Canada's vacancy rate rises

Canada’s rental vacancy rate edged up in 2016

Mainly due to the supply of apartments increasing, but rental housing was harder to find in Vancouver and Toronto, where a long housing boom has driven real estate investment and a condo building boom.

Canada’s vacancy rate increased to 3.4 per cent in October from 3.3 per cent a year earlier, as the number of new units hitting the market outpaced the rise in occupancy, the Canada Mortgage and Housing Corp said on Monday.

The vacancy rate is the percentage of all available units in a rental property, such as a hotel or apartment complex, that are vacant or unoccupied at a particular time. It is the opposite of the occupancy rate, which is the percentage of units in a rental property that are occupied.…

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TD hikes mortgage rates for rental properties and lengthy loans

Toronto-Dominion is raising mortgage rates again

This time the lender is going much farther than its recent hikes.

Starting December 1, all fixed rate mortgages that take more than 25 years to pay back will cost borrowers an extra 10 basis points, or 0.1 per cent. TD is also implementing an extra cost for mortgages on rental properties, charging borrowers 25 basis points more.

The changes follow Royal Bank of Canada’s precedent-setting decision early in November to hike rates, and to also charge more for lengthy mortgages. The latter move marked the first time such a policy was implemented in Canada.

In response, TD increased its own fixed-mortgage rates a week later, but took a more measured approach. Royal Bank hiked its fixed five-year…

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Assessments, Appraisals, Market Value and Sale Price…Why No One Knows the True Value of a Home

Multiple “values” are placed on a home by a number of different parties – so who is right?

Not one is truly accurate because influences on real estate values are almost infinite and “value” is never a static figure. Home owners have opinions of value but often little basis for those opinions. There is rarely consistency between assessments, appraisals, market value and sale price…simply because the real estate market is one of the most complex entities around. It’s beneficial for owners to have an understanding of the different “values” (loosely used for convenience) placed upon their home so that when the “what’s it worth” question is posed, they have some semblance of accuracy.

Several factors affect the value of a house, and a single house may be…

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Home Staging tips for your Kamloops home

With Kamloops having such low inventory of houses for sale you might think that a home will sell in any condition.

It is the homes that are priced correctly and leave a lasting impression on a buyer in a good way that end up selling quicker and for more money!

One of the more critical items today when selling a Kamloops home is the first impression a buyer gets when they not only walk through the front door but approach the home from the street.

Homes today that are in less than stellar condition suffer greatly when it comes time for a buyer to make an offer. In this challenging Real Estate market buyers are not forgiving. They want a turn-key home and frankly if yours isn’t one of them they have choices! This makes it far more critical for your…

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Stalled Vancouver housing market drags down stats for all of British Columbia

British Columbia home prices continued to drop sharply last month but the declines are being driven by the Vancouver market where sales continue to slump, say realtors in the province.

The British Columbia Real Estate Association, which represents about 20,000 realtors, said Tuesday that there 7,272 sales through Multiple Listing Service last month, a 16.7 per cent drop from a year ago. The total volume by dollars was $4.4 billion last month, a 24.2 per cent decline from a year ago.

The average sale price in the province was $606,787 in October, a 9.1 per cent decline from a year earlier.

“Housing demand remained mixed across the province in October,” said Cameron Muir, chief economist with the association. “Home sales across the Lower Mainland…

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Regulators should explore boosting minimum down payment on homes: CMHC

The head of Canada's federal housing agency says regulators should explore the possibility of raising the minimum down payment required on a home as a way of easing affordability and reducing risk to the financial system.

The head of Canada Mortgage and Housing Corp. (CMHC) has opened the door to the possibility of increasing the minimum down payment needed to buy a house, though a change is not currently on the table. Evan Siddall, president and CEO of Canada Mortgage and Housing Corp., says that although politicians are tempted to help first-time buyers, low down payments fuel demand and lead to higher housing costs. Siddall says that ends up hurting the first-time buyers that the government wanted to help.

Last year, Ottawa raised the minimum down…

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Canadian Housing Market Gets Shaken Up and Patted Down

The home-buying landscape – especially when it comes to mortgage qualification and rates – seems to be changing constantly these days.

Mortgage expert Atrina Kouroshnia makes sense of it all

Until (very) recently, Canadians were getting the short end of the stick – at least when it came to income qualifying, compared with foreign buyers. Unlike Canadians, those from outside of Canada could essentially just plunk down 35 per cent on a property in order to buy it; this without some lenders doing serious due diligence on whether they were good for the remaining capital. This had many Canadians furious about the tight guidelines and standards that they were compelled to meet, but that foreign buyers were not. Things changed last month.

You know…

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Don’t Let These Winter Home Problems Leave You Out in the Cold

Is your home ready for winter?

Sustained low temperatures, combined with cold winds and winter precipitation, can cause problems for the interior and exterior of your home. Here are some common winter household problems to anticipate and avoid:

• Heating system breakdowns can be an uncomfortable – and sometimes expensive – issue when cold weather hits. Make sure your system is inspected and well maintained before you need to depend on it for warmth.

• Air leaks, particularly around doors and windows, can cause drafts and heating system inefficiency, raising your energy costs.

• Gathering around a cozy fireplace is one of winter’s pleasures, but chimney fires are a big winter safety hazard. Make sure your chimney has been cleaned and inspected…

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Real Estate Sales - Are They Taxable?

What About My Principal Residence?

The gain on the sale of real estate is a capital gain unless the property has been purchased with the intent of reselling at a profit, or developed and sold as a business endeavour.  If it is considered a business transaction, the entire profit or loss on the sale is taxable or deductible.  If the transaction is a capital gain (principal residence, summer cottage, second home, rental home, etc.), only 50% of the gain is taxable.

If the property is the taxpayer's principal residence, the principal residence exemption may eliminate all or part of the capital gain.  The Canada Revenue Agency (CRA) policy used to be that the form need not be filed unless there is a taxable gain after deducting the principal residence…

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Dealing with Seller's Remorse

When Sellers Get Cold Feet

Seller’s remorse: that sinking feeling in your heart and stomach knowing you may have lost something you can never get back. In real estate and especially home ownership, this “syndrome” is very real and have sent some into a downward spiral that has a ripple effect into other parts of their lives.

The leading cause of seller’s remorse and how to avoid it is when an offer presents itself before the seller has time to fully consider and process the option to sell or keep.

With buyer’s remorse on the other hand, you are often able to get out of the contract because of certain subjects in the contract but you won’t be stuck with a house you don’t want.

With seller’s remorse you don’t have that option; you can only hope…

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