Bob Aaron: Buying a cottage unlike other real estate transactions

Buying a cottage or waterfront property can be quite different from single family residential homes. 
Make sure you have proper representation and select an expert in the field. Team Khan is affiliated with the right people to help you with your cottage property purchase. Give us a call and we will set you up with the cottage/waterfront experts. 

Have a read of this great article from the Toronto Star:

The beginning of the cottage season is a good opportunity for a reminder that recreational real estate transactions are unlike any other property dealings.

Speaking to about 1,000 real estate lawyers at a Law Society seminar earlier this month, Midland lawyer Fred Hacker pointed out that the main difference in cottage deals is the emotional fervour that surrounds the transactions. “Buyers aren’t buying a piece of real estate,” Hacker said. “They’re buying their sanctuary, their retreat, the focus of their family life, a lifestyle and the stuff of dreams.

“And sellers aren’t just disposing of real estate; they’re parting with memories, sentimental attachments, their history, and, in many cases, the best years of their lives.”

With this emotional context as a background, Hacker spelled out a number of pitfalls that distinguish cottage real estate.

Perhaps the biggest issue is whether a cottage property has proper access by public road, private road, unauthorized roads across private property or Crown land, or by the use of launch ramps or marinas for properties with water access only.

Making sure the deed describes the entire property the purchaser intends to buy is another big issue. Septic beds, wells and even all or part of the cottage itself may be located on a neighbour’s land due to historical sloppiness in marking property boundaries.

The critical need for a land survey is often overlooked. A survey will disclose whether the cottage is built entirely on the owner’s land underneath it, whether there is a shore road allowance, and whether the water frontage has decreased due to erosion or increased as a result of land fill.

“Waterfront” properties may not extend to the water’s edge, and a 66-foot shore road allowance is often owned by the municipality or a third party, with the cottage, dock or boathouse sitting on top of it. Docks or boathouses are frequently built on government-owned lake beds, usually without permits.

Previous owners may have “shored up” the water boundary to prevent erosion or to increase their lot size. Typically, the “filled lands” are not owned by the seller.

Hacker pointed out that low water levels on the Great Lakes are at a crisis point and cottage properties that once had their dock at their door now have hundreds of feet of ramps and docks as water levels recede. Cottages sitting on a bay where the water levels have dropped may see their waterfronts shrink as side lot lines are projected out towards the water, and begin to overlap each other.

As if these problems are not enough, cottagers may have to deal with contaminated soil, environmental restrictions, endangered species protection areas, development limits, aboriginal land claims, zoning bylaws, and illegal construction of cottages or septic systems without permits.

Sewage is a major issue in cottage country, and some buyers express shock when they find out that their new island cottage is not connected to municipal or any other system.

Many buyers assume that cellphone service, Internet service, land-line telephone service, cable television, garbage and snow removal, natural gas and other subdivision staples will be available at a cottage. In fact, not even hydro service is a given and electric generators or propane appliances may be necessary.

Furniture and personal effects are often sold with a cottage, but unless the offer is very well drafted, problems can arise when the agreement simply says something like “all contents as viewed.”

Hacker also noted that if buyers have a principal residence elsewhere, the cottage will be subject to capital gains tax on a sale unless title is held in the name of an owner who can legally declare it a principal residence.

Hacker’s main point was that the types of issues that are confronted in cottage country may vary from region to region, and are very different from those in urban real estate transactions.

If you’re buying or selling a cottage this year, make sure that your real estate agent, insurance broker and lawyer have a firm grasp of the complexities of recreational property transactions.

http://www.yourhome.ca/homes/newsfeatures/columnsandblogs/article/1168720--bob-aaron-buying-a-cottage-unlike-other-real-estate-transactions

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Is your neighbourhood hot - or not? A look at the Toronto market

Buoyed by ebbing economic concerns and favourable interest rates, demand for houses in the Toronto area was strong in the first three months of 2012.

Fully one third of homes sold on the Multiple Listing Service drew multiple offers as competition for well-located properties turned combative. But the intense demand was not limited to the city’s tony neighbourhoods, says Realosoply Realty Inc. president John Pasalis.

“With prices up 10 per cent over last year,” he says, “first-time buyers in search of value have driven up demand for homes in more affordable and lesser-know neighbourhoods.”

So just where are people buying? Check out the accompanying tables for west, east and central Toronto.

Chart 1. West Toronto: the state of the market.  Bloor West Village and Earlscourt are burning up, but Old Mill has seen better days

Chart 2. East Toronto: the state of market. Danforth dwellers have reason to smile - but it's not so cheery for Old East York.

Chart 3. Central Toronto: the state of market. Corktown and the Financial District see big drops, but things are looking up for Don Mills and Regal Heights

See the full gallery on Posterous

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Markham Town Council Approves Partnership For Mega Arena - 2014 World Junior Championships Coming To Markham?

Markham town council has approved a partnership and financial framework for a new $325-million sports and entertainment complex.

Council approved the proposal 10-2 shortly before 11:30 p.m. Thursday night.

No taxpayer money would be used in the proposed financial structure, said a spokeswoman for GTA Sports and Entertainment and its chairman and CEO Graeme Roustan.

The financial arrangement would see half of the cost paid by GTA Centre, LP, while the other half would be funded by local developers via payments to the town to service the debt, the spokeswoman said.

This was the second time town council has met in public to discuss the proposed NHL-sized arena.

GTA Sports and Entertainment is hoping to build a 20,000-seat venue at Highway 407 and Kennedy Road, with plenty of speculation it may one day be used in an attempt to lure a second NHL team to the region.

Developers insist the plan does not depend on bringing a second NHL team to the GTA.

The suburban venue would rival the Air Canada Centre in downtown Toronto because it would accommodate large crowds for sporting events, concerts and other special events.

Developers have already expressed an interest in bringing the lucrative world junior hockey championship to the complex. The annual tournament, featuring the world's top hockey prospects, generated an estimated $85 million in revenue for co-hosts Edmonton and Calgary when it was held over two weeks last December and January.

Via CP24

Asif Khan, ABR
Re/Max Hall of Fame
Re/Max Chairman's Club
Re/Max All-Stars Realty Inc., Brokerage
905-888-6222

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REALNET ANNOUNCES FIRST QUARTER STATISTICS

RealNet, Canada’s leading Real Estate Information Service, this week released its quarterly look at the Greater Toronto Area’s new home sales market, and presented some very interesting statistics.

Overall, it appears as though our hot market has yet to show any signs of lightening up. In the first quarter of 2012, new home sales totaled 8,194 across the GTA, which is an interesting number on its own. What makes it even more interesting is the trend that we are starting to see in the high-rise market. Toronto might be the condominium capital of the world, but RealNet stats suggest that some projects are now finding their way to the 905, with more than 46 per cent of high rise sales coming from the 905 area code, a pretty significant number. Launches of new projects in the 905 jumped to 44 per cent of total starts from 15 per cent in the first quarter last year.

“We are seeing more activity outside the City of Toronto, which in the case of High Rise sales is partly due to government policy encouraging intensification and development around planned transportation corridors,” said BILD Acting President Joe Vaccaro.

It also would make sense that given the shortage of land in the downtown core, builders would be looking to other areas of the GTA to help feed the thirst for condominium projects.

Another interesting trend is smaller unit sizes. Gone are the days where 700 square feet would get you a one-bedroom unit with a large den. Now, builders are maximizing space and putting a focus on creating livable, efficient condominium style homes. RealNet’s stats support this message.

“Through all of 2011, the index size of a new High Rise home was reduced by 52 square feet. During the first quarter of 2012, the index size was reduced by a further 30 square feet, bringing the index size of a new High Rise home in the GTA to 790 square feet,” said RealNet Canada’s president, George M. Carras.

So there we have it. RealNet has spoken, and the stats are encouraging for anyone involved with the new home industry. Thanks to our friends over at RealNet for providing us with these statistics. We look forward to their next release.

http://homesandcondosblog.com/home/realnet-announces-first-quarter-statistics-7040.html

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Ontario forecast calling property investors home

A new report predicts house prices in Ontario will continue to climb over the next three years, even as the market moves to a more investor-friendly climate.

"I don't agree with fears that record house prices are signs of a price bubble that must soon burst," said Helmut Pastrick chief economist for Central Credit Union. "While price levels are high relative to incomes, low interest rates are keeping mortgage carrying costs manageable. I expect rising rates will dampen demand a bit, but economic growth and growing employment will offset that decline."

That dampening effect should slow the movement of renters into homeownership, more specifically the condo market. The thinking is higher borrowing costs coupled with higher prices should cool their jets. And, indeed, prices are going to rise, according to the report.

Central 1, the financial facility and trade association for the B.C. and Ontario credit union systems in its report, Ontario Housing Outlook 2012-2014, predicts average house prices will increase about 3.4 per cent this year to $378,700, another four per cent to $393,000 in 2013 and 2.6 per cent to $403,200 in 2014. It also estimates that MLS home sales will rise two per cent to 204,400 units this year, stronger than earlier forecast. Sales will rise to 207,200 units in 2013, before dropping slightly to 205,000 in 2014.

"We expect prices and sales will continue to grow for the rest of 2012 and through 2013," said Pastrick. "Central 1's forecast is for Ontario's economy to grow moderately in coming years and the housing market will keep pace. Sales will slow a bit in 2014 but prices will keep rising."

The report also Ontario's Gross Domestic Product to grow by 2.4 per cent this year, 2.7 per cent in 2013 and 2.4 per cent in 2014, led by private sector activity, as governments at all levels struggle to trim their deficits.

Interest rates will remain near historic lows, even as they start to rise next year, keeping sales moving and prices rising, Pastrick said.

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Markham Town Council to Vote On 20,000 Seat Arena

Markham municipal council will vote today on a plan that would bring a 20,000-seat sports and entertainment centre to the Toronto area.

The $325-million GTA Centre would be built at the Unionville GO Station and the cost would be split between private investors and the local community.

The complex would be owned entirely by the Town of Markham.

The proposal, which requires a majority vote to pass, touts the facility as an ideal location for concerts, sporting and cultural events, as well as trade shows and community gatherings.

Its proximity to Toronto could make it a direct competitor to the downtown Air Canada Centre for trade shows and concerts in the area.

Graeme Roustan, head of the GTA Sports and Entertainment Consortium, calls the Greater Toronto Area an "under-served market" when it comes to sports arenas.

He said the Greater Toronto Area is the only community that has 5 million people, and the market is growing by 150,000 people a year.

Roustan said groups are trying to move the proposal forward as fast as possible because he plans to bid on bringing the World Junior Hockey Championships to Markham for 2014.

While the consortium says the plan does not rely on hosting an NHL team in the arena, there is speculation that the arena could be used to lure a second franchise to the Toronto area in the future.

Markham mayor Frank Scarpitti said the centre would not be like other sports venues across the country, where one event ticket would provide access to the entire centre.

According to the proposal, the GTA Centre would create 600 construction jobs over the next two years and 886 positions once the arena is complete. It would also give the local economy an estimated $61.1 million boost annually.

Via: CTVNews

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Time is running out to buy your dream home in the U.S., economist warns

If you’re thinking of buying property in the United States, buy now because prices won’t stay in the basement much longer, says a BMO economist.

“While there’s little urgency, now is likely a good time to buy U.S. real estate in regions with relatively low foreclosure rates, as conditions should improve enough to put a floor under prices this year,” said Sal Guatieri, senior economist, BMO Capital Markets.

Almost two in 10 (16%) Canadians would consider buying a home in America, according to a BMO survey. Just under half (44%) of these potential buyers cite affordability as the attraction, while one third see the property as a long-term investment.

Mr. Guatieri says that while the U.S. housing market remains soft, prices are likely to stabilize in 2013.

Single-family homes sales, while up 6% in the past year to the first quarter, remain 8% below their 20-year average. But Mr. Guatieri predicts that U.S. demand will improve on firmer job growth, improved affordability and easier lending standards.

“With mortgage rates at record lows and resale prices down 34% from the peak, only 12% of gross median family income is needed to finance the purchase of a typical house – nearly half the long-term norm,” he said. “In fact, it’s cheaper to own than rent in many regions.”

While Canadians with their eye on a select location in the States should act now, extreme bargain hunters can afford to wait, says Mr. Guatieri.

In the 15 states with a foreclosure rate above 4% — such as Florida, New Jersey, Illinois and Nevada — prices fell 3.5% in 2011. A one percentage point rise in foreclosure rates is associated with one-half percent decline in home values.

Mr. Guatieri said the flood of foreclosures is far from over as banks process the backlog of delinquent mortgages stemming from allegations of improper foreclosure documentation. Some estimate this so-called “shadow inventory” could be as many as 3 million homes, more than the total of houses on the market now.

http://business.financialpost.com/2012/04/24/time-running-out-to-buy-your-dream-home-in-u-s-economist-warns/ 

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Are You Earning Enough Interest

You may think you’re getting the best interest rate on your savings account. But unless you keep checking to see if a higher rate comes along, you can be left behind.
Here’s a cautionary tale about Rob Young, who didn’t ask enough questions about his savings account at TD Canada Trust.
In July 2010, Young got a letter saying his TD Guaranteed Interest Account was being changed to an Everyday Savings Account. He would have the same account number and interest rate.
If this account no longer suited his needs, he could book a free assessment, he was told.
 
TD launched a new High Interest Savings Account at the same time, paying more than Young was getting. But he didn’t know about it until recently.
Why didn’t anyone say he could have boosted his savings rate? He had come into the branch many times to update his passbook or transfer money to his chequing account.
Young complained to the branch manager, who sent him charts showing the interest rates on both accounts for his $45,000 in savings.
On July 24, 2010, he was earning 0.85 per cent in annual interest with his Guaranteed Interest Account. His rate dropped to 0.75 per cent, 0.6 per cent and then to 0.5 per cent in April 2011, where it has stayed.
The High Interest Savings Account was paying 1.1 per cent in July 2010. The rate rose to 1.25 per cent in October 2010 — before going to 1.2 per cent in September 2011 and staying there.
Young was out one-quarter of a percentage point by staying with his original account. Later, he was out almost three-quarters of a percentage point.
“I made about $240 in interest last year, but could have made $540,” he told TD.
“Over the years, I’ve been asked about the $45,000. Would I like to make an appointment with a TD adviser for mutual funds? But I’ve never been told about the high interest savings account.
“Why do I need to hear about it on the street? How do you think this made me feel? Will TD make up the difference since the account’s inception?”
Young wrote to TD chairman Brian Levitt, who acknowledged his email but offered no reimbursement. The TD ombudsman also brushed him off.
“The decision to realign savings accounts was a bank-wide policy change implemented across the customer base and is therefore not within the mandate of the ombudsman’s office to review or change,” he was told.
TD said it was his responsibility to look for other savings opportunities or get a free assessment.

I believe that large companies should treat loyal customers with respect. And when Young wrote to me, I asked if he had other accounts at the bank.
Yes, he had a mortgage, which he planned to move at renewal. He’s been a customer for 25 years, starting in the Canada Trust days when he used a Johnny Cash machine.
“I enjoyed getting a yearly Christmas card. I enjoyed the fact that many tellers have known my name, known that my Mom or Dad had died. That is what a good banking relationship should be all about,” he said.
Bingo. TD spends millions of dollars to show it cares for clients. How can it turn down a request for a few hundred dollars by a longtime client who feels the bank ignored his needs?
Spokeswoman Barbara Timmins said the details of the new account hadn’t been finalized when the letters of notification were sent to GIA customers.
“We train our branch and phone staff to have regular conversations with customers to ensure they’re in the right account for their needs. We also provide full information about account options on our website (as well as in branch) and have an account selector tool.
“Unfortunately, the customer did not benefit from either. In this case, we are prepared to make a goodwill gesture to compensate him for the interest rate differential between the two accounts.”
Here’s my advice: Never assume you’re getting the best deal. New plans come out all the time — and companies don’t always tell you about them.
But if you miss out on a deal you think you deserved, play the loyalty card. Say you plan to leave and take your friends and family with you. That alone can turn the odds in your favour.

Ellen Roseman writes about personal finance and consumer issues. You can reach her ateroseman@thestar.ca or www.ellenroseman.com

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Busy spring real estate market expected

Major Canadian housing markets have continued to show "exceptional resiliency" so far this year, setting the stage for a busy spring, according to a major Canadian real estate organization.

In its market trends reports, Re/Max said its survey has found that 12 of 15 Canadian centres, or 80 per cent, reported sales activity in January and February that was ahead of last year's levels.

More than half of the cities reported double-digit increases, "with the strong demand and diminished supply setting the stage for a heated spring 2012."

Re/Max said low interest rates, coupled with strong consumer confidence levels and a mild winter played a significant role in the upswing, ushering in an early start to the spring market.

Average prices climbed in 14 of 15 markets, although price appreciation was more tempered, with only three markets -- Toronto, Winnipeg and St. John's, N.L. -- posting gains in excess of 10 per cent.

However, tighter inventory levels at entry-level prices have sparked bidding wars -- particularly in the Winnipeg and the Greater Toronto Area -- with similar conditions starting to emerge in Saskatoon, Regina, London-St. Thomas, Hamilton-Burlington, Ottawa, St. John's and Halifax-Dartmouth.

"Given the current economic climate, the strength of the country's housing market clearly reflects the value Canadians place on home ownership," said Michael Polzler, executive vice-president of Re/Max.

In terms of sales volumes, the best performing markets heading into the traditionally busy spring period were Halifax-Dartmouth, up 35 per cent, Saskatoon (21 per cent), Saint John, N.B., (20 per cent), Regina (16 per cent), St. John's (12.5 per cent), Greater Toronto Area (12 per cent) London-St. Thomas (11 per cent) and Edmonton (11 per cent).

Only Vancouver, Kitchener-Waterloo, and Winnipeg have experienced softening in housing activity so far this year. Sales are down 16 per cent in the Greater Vancouver, 4.5 per cent in Kitchener-Waterloo, and Winnipeg down 0.2 per cent.

Meanwhile, despite expectations of continuing strong sales, price gains are likely to be "much more moderate that in years past," said Elton Ash, regional -vice-president for Re/Max in Western Canada.

"We expect this will remain the trend moving forward, in line with the Canadian economy, as GDP growth also moves ahead at a more subdued pace."

However, Ash said local conditions vary, with inventory shortages driving prices in some markets while others, such as in the case of Saskatchewan and Newfoundland, the local economy has shown extraordinary strength.

"On the whole, this is a very stable and healthy housing market in line with traditional norms, with few exceptions," he said.

Re/Max said first-time buyers have been driving demand in both the smaller and major markets, in turn sparking strong sales activity among move-up purchasers at higher prices.

"As a result, the upper-end of the market has also held up well. There's no question that the spring 2012 market will see all segments working in tandem."

http://www.cbc.ca/news/business/story/2012/03/22/remax-housing.html

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Easy outdoor staging tips to make the right first impression

One of the fastest growing real estate considerations in America today is something called "staging" your house, meaning furnishing, decorating, outdoor clean-ups and ultimately arranging homes in such a way to attract increased buyer interest.

A recent national survey indicated that staged homes sold on average in 13.8 days, while non-staged homes sold in 30.9 days. Because your home is competing with other nearby comparable listings, staging your home is important for getting the best price when you sell. Here are some outdoor staging tips to optimize your curb appeal, give you a competitive edge vs other homes for sale in your area, and sell your home quickly.

• Ensure your flowerbeds are turned, weed free, and properly edged. All hedges should be evenly trimmed and the lawn regularly maintained. It’s a clear indication that you are a conscientious homeowner and that you value your home’s appearance. If you’re not into gardening, paying for a quick landscaping job might be well worth the investment.
  
• Check to make sure all outdoor lighting is in good working order. Consider leaving them on slightly longer than normal to encourage potential ‘drive-by’ viewings from interested buyers during the evening hours.
  
• Ensure your front entryway is presentable. A great exterior accent piece is a freshly painted front door, which, when combined with a few seasonal potted plants, will create a more welcoming entranceway for prospective buyers.
  
• Polish the front doorknob or handle and replace a dented or tarnished mailbox. Make sure your home address numbers can be easily seen from the street to facilitate potential viewings.
  
• Check if your aluminum siding or brickwork needs washing or your gutters need cleaning. If dead leaves are spilling over from your eaves troughs, buyers tend to get a negative impression.
  
• If you have a wood deck, make sure the stain or paint looks fresh.  Good-looking patio furniture will contribute to the look of the backyard.  If yours looks slightly run down, consider purchasing a new set – something you can take with you when you move.
  
• Clean up yard clutter and put away the kids’ outdoor toys to help enhance the size of your yard.
  
• Ask your Better Homes and Gardens® Real Estate agent to review the outdoor space and make suggestions that will enhance your home’s appearance
  http://www.bhgrealestate.com/Learn/Buying-and-Selling/Easy-outdoor-staging-tips-to-make-the-right-first-impression.html

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Home sales are rising in the 905 regions

Earlier this week, I was invited to sit on a panel and give the industry perspective on what has been happening in the first three months of this year regarding new home sales and market trends.

The panel was organized by RealNet Canada Inc., BILD’s official source of new home market intelligence, which at the same time released sales figures for the first quarter. A total of 8,194 new homes were sold across the GTA between January and March this year.

But here’s what stood out to me: 46 per cent of the highrise sales came out of the 905. It’s true that we are seeing more activity outside the City of Toronto, which in the case of highrise sales is partly due to government policy encouraging intensification and development around planned transportation corridors.

Now, before we start imagining the City of Toronto’s skyline in municipalities like Vaughan, Markham or Oakville, I think it’s important to note that highrise projects in the 905 are typically half to one-third the size of what you’d see built in downtown Toronto. Still, the industry is answering the market demand for highrise choices in the 905.

To put offer a little more in perspective, 42 new housing projects were launched over the last three months and 35 more are expected in the next quarter. During the panel discussion I learned that the projects that launched this time last year were mainly lowrise, but this year, 44 per cent of them are highrise projects in the 905 municipalities.

However, the lowrise market led in unit sales so far this year and that leads me to believe that no matter what municipality you want to live in, there will always be affordable housing options for you.

If you’re just entering the real estate market, a condominium unit might be the most affordable way for you to do it. If you’re in the market but need more space, maybe it’s a townhouse or a single-family home that will catch your eye.

But here’s what everyone really wants to know: What does it cost?

Looking at pricing over the last three months, the average price of a new lowrise home in the GTA is $567,567, which has gone up from this time last year by 10 per cent, mainly because of the increase in production costs and government-imposed fees and charges.

The average price of a condominium unit in the GTA is $421,839, down 5 per cent from this time last year and this is mainly because the size of the units are shrinking.

After taking part in the panel discussion this week, my best advice is to research the new projects launching in the city or town where you want to live and see what works for you, your budget and your lifestyle.

PAUL GOLINI JR.

http://www.yourhome.ca/homes/newsfeatures/article/1163941--home-sales-are-rising-in-the-905-regions

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Ten Home Improvement Projects That Add Value To Your Home

Can't stand your scary, cobwebby basement one more minute? Is it past time to replace the pink-and-aqua tiles and porcelain in the master bath? Maybe you're sick of the curling, chipped vinyl floor, the tacky cabinets, and cramped layout of your kitchen.  Perhaps you're trying to convince your partner that the siding is sad and stucco would be stupendous. But your partner wants to build a deck…

What are the best home improvement projects to undertake? It depends on your goals and plans. If you're trying to sell your property soon for the highest possible price, your priorities are likely somewhat different than if you're planning to stay for a few years and want to improve your family's quality of life.

If you're selling, focus on the renovations a buyer would be most likely to undertake, not those you're most itching to do. You might dream of putting French doors and a Juliet balcony in the master bedroom, but if your kitchen is twenty-five years old—or even fifteen—you're better off directing your home improvement dollars there. Buyers generally focus on kitchen and bathroom quality, along with overall living and storage space. Kitchen and bathroom remodeling projects are among the most disruptive undertakings, so buyers especially appreciate upgraded fixtures, appliances and décor in these rooms.

Here are ten worthwhile home improvement projects and the percentage of cost typically recouped at resale (in a seller's market):

1. Painting
If you're only going to do one thing, paint. Interior/exterior painting is one of the very few improvements on which you are likely to realize a profit—as long as you choose tasteful, current, neutral colours and the work is very professional.Payback: As much as 300%

2. Kitchen remodeling
Typically one of the most expensive improvement projects, and you can quickly run up a huge bill. Careful planning and shopping will help minimize costs here. When remodeling the kitchen, remember to keep the project in line with the style and quality of the rest of the house and neighbourhood.  Just as there's no point in putting a pricey granite countertop on dated-looking 1970s cabinets, there's no point in installing a $50,000 kitchen in a $200,000 house.  Payback: 68-120%.

3. Bathroom addition
If your home has only one bathroom and is meant to house more than two people, a bathroom addition should be one of your top priorities. If most homes in your neighbourhood have two, three or more bathrooms, and yours has just one or one-and-a-half, you will definitely increase your property value by adding a bath. Payback: 80-130%.

4. Bathroom remodeling
Upgrading a pokey bathroom will enhance the value of your home and add to your daily comfort and enjoyment. White porcelain is the safe, timeless choice here. Payback: 65-120%.

5. Finishing unfinished space
Whether it's an attic or a basement, by finishing these spaces you add significant value to your home, increasing square footage without having to build. Payback: 50-90%.

6. Window/door replacement
If your windows or doors are wasting energy or simply decrepit-looking, replacements can be an excellent use of your home improvement dollars. Stick to standard styles; odd shapes and highly customized arrangements do little for resale value.Payback: 50-90%.

7. Deck addition/improvement/expansion 
Decks are one of the few exterior improvements with any significant return, apart from painting. Payback: 65-90%.

8. Additions of bedrooms, family rooms, sunrooms, conservatories, garages, etc.
Increasing square footage is almost always an excellent use of remodeling dollars, but don't expand your home so much that there's little outdoor space left. Payback: 50-83%.

9. Home office remodeling
This project is becoming increasingly popular. Be sure to plan for plenty of electrical and cable outlets to accommodate all the required machines and gadgets. Payback:  60-73%.

10. Energy efficiency retrofits
If your primary concern is return on investment, proceed with caution. Some retrofits, like better insulation and high-efficiency furnaces, pay for themselves relatively quickly. Others, like solar panels, heat recovery ventilators, and tankless water heaters, may take years to pay for themselves. Payback: Highly variable.

Two projects that are unlikely to pay off at resale: swimming pools (which may even adversely affect your property value) and excessive landscaping (buyers may admire it but few will pay extra tens of thousands even if that's what you spent to improve the grounds). And remember that badly done remodeling/renovation projects will cost you in two ways. You won't pay just for labour and materials; you'll pay when buyers see a project that has to be redone.

http://contractorquotes.ca/article-ten-home-improvement.asp

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Eco-friendly renovations make your home healthier and more affordable

For homeowners fantasizing about renovations they want to undertake this spring, eco-friendly upgrades likely aren’t at the top of their wish-lists.

But recent changes to the Ontario Building Code — higher energy-efficiency standards have been introduced in an effort to reduce the carbon footprint of homes — mean it’s a good time to make greening your home a top renovation priority.

A greener home saves you money over time through lower energy costs. It’s also a healthier place for you and your family, not to mention kinder to Mother Nature.

The scope of your green renovations depends on your budget, of course. You could completely gut your place and do the renos all in one go, or chip away at the upgrades over several years.

Either way, it’s vital you take time to determine your home’s needs and create a plan of attack.

You ought to audit

The first step is getting a home energy audit. This assessment — done by an independent certified evaluator for about $400 — will show how your home uses energy and, more importantly, where it’s being wasted.

“It will give you detailed information on how your home is operating and give you tips on how to best allocate your money,” says Brendan Charters, development manager with Eurodale Developments.

Find good help

Sourcing a qualified green contractor is key, particularly if you’re doing a substantial reno. Renomark.ca is a handy resource, offering a searchable contractor database.

“You go to your general physician when you have a cough and, if it’s something serious, he’ll send you to a specialist,” notes Charters. “I’d recommend the same thing with green renovations — bring in the specialist that lives and breathes these kinds of projects.”

Given the tendency for green washing — service providers claiming to be green when they’re not — you have to do your homework.

Check references and past jobs the contractor has done. Get quotes from several builders.

Envelope please

When it comes to the green renos themselves, nothing is more important to your home’s energy efficiency than the building envelope. So proper insulation must be a top priority.

“It’s definitely the first thing that comes up,” says David Males, owner of Northern Edge Construction Services. “Most of the older houses in Toronto have no insulation.”

The best method is to apply spray foam insulation on all exterior walls. This is a big, expensive job that requires removal of interior walls and/or exterior cladding material.

A less-invasive and cheaper approach involves poking holes in the walls and injecting foam into the space between the interior and exterior walls.

Be sure to insulate your attic and basement, areas through which enormous amounts of heat can be lost.

Replace older windows with new energy-efficient ones and check that newer windows have proper caulking and sealant around all openings.

“You want to look at the whole house as a working system,” Males says.

Blowing hot and cold

The home’s mechanical systems should be the next area of focus.

Upgrading heating and air-conditioning systems can set you back $10,000, but the cost savings over time and improved indoor air quality make them crucial green upgrades.

Charters recommends a two-stage gas furnace. “In Toronto, we live in minus 1, plus 1 temperatures, so you don’t necessarily need the full force of the furnace coming on every time,” he explains.

“A two-stage furnace fires lower in the first stage and ramps up when it’s 10 to 15 below, so it’s more efficient.”

Another upgrade option is a heat recovery ventilator system, or HRV, which uses hot air from inside the house to warm up incoming outside air, providing a constant supply of fresh air without extra heating costs.

“I’m a huge proponent of HRVs,” says Sandra Baldwin, owner of Lifetime Contractor. “The renovated home will be much more air-tight, so the ventilation of the house is important.”

Also address your hot-water situation. If your house has a gas-heated water tank, get a more efficient model. Or consider an electric-fired tankless water heater, which heats water on demand.

Let it rain

Water conservation must be part of any green renovation plan.

Installing more efficient plumbing fixtures and appliances — dual flush toilets, low-flow taps for example — can help cut consumption.

Baldwin swears by rainwater barrels, which collect water for use in gardening. “It’s not an expensive item, but it could really make a difference if everybody started to harvest rainwater in our city.”

Greater good

Green renovations can be costly: a complete gut job involving top-to-bottom insulation, mechanical system overhaul and new energy-saving infrastructure could set you back more than $150,000, Charters estimates.

There are simple and cheap eco-friendly improvements homeowners can make: switching to compact fluorescent, halogen or LED lights; installing a programmable thermostat and timer switches for lighting and electronics; or using low- or no-VOC paints and adhesives.

Unfortunately the government of Canada is ending its ecoENERGY Retrofit program — which provides grants up to $5,000 for homeowners to make their homes more energy-efficient — on March 31.

But Baldwin, who sits on BILD’s Green Leadership Committee, thinks we should be improving the energy efficiency of our homes for the greater good anyway.

“As a community, we have to do it for our environment, for our children and our grandchildren, not because we’re going to get a few bucks back at the end of the exercise.”

http://www.yourhome.ca/homes/repairsandrenovations/article/1163270--eco-friendly-renovations-make-your-home-healthier-and-more-affordable

Posted via email from Markham Real Estate Today with Asif Khan

WIN Free Seats to AHL Playoff Hockey in TORONTO!

Playoff hockey is alive and well in Toronto! Want FREE Seats? Follow us on Twitter @TeamKhanREMAX and @REMAXAllStar, or like our page on FB facebook.com/asifkhanremax. Then email your reason for wanting to win a pair of tickets to teamkhan@asifkhan.ca. Most creative reasons will be displayed on our FB page and on twitter! Winners will be notified on Thursday morning as your Toronto Marlies take on the Rochester Americans in round one!!

See the full gallery on Posterous

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Donald Trump cuts ribbon on Toronto's Trump Tower

Real estate mogul Donald Trump was in Toronto Monday to officially open a 65-storey luxury tower near the heart of the city's financial district.

The 900-foot Trump International Hotel and Tower, at 325 Bay St. just north of King Street, is part hotel and part condominium building. It has 261 hotel rooms and 188 condo units.

There was much pomp and circumstance at the ribbon-cutting event, as Trump was piped in by a bagpiper and greeted by Mayor Rob Ford.

"This city is booming and we know that people come to this incredible hotel, which is also Canada's tallest residential building," said Ford during an opening speech.

Trump called the tower one of his finest buildings, something that turned out even better than he thought it would.

"It's got not only a change to the skyline, but it's got a change in quality," Trump told reporters. "We've got a level of quality, the likes of which few places have ever seen."

Speaking to Canada AM, Trump said he loves Toronto and has many friends here -- but something was missing.

"It really needed something like Trump International, it really needed what we built, so we're very happy about that," Trump said.

Trump also had three of his children with him at the ribbon cutting: Ivanka, Eric, and Donald Jr.

Trump broke the ground on the tower in 2007.

It has been open to the public since January 31, 2012.

With files from CTV Toronto's Collin D'Mello

http://toronto.ctv.ca/servlet/an/local/CTVNews/20120416/donald-trump-toronto-tower-120416/20120416?hub=TorontoNewHome

Posted via email from Markham Real Estate Today with Asif Khan

Bank Of Canada Leaves Rate Unchanged - Great Opportunity For Home Buyers

OTTAWA — via CP24 - The Bank of Canada has left the key overnight interest rate unchanged at one per cent, but is signalling the days of super-low borrowing costs are nearing an end.

The bank says that's because economies around the world and in Canada are doing better than it previously thought and inflation is stronger.

For Canada, the bank believes that means economic growth of 2.4 per cent this year, well above the two per cent expectation it set in January, although next year's expansion will be more moderate at 2.2 per cent.

The bank envisions the economy will return to full capacity for the first time since the recession in the first half of next year -- one or two quarters ahead of its expected pace.

In light of the reduced slack, the bank says some modest withdrawal of what is views as very stimulative interest rates may be in the offing.

The next policy setting is June 5 but it gives no hint as to whether it has such an early move in mind. The central bank has kept interest rates at the current level since September 2010.

Asif Khan, ABR
www.asifkhan.ca
Re/Max All-Stars Realty Inc.
Re/Max Hall of Fame

Posted via email from Markham Real Estate Today with Asif Khan

Realtor Safety - Staying Safe In The Field

The safety of a Realtor has been discussed in many circles over the last year. With the day to day reality of a Realtor meeting random individuals and putting themselves in vulnerable positions, the importance of safety and security should be first and foremost.  My team has implemented a few safety precautions and all Realtors/Teams should do the same.  These include scheduling sign/ad calls as a group when it is convenient; inviting prospective clients to a scheduled open house; having the initial meeting with a new buyer/seller at the office; doubling up for the first couple of appointments with a new client; and qualifying prospective clients on the phone to set up face to face meetings in a public place prior to showing a property or going on a listing appointment. 

Below is an article from ABC News that stresses the importance of taking precautions and using the "buddy system" whenever possible. 

The murder of 27-year-old real estate agent Ashley Okland in a suburban Iowa model home is the latest example of rising violence in an industry that has been buffeted by the mortgage meltdown.

Okland was found inside a model home in West Des Moines, Iowa, last week after being shot by an unknown assailant. The victim is one of more than a hundred in the real estate profession who have been killed on the job since the foreclosure mess began in 2008.

"A real estate agent makes a living meeting a complete stranger in an empty home," says Tracey Hawkins, owner and safety product speaker at Safety and Security Source.

The recent recession hasn't improved safety as agents show properties much more often to make a sale and visit rougher areas for distressed or abandoned properties.

"Agents may encounter squatters, angry former homeowners or even encounter abandoned pets that may be aggressive," says Hawkins. "These properties are often meth labs, or pot houses, and encroaching upon them is dangerous."

To keep agents safer, Hawkins created a program for selling foreclosed, real estate owned (REOs) and abandoned homes called Real Estate Agent Safety for Distress Properties.

Social media is increasingly becoming a tool used by criminals to track their prey as agents leave a Web trail on places like Facebook and Twitter. "They announce their open houses, therefore would-be criminals know where they are," says Hawkins. Stalkers can target them at an open house or go rob their homes, thanks to the information divvied out on social media Web sites, says Hawkins.

In the group that Hawkins moderates on Linkedin called The Real Estate Agent Safety Forum, the 209 members discuss violence taken from news headlines. After a real estate agent was choked and robbed in Seattle, one member posted, "I would have reached into my ankle holster, pulled out my gun and shot him. End of problem."

Violence is quite a problem in the field. The real estate and rental and leasing occupation has seen an average of 75 deaths a year from 2003 to 2009, according to the Bureau of Labor and Statistics. Hawkins is seeing more agents carrying pepper spray, guns and Taser guns as safety measures.

To stay safe she recommends first meeting clients at the office where others are around. "Criminals don't want witnesses," says Hawkins. She advises agents to get a copy of a client's driver's license and keep someone informed about your whereabouts at all times.

"Agents must trust their instinct. If they have a bad feeling about a person or situation, instead of being politically correct, they need to listen to their bodies," says Hawkins. And, don't be afraid to call 911.

"Police officers will tell you they rather come to a false call than a crime scene."

6 Crimes Against Real Estate Agents

Andrew VonStein, a 51-year-old real estate agent in Ohio's Portage County, was shot dead by a disgruntled client in one of the homes listed by the agent. The top agent was allegedly lured to the home by Robert W. Grigelaitis, who was upset about a sour deal that resulted in his wife losing her home.

Vivian Martin, the owner of Essence Realty, was found dead in a listed home engulfed in flames in Youngstown, Ohio. The real estate agent, a colon cancer survivor who was battling liver cancer at the time, was robbed of $56 and strangled by men claiming to be home buyers.

40-year-old Sarah Anne Walker was hosting an open house at a model home in McKinney, Texas, when she was stabbed 27 times by a felon out on parole. Her alleged killer was later arrested.

The body of Brenda Wilburn was found bound inside the closet at her home in Pulaski, Tenn. The real estate agent was allegedly murdered and robbed by Robert Wayne Garner, who will stand trial on August 8.

71-year-old Ann Nelson was robbed, strangled and beaten with a fireplace poker in 2008 while showing a home to a man she believed was a prospective home buyer.

An Orange County real estate agent was raped and bludgeoned by a man masquerading as a prospective home buyer. The man raped the agent after finding her photo online. The agent was able to survive the brutal attack by alleged assailant Shawn David Yates after pretending to be dead.

Although the examples above are from the United States, we've seen a handful of these crimes north of the border in the last few years, especially in the Real Estate hotbeds of Toronto, Vancouver and Victoria.  To my fellow Realtor friends, be smart out there.  Clearly, there is no deal worth risking your life for.  Be safe!

Asif Khan, ABR

Re/Max All-Stars Realty Inc.

Re/Max Hall of Fame

Google me: Asif Khan ReMax

Posted via email from Markham Real Estate Today with Asif Khan