Location, Location, Location

Deciding where to live is an easy decision for some, but for others it can be confusing and at times what appears to be the most desirable home turns out to be the wrong choice because of location. 

You can change some things about a home through renovations, but you can't change the location.  So, location is one of the most important things to consider for years of enjoyment at your new address.

Here's a simple "Yes" and "No" exercise on your decision of where to live. 

Enjoy!

Before We Cool We Need To Boil!

I just finished reading a financial article about real estate in Canada.  It talked about debt ridden Canadian consumers and a cooling property market in this country, but after reading it I thought to myself that this is a good example of why averages in this country don’t always add up.

I agree that Canadians (on average) are debt ridden, but when it talks about a cooling trend in Canadian real estate, I’m asking when did the local marketplace get to a boil to start with?  Shouldn’t we have experienced the boiling real estate market as say Toronto or other major Canadian cities did, before we get lumped into a cooling market?   The fact is, the local marketplace has been cool for sometime and I don’t think we are going to experience the cooling trend that major cities are facing.  

The article I read pointed out that there are currently three major global economic threats that we have no control over, but could affect us. (1) is the Euro, (2) is the state of the U.S. economy and (3) is the slowing pace of growth in China.  Some of this is why experts are saying there is a cooling trend on the way for real estate, but I think (hope) it’s referring to the major cities that saw prices skyrocket while we locally were living in a no growth situation.

Within the Orillia area there was some downward movement in the fall of 2008, limited increased activity in early 2009, a slowdown in 2010 and since then modest growth in activity.  The upward or downward movement in activity (number of properties listed and sold) does influence pricing, but unlike major cities we have not seen huge fluctuations.  Not getting to a real estate boil over the past couple years means our area will be less likely to notice a huge cooling off trend if it does come.

With so many things that can influence the local marketplace it's hard to predict what the future holds.  However, with the way our Canadian banks have operated in the past and recent changes in lending practices in Canada, our banks have strong balance sheets which gives us some protection and since we have not seen huge growth locally like major cities, we will probably not experience a big drop in pricing if Canada experiences (on average) a cooling off period. 

I believe like the past several years, locally there will be a slight upward or downward trend which will be influenced by the number of listings and buyers in the marketplace and most likely when all is said and done, we'll experience a stable local real estate market for the near future.  

For what's it's worth, that's my two cents. 
 

How's The Local Market

CREA STATS

Provided by The Canadian Real Estate Association

&

The Orillia & District Real Estate Board Inc.

Home sales stable in December.

Residential sales activity recorded through the MLS® System of the Orillia and District Real Estate Board held steady at the end of 2011. Demand in December matched levels in the previous two months, although activity did come in a little below levels in December 2010.

Residential sales numbered 44 units in December 2011, decreasing four per cent from the same month a year earlier. Sales of all property types numbered 49 units in December 2011, down nine per cent from December 2010.

On a seasonally adjusted basis, activity in December ran about even with levels in October and November, with these months marking the strongest three month stretch in 2011.

“A total of 865 homes traded hands over the Board’s MLS® System in 2011,” said Debbie Gilbert, President of the Orillia and District Real Estate Board. “While that was a decline of 10 per cent from 2010 levels, most of the weakness in demand was back in the spring. Since then activity has been on the rise. The fourth quarter of 2011 was actually the strongest quarter we’ve seen in a year and a half, so there’s definitely some good momentum heading into the new year.”

The average price for waterfront property sales was $307,500 in December 2011, down 27 per cent from a year earlier.

The non-waterfront residential average price remained unchanged from a year earlier at $222,879 in December 2011.

New listings on the Board’s MLS® System numbered 69 units in December 2011, up 19 per cent from December of 2010.

There were 342 active residential listings on the Board’s MLS® System at the end of December, edging down one per cent from the same time last year.

There were 6.9 months of inventory at the end of December 2011 on a seasonally adjusted basis, down slightly from 7.2 months at the end of November. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

The total value of all home sales was $9.8 million in December 2011, down 15 per cent from year-ago levels. The value of all property sales declined 19 per cent on a year-over-year basis to $10.4 million .
 
Incorporated over 40 years ago, the Orillia and District Real Estate Board offers its members the most advanced medium of selling real estate, by supplying to them the most efficient MLS® system available. The Board enforces a strict code of business ethics and standards of practice among its members, both brokers and salespersons.

The information contained in this report has been prepared by The Canadian Real Estate Association, in co-operation with the Orillia & District Real Estate Board. The information has been drawn from sources deemed to be reliable, but the accuracy and completeness of the information is not guaranteed. In providing this information, neither The Canadian Real Estate Association nor the Orillia & District Real Estate Board assumes any responsibility or liability. Copyright© 2012 The Canadian Real Estate Association. All rights reserved. Reproduction in whole or in part is prohibited without written permission.

Save up to 20% on your energy bills!

To date homeowners who participated in the federal governements ecoENERGY Retrofit - Homes program  have saved 20 percent on their energy bills.  

The ecoENERGY Retrofit - Homes program continues until March 31, 2012 and as a homeowner  you can receive grants up to $5,000 to make your home more energy-efficient and save energy costs.

The current program has two important changes.

Participants must now register directly with the program before booking an evaluation. Service organizations licensed by Natural Resources Canada to deliver this evaluation can be found here.

They must also provide receipts to their energy advisor at the time of the post-retrofit evaluation to confirm their eligibility for an ecoENERGY grant.

Only products purchased after June 6, 2011, and installed after a pre-retrofit evaluation are eligible for a grant.

Get more details and register at www.ecoaction.gc.ca/homes.

Is There a Best Day to List a Home?

I saw a report that suggests that the day of the week you list your hame can have an impact on how well your home sells. 

This is what the (U.S.) report revealed based on over a million listings over almost two years.

The results: 
Homes listed on Sunday get marginally more online views.
Homes listed on Friday are toured 19% more.
Homes listed on Friday or Thursday sell for slightly closer to original list price.
Homes listed on Friday are 12% more likely to sell in 90 days.

Friday appears to be an ideal day which is based on the idea that since Saturday and Sunday have 2.5 times as many tours per day than Monday to Friday, homes listed on Fridays are the freshest in buyers' minds.

There are comments from real estate agents that indicate Thursday is a better day since some agents might line up their weekend showings early Friday and could miss a late day Friday listing, but a professional sales representative should always be checking for new listings for their buyers. 

One downfall to this wait until Friday idea is the fact that the sooner a home is listed the sooner it can be advertised to potential buyers and if you wait a couple days to list, a seller could have their potential buyer putting in an offer on another home that is already on the market. 

Although this is an interesting study that probably has more bearing on the amount of early traffic through a newly listed home, the fact remains that a home properly priced, maintained, showcased and located in an ideal neighbourhood will sell faster and closer to a reasonable listing price no matter what day of the week it's listed. 

My thought is that you can't do much about location if you are the seller, but you are in control of price, maintenance and showcasing your home.  Concentrate on these three key areas when listing, then take this study into consideration to fine tune your potential for a sale.
   
(Study Source Redfin)

Options For Homes

After many years of planning, Options For Homes is coming to Orillia.  Options For Homes has helped thousand of Canadians become home owners and you're invited to learn how they might be able to help you too.

Options for Homes is a non-profit company that strives to bring home ownership within the reach of families with incomes as low as $40,000.  How is it done? 

House prices are kept low by employing simple, no-frills designs and avoiding excessive marketing campaigns. Volunteers do the initial planning and the entire project involves a not for profit mentality to keep the cost of the home low.  

Buyers unable to secure sufficent conventional financing can access a second mortgage through a sister organization, the non-profit Home Ownership Alternatives.  The morgage can be used to finance the difference between the building cost and the appraised value of the home.  What's very helpful in this second mortgage concept is that owners do not pay the principle or interest on the second mortgage while living in the home, instead repaying the amount owing when the house is sold.  This enables families to finally have an option to get into home ownership through a working plan they can afford.

If you are interested in becoming a home owner, Options For Homes would like the opportunity to tell you about the homes they are hoping to build in Orillia. These homes will be designed by James Fryett Architect Inc. and are currently planned for a 2.3 acre property in west Orillia, between Bass Lake Sideroad and Highway 12.  This location is close to shopping and is on a bus route.

The meeting planned is to get your input in the project.  Basically, what would you like to see in your future home? Share your ideas and learn about the opportunities for home ownership.

Thursday, October 13th, 2011
7:00 – 8:30 pm
St. Paul’s United Church, Room 333
62 Peter Street North, Orillia

*Child Care Available
*Refreshments Provided

Please come and join the conversation!

Please contact Johanna at jhashim@shs-inc.ca if you are interested in participating in this focus group. Please let us know if you require any specific arrangements or accommodations to ensure full access to this event.

If you would like to learn more about Options for Homes, please visit http://www.optionsforhomes.ca/

SPEAK UP ABOUT HOME OWNERSHIP

It's sad when I see a person/couple paying as much or more for rent than they would for a mortgage payment all because of the many additional costs associated with getting into a home. There are many who can afford a monthly mortgage payment, but they just don't have the necessary funds for everything else that faces them to secure the mortgage and to pay for the additional costs associated with the purchase.

As Ontario voters go to the polls in the provincial election, the Ontario Real Estate Associatio's (OREA) “Home Ownership Matters” campaign is promoting greater support for affordable home ownership to candidates, political parties and key decision makers.  What's more, OREA has made it so easy for you to express your concern to local candidates with just a few clicks of your mouse.

Ontario’s home owners and those who one day dream of owning a home are not always top of mind with our friend’s at Queen’s Park. From the Land Transfer Tax to the HST, provincial governments have made life more expensive for Ontario’s home owners. We can stop this trend but "Home Ownership Matters" needs your help.

It only takes two minutes.  Your personal information will appear in a pre-written letter to candidates running in your riding. You can make changes to the letter to perhaps tell your personal story if you want or just submit the pre-written letter, but once you’ve reviewed it all just click ‘Submit’ to send it to your local candidates.

Let’s make affordable home ownership an issue in the 2011 Ontario election. Tell your local candidates that “Home Ownership Matters” by clicking here: http://bit.ly/HOM-CFA and sending an email to your local candidates.  I just did it.  Will you?

Be sure to share this link with your friends.