Source: Lee Politano, Mortgage Specialist (780) 264-1749    TD Bank Financial Group

HIGHLIGHTS OF THE WEEK

>>To view the full report click here<<

Source: Lee Politano, Mortgage Specialist (780) 264-1749    TD Bank Financial Group

HIGHLIGHTS OF THE WEEK

• Minutes of the FOMC reveal that the Fed has upgraded its economic growth forecasts. The central bank now expects a contraction of -1.5% to -1.0% in 2009 and growth of 2.1% to 3.3 in 2010%.
• U.S. retail sales recorded a better-than-expected +0.6% in June, led by auto and gasoline sales.
• Housing starts in the U.S. jumped up to 582,000 in June, marking the second straight month of gains.
• U.S. headline CPI advanced 0.7% in June, but remain down 1.4% Y/Y; core inflation was up 0.2% on the month and 1.7% above year-ago levels.
• Federal deficit hit $1.1 trillion during the first nine months of the fiscal year beginning in October.
• Canadian manufacturing sector continues to reel from outside pressures as the downward spiral in manufacturing shipments continued with a 6.0% decline in May
• The domestic economy looks set to recover as both auto and home sales improve.

>>To view the full report click here<<

New in Canada’s Economic Action Plan

Through Canada’s Economic Action Plan, the federal government will introduce a First-Time Home Buyers’ Tax Credit (HBTC) to help with the purchase of a first home. This measure is expected to cost $30 million in 2008-2009, $175 million in 2009-2010 and $180 million in 2010-2011. 

About the Initiative

The HBTC will assist first-time homebuyers with the costs associated with the purchase of a home, such as legal fees, disbursements and land transfer taxes, which are a particular burden for first-time homebuyers, who must also save for a down payment.

The $5,000 non-refundable HBTC amount will apply to qualifying homes acquired after January 27, 2009, and will provide up to $750 in federal tax relief.

A qualifying home is generally considered to be a housing unit located in Canada that the individual or individual’s spouse or common-law partner intends to occupy as the principal place of residence no later than one year after its acquisition.

Any unused portion of an individual’s HBTC may be claimed by the individual’s spouse or common-law partner. When two or more eligible individuals jointly purchase a home, the credit may be shared but the total credit amount claimed cannot exceed $5,000.

How It Works

First-time homebuyers purchasing a home will be able to claim the HBTC on their income tax returns, starting in 2009. Claimants should ensure that documentation supporting the purchase transaction is available if requested by the Canada Revenue Agency. Claimants are also responsible for making sure that all applicable eligibility conditions are met. 

Who Is Eligible

First-time homebuyers are eligible. An individual is considered a first-time homebuyer if neither the individual nor the individual’s spouse or common-law partner owned and lived in another home in the year of the home purchase or in any of the four preceding calendar years. Special rules apply for the purchase of homes that are more accessible or better suited to the personal needs and care of an individual who is eligible for the Disability Tax Credit. In these situations, the HBTC can be claimed, even if the first-time homebuyer requirement is not met. 

How to Find Out More

For more information, please visit the Department of Finance Canada website or the Canada Revenue Agency website.

Weekly rate minder provided by: Souchita Rattanarasy Dominion Lending Centres Optimum 780-932-2225. Explore Mortgage Scenarios with Helpful Calculators on http://www.souchita.com/

Well I am glad to be back from taking a 4 day long weekend, and we are back working and here to give you the update on the Edmonton Real Estate Market.

As of this morning there were 2,215 single family dwellings listed in Edmonton proper.  That number has been remaining fairly stable as of late which is a nice sign to see.  In the last 30 days there has been 938 sales of single family dwellings.  Again this has been a fairly stable number.

With those listings and sales that would give us a listing to sales ratio of 2.36:1, which would be a slight increase over last week.  However, this is still well below the 4:1 ratio that we need in Edmonton for a stable or neutral market.  This would indicate that we should continue to see an increase in valuations.

Now is definitely the time to buy before prices continue to go up.

When it’s Showtime!

You have inspected your house and taken care of problems. Now you are ready for showings. You will need a plan of action that assigns duties to each family member so the place can quickly be whipped into shape.

• Open all drapes, blinds, etc. and turn on lights to make the house bright.
• Air out the house to get rid of cooking, pet odours, and so on.
• Have fresh flowers in view.
• Pick up clutter and empty garbage.
• Make sure everything is spotless.
• Set your thermostat at a comfortable level.
• Remove pets from the house or put them outside.
• If you have an agent, leave when the house is being shown. If you are selling it yourself, you need to strike a balance between being helpful and crowding the buyer.
• In poor weather, provide a place for boots, overshoes and umbrellas.
• Display photos of the house in summer to show landscaping if selling in the winter months.
• Leave out heating and hydro bills.
• For those on a septic system and/or well, leave out inspection and maintenance information.

Article by: CMHC

This is Part 3 of a 3 Part Series

Virtual Tour: http://www.youtube.com/watch?v=MsEceTeL6Vc        

The best of everything!

This home is a “10” – completely custom built and no expense spared!  Situated in a quiet cul-de-sac, it’s the envy of the neighborhood with front yard gardens and rich green grass (thanks to the underground sprinkler system).  18ft vaulted ceilings in the foyer, living room, and dining area.  Oak and ceramic abound!  Large kitchen and breakfast nook that overlooks maintenance free deck and fully fenced backyard.  Family room has oak and mirror feature wall with fireplace and massive window.  Main floor laundry and lots of storage.  Back yard vegetable garden, fruit trees, and beautifully landscaped flowerbeds.  A 5-piece master ensuite to die for!      

2177 sq ft                                                      2 Storrey  

3 Bedrooms                                                3 Bathrooms    

Price: $524,900      

To view more pictures view our featured listings page!    

For more information call Serge @ 780-488-4000 and have him paged.      

Serge Bourgoin

Re/Max Real Estate 780-488-4000

Now, Let’s Go Indoors

A prospective buyer will usually enter through your front door; so, that is where you should begin your interior inspection. You want your buyer to see a neat, clean, well-lit interior. Get clutter out of sight; ensure that carpets are clean and floors are scrubbed and polished; and that walls and trim show fresh paint (preferably neutral or light colours).

Take a sniff. Are there any unpleasant odours in your home? If there are, track them down and eliminate them. Ensure all your lights work and are free of cobwebs. You want your home to look spacious, bright and fresh.

If you have considerable family memorabilia, consider thinning it out. Your objective is to help potential buyers feel as if they could live in your home. That mental leap becomes more difficult for them if your house resembles a shrine to your family.

Professional realtors and decorators say the most important areas of your home to upgrade and modernize are the kitchen and bathrooms. Buyers also want to see new or recently installed floor coverings throughout.

General Interior

• Check stairs for loose boards, ripped carpeting, and missing or loose handrails and guards.
• Most problems with interior walls are cosmetic and can be repaired with spackling compound and paint.
• Ensure doors open and shut properly. Minor sticking is normal but excessive binding indicates possible structural problems.
• Open and close all windows to ensure they work properly. Fogging between the panes of a sealed window indicates the seal is broken and the unit needs to be replaced.
• Keep furniture to a minimum so rooms do not appear smaller than they are. Ensure that traffic can flow in or through rooms unimpeded. If they contain bookshelves or cabinets overflowing with books, magazines and knick-knacks, remove some of these items.
• Ensure closets look spacious, organized and uncluttered. Create space by getting rid of old clothes and junk.
• Remove or lock away valuables such as jewellery, coins, currency, cameras and compact disks.

Kitchen and Bathrooms

• People splash water around in the kitchen and bathrooms so check around sinks, tubs and toilets for rotting countertops and floors. Problems could be due to poor caulking or plumbing leaks. Fogged windows, moulds and sweating toilet tanks indicate high humidity levels, which you can remedy with exhaust fans.
• In the kitchen, clean all appliances, including your oven. Clean or replace your greasy stove hood filter. Clean your cabinets inside and out, as well as your countertops and backsplashes. Repair dripping faucets.
• Remove anything stored on top of your fridge and remove artwork and magnets.
• Remove any items stored on countertops.
• Remove items stored under the sink.
• In bathrooms, scrub sinks, tubs and toilets, taking care to remove any rust stains. Remove mildew from showers and bathtubs. Fix dripping faucets or trickling toilets, and vacuum your fan grill.
• Clean mirrors, light switch plates and cupboard handles.
• Consider installing new 6-litre toilets if you currently have water-guzzlers.
• If you have ceramic tile in either your kitchen or bathroom, ensure grouting is intact and clean.

Basement

The condition of the foundation and main structural members in the basement are critical to the fitness of any house. The purpose of your inspection is to make sure these are sound and durable.

• Look for cracks, water seepage, efflorescence (white powder-like substance), crumbling mortar or concrete, and rotting wood. If any of these problems are present, you need to do further research to learn about causes and possible solutions.
• If your basement is damp or musty, consider using a dehumidifier.
• Like all other areas of your home, your basement should be organized and clutter-free.
• Change the filters in the furnace and have it cleaned-this is the number one item purchasers want done after a home inspection.
• If you have a pet with a litterbox, ensure the litterbox is clean.

Garage

• Get rid of the broken tools, old car parts, discarded bicycles, empty paint cans and the hundreds of other useless items that accumulate in garages. Again, you want a clutter-free zone.
• Use cleaning solutions to remove oil stains from the floor.

Article by: CMHC

Tomorrow is Part 3 of a 3 Part Series

At the mid-point of the year, the REALTORS® Association of Edmonton is confident that the local real estate market has regained stability. The 9,741 sales of residential properties sold through the Multiple Listing Service® in the first six months surpassed the six month year-to-date figure for last year (9,567) and residential sales in June set a new record for the month. Residential sales in June totalled 2,552 units which surpassed the 2007 record of 2,203 units sold and was the third best month for unit sales in MLS® System history.  

“Buyer confidence, especially among first time buyers, was evident in Edmonton despite lingering economic concerns in other markets,” said Charlie Ponde, president of the REALTORS® Association of Edmonton. “When mortgage rates looked like they might start to rise, many potential buyers locked in lower mortgage rates and then went searching for a qualifying home.”

Listing activity slowed slightly from last month (down 0.03%) with 3,179 residential listings. The strong sales drove the sales to listing ratio to 80% from 68% last month. Prices continue to climb with one month increases of 0.6% for single family dwellings and 1% increases for condominiums. The average* SFD sold for $369,859 in June as compared to $367,672 in May or $351,870 on January 1. Condominiums sold for $247,071 on average in June; up from $244,734 in May and $234,286 at the start of the year. At the end of 2008 Q2, SFDs sold for $381,384 and condos sold for $262,365.

“Last year prices fell from the high point in March. This year prices have just continued to climb,” said Ponde. “Prices typically decline slightly in the second half of the year but the drop, if it occurs, will not be precipitous.”

The average days on market was 60 days or more early in the year but dropped to 49 in June; another indicator of buyer enthusiasm. At the end of June there were 6,785 residential properties active on the MLS® System (2.65 month supply at current sales volumes) which offers a wide range of choice for those eager buyers.

Highlights of MLS® activity

¹. Residential includes SFD, condos and duplex/row houses.
². Single Family Dwelling
³. The middle figure in a list of all sales prices

* Average prices indicate market trends only. They do not reflect actual prices, which may vary.

Source: The Realtors Association of Edmonton

When getting your home ready to sell, you need to look at your house in a new way. Think of your house as a product about to go on the market where it is probably competing with brand new housing. It needs to show well-which means clutter-free and well kept.

Today’s homebuyers lead busy lives and may not be interested in taking on major repairs or improvements upon moving in. You need to make your house a 10.

Fix It First

If you need to make improvements to your home, do the work before it goes on the market. Potential buyers are not interested in hearing about your good intentions to look after defects before a transfer of ownership takes place. Even if fix-up work is underway, buyers may not be able to visualize what your home will look like when the work is finished. They will just remember it being in a state of disrepair.

Check Your House’s Curb Appeal

How does your house look from the street? That is where prospective buyers will be when they first see your home; and, that is where they will form that all-important first impression. Stand at the curb in front of your house and note what you see.

 Remove any clutter in your yard.

 Repair cracked or uneven driveway or walkway surfaces.

 If your lawn has bald spots, apply some top dressing and re-seed. Prune trees and shrubs of dead wood. Weed and mulch flower beds, if you have them. If it is the right time of year, consider buying some flower-filled planters to enhance the eye appeal of your property. Make sure your lawn is mowed regularly. Ensure composter area is tidy.

 Are your windows and walls clean?

 Does your front door need paint?

 Ensure your eaves and downspouts are clear of debris and in good repair.

 Are your backyard deck and walkways clean? If not, use a power washer and do any necessary painting, staining, or sealing.

 If you have a swimming pool, are the deck and pool clean (when in season)?

 Do all outside lights work? Replace any burned out bulbs, and clean fixtures of dirt and cobwebs.

 Is there a shed? Does it look presentable?

 Do windows and exterior doors need recaulking? Even at 6-7 years of age, the caulking may be dried out and in need of replacement.

 Do you have decorative wooden poles on the porch? Is the wood at the bottom in good condition? Overall, does it need a new coat of paint?

 If you have a gate, is it well oiled?

When you have completed the curb appeal inspection, carefully check the rest of your home’s exterior.

Tomorrow is Part 2 of a 3 Part Series

 Article written by: CMHC