What a fantastic time to buy! First Time Buyer's heaven!
Heck even if you're looking to buy up, it's still a great time!
Here's the recap of the Bank of Canada's Press Release - April 21, 2009
Bank of Canada Rate Drop: Bank of Canada Lowers Overnight Rate Target by 1/4 Percentage Point to 1/4 Percent and, conditional on the inflation outlook, commits to hold current policy rate until the end of the second quarter of 2010:
OTTAWA - The Bank of Canada today announced that it is lowering its target for the overnight rate by one-quarter of a percentage point to 1/4 per cent, which the Bank judges to be the effective lower bound for that rate. The Bank Rate is correspondingly lowered to 1/2 per cent. The deposit rate - the rate paid on deposits held by financial institutions at the Bank of Canada - is left unchanged at 1/4 per cent and provides the floor for the overnight rate. Details of the Bank's operating framework at the effective lower bound can be found here.
In an environment of continued high uncertainty, the global recession has intensified and become more synchronous since the Bank's January Monetary Policy Report Update, with weaker-than-expected activity in all major economies. Deteriorating credit conditions have spread quickly through trade, financial, and confidence channels. While more aggressive monetary and fiscal policy actions are underway across the G20, measures to stabilize the global financial system have taken longer than expected to enact. As a result, the recession in Canada will be deeper than anticipated, with the economy projected to contract by 3.0 per cent in 2009.
The Bank now expects the recovery to be delayed until the fourth quarter and to be more gradual. The economy is projected to grow by 2.5 per cent in 2010 and 4.7 per cent in 2011, and to reach its production capacity in the third quarter of 2011. Given significant restructuring in a number of sectors, potential growth has been revised down. The recovery will be importantly supported by the Bank's accommodative monetary stance.
The Bank expects core inflation to diminish through 2009, gradually returning to the 2 per cent target in the third quarter of 2011 as aggregate supply and demand return to balance. Total CPI inflation is expected to trough at -0.8 per cent in the third quarter of 2009 and return to target in the third quarter of 2011. While the underlying macroeconomic risks to the projection are roughly balanced, the Bank judges that, as a consequence of operating at the effective lower bound, the overall risks to its inflation projection are tilted slightly to the downside. With monetary policy now operating at the effective lower bound for the overnight policy rate, it is appropriate to provide more explicit guidance than is usual regarding its future path so as to influence rates at longer maturities. Conditional on the outlook for inflation, the target overnight rate can be expected to remain at its current level until the end of the second quarter of 2010 in order to achieve the inflation target.
The Bank will continue to provide such guidance in its scheduled interest rate announcements as long as the overnight rate is at the effective lower bound. To reinforce its conditional commitment to maintain the overnight rate at 1/4 per cent, the Bank will roll over a portion of its existing stock of one- and three-month term Purchase and Resale Agreements (PRAs) into six- and twelve-month terms at minimum and maximum bid rates that correspond to the target rate and the Bank Rate, respectively. These longer-term PRAs will be issued according to the schedule released today.
Today's decision to lower the policy rate by 25 basis points brings the cumulative monetary policy easing to 425 basis points since December 2007. It is the Bank's judgment that this cumulative easing, together with the conditional commitment, is the appropriate policy stance to move the economy back to full production capacity and to achieve the 2 per cent inflation target.
If you are interested in taking advantage of these low rates to purchase your next home, give me a call! I'd love to work with you. Even if you're just looking to find out about refinancing your current home, I can help you find a mortgage professional that will show you how.
Tuesday, April 21, 2009
Wednesday, April 15, 2009
How do you choose a Listing Agent?
That's a question I've often heard. Selling your home for whatever reason can be a stressful and overwhelming time and the key component to an expeditious sale is the right Realtor. Choosing a Realtor to list your property is much like interviewing a candidate for a job. But YOU are the employer.
In my opinion, your best bet is to talk to your circle of friends and relatives and see if they can recommend someone. But you shouldn't just stop there. It's preferable to have at least 3 Realtors pitch their services to you (the 3 quotes rule certainly can apply here!). Interview each Realtor and find out what their services are, what their expected commission is and how they communicate with their clients. Another important aspect to understand is what their marketing strategy for your property would entail -- MLS or Exclusive List? will there be Open Houses? Dedicated property website? What sort of marketing material do they regularly use when they market a property? Although most sales are as a direct result of cooperating brokers via the MLS listing, keep in mind that 84% of buyers do some online home research on their own before they even start touring homes, so make sure you understand what kind of online marketing is planned - and make sure you hire an Agent this is web-savvy.
You also want to be sure that the Realtor you choose is familiar with your neighbourhood mainly in a pricing perspective. The #1 reason a property doesn't sell is that it is priced improperly -- if you can get it priced right, it will sell. That is not to say you need to undersell the property, but a house is only worth what the market is willing to pay -- over price it and buyers don't see the value -- price it right and the property becomes very desirable.
I would say, though, that the MOST important aspect of hiring a Listing Agent is trust. You have to feel comfortable enough with your Realtor to trust the advice they give. Ultimately decisions made are done solely by you the homeowner, but hopefully done so with the right information at your disposal.
A Realtor's job is to get your house sold for the highest price possible in the most reasonable amount of time and keeping your best interests in mind.
If you're looking to sell or buy a home in Brampton, I'd love the opportunity to assist you. Visit me at www.coriendrody.com and see what I can do for you. I look forward to hearing from you!
In my opinion, your best bet is to talk to your circle of friends and relatives and see if they can recommend someone. But you shouldn't just stop there. It's preferable to have at least 3 Realtors pitch their services to you (the 3 quotes rule certainly can apply here!). Interview each Realtor and find out what their services are, what their expected commission is and how they communicate with their clients. Another important aspect to understand is what their marketing strategy for your property would entail -- MLS or Exclusive List? will there be Open Houses? Dedicated property website? What sort of marketing material do they regularly use when they market a property? Although most sales are as a direct result of cooperating brokers via the MLS listing, keep in mind that 84% of buyers do some online home research on their own before they even start touring homes, so make sure you understand what kind of online marketing is planned - and make sure you hire an Agent this is web-savvy.
You also want to be sure that the Realtor you choose is familiar with your neighbourhood mainly in a pricing perspective. The #1 reason a property doesn't sell is that it is priced improperly -- if you can get it priced right, it will sell. That is not to say you need to undersell the property, but a house is only worth what the market is willing to pay -- over price it and buyers don't see the value -- price it right and the property becomes very desirable.
I would say, though, that the MOST important aspect of hiring a Listing Agent is trust. You have to feel comfortable enough with your Realtor to trust the advice they give. Ultimately decisions made are done solely by you the homeowner, but hopefully done so with the right information at your disposal.
A Realtor's job is to get your house sold for the highest price possible in the most reasonable amount of time and keeping your best interests in mind.
If you're looking to sell or buy a home in Brampton, I'd love the opportunity to assist you. Visit me at www.coriendrody.com and see what I can do for you. I look forward to hearing from you!
Tuesday, April 7, 2009
Is that light I see at the end of the Recession Tunnel?
I just read an article from my real estate board stating:
"April 6, 2009-- In March 2009, Greater Toronto REALTORS® reported 6,171 sales - down seven per cent from March 2008, representing the smallest year-over-year decline in the last five months. The average price for March transactions was $362,052 - down less than five per cent from the same month last year." - Toronto Real Estate Board
With all the doom and gloom in the marketplace, it's sometimes worth reminding myself that our market (at least here), in my opinion, merely experienced the correction it needed. We couldn't sustain the huge rises in housing prices forever -- what goes up must eventually come down. But as I talk to friends/neighbours/clients, you'd swear that house prices were in free-fall -- and that's just not true judging by the above statement (at least in the Greater Toronto Area) -- numbers don't lie and statistics aren't swayed by emotion.
It seems in our market that, yes, people aren't jumping as quickly as, say, last year, but there is still business being done and there is a greater positive outlook beginning to emerge. I think that everyone has been forced to stand back and take stock of what's really important in their lives -- it happens every time we get into economic hard times -- and it's a GOOD thing! But with all this doom and gloom it's sometimes hard to remember that recessions don't last forever (although they feel like it!). It's funny how human nature allows us to gravitate and focus on the negative -- for example, we all hear -- "8% unemployment" -- how about 92% EMPLOYMENT!
I wish sometimes the media would stop and look at some of the good things that are happening instead of continually dwelling on the negative. That being said, my job as a Realtor right now is to educate about the realities of our local Brampton / GTA market - in some markets helping our people see the opportunities to buy up (or for the first time) and in others the benefits of staying put. At any rate, educating and assisting my client (and prospective clients) is what it's all about -- tough times breed stronger bonds if nurtured -- it's all about relationships.
So as I sit here in snow drenched Brampton (I thought this was April? what happened to the showers?), I muse that we all get mired in the negative and it's easy to be drawn in by it - almost like quicksand. My spring time pledge is that for every negative thing I'm told or hear, I'm going to counter it with something positive! Or at least try .... !
**this post is merely my personal opinion and is not meant as advice. If you are looking to buy or sell your home, please contact me directly and we can get working on the solution that's right for you!
"April 6, 2009-- In March 2009, Greater Toronto REALTORS® reported 6,171 sales - down seven per cent from March 2008, representing the smallest year-over-year decline in the last five months. The average price for March transactions was $362,052 - down less than five per cent from the same month last year." - Toronto Real Estate Board
With all the doom and gloom in the marketplace, it's sometimes worth reminding myself that our market (at least here), in my opinion, merely experienced the correction it needed. We couldn't sustain the huge rises in housing prices forever -- what goes up must eventually come down. But as I talk to friends/neighbours/clients, you'd swear that house prices were in free-fall -- and that's just not true judging by the above statement (at least in the Greater Toronto Area) -- numbers don't lie and statistics aren't swayed by emotion.
It seems in our market that, yes, people aren't jumping as quickly as, say, last year, but there is still business being done and there is a greater positive outlook beginning to emerge. I think that everyone has been forced to stand back and take stock of what's really important in their lives -- it happens every time we get into economic hard times -- and it's a GOOD thing! But with all this doom and gloom it's sometimes hard to remember that recessions don't last forever (although they feel like it!). It's funny how human nature allows us to gravitate and focus on the negative -- for example, we all hear -- "8% unemployment" -- how about 92% EMPLOYMENT!
I wish sometimes the media would stop and look at some of the good things that are happening instead of continually dwelling on the negative. That being said, my job as a Realtor right now is to educate about the realities of our local Brampton / GTA market - in some markets helping our people see the opportunities to buy up (or for the first time) and in others the benefits of staying put. At any rate, educating and assisting my client (and prospective clients) is what it's all about -- tough times breed stronger bonds if nurtured -- it's all about relationships.
So as I sit here in snow drenched Brampton (I thought this was April? what happened to the showers?), I muse that we all get mired in the negative and it's easy to be drawn in by it - almost like quicksand. My spring time pledge is that for every negative thing I'm told or hear, I'm going to counter it with something positive! Or at least try .... !
**this post is merely my personal opinion and is not meant as advice. If you are looking to buy or sell your home, please contact me directly and we can get working on the solution that's right for you!
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