CMHC report on New Home Market

This is the latest report by CMHC regarding the new homes market, there is a dichotomy!

This is likely my final post for 2008. I wish you a Happy New Year and all the best to you and your family in 2009.

Thank you,

Mark

New Home Market

Housing Starts Moderate

The seasonally-adjusted annual rate (SAAR) of total housing starts dipped below trend in November for the Toronto Census Metropolitan Area (CMA).

In response to higher home prices, comparatively less expensive high-rise home types have been increasingly popular.

Total home starts on an unadjusted basis were almost 25 per cent above last year’s level for the January through November period. Condominium apartment starts remained the driver – up by over 130 per cent.

Starts for all low-rise housing types were down compared to the same period last year, while apartment starts were up.

The dichotomy between high-rise and low-rise home construction remained in place year to- date through November.

New Real Estate and World Economy

Some personal thoughts as we end a miserable econonic year for the stock markets and the economy in general.

We are into a new type of world economy

The US still leads but is no longer the force it once was, so not all follow US lead anymore

Greed will always prevail, so gold should be good for short run, there will be another disaster in the future that will cause a spike and that may be the time to unload

This is why the stock markets fluctuate 10% in a day and nobody blinks an eye anymore

Real estate does not follow 7 year cycles any longer, we just finished a 13 year cycle here in Toronto, interest rates are at historic lows, inflation is low, oil is low, wages are still too high

The future is indeed uncertain, the US will NOT go bankrupt and we will be out of this mess by mid 2010, the problem is that we have not hit bottom yet and there is $uch more pain to come

We've had these cycles before, we must hit despair before we can have hope

Obama will brighten things a little and give us hope

As for precious metals I think that zirconia looks just as nice as diamonds!

Enjoy the winter and all the best to you and your family in the New Year!
Mark

For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

test post since having publishing problems

For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

RBC reporting that Canada on course for recession

The Royal Bank of Canada, RBC, is reporting that Canada is heading for a recession in 2009. This seems to be a common prediction and will likely continue for at least the next one to two quarters.

This is what RBC reported

Canada on course for recession

- Canada, while somewhat insulated by a solid financial system, now faces a number of negative factors. With commodity prices slumping, the positive growth momentum in Canada's domestic economy will be challenged by erosion in the terms of trade that will dampen income growth next year and the recent widening in spreads and tightening in lending standards argue for slower household spending and a cut in business investment.

- We expect price pressures to continue to ease; the headline inflation rate is forecast to average 1.2% in 2009, one-half the estimated 2008 rate. The Bank of Canada's core inflation rate, which did not climb alongside the headline measure in 2008, is expected to hold steady at 1.6%.

- As a result, we now expect Canada's economy to contract in both the fourth quarter of 2008 and first quarter of 2009. On average, Canada's economy is still expected to eke out mild growth next year of 0.3%, half the pace of this year's estimated 0.6% increase and much slower than the 2.7% pace of 2007.

Gasoline Prices following the economy down!

Gasoline prices are reaching levels we have not seen in many years. The current price at the pump as of December 28 2008 is about 66.4 cents/litre in and around the GTA. This is exceptionally low compared to prices of late. We paid $1.49 per litre for gasoline at the pump located at the Port Credit Harbour Marina in mid August!

See the graph below to see how prices have fallen

Mark



For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

Mortgage Interest Rates are still falling

You can see the rates below are slightly lower than the rates that I posted here on my blog a week ago, this is good news for those that are thinking of buying or refinancing their mortgage in the next while.

I hope this finds you happy and healthy!
Mark

TERM	POSTED	Best Obtainable RATES*
6 Month	5.90%	5.89%
1 Year	5.60%	4.00%
2 Year	6.25%	4.94%
3 Year	6.25%	4.84%
4 Year	6.09%	4.79%
5 Year	6.75%	4.72%
7 Year	7.20%	5.80%
10 Year	7.55%	5.95%
Variable Rate		4.10%
Prime Rate		3.50%

* Rates may vary and are subject to change without notice.
Rates Last Updated: Friday, December 26, 2008

Enjoy,

Mark

CONSUMER PROTECTION Act and Real Estate in Ontario

CONSUMER PROTECTION ACT

The Consumer Protection Act, like the previous legislation. the Business Practices Act. is designed to prohibit unfair practices in sales to consumers.

Although the Act does not affect representations made during the course of selling "real property,'' it does apply to real estate brokerages when representations are made during the course of selling goods and services'' to consumers.

A seller or buyer who complains, under this Act. that there has been an unfair practice in the selling of the registrant's
services, may cancel the contract sue for damages, and/or one a complaint with the Consumer Protection

Branch of the Ministry of Government Services. The type of contract that may be cancelled would therefore be a ''service'' or representations agreement.

Real property, as such, is not included in the definition of goods, however, registrants are affected when providing services: e.g.. listing, representing buyers, appraising, and arranging financing. For example. if a listing or buyer representation agreement is obtained through the use of an unfair practice as deamed by the Act the seller or buyer is entitled to rescind the contract.

An unconscionable consumer representation made in respect of a particular transaction is determined by various considerations. An unconscionable consumer representation occurs if the person making the representation or the employer knows or ought to know: ''

. that the proposed transaction involves or does not involve rights, remedies. or obligations if the indication is false or misleading;

that uses exaggeration. innuendo, or ambiguity as to a material fact or fails to state a material fact if such use or failure deceives or tends to deceive; or

* that misrepresents the purpose or intent of any solicitation of or any communication with a consumer.

Unfair Practices

Unfair practices are grouped under False and an unconscionable consumer representations. A false, mts fading, or deceptive consumer representation includes, but is not limited to, a representation: . that the goods or services have sponsorship, approval. performance characteristics, and benefits or quantities that they do not have; . that the person who is to supply the goods or services has sponsorship. approval, status, affiliation, or connection that he/she does not have;

* that a specific price advantage exists, if it does not;

. that misrepresents the authority of a salesperson,
representative, employee, or agent to negotiate the
final terms of the proposed transaction;

. that the consumer is not reasonably able to
protect his/her interests because of his/her
physical infirmity, ignorance, illiteracy , inability to
understand the language of an agreement, or
similar factors;

. that the price grossly exceeds that at which similar
goods or services are readily available to like
customers;

. that the consumer is unable to receive a
substantial benefit for the subject matter of the
consumer representation;

. that there is no reasonable probability of payment
of the obligation in full by the consumer;

. that the proposed transaction is excessively onesided
in favour of someone other than the
consumer;

. that the terms and conditions of the proposed
transaction are so adverse to the consumer as to
be inequitable;

* that he/she is making a misleading statement of
opinion that the consumer is likely to rely upon to
his/her detriment; or

that he/she is subjecting the consumer to undue
pressure to enter into the transaction.
Session .3 * Legislation & Current Issues

Complaint Procedures

The consumer may complain of unfair practices, for
example. in the case of a seller who claims to have
signed a listing because of undue pressure. Several
alternatives are available in such cases


The seller may rescind or cancel the contract which would terminate the listing upon giving a written notice to the agent, personally or by registered mail, within six months after the agreement was signed

The seller is also entitled to any remedy available
at law including damages that may be ordered by
a court for fraudulent or negligent
misrepresentation or for breach of the duties of
an agent.

If rescission is not possible (property is sold and a
selling agent may be entitled to payment under
the agreement), the seller can recover the amount
of commission paid that exceeds the fair value of
the service. or damages. or both. The court can
also award exemplary or punitive damages.

The seller has another avenue that involves filing a
complaint with the Consumer Protection Branch of
the Ministry of Government Services. An
investigation, search of business premises, removal of
records for copying, and other administrative
procedures may follow. Such a complaint may include
the issuance of an order by the Director of the

Consumer Protection Branch requiring compliance. A
breach of the Act or failure to comply with the
Director's order may result in prosecution. To access
the Consumer Protection Branch

I hope this finds you happy and healthy,
Mark

Current Canadian National Mortgage Interest Rates

See the current rates below

NATIONAL MORTGAGE RATES
Term	Posted Rates*	Best Rates*
6 Month	5.90%	5.90%
1 Year	5.60%	4.35%
2 Year	6.25%	4.99%
3 Year	6.25%	4.99%
4 Year	6.09%	4.85%
5 Year	6.75%	4.99%
7 Year	7.20%	5.80%
10 Year	7.55%	5.95%
Variable Rate		4.10%
Prime Rate		3.50%
* last updated: Dec 22, 2008

Enjoy,
Mark

Bullion prices and the real estate market

I had a question from a reader:

USD is weakening, the entire country is Bankrupt, lots of the major Banks, Auto Manufacturers, Insurers, Savings & Loans, Thrifts, and sub trade suppliers are all on the verge.
Therefore, why is it that Gold and Silver as well a most precious metals and Diamonds, which are usually the safe havens in these recessionary times, are also slipping in price.
Usually they will, as history has shown, increase by up to 20 times the price.
Now they are all going down the slope together.............what gives??.
N.

Dear N.

We are into a new type of world economy

US still leads but is no longer the force it once was, so not all follow US lead anymore

Greed will always prevail, so gold should be good for short run, there will be another disaster in the future that will cause a spike and that may be the time to unload

This is why the stock markets fluctuate 10% in a day and nobody blinks an eye anymore

Real estate does not follow 7 year cycles, interest rates are at historic lows, inflation is low, oil is low, wages are still too high

The future is indeed uncertain, the US will no t go bankrupt and we will be out of this mess by mid 2010, the problem is that we have not hit bottom yet and there is much more pain to come

We've had these cycles before, we must hit despair before we can have hope , see this graph:
http://www.mississauga4sale.com/Market-Emotions-Cycle.htm

Obama will brighten things a little and give us hope

As for precious metals I think that zirconia looks just as nice!

Enjoy the snow!

Mark

Mortgage Interest Rate update

Below are the current posted and best rates in the GTA

TERM	POSTED	Obtainable RATES*
6 Month	5.90%	5.90%
1 Year	5.60%	4.35%
2 Year	6.25%	4.94%
3 Year	6.25%	4.84%
4 Year	6.09%	4.85%
5 Year	6.75%	4.72%
7 Year	7.20%	5.80%
10 Year	7.55%	5.95%
Variable Rate		4.10%
Prime Rate		3.50%

* Rates are subject to change without notice.
Rates Last Updated: Thursday, December 18, 2008

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

REMAX comments on press reports and state of market

This is what the regional director of RE/MAX Ontario Atlantic is telling us about the state of the economy, the real estate market and what we are reading in the press these days. He is saying that what is reported in the press is doom and gloom and if you ignore most of it, you will do fine. I agree, what do you think?
Mark

If the cup of coffee you were drinking on Tuesday morning didn't wake you up, the headline on the front page of the Globe and Mail most surely did.

The headlines screamed "Housing sales hit 20-year low as real estate slump widens" followed by huge sub-head noting an 11 per cent decline in prices and a 44 per cent drop in Ontario housing sales in large RED print, based on the December 15th press release issued by the Canadian Real Estate Association.

The only problem with the article is that it is incorrect. In the third paragraph, the author writes "Between May and November, the average price of an existing home in Canada fell by 11 per cent, matching the drop in 1990 that coincided with the onset of a painful recession. Housing prices would go on to fall about 20 per cent and it would be another decade before they managed to make new highs."

Unfortunately for the Globe, there was no 20 per cent drop. According to the Canadian Real Estate Association, the Canadian average price actually rose approximately 15 per cent from 1990 to 2000. There were three moderate dips in housing values in the decade – 1990 (3.4 per cent), 1995 (4.6 per cent), and 1998 (1.5 per cent). Average price in Canada has climbed consistently since 1998. It's also important to note that the decline in national housing values have typically been modest and have bounced back almost immediately. Finally there are no two consecutive years of falling prices.

While the national housing picture has been a picture of stability, average housing values in Ontario have seen slightly more volatility over the past 27 years. There have been six decreases in average price noted – with five of the six occurring between 1990 and 1996. Prices fell 17 per cent during that time frame, after climbing a phenomenal 70 per cent between 1986 to 1989 ($107,158 to $182,186). Residential average price has been on an upward trajectory since 1996 – the longest uninterrupted period of growth since 1980.

Based on our comments, the Globe and Mail has printed a correction in this morning's newspaper, page A2

So now that the folks at the Globe have been straightened out, we shift our focus to the challenges today's economic realities are bringing to the housing market. Truth be told, there is not a sector - not even gold - that has not been hard hit by economic turmoil in recent months. Real estate has held up remarkably well, in light of current market realities. We need to see some economic stability - and a recovery in consumer confidence levels - before we can expect housing markets to rebound. Job security will be key.

Inventory will also play an important role. If inventory levels subside, we could see stability return to housing values. To illustrate, new listings fell seven per cent in the Greater Toronto Area in November. If this trend continues, and existing inventory is absorbed, housing values may remain relatively stable in the year ahead.

I'd like to conclude today's communication with the story of a hot dog vendor in Chicago who sold the very best hot dogs by the side of the road. His business was booming, people loved his hot dogs, and his business steadily increases month after month. The man loved his business and believed in the need to provide great food at a great price.

This man was so busy advertising and selling his hot dogs and making lots of money, that he didn't even have time to read the newspaper or listen to the radio. Consequently, he never heard a word about a predicted recession or the need to cut back to save for the potential economic slowdown. As long as he continued to offer his delicious hot dogs, his customers bought them. He kept selling, and they kept buying.

Then one day his college educated son told him that an economic recession was surely coming. His son told him that people wouldn't have enough money to buy his hot dogs. The successful hot dog vendor believed this, so on his son's advice, he cut back on his advertising. Additionally, he started ordering less supplies and product, because after all, people would be cutting back soon.

He even went so far as to take down many of the billboards that lead to his roadside stand. And sure enough, people stopped coming to him. People stopped buying his hot dogs, and he eventually went broke.

Then he thought to himself. "How smart my son is in predicting this."

Don't be influenced by what you read in the newspapers or hear on your television. It's true that market conditions have changed, but human nature has not. Real estate is one of the largest investments people will make in their lifetime. It's also one of the safest. Get out and spread the word. If you bought a home in 1980 worth $67,000, that property is valued at over $300,000 today – an increase of 350 per cent and the profit is capital gains exempt. It's no wonder that Canada has one of the highest homeownership rates in the world, at close to 70 per cent.

No matter what the investment community will tell you, you can't live in your mutual fund.

I hope this finds you happy and healthy,

Mark

Real Estate Humour

More Real Estate Humour to laugh at, enjoy! Mark

• I have a temporary mortgage. What do you mean temporary? Until they foreclose.
• The sellers told me their house was near the water. It was in the basement.
• My buyers went through debt consolidation. Now they have only one bill they won't pay.
• If you think no one cares you're alive, miss a couple of house payments.
• I listed a maintenance free house. In the last 25 years there hasn't been any maintenance
• Did you hear about Robin Hood's house? It has a little John.
• My agent was always smiling. I didn't think anybody could have that many teeth without being a barracuda.
• If you want to know exactly where the property line is, just watch the neighbor cut the grass.
• A lot of homes have been spoiled by inferior desecrators.--Frank Lloyd Wright
• This country is great. It's the only place where you can borrow money for a downpayment, get a 1st and 2nd mortgage and call yourself a homeowner.
• A man's home is his castle. That's how it seems when he pays taxes on it.
• By the time you pay for a home in the suburbs, it isn't.
• A Modern home is a place where a switch controls everything but the kids, and it has gadgets to do everything except make the payments

• Realtor sign--We have "lots" to be thankful for.
  
• Realtor: first you folks tell me what you can afford, then we'll have a good laugh and go on from there.
  
• Trivia: The floors of buildings are called stories because early European builders used to paint picture stories on
  the sides of their houses. Each floor had a different story.
  
• I bought a two story house. One story before I bought, and another after.
  
• A housewarming is the final call for those who haven't sent a wedding present
  
• Sign next to FSBO-We shoot every third agent and the 2nd one just left.
  
• The trouble with owning a home is that no matter where you sit, you're looking at something you should be doing.
  
• Our new house has one down payment and 240 darn payments.
  
• Home inspector bringing a ladder into the house, can I help you carry something asks the agent? Yes, my mortgage.
  
  All the best!
  Mark
  

CMHC reports on TORONTO HOUSING STARTS MODERATE IN NOVEMBER 2008

This is CMHC's report on the housing starts in Toronto area.

TORONTO’S HOUSING STARTS MODERATE IN NOVEMBER

issued TORONTO, DECEMBER 8, 2008 –

The seasonally-adjusted annual rate (SAAR) of total housing starts dipped below trend in November, according to preliminary housing starts data released today by the Canada Mortgage and Housing Corporation (CMHC) for the Toronto Census Metropolitan Area (CMA).

Total home starts on an unadjusted basis were almost 25 per cent above last year’s level for the January through November period. Condominium apartment starts remained the driver – up by over 130 per cent.

“The seasonally adjusted annual rate of home starts dipped in November, in part because of the volatile condominium apartment market segment in the GTA,” according to Jason Mercer, CMHC’s Senior Market Analyst for the GTA. “In line with the CMHC forecast, total starts year-to-date are up strongly compared to the first eleven months of 2007.’’

Source: Canada Mortgage and Housing Corporation

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Canadian Financial Markets rough and rocky ride for the past month

It's been a rough and rocky ride for the past month in the financial markets since I wrote you last month. The Canadian and US stock markets are down about 45% The federal bailout of the big 3 automakers is on the table and many are waiting for approval.

On the local real estate front, the market volume of sales is down by about 50% for November and historically December is our slowest month of the year. Thus, what could be ahead for the month of December? Only time will tell!

December Report - Average November price is slightly up compared to previous month price

December 2008 Sales volume down about 50% compared to November 2007

Our prices are soft, sales are down, but our local Mississauga and surrounding area marketplace is still moving along at a fairly good rate. Not time to panic by any means. I've blogged about this if you want to read more

Update on interest rates, Bank Prime rates are holding at 4.00%, read more, Bank Rate

Last months real estate sales figures are extremely soft, as you can see by the headlines below.

Our prices are soft, sales are down, but our local Mississauga and surrounding area marketplace is still moving along at a fairly good rate. Not time to panic by any means. I've blogged about this if you want to read more

Update on interest rates, Bank Prime rates are holding at 4.00%, read more, Bank Rate

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

RBC's comments on the Toronto Economy

I love the way that Banks and large financial and government instittuions try to 'soften' the blow of negative news. This article from RBC does exactly that. Should we believe them or is this just the tip of the financial icebery that is beginning to tilt?

Only time will tell.

I hope this finds you healthy and happy!
Mark

RBC reports, Toronto — No reason to panic, but consolidation ahead

In about two months, market sentiment turned on a dime in the Greater Toronto Area
this fall.

Until the end of the summer, the feeling was that the GTA was successfully negotiating a landing to a slower, more sustainable pace of activity since home resales had been gracefully trending lower since peaking in the middle of 2007 at never-before-seen levels.

However, reports of notable declines in prices and activity in many Toronto communities during September and October suddenly challenged that view.

While there is no cause to panic at this stage, the GTA market has undoubtedly entered a phase of consolidation. Earlier tightness has eased and buyers now hold more sway.

The area’s economy is facing serious headwinds, which will undermine household confidence. Affordability generally remains an obstacle to would-be buyers, although it has improved modestly in the past few quarters.

Banks are aggressively pricing their 1 and 5 year closed terms

The banks have been posting adjustments to their rates during the past few days. Many seem to be aggressively pricing the 1 & 5 year closed terms.

The next Bank of Canada rate announcement is scheduled for January 20th, 2009.

The lenders continue to offer rate holds, in many cases up to 120 days. If you are looking at properties, I strongly suggest that you arrange a preapproval / rate hold.

It's also a great opportunity for you to learn more about mortgage options - you'll have a chance to digest the information & it will simplify the process when you have an offer to purchase on the table.

You can become pre-approved with no cost or obligation.

Posted Interest "BEST" Rates
December 12, 2008

Prime................3.50%

Variable rate....Prime plus .60%

1 yr closed........4.35%

2 yr closed........5.05%

3 yr closed........5.15%

4 yr closed........4.89%

5 yr closed........4.99%

7 yr closed........5.80%

10 yr closed......6.10%

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

More trivia fun!

Below are some interesting facts and fascinating trivia. We live in a very complex
world that is filled with nuances that one does not normally consider or
think of.

These items below will make you wonder who took the time to even think of them! Certainly, I am not taking the time to check the truth in any of these items!

Enjoy, Mark

Stewardesses" is the longest word typed with only the left hand And
"lollipop" is the longest word typed with your right hand.

No word in the English language rhymes with month, orange, silver, or
purple.

"Dreamt" is the only English word that ends in the letters "mt".

Our eyes are always the same size from birth, but our nose and ears never
stop growing.

The sentence: "The quick brown fox jumps over the lazy dog" uses every
letter of the alphabet.

The words 'race car,' 'kayak' and 'level' are the same whether they are read

left to right or right to left (palindromes).

There are only four words in the English language which end in "dous":
tremendous, horrendous, stupendous, and hazardous.

There are two words in the English language that have all five vowels in
order: "abstemious" and "facetious.

TYPEWRITER is the longest word that can be made using the letters only on
one row of the keyboard.

A cat has 32 muscles in each ear.

A goldfish has a memory span of three seconds.

A "jiffy" is an actual unit of time for 1/100th of a second.

A shark is the only fish that can blink with both eyes.

A snail can sleep for three years.

Almonds are a member of the peach family.

An ostrich's eye is bigger than its brain.

Babies are born without kneecaps. They don't appear until the child reaches
2 to 6 years of age.

February 1865 is the only month in recorded history not to have a full moon.

In the last 4,000 years, no new animals have been domesticated.

If the population of China walked past you, 8 abreast, the line would never
end because of the rate of reproduction.

Leonardo Da Vinci invented the scissors

Peanuts are one of the ingredients of dynamite!

Rubber bands last longer when refrigerated.

The average person's left hand does 56% of the typing.

The cruise liner, QE 2 moves only six inches for each gallon of diesel that
it burns.

The microwave was invented after a researcher walked by a radar tube and a
chocolate bar melted in his pocket.

The winter of 1932 was so cold that Niagara Falls froze completely solid.

There are more chickens than people in the world.

Winston Churchill was born in a ladies' room during a dance.

Women blink nearly twice as much as men.

If you live in Peel region you may qualify for downpayment assistance

Did you know that 1st time buyers who live in Peel may qualify for assistance from the government for their downpayment.

Did you know....1st time buyers, living in Peel may be eligible to receive down payment assistance from the Government of Ontario?

The program is designed to help provide low-to-moderate income residents (who currently rent) the opportunity to qualify for a down payment loan when buying a home in Peel Region.

Quick facts:

• Buyer must be currently renting;
• Annual household income can not exceed $75,800;
• Purchase price (resale property) not to exceed $247,000;
• Property being purchased must be used as principal residence;
• Qualifying applicants can receive up to $10,000;
• Client needs to qualify & arrange for a mortgage;
• Client required to cover all closing costs from own resources;
• Repayment terms depend on length of time home is owned etc. ..see website.

Please refer to: www.peelregion.ca/homeinpeel for full details.

This program will make first time buyer home buying more accessible.

Looking forward to assisting you in growing your business.

Please let me know how I can help.

Thanks

Mark

RBC comments on Ontario Markets downturn

This is RBC's comments on the Ontario marketplace

Ontario — Markets succumbing to economic blues

A number of worrying developments have emerged in past few months across housing markets in Ontario.

Several areas — including Toronto — have reported notable price declines and plummeting resales activity, clear evidence that the
sector is no longer able to resist the downdraft from a quickly souring provincial economy.

Overall, markets in Ontario appear to have peaked during the first half of 2008 and are likely to sustain a weakening tone until the economy shakes off its blues.

However, the market correction is unlikely to be as devastating as the early 1990s downturn. Ontario markets are entering this part of the cycle with much less threatening imbalances compared to those that had built during the late 1980s.

In particular, the erosion in affordability in the province during the past few years has been much more restrained, so that current measures are not as far off long-run averages as they were at the onset of the early 1990s meltdown.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Bank of Canada announces foreclosures may increase

The Bank of Canada just issued a press release (seee below) stating that the number of people that may default on their mortgages and loans will increase if the current financial crisis continues and deepens here in Canada.

Specifically the bank states "With household balance sheets under pressure from weak equity markets, softening house prices, slowing income growth, and record-high debt-to-income ratios, a severe economic downturn could result in a substantial increase in default rates on household debt"

The Bank of Canada calls them foreclosures, but I want to point out that here in Ontario the preferred method when a person defaults on their mortgage is Power of Sale (POS). In POS the bank sells the property under it's right contained in the mortgage that you gave them in return for them giving you the money. Remember that time, you needed the money to buy the house, so the bank gave you the money but in return you gave the bank the mortgage!

So, when you default on the mortgage, the bank will sell the property and try and recoup their losses, but if they are still out of pocket, they also retain the right to sue you for their losses. This is the main reason why so many people who lose their homes through power of sale also go bankrupt, because they still owe the debt until they are bankrupt.

You can read more about Power of Sale at this page:
http://www.mississauga4sale.com/POS

This is the press release just issued by the Bank of Canada:


Bank of Canada warns of possible mass home foreclosures if conditions worsen
2 hours ago
OTTAWA — The Bank of Canada is warning of severe economic turmoil, including the risk of many Canadians losing their homes, if the financial-market crisis worsens.
The central bank's December financial systems review says the "most likely outcome" is for markets and credit conditions in Canada to gradually improve as extraordinary measures by central banks and governments take hold.
But that outcome is by no means certain, it warns, saying uncertainties remain about how long it will take for credit markets to return to normal.
And if global financial conditions deteriorate, the bank warns the repercussions for Canada could be serious, including a deep and prolonged recession, slow income growth and severe trouble for Canadians already carrying heavy debt loads.
"With household balance sheets under pressure from weak equity markets, softening house prices, slowing income growth, and record-high debt-to-income ratios, a severe economic downturn could result in a substantial increase in default rates on household debt," the review states.
Canadian banks are among the best-capitalized in the world but would not emerge unscathed, the central bank's analysis concludes.
Much as has happened in the United States, the document says household debt woes could be a channel of contagion spreading through the banking system and cause even greater tightening in the availability of credit.
Banks are somewhat insulated by mortgage insurance, but the Bank of Canada says a severe economic downturn would nonetheless put pressure on their capital ratios.




For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

Housing Density changes from the 60's, 70's to the present!

This set of images below sums up the change in density for housing in the GTA over the past 40 years or so quite nicely.

You will see many of the 'urban style' developments rising up from the clay in many newer areas of the GTA.

This certainly increases the density and changes the quality of life, all in the name of expansion!
I hope this finds you healthy and happy!
Mark





For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

Last Recession in GTA lasted 12 years

The last time we had a recession in the GTA real estate market was 1990. The fall in prices began in the spring of 1990 and continued for many years.

The average prices in the GTA did not recover until 2002, 12 years later!
We are not predicting or even expecting such a price decline in the future, but this is a very chilling statistic.
I wish you and your family all the best,
Mark





For more information please contact A. Mark Argentino

A. Mark Argentino, Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc., Brokerage
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1

BUS. 905-828-3434
FAX. 905-828-2829
E-MAIL: mark@mississauga4sale.com
Website: Mississauga4Sale.com

Up or down? GTA homes on the market

I had another good question from a reader of my blog and I wanted to share my answer with you.

The question was:

Hello,

Just one question. It mentions in the article that the sales volume has decreased by 50%. Are the number of homes up for sale down as well this year, month?

Hi John,

Good questions. The number of homes currently on the market is higher than the previous month. The number of homes on the market in November of 2008 was 9,925 and was lower by 7% compared to November of 2007 which had 10,692 homes for sale.

The key figure in all this is that the average time on the market has increased dramatically year over year. In November of 2007 average days on the market was 32 and November of 2008 was 41. This is a significant increase in days on the market and also points to our slowing real estate marketplace.

The Bank of Canada dropped prime 3/4% today (December 9th, 2008) and of course the banks are following, except they are only dropping bank prime 1/2% so the new bank prime will be 3.5% rather than 3.25% Nice isn't it, they will make a 1/4% extra profit on billions of loans that they have.

I hope this helps.

Thanks,
Mark

Current Interest rates after Bank of Canada Rate cut on December 10th

The Bank of Canada surprised us all yesterday morning with deeper cuts than expected as they announced cuts of 3/4 percent.

Back in October when the rate was last slashed by 75 basis points (3/4 percent), the lending institutions were sluggish and reluctant to respond with equivalent cuts as they have all been stating that they are losing money on variable rate products.

So far, the banks have only cut their bank prime by .5% not the expected .75% Current bank prime is 3.5%

It will be interesting to see how they respond following this announcement. If they do in fact match the Bank of Canada's rate cut, the prime rate will become 3.25%. This would set the lowest available variable rate at 3.85% should the banks follow suit.

As it stands today, the lowest rates are as follows:


1 year 4.35%
2 year 5.05
3 year 5.15
4 year 4.95
5 year 5.19
5 year ARM 4.60

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

December Report - Average November price is slightly up compared to previous month price

http://www.mississauga4sale.com/newsletter/monthly-mailout.htm

December Report - Average November price is slightly up compared to previous month price

December 2008 Sales volume down about 50% compared to November 2007



This is what the Toronto Real Estate Board reported for the November sales

Over 3,600 Sales In November
December 4, 2008 -- TREB Members recorded 3,640 sales in November 2008 from the 7,313 sales recorded during the same period last year in the GTA, TREB President Maureen O’Neill announced today.


The average GTA price in November 2008 was $368,582. During the same period last year, the TorontoMLS system recorded an average of $393,747, and in November of 2006 overall GTA prices averaged $355,727.


The 2008 year-to-date sales for the GTA was recorded at 72,086 from last year’s 88,695. The year-to-date GTA average price was $379,489 from last year’s $375,445


Within the 416 area (City of Toronto) there were 1,523 sales during November 2008. During the same month last year, 3,426 sales were recorded. The average price in the 416 area was $390,225 compared to $433,859 in November 2007 and $381,188 in 2006.


In the City of Toronto, 28,806 sales have been recorded year-to-date for 2008 from last year’s 36,804 during the same time period. The year-to-date 2008 average price in the 416 area is $411,155 from last year’s $411,640.


The 905 Region recorded 2,117 sales last month, compared to the 3,887 sales transacted during November of 2007. The average price in the 905 Region was $353,012 last month from $358,391 in November of 2007 and $335,522 in November 2006.


Year-to-date sales in the 905 Region for 2008 were 43,280 from the 51,891 recorded during the same period in 2007. The year-to-date average price in the 905 Region for 2008 was $359,245 from $349,774 in 2007.


Breaking down the total, 1,453 sales were reported in TREB’s 28 West districts and averaged $350,199; 629 sales were reported in the 14 Central districts and averaged $473,346; 651 sales were reported in the 23 North districts and averaged $410,253; and 907 sales were reported in TREB’s 21 East districts and averaged $295,470.

Median Price

The Median Price for November 2008 was $312,250, compared to $325,000 in November of 2007 and $298,000 in 2006. The YTD Median for the first 11 months of 2008 was $325,000, compared to $318,000 during the same time-frame in 2007, and $300,000 in 2006.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Bank of Canada lowers bank rate by three quarters of a percent!

The bank of Canada just announced a huge reduction in the prime interest rate. They lowered it by 3/4 of a percent and this will surely have an effect on interest rates charged by the banks.

Go to this page to see the current rates: Interest Rates

Keep checking back for more information,

Mark

Bank of Canada lowers overnight rate target by 3/4 percentage point to 1 1/2 per cent

OTTAWA – The Bank of Canada today announced that it is lowering its target for the overnight rate by three-quarters of a percentage point to 1 1/2 per cent. The operating band for the overnight rate is correspondingly lowered, and the Bank Rate is now 1 3/4 per cent.

The outlook for the world economy has deteriorated significantly and the global recession will be broader and deeper than previously anticipated. Global financial markets remain severely strained. Measures taken by major governments are beginning to encourage credit flows, although it will take some time before conditions in financial markets normalize. In addition, a series of recently announced monetary and fiscal policy actions will also support global economic growth.

While Canada's economy evolved largely as expected during the summer and early autumn, it is now entering a recession as a result of the weakness in global economic activity. The recent declines in terms of trade, real income growth, and confidence are prompting more cautious behaviour by households and businesses.

All of these factors imply a lower profile for core inflation than had been projected at the time of the last Monetary Policy Report in October.

Several factors are helping to counterbalance the negative drag from the global economic and financial developments. The depreciation of the Canadian dollar will continue to provide an important offset to the effects of weaker global demand and lower commodity prices. As well, money markets and overall credit conditions in Canada are responding to significant and ongoing efforts to provide liquidity to the Canadian financial system.

In light of the weakening outlook for growth and inflation, the Bank of Canada lowered its policy interest rate by a total of 75 basis points in October and by an additional 75 basis points today. These monetary policy actions provide timely and significant support to the Canadian economy.

The Bank will continue to monitor carefully economic and financial developments in judging to what extent further monetary stimulus will be required to achieve the 2 per cent inflation target over the medium term.

Information note:

The Bank of Canada's next scheduled date for announcing the overnight rate target is 20 January 2009.

A full update of the Bank's outlook for the economy and inflation, including risks to the projection, will be published in the Monetary Policy Report Update on 22 January 2009.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Winterizing Outside Water Faucets Reminder

This is a reminder to make sure you have winterized your outside faucets!

Please make sure that the water line that runs to the faucet into the garage and the water line that runs to the faucet at the back of the house is turned off from inside the house. This is critical in the event of the outside pipe or outside faucet freezing.

The normal procedure for winterizing outdoor faucets is to close the valve on the inside of the house which is usually located a couple of feet from the wall where the water line runs outside to the faucet. Once this inside valve is closed, the faucet outside should be opened fully so any water remaining inside the pipe will drain to the outside. You can leave this faucet open all winter if you wish.

There is usually a small drain plug that is located on the side of the inside valve that leads to the outside faucet. This drain plug should be unscrewed and this will allow any trapped water to drain out. Make sure you have a bucket handy to catch the water that drains out. This picture below shows the inside valve with the drain plug.



If you have any questions, please let me know.

Thanks,
Mark

RBC's comments on how Canada slipped into this economic downturn

This is a very good summary about RBC's comments on how Canada slipped into this economic downturn that we are currently experiencing.

It should be very interesting how deep and how long this current slowdown in our economy continues

I hope this finds you happy and healthy!
Mark



Housing downturn — Canadian-style

Canadians have watched with amazement for nearly two years now at the collapse of the housing sector in the United States, the United Kingdom and other countries that experienced overvalued housing prices with the sense that markets in this country stand on much more solid ground. After all, the sub-prime business never represented more than a marginal phenomenon here; Canadian households, while carrying heavier debt loads than in the past, were not financially overstretched; Canadian banks emerged islands of stability amid the global financial storm; incomes remained well supported by steady job creation and a strong domestic economy; and the influence of speculation — especially on new construction — was deemed to be subdued.

Then, late in 2007, red-hot Alberta markets began to slide, followed earlier this year by British Columbia’s markets. Most recently, Saskatchewan, last year’s hotspot, and areas in Ontario joined the weakening trend. All of a sudden, Canada no longer appeared immune to a generalized housing downturn. In fact, the souring of economic conditions, eroding consumer confidence and, in some instances, past excesses are creating a downdraft that the majority of Canada’s housing markets will be hard-pressed to resist.

As a sluggish economy threatens income growth and makes households much more skittish about major financial commitments, issues of affordability are coming to the fore. Much of the market correction taking place in British Columbia, Alberta and, now, parts of Saskatchewan can be traced to very poor affordability levels in those provinces.

However, high home ownership costs are not unique to western Canada. RBC’s affordability measures lie above long-run averages in all provinces and across all housing segments, which suggests that the downdraft will be felt widely.

Still, the extent of “unaffordability” varies substantially by province, with measures running as high as 48% above average in the B.C. standard townhouse segment and as low as 6% above average in the Quebec detached bungalow segment. Overall, British Columbia, Saskatchewan and Alberta remain the least affordable markets in Canada (relative to their respective historical norms).

While the Canadian housing sector is undoubtedly entering a cyclical downturn, the risk of experiencing a U.S.-style meltdown is remote. The supportive factors mentioned above are still mostly in play and should provide enough backing to prevent markets from spiraling down even as the Canadian economy slips into recession.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

is a furnace and hot water tank a chattel or fixture?

I received another question that I thought I would post here:

Hi Mark,

I found your website interesting and very informative. As I read the first page I was wondering as a first time home owner, if I get an agent in our area to make an offer are the furnace and water tanks considered chattels?

Thank you for your time,
Regards,
H.

Hello H.,

That's a good question. Typically, hot water heaters are chattels and must be specified as such. Some lawyers say that water tanks and furnaces are chattels and must be specified in the agreement of P&S Always err on the side of caution and you will be fine!

Thank you,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS Newsletter
RE/MAX Realty Specialists Inc.
Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
2 FAX 905-828-2829 ÈCELL 416-520-1577
› E-MAIL : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com

• Thinking of selling your home in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• If you have not already signed up to receive my monthly real estate newsletter, you may do so here: On-Line Real Estate Newsletter sign up
• See seasonal housing patterns
• Would you like me to send you a 2009 Calendar?

Mortgage Interest Rate Update

The table below will outline the current posted and best rates obtainable through specific mortgage brokers that I know.

All the best,
Mark

TERM	POSTED	Best Achievable RATES*
6 Month	6.1%	6%
1 Year	5.6%	4.45%
2 Year	6.45%	5.05%
3 Year	6.45%	5.15%
4 Year	6.29%	4.95%
5 Year	6.95%	5.25%
7 Year	7.4%	6%
10 Year	7.75%	6.15%
Variable Rate		4.6%
Prime Rate		4%

* Rates Last Updated: December 06, 2008

CMHC report GTA resale real estate market performance in 2009

Here are some highlights and thoughts taken out of the latest CMHC report on how our real estate market will perform in 2009

It's interesting to note that CMHC is still predicting growth for next year.

All the best,
Mark



From CMHC's perspective, how do they think the GTA resale residential home market perform in 2009?

• Increased resale market choice will result in less spill over demand in new home sales.
• GTA's resale home price in 2009 has been forecasted to moderately grow by 1.8%.
• GTA's MLS Sales are going to be strong from a historical standpoint.
• GTA's low rise sales trends will continue to lower according to RealNet Canada Inc. & CMHC forecasts.
• High rise sales will moderate but remain robust.
• Moderate growth in wages across the GTA has been forecasted by statistics Canada, Bank of Canada and CMHC to increase by 2.6%.
• Rising condominium completions will trigger more MLS listings.
• Homebuyer intentions for rental households will be lowered.
• Increasing choice in the resale home market will result in moderate price growth
• Price trend is flattening as average GTA existing home prices are going to stabilize.
• Resale market will be more balanced according to sales-to-new listings ratio.
• Condominium apartments will be popular as high rise sales. Share of high rise sales, as a percentage of total sales, has been forecasted to be 60% in 2009 compared to 58% in 2008.
• More supply in the condo market will result in more moderate price growth.

Drivers of Housing Demand, Economic Conditions & Interest Rate Outlook:

• Homeowners have accumulated equity in their homes across the country & the strongest accumulation of equity built was in Western Canada where homes appreciated more rapidly back in 2007.
• Immigration will continue to compensate for weaker growth from other sources & GTA will be the key beneficiary of immigration.
• Given the tight labour market, growth in disposable income will remain strong.
• Mortgage Rates will remain low, but will edge slightly higher late in 2009
• Foreign-born population as percentage of total population is 45.7% in Toronto.
• Home ownership is a key goal for immigrants & therefore rate of home ownership will increase.
• Tight labour market means job growth will moderate
• The share of mortgages in arrears is near its most moderate level since 1990
• Home owners in Ontario, Quebec, and the Atlantic Provinces have also built considerable equity in their homes.

Housing Outlook Summary

• MLS sales are expected to moderate from record levels in 2008 and 2009 and housing starts will move more in line with demographic fundamentals.
• Economic fundamentals will remain strong in Canada. High employment levels, rising incomes and low mortgage rates will provide a solid foundation for healthy housing markets. However, increased supply of existing homes listed for sale coupled with the rise in house prices in recent years will moderate the demand for housing in 2008 & 2009.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Mortgage Interest Rate Drops again

Last week was a week filled with rate drops from many key lenders and on top of that, we are anticipating another drop of the prime rate when the Bank of Canada makes their next announcement on December 9th.

It appears that one of the best rate product out there now is the 4 year fixed at 4.95%! It has been awhile since we have seen a 4 year rate quite this low. The variable has also dropped to 4.60% (prime +0.6%).

In addition to the lower rates, you are still able to finance 100% of the purchase price and there are two methods to do this based upon the following criteria:

1. Homebuyers can purchase a home at 95% with a 5% cash back which can be applied to their downpayment. This is actually not a new product and has been around for some time (interest rate would be 6.95%).

2. Homebuyers can purchase a home at 95% and borrow the 5% down payment for a total of 100% borrowed funds. This particular product is relatively new. If you are able to do this, this is the product I would recommend as they can get best rates with this product.

Todays lowest rates:

1 year fixed 4.35%

2 year fixed 5.20%

3 year fixed 5.15%

4 year fixed 4.95%

5 year fixed 5.39%

5 year variable 4.60%

See current rates:

http://www.mississauga4sale.com/Rates-Current-Posted-Mortage-Interest-Rate.htm

Thanks,
Mark

Real Estate boom of the past 12 years is over, for now!

This is an article from Scotiabank and CBC. It talks about the fact that the real estate boom of the past 12 years is over. We agents have know this for about the past 6 months or so, it just took a while for the press and the public to see the results of our slowing economy.

I wish you all the best!

Mark

Canada's housing boom over, but no collapse in sight: BNS

Last Updated: Thursday, November 20, 2008 11:03 AM ET - CBC News

Canada's longest housing boom in 60 years is over, according to a new report released by Scotiabank Economics on Thursday.

But, this country will not see plunging home values to the same degree as other, more at-risk nations, like the United States, said Adrienne Warren, Scotiabank senior economist and author of the study.

"This is not a 'U.S.-style' bust caused by overbuilding, speculative buying and imprudent lending," she wrote.

Instead, while Canada's longest housing upswing since the end of the Second World War is history, owners only face a garden-variety price adjustment, Warren said.

Essentially, the slowing global economy will crimp buyers' interest in home purchases across Canada, she said.

"We expect that the correction in national average prices from their late-2007 peak will probably be in the range of 10-15 per cent, well below the ongoing U.S. retrenchment," Warren said.

Falling prices - Housing starts - Region 2009 forecast Change from peak (%)

Canada 185K -19; B.C. 32K -18; Alberta 30K -39; Ontario 65K -24 Source: Scotiabank

In October 2007, the average price for a Canadian home was $312,024, according to the Canadian Real Estate Association.

If Scotiabank's prediction comes true, the average house price should reach a bottom somewhere close to $260,000, a drop of a further 7.5 per cent from the standard of $281,133 for a house in October 2008.

Her rationale for calling the end of Canada's housing boom is based upon housing starts, building permits and home prices, all of which are lower compared to their cyclical highs.

Urban areas in the especially red-hot region of Western Canada, like Calgary, Edmonton and Vancouver, are likely to see the biggest drop-offs in terms of activity and prices, Warren said.

Better off than the U.S. - Canadians, however, never used exotic financing nor piled up as much household debt as did their American cousins in purchasing new and existing homes.

Thus, while the Canuck housing market will drop in terms of prices and activity, Warren said, the U.S. sector faces a deeper plunge, Warren said.

Interestingly, Canadian home prices never reached the stratosphere achieved by other markets.

Housing indicators - Country Price change '97-'07 (%): Price-to-income ratio (%)

Canada 61:134; Ireland 167:135; U.S. 50:110; U.K. 146:149 Source: Scotiabank

Home prices in Ireland, for example, jumped 167 per cent between 1997 and 2007, compared to 61 per cent in Canada.

As well, housing prices in some countries now represent more than a household's annual income, a measure of affordability.

In Spain, for instance, the average home in 2007 was worth 156 per cent of the household's income. In Canada, that ratio stood at 134 per cent for the same year.

Based upon valuation measures used by the International Monetary Fund, Australia, the United Kingdom, Spain and Ireland are likely to experience a more depressed housing market in the coming year than will Canada, Warren said.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Beware of Oil Tanks in a Residential Home Sale

I just took a real estate course and we were talking about the hazards and
pitfalls to try and avoid when selling a property with an oil tank.

One of the things that the instructor said to give some perspective on how
little of an oil leak or oil spill is necessary to contaminate ground water
drinking levels was:

1 cup of oil from an oil tank will contaminate water the size of an olympic
size swimming pool, which is threshold of 20mg of hydrocarbon per litre, or
20ppm

The point is that does not take too much of an oil spill or leak to ruin
well drinking water! Beware and make sure you do your testing before you
buy a home with well water, especially if there is an oil tank on the
property.

All the best!
Mark

TREB reports sales down about 50% and prices down about 7% year over year in Toronto

TREB reported the November sales figures and it was as expected. The sales volumes are down about 50% and the sale prices are down about 7% compared to last year

Please let me know if you have any questions.

Thank you,
Mark



Over 3,600 Sales In November

December 4, 2008 -- TREB Members recorded 3,640 sales in November 2008 from the 7,313 sales recorded during the same period last year in the GTA, TREB President Maureen O’Neill announced today.

The average GTA price in November 2008 was $368,582. During the same period last year, the TorontoMLS system recorded an average of $393,747, and in November of 2006 overall GTA prices averaged $355,727.

The 2008 year-to-date sales for the GTA was recorded at 72,086 from last year’s 88,695. The year-to-date GTA average price was $379,489 from last year’s $375,445

Within the 416 area (City of Toronto) there were 1,523 sales during November 2008. During the same month last year, 3,426 sales were recorded. The average price in the 416 area was $390,225 compared to $433,859 in November 2007 and $381,188 in 2006.

In the City of Toronto, 28,806 sales have been recorded year-to-date for 2008 from last year’s 36,804 during the same time period. The year-to-date 2008 average price in the 416 area is $411,155 from last year’s $411,640.

The 905 Region recorded 2,117 sales last month, compared to the 3,887 sales transacted during November of 2007. The average price in the 905 Region was $353,012 last month from $358,391 in November of 2007 and $335,522 in November 2006.

Year-to-date sales in the 905 Region for 2008 were 43,280 from the 51,891 recorded during the same period in 2007. The year-to-date average price in the 905 Region for 2008 was $359,245 from $349,774 in 2007.

Breaking down the total, 1,453 sales were reported in TREB’s 28 West districts and averaged $350,199; 629 sales were reported in the 14 Central districts and averaged $473,346; 651 sales were reported in the 23 North districts and averaged $410,253; and 907 sales were reported in TREB’s 21 East districts and averaged $295,470.

Median Price

The Median Price for November 2008 was $312,250, compared to $325,000 in November of 2007 and $298,000 in 2006. The YTD Median for the first 11 months of 2008 was $325,000, compared to $318,000 during the same time-frame in 2007, and $300,000 in 2006.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Residential Tenancies Act (RTA) in Ontario Summary and Explanation

I posted this page on my website last week, but thought it would be a good idea to blog about it.

This is an important issue when it comes to lanlord and tenant issues and The Residential Tenancies Act is now the law in Ontario.

Statutory law for residential tenancies in Ontario now comes under The Residential Tenancies Act (2006), replacing the Tenant Protection Act.

This new statute became effective on January 21, 2007

The major changes under the residential tenancies act (2006) effective January 31, 2007 are

• The Landlord and Tenant Board is responsible for all matters regulated under the residential tenancies act, there is a local office here in Mississauga and Toronto
• The landlord must give new tenants a pamphlet with information on the responsibilities of landlords and tenants, the role of the Landlord and the Tenant Board and contact details for the board. The pamphlet is available through the Landlord and Tenant Board or at this link: http://www.ltb.gov.on.ca/graphics/249749.pdf
• The landlord can apply to the Landlord and Tenant Board for any justifiable increase in rent by more than the rent control guideline, if taxes, charges, or utilities have increased. If utility costs or taxes go down, the rent must also go down.
• IF the rent increase application is for capital expenditures or security services, there is a limit or three percent above the guideline for a maximum of three years. Once the capital expenditure is fully paid for, the rent must go down for any tenants who were living there at the time of the increase.
• At a hearing for a rental increase above the guideline, the board can decide to deny or delay the rent increase if there are serious outstanding maintenance issues for work orders on the property
• The annual rent increase guideline is based on the Ontario Consumer Price Index (CPI), which is the rate of inflations.
• The rate of interest that a landlord must pay to a tenant on a last month's rent deposit every year is the same as the annual rent increase guideline and landlords can use the interest to top up the last month's rent to keep it current.
• There is a shorter eviction process for tenants who cause wilful or excessive damage to a rental unit or building. This shorter process also applies to tenants who cause a disturbance in a small rental building where the landlord also resides. The notice period to the tenant is shortened to 10 days from the previous 20 days. Landlords can apply to the board for an eviction notice immediately after serving the notice.
• Except for a notice for non-payment of rent, when a notice of termination has been served on the tenant, the landlord must apply to the board for an order terminating the tenancy not later than 30 days after the date specified in the notice of termination.

Even thought het Residential Tenancies Act has replaced the Tenant Protection Act, the bulk of the legislation regarding notice periods for termination remains unchanged.

You may find additional information regarding the Landlord and Tenant Board, all of their forms and information is available online at:

http://www.ltb.gov.on.ca/en/index.html

You can read more about this at my website too:
http://www.mississauga4sale.com/Landlord-Tenant-Board-FAQ-2007.htm

This article above is shown at this page of my site:
http://www.mississauga4sale.com/Landlord-Tenant-Residental-Tenancy-Act.htm

Please email me if you have any further questions or require information.

Thank you,
Mark

REMAX reports that threat of world wide recession will put downward pressure on Canadian home sales

This is a report just issued by REMAX Ontario Atlantic regarding our marketplace and the future of real estate in the year 2009.

They feel the the economic environment for 2009 will be challenging for sellers. We are already seeing this in the Mississauga and GTA

All the best!
Mark


Threat of global recession to hinder home sales in major Canadian housing markets in 2008 and 2009, says RE/MAX
Recovery linked to economic stability next year

Mississauga, ON (December 3, 2008) Global economic uncertainty weighed heavily on residential real estate activity in most major Canadian centres during the latter half of 2008.
Although the forecast for 2009 promises more of the same, most markets are expected to weather the storm, says RE/MAX.

The RE/MAX Housing Market Outlook for 2009 examined residential real estate trends in 22 markets across the country and found that average price held up remarkably well in 2008, despite 13 centres reporting double digit declines in home sales. Solid gains earlier in the year likely served to prop up housing values at year end. The prognosis for housing activity in the first six to nine months of 2009 is somewhat static, given continued volatility in financial markets and the threat of recession, but as stability returns to the financial sector, housing markets are expected to recover.

Nationally, 440,000 homes are expected to change hands in 2008, down 15 per cent from record 2007 levels. Canadian housing values are expected to hover at $300,000, a nominal three per cent decline from last year’s historic peak. By year end 2009, unit sales should match 2008 levels, while average price is forecast to fall another two per cent to $293,000.
“Housing market performance will clearly be contingent on economic performance at a local, provincial, and national level in 2009,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario Atlantic Canada. “Issues affecting the overall economy are impacting housing markets across the country and the situation is not expected to be remedied until consumer confidence is restored. That said, we could see a bounce back as early as spring

– if inventory levels remain stable, pent up demand kicks into gear, and lower interest rates stimulate home buying activity.”


Major markets are evenly split in terms of housing performance in 2009, with 11 centres forecast to match or exceed 2008 home sales and 11 expected to slide from 2008 levels. The highest percentage increase in unit sales is anticipated in Saskatoon, where the number of homes sold is forecast to climb three per cent in 2009. Housing values are expected to hold the line in 2009, with St. John’s, Montreal, Kingston, London, Winnipeg, Saskatoon, and Regina posting modest gains in average price in 2009.

“Canada’s real estate environment is considerably more complex than it has been in recent years,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “The landscape is definitely changing with most markets shifting into either balanced or buyer’s territory. The shut out is over. Sellers no longer rule the roost. Opportunities exist for purchasers like never before, including lower interest rates, greater inventory levels, the luxury of time to make decisions, and the upper hand at the negotiating table. Motivated vendors will need to take note of the new mindset and set their prices accordingly.”

Canadian sellers are slowly adjusting to new realities. For most markets, 2008 started in balanced territory and moved into buyer’s market conditions during the latter half of 2008. The year ahead will prove challenging, especially for vendors.

“While the economy will dictate real estate performance next year, it’s important to remember that demand still exists in the marketplace,” says Sylvain Dansereau, Executive Vice President, RE/MAX Quebec. “In the midst of stock market turmoil, sold signs continue to appear on lawns across the country. With affordable lending rates and increased selection, first time and move up buyers with good credit may choose to play their investment strategy safe and purchase a home.

The comfort of a tangible investment like real estate goes a long way in tough times.” RE/MAX is Canada's leading real estate organization with over 18,000 sales associates situated throughout its more than 670 independently owned and operated offices across the country.

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns

Home Staging and open house Checklist items just before

Last Minute Home Staging Checklist for an Open House

1. Clean up your house! – make sure everything is clean and tidy, including windows and mirrors.
2. Wipe down all yoru main sinks and bathtubs. When they are dry, they will look cleaner. No dirty dishes in the sink.
3. Declutter – remove everything from counters, tables, floors, etc. except the items you are using to accessorize.
4. Put away any your valuables; money, jewelry, credit cards, personal information, medications.
5. Depersonalize the house as much as possible – remove all toiletries, grooming products, photographs, diplomas, awards, trophies, collections.
6. I don't necessarily agree with this one
   Also remove anything of a religious, ethnical or political nature.
7. Open all blinds and window coverings; you want the house to light and bright.
8. Turn on all the lights in the house, including lamps.
9. Check all beds are made and tidy up the bedrooms.
10. Open the windows and air out the house. Empty all garbage containers, diaper pails etc.
    You don’t want any offensive odors in the house.
11. Take pets with you and remove all signs of pet paraphernalia. (fish are the exception)
12. Make sure all toilets are flushed and toilet seats down and that they are clean!
13. Optional – easy listening music in the background.
14. Curb Appeal - check the yard; remove newspapers, garbage, toys or clutter.
    
    

    Read more about:

    • Interest Rates
    • Power of Sale Properties
    • Price Trends
    • or Search the MLS and more at my website

    Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

    Mark

    A. Mark Argentino
    P. Eng. Broker
    Specializing in Residential & Investment Real Estate
    
    Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
    RE/MAX Realty Specialists Inc.
    
    Providing Full-Time Professional Real Estate Services since 1987
    ( BUS 905-828-3434
    ›mark@mississauga4sale.com
    8 Website : Mississauga4Sale.com

    • Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
    • On-Line Real Estate Newsletter sign up
    • See seasonal housing patterns
    

Ready to buy a Mississauga Home?

Are you planning To Buy real estate before the winter?

Start your real estate education now by receiving all the newest Mississauga and Toronto house or condo MLS listings automatically for your favourite neighbourhoods!

Use this link to sign up to my neighbourhood watch program:

http://www.mississauga4sale.com/Neighbourhood-Watch.htm

After you provide us with some of your general home buying requirements, weekly or biweekly you will receive copies of those MLS listings that fit your criteria. It's that easy!

You'll discover what homes are selling for in the Mississauga neighbourhoods that you're interested in and you'll be able to more accurately plan for what size of down payment you'll need and what your monthly payments will be.

Just one more value added benefit to working with Mark Argentino of RE/MAX in Mississauga Ontario.

All the best!

Mark

What A Staging Consultant will do for your house

This page will give you ideas and tips when it comes to selling your home and staging it, this is one in a series of articles on staging your house

You will benefit by using the information contained within these articles.

Enjoy!
Mark

What A Staging Consultant will do for your house:

Ñ Look at your house through those highly critical eyes of the buyer

Ñ Highlighting selling features

Ñ Enhancing functionality and visual flow

Ñ Make your house appear bigger, brighter

Ñ Enhance the positive features and minimize the negative

Ñ Furniture layout, lighting, traffic flow, repairs, focal point

Ñ Appeal to more mainstream taste

Ñ Respect your individual situation, timeframe and budget

Ñ Make that all important first impression memorable

Ñ Critique and recommendations – a room by room, step by step, prioritized assessment of what needs to be done to get your house ready for sale

Ñ Maximize your return on investment, and protect your equity with an honest, unbiased and professional opinion.

In the end, it is you that will decide what recommendations you will implement.

Courtesy of:

Lydia Pollard

Owners Pride Home Staging & Design

http://www.ownerspride.ca/

Read more about:

• Interest Rates
• Power of Sale Properties
• Price Trends
• or Search the MLS and more at my website

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate

Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
›mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

• Thinking of selling in the next 3 to 6 months? Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?
• On-Line Real Estate Newsletter sign up
• See seasonal housing patterns