CANADA’S REAL ESTATE MARKET EXPECTED TO CONTINUE STRONG GAINS INTO THE FIRST HALF OF 2010Demand and supply finding balance in the second half of the year

TORONTO, January 7, 2010 – Canada’s residential real estate market is forecast to remain unusually strong through the first half of 2010 as economic conditions across the country  improve and the stimulus impact of low interest rates continues to stoke demand, according to today’s Royal LePage House Price Survey and Market Survey Forecast.  As confidence in the recovery builds in early 2010, increases in average house price levels and overall market activity are expected to continue. The gradual erosion of affordability driven by higher house prices and the expected late-year modest upward movement of interest rates, together with an improvement in listings supply as confidence improves, are expected to bring the market back into balance in the second half of the year, when home price increases are expected to moderate.

“The Canadian real estate market enters 2010 with considerable momentum from a unusually strong finish to the previous year, said Phil Soper, president and chief executive, Royal LePage Real Estate Services.  “The stimulus effect of low borrowing costs has contributed to a sharp rise in demand that has driven activity levels to new highs. This demand, coupled with a typical seasonal undersupply of homes for sale, should cause home prices to continue to appreciate significantly during the early months of the year. Improving supply as the year unfolds and easing demand as the cost of home ownership rises should moderate home price increases in the second half of 2010.”

In contrast to the difficult months during the worst of the recession, house prices appreciated during the later part of 2009, with fourth quarter price averages surpassing averages from the fourth quarter 2008. The average price of detached bungalows rose to $315,055 (up 6.0%), the price of standard two-storey homes rose to $353,026 (up 5.2%), and the price of a standard condominium rose to $205, 756 (up 6.4%).  The first two quarters of 2009 saw significant year-over-year price declines across the housing types surveyed and the third quarter provided the first signs saw a strong rebound in Canadian home values.

Regions that saw the strongest declines during the recession are now showing marked gains. Those regions include Toronto and the Lower Mainland, B.C. Vancouver in particular experienced a robust quarter, with home prices rising across all housing types surveyed.

 “No other sector of the economy has been as highly affected by economic stimulus as housing,” commented Soper. “As consumer confidence has improved, Canadians have shown a lingering reluctance to acquire depreciating assets such as consumer durables, but have embraced the opportunity to invest in real property. Predictably, the regions benefiting most from this renewed interest in home ownership are those with lower average house prices and strong economic confidence, such as Winnipeg and parts of Atlantic Canada.”

Soper added, “Our forecast is built upon an expectation that interest rates will ease upward before the year’s end, which should have a dampening effect on demand, allowing it to come into balance with the supply of resale homes on the market. Further, we expect to see an increasing number of homes listed for sale as the year progresses – as Canadians regain confidence in the economy, they should be more willing to enter into a large financial transaction such as the sale of a home.”

Toronto REGIONAL MARKET SUMMARY

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The Toronto market saw year-over-year price increases across the housing types surveyed in the fourth quarter.  Of particular interest is the increase in sales of higher-priced units, which were hit hard by the recession over the previous 12 months. There was a surge of first-time buyers active in the market last year, depleting the inventory of entry-level units. They are expected to be joined by move-up, executive, and luxury buyers in the coming year, resulting in additional price appreciation. 

Royal LePage’s quarterly House Price Survey (Q4 2009) shows the annual change of prices for key housing segments in select national markets. Click here to view the chart (.PDF).

The Royal LePage Survey of Canadian House Prices is the largest, most comprehensive study of its kind in Canada, with information on seven types of housing in over 250 neighbourhoods from coast to coast.  This release references an abbreviated version of the survey, which highlights house price trends for the three most common types of housing in Canada in 80 communities across the country.  A complete database of past and present surveys is available on the Royal LePage Web site at www.royallepage.ca.  Current figures will be updated following the complete tabulation of the data for the fourth quarter. A printable version of the fourth quarter 2009 survey will be available online on February 5th, 2010.

Housing values in the Royal LePage Survey are Royal LePage opinions of fair market value in each location, based on local data and market knowledge provided by Royal LePage residential real estate experts.  Historical data is available for some areas back to the early 1970s.

About Royal LePage
Royal LePage is Canada’s leading provider of franchise services to residential real estate brokerages, with a network of nearly 14,000 real estate professionals in over 600 locations across Canada.  Royal LePage believes in the importance of giving back to the community and is the only Canadian real estate company to have its own charitable foundation. The Shelter Foundation is dedicated exclusively to funding women’s shelters and violence prevention and education programs. Royal LePage is managed by Brookfield Real Estate Services, and is part of a brand family that includes Royal LePage, Johnston and Daniel, and La Capitale Real Estate Network.  An affiliated company, Brookfield Real Estate Services Fund, is a TSX listed income trust, trading under the symbol “BRE.UN.”

For more information visit www.royallepage.ca.

 A very interesting article to say the least.(Published Feb 7, 2009 From the Newsweek issue dated Feb 16, 2009)

The legendary editor of The New Republic, Michael Kinsley, once held a “Boring Headline Contest” and decided that the winner was “Worthwhile Canadian Initiative.” Twenty-two years later, the magazine was rescued from its economic troubles by a Canadian media company, which should have taught us Americans to be a bit more humble. Now there is even more striking evidence of Canada’s virtues. Guess which country, alone in the industrialized world, has not faced a single bank failure, calls for bailouts or government intervention in the financial or mortgage sectors. Yup, it’s Canada. In 2008, the World Economic Forum ranked Canada’s banking system the healthiest in the world. America’s ranked 40th, Britain’s 44th.

Canada has done more than survive this financial crisis. The country is positively thriving in it. Canadian banks are well capitalized and poised to take advantage of opportunities that American and European banks cannot seize. The Toronto Dominion Bank, for example, was the 15th-largest bank in North America one year ago. Now it is the fifth-largest. It hasn’t grown in size; the others have all shrunk.

So what accounts for the genius of the Canadians? Common sense. Over the past 15 years, as the United States and Europe loosened regulations on their financial industries, the Canadians refused to follow suit, seeing the old rules as useful shock absorbers. Canadian banks are typically leveraged at 18 to 1—compared with U.S. banks at 26 to 1 and European banks at a frightening 61 to 1. Partly this reflects Canada’s more risk-averse business culture, but it is also a product of old-fashioned rules on banking.

Canada has also been shielded from the worst aspects of this crisis because its housing prices have not fluctuated as wildly as those in the United States. Home prices are down 25 percent in the United States, but only half as much in Canada. Why? Well, the Canadian tax code does not provide the massive incentive for overconsumption that the U.S. code does: interest on your mortgage isn’t deductible up north. In addition, home loans in the United States are “non-recourse,” which basically means that if you go belly up on a bad mortgage, it’s mostly the bank’s problem. In Canada, it’s yours. Ah, but you’ve heard American politicians wax eloquent on the need for these expensive programs—interest deductibility alone costs the federal government $100 billion a year—because they allow the average Joe to fulfill the American Dream of owning a home. Sixty-eight percent of Americans own their own homes. And the rate of Canadian homeownership? It’s 68.4 percent.

Canada has been remarkably responsible over the past decade or so. It has had 12 years of budget surpluses, and can now spend money to fuel a recovery from a strong position. The government has restructured the national pension system, placing it on a firm fiscal footing, unlike our own insolvent Social Security. Its health-care system is cheaper than America’s by far (accounting for 9.7 percent of GDP, versus 15.2 percent here), and yet does better on all major indexes. Life expectancy in Canada is 81 years, versus 78 in the United States; “healthy life expectancy” is 72 years, versus 69. American car companies have moved so many jobs to Canada to take advantage of lower health-care costs that since 2004, Ontario and not Michigan has been North America’s largest car-producing region.

I could go on. The U.S. currently has a brain-dead immigration system. We issue a small number of work visas and green cards, turning away from our shores thousands of talented students who want to stay and work here. Canada, by contrast, has no limit on the number of skilled migrants who can move to the country. They can apply on their own for a Canadian Skilled Worker Visa, which allows them to become perfectly legal “permanent residents” in Canada—no need for a sponsoring employer, or even a job. Visas are awarded based on education level, work experience, age and language abilities. If a prospective immigrant earns 67 points out of 100 total (holding a Ph.D. is worth 25 points, for instance), he or she can become a full-time, legal resident of Canada.

Companies are noticing. In 2007 Microsoft, frustrated by its inability to hire foreign graduate students in the United States, decided to open a research center in Vancouver. The company’s announcement noted that it would staff the center with “highly skilled people affected by immigration issues in the U.S.” So the brightest Chinese and Indian software engineers are attracted to the United States, trained by American universities, then thrown out of the country and picked up by Canada—where most of them will work, innovate and pay taxes for the rest of their lives.

If President Obama is looking for smart government, there is much he, and all of us, could learn from our quiet—OK, sometimes boring—neighbour to the north. Meanwhile, in the councils of the financial world, Canada is pushing for new rules for financial institutions that would reflect its approach. This strikes me as, well, a worthwhile Canadian initiative.

HOUSE PRICE INCREASES FORECAST TO CONTINUE THROUGH TO YEAR’S END FOR MOST CANADIAN CITIES Despite easing rates of appreciation, average house prices set to rise by 3.5 per cent nationally by year’s end

TORONTO, July 17, 2008 – Canada’s real estate market is poised to maintain the momentum gained from a solid second quarter through to the end of 2008, with Regina set to experience the greatest rise in house prices.  While home prices are expected to appreciate in all but two major markets during the year, activity levels across the country are expected to decline from 2007’s record-setting pace, as pent-up demand is satisfied and some buyers retreat to the sidelines in the face of increasing economic uncertainty, according to a House Price Survey and Market Survey Forecast report released today by Royal LePage Real Estate Services. 

During the second quarter, average house prices rose across most of the country with rates of appreciation easing from the dramatic spikes that were observed in 2006 and 2007. Continued robust demand led to strong double-digit gains in Saskatchewan, Winnipeg and St. John’s; while a surge in inventory caused Alberta’s white-hot market to record the country’s only major-market price decreases.

“Canada’s resale housing market proved resilient in the second quarter. In fact, we have been pleasantly surprised that strong fundamentals, such as enduringly positive employment numbers and reasonable mortgage rates, have countered increasingly pessimistic consumer sentiment, based primarily on the American housing recession,” said Phil Soper, president and chief executive officer, Royal LePage Real Estate Services.

Added Soper: “After several years characterized by a persistent shortage of listings, home buyers have felt the pressure of bidding wars and take-it-or-leave-it counter offers ease during 2008; home sellers have had to come to grips with the longer time it is taking to sell properties, but can take comfort in a market that continues to support reasonable price increases. Our research indicates that all markets will continue to perform well, albeit at a tempered pace.”

The national average house price is forecast to rise by 3.5 per cent, to $318,000 by the year’s end.  Home sale transactions are projected to decrease by 11.5 per cent to 461,000 unit sales by the end of 2008.

Examining figures from the second quarter, the highest average price appreciation occurred in detached bungalows, which rose by 5.6 per cent to $351,587, followed by standard two-storey properties, which rose to $418,943 (5.2%), and standard condominiums, which increased to $248,408 (3.9%), year-over-year.

An extreme inventory shortage has helped pressure prices upwards in the mid-west, while excess supply loosened markets in the previously frenzied Alberta.

While Saskatchewan’s cities recorded the country’s highest price gains, Winnipeg followed closely behind.  Growth in agricultural sectors, and subsequently high levels of immigration required housing that simply could not be met by current levels of inventory. The inevitable result of a booming economy was observed as the markets held strongly in the sellers’ favor as house prices skyrocketed in both Saskatchewan and Manitoba.

Despite some mild price erosion during the second quarter in both Calgary and Edmonton, these markets remain strong.  Although prices have come down from where they were last year – one of the best years on record – current house prices are far higher than they were three years ago, before energy-rich Alberta experienced its boom.  Relative to the rest of the country, Calgary and Edmonton are still home to some of Canada’s most expensive real estate.

Montreal, Toronto and Ottawa all experienced strong second quarters, and are poised to continue to see prices appreciate.  In all three cities, listings rose during the second quarter, compared to the same period last year.  The increase in inventory has translated into fewer, albeit still occurring, multiple offer situations.  Homes priced appropriately had listing periods that often lasted one to two weeks during the second quarter; a relatively short period of time by historical standards.

Echoing the trend of the past few months, St. John’s has become the economic bright spot of Atlantic Canada.  With various new oil projects underway, and others to begin shortly, St. John’s is experiencing housing market conditions typically only seen in major metropolitan cities.  Skyrocketing house prices and multiple offer situations have quickly swung the city into a sellers’ market.  Strong demand in the country’s eastern provinces has led to many Atlantic cities recording double-digit prices increases.

REGIONAL MARKET SUMMARIES

In Halifax, strong buyer demand combined with the city’s low inventory levels created an abundance of activity during the second quarter leading to many multiple offer situations. Buyer demand was strong during the second quarter with all types of buyers drawn to the market.  Looking ahead prices are anticipated to increase, while unit sales are expected to decline.

St. John’s had a phenomenal second quarter, characterized by an abundance of buyer activity, with multiple offer situations and bidding wars becoming the norm. With various new oil projects underway, and others set to begin shortly, the strong economy in St. John’s has boosted consumer confidence across the city. High buyer demand led to double-digit price increases in all housing types during the second quarter. These strong conditions are anticipated to continue over the next six months.

The housing market in Moncton experienced a healthy second quarter, with moderate house price appreciation expected to continue throughout the year.  The job market in Moncton is very healthy – in-migration of Moncton natives returning from out west will continue to create activity in the real estate market with prices increasing slightly to year’s end.

First time buyers helped boost activity in Saint John, showing a preference for homes priced between $150,000 and $250,000. Workers returning from the oil fields in Alberta also entered the high-end real estate market leading to strong activity levels in this housing type during the second quarter.

Charlottetown saw a return to a more balanced market during the second quarter – with an increase in inventory coming on stream, ultimately positioning the market in favour of the buyer. The stable housing market in Charlottetown is anticipated to continue through to the end of the year.

In Fredericton, the housing market experienced more balanced market conditions during the second-quarter with activity in the condo market tempering from where it was several months ago, as more of this property type was listed on the market. Fredericton’s real estate market is anticipated to remain robust for buyers and sellers alike well into the next year.

Montreal’s housing market experienced moderate growth during the second quarter, with average house prices inching upwards by high single-digits.  Healthy employment rates and the relatively low cost of borrowing money continues to bolster buyer demand, and will help maintain the strength of the market into the second half of the year.

Toronto’s real estate market is anticipated to see healthy price appreciations throughout the remainder of 2008.  The market is expected to mirror the second quarter’s conditions of rising average house prices, which were bolstered largely by healthy buyer demand. During the second quarter, all housing types received considerable buyer attention, with the city’s upper end properties doing extremely well. A heightened awareness of the environment, as well as rising prices at the gas pumps, have contributed to an influx of purchasers relocating to the city’s core, placing properties near public transit at a premium.

The outlook for Ottawa’s resale housing market is optimistic, with average prices anticipated to rise and market activity to remain steady, through to the end of 2008.  Bolstered by the combination of a robust and unwavering local economy, and high consumer confidence, Ottawa’s real estate market maintained its title as the country’s most stable market during the second quarter.

In Winnipeg, limited new and resale housing inventory continued to tighten the city’s real estate market, and will do so for the remainder of 2008.  The limited supply of housing throughout the city had a dramatic impact on average house prices, which, for all housing types surveyed during the second quarter, experienced double-digit year-over-year increases. Inventory levels were tightened throughout Winnipeg due to an influx of provincial in-migration, during the second quarter.

Prosperity in both Regina and Saskatoon – generated by surging commodity prices and market speculation – continued to fuel interest in residential real estate throughout the province. In Regina, all housing types continued to demonstrate their resilience in the second quarter, as even a five fold spike in inventory levels could not dampen price appreciation.  As a result, average house prices continued to demonstrate substantial year-over-year gains. Similar to Regina, second quarter house prices in Saskatoon continued to climb at an exceptional, yet slightly slower rate than that of Regina’s.  Market conditions appeared slightly more balanced in the second quarter, when compared to activity in recent months.  Look ahead; listing inventory will rise, resulting in a slight period of stabilization. 

Calgary’s resale housing market moderated in the second quarter of 2008 – a trend that is expected to continue throughout the latter half of the year. After a period of substantial growth in new housing development and skyrocketing average house prices, Calgary’s real estate market took a collective exhale during what is typically one of the market’s busiest periods.  Signs of a market in the latter stages of a hurried boom are evident in Calgary, primarily in the city’s inventory surplus; inventory levels throughout the city will soon return to healthier levels as more speculators move east in search of new real estate development opportunities, while principle-asset homeowners hold onto their existing property until market conditions once again pick-up steam. 

Inventory levels – which increased substantially in the last 12 months – also led to a softening of Edmonton’s housing market during the second quarter.  The spike in the city’s housing inventory can be largely attributed to new housing construction and market speculation, which, in recent years, have both been rampant.  The high inventory levels will dwindle into the second half of the year, and as affordability improves, subsequent market conditions will continue to normalize.

In Vancouver, a spike in inventory during the second quarter simmered the heat in the long-standing hot market, resulting in single-digit average house prices increases for most areas examined, when compared to this time past year. Despite the increase in listing volumes, buyer’s interest remained strong and it is anticipated that much of the inventory will be absorbed over the next few quarters, leading to low single digit price appreciations through to the year’s end.

Victoria’s housing market continued to experience average price increases during the second quarter, compared to the same period last year.  While average house prices continued to increase, the pace has definitely tempered from the frenetic pace observed in previous quarters. Victoria is experiencing a more normal and healthier real estate market.

Survey of Canadian House Prices Second Quarter 2008
Average House Prices

The Royal LePage Survey of Canadian House Prices is the largest, most comprehensive study of its kind in Canada, with information on seven types of housing in over 250 neighbourhoods from coast to coast.  This release references an abbreviated version of the survey, which highlights house price trends for the three most common types of housing in Canada in 80 communities across the country.  A complete database of past and present surveys is available on the Royal LePage Web site at www.royallepage.ca, and current figures will be updated following the end of the second quarter.  A printable version of the second quarter 2008 survey will be available online on August 15, 2008.

Housing values in the Royal LePage Survey are Royal LePage opinions of fair market value in each location, based on local data and market knowledge provided by Royal LePage residential real estate experts.  Historical data is available for some areas back to the early 1970s.

About Royal LePage

Royal LePage is Canada’s leading provider of franchise services to residential real estate brokerages, with a network of over 14,000 agents and sales representatives in 600 locations across Canada.  Royal LePage is managed by Brookfield Real Estate Services, and is part of a brand family that includes Royal LePage, Johnston and Daniel, Realty World and La Capitale.  An affiliated company, Brookfield Real Estate Services Fund, is a TSX listed income trust, trading under the symbol “BRE.UN.”

For more information visit www.royallepage.ca or www.brookfieldres.com.

For the regional market highlights or to contact a spokesperson, please contact:

Tiffany Fisher
Mansfield Communications Inc.
Phone: 416.599.0024, ext. 222
Or e-mail: tiffany@mcipr.com 

Click here to view the national price chart (.PDF)

Printable version of this release (.PDF)

I’ve just sold a Single-family property at 240 Wildgrass Road in Mississauga. Come and visit my site to see other properties in that area. If you are interested in looking for or selling your home, please Contact Me.

Check out this new Single-family property that I just posted on my Web site. It is at 240 Wildgrass Road in Mississauga. This Single-family property has 3 bedrooms and 2 baths. Sellers & Agent Do Not Warrant Basement Retrofit .

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Healthy December Sales = Best Year Ever 

January 7, 2008 — A healthy 4,646 sales in December propelled 2007 sales to a record setting 93,193 sales, TREB President Maureen O’Neill announced today. “Year-end sales are up 12 per cent over last year and up 11 per cent over the 84,145 recorded during 2005, the Toronto market’s previous best-ever annual performance.”

On a year-over-year basis, prices rose seven per cent to $376,236 from last year’s $351,941. The annual time-on-market figure stood at 32 days versus 2006’s figure of 34 days, meaning that over the course of the past two years it has taken homes within the GTA barely a month to sell on average.

Breaking down the total, 1,756 sales were reported in TREB’s 28 West districts and averaged $357,711; 1,057 sales were reported in the 14 Central districts and averaged $531,366; 771 sales were reported in the 23 North districts and averaged $420,508; and 1,062 sales were reported in TREB’s 21 East districts and averaged $302,113.

NEIGHBOURHOOD CORNER

City of Toronto

The City of Toronto (E-1 to E-11, W-1 to W-10, and C-1 to C-15) recorded 39,052 sales in 2007, up 13 per cent over the 34,404 recorded in the previous year. Prices averaged $415,041, up 10 per cent over 2006.

See Full Report [in PDF format*]

If you are thinking about a real estate move and you are unsure about your timing in the market, consult your local real estate expert. Unlike other industries, Advice is free and does not mean you are obligated to buy or sell.

Taken from Toronto MLS marketwatch.

Below is the official results from the City of Toronto vote to implement new additional Land Transfer taxes . I think it is great that many of the public and many Realtors like myself got involved and Lobbied for a fairer approach to raising funds for the city. If you have followed the proposal from the beginning you can see that a number of concessions have been made on behalf of the City. Never-the-less, as I stated before, once we implement a new tax it is extremely difficult to have the tax removed. As I suspected, there is talk now of other municipalities in the GTA considering this form of tax increase to raise funds for their own infrastructure. I hear the city of Mississauga is now considering a proposal of a 5% levy on our property taxes or possibly our land transfer tax. Only time will tell. The official dates for Toronto’s tax increase are as follows:

October 23, 2007
City prepares to implement the Toronto Land Transfer Tax

Yesterday, Toronto City Council approved a new land transfer tax which takes effect on February 1, 2008. More details on implementation will be available at Executive Committee on October 29, 2007.For all purchasers:

• one-half of one percent of the value of the consideration on sales up to and including $55,000;
  
• one per cent of the value of the consideration on sales exceeding $55,000 up to and including $400,000;
  
• two per cent of the value of the consideration of land containing one and/or two single family residences exceeding $400,000;
  
• one and a half per cent of the value of the consideration on commercial properties including multi-residential units exceeding $400,000 up to $40 million;
  
• one per cent of the value of the consideration which exceeds $40 million.

Where the net revenue after transaction fees would result in revenue to the City of less than $2.00, the purchase would be exempt from the Toronto Land Transfer Tax.Purchasers with a Purchase and Sale agreement on or before December 31, 2007 will receive a full rebate of the Toronto Land Transfer tax regardless of the closing date.

For all reports and presentations on Toronto Land Transfer Tax please visit our website at http://www.toronto.ca/finance/revenue_tools.htm.Provincial land transfer tax information: http://www.rev.gov.on.ca/english/bulletins/ltt/2_2005.htmlToronto is Canada’s largest city and sixth largest government, and home to a diverse population of about 2.6 million people. It is the economic engine of Canada and one of the greenest and most creative cities in North America. In the past three years, Toronto has won more than 70 awards for quality, innovation and efficiency in delivering public services. Toronto’s government is dedicated to prosperity, opportunity and liveability for all its residents.

Check out this new Single-family property that I just posted on my Web site. It is at 543 Cottagers Green Drive in Mississauga. This Single-family property has 3+1 bedrooms and 3 baths. Great area, close to scholols, shopping, Cooksville GO train, parks, soccer, Baseball, splash pad, Huron park recreational centre. Safe for kids.

I have been writing to our politicians about the proposed Land Transfer tax extra billing and I have been watching the media and trying to come up with a solution to Torontos’ problem of having near empty coffers.
 According to Mayor David Miller, this proposed tax would help cover the city’s mounting expenses and next year’s predicted
shortfall of $575 million. Without a new source of revenue the city may cut funding from current programs and services. The Toronto Arts community is likely the first victim the chopping block.
I keep thinking back to when the GST was implemented and how scary the idea of paying at total of 15 cents (with PST) for every purchasing dollar spent. No matter how bad it seemed at the time, Somehow we got used to it. Somehow we copped.
The GST was supposed to be a short duration tax that would only last a few years. I was reminded of this fact when last year a whole penny was reduced off of our then, 7 percent GST taxes.
When a new tax is dropped on us Canadians it never goes away. I suspect that when/if a decision is made October 22 2007 that we will have some level of Land Transfer Tax increase over the existing rates.  “So what?” some of you might say. You could buy a house in the subburbs like Mississauga or Oakville and simply commute to a job in Toronto. Well, the reality is that once this new Land Tansfer tax is implemented it will affect everyone in the GTA even if you have no intention on buying a Real Estate in Toronto.
 If an individual is considering a new home or Condo in Toronto but the new land Transfer tax costs are closer to say, nine grand than around four thousand dollars, then that individual may start to consider a condo west of Etobicoke or a house in Brampton or a semi in Mississauga. This means more people on the roads driving downtown, taking the subways and crowding the buses.  It should also prove to be a positive affect on the home values of the bedroom communities of Toronto.
    Having helped lots of first-time buyers buy a home in Toronto I can clearly say that this new Land Transfer Tax will be a deterent to those single first-time buyers and probably second and third-time buyers.   
Some of the alternatives being considered are increased property taxes and an increase in Auto registration charges. When you consider the amount of home owners paying property tax in Toronto versus the number of people who buy a new home in Toronto, it seems to me that the government could have an enormous winfall filling the coffers every year, regardless of how active the Real Estate market is by going the route of Property tax increases.- Depending on the amount of the increase over the almost yearly increases we endure currently.
In the long run, for home owners in Toronto, we stand to pay even more by going with the property tax route than the 100% increase in Land Transfer tax. At least the Land Transfer tax is a one-time payment, providing you plan to stay in your new condo or house for a while.

 When trying to sell your home by your self, please consider some of the following costs listed below. Some of these pertain to costs that are also applicable if you use a Real Estate agent to sell your property, however using an agent like myself will help take the sting out of some of the costs while also ensuring a smooth transaction.

Summary of Cost:
1. Attend Local FSBO Seminar: $90
2. Determine Market Value (Appraisal) : $300-$400  (you could rely on a realtor to do this leg work for you at next to nothing but that agent is not likely to be happy about it.)
3. Home Inspection : $200-$450
4. Fixing Inspection Issues : $500-$3000
5. Staging Home : $150-$1000
6. Marketing Property : 2% Sale Price (With out access to MLS or a website that attracts buyers this really is a cost you must endure in both money and time)
7. Buyer Discount : 3% of sale price (As a private seller, buyers will expect a deep discount off your asking price regardless of how well it is priced)
8. Buyer Realtor Fee : 3% of sale price  (most Mississauga Agents with buyers under contract will require you to pay at least 2.5% to their brokerage)
9. Closing Cost: 1.5% of sale price

Assuming a $200,000 sale price the typical cost to sell a home FSBO (For Sale By Owner) could be between $18,000 and $30,000. This is definitely not cheep and this money does not include your time and effort, particularly the money you could have made while at work and not dealing with the sale of your home.

As you can see selling your home on your own can be quite a challenge, take valuable time away from other tasks like family or work, and cost a substantial amount of money. For this reason real estate agents like myself exist. Many people hire a real estate agent to help them through the gigantic task of selling their home. Even with a real estate agent the task of selling your home can be daunting.  If you really need to close fast because of your selling situation then a qualified Real Estate agent is the only way to get your property marketed properly and noticed by the pool of buyers who are looking to buy a place like yours in your neighborhood.

In the BrickYard Cooksville area of Mississauga I have personally witnessed private sellers encountering countless problems. Some people do eventually sell privately but at a much larger cost in money and time than they had originally expected. At the very least I think a FSBO should take a sebatical from their job so they can begin to learn some of  the skills involved in becoming a good Realtor because you will have to become a Realtor in training and a lucky, patient individual to be succesfull in selling your property yourself.  I wish you Luck!   If you would like to have your home featured on my websites for free, please give me a call. Whats in it for me? Hopefully a new buyer.

www.mynexthouse.ca