TREB Market Watch

Average Price Up in October, Despite Fewer Sales

“Sales have decreased in the second half of this year compared to 2011, largely due to stricter mortgage lending guidelines taking effect July 9^th 2012. The prospect of higher monthly mortgage payments due to the reduced amortization period has prompted some households to delay their home purchase,” according to (TREB) President Ann Hannah.

In October  Greater Toronto Area REALTORS® reported 6,896 transactions through the TorontoMLS system in October 2012 – a decrease of 7.1 per cent over October 2011.
The average sale price was $503,479 – up 6.2 per cent compared to October 2011. The MLS® Home Price Index composite benchmark price, which allows for an apples-to-apples comparison in terms of home attributes, was up by 5.1 per cent.

“We continue to see price increases well above the rate of inflation. Active listings have remained low from a historic perspective creating competition among Buyers, especially for low-rise homes,” said Jason Mercer, TREB’s Senior Manager of Market Analysis.

“It should be noted, however, that the annual rate of price increase has been edging lower over the past few months as the market has gradually become better supplied,” continued Mercer.

Rent to Own Gains Popularity

Tighter Mortgage Rules Make Rent to Own Even More Popular

Moneyville is always an excellent source for mortgage and real estate information, so I couldn’t pass up this article about Rent to Own.

The information is very direct but more important if you are thinking of Rent to Own be sure you obtain Independent Legal Advice, before signing on the dotted line.

Rent To Own involves a contract and as with any contract know what you are signing.

Once you understand your obligations and you agree with all the terms, then and only then should you go forward.

If you are an investor and want to do a rent to own, please contact us we always have good people who want to buy a home through Rent to Own. Use the form below to contact us if you have any questions or comments.

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Condo Sales Falling in Toronto – Opportunity???

Every Cloud Has A Silver Lining!

Recent reports of a falling sales and investors sitting on the sidelines may just present an opportunity to the seasoned Real Estate Investor.

“Buy Low,  Sell High” is the way investors hope the market will favor them.  The next few months should bring a correction and with that a “Buyers Market”. There are so many condos for sale right now, plus more being built as we speak.

When I came across the article Five Traps to Avoid, When Buying A Condo,  I thought this would be a good time to share it here on the blog. I hope you find it informative, especially if you’ve thought about buying a condo as an investment.

Perhaps the next few months will bring new opportunity for investment in this sector of the housing market. Food for thought: Not everyone who wanted to buy a Condo in the GTA can do so because of the tougher lending guidelines so this could be a good rental option. After all we all need a roof over our heads.

Please feel free to leave a comment or question in the helpful form below. Or apply on-line if you would like to get a rate quote.

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Well Mr. Flaherty, You Sure Did It This Time!

The sudden drop in investor interest has sent shock waves through the industry because, just since 2007, investors have come to dominate the GTA condo market.

In an effort to stop consumer debt from rising,The Minister of Finance has  whacked the Housing Market with a sledge hammer!

As a professional in the financial field I have often scratched my head at the way he went about curtailing consumer spending. His new lending rules have made it harder to buy a home while consumers are still on a spending spree and now the housing market is falling into a slump.

These are your Government dollars at work ladies and gentlemen!

I have traveled the world extensively and I know one thing for certain. House prices in all major cities of the world are sky high. So why anyone would want to put the breaks on this hard because Toronto and Vancouver housing is expensive is mind-boggling. Not to mention the results of the severe tightening aren’t solving the consumer debt issue one single bit!

Think of each and every sector of the economy that employs someone who’s job is related to housing and you can easily predict how much our economy is going to suffer with the hardline actions of the Minister of Finance.

When I saw the article in Moneyville today I thought it was important to share it on this blog. So here’s the link folks.  Read’em and weep!

This blog is just me thinking out loud but I would like to hear what you have to say on the subject so leave me a comment below.

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