Tag Archives: million dollar homes

Here’s a Look at Mississauga’s Hottest Neighbourhoods

It’s no secret that it’s expensive to live in Mississauga. Recent data released by the Toronto Real Estate Board (TREB) indicates that, as of December 2017, detached houses were running buyers approximately $910,216 (up from the high 800s in November and down from the $1 million mark they hit in winter 2017).

And while the market could cool or stabilize in 2018 due to the Ontario government’s Fair Housing Plan and the OSFI stress test (a test that some say could disqualify up to 10 per cent of prospective buyers from the market), the fact remains that Mississauga is a desirable city to call home—and therefore a costly one.

But while the city might contain housing that’s (unfortunately) too costly for many residents (hence the city’s affordable housing plan), it’s still attracting buyers.

Zolo, a tech-powered brokerage company, has some interesting stats about the Mississauga market and what neighbourhoods are the most highly sought after.

The stats point out the obvious—home prices are, generally speaking, getting higher and higher every year. According to Zolo, the asking price of homes for sale in Mississauga has increased 11.09 per cent since January last year. Also, the number of homes for sale has increased 75.28 per cent.

According to Zolo’s current data, the median asking price for a detached low-rise is $1.1 million. Other home types are also expensive, with sellers asking about $660,000 for a townhome and $429,000 for a condo

While those prices are indeed high, they’re not terribly surprising. Bordering Canada’s biggest and arguably most economically and culturally successful (sorry, Vancouver and Montreal) city, Mississauga has a lot to offer. Besides proximity to Toronto, Mississauga offers a low unemployment rate (nine per cent, according to Zolo) and a slew of ambitious development projects (the LRT and Inspiration Lakeview and Port Credit initiatives, to name a few).

As for now, the median listing price of a home (and this is all home types combined) sits at $585,000. The median selling price is only a little below asking at $570,000—so sellers are, on average, walking away with enviable profits.

In Mississauga, homes typically sell in less than a month (again, this is all home types combined).

And while homes are expensive, they’re not Toronto expensive.

“There was a time when you could buy a house in Mississauga for just under $100,000. That’s no longer the case,” Zolo writes. “Still, buyers know there are good deals in this western GTA city, with most properties selling for significantly less than surrounding areas. But to grab a piece of Mississauga’s real estate, you need to act fast.

So, which neighbourhoods are the best to invest in?

According to Zolo, the city’s top five neighbourhoods are Streetsville (#1), Applewood (#2), City Centre (#3), Port Credit (#4) and Lakeview (#5).

As for why, the neighbourhoods—beyond being well-known—are hot, Zolo’s data suggests the homes are selling quickly (25-36 per cent are selling within 10 days or less) and for more than asking price (11 to 17 per cent).

Another interesting fact is that, as of now (and this could change), Mississauga remains a city of homeowners.

According to Zolo’s data, 25 per cent of residents rent while 75 per cent own their homes. While rental rates are increasing, the data suggests that—at this stage, least—renting is still cheaper than owning. According to Zolo, renters pay an average of $1,062 a month while homeowners pay about $1,519.

So while it’s impossible to say where house prices will stand in 2018, it’s hard to dispute the fact that Mississauga is—and will remain—a popular (and likely expensive) city to call home.

All images courtesy of Zolo

Source: Insauga – by Ashley Newport on January 10, 2018

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Canadian housing bear warns proposed mortgage rule changes may close the Bank of Mom and Dad

A former MP and popular finance blogger is warning a federal watchdog’s proposed changes to the mortgage qualification process could have a dire impact on housing markets across Canada.

Garth Turner, whose Greater Fool blog has ruffled more than a few feathers, suggests a move to “stress test” all uninsured mortgages, rather than just insured mortgages with downpayments of less than 20 per cent, will curb demand considerably.

“It’s been seven years since we’ve had consistently rising interest rates and we’ve never had this kind of stress test before,” Turner tells BuzzBuzzNews.

“I just can’t in honesty tell people, that ‘Oh, you know, go to Cambridge or Montreal or Halifax or Edmonton for a bargain property because I think properties are going to be feeling a downward tug,” he continues.

SEE ALSO: The Bank of Mom and Dad: the ways Toronto parents help theirs kids buy homes

Last month, the Office of the Superintendent of Financial Institutions published a draft of its reworked Guide B-20 — Residential Mortgage Underwriting Practices and Procedures, which included the broader stress test proposal.

By stress testing all mortgages, Turner suggests a large chunk of the prospective-homebuyer population will be pushed to the sidelines as they will no longer be able to finance their purchase, thus reducing demand and, ultimately, leading to outright price declines.

It’s a regulatory change that Turner is convinced will take place before the end of the year.

“We all have the same mortgage rates coast to coast, we all have the same mortgage approval regulations coast to coast, so these are universal changes that are going to affect every buyer in Canada,” Turner says.

Currently, a homebuyer can go to an alternative or sub-prime lender or even the Bank of Mom and Dad to borrow money to boost their downpayment to 20 per cent or more, avoiding any stress test. But the new regulations would close this loophole.

“Credit is going to be drying up somewhere between 17 and 20 per cent simply because of the stress test alone, and that’s a pretty significant number of people to take out of the market,” he adds.

“The only workaround is going to be the people who get mortgages from non-bank lenders,” says Turner, citing provincially mandated credit unions as an example.

He refers to some credit unions as “time bombs,” estimating a number of them have 90 per cent of their assets tied up in residential mortgages.

“Talk about risk: it’s flashing red.”

Source: BuzzBuzzHome.com –  

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SOLD: Uptown Home Sold For $1 Million Over Asking!!!

With so many house selling way over asking in Toronto these days, the tendency is to declare the expression meaningless. The value of a home, so the argument goes, is better judged by what nearby properties have sold for.

375 Glencairn Avenue TorontoThat’s mostly sound reasoning, but once in a while we get a bit of inside baseball from realtors about Toronto home sales, and this sheds some more insight on the wild prices that are being fetched of late.

375 Glencairn Avenue TorontoThis elegant and well equipped home at 375 Glencairn Avenue, for instance, just sold for $1,165,000 over asking after being on the market for seven days. During that period realtor André Kutyan of Harvey Kalles tells us that 165 people came through the home.

375 Glencairn Avenue TorontoOf the army of potential buyers who toured the property, nine made offers, which drove the price way up from its listing at $3,595,000. Worthy of note is that the listing price mostly reflects the sale prices of other nearby homes sold over the last 30 days.

375 Glencairn Avenue TorontoThe sample size might be too small for this to prove a trustworthy metric (only five other homes sold within 1,500 metres during this period), but one thing’s for sure: there was a ton of interest in this property.

375 Glencairn Avenue TorontoThe Essentials
  • Address: 375 Glencairn Ave.
  • Type: Detached house
  • Bedrooms: 4 + 1
  • Bathrooms: 7
  • Lot size: 50 x 219.66 feet
  • Realtor: André Kutyan
  • Hit the market at: $3,595,000
  • Time on market: 7 days
  • Sold for: $4,760,000
375 Glencairn Avenue TorontoWhy it sold for what it did

This house has a lot going for it. It’s been recently renovated, the enormous basement features a wine cellar, games room, mini movie theatre, and sauna, multiple bedrooms feature en suite washrooms, and the finishes around the house are top of the line.

375 Glencairn Avenue TorontoWas it worth it?

There are plenty of very nice homes in Lytton Park, but this one stands out when compared to recent listings. That alone was likely enough to start the bidding war that drove the price up into the ultra luxury range.

375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto375 Glencairn Avenue Toronto

Lead photo by Realtor


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Canada’s top-5 most expensive homes currently for sale

 

Canada’s top-5 most expensive homes currently for sale
Affordability is a major issue for many Canadians, especially those trying to buy a home in major cities. However, these properties – currently for sale and curated by online real estate company Point2Homes — are in an a class of unaffordability entirely their own.

#1: $42,000,000 — 4351 Erwin Drive, West Vancouver, BC

This 7 bedroom mansion in Vancouver offers oceanfront views of Stanley Park. It also boasts 10,000 square feet and its own private beach.

#2: $38,000,000 — 2106 SW Marine Drive, Vancouver, BC

This property offers views of the Gulf Islands, as well as its own private park and two golf greens on its 4.25 acres.

#3: $30,000,000 — 242004 Range Road 32, Calgary, AB

Making our way east, we find our first property outside beautiful British Columbia. Nestled in the mountains, this 160 acre property offers everything an outdoorsman – and woman – would want.

For those who prefer the indoors, the sprawling home contains a music conservatory (for the young, budding Beethoven, naturally), a two-storey library, and an indoor pool.

#4: $26,000,000 — 12133 No 3 Road, Richmond, BC

Unsurprisingly we’re back in BC, which is home to this five bedroom Tuscan-like villa. While it may not have its own winery, it does offer ponds, gardens, a swimming pool, and a tennis court.

#5: $25,000,000 — 76,84,91 Trail’s End, Lake Joseph, ON

This a dream-worthy cottage on Lake Joseph has its own bar.

But who needs a beer when you can crack a cold beer on that dock?

This is just small sample of the country’s priciest homes. To see the rest, check out the original report by Point2Homes, which includes the country’s most expensive listing: A three home package deal that will run you nearly $50 million.

Source: MortgageBrokerNews.ca – by MBN 16 Mar 2017
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Big banks are freaking out about Toronto real estate

 

Add Canada’s largest bank to the growing chorus of lenders worrying about unsustainable price growth in Toronto.

“You’re seeing 20% house price growth in a market where you shouldn’t see that much,” Dave McKay, the chief executive of Royal Bank of Canada, recently told the Financial Post. “That’s concerning. That’s not sustainable. Therefore, I do believe we are now at a point where we need to consider similar types of measures that we saw in Vancouver.”

Vancouver, of course, made headlines last year when it announced a 15% tax on foreign homebuyers – a policy that was met with equal parts derision and support from industry players.

The move is thought to have played a role in dampening Vancouver’s hot housing market; a similar one could have a similar effect in Toronto, depending on how much influence foreign buyers actually have on propping up prices (no rock solid data yet exists).

RBC joins the Bank of Montreal in stoking the fire of fear that Toronto’s market is blazing out of control.

“Let’s drop the pretence. The Toronto housing market—and the many cities surrounding it—are in a housing bubble,” Doug Porter, chief economist for BMO Bank said in a recent report. “Everyone may have a slightly different definition of what a bubble is, but most can agree it’s when prices become dangerously detached from economic fundamentals and start rising strongly simply because people believe they will keep rising strongly, encouraging more buying.”

According to Porter, Toronto’s real estate market could experience a similar downturn to the one that occurred in the 1980s.

“Prices in Greater Toronto are now up a fiery 22.6% from a year ago, the fastest increase since the late 1980s—a period pretty much everyone can agree was a true bubble—and a cool 21 percentage points faster than inflation and/or wage growth,” he said. “And, the ratio of sales to new listings was a towering 93.5 in the region last month adjusted for seasonality (and was above 100 in Hamilton, Kitchener and the Niagara Region).”

According to the Toronto Real Estate Board, the average Toronto house cost $770,745 in January – up from $630,193 in January 2016.

And with the average single-family low rise home now selling for $1,028,395, it’s no surprise economists are getting anxious.

Source: MortgageBrokerNews.ca – by Justin da Rosa 28 Feb 2017
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Don’t underestimate the value of a real estate broker when buying or selling a house

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Buying or selling a house on your own sounds like an easy task, but anyone who has tried it, quickly learns how difficult it can be and how much the experience of a licensed real estate broker can simplify the process.

“In a way, anyone can sell a house, but it doesn’t mean that you will have an easy transaction or get a fair price,” said Daniel Dagenais, a Realtor® in Pointe-Claire and president of the Greater Montreal Real Estate Board’s (GMREB) Board of Directors. “There’s no point in selling your house and feeling like you’re king because you did the transaction yourself and didn’t pay any commission, but you actually sold it for cheaper than it’s worth.”

Dagenais outlined several key attributes that real estate brokers bring to the table when it comes time to buy or sell a house.

Brokers set fair prices for buyers and sellers

Real estate brokers in Quebec have access to the listings not only of houses for sale, but also those with the prices of houses that have already sold and those that have expired. Armed with that information and their own experience, they can quickly establish the right price for a house.

“The best price for a house is not necessarily the highest price, but is a fair price,” said Dagenais. “Sometimes buyers are not well educated about the market and they see something for sale and they end up paying too much money. I think this happens with buyers who are not using a broker.”

Brokers negotiate on behalf of their clients

Negotiating a closing price when buying or selling a home can be stressful. Real estate brokers conduct many transactions throughout the year and are emotionally detached when negotiating on their client’s behalf.

“A lot of people think they know how to negotiate,” said Dagenais. “This may be the case, but even for a good negotiator, a broker acts as a middleman who has a certain distance in the process. When you have a Realtor® making an offer and he’s asking another Realtor® to respond, it’s much easier than for the Realtor® trying to negotiate directly with a buyer or seller who becomes way too involved emotionally.”

Brokers have specialized knowledge of legal requirements

There is a lot of legal paperwork required to complete a real estate transaction that can overwhelm someone not trained how to do it properly. As part of their training to obtain their license in Quebec, real estate brokers spend a full 45 hours learning the intricacies of filling out the necessary forms to buy and sell a house.

“Filling in the forms properly is crucial. If you make one little mistake, maybe you don’t put the comma in the right place, it could jeopardize the transaction, create a lawsuit or just create dissatisfaction,” noted Dagenais. “We might have only a few hours to get an answer back so it has to be on the spot and you have to be very comfortable with all aspects of filling in the forms properly.”

Brokers are highly trained

Before they can buy or sell houses, real estate brokers must undergo close to 400 hours of training that takes about four or five months to complete. They must then pass a government-regulated exam in order to get their license. Before 2010, the exam was multiple-choice, but now students have to write long-form answers. To keep up with changes in the industry, brokers are also required to take 18 units of continuing education every two years, which amounts to 18 to 36 hours of additional training.

Brokers follow a code of ethics

Real estate brokers must act ethically in their dealings with the public and any who fail to do so can be fined by the Discipline Committee of the Organisme d’autoréglementation du courtage immobilier du Québec.

Dagenais also noted that real estate brokers are subject to a code of ethics and are covered by professional liability insurance that provides financial protection to consumers in case of unintentional fault, error, negligence or omission committed by a broker.

Brokers have access to specialized technology

From drone photography to virtual reality, the real estate industry follows the latest tech trends to help bring buyers and sellers together, but their biggest technological strength is their extensive database system of properties for sale.

“The most important tool is the database system that allows us to see all of the data of all the properties,” said Dagenais. “We can really evaluate properties on the market.”

Brokers are part of a network

Real estate brokers represent both buyers and sellers and work with each other to bring the two together.

“The key really is collaboration and we have an industry that is providing all the tools for collaboration. For real estate brokers, it’s kind of unique that when you accept a mandate to sell a property, you also include a portion of your compensation that you will give to a competitor who brings you the buyer. The high level of collaboration between brokers is really a unique feature of Quebec’s real estate industry.’’

“When you hire a real estate broker, you are really hiring 13,000 brokers,” said Dagenais, alluding to the number of brokers working in Quebec, “plus the visibility and access to Centris.ca with close to 100,000 available properties.”

Source:   Mark Stachiew, Special to National Post | February 22, 2017 

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