Let's face it, some people, if they don't get in soon they may never get in.

We are experiencing the Manhattanization of Toronto, with housing becoming less and less affordable.

Why pay $2,000 a month in rent for that 500 square foot condo when you can own it for around the same amount?

This mortgage product is for those with excellent credit and healthy incomes:

The mortgage product is called the Flex Down Mortgage.

We all know the minumim down payment is 5%... with this we allow clients to borrow the required 5% down from a line of credit or loan. As long as they can qualify for both the line of credit and the mortgage, buying is simple!

Here is how it works and how it looks by comparison: 

Flex Down Mortgage based on $350,000 purchase price - with no down payment 

$350,000 - $17,500 (5% down) = $332,500

+ $14,962.50 (CMHC Premium of 4.50%)

= Total mortgage amount on closing of $347,462.50

@ 2.20% VRM = $1,505.08 per month 

@ 2.69% FIXED = $1,598.58 per month 

+ $350 (est. condo fees)

+ $120 (est. property tax) 

= $1,975 to $2,068 per month ALL IN

Flex down means the client is borrowing the legal minimum down payment of 5% down. Therefore the client would borrow the 5% down ($17,250) and also maybe the closing costs.

*** Keep in mind, for first time buyers there is ZERO ($0) land transfer tax for purchases up to $368,000 ***



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Optimism for housing prices in Canada has reached a two-year high as consumer confidence continues its upward march.

The share of Canadians expecting home prices to increase in their neighborhoods over the next six months rose to 43.3 percent last week, the highest level since October 2014, polling for the Bloomberg Nanos Consumer Confidence Index shows. At the start of this year, just 30.6 percent believed home prices would increase.

Nationally, the broad consumer confidence score reached a 2016 high of 57.7, driven by record levels in British Columbia and a rebound in the energy-rich prairies, where optimism rose to a 2016 high of 48.9 despite the commodities price crunch and a wildfire near Alberta’s oil sands that has sapped production levels.

Despite the upward trend, the sub-indexes show uncertainty looming. While the expectations index -- measuring optimism for real estate and the broader economy -- rose to 57.0 from 55.0, the pocketbook index that measures personal finances slipped to 58.4 from 58.9.

“The latest economic data releases hint at upcoming issues for the economy and the labor force,” Bloomberg economist Robert Lawrie said. Manufacturing shipments, imports and exports have all declined as of late,“highlighting Canada’s dependency on global economic trends and the impact of the commodities glut,” he said.


Households continue to be impacted by job losses in manufacturing and gains in the service sector -- a sign of Canada’s transition “away from basic materials and toward higher value-added enterprises,” Lawrie said.

Economic Outlook

Statistics Canada data last week showed a slender net loss of 2,100 positions in April, however the economy added almost 50,000 jobs in consumer-related sectors. Consumer spending also tempered a 0.1 percent contraction in gross domestic product in February.

According to the Nanos data, the share of those expecting the Canadian economy to gain strength in the next six months rose to 27.6 percent, the highest level since November.

The share of those who say their personal finances have improved over the past year rose to 14.8 percent from 14.5, while the share of those whose finances worsened declined to 28.9 from 29.3 -- leaving the net difference between the two measures at its lowest level since January. The share of those who say their employment is either somewhat or not at all secure, however, rose to 14.5 percent from 13.4 percent a week earlier.

The data is based on a rolling four-week average of telephone polling totaling 1,000 respondents. It’s considered accurate within 3.1 percentage points, 19 times out of 20, with larger margins of error in regional data. The latest polling concluded on May 6.

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Here are Toronto's March 2016 Final Resale House and Condo Sales figures.
Sales transactions were UP by 16.2% year-over-year compared to March 2015!
While Average Selling Prices were UP 12.1% compared to the average for the same time in 2015!

6ix Interactive Charts

Check out the detailed report here...


Or if you are really into numbers, check out this link


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Here are Toronto's February 2016 Final Resale House and Condo Sales figures.
Sales transactions were UP by 21.1% year-over-year compared to February 2015!
While Average Selling Prices were UP 14.9% compared to the average for the same time in 2015!

Check out the detailed report here...

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RRSP money represents a potent tool for those who are looking to participate in the real estate market in Canada, an analyst said.
In his column for the Financial Post, income tax professional and Certified Financial Planner (CFP) Jason Heath outlined the various options available to would-be investors.
Although the money is not valid for investments on rental properties, RRSP fund users can still withdraw up to $25,000 under the Home Buyer’s Plan (HBP) to purchase or build their qualifying primary residences.
Heath warned that such a course of action is fraught with risks for those who are unfamiliar with the lowest interest rates available today, as well as the best possible returns.
“Anyone considering a real estate investment given the long run-up in Canadian real estate prices should consider their existing exposure to real estate, not only through their stocks and mutual funds, but also their primary residence,” Heath said in the January 27 edition of his column.
“Many Canadians have a high allocation to real estate already in their net worth without targeting real estate specifically in their RRSPs, so use proper asset allocation as the primary test to determine if you should be investing further in real estate in the first place,” Heath added.
Another option is a real estate investment trust (REIT), which allows RRSP investors to benefit from residential, industrial, health care, retail, office, self-storage, or hotel properties via professional teams that serve as intermediaries, thus mitigating risk. REITs are also plentiful in the local and global market, with 50 trading on the Toronto Stock Exchange alone.
Still another option is holding one’s own mortgage in the RRSP, which uses the posted rate as the mortgage rate. While pretty much ensuring a higher fixed return than borrowing from the bank, this set-up also means that one is borrowing at a higher rate (even if it’s from him- or herself).

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Upcoming mortgage rule changes will impact sales of pricier houses, according to one industry professional who is sounding the alarm in two particular provinces.

Recently announced mortgage rules – which go into effect February 15, 2016 – will require larger down payments for pricier homes.

The minimum down payment for new insured mortgages will increase from 5% to 10% for the portion of the house price above $500,000, the finance ministry wrote in a release last week.

For example: A $750,000 home will now require $50,000 down -- 5% for the first $500,000 and 10% down for the remaining $250,000.

The new rules won’t affect homes below $500,000, which could lead to increased interest in those homes. 

However, the Toronto, Vancouver, and Calgary regions will likely be most affected.
In Calgary, for example, 86% of homes cost more than $500,000.

Meanwhile, Toronto and Vancouver boast some of the priciest average home prices in the country at $1.017 million and $1.175 million, respectively.

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New home prices in Canada blew past expectations in October, led by gains in Toronto’s booming housing market, according to a Reuters report.

Economists had predicted a slight month-over-month gain of 0.1% nationwide, according to Reuters. However, Canadian new home prices rose 0.3% in October. The Toronto and Oshawa region led the increase. In that region, prices were up 0.5%, with builders citing market conditions and higher land costs as prime movers in the increase.

On an annual basis, prices were up 1.5% nationally in October – the largest year-over-year increase since December of 2014, according to Reuters. The Toronto and Oshawa market saw an annual gain of 4% – the largest since January of 2013.

The continued rise of home prices in Canada has led some analysts to worry that Canadians may be taking on more debt than they can handle, Reuters reported.

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Toronto saw a record-breaking month for home sales in November, according to a CTV News report.

Almost 7,4000 homes were sold in the Toronto area in November, breaking the previous sales record for the month. November sales also pushed total sales for 2015 high enough to break the annual sales record set in 2007 – with one month left to go in the year.

About 900 more homes were sold in November of 2015 than in November of 2014, CTV reported. And with a month of sales left in the year, 96,401 homes have been sold in the Greater Toronto Area so far in 2015. The previous record of 93,193 homes was set in 2007.

“Sales were up on a year-over-year basis for all major home types, both in the City of Toronto and surrounding regions,” said Mark McLean, president of the Toronto Real Estate Board. “This suggests that the demand for ownership housing is widespread, from first-time buyers to longtime homeowners across the GTA.”

The average home price was also up, rising from $577,502 last November to $632,685 last month, CTV reported. Condominiums made up the majority of residences sold in the City of Toronto at 1,351 units. Nine hundred detached homes were sold, along with 297 semi-detached homes and 298 townhomes.

Meanwhile, most residences sold outside the city were detached homes, with 2,550 sales recorded for the month, according to CTV. Also sold were 851 townhomes, 573 condos and 764 semi-detached homes.


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For agents outside the city limits of Toronto who have watched colleagues lose deals over the city’s land transfer tax, news that the provincial Liberal government may be set to give all municipalities the same powers has rocked the real industry to the core.

According to news reports, the Liberal government may be set to give all municipalities the right to set the amount of municipal land transfer tax you are required to pay when buying a new property, something that currently only the city of Toronto is allowed to do.

“Ontario home buyers are already charged a provincial land transfer tax, so by adding a municipal tax, they’re essentially doubling the tax burden on Ontario families,” said Patricia Verge, president of OREA, in a statement. “If the Ontario Liberals follow through with this plan, homebuyers will be forced to pay $10,000 in total land transfer taxes on the average priced home in Ontario, starting as early as next year.”

OREA also warned that if all municipalities province-wide were allowed to set their own tax rates, it will result is lost economic activity and lost jobs with the association. They accused the Wynne Liberals of breaking an election promise.

They say that a letter received last year during the election said that Liberals “had no plans” to extend these powers beyond Toronto.

The minister of municipal affairs and housing denied any decision has been made to extend the taxing power.

“In 2014 at the AMO conference, I was asked whether I would consider looking at municipal revenue tools as part of the Municipal Act review. I gave the shortest answer possible, ‘yes.’ We are currently reviewing the Municipal Act. No decisions have been made,” said Ted McMeekin.

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uying a home is a very big expense—and once you’ve kicked off all that spending, it’s easy to find yourself caught up in rampant lifestyle inflation. After all, you’ve got an enormous, shiny new house just waiting to be filled with all sorts of nice stuff, right?

Well, take some quick advice: Don’t keep spending.

Homeownership comes with its fair share of unique costs—property taxes and urgent repairs and energy bills, oh my. There’s no need to add to their cost by shelling out for unnecessary expenses. Here are six major cash outlays that buyers can avoid.


Too much house

This one requires some thought before you actually nail the deal: How much house do you really need? Just because you’re pre-approved for a hefty purchase price doesn’t mean you should go as big as you can.

“The house that you can afford with the money you’re lent can make the budget go out of whack,”

Not sure where to trim? Consider having less closet space, buying fewer bedrooms, or—especially—eliminating a formal dining room.

“You don’t use the dining room nearly as often as you think,”  “It’s kind of a wasted space.”


Fixing up your outdoor space ASAP

Once you close on your home and move in, you might be itching to host your first late-season barbecue. Or maybe you’ve been dreaming about a koi pond, like, forever. But hold on: Updating your outdoor space shouldn’t be your first priority, especially if you’re tight on cash. Unlike couches and beds, which are essential to a functioning house, landscaping and decor can be put on pause.

That goes double if you’re building new: According to Hans-Daniels, building your backyard at the same time as your home can cost “a lot more than if you did it after the fact.”

So exercise some caution before committing: Try pricing out your plans with a landscape contractor, and consider rolling them out in phases.


Old, outdated insurance

Still using the same company that offered you renters insurance seven years ago? It might be time for a change. Shop around.

“You may stay with the same company, but you may find something that’s a little better price for the same thing,” Gipner says. “Sometimes, people may not want to shop around or may be married to a particular company.”

Just because the same company had a good deal on auto or renters insurance doesn’t mean it’s the best fit to protect your home. Go through all your options with a fine-toothed comb, looking for a deal that won’t crush you financially but also leaves your house and its belongings secure.

After all, now it’s not just your stuff—it’s your roof, yard, and foundation you have to protect, too.

Space-filling stuff

If you’re moving from an apartment, chances are good you’re astounded by how much space you have. There’s another bedroom and a dining room and … yet another bedroom!

Don’t feel like you have to fill it all at once. Give yourself—and your home—time for personality to emerge.

“A lot of people will go out and say, ‘Oh my gosh, I’ve got to fill this space and buy stuff,’” Gipner says. “I’m not against possessions, but the way some people do it can be seriously detrimental to their finances.”

Instead of immediately stuffing the TV room with a generic, new couch and coffee table, wait it out. See what you really need and what you really like. In the meantime, stick the money you save into a renovation fund.


Extended warranties

Many homes don’t come with appliances installed, so first-time homeowners might find themselves making large purchases (like a dishwasher or refrigerator).

Here’s a tip: You don’t need the extended warranty.

“I’m against them,” Gipner says. “What are the chances everything you own is going to break or not work anymore?”

Yes, something might break within the relatively slim service window—but the money you’ll spend fixing one thing will be far less than the extended warranties on all the things. Your average warranty costs about $123 for major appliances, according to Consumer Reports, and a single repair costs not much more (and might not even be covered). Just risk it—you’ll come out ahead in the long run.

Yard maintenance

Having your own yard is definitely exciting, and while it’s important to keep it healthy and watered, you don’t need to go overboard. Resist the pressure to hire additional help for your yard—even if you’ve lucked into an HOA that covers it.

“You can still be part of an HOA and cut your own grass,” Gipner says. “You don’t have to pay someone an exorbitant amount of money to come out and cut your grass.”

Don’t be tempted by the sales pitches you’ll inevitably receive after your purchase goes through. A gorgeous lawn is achievable—and it can be done all on your own. Really.

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Here are Toronto's SEPTEMBER 2015 Final Resale House and Condo Sales figures!
Sales transactions were UP by 2.5% year-over-year compared to September 2014.
While Average Selling Prices were UP 9.2% compared to the average for the same time in 2014.


Check out the Interactive Charts here


Check out the Full Article from TREB here

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Canadian seniors are getting a lot more comfortable with debt and a growing number are using it to finance their lifestyle, including home purchases, according to an exclusive survey provided to the Financial Post.


The survey conducted by debt rating agency Equifax for HomEquity Bank, at the end of July, found that a number of Canadians over 75 are still dealing with a mortgage — and their numbers are rising.

“They just don’t have enough money,” said Yvonne Ziomecki, senior vice-president of marketing and sales of HomEquity Bank, of the new lifestyle seniors are aspiring to. “We have a new term we have been using, right sizing. They are not downsizing. They don’t really need bigger homes, but they move into a house that has all the upgrades.”

HomEquity, which provides reverse mortgages, says those types of “downsized” homes are often the subject of loans. Consumers can get a reverse mortgage as long as they have 55 per cent equity in a home.

While seniors with mortgages are still a small share of the market, the study did find 11.3 million Canadians 55 or older have some sort of debt. Of that figure, about 1.87 million are carrying a mortgage which is up 20 per cent in two years.

Outstanding mortgage balances are up for every segment of seniors, which for the purposes of the survey was anyone over the age of 55. In the 75-and-over category, the average senior with a mortgage had $133,944 outstanding, up 11 per cent from two years ago.

What’s going on? Some seniors are just adjusting to a lifestyle where debt will get them nicer homes, fund more vacations or even help their adult children.

“A lot of people I talk to, they just don’t really care. This is how they manage their finances and they are perfectly comfortable with it,” Ziomecki said.




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