Ar_home_b_search
 
Residential Real Estate Sales for July, 2010 - Bronte Creek
Status Street List Price Style Beds Baths
           
SOLD Drumloch Ave. $276,900 Townhouse 2 1+1
SOLD Dewridge Ave. $299,900 Townhouse 3 1+1
SOLD Stalybridge Dr. $429,900 Townhouse 3 2+1
SOLD Valleyridge Dr. $444,900 Link 4 2+1
SOLD Stalybridge Dr. $459,900 Townhouse 3 2+1
SOLD Abernathy Way $499,900 Detached 4+1 2+1
SOLD Skipton Ln. $639,900 Detached 4 3+2
SOLD Stocksbridge Ave. $649,000 Detached 4 2+1
SOLD Skipton Ln. $649,900 Detached 4 2+1

 

Please feel free if you would like to receive our monthly email reports for free.

Also feel free to email us for a daily list of homes for sale in Bronte Creek, North Oakville. List includes, address, price and photos.

CALL BARRY QUINE TODAY FOR YOUR COMPLIMENTARY HOME EVALUATION.

 
Residential Sales for June, 2010 - Bronte Creek
Status Street List Price Style Beds Baths
           
SOLD Springforest Dr. $349,900 Townhouse 3 2+1
SOLD Stalybridge Dr. $409,900 Townhouse 3 2+1
SOLD Rochester Cir. $424,900 Townhouse 3 3+1
SOLD Stalybridge Dr. $469,900 Townhouse 3 2+1
SOLD Epworth Cr. $489,900 Townhouse 3 3+1
SOLD Scotscraig Dr. $494,000 Detached 4+1 3+1
SOLD Emily Cir. $514,900 Townhouse 3+1 3+1
SOLD Ingleton Ln. $599,900 Detached 3 2+1
SOLD Lyness Ave. $619,900 Detached 4 2+1
SOLD Cardross Ct. $669,900 Detached 3 3+1
SOLD Emily Cir. $749,000 Townhouse 2 2+1
SOLD Stocksbridge Ave. $889,000 Detached 4 3+1
Oakville YTD 2009 YTD 2010 % Change
       
# of Residential Sales 1188 1586 33.5%
Average Sale Price $495,007 $561,442 13%
Median Sale Price $415,000 $485,000 17%

Please feel free if you would like to receive our monthly email reports for free.

Also feel free to email us for a daily list of homes for sale in Bronte Creek, North Oakville. List includes, address, price and photos.

CALL BARRY QUINE TODAY FOR YOUR COMPLIMENTARY HOME EVALUATION.

Barry Quine
direct: 905.399.1069
email: Barry.Quine@century21.ca
web: www.HighTechRealEstate.ca
blog: www.HighTechRealEstate.ca/Blog

 

Barry Quine video blogs about how his new website BQExclusives.com works and how it can potentially save you thousands of dollars!

Check out the video here: http://www.youtube.com/watch?v=YBuQoXczDIg

 

Barry Quine video blogs about the launch of his new websites. Starting with HighTechRealEstate.ca Barry Quine now offers a variety of marketing strategies for every Oakville & Burlington homeowner. From premium real estate marketing services to discounted real estate commissions.

Check out the video here: http://www.youtube.com/watch?v=S0-bNNgqpVc

 

 

Check out my latest Video Blog here: http://www.youtube.com/watch?v=rzvHBY0zdBc

Barry Quine: Hi Good Afternoon. Barry Quine here from Century21 in Oakville. I'm asking people today, "What is it that you look for in a Realtor?"  Are you looking for someone who has been in the business a long time maybe?  Maybe you are looking for someone who has superior negotiation skills. Is it the amount of newspaper advertizing they do in the local newspapers that sways your decision?  One thing I can say is that you should never, never, never, NEVER choose a Realtor based on whoever gives you the highest list price for your home.  As a Realtor, I speak from experience; I and every other Realtor out there cannot tell you what the market will pay for your house at any given time. Only the market decides that at the current time when your house is on the market.  Only the market will tell you what your house is worth and what it is willing to pay for it. 

When you are looking for a Realtor my suggestion is you interview at least 3 Realtors.... Grill them in depth on how they are going to sell your home, what they are going to do to get the job done. What you are looking for is modern techniques, modern internet technologies that is going to get the job done. 90% percent of home searches, somewhere in that vicinity anyways, start online these days. You MUST have a Realtor who knows what they are doing online.  If you want to see a good example of such a Realtor, check out my website: www.BarryQuine.com . Otherwise you can shoot me a quick email for details barry.quine@century21.ca. I look forward to working with you soon!  Thanks for listening and have a great day!

Call me today for details: 905.399.1069
www.HighTechRealEstate.ca
www.BarryQuine.com
www.BQSells.com

 

Curb Appeal: The Initial Seduction

The buyer drove to your house and likes what he/she sees.

Now, you want to seduce your buyer into coming inside your

house-you can do this by taking some initial, do-it-yourself steps.

So, let's get working on your house's exterior to establish that initial

seduction!

 

How's the Neighbourhood?

 

One of the best things you can do is to observe your house

from a distance; for example, as you are driving through your

neighbourhood, observe the neighbourhood and other houses in it. Do

your neighbours keep up their houses? Are you located on a quiet,

family-friendly street?

 

The market, of course, will dictate how well your house sells;

at the right time, you may even get more than your asking price.

However, it all depends on whether your house is in marketable

condition, in an ideal location or surrounded by other higher-end

houses.

 

You cannot much control your house's location; if you are in

the enviable position of having a house located in a ritzy

neighborhood or off a lake, you will not have to worry much about

getting your asking price. Many times, people buy the location as

much as the house.

 

However, if you live near an unsightly structure or directly off

a busy road, you may have to work with your real estate agent in

pushing the good points about the location. Is it close to schools and

religious centers? Is there easy highway access, which reduces travel

time to and from work? If so, make sure potential buyers know this.

Of course, another more sensitive issue that you might face is

your neighbours. If your neighbours leave junk in their yards or do not

keep up their property, it may be harder for you to sell your house,

because people do not want to move into neighbourhoods they

perceive as old, trashy or run down.

Unfortunately, there is little you can do on this front. If you

have a good relationship with your neighbours, you can possibly talk

to them about your situation in trying to sell the house, as long as

you handle this delicate matter with tact and politeness. (You might

even volunteer to hire a grounds keeping service to touch up a

neighbour's yard-but make sure your neighbours approve first).

Your neighbours might be experiencing rough times right now if

the head of household has been laid off.

Or perhaps the neighbours do not have time to upkeep their landscaping.
Perhaps, though, they just don't care. Because there are so many reasons
why your neighbours may not be upkeeping their houses/yards, it is a
touchy subject for most to broach.

 

If you cannot talk to your neighbours or you do not feel

comfortable in doing so, you might be able to talk to the head of

your neighbourhood board; check to see if your neighbours are

violating any established policies, and if so, ask the board to address

the issue.

 

Your real estate agent can also brainstorm with you ways to

handle the issue. Real estate agents are much like public relations

spin-doctors; they know how to describe anything so it sounds good.

Capitalize on that!

 

House Inspection before You Sell

 

If you really want to make sure that your house will be sold

without any problems, seriously consider having a prelisting house

inspection, whatever you think the condition of your house is. You

do not want your buyer to request for any repair(s) later on--or

worse--walk away from the deal based on an unsatisfactory house

inspection. Also, the buyer will probably order his/her own house

inspection and may not want to share this expense with you. Either

fix the problem areas, or renegotiate your listing price or offer

something to offset the repair costs.

 

Ask your agent or friends and family to recommend house

Inspectors.

You may need to compare fees as well as the extent of the

inspection. And don't forget to ask for references.

If you found any problems, either fix it or disclose. You do

not want to be sued for fraud and be liable for any financial

liabilities. The best policy is to be honest about any physical

problems with your house.

 

Outside Expectations: First Impressions?

 

Spend an afternoon evaluating your house's exterior, and if at

all possible, ask a friend (or any third party) to join you. Together,

you two should honestly, no-holds-barred evaluate what

improvements may be necessary; it helps to let your friend know that

you want his/her 100 percent honest feedback. (Definitely do not

react harshly if he/she suggests an improvement you had not

considered. Remember, you must have thick skin throughout the

entire house-selling process, and your friend is only trying to help.

 

Consider giving your friend a little treat, such as movie

tickets or a fresh floral bouquet, when you sell your house, so he/she

feels appreciated for the extreme honesty you needed!). It will also

be helpful if your real estate agent can join you and your friend.

First, stand outside your house, and objectively think, what

jumps out at me? The gorgeous front door? The impeccable

landscaping? Or the frail porch or run-down steps? Any loose

shingles on the roof? Sagging gutter?

Beautiful landscaping and a well-kept yard are both

positives, but if anything on the outside of your house, such as

rickety steps, looks dangerous, make a note to fix it. It is critical to

always ask yourself, would I buy this house? Chances are, you

would not move into a house that was dangerous to enter or that

would cost you an arm and a leg to renovate, especially if the seller

is asking top dollar for the property.

 

A fresh coat of paint or a new roof can also make all the

difference in "curb" appeal-how your house looks to potential

buyers from the outside. The colour of your house can also be a great

selling factor; is it a deep blue or beautiful hunter green in a

neighbourhood of mostly white houses? If so, a unique hue may work

in your favour in the selling process (Never paint your house an

unusual color, though, without first checking with your real estate

agent and your neighbourhood board-sometimes, there are

regulations about what colour you can paint your house). Make sure

the colour of your house matches with any detached garage, barn or

tool shed.

 

If you happen to have an older paint job, though, you can

always wash the house's exterior or dress up doors and window

shutters with a more modern colour. Clean the window screens and if

they are worn out, remove them. Moreover, if you have older front

doors or garage doors, make sure you replace them with more

modern ones. While the cost here can add up, spending a little

money now will help sell the house faster.


Don't re-model the house structure to the point that rather

than enhancing the appearance, it may be considered an eyesore

compared to other houses in the neighborhood.

 

Of course, if you live in a particularly favourable

neighbourhood, you are already at an advantage, since such properties

are always popular. But never use your house's location as a reason

to shortcut on making house improvements.

 

The Front Yard

 

Make sure your front yard kidnaps potential buyers with its

clean look and delightful, if not impeccable landscaping. Make sure

your landscaping is remarkable; plant a tree or some colourful

flowers, which can add a homey touch to any house (trees also add

to the value of property).

 

• Start by picking up any children's toys or miscellaneous junk

(including lawn decorations), and remove any old cars or

appliances which may be visible.

• Remove any graffiti.

• Sweep and pressure wash the walkways and the exterior of

your house, if necessary. A clean front yard area is a great

first step to luring prospective buyers!

• Trimmed grass, bushes and tree branches also enhance the

front yard. If any tree branches are touching the roof, trim

them.

• Make sure that fences are clean (no rust, worn paint spots)

and uncluttered and that gates open and close with ease.

Making repairs to a fence or gate latch are fairly inexpensive,

so do not forget to evaluate these outdoor fixtures.

• Make sure the mailbox is in good working order and that it

looks attractive. Paint it if necessary, and have any missing

bricks or cement replaced.

• Wipe clean any outside fixtures such as the air conditioning

unit.

• Plant a few colourful flowers near the front door, below

shrubs, around trees, and/or by the walkways and fence, even

if the landscaping is all rocks. Ask your local garden retailer

for inexpensive varieties such as impatiens and gardenias.

• Put in window flower boxes to create more interest. It will

add charm to your house.

• Driveways should be free of grease build-up or rust.

 

First impressions count, so make sure EVERYTHING a

potential buyer sees conveys the image of clean, well-to-do

hominess! And by the way, keep that car out of your house's

entrance way!

 

The Back Yard/Porch/Deck/Balcony

 

The same guidelines apply to the backyard, as well. Picking

up toys (or worse, a dead refrigerator) and any trash and making sure

the back yard area is landscaped beautifully will add to the curb

appeal.

• You should also evaluate any stationary play sets and make

sure they are in good working order. If, for example, you

invested in a sturdy wood play set when your children were

younger, and it is still in great condition, you can use it as a

bonus-selling feature. However, if you have an old metal

swing set that is on its last legs, take it down. It's better to

have nothing out there than to showcase junk.

• If you have a spa or outdoor pool, make sure it looks inviting

when your house is shown. Have it cleaned and free of any

algae or dirt, and clean the areas where you have the motor

and pool accessories. Easy fixes like this will make your

backyard so much more appealing.

• Remove any laundry hanging out to dry.

• Make sure any outdoor furniture, gazebo and railings are also

clean.

• Consider re-sealing your porch or deck for added appeal.

• Plant colourful flowers by the fence or shrubs or set a few pots of

flowering plants.

 

If all this sounds like too much work, you might consider

hiring a cleanup crew, although you should be prepared to spend

about $500 on such services. The advantages, however, are that

professionals can clean the front and back yard in one day, as

opposed to two or three. And with superior tools, they will probably

do a better job than you can.

 

Outside the Budget?

 

Because the outside of your house is the first glimpse of the

house potential buyers see, you definitely want it to be visually

pleasing.

Of course, some fixes, like replacing an old porch or re-roofing,

are more expensive and time consuming. But you should

evaluate with your real estate agent whether it is worth your time to

make such fixes, especially if you are selling the house below market

value or just want to get rid of it as soon as possible. (With anything

that requires a hefty price tag to fix, check with your real estate agent

before investing in any repairs).

Costly improvements do not always improve the resale value, and to make up for the cost of improvements, you will have to adjust your asking price (which

could price the house out of the market).

However, there are other fixes, such as cleaning windows

and picking up yard clutter, that are cheap and easy (if you have any

junk on a front porch or sitting in your yard, call the waste removal

department in your city. A representative can give you the phone

number for the office responsible for picking up larger items that

belong in the garbage).

Also remember that lighting is a cheap fix. Because many

house buyers drive by houses after dark, keep the attraction

consistent from day to night. Turn on your outdoor lighting in the

front and back yards. To enhance your nighttime appeal, you may

want to consider installing lighting on driveways, walkways and

around trees. You could even install an attractive light fixture on

your front porch, if your budget allows.

Overall, though, when you look at the outside of your house,

it should be clean, safe and inviting. Following is an outdoors

checklist, which can help you evaluate which improvements are

necessary. And remember--always ask yourself, would I live here?

 

 

 

 

Exterior Checklist

 

 

AREA OF CONCERN

YES

NO

ESTIMATED

COST/ PLAN

TO FIX

1. Is the grass neat, tidy and green?

 

 

 

2. Are the flowers and bushes in good shape- watered, alive and not

growing uncontrollably?

 

 

 

3. Is the rest of the

landscaping visually

pleasing (rocks, trees, water sources, gardens)?

 

 

 

4. Are other stand-alone structures (car ports, clothes lines, tool sheds) in stable, attractive condition?

 

 

 

5. Are there any swing sets or play sets that are in rickety condition?

 

 

 

6. Are kids' bikes, toys and plastic pools visible?

 

 

 

7. Is there any "junk" on your front porch, such as

furniture or appliances of any sort?

 

 

 

8. Are there cars, tires or other large items housed in your yard?

 

 

 

9. Are trash cans visible?

 

 

 

10. Does the house's

exterior look presentable

(freshly painted, clean)?

 

 

 

11. Have the windows

and outdoor shutters all

been washed?

 

 

 

12. Are gutters and

chimneys clean?

 

 

 

 

I hope you enjoyed Part 2 of this series - Curb Appeal: The Initial Seduction. 

Stay tuned for part 3 - INSIDE THESE WALLS: THE NEXT SEDUCTION!

If you have any questions regarding how to prepare your home for sale call Barry today! Your Oakville & Burlington Real Estate Expert.

 

A comprehensive guide for preparing your house or condominium for maximum profit! Find out how to make both the outside and the inside of your house a seller's dream- even if you are short on time or tight on money!

I. From House Seller to Marketer

Barry Quine - Oakville Real Estate

Selling your house can be a stressful and time-consuming process, and it is very easy to get frustrated if you do not get the response you want from buyers. After all, you cannot believe someone criticized your gorgeous Victorian bathroom, calling it old fashioned and dated...how dare they!

Unfortunately, developing a thick skin is a necessary part of selling your house. It can be difficult, though, especially if you are moving from a house you love. An attachment to your house makes it especially difficult to see the house's faults, but that's why I'm here. It's difficult, but helpful to first condition your mind into thinking, we are selling "a house," not "our beloved home."

In the coming pages, I will walk you through all the steps you can take to make your house irresistible to potential buyers. If you really want to sell your house and have an open mind about the suggestions I have in this book, you will really benefit from this guide, which tells you how to prepare both the exterior and the interior of your house for sale.

I know your house is a valuable commodity, both financially and more than likely, emotionally. The reality, however, of selling your house is that you may not have more than one chance to impress a potential buyer.

Prepare your house to sell well, and you may be rewarded with a faster sale and higher profit.

So, from this point forward, consider yourself a marketer, not a mere house seller. Better yet, to eliminate the emotional undertones, consider yourself a house seller (not "home seller") and your buyers- homebuyers.


The Buyers Have Spoken: Survey Says

In the National Association of House Builders' 2004 consumer survey, "What 21st Century House Buyers Want," prospective homebuyers offered their opinions on what they most look for in a new house. You may want to see if you can accommodate their desires.

Among them:

• They want larger houses with a great deal of open space; they especially favour large, open kitchens and family rooms that flow seamlessly together without any walls or doors separating them.

• Upscale features like high ceilings and kitchen islands are popular.

• A front porch, deck or patio adds to a house's marketability.

• Laundry rooms are considered essential in new houses.

• Nearly 40 percent of the respondents said they would like a minimum of four bedrooms, though 49 percent would accept three (This is of particular note if you are thinking about turning a den or study into a bedroom!).

• Twenty-five percent of respondents said they wanted at least a three-car garage, despite the cost.

• Walk-in pantries and light wood cabinets are more desirable in kitchens.

• New bathrooms with fancier features are popular. A separate shower enclosure, water temperature control, a whirlpool tub and dressing room were features respondents positively ranked.

• Forty-six percent want a sunroom.

Perhaps most telling is that respondents feel spaciousness is highly esirable; therefore, in decorating your house for walkthroughs, remember to keep everything open.


Buyers also like well-lit and bright-looking houses, as well as distinctive features, such as sun rooms and bathrooms with separate shower enclosures, that can still be decorated beautifully with less expensive fixtures.

Value in Getting Ready for the Sale

Barry Quine - Oakville Real Estate

Deciding to sell your house is never easy. Everywhere you look, you see memories...the stairs your daughter first climbed, the kitchen where your family used to gather before the kids moved out and the garage where you  parked your first mini-van.

It is important to remember, though, that by moving, you are not giving up these memories-they will stay with your forever. You are simply selling the house-the bricks, the wood, the mortar-- nothing you cannot find in another neighbourhood.

That said, it is critical that you realize selling your house may involve some concessions on your part. For example, even if you want to receive X amount of dollars for your house, a buyer may want to pay less due to the house's age or because of necessary remodeling.

You must be prepared for such concessions.

Once you have decided to sell, it is next necessary for you to give your house an honest assessment.

Does your house need a paint job? A new roof? Take note of these things, as you may profit tremendously in preparing your house for sale.  You get used to seeing things in your house and start accepting things because you know they're good and working properly but a person looking to invest in your house wants the best look they can get for the buck.

As a first step, if you belong to a homeowner's association, inform the directors that you are selling your house. Ask if there are any lawsuits or legal issues that concern the association, and obtain copies of any documentation.

Next, understand that having a house that is visually pleasing and technically sound will help it sell much faster. And, with a house that does not require many renovations or repairs, you are more likely to get your asking price. So, if you think inexpensive improvements can be done and you are willing to pay for them so your house value will increase, suggest these improvements. Certainly, however, I will forewarn you-preparing your house for sale is a long process, requiring more than a little hard work (but it's well worth it!). So, if you're ready, let's evaluate the outside of your house first.

Create your "Must-Do List" which includes house projects that need to be completed, jobs that I recommend in this book, as well as those that the buyer's house inspector may report.

I hope you enjoyed Part 1 of this series - Preparing Your Home For Sale - From House Seller To Marketer. 

Stay tuned for part 2 tomorrow - CURB APPEAL: THE INITIAL SEDUCTION!

If you have any questions regarding how to prepare your home for sale call Barry today! Your Oakville & Burlington Real Estate Expert.

 

The average home price in Oakville is up over $50,000 this November over last November at $594,494!

The average home price in Milton is also up over $50,000 this November over last November at $363,264!

Click here for more details ion what is happening in both Oakville and Milton.

 

Canadian home-resale prices are likely rise in 2010 at an even faster pace than this year but a dangerous bubble probably won't develop, TD Economics said in study published on Tuesday.

The average price of an existing home in Canada is expected to surge 9-10 percent next year to about C$346,000 as sales climb to 475,000. In 2009, the average price rose an estimated 4-5 percent on an annual basis.

But the sales momentum, which TD expects will last six to 10 more months, should not translate into a "bubble" as the cost of ownership, when lower interest rates are taken into consideration, has fallen in recent months.

The residential housing market froze late last year in the wake of the global financial crisis, but its swift recovery has prompted some concern about the chances of a sudden collapse. Sales of existing homes rose to a record monthly high in October.

TD described the Canadian market's downturn and subsequent recovery "as V-shaped as can be." It partly attributed the rebound to pent-up demand after last year's slump.

Over the next few years, sales growth should moderate as more supply comes into the market and interest rates rise, TD said in its resale housing outlook report.

In 2011, eroding affordability is likely to weaken sales by more than 10 percent to 421,200 units while prices rise 1.6 percent to C$351,600. In the following two years, prices and sales are expected to rise modestly.

SOURCE: yahoo.ca

CALL ME TODAY TO FIND OUT ABOUT HOW TO GET A $2,500 SHOPPING SPREE FROM ME!

 

by Kristine Owram, THE CANADIAN PRESS
Thursday, November 19, 2009

provided bymoney.thecanadianpress.com

TORONTO - The Canadian housing market has seen a stronger and faster rebound from the recession than any other segment of the economy, due in large part to enticingly low mortgage rates.

But rates this low - 5.59 per cent for a five-year fixed-rate mortgage and 2.25 per cent for a five-year variable-rate mortgage at one bank - can't last forever, and experts are advising borrowers to prepare for higher rates within the next 12 months.

"We have to realize those are emergency interest rates," said CIBC economist Benjamin Tal.

"Interest rates will rise - it's just a question of time, it's not a question of if. And if that's the case, we have to make sure that when we borrow this money we can afford the same mortgage 200 or 300 basis points higher. That's the key responsibility now of borrowers and lenders, to make sure that what we do, we do it in a prudent way."

Depending on whether they are fixed or floating-rate, mortgages are tied to either the bond market or the Bank of Canada's key lending rate, which are closely related. The central bank's rate has been sitting at a record low of 0.25 per cent since the spring and it has said it will keep it steady until at least next June to help stimulate the ailing economy.

On Wednesday, three of Canada's biggest banks - Royal Bank (TSX:RY), Bank of Montreal (TSX:BMO) and TD Bank (TSX:TD) - announced that they will cut posted rates for fixed-rate mortgages by up to 0.25 percentage points. On Thursday, CIBC (TSX:CM), Laurentian Bank (TSX:LB) and Scotiabank (TSX:BNS) followed suit by cutting their five-year mortgages by 0.25 per cent to 5.59 per cent, in the case of CIBC and Scotiabank, and 5.6 per cent at Laurentian.

But mortgage lenders agree that rates are nearing the bottom and will begin to rise again in 2010.

"The only sort of assurance that you hear in the marketplace is the Bank of Canada's going to try to maintain that rate until June. But past that, there are already warnings that if there need to be adjustments, the adjustments could be a little more abrupt than we've been used to in the past," said Martin Beaudry, vice-president of retail lending at ING Direct.

CIBC's Tal said that with rates this low, "it's almost a crime not to take a mortgage out," but warned that consumers need to be prepared for higher interest rates later on and what this could mean for their personal finances.

For example, a $200,000 mortgage with a term of 25 years and an interest rate of 2.25 per cent has monthly payments of $876.26. For the same mortgage with an interest rate of five per cent, the monthly payments become $1,169.18.

And this doesn't only apply to variable-rate mortgages, but to fixed-rate mortgages that are coming up for renewal, Tal said.

"It's not just variable rates, because five years from now the rates will be much higher, so you don't want to find yourself in a situation five years from now where you can't afford the house," he said.

"It's important to be extremely prudent and not to be totally blinded by those rates."

Both John Turner, director of mortgages at BMO, and ING's Beaudry said they've seen an increase in the number of people opting for fixed-rate mortgages to ensure some certainty when interest rates begin to rise again.

"In the first six months (of 2009), we saw well over 60 per cent of our applications being for variable-rate mortgages, and in particular in our case five-year variable-rate mortgages," Beaudry said.

"Towards the latter part of the summer, until now, the trend has reversed to where we're seeing about 70 to 80 per cent of our applications going for five-year fixed-rate mortgages."

Turner agreed, saying 60 to 70 per cent of BMO's customers were opting for variable-rate mortgages in the past, but lately "there's been a slight shift to fixed."

The key is finding a monthly payment you feel comfortable with and then thinking ahead - if you have a variable-rate mortgage, or a fixed-rate mortgage that's coming up for renewal soon, will you be able to afford to continue to make your payments if interest rates go up?

Turner said now is the time to begin making more frequent payments, while interest rates are still low, if you can afford it. This will reduce your principal more quickly and will mean lower payments down the road when interest rates are higher.

"For example, if you have a $200,000 mortgage and you opt to pay biweekly (instead of monthly), you knock four years off your mortgage and save about $47,000 in interest just by doing that," he said.

As well, if you have a variable-rate mortgage, it's important to keep an eye on interest rates and lock in if you feel they're getting too high, said Jim Murphy, president and CEO of the Canadian Association of Accredited Mortgage Professionals, or CAAMP.

The association also recommends that homeowners renew their mortgages before the scheduled renewal dates given the current low level of interest rates.

However, Murphy predicted that when interest rates do start to go up it will be a gradual climb, and Canadians shouldn't worry about a sudden jump in the number of people who are forced to default on their mortgages.

"I think people are predicting that rates will start to increase in 2010 at some point in time, but it'll be more of a slow, measured increase as it goes up, and most Canadians who have variable products will have the ability to lock in," Murphy said.

CAAMP says the volumes of residential mortgage credit outstanding is forecast to grow by seven per cent between 2009 and 2011, and is predicted to pass $1 trillion in 2010. The average mortgage interest rate was 4.55 per cent as of October, down from 5.41 per cent a year ago.

 
 
S51328ca106896_8

Barry Quine - Condo Specialist The Wayne Munden Team

Oakville, ON

More about me…

Re/Max Aboutowne Realty Corp.

Office Phone: (905) 842-7000

Cell Phone: (905) 399-1069

Email Me

Keeping you informed with what is happening in your Oakville & Burlington Real Estate Market. Frequently updated to keep you in the loop!


Links

Archives

RSS 2.0 Feed for this blog