Cranbrook BC Real Estate

Why Buyers Use Real Estate Agents

Carla Sinclair — Tue, 17 May 2011 03:46:00 GMT

Purchasing a home can be a very exciting, stressful and complex endevour. Working with a real estate agent helps ease the process and ensure you are buying a home that will best suit your needs as well as give you a great real estate investment for the future. Real estate agents are looking at houses daily of all price ranges. They know the real estate market. They have access to the actual sold prices of homes which is absolutely paramount when purchasing. Sold prices reflect what buyers are actually prepared to pay for a home. Asking prices of homes can be all over the board. Some are Seller's prices and some are prices the real estate agent have suggestedto the Sellers by looking at the actual sold prices and then there are some that are somewhere in between. A real estate agent should give you all your options. You might not know if you went up in your price range by $10,000 you would be able to buy in Orchard Heights at brand new and it would effect your mortgage payments very insignificantly especially with the interest rates where they are right now. This is the time to go for more. First time homebuyers exemptions are really important. You have to meet certain criteria to not pay Property Transfer Tax. fProperty transfer tax is alot of money. 1% on the first $200,000 and 2% on the balance of the Purchase Price. Once you do find your home we prepare a Contract that protects you, help you negotiate the price, faciliate the financing, house inspection, look at the title to the property, house insurance etc. The real estate agent is with you to the day you take possession of your new home.

Good Showings

Carla Sinclair — Fri, 29 Apr 2011 14:13:00 GMT

Go the extra mile. If you have a potential Purchaser coming for a second look go all out. Get some fresh flowers to display on your kitchen table. Clean like you have never cleaned before. Get rid of that extra clutter you have been meaning to get to. Get a new crisp comforter for your bed and load it with pillows. Leave all your lights on, table lamps included. Put some music on, create an ambience. Bake some cookies and leave them out to eat while they look around. Make them want your house as their new home.

HST Referendum and how it effects Cranbrook Real Estate

Carla Sinclair — Thu, 31 Mar 2011 13:38:00 GMT

We have too many taxes already attached to real estate transactions. Property Transfer Tax is the biggest one when purchasing a property in BC. You pay the government 1% on the first $200,000 and 2% on the balance of the purchase price. If the home you are purchasing was $350,000, your property transfer tax payment to the government would be $5000. Its substanial. The government has a choke hold on it and does not want to give it up. They made some good money when the real estate market was booming from 2006 to 2009. Now with the HST you pay more to the government again. More than double more. On real estate commissions and on new housing purchases. Don't be confused. You do not pay any HST on used residential housing purchases. On new housing purchases we were told by the government the builders, contractors, sub-contractors would be getting tax credits for the HST and then this would be passed down to the consumer. It remains to be seen.

What happened to customer service??

Carla Sinclair — Wed, 30 Mar 2011 20:59:00 GMT

Its a big question these days. You call the bank, you get someone back east, you call your cell phone service provider, you get someone, somewhere..you go to a restaurant and you have to beg to eat, you go to make a purchase at a store and you are listening to the staff talk about when their next break is, etc. I am not saying this is everywhere. There are alot of great places with fantastic service. They get it. We have made a switch from having great customer service to having some downright terrible service. This is a huge part of my business and I take pride in it. Good customer service. I grew up in the generation where the customer is always right and you bend over backwards to accomodate them. If you choose to deal with me to help you buy or sell a home, you will get the service you deserve. No ifs ands or buts.

Prep your Home for Sale

Carla Sinclair — Mon, 28 Mar 2011 14:31:00 GMT

Declutter! Start packing. You are going to move anyway, so lets get a head start on the packing process. If you don't have room to store the boxes, get a storage unit. In is not that expensive and is worth every penny when it comes to getting your house sold. If potential buyers see a cluttered home, the first thing that comes to their mind is that this house too small. If you have it staged nicely without congestion it shows it does have lots of space and good organization. This is what appeals to a buyer.

Cranbrook's Season Change Blues

Carla Sinclair — Mon, 28 Mar 2011 01:57:00 GMT

The dirty snow, the ice, the brown lawns, the cold, then hot, the jacket, the no jacket....the list goes on of the Cranbrook blues. Its a tough time of year in Cranbrook. Boister yourselves and push on! Take to the ski hill! Its fantastic Spring conditions. Lots of soft snow with the sun shining on your back. Couldn't be better! Welcome the brown lawns. Crush up that snow and ice knowing its on its way out! Welcome the higher temps that will soon be here to stay. We will be baking at the wonderful beaches on our fabulous Lakes in no time!

Just sold an old Property Guys Listing

Carla Sinclair — Fri, 25 Mar 2011 17:21:00 GMT

Just sold a property that was listed through Property Guys. I listed this property and sold it in less that 60 days. The Sellers were very happy with the sale. It was all handled with little inconvenience to them and they were assured the transaction was handled legally and professionally.

The Cranbrook Spring Housing Market is Upon Us

Carla Sinclair — Mon, 21 Mar 2011 12:51:00 GMT

In the last 2 to 3 weeks it came.....the Spring rush! January and February were extremely quiet. The silence before the storm...Realtors are now running off their feet! I strongly suggest if you have a house you are planning to sell this year then don't wait to get it on the market. There is not enough inventory out there for buyers at the moment. Some buyers are having to making tough decisions with limited inventory. So get out that paint can today and get it done!

Open House in Orchard Heights on Saturday - Price just reduced to $379000

Carla Sinclair — Fri, 11 Mar 2011 20:44:00 GMT

Orchard Heights, Cranbrook - We invite everyone to visit our open house at 1416 20th Avenue S on March 12 from 1:30 PM to 3:30 PM.

Property information

Open House in Gordon Terrace on Saturday - Amazing High End Custom Home

Carla Sinclair — Fri, 11 Mar 2011 20:43:00 GMT

Gordon Terrace, Cranbrook - We invite everyone to visit our open house at 900 17th Street S on March 12 from 3:45 PM to 4:45 PM.

Property information

Open House in Elizabeth Lake on Saturday - Just Reduced to $294,900

Carla Sinclair — Fri, 11 Mar 2011 20:42:00 GMT

Elizabeth Lake, Cranbrook - We invite everyone to visit our open house at 104 Birch Drive on March 12 from 11:30 AM to 1:00 PM.

Property information

Waiting for the Cranbrook Spring Market.

Carla Sinclair — Mon, 07 Mar 2011 14:37:00 GMT

Most homeowners anticipating a sale of their home this year wait until the Spring to list it with a REALTOR (R). Spring is when the snow starts to melt and the Spring flowers start to bloom and there home is more attractive. Don't wait. The problem is everyone else is thinking the same thing. Your competition goes up tenfold. Instead of competing against 5 houses you are now competing against 20. Yes there are more buyers in the Spring/Summer, but there are always buyers at all times of the year. There are transfers from CPR, RCMP, Interior Health, Home Depot, Tembec etc. All different kinds of newcomers getting jobs throughout the Winter/Spring months. I just had a client in this past weekend coming to a new job for Interior Health who bought. We looked at houses on Saturday, she short listed to two houses. We went and looked a second time and she made her offer.

Keep in touch with your Mortgage Brokers and Bankers

Carla Sinclair — Tue, 01 Mar 2011 14:31:00 GMT

Always keep on top of what the interest rates are doing. Know what you can and cannot do with your mortgage. Interest rates are so good right now. This is the time to pay extra if you can manage it because the interest is much lower than it is usually and you will get down your principal faster. Find out what your prepayment penalty for renewing your mortgage is. Is it 3 months interest or interest differential? Variable rate mortgages are always only 3 months interest. If you are prime or prime plus on a variable rate mortgage, it might be worth it to go in and check to see if you can get prime less .75 or .65 or better. Even with paying the penalty you will come out ahead. You may want to move to a new home but don't think you can because your mortgage term is not up and you have to pay a penalty. Check. Information is free. It might not be what you think. Your mortgage broker or banker may be able to get you into a better mortgage and you will be paying less in the end. Look and blending and extending. Depending on when you received your mortgage, it might be a better rate and you might be able to get into a home you will be happier with. Ask around. Information is free. Get a second opinion. Knowledge is power. Your home is your biggest investment. Managing it financialyl is one of the most important aspects of being a homeowner.

TLC's "Property Ladder" on FSBO

Carla Sinclair — Wed, 23 Feb 2011 20:42:00 GMT

On TLC's, "Property Ladder" the host, Kirsten Kemp, was giving property sales stats on FSBO (For Sale By Owner) vs. agent-handled sales. Here are the stats she gave:

"Stats show that the median selling price of a FSBO are 15% lower than a house that is listed with a Realtor. Homes listed with Realtors sell in less than half the amount of time than FSBO's"

Don't be mis-led into believing that "saving" a small percentage of commission by selling yourself will result in more $$ in your pocket once the deal is completed. The facts prove otherwise.

Just Listed a Great Cranbrook Townhouse

Carla Sinclair — Sat, 19 Feb 2011 15:21:00 GMT

I just listed a great townhouse blocks from the Cranbrook Regional Hospital. It has 3 bedrooms, 2 bathrooms and 1700 sq ft of space. The masterbedroom is huge with double closets. Private fenced yard. Updated kitchen and flooring. Strata fees are low at $90.00 per month. Priced to sell $175,000.00.

Remember Sold Prices are what matters when pricing your home

Carla Sinclair — Fri, 18 Feb 2011 04:42:00 GMT

When working with a Seller, most REALTORS (R) prepare Comparative Market Analysis ("CMA") to determine the best price to list their home at to get a reasonably quick sale at the best price possible. The real estate market in Cranbrook is not easy right now. Buyers are choosy. They can be. Its a buyer's market. Sellers need to have the most accurate information about what homes comparable to theirs are selling for. What they sold for is the most important part of a CMA. It truly reflects what buyers in the current market are prepared to pay for a similar home. Any Seller in our real estate market can list their home at whatever price they want. REALTORS (R) suggest a price, but ultimately it is the Seller's decision to make. This can scew what the public perceives is a reasonable price for that particular home. So unless you are looking at the solds, what buyers are prepared to pay and not what a Seller is asking, you will not be pricing your home accurately to get a sale.

The key to remember about a CMA is that if properly researched, it will give you the hard numbers necessary to reach a realistic pricing decision. The price range you get from a REALTOR (R) using a CMA may well be lower than what you get from agents who don't use one. But when a CMA is used to determine the asking price of a home, the final sale price is usually closer to the CMA price, than a price determined without the use of a CMA. Another important benefit of using a CMA is that when a home is priced properly, it will usually sell faster.

What did the house next door sell for?: a CMA will show you the current selling prices in your neighborhood.

What should we price our house at?: a CMA will show you the range your listing price should be in.

Cranbrook House Sales Heat Up due to New Mortgage Rules

Carla Sinclair — Wed, 16 Feb 2011 14:40:00 GMT

House sales will begin to warm in the next month ahead of the new mortgage insurance rules that reduce the maximum amortization term to 30 years from 35 years. This would mean mortgage payments per month will be more and buyers will need to look for a less expensive home. Buyers who were waiting will need to get in before the March 18 deadline so they can amortize over 35 years. I would encourage any buyers if they have not already done so, touch base with their banker or mortgage broker to find out how these new rules will effect their own financial situation and house purchase. It is an amazing time to buy. The real estate market goes in cycles. We are down right now, so you know it has to go up. Interest rates are at an all time low. You will make money on your investment and set you up to move up the property ladder.

Full Service Brokerage (REALTOR (R)) or For Sale by Owner (FSBO)?

Carla Sinclair — Sat, 05 Feb 2011 23:39:00 GMT

This is a common question most homeowners contemplate when thinking of selling their home. Hiring a real estate agent to sell your home is a decision that will usually be based on several different factors such as whether you have time to sell the house yourself as well as whether you are willing to take on the responsibility of putting your house on the market FSBO. Listed below are some of the pros and cons of listing your house with an agent:

Pros to Full Service Brokerage

80 to 95% of buyers are working with an agent. It costs a buyer nothing and it is a one stop deal. They are ensured they are getting all the information on the current market to make their best choice and the agent handles everything for them with the assurance its being done right.

The agent is responsible for showing the house to potential buyers. These potenatial buyers are screened to ensure they can afford your property and have financing available to them.
The agent places your home on the multiple listing service (REALTOR.CA), office website and their personal website. The agent facilitates all open houses done at the home.
The agent pays for all advertising for the home as part of their commission so none of that falls on the home owner. The homeowner pays no commission unless the house sells.
Aide in pricing the home. The agent has access to all of the comparable homes sold in your area. SOLD prices are most important, not LIST prices. They also view the competition on a regular basis.
Not having to worry that the proper steps are being taken in all aspects of the selling and the assistance in negotiating the best price.
Knowing that you are protected against future lawsuits by the buyers due to the selling of the home being conducted incorrectly. The agent holds errors and ommissions insurance.
The agent does all the leg work involved in contacting mortgage brokers, inspectors, and appraisers in order to make sure all necessary things happen for the closing.

Cons to Full Service Brokerage

You pay for a service. The commission payable is split between the selling and listing agent. Each agent splits their side with their broker (the office). In the end, the commission is split to 4 sides. All agents are required to pay for errors and ommissions insurance, fees to belong to the Real Estate Board they are a member of and all advertising and marketing of the home.

Selling a Home can be many different things to many different people. From personal properties to inherited properties every home seller definitely has a little bit of work, time and effort ahead of them.

Statistics do show that the vast majority of homes that are sold are done so through a real estate agent in some form or fashion. Of course there are still transactions that are done privately between buyer and seller only. There are some pro's to being able sell your home without a real estate agent and the mass majority is the payment of commission for the service. Beyond that I cannot think of any other pro's to Selling a Home without Representation.

Competition Bureau Update

Carla Sinclair — Sat, 02 Oct 2010 21:50:00 GMT

Competition Bureau Update

OTTAWA (September 30, 2010) - The Board of Directors of the Canadian Real Estate Association (CREA) today entered into a consent agreement with the Commissioner of Competition regarding the application before the Competition Tribunal, subject to ratification by the CREA membership at its Special General Meeting in St. John’s on October 24, 2010.

The agreement will be held in escrow pending ratification by CREA members.

“CREA has always been committed to ongoing dialogue with the Competition Bureau. This agreement is the result of extensive negotiations between CREA and the Competition Bureau,” says CREA President Georges Pahud. “Both sides gained a better understanding of their respective concerns through our discussions. We are pleased that a resolution has been reached, subject to member approval.”

CREA has always been of the view that its rules regarding member board MLS® systems do not in any way prevent or restrict a broad range of business models. In CREA’s view, the consent agreement reflects this reality and would avoid unnecessary and expensive litigation proceedings.

The Special General Meeting is a yearly event held every fall for members of the Canadian Real Estate Association.

CREA will make no further public comment in advance of its upcoming Special General Meeting.

"posted from CREA website"

Cranbrook Estate Sales

Carla Sinclair — Fri, 11 Jun 2010 01:27:00 GMT

Cranbrook does have its share of estate sales just like any town. Parents pass and their children need to deal with their estate and part of their estate is usually their home. IIt is a difficult time. If you are out of town and are unable to come to town to deal with packing up and sorting belongings, cleaning and staging a home for sale, there are a few great companies in town that specialize in just that. Some people wait to have the home transferred into the beneficiaries or executor's name, depending on how the title to the property was held and some people chose to get it on the market right away and when an offer is entertained it is always subject to probate. If you are interested in knowing how the process works or would like help faciliating the sale of your parent's home, please call me or email me at carla@ekrealty.com.

Cranbrook real estate market slow to heat up

Carla Sinclair — Tue, 01 Jun 2010 14:20:00 GMT

Its pretty quiet out there right now. There are some sales but not as much as we thought for this point in the year. We have listings and many people waiting to sell their place to buy another, but the chain of events hasn't quite produced yet. Could it be the weather? Could it be that it takes longer than we think to get those jobs back and get that steady income coming in before people are able to commit to buying a home? How's Alberta doing? They haven't bounced back yet, slowly its coming for them. We did come out really well from the economic recession, but it takes time. It is a great time to buy. Lots of value out there for your money. Lots of Sellers more willing to negotiate. The Bank of Canada raised their prime rate today, but even with that, the interest rates are still fabulous. This is a great time to buy an investment property. Victoria Villa for under $100,000, you can rent these 2 bedroom 1 bath, in suite laundry units for $850 per month, no maintenance and Woodland Court for under $90,000, you can also rent these for $800 to $850, 2 bedroom, 2 bath, no maintenance. You buy these units, rent them out, let the tenant pay your expenses, watch the market go back up and your mortgage go down and you've made some good money. Money you would not have been able to save. The Cranbrook real estate prices are down approx. 8 to 10%. They will go back up when the market starts to pick up again. When will that be? If we could predict the real estate market then we all would be very rich real estate investors.

BC Real Estate Association Encourages Housing Affordability

Carla Sinclair — Thu, 06 May 2010 14:27:00 GMT

BC Real Estate Association Encourages Housing Affordability:
Urges Government to Reduce Shelter Taxes

Victoria, BC – April 26, 2010. The British Columbia Real Estate Association (BCREA) is in Victoria this week to highlight to the Government of British Columbia that, with the highest home ownership costs in the country, BC is at a competitive disadvantage to attract skilled labour and professionals to the province.

“The availability of affordable housing not only dramatically impacts one’s quality of life, it also significantly impacts the ability of the province to attract the labour and talent we need to ensure future economic growth,” says BCREA President, John Tillie. “BCREA is committed to working with the provincial government to find solutions to make the purchase of a home in British Columbia as affordable as possible."

BCREA is asking the Government of British Columbia to examine shelter taxes and take measures to encourage housing affordability and tax fairness for British Columbians. This is necessary in order to attract much‐needed skilled workers to the province. Although BC ranks as one of the four most competitive provinces in terms of sales tax, fuel tax and net property tax, high shelter taxes and housing costs serve as a deterrent for workers and companies considering relocation to BC.

Shelter taxes significantly contribute to the cost of a home purchase. A growing proportion of British Columbians have been subject the Property Transfer Tax (PTT) – originally intended as a luxury tax on high‐priced homes – since its introduction in 1987. BC families pay 12 per cent of their annual income in PTT when buying a home, a heavy burden on households. For example, a couple earning $40,000 each in taxable income pays almost three times their annual BC income tax for the privilege of buying a home, $2,880 versus $7,811. The implementation of the new Harmonized Sales Tax (HST) will add an additional tax burden on BC homebuyers, homeowners and landlords.

The government has taken some steps to lessen the tax burden on British Columbians, including competitive personal and corporate tax rates, and increasing the threshold for HST rebates for house purchases. However, the total tax burden in BC is still a heavy one – British Columbians pay at least 122 per cent more in property transfer taxes than the average buyer in Ontario, for example. With additional shelter taxes, attainable housing is becoming increasingly unrealistic for many.

Specifically, BCREA is asking government to implement the following measures:

Recognize significant differences in home prices across the province and implement regional rebate thresholds for new housing, which will be indexed annually
Index the HST rebate threshold to maintain the current percentage of tax exempt buyers – unless the threshold is indexed, as new home prices rise over time, a higher proportion of buyers will have to pay HST on new homes
Adjust the PTT to help restore fairness by implementing a three‐year phase‐out of the PTT, including increasing the one per cent tax threshold (from $200,000 to $500,000) starting on July 1, 2010

"Through implementing our recommended measures to enhance shelter tax equity, the provincial government can make great strides in improving housing affordability in British Columbia,” added Tillie. “BCREA encourages British Columbians to get educated and advocate for housing affordability in their community – together we can work to improve housing attainability."

For more information about HST and how it will affect British Columbians, visit www.bcrea.bc.ca/sheltertaxes.

About BCREA
BCREA represents 12 member real estate boards and their approximately 17,500 REALTORS® on all provincial issues, providing an extensive communications network, standard forms, economic research and analysis, government relations, applied practice courses and continuing professional education (cpe).

To demonstrate the profession’s commitment to improving Quality of Life in BC communities, BCREA supports growth that encourages economic vitality, provides housing opportunities, respects the environment and builds communities with good schools and safe neighbourhoods.

For detailed statistical information, contact your local real estate board. MLS® is a cooperative marketing system used only by Canada’s real estate boards to ensure maximum exposure of properties listed for sale.

- 30 -

For more information, or to request an interview with a BCREA spokesperson, please contact:

Laura Cropper	Damian Stathonikos
Hill & Knowlton	Director of Communications and Public Affairs
O: 604.692.4231	O: 604.742.2793
C: 778.323.3827	C: 778.990.1320
E: laura.croper@hillandknowlton.ca	E: dstathonikos@bcrea.bc.ca

To change your email address or subscribe to more BCREA publications, click here.

Provided by BCREA.

How HST can effect your real estate transaction!

Carla Sinclair — Tue, 23 Mar 2010 03:10:00 GMT

How will the HST impact the real estate sector?

As proposed, the HST will increase the cost of buying or selling all types of property and becomes essentially an additional tax on home ownership. REALTOR® commissions, appraisals and other services will be subject to a 12% HST, replacing the 5% GST now charged, and new homes will be subject to the full HST.

The HST would generally apply to a supply of a service to the extent that the service is performed on or after July 1, 2010. The HST would generally not apply, however, to a supply of a service if all or substantially all (90% or more) of the service is performed before July 2010.

For more information and to see the General Transitional Rules for BC, click here. For the Residential Housing New Housing Rebates and Transitional Rules for BC click here.

How will bare land be impacted?

According to BDO Dunwoody, the sale of land is currently the one supply where the GST may become collectible, regardless of the GST registration status of the seller. With the implementation of the HST, land sales that are subject to the 5% GST will become subject to the 12% HST. Any person who sells land should determine whether the HST is applicable to the sale. PST does not apply to the sale of bare land.

GST taxable sales of bare land do not require (or allow) for the seller to collect the GST from the buyer if the buyer is registered for the GST at the time of the sale. These same rules are expected to apply for the HST. A seller who makes a taxable sale of bare land to a buyer who claims to be registered for the HST should verify the HST registration with the Canada Revenue Agency (CRA). The CRA has established its own website (www.cra-arc.gc.ca/esrvc-srvce/tx/bsnss/gsthstrgstry/menu-eng.html) that allows a person to verify the registration status of a seller.

When a buyer who is registered for the HST acquires land that is subject to the tax, they are required to self-assess the HST payable on their HST return. Generally, when the land is used more than primarily (50%) in the buyer's commercial (taxable) activity, a full input tax credit can be claimed on the same return. The reporting of the self-assessment and the entitlement to claim a full input tax credit should result in no net tax for the buyer.

The HST charged on real estate commissions related to sales of bare land should be fully recoverable, provided the seller is an HST registrant and was using the land exclusively

When does HST become payable?

BDO Dunwoody anticipates transitional rules similar to those imposed for other harmonization and used in the recent federal reductions of the GST. If these rules apply, where a purchase and sale agreement for a new home is entered into on or after July 23, 2009, and ownership or possession of the house is given to the purchaser before July 1, 2010, the GST at 5% should apply to the sale. For new homes where the purchase and sale agreement is entered into on or after July 23, 2009, and both ownership and possession is given to the buyer after June 30, 2010, the HST at 12% is expected to apply to the sale.

For new homes where the purchase and sale agreement was entered into with the buyer before the July 23, 2009 government announcement, it is expected that only the GST at 5% will apply, regardless of when ownership and possession transfers to the buyer.

Is there any relief for buyers of new homes?

To offset the increase in costs, the Government of BC plans to offer a partial rebate of the provincial portion of the HST for new (and substantially renovated existing) housing to ensure that new homes up to $525,000 will bear no more tax than under the current PST system, while homes above $525,000 will receive a flat rebate of $26,250. New home sales over $525,000 will be impacted, as buyers will have to pay an additional 7% tax less the $26,250 flat rebate.

For more information and to see the Residential Housing New Housing Rebates and Transitional Rules for BC click here.

How will the proposed rebate for new and substantially renovated existing homes work?

Proposed to Take Effect on July 1, 2010
Tax: 12 per cent HST
New Home Price Level	Rebate
Up to $350,000	Partial Rebate on Federal Portion of HST (GST)
	71.43% Rebate on Provincial Portion of HST
	Government expects total impact to be equivalent to existing tax system before July 1, 2010
$350,000 t0 $450,000	Rebate on Federal Portion of HST (GST) clawed back (straight-line method)
	71.43% Rebate on Provincial Portion of HST
	Government expects total impact to be equivalent to existing tax system before July 1, 2010
$450,000 to $525,000	71.43% Rebate on Provincial Portion of HST
$450,000 to $525,000	Government expects total impact to be equivalent to existing tax system before July 1, 2010
Over $525,000	$26,250 Fixed Rebate on Provincial Portion of HST

Existing System Before July 1, 2010
Tax: 5 per cent GST
New Home Price Level	Rebate
Up to $350,000	Partial Rebate on Federal Portion of HST (GST)
$350,000 to $450,000	Partial Rebate on Federal Portion of HST (GST) gradually eliminated
Over $450,000	No Rebate

Why was $525,000 chosen as the threshold for the rebate for new homes?

On November 18, 2009 the provincial government announced the HST transitional rules on housing which includes a threshold increase from $400,000 to $525,000, moving the threshold to above the median new home price in the province. The original $400,000 threshold reflected the median price of new housing in urban areas in BC in 2008. Homes priced above $525,000 will receive a flat rebate of $26,250. The rebate will be available whether the new housing is to be owner occupied or rented.

According to the government news release announcing the transitional rules, the limit was increased due to feedback from consumers and the industry. To read the news release and backgrounder click here.

For more information and to see the Residential Housing New Housing Rebates and Transitional Rules for BC click here.

in commercial activities.

“Copyright British Columbia Real Estate Association. Reprinted with permission.”

Rules Getting Stricter for Home Buyers

Carla Sinclair — Tue, 09 Mar 2010 04:53:00 GMT

Finance Minister Jim Flaherty is tightening mortgage rules in order to crack down on speculators and discourage homeowners from taking on too much debt.

This is the attempt made to responding on the growing concerns that Canada’s housing market is getting too hot, although he stresses that there is no such bubble in Canada’s real estate market yet.

Flaherty says that all borrowers will need to meet stiffer criteria in order to get a mortgage. In order to qualify for an insured mortgage, borrowers would have to meet standards for a fire year old fixed rate mortgage, which is up from the current standard of the three years fixed rate mortgage.

Flaherty also noted that he will be increasing the down payment that borrowers must pay for speculative investments.

If prospective home buyers want to purchase a property in which they will not be living in themselves, then there will have to come up with around 20% down payment.

Flaherty is not stopping here; he is imposing tighter restrictions on how much money people can borrow against their houses. The limit was 95% on how much you could borrow of the value of your property, however it will not be at 90%.

These new rules are expected to come into effect as of April 19th.

The Bank of Canada has been warning for moneys that homeowners should ensure that they can absorb an increase in their floating rate mortgages once rates begin to rise, which could be as early as summer of this year.

10 tips on how to prepare your home to sell.

Carla Sinclair — Thu, 07 Jan 2010 05:21:00 GMT

1. Absolutely the most important thing and the very cheapest is CLEAN. Your house needs to be immaculate. Windows and the window frames. People look at windows and if they are not new windows they should be a least very clean windows with no evidence of mildew. If you cannot afford to replace old carpets, steam clean them. Yes they may replace them anyway, but they may not have the money to do it. Especially right away. No dishes in the kitchen sink. Bathrooms should be spotless with the toilet seats down for showings. Taps should be shiny. Beds all made, etc etc.

2. While you're cleaning, DECLUTTER. Get rid of the piles of stuff. If you truly want to move you need to deal with it anyway. Make piles that go to the dump, Sally Ann, and storage. It is worth renting a storage facility if you have that much stuff. Organize shelves and closets. Buyers don't want to see a cramped house. They want to picture their things there and if they see no space or if they see how you have cramped everything in, it will not appeal to them. Buyer's cannot imagine themselves there.

3. It is important to keep your house smelling good. Fresh flowers and air freshners really help a buyer feel good about the home. Do not cook fish or wild meat or curry. These SMELLS linger and really put someone off when they walk through the front door. Don't go overboard on air freshners though. There are buyers out there with allergies.

4. Next in line would be STAGE. Invest in selling your home. Buy a few nice things to make your house appeal to someone. A nice bedspread, new bathroom carpets, artwork, a nice throw etc. Spruce it up! You can take it all with you for your next home. Tell yourself you have to do this to sell your house if spending the money on these types of things both you.

5. PAINT. Go pick out some earth tones, not just plain beige or white. Go with some color! The local paint store can really help you with a color palette. Use their help and listen. This will brighten your home up and look better maintained because all of the paint chips that are on your wall now will be gone. It also makes the house appear alot cleaner.

6. If your house is really tired, FLOORING. Invest a few thousand dollars and do it. Again, go with earth tones and texture. You will get your money out of it. If you need flooring and don't do it, you can guarantee the buyer is going to try to get you down lower on your price to compensate for it, even if you have already lowered the price.

7. Does your KITCHEN need a face lift. Countertops are very reasonably priced and can do the job. Change the hardware on your kitchen cabinets also helps.

8. Does your BATHROOM also need a face lift. Counterops again will help so much. Bathroom fixtures. A new taps and shower head.

9. LIGHTING in your home is huge. New lighting does wonders for the look of your home at little expense. Brushed nickel lighting fixtures is best or black.

10. When your house has a SCHEDULED SHOWING, leave all the lights on, all of the window coverings open, fresh flowers or air freshners, completing neat and tidy, toilet seats down, keep the house warm on winter days and cool on summers days. Make your house available to show. Be very accomidating, the more people who come through your home the better chance it has to sell!!! Good luck.