Monday, April 23, 2012

Reduced to $255,000

912 Observatory
Built in 1919, this heritage home sits on a superb lot in a desirable Uphill neighbourhood that offers views of Kootenay Lake and surrounding mountains.. Currently a comfortable residence but it is ready for some work. There are however plenty of rewards for undertaking this project. Great views, a good floor plan and a fantastic fenced yard are already there. Those with a green thumb will love the level yard which features fruit trees, a garden area and great sun exposure. It is also close to schools, parks and all of the City of Nelson's many amenities. Start the renovation today or enjoy this affordable 3 bedroom heritage home as it is. If you are ready to uncover this Victorian homes hidden character and complete its restoration then call today to book your showing. 

Tuesday, April 17, 2012

No March Madness Repeat in March 2012

The British Columbia Real Estate Association (BCREA) reports that the dollar volume of homes sold through Multiple Listing Service® (MLS®) in BC declined 26.5 per cent to $3.8 billion in March compared to the same month last year. A total of 6,882 MLS® residential unit sales were recorded over the same period, a decline of 20 per cent. The average MLS® residential price was $545,959 in March, 8.1 per cent lower than in March 2011.

"The spike in consumer demand recorded a year ago was not repeated last month,” said Cameron Muir, BCREA Chief Economist. “A marked increase in high-end home sales a year ago pushed up unit sales and skewed average prices higher, so it’s no surprise to see fewer home sales and lower average prices in March of this year."

Year-to-date, BC residential sales dollar volume declined 17 per cent to $9.2 billion, compared to the same period last year. Residential unit sales dipped 12.7 per cent to 16,724 units, while the average MLS® residential price edged back 5 per cent to $552,785 over the same period.

Copyright BCREA reprinted with permission

BCREA Housing Market Update (April 2012)

BC Real Estate Association (BCREA) Chief Economist Cameron Muir discusses the March 2012 statistics.

National Resale Housing Activity Higher in March

According to statistics released April 16, by The Canadian Real Estate Association (CREA), national resale housing activity edged higher in March 2012. Highlights:
  • Home sales rose 2.5% from February to March.
  • Actual (not seasonally adjusted) activity stood 1.6% above levels in March 2011, the smallest year-over-year increase since last April.
  • The number of newly listed homes eased 0.3% from February to March.
  • While still well balanced, the national housing market tightened due to the rise in activity.
  • The national average home price edged down 0.5% on a year-over-year basis in March.
Sales activity over MLS® Systems of Canadian real estate Boards and Associations rose 2.5 per cent from February to March 2012. The increase lifted national activity to its highest monthly level since April 2010.
Activity in March was up from the previous month in two-thirds of all local markets, with Toronto, Calgary, and Edmonton contributing most to the national increase.
Actual (not seasonally adjusted) activity stood 1.6 per cent above levels in March 2011, the smallest year-over-year increase since last April. It reflects moderate gains in a number of major centres, including Toronto, Calgary, Montreal, Ottawa, and Quebec City. Increases in these housing markets offset larger declines in Vancouver and the Fraser Valley, where activity last year ran at unusually strong levels.
A total of 108,373 homes traded hands in the first three months of the year. This is 5.0 per cent above the five-year average for first quarter sales, 3.8 per cent above the 10-year average, and 4.4 per cent above activity in the first quarter of 2011.
New listings were little changed following their uptick in February, having edged lower by 0.3 per cent on a month-over-month basis in March. The number of newly listed homes declined from the previous month in just over half of all local Canadian housing markets, and rose in almost all of the remainder.
“The spring housing market is off to a good start,” said Wayne Moen, CREA’s President. “The number of sales and newly listed properties are up from levels last year, and the vast majority of housing markets remain balanced. That said, all housing is local, so buyers and sellers should talk to their local REALTOR® to understand current and prospective trends where they live.”
The national housing market remains well balanced, although the monthly increase in sales activity caused the balance between supply and demand to tighten slightly.
The national sales-to-new listings ratio, a measure of market balance, stood at 55.1 per cent in March. This remains firmly in balanced market territory, but is up from 53.6 per cent in February. Based on a ratio of between 40 and 60 per cent, more than half of local markets were balanced in March.
The number of months of inventory stood at 5.7 at the end of March on a national basis, down slightly from 5.8 months in February. The number of months of inventory represents the number of months it would take to sell current inventories at the current rate of sales activity, and is another measure of the balance between housing supply and demand.
The actual (not seasonally adjusted) national average price for homes sold in March 2012 was $369,677, representing a decline of one half of a percentage point from the same month last year.

“Average prices are up from year-ago levels in most large urban centres,” said Gregory Klump, CREA’s Chief Economist. “The slight decline in the national average price points to a tug of war between Toronto and Vancouver from the standpoint of their sales mix compared to last year.”
“The national average price was skewed higher last spring by record level high-end home sales in some of Vancouver’s priciest neighbourhoods. It was expected that this would not recur this spring, which the latest sales figures confirm. The decline in average price reflects the change in Vancouver’s sales mix, not housing price deflation.”
“At the same time, overall home sales activity in Toronto is stronger than it was last spring, and higher-end home sales are up from year-ago levels. Being by far the most active housing market in Canada, Toronto represents the single biggest factor supporting national average price compared to last year.”
Copyright CREA reprinted with permission

factors that can affect the market value of your property

There are many factors that can affect the market value of your property, ranging from home improvements to the mood of the seller. All of this is a lot to internalize, but you can make an informed decision while pricing your home if you tackle these issues one at a time.

1. Location
Your home’s proximity to public transportation, train stations, shopping facilities, schools, etc., plays an important factor in determining your property’s market value. Every location has a high end and a low end. The market value of your property is affected by that reality. People that purchase homes in “lower end” areas expect to pay less than they would if they bought the same home in a “higher end” neighbourhood.

2. Features
One of the key factors in your home’s value is the features it provides. For example, some house styles are more popular with buyers than others. The age and size of your home compared to other available properties also plays a part in affecting your home’s value.

3. Condition
Potential buyers will take into account the condition of your home in deciding if they want to buy it and how much they are willing to pay for it. A home in immaculate condition has a much higher potential for a top dollar sale than one that is lacking the most basic routine maintenance.

Experienced buyers look for important conditions like paint, floor coverings, walls, ceilings, floors, doors and windows. Buyers may also pay close attention to the plumbing, electricity work, repairs, bathrooms, kitchen, and so on.

4. Home Improvements
Most people think that home improvements are a sure way to increase the value of a home. Major home improvements are unquestionably important factors that affect the property value. Improvements like room additions, bedrooms, bathrooms, kitchens and other items like floor tiles, swimming pools, etc., can increase the value of your home. However, it only matters what those improvements are worth to the buyer.

5. Market Conditions
When the market is flooded with similar properties for sale and real estate buyers are scarce, you can expect to sell your home for less than you would if there was a shortage of supply and lots of eager potential homebuyers.

6. Seller Motivation
Seller motivation is also a major factor which affects the offer price made by the buyer. For example, if you bought a home in a new area you may be willing to accept a lower price to quickly complete the sale of your current home.

7. Marketing
The marketing plan that your agent executes on your behalf will determine the amount of interest that is shown in your property. Your agent’s level of skill and expertise in the negotiating process will affect the amount of money you’ll be able to get for your home. Many people put more thought into what they’ll have for dinner tonight than who they will trust to market their most valuable asset. Don’t make the same mistake.

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Bank Of Canada Keeps interest rates on hold

The Bank of Canada kept its trend-setting Bank Rate at 1.25 per cent on April 17th, 2012. While this was the 13th consecutive policy meeting in which borrowing costs have been left unchanged, it was the first time since last September that a policy announcement has included a reference to the possibility of a rate hike.

The Bank reiterated a number of the more positive developments it first mentioned in the March 8th announcement. These include a stronger profile for U.S. economic growth, as well as reduced risk emanating from Europe, which the Bank now expects will “emerge slowly from recession in the second half of 2012.”

The Bank also noted that “improved global economic prospects, supply disruptions and geopolitical risks,” are keeping oil prices up which if sustained could prove a risk to the improvement in economic momentum.

In Canada the Bank again declared the biggest risk to be high household debt, adding that it expects households will continue to add to their debt burden as “private domestic demand will account for almost all of Canada’s economic growth over the projection horizon.”

That said, with economic momentum in Canada remaining firmer than the Bank had expected back in January, the forecast for growth this year has been lifted. The Bank now expects the economy will grow at 2.4 per cent this year, up from the 2.0 per cent forecast in January.

At the same time, the Bank lowered its forecast for 2013 to 2.4 per cent from 2.8 per cent, and also extended its forecast out to 2014 with a prediction of 2.2 per cent growth.

The Bank also noted that the amount of slack in the economy had decreased. As such, the Bank now expects the economy will return to full capacity “in the first half of 2013,” which while intentionally vague is still sooner than the previous prediction for a return to full capacity by the third quarter of next year.

The Bank ended the announcement by hinting, for the first time since last September, that it may have to raise rates, stating “In light of the reduced slack in the economy and firmer underlying inflation, some modest withdrawal of the present considerable monetary policy stimulus may become appropriate, consistent with achieving the 2 per cent inflation target over the medium term. The timing and degree of any such withdrawal will be weighed carefully against domestic and global economic developments.”

Further clarification as to when these “modest” rate hikes may be expected will no doubt be the subject of the various speeches and remarks given by the Governor and his deputies between now and the next announcement on June 5th, 2012.

As of April 17th 2012, the advertised five-year lending rate stood at 5.44 per cent. This is up 0.2 percentage points from 5.24 per cent on March 8th, when the Bank made its previous policy interest rate announcement.

(CREA 04/17/2012)

Wednesday, April 11, 2012

Priced For Immediate Sale

3427 Bodard Rd. 

This custom 1996 built North Shore home located in an upscale, quiet neighbourhood and sitting on a.43 acre lot. Designed with a Victorian flare this homes offers high ceilings, wrap around veranda, detached garage, mature landscaping. 

Wake up to incredible panoramic lake views

Call your Realtor® today,