Barrie, ON

As we reached a point early in 2008 where Canadian news media began to report that we too were now seeing the symptoms of recession in our own economy, Realtors began to wonder how bad it might get and just what the business of Real Estate was about to endure.

My expectations were that in the event of a full blown recession we were going to begin seeing homes listing far faster than they could sell and the result of that increased inventory would drive down the price of homes in general.

Well we never really saw that happen here in Ontario. Instead what we saw was many would be buyers and sellers adapting a wait and see position. Buyer activity slowed towards the end of 08 and was late to pick up again in 09. By June of 09 sold signs were appearing with more frequency on dated listings all around the Barrie area and buyers were now taking advantage of the record low interest rates on mortgage money being offered.

In many ways our recession here in Canada felt like the winter pre storm warnings we are used to getting every year that threaten to see us buried under a paralyzing layer of heavy snow but instead give us a light dusting.

That isn't to say we got off scott free. The majority of sales activity now and for all of this year has been homes selling under $300,000. In the past 30 days there have been 284 residential sales registered with the Barrie Association of Realtors, only twenty percent or 59 of those sales were of homes over $300,000. There are as of the time of this post, currently 833 active detached listings which are at or above the $300,000 mark and 632 listed in the more active range below $300,000.

We still have an active first time buyer market that is responsible for much of the activity in the lower price range. Homes above $300.000 generally sell to those who have built up equity from a previous home purchase to work with. With the scent of recession still lingering, far fewer are trading up, though this is one of the better times financially to make such a move.

So where are the bargains? Well it isn't in the first time buyer range, these homes are still selling within reasonable time frames at healthy list to sell price ratios. Townhouses continue to increase in value as are condo's and detached homes in this range. The bargains are to be found in the higher priced homes.

If you have out grown your starter home but are waiting on the final seal of approval from the media that the economy has fully recovered you have to ask yourself why. If job uncertainty is an issue for you then holding tight on that move up to a more expensive home is understandable.

Otherwise you are likely in a home that has continued to appreciate in value on through the past year, mean while the higher priced homes you have your sights on are taking far longer to sell which in many cases is going to puts you in the drivers seat at the negotiating table. Many sellers in this range are anxious just to make a deal. A sacrifice on price is going to appear more attractive to many than chancing another six months on the market before the next offer comes, more so if that home is and will be sitting vacant until it sells.

If you want to know were to look for the hidden bargains the $300k plus market is where you are most likely to find them..

In addition, and even of greater financial significance to you is the fact that interest rates are still at all time lows right now. A rise of just one percentage point on a $300k mortgage means a difference of about $200 each and every month which works out to over $12,000 for just the first five year term on a 25 year mortgage! Again that's just a one percent difference.

Much like the stock market most wait until the frenzy to decide to buy when prices are on the climb once again and interest rates are no doubt adjusting back to their higher levels. Today's posted variable rates are sitting just over 3%. The average rates over the past 25 years in Canada have been between 6 and 7 percent.

My prediction is Barrie's inventory of higher end homes will see healthy value increases over time for the following reasons.

• Barrie has very little undeveloped residential property left within its boundaries
• There is demand from the public and preassure by the province for Barrie to build higher density, lower cost housing on its remaining undeveloped residential lands. https://www.placestogrow.ca/index.php
  
• Central Ontario's economy will continue to grow creating increased demand for quality housing in Barrie.

Do the math. Then decide what its worth to you to make your move.

To keep yourself up to the minute on home lisings in your price range of choice visit HotBarrieListings.com

To those looking into the Barrie townhome market for the first time, navigating your way around can be a bit confusing. For instance, what’s the difference between a condominium townhome and a freehold townhome? And why are some called ‘townhomes’, while others are referred to as ‘townhouses’?

In order to clarify things a bit for those in unfamiliar territory, here are the basic differences.

First, the easy one: ‘townhome’ or ‘townhouse’? These terms are used interchangeably, and mean the same thing, but the term I prefer to use with my clients is ‘townhome’, because it’s not just a building I’m referring to – it’s your potential new home. This building will become your personal space, where you go to escape, raise your family, and live your life.

Now for the main difference between condominium and freehold townhomes: freehold townhomes are those for which you pay no monthly fees, and are responsible for all maintenance like shovelling snow, mowing the lawn, etc. Condominium townhomes include a monthly maintenance fee, but the trade-off is that you don’t need to worry about cleaning the pool, or maintaining your driveway in the winter or lawn in the summer – it’s all looked after for you.

If you’re a professional or retiree who just doesn’t have the time or interest to invest in the upkeep of a house, a condominium townhome might be a good option for you.

Affordable luxury

Whichever you choose, both freehold and condominium townhomes in Barrie usually offer upgrades and amenities that are often cost-prohibitive when looking at a detached home. Items like ceramic or hardwood floors, upgraded cupboards, granite countertops, and whirlpool tubs are just a few options that generally have a large price tag attached to them in detached homes, but are often more affordable in a townhome. It boils down to value for your money, and the lifestyle you want.

An appreciable investment

Like a detached home, townhomes are an investment that will (or should, depending on the market conditions) appreciate in value. And, again like a detached house, the more amenities and upgrades the townhome has, the higher the resale value.

When it comes right down to it, choosing a freehold or condominium townhome in Barrie is simply a matter of personal choice based on lifestyle and affordability.

Stephanie Adams is a Sales Representative at Royal LePage Barrie (First Contact Realty) specializing in Barrie Condos and townhomes. Stephanie is part of the Barrie Condo Team.

The final deadline for the federal Home Renovation tax credit is closing in. You have until February 1st 2010 to take advantage.

The Home Renovation Tax Credit applies to eligible expenses of more than $1,000, but not more than $10,000, resulting in a maximum non-refundable tax credit of $1,350 [($10,000 - $1000) x 15%]. The Home Renovation Tax Credit is subject to Parliamentary approval. You can claim a non-refundable tax credit on your 2009 income tax return. This tax credit is based on eligible expenses incurred for work performed or goods acquired after January 27, 2009 and before February 1, 2010. Only agreements entered into after January 27, 2009 and related to a qualified dwelling are eligible.

http://www.actionplan.gc.ca/eng/media.asp?id=1531

media release from BDAR President, Wendy Elzner.

Home sales activity remains strong in August

MLS® home sales activity in August 2009 was up from year-ago levels for the third consecutive month in the area served by the Barrie District Association of REALTORS® Inc. Meanwhile, active and new listings continued retreating from elevated levels.

According to statistics provided by the Association, MLS® home sales activity totalled 394 units in August 2009, jumping 12 per cent from the same month last year.

“August was another strong month for sales,” said Wendy Elzner, President of the Barrie and District Association of REALTORS®. “New listings also remain down from levels recorded last year, which continues to firm up the market.”

The total dollar value of MLS® residential property sales amounted to $103.7 million in August 2009, 11 per cent above year-ago levels.

Total MLS® sales activity in the Barrie region numbered 403 units in August, rising 12 per cent year-over-year. The total value of all MLS® properties sold in August 2009 was $106.1 million, 10 per cent above levels in August 2008.

The year-to-date MLS® residential average price for home sales in August 2009 was $262,692, down 0.7 per cent compared to the same period last year.

New residential listings numbered 608 units in August 2009 to the lowest level for this month in five years. New listings declined 10 per cent year-over-year, making it the third double-digit decline in as many months, and the fifth consecutive month in which the number of new listings was down from year-ago levels.

The number of active residential listings on the Association’s MLS® System dropped 10 per cent year-over-year to 1,845 units at the end of August 2008. This is the third consecutive double-digit decline in the number of active listings.

The number of months of inventory edged up to 4.7 months in August, compared to 4.1 months in July, but remains well below levels posted earlier this year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

The Barrie and District Association of REALTORS® Inc. covers a geographical area that includes the City of Barrie and part or all of the surrounding townships, including Springwater, Oro-Medonte, Innisfil, Essa, Bradford-West Gwillimbury and Clearview. The Association provides continuing education, Multiple Listing Service® (MLS®), statistical information, and many other services to its members

Barrie Home Stagers are always up for a creative challenge! When a Barrie agent came to us looking for a way to overcome the issue of privacy in a house that was going on the market for the second time, we couldn't resist the opportunity of turning the most negative feature of the house into a stunning focal point that the homeowners were proud to show off to any potential buyer in the local Barrie market.

Before the transformation, Barrie buyers were faced with a good sized deck in excellent condition but with an obvious concern - it was very open to the surrounding neighbourhood including the local traffic on the street behind. It was the number 1 feedback to the agent and the reason why the house just wasn't selling.

To increase the useable square footage of the house, highlight the indoor/ outdoor lifestyle potential and create privacy, Barrie Home Staging company, Kristin Kelly Design Solutions (www.kristinkelly.ca) had a winery gable built onto the existing deck for both practicality and decoration. We added a few hanging baskets of seasonal flowers for colour and the rest is history. The issue of privacy was no longer and the house sold after the first Open House.

Built by: R Klein Construction, Barrie

Winery gables are a smart and inexpensive way to create privacy to your outdoor area. A winery gable frames the open space and provides a visual screen that obscures the view from the oustside whilst keeping the area open and airy. Here are some tips on achieving a look to suit different homes in and around Barrie.

•· Choose materials that blend in with the existing style of the home. Wood can be left in its natural state or painted to match in with the exterior of the home.

•· Construct a winery gable in steel or aluminium to complement a more contemporary home.

•· To add architectural interest, personalize the gable section with lattice, cut-outs or curved features.

•· Attach decorative hooks and brackets for hanging plants or other decorative items - the sky is the limit.

•· Decorate according to the season: Hanging baskets with flowers or edible herbs in Spring, Glass balls or stained glass hangers in Summer, Wreaths and vines in Fall, Twinkle lights and ornaments in Winter.

Concept and Design: www.kristinkelly.ca