BUSIER THAN NORMAL NOVEMBER FOR FRASER VALLEY REAL ESTATE MARKET
(Surrey, BC) - The Fraser Valley Real Estate Board (FVREB) processed 1,522 sales on its Multiple Listing Service (MLS®) in November, an increase of 200 per cent compared to the 507 sales during the same month last year and only 10.7 per cent less than in October.
“Interest rates continue to be a strong motivator resulting in unseasonably high real estate sales for this time of year,” said Paul Penner, President of the Board.
“We typically see both sales and listing activity slow in November as people start to get ready for the holidays and we did experience that on the listing side, but not in sales. This was the second busiest November Fraser Valley REALTORS® have seen in ten years.”
The number of active Fraser Valley listings in November decreased 5.4 per cent from October, dropping to 8,334 listings. This represents a 29.4 per cent decrease from last year. The MLS® saw 2,093 new listings come on stream in November, 26 per cent fewer than were received in October, however, 12 per cent more than were received in November last year.
The benchmark price of a detached home in October was $497,697, an increase of 6.5 per cent compared to November 2008, when it was $467,497.
The benchmark price of townhouses increased 2.3 per cent from $308,647 in November 2008 to $315,890 last month. The benchmark price of apartments also increased year-over-year by 1.9 per cent, going from $231,498 in November of last year to $235,842 in November 2009.
“Although prices are edging up, buyers seeking value and lifestyle continue to find both in the Fraser Valley,” said Penner. “In November, 70 per cent of all homes and 46 per cent of single detached homes sold for under $500,000, indicative of a diverse housing stock across our six communities.”
Penner says the average days on market in the Fraser Valley remains competitive: 56 days on average for single detached homes; 46 days on average for townhomes; and, 58 days on average for apartments.
Thursday, December 3, 2009
Friday, November 6, 2009
October home sales brisk
OCTOBER HOME SALES BRISK IN THE FRASER VALLEY
(Surrey, BC) - The Fraser Valley Real Estate Board (FVREB) processed 1,704 sales on its Multiple Listing Service (MLS®) in October, an increase of 122 per cent compared to the 768 sales during the same month last year.
“We’ve had a reversal. Last October was unseasonably slow and now this past month was one of the strongest real estate markets we’ve had in the Fraser Valley in the last decade,” said FVREB President, Paul Penner.
“We continued to see resale buyers from Greater Vancouver and first-time buyers from all over the Lower Mainland taking advantage of competitive interest rates and lower prices in the Fraser Valley.”
Although the MLSLink® Housing Price Index (HPI) benchmark price of all three residential property types combined has increased by 7.4 per cent in the last six months in the Fraser Valley, prices for each property type remain at or below what they were one year ago.
The benchmark price of a detached home in October was $491,128, an increase of 0.4 per cent compared to October 2008, when it was $488,983.
The benchmark price of townhouses decreased 2.1 per cent from $319,160 in October 2008 to $312,339 last month. The benchmark price of apartments also decreased year-over-year by 2.3 per cent, going from $245,635 in October of last year to $240,048 in October 2009.
“We expect to see prices remain competitive in the Fraser Valley,” added Penner. “Even during our unusually busy summer, prices were sensitive to location and property type.”
Although Fraser Valley’s MLS® received 7 per cent more new listings in October than it did in September, the strength in October’s sales reduced overall inventory. In October 2009, Fraser Valley property hunters had 8,807 listings to choose from, compared to 11,715 in October last year – a decrease of 25 per cent.
(Surrey, BC) - The Fraser Valley Real Estate Board (FVREB) processed 1,704 sales on its Multiple Listing Service (MLS®) in October, an increase of 122 per cent compared to the 768 sales during the same month last year.
“We’ve had a reversal. Last October was unseasonably slow and now this past month was one of the strongest real estate markets we’ve had in the Fraser Valley in the last decade,” said FVREB President, Paul Penner.
“We continued to see resale buyers from Greater Vancouver and first-time buyers from all over the Lower Mainland taking advantage of competitive interest rates and lower prices in the Fraser Valley.”
Although the MLSLink® Housing Price Index (HPI) benchmark price of all three residential property types combined has increased by 7.4 per cent in the last six months in the Fraser Valley, prices for each property type remain at or below what they were one year ago.
The benchmark price of a detached home in October was $491,128, an increase of 0.4 per cent compared to October 2008, when it was $488,983.
The benchmark price of townhouses decreased 2.1 per cent from $319,160 in October 2008 to $312,339 last month. The benchmark price of apartments also decreased year-over-year by 2.3 per cent, going from $245,635 in October of last year to $240,048 in October 2009.
“We expect to see prices remain competitive in the Fraser Valley,” added Penner. “Even during our unusually busy summer, prices were sensitive to location and property type.”
Although Fraser Valley’s MLS® received 7 per cent more new listings in October than it did in September, the strength in October’s sales reduced overall inventory. In October 2009, Fraser Valley property hunters had 8,807 listings to choose from, compared to 11,715 in October last year – a decrease of 25 per cent.
Thursday, August 6, 2009
Record Real Estate Sales for July in Fraser Valley
News Release: August 5, 2009
JULY REAL ESTATE SALES REACH RECORD LEVELS IN FRASER VALLEY
(Surrey, BC) - Fraser Valley saw the highest number of real estate transactions ever recorded for the month of July. There were 2,089 sales processed on the Fraser Valley Real Estate Board's Multiple Listings Service® (MLS®), an increase of 62.3 per cent compared to 1,284 sales in July of last year. The previous highest July was in 2005, with 2,051 sales.
"The factors contributing to last month's sales are completely different than they were in 2005," explained Board President Paul Penner. "Low interest rates, home prices that are lower than last year by about 6 per cent, and a surge of first-time home buyers that came back to the market in late spring have created the right conditions for a 'move-up' market.
"In July, 37 per cent of Fraser Valley buyers were first-timers. In June, it was one third. That volume creates a significant ripple effect, as the sellers of those homes buy up."
Penner said that despite seeing an increase in new listings over the last few months, current demand has led to a shortage of inventory in certain markets. "Whether you're buying or selling, it's important to tap into local housing market expertise. Your REALTOR® will be able to explain why some properties are attracting multiple offers, while others aren't moving."
The Fraser Valley Board's MLS® showed 9,510 active listings at the end of July, a decrease of 22.7 per cent compared to the record high of 12,299 listings available in July of last year. It received 14.3 per cent fewer new listings in July; 3,207 compared to the 3,742 new listings received during the same month last year.
JULY REAL ESTATE SALES REACH RECORD LEVELS IN FRASER VALLEY
(Surrey, BC) - Fraser Valley saw the highest number of real estate transactions ever recorded for the month of July. There were 2,089 sales processed on the Fraser Valley Real Estate Board's Multiple Listings Service® (MLS®), an increase of 62.3 per cent compared to 1,284 sales in July of last year. The previous highest July was in 2005, with 2,051 sales.
"The factors contributing to last month's sales are completely different than they were in 2005," explained Board President Paul Penner. "Low interest rates, home prices that are lower than last year by about 6 per cent, and a surge of first-time home buyers that came back to the market in late spring have created the right conditions for a 'move-up' market.
"In July, 37 per cent of Fraser Valley buyers were first-timers. In June, it was one third. That volume creates a significant ripple effect, as the sellers of those homes buy up."
Penner said that despite seeing an increase in new listings over the last few months, current demand has led to a shortage of inventory in certain markets. "Whether you're buying or selling, it's important to tap into local housing market expertise. Your REALTOR® will be able to explain why some properties are attracting multiple offers, while others aren't moving."
The Fraser Valley Board's MLS® showed 9,510 active listings at the end of July, a decrease of 22.7 per cent compared to the record high of 12,299 listings available in July of last year. It received 14.3 per cent fewer new listings in July; 3,207 compared to the 3,742 new listings received during the same month last year.
Monday, June 8, 2009
May Housing Starts
MAY HOUSING STARTS IN VANCOUVER
VANCOUVER, JUNE 8, 2009 – May 2009 saw fewer housing starts for both single- and
multiple-unit new residential projects compared to last year. According to Canada Mortgage
and Housing Corporation (CMHC), foundations were poured for 469 homes during the month,
compared to 1,757 homes started during May 2008.
“Vancouver had 210 single-detached homes started in May, of which 88 were in Surrey,”
noted Robyn Adamache, Senior Market Analyst at CMHC. “Starts of multiple-unit projects
were concentrated in Richmond.”
“The number of housing starts is in line with CMHC’s forecast and the pace of decline is
expected to moderate during the latter part of the year. Low mortgage interest rates and
buyers’ market conditions will encourage housing purchases, which should help the
absorption of the existing inventories of new and resale housing,” added Adamache.
Provincial home starts in areas with more than 10,000 people slipped five per cent to 9,400
units, seasonally adjusted at annual rate (SAAR), from 9,900 units in April. Nationally, all area
housing starts rose nine per cent to 128,400 units (SAAR) from 117,600 in April as all
provinces except B.C. recorded an increase in new home construction activity in May.
As Canada’s national housing agency, CMHC draws on more than 60 years of experience to
help Canadians access a variety of quality, environmentally sustainable, and affordable
homes — homes that will continue to create vibrant and healthy communities and cities
across the country
VANCOUVER, JUNE 8, 2009 – May 2009 saw fewer housing starts for both single- and
multiple-unit new residential projects compared to last year. According to Canada Mortgage
and Housing Corporation (CMHC), foundations were poured for 469 homes during the month,
compared to 1,757 homes started during May 2008.
“Vancouver had 210 single-detached homes started in May, of which 88 were in Surrey,”
noted Robyn Adamache, Senior Market Analyst at CMHC. “Starts of multiple-unit projects
were concentrated in Richmond.”
“The number of housing starts is in line with CMHC’s forecast and the pace of decline is
expected to moderate during the latter part of the year. Low mortgage interest rates and
buyers’ market conditions will encourage housing purchases, which should help the
absorption of the existing inventories of new and resale housing,” added Adamache.
Provincial home starts in areas with more than 10,000 people slipped five per cent to 9,400
units, seasonally adjusted at annual rate (SAAR), from 9,900 units in April. Nationally, all area
housing starts rose nine per cent to 128,400 units (SAAR) from 117,600 in April as all
provinces except B.C. recorded an increase in new home construction activity in May.
As Canada’s national housing agency, CMHC draws on more than 60 years of experience to
help Canadians access a variety of quality, environmentally sustainable, and affordable
homes — homes that will continue to create vibrant and healthy communities and cities
across the country
Tuesday, June 2, 2009
May Sales Stats
News Release: June 2, 2009
Housing sales and prices stabilizing in Fraser Valley
(Surrey, BC) – The Fraser Valley Real Estate Board’s Multiple Listing Service® (MLS®) posted its highest sales volume in a year in May, processing 1,501 sales, the fourth consecutive monthly increase this year.
Although that number is still six per cent less compared to the 1,599 sales processed in May of 2008, Board President Paul Penner says it’s a significant improvement compared to where the market was a few months ago.
“We’re the closest we’ve been to a balanced market since early spring last year. Sales have increased, inventory has dropped and prices are stabilizing.”
Penner says the market remains competitive. “REALTORS® are seeing an increase in multiple-offer situations, but only on properties that are priced right and at the more affordable end of the market.
“With 10,000 active listings in the Fraser Valley, there is plenty of selection. REALTORS® continue to advise clients to be realistic with pricing, both on the listing and buying side.”
The Fraser Valley Board’s MLS® showed 10,047 active listings at the end of May, a decrease of 10 per cent compared to the 11,132 listings available in May of last year. It received 29 per cent fewer new listings in May, 2,797 compared to the 3,941 new listings it received during the same month last year.
Year-over-year decreases in residential benchmark prices continued to moderate in May. The benchmark price measures the value of a ‘typical’ Fraser Valley home as determined by the MLSLink® Housing Price Index (HPI). The HPI benchmark price of a detached home in May was $465,939, a decrease of 9.3 per Hcent compared to May 2008 when it was $513,798 and a 1.2 per cent increase compared to April 2009 when it was $460,229.
The HPI benchmark price of Fraser Valley townhouses decreased 11.2 per cent from $335,991 in May 2008 to $298,308 in May 2009 and a 1.1 per cent increase compared to April 2009 when it was $295,078. The benchmark price of apartments also decreased year-over-year by 9.6 per cent going from $256,887 in May of last year to $232,170 in May 2009 and a 0.8 per cent increase compared to April 2009 when it was $230,337.
“The benchmark price is the most consistent measurement of price change. In May, all three residential categories saw steady, small gains compared to April. This is a positive sign,” Penner says.
Information and photos of all Fraser Valley Real Estate Board listings can be found on the national, public web site www.REALTOR.ca. Further market statistics can be found on the Board’s web page at www.fvreb.bc.ca.
The Fraser Valley Real Estate Board is an association of 2,939 real estate professionals who live and work in the communities of North Delta, Surrey, White Rock, Langley, Abbotsford, and Mission.
Housing sales and prices stabilizing in Fraser Valley
(Surrey, BC) – The Fraser Valley Real Estate Board’s Multiple Listing Service® (MLS®) posted its highest sales volume in a year in May, processing 1,501 sales, the fourth consecutive monthly increase this year.
Although that number is still six per cent less compared to the 1,599 sales processed in May of 2008, Board President Paul Penner says it’s a significant improvement compared to where the market was a few months ago.
“We’re the closest we’ve been to a balanced market since early spring last year. Sales have increased, inventory has dropped and prices are stabilizing.”
Penner says the market remains competitive. “REALTORS® are seeing an increase in multiple-offer situations, but only on properties that are priced right and at the more affordable end of the market.
“With 10,000 active listings in the Fraser Valley, there is plenty of selection. REALTORS® continue to advise clients to be realistic with pricing, both on the listing and buying side.”
The Fraser Valley Board’s MLS® showed 10,047 active listings at the end of May, a decrease of 10 per cent compared to the 11,132 listings available in May of last year. It received 29 per cent fewer new listings in May, 2,797 compared to the 3,941 new listings it received during the same month last year.
Year-over-year decreases in residential benchmark prices continued to moderate in May. The benchmark price measures the value of a ‘typical’ Fraser Valley home as determined by the MLSLink® Housing Price Index (HPI). The HPI benchmark price of a detached home in May was $465,939, a decrease of 9.3 per Hcent compared to May 2008 when it was $513,798 and a 1.2 per cent increase compared to April 2009 when it was $460,229.
The HPI benchmark price of Fraser Valley townhouses decreased 11.2 per cent from $335,991 in May 2008 to $298,308 in May 2009 and a 1.1 per cent increase compared to April 2009 when it was $295,078. The benchmark price of apartments also decreased year-over-year by 9.6 per cent going from $256,887 in May of last year to $232,170 in May 2009 and a 0.8 per cent increase compared to April 2009 when it was $230,337.
“The benchmark price is the most consistent measurement of price change. In May, all three residential categories saw steady, small gains compared to April. This is a positive sign,” Penner says.
Information and photos of all Fraser Valley Real Estate Board listings can be found on the national, public web site www.REALTOR.ca. Further market statistics can be found on the Board’s web page at www.fvreb.bc.ca.
The Fraser Valley Real Estate Board is an association of 2,939 real estate professionals who live and work in the communities of North Delta, Surrey, White Rock, Langley, Abbotsford, and Mission.
Monday, May 4, 2009
April Fraser valley Real Estate Stats
News Release: May 4, 2009
More signs of a real estate rebound in the Fraser Valley
(Surrey, BC) – The Fraser Valley real estate market continued to show signs of rebalancing in April with the number of sales increasing for the third month in a row while the volume of available properties stayed constant. Benchmark prices for detached homes and condominiums also showed increases over the last three months.
There were 1,293 sales processed on the Fraser Valley Real Estate Board’s Multiple Listing Service® (MLS®) in April, reflecting a 28 per cent decrease compared to the 1,787 sales in April of last year, however, a 29 per cent increase over March sales. At the same time, the Board received 44 per cent fewer new listings compared to one year ago, 2,477 in contrast to 4,458 in April 2008, helping to stabilize the number of active listings in the Fraser Valley at 9,855.
Paul Penner, President of the Board, says current conditions have created one of the best buying opportunities in years. “REALTORS® have successfully communicated to their sellers to be more realistic with their prices, which is why we’ve seen a 29 per cent increase in sales from March to April.”
Penner also attributes the increase to all-time historically low interest rates and still relatively high inventory for Fraser Valley, although it is dropping rapidly.
“In April, REALTORS® received 44 per cent fewer new listings compared to a year ago and 18 per cent less than we received in March. When supply and demand start to balance out, the effect is that prices begin to firm up and that’s exactly what we’re seeing.”
Residential benchmark prices, the value of a ‘typical’ Fraser Valley detached home as determined by the MLSLink® Housing Price Index (HPI), decreased 10.4 per cent compared to April 2008. However, it has increased by 1.8 percent over the last three months. The benchmark price was $460,229 in April 2009 compared to $513,403 last year.
The HPI benchmark price of Fraser Valley townhouses decreased 11.6 per cent from $333,982 in April 2008 to $295,07 in April 2009. That decrease, however, slowed to 0.1 per cent during the last three months. The benchmark price of apartments also decreased year-over-year by 11.4 per cent going from $260,037 in April of last year to $230,337 in April 2009. Similar to detached homes, the benchmark price for apartments has increased by 4.4 per cent over the last three months.
More signs of a real estate rebound in the Fraser Valley
(Surrey, BC) – The Fraser Valley real estate market continued to show signs of rebalancing in April with the number of sales increasing for the third month in a row while the volume of available properties stayed constant. Benchmark prices for detached homes and condominiums also showed increases over the last three months.
There were 1,293 sales processed on the Fraser Valley Real Estate Board’s Multiple Listing Service® (MLS®) in April, reflecting a 28 per cent decrease compared to the 1,787 sales in April of last year, however, a 29 per cent increase over March sales. At the same time, the Board received 44 per cent fewer new listings compared to one year ago, 2,477 in contrast to 4,458 in April 2008, helping to stabilize the number of active listings in the Fraser Valley at 9,855.
Paul Penner, President of the Board, says current conditions have created one of the best buying opportunities in years. “REALTORS® have successfully communicated to their sellers to be more realistic with their prices, which is why we’ve seen a 29 per cent increase in sales from March to April.”
Penner also attributes the increase to all-time historically low interest rates and still relatively high inventory for Fraser Valley, although it is dropping rapidly.
“In April, REALTORS® received 44 per cent fewer new listings compared to a year ago and 18 per cent less than we received in March. When supply and demand start to balance out, the effect is that prices begin to firm up and that’s exactly what we’re seeing.”
Residential benchmark prices, the value of a ‘typical’ Fraser Valley detached home as determined by the MLSLink® Housing Price Index (HPI), decreased 10.4 per cent compared to April 2008. However, it has increased by 1.8 percent over the last three months. The benchmark price was $460,229 in April 2009 compared to $513,403 last year.
The HPI benchmark price of Fraser Valley townhouses decreased 11.6 per cent from $333,982 in April 2008 to $295,07 in April 2009. That decrease, however, slowed to 0.1 per cent during the last three months. The benchmark price of apartments also decreased year-over-year by 11.4 per cent going from $260,037 in April of last year to $230,337 in April 2009. Similar to detached homes, the benchmark price for apartments has increased by 4.4 per cent over the last three months.
Monday, April 6, 2009
Some Buyer Tips....
Alllrighty then!!! It's Spring on the west coast.....can't beat it........
Great deals out there....especially on the entry (condo/townhouse) market...... here are some tips for buyers out there ....remember - knowledge is power, especially right now if you are the buyer.
• Challenge the ideas that are presented to you. Negotiating requires you to be assertive and question what you are being told. If you disagree with someone regarding the price, value or condition, speak your mind. Of course, be sure to do so diplomatically.
• Become a good listener. Listening carefully and critically thinking about what you are being told can prevent a considerable amount of confusion and ensure that the negotiations run smoothly.
• Be prepared. If you're buying, what exactly does the property have that could take away from its value? What is community like? What is the average selling price in the neighborhood? If you're selling, know your property extremely well; you cannot allow yourself to be taken aback by what a prospective buyer might say.
• Aim high. If you're selling, try marking the price of your home about 5% above what you would actually want. This will leave you some negotiating space to come down. If you're a buyer, offer a price that is lower than what you normally would; enter negotiations with the optimistic attitude that the seller will come down.
• Just a little patience. Relax. This could take a while.
• Be diplomatic. Because negotiations may be a long and tedious process, it can be very easy to get irritated. Getting frustrated with negotiations that seem to be going nowhere will only perpetuate any difficulties you may be having, and may even result in an end to all talks. Keep your cool.
Great deals out there....especially on the entry (condo/townhouse) market...... here are some tips for buyers out there ....remember - knowledge is power, especially right now if you are the buyer.
• Challenge the ideas that are presented to you. Negotiating requires you to be assertive and question what you are being told. If you disagree with someone regarding the price, value or condition, speak your mind. Of course, be sure to do so diplomatically.
• Become a good listener. Listening carefully and critically thinking about what you are being told can prevent a considerable amount of confusion and ensure that the negotiations run smoothly.
• Be prepared. If you're buying, what exactly does the property have that could take away from its value? What is community like? What is the average selling price in the neighborhood? If you're selling, know your property extremely well; you cannot allow yourself to be taken aback by what a prospective buyer might say.
• Aim high. If you're selling, try marking the price of your home about 5% above what you would actually want. This will leave you some negotiating space to come down. If you're a buyer, offer a price that is lower than what you normally would; enter negotiations with the optimistic attitude that the seller will come down.
• Just a little patience. Relax. This could take a while.
• Be diplomatic. Because negotiations may be a long and tedious process, it can be very easy to get irritated. Getting frustrated with negotiations that seem to be going nowhere will only perpetuate any difficulties you may be having, and may even result in an end to all talks. Keep your cool.
Friday, March 13, 2009
revitalizing cities through the arts....
"Cities and towns across North America are attempting to replace manufacturing with galleries, theatre festivals and concert halls - using artists to burnish the Rust Belt. It is not as if civic leaders think they can save their communities through expanding their musical theatre offerings. Rather, they view the arts as a way to spur a sea change in their economies as a whole."
National Post: Arts to the Rescue?
real estate new in BC
B.C.'s top-10 growth towns
first time buyers driving the current market.
metro Vancouver new house prices dip due to build discounts.
Anecdotally, things are 'heating up'. On the entry level ie condo and townhouse market, the action is consistent with showings and either keen interest or offers written. As long as your property is priced correctly and readied for sale you should see good action. The detached market doesn't seem to have caught up yet, however all signs are pointing that way.....
first time buyers driving the current market.
metro Vancouver new house prices dip due to build discounts.
Anecdotally, things are 'heating up'. On the entry level ie condo and townhouse market, the action is consistent with showings and either keen interest or offers written. As long as your property is priced correctly and readied for sale you should see good action. The detached market doesn't seem to have caught up yet, however all signs are pointing that way.....
Monday, February 9, 2009
Monday musings...
Good Morning.
Below is a summary of tax measures proposed in the 2009 Federal Budget which will have an effect on Homebuyers and those planning major renovations.
INCREASED HOME BUYER'S PLAN WITHDRAWAL LIMIT
To encourage home ownership and home construction, the budget proposes to increase the Home Buyer's Plan (HBP) withdrawal limit to $25,000. Currently, the HBP allows you to borrow up to $20,000 tax-free from your RSP to purchase or build your first home. This increase in the HBP withdrawal limit will apply to the 2009 and subsequent calendar years for withdrawals made after January 27, 2009.
NEW FIRST TIME HOMEBUYERS' TAX CREDIT
The budget proposes to introduce a new non-refundable tax credit for first-time homebuyers who acquire a qualifying home after January 27, 2009 (a qualifying home is one that is currently eligible for the Home Buyer's Plan) . First time home buyers will be able to claim a 15% non-refundable tax credit on an amount of $5,000, for a maximum credit of $750 in the year the home is purchased. If a home is purchased jointly, the total credit that may be claimed by all purchasers combined is $750. The credit will also be available for certain acquisitions of a home by or for the benefit of an individual who is eligible for the disability tax credit (DTC).
NEW HOME RENOVATION TAX CREDIT
The 2009 Budget proposes to introduce a temporary Home Renovation Tax Credit (HRTC) to encourage Canadians to invest in home improvements. A non-refundable tax credit of 15% will apply to eligible expenditure over $1000 up to $10,000 resulting in a maximum credit of $1350 ($9000 x 15%) If you are not able to use the entire credit the unused portion may be claimed by your spouse, common law partner or minor child living at home, provided you do not exceed the $1350 maximum credit. This credit will only apply to the 2009 taxation year for eligible expenditure made after January 27, 2009 and before February 1, 2010 and must be supported by receipts. This credit will not apply to home improvement expenses that are based on an agreement entered into before January 28, 2009.
Costs for renovations or alterations of an enduring nature to a qualified principal residence will qualify for the HRTC. The means that if you have both a home and a recreational property that can qualify as a principal residence, you can claim the HRTC for renovation expenses on one, the other or both. Such costs will include the cost of labour and professional services, building materials, equipment rentals and permits. Alterations such as furniture, appliances, audio-visual electronics, routine repairs and maintenance and financing costs associated with a renovation would not qualify for the HRTC.
Below is a summary of tax measures proposed in the 2009 Federal Budget which will have an effect on Homebuyers and those planning major renovations.
INCREASED HOME BUYER'S PLAN WITHDRAWAL LIMIT
To encourage home ownership and home construction, the budget proposes to increase the Home Buyer's Plan (HBP) withdrawal limit to $25,000. Currently, the HBP allows you to borrow up to $20,000 tax-free from your RSP to purchase or build your first home. This increase in the HBP withdrawal limit will apply to the 2009 and subsequent calendar years for withdrawals made after January 27, 2009.
NEW FIRST TIME HOMEBUYERS' TAX CREDIT
The budget proposes to introduce a new non-refundable tax credit for first-time homebuyers who acquire a qualifying home after January 27, 2009 (a qualifying home is one that is currently eligible for the Home Buyer's Plan) . First time home buyers will be able to claim a 15% non-refundable tax credit on an amount of $5,000, for a maximum credit of $750 in the year the home is purchased. If a home is purchased jointly, the total credit that may be claimed by all purchasers combined is $750. The credit will also be available for certain acquisitions of a home by or for the benefit of an individual who is eligible for the disability tax credit (DTC).
NEW HOME RENOVATION TAX CREDIT
The 2009 Budget proposes to introduce a temporary Home Renovation Tax Credit (HRTC) to encourage Canadians to invest in home improvements. A non-refundable tax credit of 15% will apply to eligible expenditure over $1000 up to $10,000 resulting in a maximum credit of $1350 ($9000 x 15%) If you are not able to use the entire credit the unused portion may be claimed by your spouse, common law partner or minor child living at home, provided you do not exceed the $1350 maximum credit. This credit will only apply to the 2009 taxation year for eligible expenditure made after January 27, 2009 and before February 1, 2010 and must be supported by receipts. This credit will not apply to home improvement expenses that are based on an agreement entered into before January 28, 2009.
Costs for renovations or alterations of an enduring nature to a qualified principal residence will qualify for the HRTC. The means that if you have both a home and a recreational property that can qualify as a principal residence, you can claim the HRTC for renovation expenses on one, the other or both. Such costs will include the cost of labour and professional services, building materials, equipment rentals and permits. Alterations such as furniture, appliances, audio-visual electronics, routine repairs and maintenance and financing costs associated with a renovation would not qualify for the HRTC.
Friday, January 9, 2009
year in review 2008
News Release from Fraser Valley Real Estate Board January 5 2009
(Surrey, BC) – December’s sales statistics from the Fraser Valley Real Estate Board’s Multiple Listing Service (MLS®) refl ect the
real estate story of 2008: change. Sales of all property types for the year declined 30 per cent in the Fraser Valley; however, sales for
the month were down almost 50 per cent compared to December 2007 – punctuating how the move to a buyers’ real estate market,
similar to changes overall in the economy, took place in the second half of 2008.
Residential benchmark prices, the value of a ‘typical’ Fraser Valley detached home as determined by the MLSLink® Housing Price
Index (HPI)*, decreased 6.5 per cent this year, with December showing the seventh consecutive monthly decline. The benchmark
price was $496,391 in December 2007 compared to $464,189 last month. That price has decreased 9.7 per cent since May 2008 when
it was $513,798.
The HPI benchmark price of Fraser Valley townhouses decreased by 8 per cent in one year, going from $322,295 in December 2007 to
$296,296 in December 2008, while the benchmark price of apartments decreased from $247,822 to $237,786, a - 4 per cent change in
one year.
“Prices could not have continued to increase at the pace they were over the past six years,” says Kelvin Neufeld, President of the Fraser
Valley Real Estate Board. “The change in the real estate cycle has created tremendous opportunities for consumers right now and
they’re starting to recognize that fact.
“Fraser Valley REALTORS® were already seeing home sales in early December surpass those of November, signaling that buyers
recognize the current advantages of price reductions combined with historically low interest rates and inventory at record levels.”
Fraser Valley’s total sales volume in 2008 was 13,194 compared to 18,862 in 2007. Over the course of the year, Fraser Valley REALTORS
® listed 35,651 properties, an 8 per cent increase compared to 2007’s 32,953 listings. The number of active listings at year’s end
fi nished at 9,960, 50 per cent higher compared to 6,646 active listings in December 2007.
Year-to-date average prices of single-family detached homes in the Fraser Valley increased 3.4 per cent going from $520,317 in
December 2007 to $537,960 in December 2008. In one year, the average price of a townhouse increased 3.6 per cent going from
$322,578 in 2007 to $334,259 in 2008. The average apartment price increased 5.8 per cent, reaching $229,488 in 2008 compared to
$216,990 in 2007.
* The MLSLink® Housing Price Index (HPI), established in 1995, is modeled on the Consumer Price Index (CPI) which measures the
rate of price change for a basket of goods and services including food, clothing, shelter, and transportation. Instead of measuring goods
and services, the HPI measures the change in the price of housing features. Thus, the HPI measures typical, pure price change (infl ation
or defl ation).
The HPI benchmarks represent the price of a typical property within each market. The HPI takes into consideration what averages and
medians do not – items such as lot size, age, number of rooms, etc. These features become the composite of the ‘typical house’ in a
given area. Each month’s sales determine the current prices paid for bedrooms, bathrooms, fi replaces, etc. and apply those new values
to the ‘typical’ house model.
Contact: Laurie Dawson, Communications Coordinator, Fraser Valley Real Estate Board
Tel: 604.930.7600 Fax: 604.930.7623 email: laurie.dawson@fvreb.bc.ca
(Surrey, BC) – December’s sales statistics from the Fraser Valley Real Estate Board’s Multiple Listing Service (MLS®) refl ect the
real estate story of 2008: change. Sales of all property types for the year declined 30 per cent in the Fraser Valley; however, sales for
the month were down almost 50 per cent compared to December 2007 – punctuating how the move to a buyers’ real estate market,
similar to changes overall in the economy, took place in the second half of 2008.
Residential benchmark prices, the value of a ‘typical’ Fraser Valley detached home as determined by the MLSLink® Housing Price
Index (HPI)*, decreased 6.5 per cent this year, with December showing the seventh consecutive monthly decline. The benchmark
price was $496,391 in December 2007 compared to $464,189 last month. That price has decreased 9.7 per cent since May 2008 when
it was $513,798.
The HPI benchmark price of Fraser Valley townhouses decreased by 8 per cent in one year, going from $322,295 in December 2007 to
$296,296 in December 2008, while the benchmark price of apartments decreased from $247,822 to $237,786, a - 4 per cent change in
one year.
“Prices could not have continued to increase at the pace they were over the past six years,” says Kelvin Neufeld, President of the Fraser
Valley Real Estate Board. “The change in the real estate cycle has created tremendous opportunities for consumers right now and
they’re starting to recognize that fact.
“Fraser Valley REALTORS® were already seeing home sales in early December surpass those of November, signaling that buyers
recognize the current advantages of price reductions combined with historically low interest rates and inventory at record levels.”
Fraser Valley’s total sales volume in 2008 was 13,194 compared to 18,862 in 2007. Over the course of the year, Fraser Valley REALTORS
® listed 35,651 properties, an 8 per cent increase compared to 2007’s 32,953 listings. The number of active listings at year’s end
fi nished at 9,960, 50 per cent higher compared to 6,646 active listings in December 2007.
Year-to-date average prices of single-family detached homes in the Fraser Valley increased 3.4 per cent going from $520,317 in
December 2007 to $537,960 in December 2008. In one year, the average price of a townhouse increased 3.6 per cent going from
$322,578 in 2007 to $334,259 in 2008. The average apartment price increased 5.8 per cent, reaching $229,488 in 2008 compared to
$216,990 in 2007.
* The MLSLink® Housing Price Index (HPI), established in 1995, is modeled on the Consumer Price Index (CPI) which measures the
rate of price change for a basket of goods and services including food, clothing, shelter, and transportation. Instead of measuring goods
and services, the HPI measures the change in the price of housing features. Thus, the HPI measures typical, pure price change (infl ation
or defl ation).
The HPI benchmarks represent the price of a typical property within each market. The HPI takes into consideration what averages and
medians do not – items such as lot size, age, number of rooms, etc. These features become the composite of the ‘typical house’ in a
given area. Each month’s sales determine the current prices paid for bedrooms, bathrooms, fi replaces, etc. and apply those new values
to the ‘typical’ house model.
Contact: Laurie Dawson, Communications Coordinator, Fraser Valley Real Estate Board
Tel: 604.930.7600 Fax: 604.930.7623 email: laurie.dawson@fvreb.bc.ca
Tuesday, January 6, 2009
correction not a crash?
Report on Business Jan 6 '09 - article is stating we should be braced for a correction this year not an overall crash of our market in Canada as compared to the U.S.
To quote:
By contrast, Vancouver, which Royal LePage called Canada's “most expensive city,” will likely experience a 9-per-cent drop in average prices to $540,100 this year, the steepest decline anywhere in the country. But the correction will be a “natural cyclical reaction” to nearly a decade of above-average increases, it said.
We are in a time of change and one could argue the change was due.
For both Buyers and Sellers, knowledge is extremely important. Your realtor must be prepared to keep up to date on changes in the market both locally and in a wider context.
Housing market braces for correction, not crash
To quote:
By contrast, Vancouver, which Royal LePage called Canada's “most expensive city,” will likely experience a 9-per-cent drop in average prices to $540,100 this year, the steepest decline anywhere in the country. But the correction will be a “natural cyclical reaction” to nearly a decade of above-average increases, it said.
We are in a time of change and one could argue the change was due.
For both Buyers and Sellers, knowledge is extremely important. Your realtor must be prepared to keep up to date on changes in the market both locally and in a wider context.
Housing market braces for correction, not crash
Forecast 2009.....
An insightful article with local pundits and their opinions regarding the new year. Very interesting read.
Forecast '09
Forecast '09
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