Ben Sage - Woodstock Ontario ON Real Estate Sales Representative (Realtor)

Toronto Home Resales down 35% in October: Report

noreply@blogger.com (Ben Sage, Sales Representative) — Thu, 06 Nov 2008 14:38:00 +0000

Reprinted from The Canadian Press

The number of resale home deals fell 35 per cent in the Greater Toronto Area last month compared with a year earlier, according to a report released by the Toronto Real Estate Board on Wednesday.

The average price was down 10.6 per cent, to $352,974 from $394,646 in October 2007.

The board tracked a 13 per cent price decline in Toronto to $376,896 and, an eight per cent pullback in the suburban 905 area to $336,049, the report says.

The number of properties listed for sale increased 32 per cent from a year earlier to 27,277.

According to the report called Resale Housing Market Continues to Reflect Economic Times, the GTA logged:

5,155 home resales in October 2008.
7,915 home resales in October 2007.
6,876 home resales in October 2006.

However, despite the drop in resale figures, Maureen O'Neill, president of the board said, "There's no doubt that real estate will continue to be a solid long-term investment in our country."

O'Neill suggested that "consumer confidence is being unduly affected by media reports on the United States economy," while emphasizing that "there's no question that in Canada the economic fundamentals to support a healthy housing market remain in place."

The Toronto Real Estate Board was founded in 1920 by a small group of real estate practitioners. It is Canada's largest real estate board, serving more than 28,000 members.

MLS Listings Fall in Third Quarter

noreply@blogger.com (Ben Sage, Sales Representative) — Sun, 02 Nov 2008 14:15:00 +0000

Reprinted from CBC.ca

Fewer homes were listed for sale on the Canadian Real Estate Association's multiple listing service in the third quarter, as the market cooled in Alberta and British Columbia, according to figures released Thursday.

Third-quarter MLS listings fell to 230,107 on a seasonally adjusted basis, a 3.1 per cent decline from the record-setting level in the previous quarter.

The value of MLS sales in the same period was $34 billion — a drop of 5.4 per cent from second quarter.

Calvin Lindberg, CREA president, noted the easing Canadian market differs from the U.S.

"U.S. prices were driven up by speculative investment and relaxed lending standards. Canadian resale housing prices climbed due to strong job growth and low interest rates, especially in Alberta and B.C.," Lindberg said in a statement.

"We did not have the relaxed lending standards offered to homebuyers in the U.S."

CREA Chief Economist Gregory Klump said Canadian consumers should not expect to see a major price correction as in the U.S., suggesting that Canadians are not under particular duress to sell their homes.

"Lower interest rates and a Canada-U.S. currency exchange rate will help support Canadian economic growth," he said. However, "whether Canada avoids a technical recession, economic growth is likely to stall, so that it feels like one."

"Many may take their home off the market if it remains unsold when the listing expires," he said. "The resulting decline in listings limits the extent to which the resale housing market balance will realign."

259 Highway #2, Princeton, ON - MLS # 60-828

noreply@blogger.com (Ben Sage, Sales Representative) — Thu, 30 Oct 2008 16:37:00 +0000

You want a home with potential? You’ve found it! Step inside this beautiful 1873 Farm House and imagine the possibilities. This 2-storey home is situated on approximately ¾ acre lot and has many updates, including all copper and pvc plumbing, all knob & tube wiring unused, UV filter, and a newer 30 year roof. Also included are all appliances currently in property. This house has very large principal rooms, and will make an absolutely perfect family home. Don’t miss out on this fabulous opportunity. All RSA.

Ben Sage, Sales Representative

Sutton Group - Right Way Real Estate (2007) Inc., Brokerage

Independently Owned and Operated

Office: 519-539-6194

Home Prices take a Hit

noreply@blogger.com (Ben Sage, Sales Representative) — Fri, 24 Oct 2008 23:30:00 +0000

Year-over-year prices plunge 5.1 per cent in August, the sharpest decline since 1996

The average price of an existing home in Canada fell by 5.1 per cent year over year in August, the steepest decline since 1996.
It was the third monthly drop since prices fell into negative territory in June for the first time in more than nine years, and was led by a sharp decrease in sales activity in the country's most expensive markets, including Vancouver, Victoria, and Calgary.
That put the average price of a resale home in Canada at $315,052 last month, according to data released yesterday by the Canadian Real Estate Association (CREA).
In Vancouver, the country's priciest housing market, unit sales plummeted by 54 per cent from the year before to an average of $557,114, CREA said.
The drop in sales gave Vancouver a lower weighting in the overall calculation of the country's national home price average, CREA said.
Prices also fell in Calgary, Edmonton, and Victoria, cities which saw dramatic run-ups during the housing boom, and in Windsor-Essex, which has been hard hit by the slump in the auto manufacturing sector.
Economists are sticking with the view that the housing market decline won't become as dramatic here as in the U.S., but said Canadians should brace for a continued slowdown in sales activity and softer prices.
"Canada's housing market continues to face strong headwinds from declining confidence, low affordability, and an upward trend in new listings," Robert Kavcic, economic analyst at BMO Nesbitt Burns Inc., said in a research note.
Resale home prices continued to rise in 20 of the 25 major markets included in the data. However, they edged up by only 0.8 per cent in Toronto, the country's largest market with more than double the sales of the second busiest city by activity, Montreal.
The largest price increases were mainly in smaller markets, led by Regina and Newfoundland & Labrador.
Across Canada unit sales also fell, dropping by 19.3 per cent in August compared with the year before, with increases in just three markets, Edmonton, Quebec City, and Thunder Bay.
Besides Vancouver, sales fell sharply in Victoria, Saskatoon, Regina, and Calgary, and in a number of Ontario cities including Toronto.
After surging for four months, new listings eased below the 50,000 mark in August, dropping by 4.6 per cent from the year before to 44,377 units.
"This report underscores the current shift in the Canadian housing market, as the tone of activity moves slightly closer to a buyer's market," Millan Mulraine, economics strategist at TD Securities Inc., said in a research note.
New listings plunged the most in markets which started slowing the earliest, including Edmonton, Calgary, and Windsor-Essex. Listings rose the most in Regina, Saskatoon, and Thunder Bay.
Despite the overall drop, annual listings growth is still outpacing sales in 22 of 25 major markets across the country, and the ratio of new listings to sales remains near a nine-year high, Mr. Kavcic said.

Source: The Globe and Mail, Lori McLeod, Real Estate Reporter, September 16, 2008.

Canada’s Mortgage Market is NOT Like the U.S.

noreply@blogger.com (Ben Sage, Sales Representative) — Thu, 16 Oct 2008 13:22:00 +0000

A Report from Scotia Economics

(Reprinted courtesy of Cathie Davies, Mortgage development Manager, Scotiabank Woodstock / Ingersoll Areas - 519-421-5253, cell 519-533-7743)

We're fielding client inquiries about risks facing Canadian housing and - more importantly - mortgage markets. The following points summarize some key thoughts that we’ve made over time. The bottom line is that we do believe there to be considerable downsides to the Canadian housing market, but that comparisons of Canadian mortgage market prospects to the U.S. experience are off-base.

1. Debt growth over the full cycle

Much is being made of the fact that Canadian debt growth relative to incomes over recent years has been on par with the U.S. experience. Ergo, one is led to conclude, Canada must face similar stresses to its own housing and mortgage markets.

Nonsense. One must look at the full cycle and use the right measures. Recent Canadian debt growth reflects the unleashing of pent-up demand from the 1990s. Canada’s recession in the early 1990s was more severe, and the effects were longer lasting by way of how long it took housing markets and the consumer sector to get back on their feet. The U.S. recession of the early 1990s was comparatively mild, and the economy rebounded faster such that U.S. debt growth over the long-haul has exceeded debt growth in Canada. The effect has been for the U.S. to outpace Canada on growth in total household sector liabilities relative to incomes throughout the past two decades.

2. Leverage - night and day comparisons

Canada’s ratio of household debt-to-income is much lower than the U.S. Despite its popularity, however, this is the worst way to look at leverage since it compares total debt amortized over decades to a single year’s after-tax income which is a stock-to-flow comparison that most economists avoid. One doesn’t take out a mortgage on January 1st with the expectation of having to pay it all back out of the current year’s income by December 31st, so why make the comparison?
The best way to judge the full cycle’s influences upon debt growth in Canada versus the U.S. is to look at where the two countries stand today on leverage on the household balance sheet (i.e., debt as a share of assets). This must be done by making adjustments to ensure comparability of Canadian and U.S. household sector balance sheet data. In Canada, total debt as a percentage of total assets sat at 20% as at the end of 2007. The U.S. ratio is about 26% (chart). By corollary, Americans have used nearly 30% more debt to purchase assets than Canadians. Clearly, Americans and Canadians have different debt tolerances.

3. Canadian mortgage markets are fundamentally healthier than the U.S.

a. Canada’s subprime market is small (5-6% of outstanding mortgages) whereas the U.S. share peaked at about three times that. As a share of originations, 20-25% of new mortgages in the U.S. were subprime over the 2004-06 period. So Canada isn’t anywhere near as exposed to the products that caused most of the damage in U.S. housing markets.

b. Not only is Canada’s subprime market much smaller, but it isn’t even really subprime per se. Canada's subprime market is more like the U.S. near-prime market, whereas the U.S. subprime market often lent to borrowers with extremely impaired quality.

c. Adjustable rate mortgage (ARMs) resets also caused many of the problems stateside, but those resets occur much more suddenly in the U.S. By contrast, the closest Canadian product parallel is the variable rate mortgage, but they get constantly repriced so that people aren't caught off-guard years later. Furthermore, in Canada, some variable rate products adjust the principal, not the payment. On balance, the shock effect from payment resets in Canada is nowhere close to what has caused much of the problem in the U.S.

d. Canada’s mortgage equity withdrawal market isn't like the U.S. We've seen secured home equity lines of credit (Helocs) grow in Canada as a way of withdrawing equity, but nothing like the U.S. withdrawals picture. U.S. homeowners’ equity has been in free-fall with mortgage debt growth outpacing housing assets since the early 1990s. Canada, by contrast, retains much higher homeowner equity, and while it may have reached a plateau, the figure has risen in recent years while the U.S. position has deteriorated.

e. Mortgage interest is deductible against taxes in the U.S. It generally is not in Canada. That creates vastly different incentives to leverage oneself in the two markets.

f. The nature of the products has been very different in Canada versus the U.S. Examples of Canadian innovation like long-amortization mortgage products are absolutely nothing like Ninja mortgages. Mortgage innovation was needed in Canada, but has been relatively more conservative.

g. Further to this latter point, long-amortization mortgage products actually extend the Canadian credit quality cycle. Long amortization periods of over 25 years have been dominant as a share of new mortgage originations since the 40-year mortgage was introduced almost two years ago. However, there is still an overwhelming majority of Canadians who face the option of extending from the previously standard 25-year product into longer amortization products in a manner that lowers their payments in the face of shocks. Even though insured 40 year mortgages now banned in principle, 35 year mortgages still provide this flexibility.

h. Investor mortgages were among the first products to default in the U.S. where they account for about 9% of all outstanding mortgages, similar to the UK (9.5%) and Australia (10%). In Canada, however, they are about 2-3% of all outstanding mortgages. There are problems in the investor segment the world over, but the magnitude of the exposure in Canada is far less significant.

i. If there is an imminent problem brewing, then it’s not showing up in terms of industry-wide mortgage delinquency patterns. Mortgages 90+ days in arrears in Canada remain at 27 basis points which is the range around which they’ve been floating since mid-2004. By contrast, even when the country had double digit variable mortgage rates and double digit unemployment rates in the early 1990s, the peak rate of delinquency was about 65 basis points. We’re of the opinion that delinquencies will deteriorate going forward, but will be nowhere close to the U.S. experience.

j. The extent of runaway house price inflation was much more muted in Canada than in many other countries. Canada’s priciest market is Vancouver, and prices have gone up by about 80% since the mid-1990s start of the global housing cycle. London England, by contrast, went up by about 270% over this time period. Canada’s house price appreciation was, on average, significantly below the U.S. experience since then, and much below the experience of many European countries.

4. Canadian mortgages are funded, underwritten, and enforced in a totally different manner

a. Canada’s funding model is completely different from the U.S. The majority of mortgages are held on balance sheet in Canada, with only 24% having been securitized. Thus, much more of Canada’s mortgage book is funded by on-book retail deposits than is the case in the U.S. That also makes the banks more conservative about the products they are originating since they are mostly stuck on balance sheet.

b. Further, the majority of the securitized totals have been done through the CMHC — a Crown corporation with explicit government backing — thus avoiding the problems in the U.S. caused by the ambiguity of GSE liabilities. Other insured securitizations have been done through private insurers that also receive explicit government backing for the underlying assets through the Canada Mortgage Bond program.

c. Furthermore, Canadian financial institutions are not as reliant upon short-term lines extended by other financial institutions. The degree of reliance upon such funding in the U.S. is what caused excessive exposure to short-term swings in market sentiments, not to mention adverse incentive effects.

d. Mortgage-Backed Securities (MBSs) were not placed in off-balance-sheet SIV and CDO structures as in the U.S. So, Canada MBS investors do not face the same heavily leveraged investor risks. This is perhaps the most important point, since origination mistakes in the U.S. were bad enough, but what really caused the problems were dollops of leveraging that occurred after the mortgages were originated.

e. Unlike many U.S. banks, Canadian banks continue to apply prudent underwriting standards. In other words, they have always checked, and continue to check, incomes, verify job status, ask for sales contracts, etc., such that all those questions your banker asks in Canada have a purpose that somehow got lost on many American bankers. The no-income-no-job-no-asset (“Ninja”) style, here-are-the-keys-to-your-brand-new-home lending just didn’t take hold in Canada.

f. Appraisal standards are generally higher in Canada, where appraisals are more likely to low-ball estimates of property value before making the final decision on how much to lend.

g. Finally, enforcement of Canadian mortgages is not as tilted in the borrowers’ favour as it is in the United States. In the U.S., lenders have little recourse — they can take the keys and settle relatively quickly, or sue and go through great expense for a potentially lengthy period. Alberta is similar to the U.S. treatment in this regard. But the rest of Canada provides greater recourse to lenders than in the U.S.

In conclusion, we do believe that the best days for Canadian housing markets are behind us and that lower volumes of new home construction and resales lie ahead alongside further fairly modest erosion of house prices. Calgary and Edmonton are the most exposed in this regard. But, arguing that consequences to the overall Canadian economy and to debt markets particularly in terms of mortgage-backed securities are as severe as they are in the U.S. is way off-base.

553 Alberta Ave - $224,900 - Pick your Carpeting!

noreply@blogger.com (Ben Sage, Sales Representative) — Thu, 02 Oct 2008 17:46:00 +0000

MLS # 60-326

$224,900

http://www.realtor.ca/PropertyDetails.aspx?PropertyID=7487791

This two storey, three bedroom, 2 bathroom home is on a quiet family oriented street in a desirable location, close to schools, shopping, dining, and quick access to highways 401/403. This is an excellent family home, finished with shaker style maple cabinetry in the extra large kitchen, fresh, neutral paints, ceramic tiles, and beautiful hardwood flooring. The large master boasts upgraded pot lights and an absolutely massive walk-in closet. The other two bedrooms are very generous in size, and the second floor laundry eliminates carrying heavy laundry baskets up two flights of stairs! PLEASE NOTE - This house is not completely finished. The Seller will install carpeting on the second floor, and will complete final grading and sodding work on the exterior. The seller will also install under-valance lighting, and valance covers in the kitchen. Alternatively, you can take the house "as is" and finish it yourself! This home is clean and easy to show - don't miss out!

Beautiful Historic Victorian Queen Anne in Highly Sought after Neighbourhood

noreply@blogger.com (Ben Sage, Sales Representative) — Thu, 02 Oct 2008 17:11:00 +0000

MLS # 60-324 - $385,000

DESCRIPTION

This absolutely gorgeous Victorian Queen Anne home has been lovingly maintained and meticulously updated. This circa 1885 executive home is located on the square overlooking Victoria Park in the extremely desirable, prestigious Old North area of Woodstock. You will be just minutes from many amenities, such as highways 401 & 403, Woodstock Collegiate Institute (public high school), Central Public School (kindergarten – grade 8), downtown shopping, Woodstock Art Gallery, Woodstock Museum square, restaurants, Lions Pool, Vansittart Park, the hospital and other emergency services.

HISTORIC SIGNIFICANCE

Originally built in 1885 by Helen and William VanIngen, the ownership lineage of 399 Drew street boasts an impressive collection of professional figures, including William Knowles, longstanding bank manager of CIBC, and E.P Hodgins, principal of Woodstock Collegiate Institute and is currently home to the former proprietors of Currah’s Farm Store, and Woodstock Home Hardware, and of Currah and Company Interior Design and Home Staging.

ARCHITECTURAL DISTINCTIONS

Described as the most elaborate and eccentric Victorian house styles, the Victorian Queen Anne utilizes technologies made less-expensive by the Industrial Revolution. Cut field stone foundation
Full 2-storey L shape, white brick with red brick accents above windows, horizontal parallel lines, dog tooth brick work under windows and along strung course. Gable roof with projecting eaves, decorative wooden vergeboard with center pendant post in gable end over 2 storey bay window, small floor under gable, Flat 1/1 flat double hung windows, A-symmetrical veranda, Original Stained glass window

THE CHARM OF YESTERDAY, WITH THE FUNCTIONALITY OF TODAY

You will be awestruck viewing the fourteen exceptionally large rooms, completed with pristine original trim work, unique ornate corner blocks, 10 foot ceilings, and flawless hardwood throughout. The original plaster walls have been restored and repainted in pleasant neutral tones. The building also boasts such modern amenities as copper wiring with 200 amp service, completed in 1996. Every bedroom, the kitchen, family room, and upstairs office has been wired with Telephone and Cable service. The supply plumbing has been updated with ¾" copper to most of the house. The structure is heated with a High Efficiency forced air gas furnace, and cooled with Central Air conditioning. The triple-brick design and original sash & pulley windows provide excellent insulation. You can live comfortably knowing that the entire roof, including the flat portion, was replaced in 2003. At that time, the chimney was rebuilt as well.
Forget lugging a vacuum cleaner upstairs, this house has a central vacuum system, equipped with two sets of attachments – one for each floor.

Step inside this wonderful home and be amazed!

For more information, to book a private tour, or to design a marketing plan for your own home, please contact:

Ben Sage, Sales Representative
Sutton Group – Right Way Real Estate (2007) Inc., Brokerage
Independently Owned and Operated
Brokerage: 519.539.6194
Agent Cell: 519.532.1295

507 Rideau Rd, Woodstock, ON, MLS # 59-989 $195,000

noreply@blogger.com (Ben Sage, Sales Representative) — Fri, 01 Aug 2008 17:34:00 +0000

Serenity in the city! If you are looking for the ultimate location, look no further. This brick and siding ranch is situated on a quiet dead end street, backing on to undeveloped green space, minutes from the 401/403, close to all levels of school, bus routes nearby, and is a short walk to shopping and restaurants. Fresh, neutral paints virtually everywhere and recently updated flooring on main floor, including living room/dining room laminate, and newer carpeting in the bedrooms. Downstairs you will find a massive rec room with fresh paint and a wood-burning stove. Also note a roughed-in bathroom, huge laundry room, tons of room to finish, and a basement walk-out. This carefully maintained family home is an excellent property in an unspoiled corner of our beautiful city. Don’t pass this one up!

Check the Virtual Tour at http://www.virtualproperties.ca/r8546/
MLS Link: http://www.mls.ca/PropertyDetails.aspx?PropertyID=7343262

Ben Sage, Salesperson. Sutton Group - Right Way Real Estate (2007) Inc., Brokerage
Agent cell: 519-532-1295
Brokerage: 519-539-6194

Preparing your home for a Great Vacation, Courtesy Pillar to Post Home Inspectors

noreply@blogger.com (Ben Sage, Sales Representative) — Wed, 16 Jul 2008 13:36:00 +0000

An empty home is the ideal target for break-ins and burglaries, especially during the summer months. Vacation should be a time to relax and unwind, but the thought of leaving your home and valuables unattended can cause stress and anxiety. Take the time to secure your home before you leave so your mind can be at ease while you are gone.

Below is a list of some of the most important things you can do help make sure that when you return you will find everything just as you left it.

Inform a trusted neighbor that you are leaving town. For short trips request that they pick up and store your mail and paper deliveries.
For longer vacations, call your newspaper service and have your paper delivery placed on hold. Make sure to stop by the post office and request that your home mail delivery is stopped until you return.
Make arrangements for someone to cut the grass, and to keep bushes and shrubs maintained especially around the front of the house.
Inform your alarm company that you are going on vacation.
Turn the volume down on your phone so passerby will not be alerted to unanswered calls. Avoid leaving messages on your answering machine that could alert callers to your vacation status, and turn off the volume.
Automatic timers for your light fixtures are an inexpensive purchase that should be set to your usual evening schedule. Televisions and radios can be put on timers to provide noise.
Leave a car in the driveway if possible, or ask your neighbor to park there occasionally.
Check the locks on all doors, windows, and fences. If you have a garage, lock it, if there is an automatic opener, unplug it.
Leave the blinds and curtains open as if you were home.
The day you leave for vacation try to make your departure as unobvious as possible. For road trips load your car up in the garage with the garage door closed. For airplane travel arrange for early morning or night time flights when your departure from your home will not alert witnesses that your house will be unoccupied.
Prepare for the worst by taking an inventory of your most valuable possessions. Pack jewelry and smaller objects into a safety deposit box.

This information courtesy of Mike Guindon, Pillar to Post Home Inspectors

mike.guindon@pillartopost.com
www.pillartopost.com/woodstock

519-284-0097 519-879-9787 888 211 5546

Housewarming Gift Collaboration with Quiet Crescent Art

noreply@blogger.com (Ben Sage, Sales Representative) — Tue, 15 Jul 2008 12:20:00 +0000

Shelley is a local Woodstock artist who has been retailing her work since 2005. She creates, frames and sells watercolour paintings from her home studio on Windermere Crescent. Her paintings first caught my attention at Craigowan Golf and Country Club where she has several on display. Shelley’s work can also be seen in Woodstock at SixThirtyNine Restaurant, the showroom at Lloyd’s Electric, and RBC Dominion Securities. In London, Shelley has representation at Artistix Gallery.

Shelley’s paintings can be seen on her website at www.quietcrescentart.com

Also, videos of Shelley’s work can be viewed http://www.youtube.com/watch?v=aP5IrSRVhds&feature=user
http://ca.youtube.com/watch?v=3-cK7UQ2zxg

Charm, Character, and Potential Money Pit: Tips on Buying an Old House

noreply@blogger.com (Ben Sage, Sales Representative) — Fri, 23 May 2008 17:25:00 +0000

Here in beautiful Woodstock ON, we have many charming older homes. With older homes, there are no doubt going to be some problems to contend with. This is a great article (reprinted courtesy of www.sutton.com) outlining some of the concerns you could encounter.

______________

For some buyers, it’s hard not to fall in love with the special charm and character that old houses offer such as gabled roofs, hardwood floors, crown moldings, and more. Old homes can also be attractive as affordable fixer-uppers and charming B&B establishments with their unique architecture and Old World craftsmanship rarely found in newer homes. These homes often feature plastered walls, leaded glass windows, and original (antique) chandeliers and light fixtures. As attractive as the property may be, it’s important to consult the experts and be aware of some common problems. No buyer wants to discover that beneath the surface of their dream home lays a dilapidated wreck!

Foundation
One of the most important aspects of any home is the foundation. This is even more important in older homes for two reasons. First, a serious problem called “sulphate attack” can occur as a result of a chemical reaction between the soil and the concrete causing the foundation to crack and crumble. Sulphates occur naturally in the soil and may also build up from lawn fertilizer over the years. Modern foundation concrete is formulated to resist sulphate attack. The second concern with older homes is that the centre beam of the home can begin to sink. The result can be a sagging roof, bowed walls and sloping floors. The remedy for both these problems is expensive and would require jacking up the house to replace the foundation and shore up the centre beam. The cost of these renovations can range from several thousand dollars to $50,000 depending on the size of the home.

Electrical Wiring
Taking a tour of an older property after dark can be an illuminating experience! It’s a great way to find out if there are obvious problems with the state of the electrical and lighting system of the home. Do the lights flicker? Is the current steady or do the lights fluctuate between bright and dull? Is there adequate lighting in the home? Any such problems could indicate faulty wiring or an overloaded circuit. Even if you don’t find any problems, it’s important to have the wiring carefully inspected by a qualified home inspector or an electrician.

Many homes built or renovated from the late 1960s to the mid-1970s used aluminum wiring, which was less expensive than copper wire. Unfortunately, many homeowners discovered over time that aluminum wiring posed a serious fire hazard. Ask your inspector to check for aluminum wiring and, if necessary, factor the cost of rewiring into your offer price.

Also consider whether there are enough outlets in the home to suit the needs of a modern household. Ask your home inspector or electrician if it is possible to safely install more outlets and to run a number of devices at once such as a television, computer, stove, etc.

Galvanized Pipe
Most insurance companies now refuse to cover water damage caused by leaks in a home with galvanized pipes. These pipes rust out sooner or later.

Lead Paint
Lead paint is common in older homes. Lead was used as a white pigment in paint until the mid-1950s. Some paints contained as much as 50 percent lead by weight in the dried paint. In 1976, the federal government passed regulations limiting the amount of lead in interior paint to 0.5 percent by weight (exterior paints may contain more lead). Unfortunately, the affects of this toxic metal on adults and particularly children didn’t end in the 1970s; many old buildings still contain lead paint.

If you are planning to strip the paint in an old home, call in a professional renovation firm or use lead-safe dust masks and goggles. Wear long pants and shirts when working and wash your face and hands thoroughly before eating. Children and pregnant women should not be in the home during renovations. In some cases, new paint has been applied over the old lead paint, in which case, you may not need to remove the old paint.

A home inspector and/or an environmental renovation company should be able to tell you if the paint in a prospective home will be a problem. You can also use home test kits available at many paint, hardware, and home centre stores. To use these kits you would apply a chemical to the paint then look for a colour change, indicating the presence of lead. According to the National Research Council Canada, the most dependable method of detecting lead-based paint is to have a sample analyzed by a commercial testing laboratory. Several samples will have to be taken from different parts of the house. The most reliable laboratories are those certified by the Standards Council of Canada or the Canadian Association for Environmental Analytical Laboratories.

Asbestos
This naturally-occurring mineral makes a very effective fire- and heat-resistant material but unfortunately, in the mid-1970s doctors discovered that asbestos caused lung disease. The tiny particles of this mineral are inhaled deep into the lungs and over a period of years begin to damage the tissues. In old homes, asbestos was used in carpet underlay, textured paints, roofing felt, electrical wiring insulation, acoustic ceiling material, and insulation. Your home inspector can let you know if you have asbestos or you may wish to consult an environmental assessment firm.

Finally, homes are a lot like people—the years eventually take a toll! Things begin to sag and slope. Rather than consulting a contractor, hire a structural engineer to examine your home. They can give you an unbiased assessment of the home’s structure. A structural engineering report is also more detailed than reports by home inspectors. Both types of inspectors should be used when purchasing an old home.

For some buyers, renovations are not a deterrent but a challenge, particularly if they can purchase the property at a good price. To determine the price you are willing to pay, add up the estimated costs to renovate the property based on a thorough assessment of the house. Next, subtract that from the home's anticipated market value after renovation, drawn from comparable real estate prices in the neighbourhood. Your real estate professional can help you determine the market values. Allow for an additional 5 percent for cost overruns and unforeseen problems plus inflation. What’s left should be your offer. If it’s in your price range, you may have the home of your dreams after all.

Residential Sales info

noreply@blogger.com (Ben Sage, Sales Representative) — Tue, 29 Apr 2008 00:59:00 +0000

MLS® resale housing activity in the area served by the Woodstock-Ingersoll & District Real Estate Board reached its third highest annual level ever in 2007.

Activity posted strong year-over-year gains in every quarter of the year. As a result, a nnual sales activity reached 1,287 units in 2007, up 9.3 per cent from 2006 levels. This is just 6.3 per cent below the peak reached in 2005, and one sale short of the second highest level, in 2004.

In the fourth quarter of 2007, seasonally adjusted MLS® sales activity edged lower by six tenths of one per cent compared to the previous quarter, reaching 324 units (seasonal adjustment removes normal seasonal fluctuations).

The market continues to trend toward becoming more balanced. MLS® single detached home sales increased slightly in the fourth quarter of 2007, while active listings declined compared to the same quarter a year earlier. This caused the market to tighten, but the market was more balanced in the fourth quarter of 2007 than during almost any other quarter in the past seven years. MLS® single detached listings spent more time on market before being sold as a result.

The median sale price for MLS® single detached homes rose 7.2 per cent year-over-year to $208,950 in the fourth quarter of 2007.

Single Detached
Category	Q4 2007	Q4 2006	Year-over-year percentage change
Unit sales	184	183	0.5
Median sale price ($)	208,950	195,000	7.2

Information courtesy of the Canadian Real Estate Association.

Spring Maintenance for your Home!

noreply@blogger.com (Ben Sage, Sales Representative) — Wed, 26 Mar 2008 18:32:00 +0000

After the long winter, spring is finally here and this is a great opportunity to take a close look at your home, and what damage might have been sustained. These are some areas of interest you may want to look at for your home:

Roof – Any shingles that are damaged, missing, or loose will need some repair.

Gutters – We have had a tough winter for gutters, with lots of ice damming problems, so make sure that they are secured tightly to the home and that any rust found is either minimized or removed. Also check for holes or leaks that may cause damage now or in the future.

Siding – Any siding that is cracked, warped, split or eroded should be replaced or repaired depending on the extent of the damage.

Mildew and moulds – Mildew and moulds should be cleaned with abrasive cleaners (e.g. bleach-type products) and removed.

Paint – Chipped paint will need to be removed and re-applied with a primer and a coat. Take note of when you paint a certain area of the house because if it is frequent, it may be an indication of bigger problems, and further measures may need to be taken.

Bricks and mortar – Inspection and repair of the mortar and maintenance of the brick walls is vital to ensure that water does not seep into the walls inside the home and cause damage.

Like a car, regular maintenance is very important for the life of your home. Delaying inspections and repairs for minor damages may cause major problems down the road. Keeping your investment well maintained will ensure happy returns.

Not a “do it yourself-er?” Have a problem that you can’t fix on your own?

As a long time resident of Woodstock, and an enthusiastic homeowner, I have met many people involved in the home repair / renovation industry. For recommendations on contractors, landscapers, roofers, painters, and virtually any tradespeople, give me a call at 519-532-1295.

The Market Value Inflation formula

noreply@blogger.com (Ben Sage, Sales Representative) — Sat, 23 Feb 2008 00:00:00 +0000

Can We Give You Some Advice for Pricing Your Home?

When pricing a house, our Real Estate Team definitely does not simply plug numbers in a calculator and spit out a price. There are a few methods that we generally use to determine a fair asking price for your property.

1. Market comparables are used; recently sold houses, expired listings and current market competition.
2. We then weigh the overall quality of the home, the demographic currently buying and their unique needs, and overall market volume in order to assess value.
3. The third method that we use is a Market Value Inflation formula to statistically determine a proper value of your home. This particular formula is fairly specific to our local market within Oxford County and does take the
Toyota impact into consideration.

The Market Value Inflation formula:

Normal market conditions dictate a 2-3% increase in value per year assuming proper renewal has been performed (such as furnace and roof replacement) and good general maintenance. It does not consider major upgrades or renovations. Additionally, we can statistically prove that the announcement of the Toyota plant construction in Woodstock did trigger a 23% increase in property values locally through 2005 and 2006.

For example A house purchased in Woodstock in 2004 for $150,000 could presently be worth $196,000 (as of Feb, 2008) according to the Market Value Inflation formula.

The value of the house increased 30-32%, that is:

23% (the Toyota factor) + 2.5% for the remaining 3 years (Inflationary pressure)

Therefore, $150,000 + $46,500 = $196,000, or, a very good investment!

It is important to note that this formula is not a hard-and-fast RULE for value assessment of property however, it can help you test your own reality and ensure you are prepared for the potential value of your home. It is also a key part of our three step process for market value assessment.

A word about Renovations and “Flipping houses”

A Seller who needs or wishes to sell within 1-2 years of buying will be challenged to recover the costs associated with buying and selling houses (such sales commission, legal fees, moving expenses, etc).

Also, in terms of renovations, you cannot expect to receive dollar for dollar what you have put in to the house. Some improvements are simply considered good maintenance: Ensuring the home is in as good of shape as it was when you bought it, and generally keeping up to date with popular likes and dislikes. Major improvements will of course be considered separately by your Realtor. For example, a seller who has recently invested $10,000 in windows cannot necessarily expect to add $10,000 to the value of their property however, some minor aesthetic repairs and a fresh coat of paint may help the property sell faster, and ideally closer to asking price.

‘Flipping’ a house as a business includes different variables. Normally this is only possible if the house can be obtained though an opportunity to purchase below market value. A flipper must have access to inexpensive products and labour for renovations. Profit is also realized through tax benefits to being in the business of flipping.

This article reprinted courtesy of my team member and close ally, Drew Symons

It's in the numbers - Drew's Review of 2007

noreply@blogger.com (Ben Sage, Sales Representative) — Tue, 12 Feb 2008 23:31:00 +0000

The Numbers Tell the Story - Drew’s Review of the 2007 Oxford County Real Estate Market

It is my plan to blog on a regular basis some of the tangible numbers that tell the story of our Oxford County real estate market. We need to begin today with a review of 2007.

Increase in Volume but not in Average Sale Price
December 2007 was one of the slowest months in recent years with the number of new listings down by 3%. Sales numbers were also down, by 28%, in December 2007 compared to December 2006. Yet, overall, 2007 sales were up 6% from 2006.

Realtors have had concerns that the increase in home sale prices in the last few years would not be sustainable. 2007 did not see the increases of 2005 and 2006. In which time the average sale price grew on average of 23%. Normal increases for real estate should be between 2.5 and 3% each year. That very large jump unfortunately raised expectations among sellers in 2007. As a result, there were 20% more expired listings in 2007 than in 2006. Listings expire for one reason - over pricing.
The average sale price in Woodstock in 2007 was $197,586 for a single-family home. In 2006 the average sale price was $194,253. This is a normal market increase.

The Ingersoll market proved interesting: In 2007 the average sale price was well up at $192,751 above $179,474 in 2006. Local realtors feel we can attribute this to Ingersoll enjoying Woodstock spillover as buyers search for more reasonably priced houses and lower property taxes.

The Toyota spike has come and gone. We have now returned to a pre-2005 market. Realtors are confident that this new reality will provide good opportunities for buyers and reasonable returns for sellers. Drew Symons

Learn more about Drew at www.drewsymons.com and watch this blog for more market updates.

Our Beautiful Office Staff!

noreply@blogger.com (Ben Sage, Sales Representative) — Tue, 12 Feb 2008 23:18:00 +0000

Lets take a minute to introduce the entire office staff here at Sutton Group - Right Way Real Estate (2007) Inc., Brokerage in Beatiful Woodstock Ontario!

Breaking it Down 02 - How to buy a Bigscreen!

noreply@blogger.com (Ben Sage, Sales Representative) — Tue, 29 Jan 2008 15:49:00 +0000

As Promised, here is my Breakdown regarding Bigscreen TV's.

As a seasoned "nerd" I get a lot of questions about technology. Lately they seem to be focused around bigscreen TV's. There is some confusion about how to properly buy a bigscreen, so I'm going to try to demistify the process for you!

Big Screens, Big Questions!

Why do I want HDTV anyway? What IS HDTV?
How Big should I buy?
LCD vs. Plasma: Which is right for me?

Why do I want HDTV anyway?

I'm sure you've all heard of HDTV by now. The acronym stands for High Definition Television, and it is exactly that. Televisions have historically had very little innovation since the invention of colour tubes in 1940. Since then, the real advances in television have been on the supply side - Shifting from Antenna broadcasts, to Satellite, then to traditional cable systems, and new mini-dish satellites, and finally using the internet to distribute television programs.

Sure, companies such as Panasonic and Sony pushed small advances in their Picture Tube televisions (better filters for more colour display, and to cut down on "noise" generated in the transmission stage), but nothing MAJOR has changed in almost 70 years.

Televisions display information at a certain "resolution," much like a digital camera. The more "megapixels" your camera can capture, the higher the detail in the final product. The same is also true of Televisions. They display a certain number of "lines" of resolution. Traditional, old fashioned colour TV broadcasts (on antenna, satellite, or cable systems) consist of a display of 525 horizontal lines, therefore every second, your television draws 525 lines horizontally 30 times, to make up a moving picture. In the 50's, this sounded and looked EXTREMELY impressive. It was so advanced, in fact, that it lasted about 50 years, until the technology to make bigger screens exposed how poor the quality actually is at 525 lines. This is partially why all those "old" projection bigscreen TV's look fairly poor.

Then came High Definition TV. Pushed by the desire for a bigger screen, a format was invented that carries 1080 lines of resolution to your television. The HDTV format also introduces the ability to broadcast SOUND in the Dolby Digital 5.1 format (I will talk about sound in another blog entry!). This format (in its highest form - 1080p) also doubles the "frame rate" of your picture - instead of 30 images per second, it is up to 60 on HDTV - allowing for better display of sports and action packed materials, and equally important, less fatigue on the eyes. The result is a viewing experience that will literally blow you away, like the first time you heard Money for Nothin' on a compact disc, or the first time you talked on the phone in a shopping mall, or in your car. Amazing!

How Big should I buy?

This is the second most popular question people ask. Most of my male friends want to get the BIGGEST set they can possibly afford. While I can identify with that position, size should be determined by the room the television will be placed in.

The general rule of thumb is as follows:

Your sitting position should be 2 - 3 times the size of your screen for maximum enjoyment.

Therefore, if your couch / chair is 10 feet from where your television will sit, you would be looking for a television of approximately 54"

8 ft. = approx 38 - 40"

12 ft. = approx 58"

15 ft. = 72"

You can sit closer (say 2x screen size) to your set if you will be watching mostly high definition content (as you will not notice the imperfections in the picture), but if you are going to be watching a lot of standard definition (many channels and programs are still only available in old-fashioned broadcast formats), you will want to sit a bit further back (3 times screen size). I've used a compromise to factor the optimum viewing distances above.

LCD vs. Plasma: Which is right for me?

This is easily the most popular question asked of me. On the surface, these two display types seem to look nearly identical - but there are several key differences that will influence your purchase.

Whats the difference?

Plasma screens use a layer of tiny gas plasma cells charged by electricity to create a picture. LCD (liquid crystal display) screens are liquid crystal sandwhiched between glass plates. The picture is created by varying electrical charges on the liquid, combined with a backlight for illumination. None of this really matters though, what matters is HOW IT LOOKS!!!

For general home theatre uses, Plasma has a distinct edge. Because LCD pictures are created partially by a BACKLIGHT (a light source shining through the sandwiched liquid crystal plates), there is always some light seepage around each pixel (individual element of colour - millions of these make up a single picture). Because of this, blacks and dark colours do not appear as dark as they could. This affects dark scenes in television shows and movies, as well as the shading of all colours on your screen, no matter what the content.

Plasma also tends to have a better wide viewing angle than its LCD counterpart. Because the LCD television uses layers of glass to create its image, you can experience a "parallax" effect if viewing it at wider angles.

Older LCD televisions had a problem with a blurring image during fast moving scenes, or sports broadcasts. This has been fixed up in most LCD models being sold today. A buying tip is to check the pixel response time on LCD televisions - the lower the number (measured in ms - milliseconds), the better the performance during fast scenes.

LCD screens are able to produce higher resolutions than similar sized Plasma televisions - That means that you can view a high definition broadcast on a smaller set if you buy an LCD television. LCD's also use up to 30% less power than similar sized plasma screens.

The lifespan of an LCD television MAY be longer than a plasma as well. LCD's are guaranteed to function for 60,000 hours, while some plasma displays only claim 30,000 - 50,000 hours. Still, either choice will most likely outlast the technology, as 60,000 hours would last you 20.5 years watching TV for 8 hours every single day.

Conclusion

Buying a bigscreen should be a fun experience. By all means, shop around! Ask salespeople questions! You might find similar pricing from store to store, as most retailers of high end electronics don't make much margin on big-ticket items like Bigscreens and appliances. When it comes time to buy, make sure you get your products from a trusted retailer, with a good warranty or return program, in case something goes wrong, or you are not satisfied with your choice. If you're looking to buy a bigscreen in the Woodstock, Ontario area, send me an email, and I can let you know who MY favourite retailers are, and why!

Email me with any questions, comments, or feedback on this, or any other topic!

(sources, www.wikipedia.org)

"Breaking it Down" - 01 - Introduction

noreply@blogger.com (Ben Sage, Sales Representative) — Sat, 26 Jan 2008 18:59:00 +0000

Hello Everyone!

I am starting a new feature on www.bensage.com in which I will review and explain different technological devices as "plainly" as I can. This feature will be known as "Breaking it Down."

The idea for this Blog theme arose out of an experience I recently had with a client. This client had just bought a lovely older home and really wanted to invest some money into a proper home theatre system for her new place! Like many people, this client was uneducated about current technical advances in the area of flat panel televisions, and wary of retail salespeople (can't blame her for that!!). So I volunteered to help her shop around and find the right combination of picture and sound for her new home. (Stay tuned for my Breakdown of Flat panel technology!)

As an aside, I am more than happy to research whatever needs to be explained, so if you are considering an upcoming technological purchase (digital camera, computer, media player, DVD or Blu Ray, or WHATEVER) shoot me an email and I'll gladly research it and include it in my blog!

As those who know me personally would tell you, I am somewhat of a "nerd", so I generally keep on top of technological advances, but in order to serve my client properly, I did some research at home in the week prior to our "shopping trip." After all, technology moves so fast, you HAVE to be prepared when entering a retail showroom, credit card in hand! (They can smell a sucker a mile away!).

In upcoming blog entries, I will discuss many different technology types - hopefully breaking them down into easy-to-understand terms! As always, suggestions or comments are not only welcome, but appreciated!

B

Real Estate Forms - Explained!

noreply@blogger.com (Ben Sage, Sales Representative) — Thu, 24 Jan 2008 17:55:00 +0000

Here are simple, easy to understand explanations of the pre-printed OREA (Ontario Real Estate Association) Forms. Many people (agents and clients) simply do not understand what the pre-printed portions of these forms are actually saying. Courtesy of the toronto real estate board, here are the simple explanations!

Agreement of Purchase and Sale

Buyer Representation Agreement

Listing Agreement Authority to Offer for Sale

Seller Customer Service Agreement

Buyer Custoner Service Agreement

Confirmation of Co-operation and Representation

Ontario Land Transfer Tax Rebates!

noreply@blogger.com (Ben Sage, Sales Representative) — Tue, 22 Jan 2008 01:13:00 +0000

Ontario Land Transfer Tax Rebate Program - Proposed Expansion to include Resale Homes

In December 2007 the provincial government proposed to amend the Land Transfer Tax Act to include a maximum rebate of $2,000 to first-time buyers of resale homes. There are still several steps within the legislative process before this comes into effect but it will be retroactive to include agreements of purchase and sale entered into after December 13, 2007. It is recommended that anyone purchasing should review the following criteria (supplied by the provincial government web site www.rev.gov.on.ca ) and get their application at the top of the pile! E-mail me for more information about the existing Land Transfer Tax, what the amount will be on your dream home, and for more information on the proposed rebate.

Resale Homes

Until the proposed amendments become law, the following applies to first-time homebuyers of resale homes applying for a refund:

- Land transfer tax must be paid at registration

The following documentation must be submitted to the Ministry of Revenue at the address at the end of this notice:

- Refund applications on resale homes cannot currently be made electronically.

- A properly completed Ontario Land Transfer Tax Refund Affidavit for First-Time Purchasers of Eligible Homes (Resale) form

- A copy of the registered instrument on which land transfer tax was paid (in the case of electronic registration, please include a copy of the docket summary which relates to the transaction);

- A copy of the agreement of purchase and sale (only those agreements of purchase and sale entered into after December 13, 2007 may qualify) along with a copy of the statement of adjustments.

- Refund applications on resale homes cannot currently be made electronically.

- Refund to be Paid once Proposals become Law

- Although eligible first-time buyers of resale homes may apply for the refund once the transaction has closed and the tax has been paid, the ministry would retain the refund requests for processing and would issue refunds if the proposed amendments become law.

Eligibility Requirements

The following eligibility requirements are proposed to apply for resale homes, and continue to apply for newly constructed homes:

- The purchaser must be at least 18 years of age.

- Application for the refund must be made within 18 months after the date of the conveyance or disposition.

- The purchaser must occupy the home as his or her principal residence within 9 months of the date of closing.

- The purchaser cannot have owned a home or had any ownership interest in a home, anywhere in the world.

- A spouse of the purchaser cannot have owned a home or had any ownership interest in a home, anywhere in the world while he or she was the purchaser’s spouse.

What is a Resale Home?

A resale home is referred to as an eligible home in the proposed legislation. It is proposed that eligible home be defined as follows:

- a detached house

- a semi-detached house, including a dwelling house that is joined to another dwelling house at the footing or foundation by a wall above or below grade or both above and below grade;

- a townhouse;

- a share or shares of the capital stock of a co-operative corporation if the share or shares are acquired for the purpose of acquiring the right to in-habit a housing unit owned by the corporation;

- a mobile home that complies with the Canadian Standards Association Standard CAN/CSA-Z240 Mobile Homes and is suitable for year round permanent residential occupation;

- a condominium unit;

- a residential dwelling that is a duplex, triplex or fourplex;

- a partial ownership interest as a tenant in common of real property if the ownership interest was acquired for the purpose of acquiring the right to inhabit a housing unit forming part of the real property;
a manufactured home that is manufactured in whole or in part at an offsite location, that is intended for basement installation, that is suitable for year round permanent residential occupation and that complies with,
the Building Code made under the Building Code Act, 1992;
if the manufactured home is constructed in sections that are not wider than 4.3 metres, Canadian Standards Association Standard Z240.2.1 Structural Requirements for Mobile Homes and Canadian Standards Association Standard Z240.8.1 Windows for Use in Mobile Homes, or
if the manufactured home is constructed in sections that are 4.3 metres or wider, Canadian Standards Association Standard A277 Procedure for Certification of Factory Built Houses; or;

- any other residential property as may be prescribed.

Hello World!

noreply@blogger.com (Ben Sage, Sales Representative) — Fri, 18 Jan 2008 00:09:00 +0000

I've just set up my blog! It even seems to be WORKING!!!!!!