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By admin, July 10, 2009 3:58 pm

Your credit score is used by most companies to see if you are a good credit risk or not. A credit score of over 680 is considered excellent.

What Can You Do to Improve Your Score?

1. Order a copy of your credit report from www.equifax.com or www.transunion.com to review it and make sure there are no errors.
2. Pay your bills on time.
3. If your credit history is questionable, open a few new accounts and use them responsibly.
4. Don’t open accounts and not use them. Having 6 or 7 of the same type of credit does not work in your favour.
5. Keep your balances low relative to your amount of credit available.
6. Pay off credit card debts!

What Does This Mean to Home Buyer’s?

The better your credit score the higher you buying power (income dependent as well). You will also qualify for the best mortgage products at the best rates.

To see what your credit score is and how much of a home you can afford, make sure to talk to your Real Estate Agent and Mortgage Broker before shopping for your Toronto Home.

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By admin, July 6, 2009 1:04 pm

TORONTO, July 6, 2009 – In June 2009, Greater Toronto REALTORS® reported a record 10,955 sales, up 27 per cent from June 2008. The seasonally adjusted annual rate of sales in June was 100,700.
“The record result in June is testament to the fundamentally sound housing market in the GTA,” said the Toronto Real Estate Board’s newly appointed President Tom Lebour. “An increasing number of households have been confident in purchasing a home in the region’s affordable and diverse resale housing market.”

The average price for June transactions was $403,972 – up by two per cent compared to the same month last year.
“The re-emergence of seller’s market conditions has exerted upward pressure on home prices,” explained Jason Mercer, TREB’s Senior Manager of Market Analysis. “Look for sales to remain high relative to listings in the second half of the year. This will keep home prices growing.”

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By admin, June 11, 2009 4:30 pm

Century 21 published a study of the hottest neighburhoods in Canada.  Since this is a Toronto Real Estate Blog, I will only mention the ones that apply.

Etobicoke
The hottest neighbourhood in metro Toronto over the past year included the Centennial Park area in Etobicoke (FSA: M9C) bounded east and west by Highway 427 and Etobicoke Creek and north and south by Eglinton Ave and Queen Elizabeth Way. In this neighbourhood, average prices were $302,052 in April 2009, an increase of 17% from $257,907 in April 2008 and an increase of 4% from $290,365 in March 2009.

Pickering
Another hot neighbourhood in metro Toronto includes Brock in the eastern suburb of Pickering near Lake Ontario (FSA: L1V) bordered on the north and south by Finch Avenue and Highway 401, where average prices were $334,216 in April 2009, an increase of 16% from $280,340 in March 2009 and an increase of 7% from $311,372 in April 2008.

High Park
The hottest neighbourhood in the City of Toronto includes High Park (FSA: M6P) bounded north and east by the CPR and CN tracks and on the south and west by Bloor Street and Runnymede Road, where average prices were $505,063 in April 2009, an increase of 14% from $436,369 since March 2009 and an increase of 7% from $473,392 since April 2008.

Oshawa
In the Toronto suburbs, one of the hottest neighbourhoods is Central Oshawa (FSA: L1J) bordered on the south and east by Lake Ontario and Oshawa Creek, on the north by Conlin Road and on the west by the Oshawa Whitby town line. In this neighbourhood, average prices were $230,320 in April 2009, an increase of 13% from $177,912 in March 2009 and an increase of 4% from $196,357 in April 2008.

Thank you Century 21 for this information.

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By admin, June 3, 2009 2:47 pm

In the month of May 2009, sales were up 2% over last year.  This is a marginal increase over last year and signs of a healthy Real Estate Market.  Buyers are taking full advantage of low interest rates.

We can look at the different types of dwellings and see where there median prices are:

Dwelling Type            Median
Detached                       $410,000
Semi-Detached           $334,500
Condo Townhouse    $255,400
Condo Apt                    $250,000
Att/Row/Twnhouse $314,500

There are approximately $21,000 homes on the market which is 21% less than last year.  This can be accounted to the number of people who bought homes before the new Land Transfer Tax was implemented have sold their homes and sellers have been wary about putting their homes on the market because of the negative press we all heard this spring.

From all the homes listed this year, 50% have sold in an avergae of 39 days for 97% of asking.  50% is a high percentage of sales.  This month the days on the market decressed to 35 and homes were going for 98% of asking.  We have all seen the stories in the press about the return of bidding wars and this is definitely driving those numbers.

The number of sales has returned to the levels experienced last summer, while inventories are low, this is making it more competitve for buyers. This is going to be a great summer or buying home with prices leveling off, interest rates are low and there are plenty of great homes to choose from.

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By Lisa Collins, March 19, 2009 7:03 pm

- In another attempt to stimulate the sluggish economy, the Bank of Canada governor Mark Carney cut the interest rate to 0.5%, the lowest ever. The Bank has cut the key rate by four percentage points since December 2007.

In its announcement the Bank stated that this rate is to remain at its current level or lower until there are “clear signs” that the economy is recovering. This rate cut, the seventh in the last year, was widely expected by economists.

Carney also said it is possible that the Bank may provide additional stimulus, if necessary, by purchasing credit and other assets.

Commercial banks immediately began to follow suit. RBC Royal Bank quickly announced it is trimming its prime lending rate by 50 basis points to 2.5%, effective tomorrow, and the Bank of Montreal said it is lowering its variable mortgage rates, effective tomorrow. Other Canadian banks cut lending rates as well.

Rate cut impact may take time
While rate cuts are designed to have a simulative effect on the economy, most experts believe the cut will have a minimal impact. The central bank has cut its rate from 4.5% 15 months ago to 0.5%, to little effect.

Many economists predict that it could take anywhere from 12 to 18 months for interest rate cuts to take effect, which means today’s announcement won’t provide immediate relief.

“The effects of the recent aggressive monetary and fiscal policy actions in Canada and other major economies will begin to be felt in the second half of this year and will build through 2010,” Carney said. “Once the global financial system stabilizes and global growth recovers, the underlying strength of the Canadian economy and financial sector should ensure a more rapid recovery in Canada than in most other industrialized economies.”

How will this affect mortgage prices?
Those with existing variable rate mortgages will benefit directly – these mortgages are linked to the prime rate. However, there can be some variation in when, or to what degree, lenders react to a Bank of Canada rate announcement. There are lenders who change immediately after a Bank of Canada rate move, while some lenders re-set their prime rate on the first of the month following and some even do so quarterly. In addition, after recent rate announcements by the Bank, some lenders matched the Bank’s drop only after a delay, and some did not match the full rate cut.

Currently, pricing for new variable-rate mortgages is typically above the prime rate. Those looking for a new variable-rate mortgage may wish to get pre-approved, to protect themselves if variable-rate pricing in relation to prime continues increase in the next few months.

Pricing for fixed-rate mortgages is not directly affected by today’s announcement. However, some fixed rates have been trending downward in recent week.

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By Lisa Collins,

TORONTO, March 19, 2009 – Greater Toronto REALTORS® announced 2,565 transactions in the first half of March compared to 3,183 during the same period last year. The annual rate of MLS® sales decline was the smallest in five months. Mid-month March MLS® sales increased compared to the 2,044 sales experienced in the first
half of February. MLS® sales follow a recurring seasonal trend, with transactions generally increasing between
January and May and then decreasing between June and December. “As we move into the spring market, it appears that we are seeing stronger demand for ownership housing in the Greater Toronto Area,” said TREB President Maureen O’Neill. “Buyers are reacting to the market’s strong foundation of affordability.” The average price for MLS® sales was $365,499 compared to $385,405 last year. “Affordability has improved over the past few months due to a combination of lower home prices, near record lows for mortgage rates and rising earnings,”(1) according to Jason Mercer, TREB’s Senior Manager of Market Analysis.

(1)Average weekly earnings for the Toronto CMA, as reported by Statistics Canada, have been rising on a year-over-year basis over the past year. For example, in February 2009, average weekly earnings rose by approximately 2.5 per cent compared to February 2008.

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By Lisa Collins, March 18, 2009 7:02 pm

Many buyers are out there looking, but seem nervous about making offers. They’re confused by what they’ve been reading and hearing about the state of the real estate market. The fact is, although sales and prices have both declined in different percentages around the country, they have remained relatively steady when compared with prices south of the border.

Typically the spring real estate market tends to experience more activity and with the Canadian economy experiencing a period of low mortgage rates and strong immigration, this trend could continue. According to Statistics Canada, Canada welcomed 247,202 permanent residents in 2008, 70,000 more than in 1998, and well within the government’s planned range of 240,000 to 265,000 new permanent residents for 2009. Many of these new immigrants will soon be in the market as First Time home buyers.

With the Bank of Canada dropping its prime lending rate this month, those in the market for a home will see mortgage rates at near record lows. This combined with the federal government’s decision to increase the withdrawal amount in the Home Buyers Plan from $20,000 to $25,000 will make buying a home a little easier.

Below is a brief summary of sales activities in some areas across the country:

GTA – Ontario
Toronto Real Estate Board Members reported 4,120 sales in February 2009 compared to 6,015 sales recorded in February 2008. The average home price was $361,305 last month compared to $382,048 during the same month last year.

On a month-over-month basis, sales and average price were above January levels of 2,670 and $343,632 respectively. The housing market is seasonal. Traditionally, in the first half of every year, sales and average price climb to their highest levels in late spring before trending lower from July onward.

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By Lisa Collins, March 3, 2009 5:37 pm

1 in 5 tenants in Ontario do.  That is a lot of money to spend to have a roof over your head.  Rents are very high right now because of lower vacany rates.  A landlord knows he can charge more for rent because there are more tenants competing for the property.

If you have good credit may qualify for a mortgage and with the Real Estate market in Toronto becoming a strong buyer’s market, housing affordability is more attainable than it has been in the last few years.

So if you want to stop:

• paying rent and
• paying someone else’s mortgage

and build some equity of your own.  Now is the time to make your move!

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By Lisa Collins, February 5, 2009 10:43 pm

TORONTO, February 4, 2009 – According to TREB president Maureen O’Neill, there are

opportunities at any point in the housing market cycle.

“Moderated housing prices combined with low interest rates could present excellent long-term

investment and homeownership opportunities in the GTA housing market,” noted TREB President

Maureen O’Neill. ”REALTORS® can help potential home buyers and investors identify value in

today’s market.”

Greater Toronto REALTORS® reported 2,670 sales in January compared to 5,075 in the first month

of 2008.

“Demand for existing homes in the Greater Toronto Area moderated as the housing market followed

the broader economic slowdown in Canada,” said Jason Mercer, the Toronto Real Estate Board’s

Senior Manager of Market Analysis.

The average home price in the Greater Toronto Area was $343,632, compared to $374,449 last

January. The median price was $303,000 compared to $319,000 last year.

“Current selling prices are a reflection of more choice in the existing home marketplace,” said

Mercer. “At the same time, low mortgage rates have helped keep ownership housing an affordable

option. Given that we are not facing an early-1990s-style affordability crisis, the rebound in the

housing market will likely be quick once economic recovery takes hold,” added Mercer.

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By Lisa Collins, January 19, 2009 11:18 am

TORONTO, January 19, 2009 – Greater Toronto REALTORS® reported 888 sales during the first

half of January compared to 1,776 in the first 15 days of 2008. “According to Statistics Canada

the economic situation throughout Canada changed noticeably over the past year with job losses

in the fourth quarter of 2008. Toronto is not immune to this, the GTA housing market has been

impacted,” according to TREB President Maureen O’Neill.

The average GTA price mid-way through January is $332,495 from $367,574 during the same

period in 2008. The median GTA price was $301,000 compared to 316,000 last year. “While

sales have declined, listings have remained high. GTA home buyers have benefitted from more

choice,” explained Ms. O’Neill. “Historically, increased choice in the marketplace has equated to

a moderation in price growth.”

In January 2009, stronger declines in sales and prices were experienced in the City of Toronto.

“Sales for January a year ago may have been elevated by the flurry of transactions completed

before the city’s land transfer tax went into effect,” added Ms. O’Neill.

“The costs of home ownership in the 416 has increased due to the added land transfer tax many

home buyers now face in the City of Toronto. Some households considering the purchase of a

home in the City have either put their decision on hold or looked elsewhere in the GTA.”

Source: Toronto Real Estate Board