Real Estate West Kelowna REALTOR®: July 2012

Wednesday, July 25, 2012

New Round of Tightening - Canadian Mortgage Regulations kicks in July 9th.

On June 21^st, Canada’s federal government announced a further tightening of Canadian mortgage regulations effective July 9^th. In the announcement, Finance Minister Jim Flaherty stated that the new regulations were introduced “to keep the housing market strong, and help to ensure households do not become overextended.” Changes include the maximum amortization period being reduced to 25 years from the previous 30 years. Also, the maximum amount of equity homeowners can take out of their homes in a refinancing is being reduced to 80% from 85%. These new mortgage regulations echo earlier reductions of amortization period and lowered refinancing maximums that came into effect last year.

Although the changes have been endorsed in the media by Canada's big banks, including TD and Bank of Montreal, the Canadian Real Estate Association (CREA) urges the government to carefully consider the impact of further interventions in the market. It is well known that housing is a key driver of the economy. In fact, according to CREA, re-sale housing will add an estimated $20 billion in spin-off spending and over 165,000 jobs to the Canadian economy in 2012. CREA also cautions the government to closely monitor the impact of these measures to ensure they have the desired effect without slowing the economy.

Meanwhile, the Canadian real estate market remains balanced, and Canada continues to enjoy near-historic low interest rates. The dream of homeownership remains in reach for a large number of Canadians. While the reduction in maximum amortization period may affect some buyers, there are many who will not be impacted by the changes. Others who may have planned to amortize their mortgage over a 30-year period have several options, including saving for a larger down payment, choosing a slightly lower-priced home in their target area, or consider trading location for commute. There are a variety of options, and buyers should work with their local Coldwell Banker© real estate professional to find the solution that’s right for them.

I am the GUY that will make a difference!

I specialize in selling homes in the in the Okanagan Valley including Westbank, West Kelowna, Peachland with a focus on Rose Valley, Lakeview Heights, West Kelowna Estates and Shannon Lake.

Karen Guy, REALTOR®
Coldwell Banker Horizon Realty

C 250.878.3605 O 250.768.8001
http://www.connectwithkaren.com/

Wednesday, July 11, 2012

What makes a good neighbourhood?

There’s an old saying that ‘the three most important things in real estate are location, location, location. But what makes one community more desirable than another? Often, it’s the visible aspects of the neighbourhood such as pride of ownership in well maintained houses and clean, tree-lined streets. Sometimes it’s the intangibles: a look or feeling you get while driving down a street. When you’re house hunting, it’s important to remember that when you buy a home you’re also buying the neighbourhood.

Your home is probably the single largest investment you’ll ever make. So, it’s wise to buy in an area that is stable and has a good reputation. A community’s reputation is based on many factors, including close proximity to a thriving economic centre. Look for good schools and easy access to public facilities such as libraries, parks and recreation centres. Also consider commute time: how long will it take you to get to work? Remember not to make that decision based on how long it takes to make the drive to view the house, but actually during rush hour. Are you the type of person who doesn’t mind an hour’s drive each way to work? Or do you prefer to take public transit?

Before you purchase a home, it’s a good idea to check with the planning and zoning departments at city hall for proposed developments in the area. If you’re looking for a quiet area away from the hustle and bustle, you’ll want to know if there’s a proposed shopping mall going in at the corner. Or could there be an office tower slated to back up against your backyard?

The resale potential of the neighbourhood is important too. Your Coldwell Banker sales representative can create a report for you, showing the properties listed and sold in the area, and discuss the potential for appreciation in property values.
Try to get a sense of the community before you move in. Make several trips to the area you’re considering. Visit on different days of the week at different times of the day and night. Do you like what you see? Do you feel comfortable? Talk to residents—they are a wealth of knowledge about the area amenities and the community spirit. Read a few issues of the local newspaper to get up to date on current initiatives and developments. You might even want to visit the local library or community center to get an overview of what’s going on in the area.
You can rely on your Coldwell Banker sales representative to be a fountain of information too. Then, when it comes time to buy your first house, you’ll choose a community where you’ll feel right at home.

Friday, July 6, 2012

The Okanagan-Shuswap Housing Market Ends Second Quarter With Double Digit Gains

July 5, 2012

Kelowna, BC – The Okanagan Mainline Real Estate Board (OMREB) reported June 2012 sales activity of all MLS® property types showed marked improvement compared to the same month last year and the first half of 2011, as the housing market shifts into more balanced conditions and records double digit gains during the second quarter of this year.

“During the past three months straight, the Okanagan-Shuswap has experienced a marked increase in sales activity -- leveling off a bit in June (15%) compared to May (19%), as thoughts turned to the end of school and family vacations. Renewed buyer interest and consumer confidence are still on the rise and expected to see ongoing improvement as summer unfolds,” says Rob Shaw, an active REALTOR® in the North Zone and OMREB President.

“While the market has softened in the Lower Mainland, the Interior continues to see the greatest growth in unit sales and the Okanagan is now leading the province,” Shaw notes. “Sales activity in all three zones and in most segments has strengthened. June saw significant improvements in apartment and townhouse activity throughout the Board area, and single family residential sales remained strong. Total residential sales year-to-date have improved over 2011 – up 12.4% in the North Okanagan, 8.6% in the Central Okanagan, and 6.8% in the Shuswap.”

Shaw reports, “Overall sales were the strongest in the Central Okanagan in June with a 17% improvement over 2011, and with gains of 49% for apartments and 43% for townhouses. In the Shuswap, total units sold picked up 14%, while the apartment segment jumped from zero sales last year to 8 this month, and rose dramatically (230%) year-to-date with 33 units compared to 10 in 2011. The North Okanagan saw a 9% increase in overall sales this month with apartments showing the biggest improvement – up 38% compared to units sold last year at this time.”

pages