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Updating your House for the Spring Real Estate Market

If you are hoping to have an edge over the competition as you prepare your house for a spring market, the answer may be in the interior design niche. This season has brought in new, exciting trends, many of which can be easily implemented into your home, giving your house a fresh, new look that will be appealing to prospective buyers.

Back to Nature

If you think you are seeing an increasing trend towards succulents, organic cottons, and all-natural, rustic decor, you are not wrong. 2018 is showing an increase in the natural side of decorating and design, encouraging homeowners to use environmentally-friendly materials and buy eco-conscious furniture, fabrics, and household items. The importance and value of this is incredibly clear when it comes to buying real estate in Collingwood and along the inlets of the South Georgian Bay.

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Bring in Colour

This year is all about the moody, deep, and bold colours, which encourage you to make a statement in your rooms and throughout your house. PPG has dubbed their colour of the year to be a deep indigo hue, while Pantone's colour of the year, Ultra Violet, is similarly dramatic. No longer are we destined to rooms of neutral greys, whites and creams, but instead, to paint and decorate with a bold colour and a confident colour scheme. Introduce these hues in a room in your house before you sell, and show your future owners the true potential of the home as they are greeted with assertive accent walls and well-composed design.

Minimalism

The trend toward minimalism began in 2017, gaining momentum with the Hygge movement. Now, a year later, it is stronger than ever, encouraging owners to fill their home with functional items, adopting a "less is more" attitude that favours simplistic living spaces and less clutter. Adopting this attitude is a big drawing point to potential buyers who enter your house, as excess chaos and disorganization in a home is a turn off to future owners.

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Make it Unique

With the increase of "cookie cutter" living spaces that are available on the market – think subdivisions, condominiums, apartment complexes – new homeowners want something different. They want something that can be their own, and more than that, which they feel like they can turn into their own. As a seller, you have the ability to create a unique home that they want to buy, but also to show off the potential of what it can be turned into. Start with the bold colour palette, like above, and then go outside the box: think modern meets rustic; traditional meets contemporary; a mix of new and old. Indeed black and white and velvet are making a comeback, so there is lots of room to play with the current design of your South Georgian Bay home and set it up to the best it can be!

Now that you have your decorating done, it's time to sell your property! Visit LocationsNorth.com to get your your house on the real estate market this spring!

New Changes Espected to come in 2018 - The Canadian Mortgages

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For some time now, the real estate sector in Canada has been experiencing a lot of uncertainties with a lot of players flocking the market with an aim to maximize their wealth. There has been a wide outcry by a lot of residents, especially in Toronto and Ontario about the constant and intense increase of the house prices. In order to regulate such practices and generally scale up the real estate sector, new rules, and regulation that are set to be implemented come January 2018 have been introduced and a lot of investors are yet to come to terms with a majority of these regulations. To shed some light on that, this article will take you through the new changes with Canadian mortgages for 2018.

Minimum Qualifying Rate/ 'Stress test'

A stress test is a condition that requires any person interested to invest in real estate Canada to be charged a mortgage rate at the greater of; the 5-year benchmark rate that has been set by the Bank of Canada of 4.89% or 2% points in addition to the negotiated rate. Initially, only individuals with less than 20% were required to go through the test. However, come 2018 things will be a bit different as even those potential buyers with more than 20% will be required to go through the stress test before they can be given the loan.

What effect will this new law like to have on the home buyers.

First of all, the new homeowners are the one likely to be affected more when this new law start to be implemented since their purchasing power will be slightly impaired since regardless of the deposit the will be willing to put, they will still have to go through the stress test. Mathematically, their purchasing power will be reduced by a rate of about 20%. This means that in the coming days the number of real estate homeowners is likely to slightly decrease which will make it much easier to control the real estate market.

Loan to Value( LTV) measurements.

The new Canadian mortgage that is set to start in 2018 requires the Mortgage lenders/banks to adjust their loan to value limits to include the aspects of risk responsiveness. The LTV will be updated time to time as the real estate market grow and also considering the general economic growth. However, it's important to note that the credit unions that engage in mortgage loans and the private banks will not be affected by this policy.

What effect will this have on Canadian mortgage operation?

This policy has specifically been introduced to protect the interests of the mortgage lenders by ensuring that they set up organizational strategies meant to reduce the risk associated with the mortgage loan. However, this policy has not got the lenders by surprise since most of them already have a mechanism in place to mitigate the mortgage risk and to evolve with the changing dynamics. On the other hand, the credit unions and private mortgage lenders now have a chance to capitalize on this chance to make sure the boost their operations accordingly though with a lot of caution.

Ideally, these are the two primary aspects that the new Canadian mortgage policies are set to cover. The primary objective is to protect the interest of their citizens and to change the face of the Canadian real estate market. For far too long there has been a lot of freedom and loopholes which investors have been swift to exploit to maximize their wealth. As we await more details on how the government intends to implement this crucial addition to the real estate sector, anybody planning to buy or build a home anytime from January 2018 need to go through these policies and seek further clarification from an expert on something that may not be clear to them. For the lenders, you have to alternative but to start changing your organizational policies to include the new addition.

In conclusion, it's important to note that the government is not trying to discourage real estate investment in Canada. The new policies are only meant to streamline the sector that has been facing a lot of uncertainty lately and control the mortgage lending rates in the country. In essence, the new policies are just meant to complement the existing mortgage lending law and regulation in Canada.

Enjoying your retirement years!

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Although many homeowners may enter into an initial property purchase with the perspective of remaining in the house through their retirement years, a number of individuals often find that those later years can be the ideal time to look at Condos for Sale in retirement communities such as Owen Sound and Collingwood Ontario. This decision can be monumental, as it may mean selling a family home and downsizing to a more manageable residence. However, property purchases in retirement can also be a good way to raise equity and maintain financial freedom for your retirement years.

For some buyers, the transition to a new smaller home or condo during retirement can be a planned accommodation. The desire for a like minded community, the ease of a townhouse, and the proximity to recreations can all be motivations for this choice. This can also be an aspect of long-term planning that has been in consideration for years, which can facilitate finding the idea condo in a perfect community.

While established condo developments which are geared towards a more mature population can be the answer for a number of buyers, others may prefer locations based on the pastimes that can be enjoyed while retired. For individuals who prefer diverse communities with good amenities, the choice of a new condo can be an enjoyable process of exploring new options for retirement.

Making a checklist of needs and desires for the new residence can be a good way to start your search. This establishes priorities and also allows for a visual confirmation of all the requirements for a new condo. The result is that buyers are more likely to find property options that they can fully embrace, rather than a second home that is a compromise.

Investing in the Retirement Lifestyle
Another great option that buyers have in their retirement years is the chance to acquire a second property as an income source. This course of action can be particularly fitting for people who do not want to give up the family home, but also know that they can no longer fully maintain the property. In these cases, the new home can become the primary residence, while the second home is rented out.

Other buyers may simply wish to acquire a second property solely for the purpose of investment. In these cases, it can be extremely important to decide on purposing in advance, as managing a commercial property can be quite different from a residential rental. These options can also be further discussed with a real estate agent that specializes in the Collingwood and Owen Sound real estate markets, in order to find the best course of action before you begin fully enjoying your retirement years!

Canadian Real Estate Market Trends

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The house prices in Toronto and its environed continue to rise with April recording highest increase of 3.6 percent. May recorded a 2.2 percent increasing reaching another record high for 16th consecutive months. Homeowners in most major markets including the Greater Toronto area have put their homes for sale as they rush to cash from the soaring prices before the market peaked.

Studies by the Canadian Real Estate Association reveal that the Barrie and the Greater Toronto and its environ saw all-times high listing last month. In Peterborough and Kawarthas region, the listing rose by 32 percent in Match, while in the Kitchener-Waterloo area the number of houses that entered the market rose by 18 percent.

To cap the market, the Ontario government has come up with laws to help cool down the overheated housing market in the Toronto region and the broad crescent of the province surrounding Toronto. The new law imposes a 15 percent tax for any foreign buyer who purchases homes in the Golden Horseshoe region. The law has been widely debated as the economist argue that the move by most home real estate investors to list their houses is likely to cool off the ever-rising house prices.

According to some economic analysts, it is still too early to predict the full impact of the new Ontario housing measure. However, it is clear that it is likely to bring a cooling effect on the market as most buyers are likely to sense a looming correction that could be coming. What we now need to rethink is the sustainability of the cooling effect as the demand seems to be ever growing.

Some economist argues that the new policy announced in April will help to improve the inventory of house for sale after the long severe supply shortage. About a month since the enactment of the new house buying policy, sales in most of the market has gone down, which is a clear indication that the market has started to cool down.

Due to the fact that the new listing is rising and the demand is going down, the market is likely to cool down soon. However, the effect of the federal law is likely to bring temporary changes as the market will eventually adjust. The law is only important in balancing the price growth pace in the housing market. The housing policy is likely to kick-start the soft landing, while high mortgage rates will help to solidify the effect.

How to determine what Collingwood Homes will sell for on todays Real Estate Market

Collingwood Real Estate Market Analysis
Pricing your home is both an art and a science. It is probably the most important decision you and your Collingwood REALTOR® will make. To be comfortable setting the listing price for your home, consider these key factors first.

1. Imagine You Are The Home Buyer -- Most of todays home buyers will look at your home with impersonal and calculated eyes. They will not have an emotional attachment or your personal interests in mind when they make an offer. Regardless of weather the overall market favours the buyer or seller, the buyer will want your home at a fair market price. They are not considering how much you paid for the home, the value of the memories that you have in it, how much cash you need for to close on your next home, or how much time and money you have invested in your home's landscaping, bathroom updates, painting or other improvements. When you first decided to place your home on the Collingwood real estate market, it is no longer your home. It belongs to the buyer with the best offer for you. Emotional detachment from your home will help you see your home the way a buyer will be looking at it.

2. Begin with CMAs -- Invite a few local Collingwood real estate agents to work up a CMA (Comparative Market Analysis) for your home. A CMA compares the price of homes recently SOLD, homes that were on the market but did not sell, and homes for sale in Collingwood currently on the market to give you and the agent an idea of how to price your home accordingly. Ask the agents you have selected why each particular home was included on their CMA. Have a list of questions and compare the answers you get from each agent. As you will find out, a CMA will show you varying prices for what each agent thinks your home is worth. Look for what seems to be a reasonable price. Some Collingwood real estate agents will want to price your home below market value, looking for a quick sell or what is called a bidding war. Some will overprice it looking to play on your hopes that your home is worth more than it really is, but an overpriced home will sit on the market longer and will likely need to be reduced later. Most REALTORS® will provide you with a home value estimate or Comparative Marketing Analysis (CMA), it as good idea to go with the right Real Estate Agent who has plenty of experience pricing homes in the Collingwood area.

3. Consider a Professional Appraisal -- A CMA will give you a good idea of the value of your home, especially if the agent is familiar with pricing homes in your neighbourhood. However, for several hundred dollars that it usually costs to purchase a professional appraisal, the money could be well spent for several reasons. If the CMAs you get from the real estate agents are not reasonably consistent, you might want to get an totally unbiased view point, one that you pay for. An appraisal of your home will make clear anything that may be wrong with your home and it adds an additional layer of assurance for prospective buyers. Appraisers rely on in-person inspections of your home, recent sales of like-homes in Collingwood, and other data to arrive at their opinion of your homes' true value. The report you receive from an appraiser is more detailed than a common CMA. The appraiser's report is a full-blown description of your home and the criteria used to formulate the valuation.

4. Research on your Own -- You can research several ways. Stop by homes for sale in Collingwood and pick up a flyer. Spend an hour or so on the Internet looking at homes with the same square footage, bedrooms, and bathrooms. Finally, visit open houses around your home and make an impartial assessment of how those homes compare to your own in terms of condition, location, size, ages, and upgrades. As you visit the open houses, make an honest assessment. Given similar condition, age and square footage, would you buy your home or the home you are touring?

5. Price per Square Foot -- Some agents may want to price your home solely on price per square footage. While this is an industry standard way of calculating home prices, there are many other tangible aspects that go into your home's price. The average price per square foot in your neighbourhood should be the starting point for setting your home's price.

6. The Collingwood Real Estate Market -- Consider the overall housing market in Collingwood. Are the home prices moving up over time? How long do homes stay on the market before they are sold or withdrawn? Where are the interest rates? Is the overall economy in Collingwood Ontario strong or weak? Are employers hiring or are they overly cautious of bring on new employees? Are builders actively building new homes? Will you be entering a buyer's market or a seller's market.

7. Determine your Selling Costs -- There are many costs involved in selling homes in Collingwood. Do not shy away from getting to the bottom line as this is essential information. Use a variety of mortgage calculators and financial calculators to understand various financial scenarios. You will want to be prepared for the flexibility you have in your budget. Know how much your real estate agent charges in commission; understand how much they take for themselves to market your home and how much is offered the buyer's agent. Estimate what your closing costs will be, along with the amount of money it will take to spruce up your home, pack, move, and purchase that new home.

8. Flexibility and Options -- Both you and the home buyer may have needs that go beyond the bottom-line. If you are willing to close escrow quickly, you will attract more buyers who want to move in right away. A lease-option can help first-time buyers who need down payment assistance. If you can offer seller-financing, your home will appeal to buyers who need to stretch their financial resources. The more creative and flexible you can be in meeting the buyer's needs, the more success you will have in pricing your home and selling your home. If your home has been on the Collingwood real estate market for a while, can you offer a point or two back to the buyer to help with closing costs or needed repairs?

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