March Update 2011

The housing market continues on a stable and balanced track. Sales activity is nearly 50% above the recessionary low of December 2008 and only 11% below the recovery high of December 2009. Home sales rose while prices remain on par with the previous month. 
According to the Bank of Canada, the economy is picking up steam faster than anticipated. Late 2010 proved to be significantly stronger than expected, with consumers continuing to be a key component. A 17% jump in exports was the fastest-paced increase in more than five years. The strong currency is a potential concern as it makes importing Canadian exports more expensive for other countries. This metric will be closely monitored by economists and the Bank of Canada alike.

Moving forward, rising interest rates and weak job growth are factors that are responsible for keeping sales activity and price appreciation stable and slower than seen during the recovery. Mortgage regulation changes will likely spur upward momentum in home sales during the first quarter. Due to improved affordability, balanced markets, and record-low mortgage rates, there are ample opportunities for both buyers and sellers.

Sale Stats for the Kitchener Waterloo Board

   Feb 2011 -491     Feb 2010 -526    

   Feb 2009 -359     Feb 2008 -491

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    Jan  2011 -359    Jan  2010 -400   

   Jan 2009 - 247     Jan 2008 -379

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Solds Year To Date as at February  :

2007   -882       2008   -870       2009   -606  

2010   - 926       2011 - 861

Update on Waterloo's proposed residential rental licensing program

The first draft of the proposed bylaw has been presented to Council, and Waterloo staff are currently seeking further input before presenting an amended proposal to Council on April 11, 2011.

This proposed bylaw may impact anyone purchasing a property in the City of Waterloo, and we encourage all members to familiarize themselves with this issue.

The official City website for the proposal is: http://www.city.waterloo.on.ca/DesktopDefault.aspx?tabid=2227

There has been organized opposition to the proposal, and their website is here: http://www.savewaterloo.ca

Mortgage Rates

Low interest rates and stabilizing home prices continue to open up homeownership to an increasing number of Canadians. As widespread global recovery gains further footing, rates will increase to combat inflation and keep it near the 2% target. In fact, rates already have come back up to last year’s level from record lows in December and January.

        

Preparing to Sell

Preparing your home for sale can seem daunting, but these five tips will help you get the best price in the least amount of time.

1. Organizing and Cleaning is crucial when prepping a home for sale. Potential homebuyers have a more positive reaction to homes that are clutter-free and give them the feeling that the home is “move-in ready.”

2. Determine replacement estimates before listing your home, even if you are not planning on making the replacements yourself. This information can help buyers to make informed decisions.

3. Have your warranties ready-especially for home appliances that will stay with the home after the sale.

4. Curb appeal is a crucial factor because it determines first impressions. A negative first  impression can cloud their entire opinion about the home.