need an agent” as not everyone needs a professional real estate agent to sell their home if you have the time to do it on your own. AND you can save tons of money on commissions.
Read more about the things you need to know before selling or buying your home .
