For all Realtors who are representing clients purchasing a Hobby Farm, I would like to share this valuable information and experience with you that will benefit your client and relieve unnecessary stress.
I recently represented a client who was downsizing from a $800K home to a 98 acre hobby farm which he purchased for $580K. Needless to say he was very pleased with the fact that his monthly mortgage payments would be significantly reduced and walk away with a profit allowing him to renovate the farm and take advantage of the Ontario Renovation Tax Credit. So far so good!!
The bank ordered an appraisal which was done on the farm and 5 acres only, which is pretty standard for a hobby farm appraisal. The appraisal came back at $140K less than the purchase price. You can well imagine how upsetting this was for my client as he would now have to use the profits of the sale of his house to come up with the difference since the mortgage is based on 20% of the appraised value.
This is how I saved the day with the advice from a fellow Realtor specializing in rural properties, the dedication of three bank representatives and an experienced appraiser. The appraisal should have been coordinated and requested by the Small Business Adviser at the bank. Most banks will have such a person on staff. There is a program in place that allows them to appraise the farm house, the outbuildings and the remainder of the 5 acres. Since it is considered a different mortgage than residential, the banks will require more security. The Small Business Adviser proceeded to order another appraisal which I am happy to say came in over the purchase price. My client is extremely pleased with the outcome and grateful for my persistence and professionalism throughout this long stressful process.
For further information about the program or contact information of all the 'Key People' that made this happen, email me at mrowe@kwottawa.ca or call my direct line at 613-794-2899.
MONDRIAN Centretown, Ottawa - **PARKING INCLUDED** Brand new 10th floor 745 sq. ft. condo in prime central location. Open concept 1 bdrm + large den just steps to shops, restaurants, Parliament Hill, Byward market & Rideau centre. Featuring: harddwood floors, stainless steel appliances, underground parking, AC, granite kitchen, in-suite laundry, storage & locker. Den large enough to use as 2nd bedroom. 6th floor party room, pool, gym (ready in spring). Tenant pays hydro. 
MLS® 735794 / $1,725 CAD Monthly .
Property information
Ottawa – January 27th, 2009 – The Canadian Real Estate Association (CREA) welcomes the federal government initiatives to stimulate economic growth outlined in the 2009 budget, especially those that will encourage home ownership in Canada. The Association applauds the government for recognizing the economic importance of the housing industry in some of the budget measures.
“The change announced to the popular Home Buyers’ Plan will help Canadians who want to own their own home, and do it in a responsible way that is not a major drain on taxpayers,” says the President of The Canadian Real Estate Association (CREA), Calvin Lindberg.Research conducted for CREA by the Altus Group shows that each residential real estate transaction in Canada generates $32,200 in ancillary consumer spending. The study also reported that 94,700 full time direct jobs were generated annually by that ancillary or spin-off activity. The study is posted on the www.crea.ca website.“The federal government has found a way to introduce economic stimulus and housing initiatives for specific groups, and for Canadians who want to buy their first home.” Mr. Lindberg added. CREA had proposed the federal government do that by increasing the limit of the Home Buyers’ Plan (HBP) to help stimulate the housing market.
Introduced in 1992 by a Conservative government and made permanent by a Liberal government in 1994, the HBP has broad political and consumer support. It will now allow first time homebuyers to withdraw up to $25,000 from their RRSP to be used in a down payment on a residential property. The Plan has not had the same impact and relevance it did 16 years ago, when the original $20,000 limit represented 13.3 per cent of the average house price, versus about 6.5 per cent in 2008.
The Association also believes that the success of the proposed home renovation tax credit program will depend on effective administration and promotion. “The use of tax credits will make the program of interest to many Canadians who own their own home,” adds the CREA President, “but the success will be tied in part to the availability of savings or credit, since the expense has to be paid before the tax credit is issued.”A survey conducted for CREA by IPSOS Reid in October 2008 revealed that only 12 per cent of homeowners had ever applied to some type of government renovation or energy efficiency program. In that same survey, 36 per cent said they would consider replacing windows as a priority to improving home energy efficiency, while another 27 per cent said it would be adding insulation.
The Canadian Real Estate Association (CREA) also welcomes federal government initiatives that will encourage home ownership and better communities in Canada. “The announced measures for aboriginal and social housing are welcomed by REALTORS® as steps to help house those who may be in need, and to modernize existing housing resources,” adds CREA President Calvin Lindberg.
CREA first called on governments to address various issues affecting native home ownership during the World Urban Forum in Vancouver in 2006. The Association’s analysis of native housing issues is available in a booklet posted on the www.crea.ca website. “The budget spending initiatives help address the issue of the quality of native housing, and quality of life on Canadian reserves. Equally as important is the transition to market-based housing on reserves, and the government in the budget has committed to the transition to that as well,” adds Mr. Lindberg.
The 2009 Federal Budget offers up several financial breaks for first-time homebuyers and home-owners looking to improve the value of their homes through renovations. First-time buyers could see savings of up to $750 to alleviate closing costs by way of a $5,000 non-refundable income-tax credit on a qualifying home purchased after Jan. 27, 2009. This is welcome news for prospective real estate clients debat-ng whether they should wait for better financial times. Coupled with the Province of Ontario’s rebate of up to $2,000 for Land Transfer Tax for first-time homebuyers, potential savings are substantial. In a further effort to stimulate the housing market, the proposed budget offers to increase by $5,000 the maximum amount first-time homebuyers can withdraw from their RRSPs.
Under the Home Buyers’ Plan, $25,000 can now be withdrawn, up from $20,000, with the stipulation the money be repaid over a 15-year period, beginning in the second year after it is withdrawn. The budget also contains something for prospective sellers: A Home Renovation Tax Credit—a one-year, temporary 15 per cent income tax credit on eligible home renovation expenditures for work performed or goods acquired between Jan. 27, 2009 and Feb. 1, 2010. A credit may be claimed on eligible expenditures exceeding $1,000 but no more than $10,000, putting up to $1,350 back in the homeowners’ pockets. This provides a great opportunity for sellers deciding if they should spend money to complete a few renovations in order to make their homes more attractive to potential buyers.
If you have any questions, please do not hesitate to contact me at (613) 794-2899,
OTTAWA ‘continues to be a sound and stable city’: report
By Paula McCooey, The Ottawa CitizenJanuary 27, 2009
OTTAWA — The city's resale housing market remains resilient even while sales and prices are dropping in other Canadian markets, according to a survey by a major real estate firm.
Citing “solid” year-over-year price gains, the report from Royal LePage Real Estate Services says Ottawa “continues to be a sound and stable city for homeowners and investors alike to invest.”
The national average for detached bungalows dipped by 4.8 % to $319,640 at the end of 2008, said the report, which was released Monday.
Condos across Canada decreased by 5.2 % to $233,230, year-over-year, and two-storey properties fell by 6.3 % to $376,140.
Ottawa prices remained below Canadian averages, but increased in all sectors.
Of three Ottawa house types examined, the average price of a standard condominium had the highest increase, rising 5.2 % to $207,167.
The average rise of a standard two-storey home rose 3.5 % to $317,083, year-over-year.
The average detached bungalow appreciated by 4.1 % to $321,333.
Of six Ottawa markets surveyed, the highest increase for two-storey homes was in Orléans, where an average two-storey rose 6 % to $281,000.
In south Ottawa, the same house rose 5.6 % to $283,000
In west Ottawa, 4.5 %to $350,000
In central Ottawa, 4.4 %to $446,000
In east Ottawa, 3.9 % to $266,000 and
In Kanata 2.3 % to $294,500
In Orléans, the average bungalow rose 6.8% to $267,000
In east Ottawa, 5% to $263,000
In south Ottawa, 4.7 % to $265,000
In central Ottawa, 4.4 % to $500,000
In west Ottawa, 3.2 % to $320,000
In Kanata, 1.3 % to $313,000
For condominiums, Orléans had the biggest increase, 7.2 %, bringing the average to $179,000. In west Ottawa, the average condo rose 6.4 % to $250,000
In south Ottawa, 6.2 % to $171,000
In east Ottawa, 5.8 % to $181,000
In central Ottawa, 5.3 % to $280,000
In Kanata, 2.8 % to $186,000
Are you having challenges with MLXchange? Perhaps you are a new agent or you just need a refresher course?
I offer MLXchange one-on-one or group sessions custom designed for your specific needs.
The one-on-one sessions can be offered at your office or home office.
The group sessions can be offered at your office or in the computer lab at the Ottawa Real Estate Board (11 agents required).
The cost is $50.00/hour (minimum of 3 hours). For additional information on available dates and time, please contact:
Michele Rowe, Sales Representative, Keller Williams Ottawa Realty, 613.794.2899 or email at mrowe@kwottawa.ca
KELLER WILLIAMS OTTAWA REALTY IS PLEASED TO OFFER
FREE HOME SELLER SEMINAR
This seminar will take you through the entire home selling process,
from preparation and staging to negotiating the offer, qualifying buyers
and getting the deal to closing. This is a fun, fast-paced, information-rich seminar
for people who want to know more about the home selling process
to get the most out of their home in today’s market!
Bring any real estate questions you may have and get answers from the experts.
Outline
A STEP-BY-STEP LISTING OVERVIEW
PREPARING YOUR HOME TO SHOW AND SELL WITH MINIMAL COST
CURB APPEAL ESSENTIALS
HOW TO EFFECTIVELY PRICE YOUR HOME TO SELL FOR TOP DOLLAR
CALCULATING THE NET PROCEEDS
MARKETING THE HOME
KNOWING THE MARKET
KNOW WHERE YOUR BUYERS ARE COMING FROM
NEED FOR REPRESENTATION
Presented by
MICHELE ROWE
Sales Representative
WHEN
Saturday, February 28th, 2009 (1:00 – 3:00 PM)
WHERE
Keller Williams Ottawa Realty
610 Bronson Ave., 1st Floor
(Free parking at the rear of the building)
TO REGISTER
e-mail mrowe@kwottawa.ca
with the subject "Register Me for the Home Seller Seminar"
Please add your name and phone number and let us know if you will be bringing a guest
OR call me on my direct line at 613.794.2899
KELLER WILLIAMS OTTAWA REALTY IS PLEASED TO OFFER
FREE FIRST TIME HOME BUYER SEMINAR
The Seminar will cover everything the wise buyer needs to know to make the
purchase of a home a safe, enjoyable and rewarding experience.
Don't miss this opportunity, the seminar is only 90 minutes and will give you
priceless information for the biggest investment of your life!
Outline
THE WHY'S, WHO'S AND HOW'S OF BUYING A HOME
THE FINANCIAL EXPERT ON WHY AND WHO CAN BUY A HOME
THE REAL ESTATE AGENT ON HOW TO FIND AND GET THE HOME
Presented by
MICHELE ROWE
Sales Representative
WHEN
Saturday, February 21st, 2009 (1:00 – 3:00 PM)
WHERE
Keller Williams Ottawa Realty
610 Bronson Ave., 1st Floor
(Free parking at the rear of the building)
TO REGISTER
e-mail mrowe@kwottawa.ca
with the subject "Register Me to the Home Buyer Seminar"
Please add your name and phone number and let us know if you will be bringing a guest
OR call me on my direct line at 613.794.2899
Are you new at Point2Agent? Do you need help getting started?
I am offering a Hands-on one day Point2Agent course in an Computer Lab Setting.
You will learn how to:
Use your Online Office
Design and Edit the content of your Website
Setup Drip Campaigns
Manage your prospects
Create and manage listings
Understand Statistics and Executive Reports
Manage Domains
ETC.........
The course is $75.00 from 9:00 to 4:00. There is a minimum requirement of 11 students.
For specific dates and more information, please contact Michele Rowe @ 613-794-2899 or email at mrowe@kwottawa.ca
Ontario is ensuring new homes in the province are more energy efficient with a new requirement under the Building Code.
Starting in January 2009, Ontario’s Building Code will require near full-height insulation on foundation walls in all new home construction. The basement insulation requirement is the second step in a three-phase approach to energy efficiency brought in with the introduction of the 2006 Building Code.
After 2011, further requirements will see houses with at least an EnerGuide 80 level of efficiency. EnerGuide 80 is a model energy rating system for houses developed and administered by Natural Resources Canada.
Members of the Ottawa Real Estate Board sold 467 residential units in December, a decrease of 18.8 per cent over December 2007, when there were 575 sales. This brings the total number of residential properties sold through the Board's Multiple Listing Service system in 2008 to 13,733, down from a record-setting 14,565 in 2007. However, the average price for all of 2008 was $289,766, an increase of 6.3 per cent over 2007.
"We are seeing the effect of consumer concerns about the national and international economy reflected in the Ottawa market, but the fact that the average sale price is fairly stable shows the underlying confidence in the local marketplace," said 2009 Board President Rick Snell.
"Ottawa remains a relatively stable resale housing market, buffered by a strong job market and a stable economy, but will of course be affected by the ongoing economic climate in the rest of Canada. Real estate is local, and Ottawa is still in fairly good shape compared to many areas of the country." Snell added.
The average price of residential properties, including condominiums, sold in December in the Ottawa area was $272,192, a marginal decline of 1.2 per cent over December 2007. The Board cautions that average price information can be useful in establishing treds over time but should not be used as an indicator that specific properties have increased or decreased in value. The average price is calculated based on the total dollar volume of all properties sold.
For information pertaining to Land Transfer Tax Refunds for First-Time Homebuyers, click the following link.
http://www.rev.gov.on.ca/english/bulletins/ltt/1_2008.html
December 5, 2008 : Ottawa resale market balanced, prices still rising
Members of the Ottawa Real Estate Board sold 646 residential properties in November through the Board’s Multiple Listing Service® system compared with 890 in November 2007, a decrease of 27.4 per cent. There were 964 sales in October 2008.
“These numbers are right in line with the Canada Mortgage and Housing Corporation’s just-released forecast for resale home sales in Ottawa for the remainder of 2008,” said Board President Heather Skuce. “Sales are moderating to near-2006 levels; in fact, 2008’s year-to-date sales numbers are still slightly ahead of 2006. In that year, 13,090 homes had been sold by November 30, versus 13,264 so far this year. Sale prices continue to rise, and CMHC says Ottawa is now becoming a balanced market, which offers plenty of opportunity for both buyers and sellers,” Skuce added.
The average price of residential properties, including condominiums, sold in November in the Ottawa area was $291,441, an increase of 7.7 per cent over November 2007. The Board cautions that average price information can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The average price is calculated based on the total dollar volume of all properties sold.
The federal, provincial and municipal governments have committed $36 million to make homeownership affordable for more than 4,500 low and moderate-income renter households.
This is a solution for people who are renting and want to own a home, but have limited access to the necessary funds for a downpayment. This solution is The Canada-Ontario Affordable Housing Program (COAHP).
The COAHP makes home ownership affordable for low and moderate-income households across Ontario. The COAHP provides up to 5 percent down payment assistance for eligible consumers when purchasing a home.
Applicants must:
The price of the purchase must not exceed the COAHP's eligible value, and must be modest in size relative to community standards.
For more information on COAHP visit: http://www.mah.gov.on.ca/AssetFactory.aspx?did=4083
A coalition of groups representing Ontario’s Housing Industry released a wide ranging set of recommendations today to the Ontario government to address the province’s poverty and affordable housing challenges.
Ontario’s Housing Industry commends the Ontario government for its renewed commitment to reducing poverty and expanding opportunities for those with low incomes. The recommendations present fiscally responsible and cost effective ways of improving housing affordability in Ontario. Key recommendations of Ontario’s Housing Industry include:
1. Remove government imposed cost and regulatory barriers to the supply of land and new housing which constrain housing opportunities for lower income households;
2. Create a long-term portable housing allowance program to provide immediate assistance to low income households who have housing affordability problems;
3. Stop the regressive taxation of tenants by equalizing residential and multi-residential property tax rates across Ontario;
4. Address homelessness by focusing on special needs housing and services for the hard-to-house and integrating enhanced support services within housing projects;
5. Make strategic investments to fix Ontario’s existing social housing stock.
In the past, Ontario has wasted vast resources on government sponsored housing production which was very expensive, helped only a small number of households and left a costly legacy to maintain in a good state of repair. Almost 600,000 Ontario households are still in core housing need. Previous mistakes can be avoided by understanding how housing markets work, removing barriers to housing supply, providing direct assistance to those in need and ending the unfavourable property tax treatment of tenants.
Ontario’s Housing Industry includes the following groups: BILD (Building Industry and Land Development Association, bildgta.ca); FRPO (Federation of Rental-housing Providers of Ontario, frpo.org); OHBA (Ontario Home Builders’ Association, ohba.ca ); OREA (Ontario Real Estate Association, orea.com); REALPAC (Real Property Association of Canada, realpac.ca); RESCON (Residential Construction Council of Ontario, rescon.ws); and TREB (Toronto Real Estate Board, torontorealestateboard.com).