Potential Buyers, Home Owners; Fear No More

It seems that despite the residential mortgage rate increase from two of Canada's largest banks it's still a seller's market, the biggest increase which affect five year mortgage has raised rates six tenths of a per cent to 5.85 up from 5.25 per cent, with that increase, interest rates seen at a remarkably low, and it would not affect the housing market too much.

It appears that home owners who have a fixed-rate mortgage will not be affected by the increase, that would give option to potential buyers to lock in to variable-rate mortgages.

Potential buyers should not get nervous to the current rate increase, expect that they're still going to get a good deal. in fact, the overnight 0.25 per cent is expected to remain constant until this summer.

Please go to Article:
http://www.metronews.ca/vancouver/local/article/490708--don-t-fear-rate-hike-experts-say

Real-Estate Markets To Remain Strong

According to the latest forecast from Scotia Economics, Canada's real estate markets should remain heated through the spring, due to low mortgage rates before setting into more subdued conditions as those rates rise.

Scotia Economic senior economist Adrienne Warren said the last decade had been the strongest decade of real price appreciation in at least 50 years, well in fact it was an exceptional decade.

However, listing of new properties have not kept pace with this surge in buying, and the result is bidding wars for properties.

Warren said Metro Vancouver saw an equally sharp bounce back after a sharp fall-off in sales and prices during the recession.

Metro Vancouver showed an average home price of $592,441 in 2009 which was negligibly lower that the $593,767 average price of 2008.

The Metro Vancouver market does tend to retain high prices because of its unique geographic constraint, which makes the region the least affordable market (in Canada) as well,Warren said, also she forecasts Canada will see a "normal adjustment period," that property prices remain relatively flat for a significant period while other aspects of economy improve.

Please go to Article:
http://www.leaderpost.com/technology/Real+estate+markets+should+become+more+subdued+after+spring/2718203/story.html

Canada's Housing Market; Going Strong

In Canada housing boom will continue this spring as exceptionally low mortgage rates and the expectations that rates will go higher which adding a" sense of urgency" to the market.

A Scotiabank global real estate trends report released Tuesday predicts most Canadian regions will remain sellers' market for the first half of the year as strong demand and prices continue. It seems that people are taking advantage of this rates that hit bottom.

Scotiabanks expects about 510.000 thousand sales of house this year, ten percent higher from 2009, however average price are forecast to increase about eight per cent to a record $345.000.

Canada's economic recovery from 2009 recession has improved consumers confidence. Most experts predicts that as long as the economy is improving and the low interest remains, strong housing markets will continue.

Canada's recovery continues to outpace developed countries around the world with housing prices in the fourth quarter up 19 per cent year over year.

Please go to Article:
http://www.muchmormagazine.com/2010/03/canadas-housing-boom-to-continue-through-spring-2010/

Homeowners Prepared For The Upcoming Higher Mortgage Rates

About 64 percent of Canadians are expecting mortgage rates to be higher over the next year. The three quarters (73%) of the homeowners need to be prepared and think ahead to ensure they will be able to pay their mortgage if rates rise. However, homeowners concerned been advised to review their mortgage with their financial advisor regularly to get ready for the upcoming changes.

Six out of ten mortgage holders are now taking advantage of the current low interest rates to pay more principal. 18 percent of home owners made a lump sum payment on their mortgage and 16 percent doubled up their payment to lessen the mortgage principal. Positively the majority of the mortgage holders (84%) believe they are doing an excellent job of paying down their mortgage.

Marcia Moffat, RBC's head of home equity financing provides the following tips for Canadian homeowners:

1. Look into your prepayment options.
2. Pay down higher cost debt.
3. Have a strategy to pay off your home equity line of credit.

Homeowners can also seek an advice from a financial advisor.

Please go to Article:

http://www.pressreleasepoint.com/canadians-expecting-higher-mortgage-costs-2010-rbc-poll

Healthy And Smart Real Estate

Instead of worrying about the real estate market, some Canadians are concerned at the prospect of the price bubbles, it was reported that the average price of existing homes rose 19.6 percent in January. compared to 2.6 percent in the United States, in some Canadian cities, particularly Toronto and Vancouver prices appear to be heading toward record levels. Positively the housing markets responded to low interest rates expecting to continue the current pace.

Mr. Alexander and others explained that Canadian market's reconditioning ensured that the recession in Canada did not turn into a real estate disaster, possibly due to Canada's retail banking system, Canadian banks avoided the structured debt products that imperiled many of their American counter parts. They also maintained comparatively tight controls of lending to consumers.

In real estate Canadian businesses is moving slowly but surely, while in American businesses they have this willingness to really push the limits.

Now that demand from buyers have returned some analyst agreed that sellers have been slower to move due to winter season, but expectations are high that this spring and the upward trend in prices will inspire increasing number of people to list their homes and based on January's statistics pattern may be developing for both resales and housing starts.

Please go to Article:
http://www.ushour.com/uncategorized/in-canada-real-estate-is-booming/hour.com/uncategorized/in-canada-real-estate-is-booming/

Mortgage New Rules Will Benefit Canadian Markets And Home Buyers

Canada's mortgage insurance rules will be tighten which will take effect on October 15, it's widely seen as a measures further Canadian mortgage market to prevent the credit problem that have crippled the U. S. housing market. This changes is the positive approach by the Canadian government to make sure that the housing market remains strong and to reduce the risk of a U. S. style of housing bubble.

An October 15 implementation date was chosen to give home purchasers with mortgage pre-approvals the opportunity to exercise their options before the pre-approvals expires at the end of their usual 90-day term.

This tightening of Canada's mortgage insurance rules seem to be a strong move to do something to reassure Canadian markets and ensure that home buyers will not experienced housing market problem in the U.S.

Please go to Article:
http://www.agentbuilderinc.com/wordpress/2010/03/15/mortgages-rules-for-canadian-home-buyers-to-be-tightened/

Good Advise To Home Buyers

It appears that some women home buyers wish they have known more before purchasing a home.

According to survey done by TD Canada Trust Women and Home Ownership poll;
25% of women home buyers wish that they had learned more about their mortgage option,
36% said they wish they had ask more question about the fees and cost related to maintaining property.
30% indicated that they hadn't calculated the annual expense of maintaining a property.
43% women felt that their biggest problem in the home ownership was the cost of maintenance and repairs.

TD Canada Trust has this Mortgage selection tool to help the potential home buyers identify the type of mortgage that might be right for them.

TD Canada Trust's Chris Wisniewski recommends the following to home buyers.
1. Choosing an amortization period shorter that the standard 35-year period.
2. To estimate their closing cost to be the equivalent of 1.5-4% of the cost of their home.
3. Making a budget and planning monthly housing expenses to be less than a third of your
monthly housing income.
4. Hiring a qualified home inspector

The result of the survey will give some good advise for anyone thinking about entering the housing market this spring.

Please go to Article:

http://homeandgarden.homes-extra.ca/Homes/2010/03/16/13246606.html