RE/MAX Report Gen X to flex new purchasing muscle in recreational property markets across Canada

RE/MAX has released its 2009 annual Recreational Property Report...

Mississauga, ON (June 2, 2009) - Generation X purchasers are poised to replace aging baby boomers as the major force in recreational property markets across the country, according to a report released today by RE/MAX.

The demographic shift was noted in the 2009 RE/MAX Recreational Property Report highlighting sales, pricing, trends and developments in 50 Canadian markets. The report found demand from Gen X (those born between 1965 and 1980) has nearly doubled over one year ago. Seventy-four per cent of markets surveyed this year reported a marked trend toward thirty-something buyers snapping up affordably-priced product, ranging from waterfront cottages to resort condominiums, compared to just 40 per cent in 2008.

"After being priced out of most markets for the better half of the last decade, Gen X purchasers now have the financial wherewithal to buy recreational product at virtually every price point," says Michael Polzler, Executive Vice President, Regional Director, RE/MAX Ontario-Atlantic Canada. "Gen X is ideally positioned to pick up any slack in recreational property markets caused by softer demand from baby boomers and retirees. They represent the next wave of recreational property owners in Canada and they know it."

Read RE/MAX 2009 Recreational Property Report

From

Etobicoke Real Estate Agent - Ralph Evans

Back to Normal for Toronto Housing Market - April 2009 Toronto House Prices

Toronto Real Estate Board statistics for April 2009 show that the average price has jumped up by 6.5% since the month before to $385,641 with a volume of 8107 sales made in the month across the GTA - for houses and condos combined.

What this really shows is that Toronto Real Estate has regained almost all of its value, since the market peak. Average home values are now off just 3.1% from the market peak of May 2008.

Click to see larger image.

Expectation is for a further strong upward surge in volume and value as confidence returns to the country and economic numbers improve.

Let me know if you'd like more market information, or to get my help buying, selling and investing in real estate...

Ralph Evans
Sales Representative
RE/MAX Professionals Inc., Brokerage
Office 416 236-1241 Direct 416 577-5486
My website the RE/MAX RealEstateHelpDesk.ca

Getting Your Home Ready to Sell

Any real estate agent can put their sign on your lawn and say that your home is for sale. When you hire Ralph Evans to represent you in the sale of your home, you get so much more!

Ralph wants you to sell your home for more. More money than you would earn working with other real estate agents. How is that going to happen? It can be done by helping the homeowner to get their home ready for sale before it goes onto the market.

Only a few select RE/MAX agents are using these techniques to help their clients succeed. Here are some quick videos and checklists to explain some of the things that can be done to prepare a home.

1. Air Quality
                video
               checklist

2. Curb Appeal
               video
               checklist

3. Depersonalizing
               video
               checklist

4. Flooring
               video
               checklist

5. Furniture Placement and Lighting
               video
               checklist

6. Pre-Listing Home Inspection
               video
               checklist

7. Main Selling Rooms
               video
               checklist

8. Paint
               video
               checklist

9. Decluttering and Prepacking
               video
               checklist

10. Updates and Repairs
               video
               checklist

Ralph Evans
Sales Representative
RE/MAX Professionals Inc., Brokerage
Office 416 236-1241
Direct 416 577-5486
My website the RE/MAX RealEstateHelpDesk.ca

Impact of Federal Budget on Real Estate

Here are the key highlights from this week's Canadian Federal Budget that touch on the world of Real Estate...

Homebuyers’ Plan
•The federal budget proposes to increase the withdrawal limit for first-time homebuyers using the Homebuyers Plan from $20,000 to $25,000 (per individual).

•Under this program, first-time homebuyers are allowed to withdraw funds from their RRSP, tax-free, to put towards the down payment on a home. Amounts withdrawn under the HBP must be repaid over a 15-year period, starting the second year following the year of the withdrawal.

•Since 1992, an estimated 2 million Canadians have used the Home Buyers’ Plan to purchase approximately 900,000 homes, making this program a huge success. Unfortunately, as time has passed, the usefulness of this program eroded because withdrawal limits were not adjusted. For this reason, REALTORS® lobbied the federal government to increase the Home Buyers’ Plan withdrawal limit to $25,000.


First-Time Home Buyers’ Tax Credit
•The Budget proposes a 15 per cent credit that would be applied to a $5,000 amount, and would provide up to $750 in tax relief to reduce costs associated with first home purchases.
•To assist first-time home buyers with the costs related to the purchase of a home such as legal fees, land transfer taxes, etc.

Home Renovation Tax Credit
•The Budget proposes a 15 per cent credit to be claimed on the portion of eligible home renovation expenditures exceeding $1,000, but not more than $10,000, meaning that the maximum tax credit that can be received is $1,350.
•Will apply to eligible home renovation expenditures for work performed, or goods acquired, after January 27, 2009 and before February 1, 2010, pursuant to agreements entered into after January 27, 2009.
•Credit can be claimed on eligible expenditures incurred on one or more of an individual’s eligible dwellings, including houses, cottages, and condominium units owned for personal use.

Ralph Evans - Agent Profile

This agent profile piece will appear in tomorrow's edition of the Etobicoke Guardian...

(click picture to increas size)



Ralph

2008 Toronto Real Estate Annual Statistics

The numbers are in for 2008. Here is a look at the really big picture! There were 74,552 home/condo sales in all of 2008 across the Greater Toronto area, as recorded by the Toronto Real Estate Board. This level of activity is well down from the volume of the prior couple of years. The average price over the whole year was $379,347 compared to the 2007 average of $376,236 - that's an increase of about 0.8%.

Here is a chart to put it all in perspective...

Toronto Power of Sale Properties

With the recent events in the financial world, we are likely to see an increase in the number of homes that will be sold through the process called "Power of Sale". These home can be an excellent buying opportunity in a difficult real estate market.

What exactly is that and how is it different from the "Foreclosures" in the States?

Normally, it is the homeowner that sells their home to the buyer. In Power of Sale, the bank as lender sells the home without ever taking ownership directly.

If a Canadian homeowner falls behind in making their mortgage payments, the bank has a process to terminate the mortgage and get their money out. Firstly, the mortgage will be a few months behind in payments, then the bank will issue notices to the homeowner advising them of the need to pay-up the outstanding amounts of the loan.

After sufficient notice period, the bank will begin the power of sale. They have the property listed for sale with a Real Estate Agent, and they can seek a buyer for the home. However, they do need to ensure they sell it for fair market value, otherwise the owner can sue the bank for the difference. The bank wants to recover the amount of the loan and cover their legal costs. Any money in addition to that left over from the sale is returned to the homeowner. But, if there is still a shortfall after the bank sells the home, the bank can still sue the homeowner for the remainder of the loan.

So, here is a big difference to the US market. In the States, the bank usually takes over ownership of the home first and then sells the home on the open market. They can sell the home for whatever they can get for it, and then if there is a shortfall they have no further recourse to sue the original homeowner. This is Foreclosure. If the homeowner makes an arrangement with the bank to sell the home, below the value of the mortgage-balance with the proceeds going to the bank, then its called "Short-Sale".

Here in Canada, the bank does not take ownership of the home, they must sell for fair market value and they can still go after the homeowner for more money.

As a buyer of a power of sale home, you need to be aware that the original homeowner could step in at any time and pay-off the mortgage. This would cancel the power of sale! That can occur right up until closing. Further there are no guarantees from the seller about the condition of the property, what is included or what is in working condition.

I am a modern professional RE/MAX agent. I focus on real estate on the west-side of Toronto, including the downtown condos, High Park, Bloor West Village, Swansea, Kingsway, Sunnylea, Etobicoke and into Mississauga.

Now that you know a little bit more about how Power of Sale works, if you are looking at finding the values on the this market, Ralph Evans and the Real Estate Help Desk is here to help! Access my list of power of sale properties in the area you are interested in. let me keep you informed about new power of sale properties as they get listed.

Let me know how I can help you!