Toronto
July 2010 Ontario Real Estate Market Update
With the HST here we can expect a summer lull in the real estate market in Ontario, Canada. It is now a buyers’ market with a large inventory of property on the market and not many buyers out there this summer. The market has recovered from the recession for a number of reasons and should be positive through 2011 but we saw the hot market cool to a degree in late spring and we do not presently see many transactions coming in with summer closings. The HST has made the market nervous. It has also added $3200 in new Ontario tax to the average real estate commission on a $400,000 home and raised lawyer bills by 8% too. The banks have raised long term interest rates but dropped them slightly just before the Victoria Day weekend with the Bank of Canada making a slight increase to short term rates on June 1. World economic conditions are changing due to a crisis in Europe and new restraint in China’s rapidly growing economy. Despite recent speculation we predict interest rates will not rise more than 2% in 2010 and 2011 and so a variable rate mortgage is a good idea due to the spread between the current low variable rate and the 5 year rate. With June over sellers will no longer have the advantage and prices will stabilize. Buyers need to use caution, think ahead and avoid overpaying. Consider whether you will be able to afford a mortgage renewal if rates go up. Look at oil prices (if high the Canadian dollar will rise) and look to the US dollar for key signals on interest rates. The higher the Canadian dollar is, in comparison to the US dollar, the more likely Canadian interest rates will stay fairly low. US interest rates are not going to rise and oil prices are likely to continue their upward trend over the next several months. You need to decide whether you can handle the risk of future interest rate increases with the variable rate mortgage. We provide reliable real estate legal services including personalized advice at a reasonable price.
Ontario Arbitrator Training Course
Murray Miskin has been the principal trainer of non-labour arbitrators in Ontario, Canada since 1985. He teaches a 40 hour course certified by the ADR Institute of Ontario which has been the standard for qualification of arbitrators in this province. The course is usually taught with week night evening classes in Toronto. The last course [...]
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