Toronto and GTA Real Estate Auctions are not that common, WHY?

If you search Google for Toronto and GTA real estate auctions, most of the results talk about auctions, but really don't give you much information about upcoming real estate auctions in the GTA. This is probably because there are not too many real estate auctions that occur in the GTA.

In my experience, most property in and around Toronto is sold through traditional methods, such as the mls, private for sales, exclusive listings and other similar methods.

You will find that there are many auctions in the US. Their system works differently.

In a similar fashion, there is rarely a foreclosure sale in Ontario, most properties sell under Power of Sale in Ontario, read more here:
http://www.mississauga4sale.com/Power-of-Sale-Articles-1-Overview.htm

I've seen and received in my email, information similar to what is shown below for US auctions.

Please email if you have more questions.
Mark

Read more about estate sale auctions:
http://www.mississauga4sale.com/Power-of-Sale-Bank-Foreclosure-FAQ.htm#EstateSales

Some people have highlighted the advantages of an auction sale as follows:


*Auctions are the fast way to convert property, they are efficient, and effective or assets into cash No other sales method works as well
* What can be sold at Auction? Real Estate, Equipment, Businesses Inventory, , etc Any asset or property that can be sold at discount
* cut your losses or Cash in on your equity
* Convenient, no hassle, we handle everything
* Quick Sale property usually sells in 7 days or less when speed is of the essence,
* A specific date is set creating a sense of urgency to buy
* Intense and accelerated marketing
* Property sells at or near the true real estate market value or more
* Property often achieves more than the anticipated selling price
* Auction environment encourages a sense competitive bidding urgency
* Get aggressive marketing strategy to buyers local and maximum exposure, , regional, national and international
* Telemarketing, direct solicitation Targeted advertising, publicity, , proprietary database of prospects and investors
* Marketing through the World Wide Web www
* Directional signage and On-site property
* Auction conveys a "fast and sales-friendly" real estate competitive atmosphere


These are the typical types of auctions found in the US

* Regularly scheduled live public real estate auctions & investor forums
* Your property Property marketed on website for USA & International viewing
* Included in regularly scheduled Live bidding and Online bidding Auctions until sold
* Your property Email Broadcast to Brokers & Investors USA & International
* Aggressive Newspaper & Magazine Advertising
* Free MLS Listing
*

These are the types of auctions found on the internet

Foreign Property
Single Family Residential
Multi Family Residential
Condominium
Business
Foreclosure
Intellectual Property
New Construction
Apartment Buildings
For Sale By Owner
Time Share
Mobile Home
REO
Commercial
Manufactured Homes
Farms & Ranches
Raw Land
Trust Deeds
Industrial
Business
Historical Buildings
Water Craft
Air Craft
Marinas & Ship Yards
R1 Sub divisions
Intellectual Property
Hotels
Motels
Parks
Bankruptcy
Trusts
Vacation Homes

Power of Sales and Tax Sales Listings Now available

automatically receive MLS Listings of Power of Sales, Foreclosures and Bank Sales Alert, POS Properties for Mississauga, Toronto, Etobicoke, Oakville, Brampton and other areas north and west of the GTA

use this link to sign up:
sign up to my POS newsletter.

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

Power of Sales and Bank Foreclosure - what's the difference?

These are a couple of questions with answers that someone recently asked me regarding POS and foreclosure properties.

Hi Mark,

What are your requirements for the down payment for the purchase of any property listed in the Power of Sale? what is the minimum downpayment the you require?

What is the difference between the properties listed in the Power of Sale and foreclosed properties?

Thanks and regards,

L.

My answers to the questions are:

Hello Liezla,

Downpayment for POS is same as for regular properties, 5% is now the minimum with CMHC

POS means the bank is selling under the privilege contained in the mortgage, owner still has deed to property, foreclosure means the bank has taken over the property and owns the property and is selling the property.

Please let me know if you have any more questions.

Thank you,
Mark

Power of Sale Maintenance Fees shown on the MLS listing information

Another question I get asked quite often about Power of Sale properties is if the maintenance fee of $0 per month is correct as shown on the MLS listing. Same with the property taxes, often the amount shown for the property taxes on the listing for a POS property is often $0

My answer to this common question is as follows:

It's not a misprint, it's done on purpose by the listing agent and/or the bank who is selling the property. Many banks want the agents to put zero for maintenance fees and taxes on the listings.

The reason is so the bank is not responsible for any amount that may have been stated on the mls listing. If the bank showed $400 per month and it ended up being $450 per month, normally a purchaser could go after the bank/seller for the difference. If it's shwon as zero dollars and in the fine print of the offer, it states that the purchaser must investigate and satisfy themselves of the monthly maintenance and taxes, so the bank is off the hook in showing the correct amount.

In Mississauga, all of the 'normal' condo maintenance items, such as heat, hydro, water, common element maintenance, building insurance and common element parking is usually included in a condo maintenance fee. Usually the property taxes and cable TV are not included in the maintenance fees. In some of the newer condos hydro is NOT included, so you have to be careful when assuming that the listing agent has entered the correct information or not. Always best to confirm through me.

I hope this helps. Please let me know if you have other questions.

Thank you,
Mark

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.

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New Section about Power of Sales, Foreclosures and Quit Claim Deeds in this section

I've recently added a New Power of Sale section to my website that will show you the pitfalls to avoid and the clauses to put into your offer when you buy a Power of Sale property in Ontario. This new section will also explain Power of Sale and Foreclosure in detail. Read more here.


You will become educated about Power of Sales, Foreclosures and Quit Claim Deeds in this section.

You will learn the pitfalls to avoid, the clauses you could expect to see in an offer and read about the special clauses you can insert into your offer when you buy a Power of Sale Property. I will also explain the remedies open to sellers of these types of properties and how this affects you.

Power of Sales, Foreclosures and Quit Claim Deeds in this section.



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

Power of Sales, Tax Sales, Foreclosure & Distress Sales in Ontario Canada

This is a separate blog dedicated to Power of Sales, Tax Sales, Foreclosure & Distress Sales in Ontario Canada



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

Foreclosure Courses - are they worth the price of attendance?

Foreclosure and Power of Sale Courses - are they worth the price of admission?

I had another question about taking expensive educational courses to become educated on foreclosure properties.

The question and my answer are below.

Hi Mark, I attended a Markus Group seminar tonite held by Dan Frederick. He offers a course on how to do foreclosures, sandwich options, assignments etc. etc. His information is all Canadian (unlike so much of the Trump Wealth Expo ) which was very American. He said he also shows a lot of R.E. people how they can use their skills to make themselves wealthy. The 2 day weekend course is $1295. He will be speaking again May 30th at Holiday Inn, Dixon Rd. Would you be interested in hearing him? I am looking to partner with someone so cost is reduced to $650. each. Also thank you for the continued listings!
Regards,
SZ


Hello SZ,

I will be very honest and direct. Keep your $650 or $1295 for your downpayment or for your renovations once you buy the investment property.

Foreclosures and bank sales in Ontario are nowhere near the 'great deals' that they are in the states or even in other provinces. Our laws are different. Read more at my blog: http://www.mississauga4sale.com/blog/2007/04/power-of-sale-properties-are-they-great.html

Time of year you purchase and finding a motivated or anxious seller can go much further than a power of sale property.

This is the truth.

This is not an advertisement for my services, just my advice from 20 years in the real estate business.

If you want to invest in real estate, find a knowledgeable, honest, dependable and experienced agent such as myself or my partner who will teach you everything there is to know about investing and then go buy an investment property and make money.

Also, there are few real estate salespeople that are wealthy. I would guess that less than 1 in 20 owns an investment property, maybe a little more than non-real estate sales people, but still bleak considering we are in the market and often see good deals throughout the year.

My experience is that you have to make a concerted effort to research the areas you want to purchase the investment property and be ready, able and willing to buy it when you see the good deal.

The key to anything in life is action. Many take courses, research and spend hours and days and years researching an investment property purchase, but just never do it for one reason or another. If you have the resources for the downpayment and become pre-qualified and work with a good agent, then you can proceed and make money.

I am just speaking from the heart and my personal experience, I don't like to see people part with their money unnecessarily.

I hope this helps!

Thank you,
Mark

See Foreclosure and Power of Sales Properties.







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

Where can I find Power of Sale, Foreclosure and Tax Sale properties and information?

Another question that I receive is where can I find Power of Sale, Tax Sale and Foreclosure properties and information?

I am very familiar with Power of Sales, Foreclosures and Tax Sale properties. Have you read the information on my site at these pages? http://www.mississauga4sale.com/Power-of-Sale-Bank-Foreclosure-FAQ.htm

Are you signed up to receive my power of sale properties? http://www.mississauga4sale.com/Power-Sales-Bank-Sales-Alert-Request.htm

In my experience I have seen that people spend many weeks and months researching and learning about power of sales properties and then decide not to buy one due to the many uncertainties involved and the fact that you need the resources at hand to do the renovation work. Don't get me wrong, some people buy them successfully, just not that many.

Again, in my experience, there are two things you should do in real estate. Buy as expensive of a principal residence as you can to maximize your tax free asset. The other best thing to do is buy and investment property and hold it for at least 5 years to earn fairly easy profit.

I will help you in whatever area you decide.

Thank you,
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

Real Estate Trends in Foreclosure Properties and Bank Sales - consumer sentiment

Real Estate Trends in Foreclosure Properties and Bank Sales - consumer sentiment

According to a Yahoo Real Estate survey conducted by Harris Interactive, one in five homeowners is concerned about the possibility of foreclosure.

Twenty-six percent who expressed concern said it was because the rate on their adjustable-rate mortgage increased, according to the survey.

Fifty-nine percent said they were concerned about their ability to make their mortgage payments due to unexpected expenses.

But 39% expressed concern about having too much debt to repay and 28% said they feared a disability would put them out of work, thus limiting their ability to pay on their mortgage. Freddie Mac also this week reported that unemployment and income losses were linked to fewer delinquencies on Freddie Mac-owned loans in 2006 than in previous years. Delinquencies caused by excessive borrower financial obligations, however, rose.

"The drop in job- and income-related delinquencies reflect the growth we've seen in payroll jobs, excluding the manufacturing sector, but the uptick in late payments due to excessive debt is potentially troubling because it is independent of economic trends and suggests some borrowers are having a harder time handling their financial obligations than in past years," Freddie Mac chief economist Frank Nothaft said in a news release.

It's grim news for those who find themselves in over their heads with mortgage debt. But homeowners not in danger of foreclosure should be OK, right?

Not so fast. Foreclosures have the ability to spell trouble for the neighborhoods in which they're located. They can drag down housing values for surrounding homes, and if left vacant, they can become targets for vandals. Read more about how to protect your home as foreclosures are on the rise and learn how to prevent mortgage trouble on this week's Real Estate page.

Of course, as Michael Yang, general manager of Yahoo Real Estate pointed out in a news release, "there are two sides to the foreclosure picture." The survey also found that 37% of all U.S. adults would be at least somewhat interested in buying a house in foreclosure.

Read more about real estate foreclosures



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

Tax Sale Properties in Ontario - How can you find them?

Example of the procedure of selling a tax sale property

Before there is a sale of property for tax arrears the property owner is given every opportunity to pay the taxes in full in order to keep possession of their property. This right has been supported by the Ontario Court of Appeal.

As the City or Municipality is only interested in recovering the debt outstanding, they typically adhere to the principal that the owner is given all chances to bring the taxes up to date and where an arrangement to pay has been made between the owner and the city, the tax sale of an advertised property will be cancelled.

Sometimes a tax sale does not occur, nobody bids on a property and the property becomes vested with the city or Municipality. Reasons for this can be where there are no bids during the tax sale and the property becomes vested with the city. Some of the reasons for this include but are not limited to:

• there is an easement on the land and building on it is restricted,


• the property is so small that building on it would not be allowed,


• the property is land locked and not accessible,


• the zoning of the land limits its use,


• the property is in such disrepair that it is not worth the taxes owed, etc.

In these situations with the exception of the last example the city or municipality may try and identify any restrictions so that bidders are fully aware before they bid and commit their 20% deposit which will be forfeited should the bidder not close the sale.

Where the tax sale has no bids, the City has one year from a failed tax sale to decide whether the City wants to vest the property to itself. If there are any concerns as to contamination or the safety of a building structure then the city will analyze the available data to decide if the city should assume any risk in putting the property in the City's name.

Where it is determined that the City will not vest the property they may issue a Request for Offers and attempt to spur development by accepting much less than the taxes owed while limiting our risk of ownership to a very short period. Examples of these types of properties are where the taxes owed are much more than the assessed value. The City can also choose to do nothing with the property and then start the whole tax process again on that property.

Where a property did get sold at the tax sale the price bid for that property must be at least the taxes owing (minimum bid). Where the bid was for more than the taxes owing the balance is paid into Provincial Court and any other creditors that were registered on title can then make a claim for the excess funds.

On properties for which there is no bid and it is indicated that the property is vested to the City, usually the Real Estate Department becomes responsible for the property. They will work with transferring title to any adjoining owners, transferring title to another government agency (i.e. conservation, authority), the city may potentially require the property for its own use, or the Real Estate Department may market the property and attempt to then get the best price available for the property. Often the city or municipality will market the property on the MLS. These properties are then available to the general public through agents like myself.

I can send you a list of foreclosure properties if you use my online form.

As you can see, the process can become quite complicated and may take many months or years to conclude.


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