Frank Steinhausen, Broker
FSteinhausen@REMAX.net
RE/MAX Rouge River Realty Ltd., Brokerage
Phone 905-428-6533
Fax 905-668-1850
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Realosophy - Pickering Schools, Home Prices and Neighbourhood Photos
Realosophy - Ajax Schools, Home Prices and Neighbourhood Photos
Realosophy - Whitby Schools, Home Prices and Neighbourhood Photos
Realosophy - Oshawa Schools, Home Prices and Neighbourhood Photos
25 Easy Ways to Conserve Water at Home
June 23rd, 2009 Categories: Ajax, Area interest, Pickering, Pickering Village
There has been a lot press about energy conservation. I have employed my son to block up my air leaks in the house to save on our heating and air conditioning bills.
It also comes to mind that we should also be looking at water conservation. It is one of 
the world’s precious resources.
Here is a list of easy water conservation tips that you can start right away:
1. Use your water meter to check for hidden water leaks
2. Check your toilets for leaks
3. Don’t use the toilet as an ashtray or wastebasket
4. Put plastic bottles or float booster in your toilet tank
5. Insulate your water pipes.
6. Install water-saving shower heads and low-flow faucet aerators
7. Take shorter showers.
8. Turn off the water after you wet your toothbrush
9. Rinse your razor in the sink
10. Check faucets and pipes for leaks
11. Use your dishwasher and clothes washer for only full loads
12. Minimize use of kitchen sink garbage disposal units
13. When washing dishes by hand, don’t leave the water running for rinsing
14. Don’t let the faucet run while you clean vegetables
15. Keep a bottle of drinking water in the fridge
16. Water your lawn only when it needs it
17. Deep-soak your lawn
18. Water during the early parts of the day; avoid watering when it’s windy
19. Add organic matter and use efficient watering systems for shrubs, flower beds and lawns
20. Plant drought-resistant lawns, shrubs and plants
21. Put a layer of mulch around trees and plants
22. Don’t water the gutter
23. Don’t run the hose while washing your car
24. Use a broom, not a hose, to clean driveways and sidewalks
25. Check for leaks in pipes, hoses, faucets and couplings
For more details, go to Eartheasy.com.
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GTA Resale Housing Sales Up 19 Per Cent in the First Half of June
June 18th, 2009 Categories: Ajax, Durham Region, Pickering, Pickering Village, Real Estate News
TORONTO, June 17, 2009 - Greater Toronto REALTORS® reported 5,185 transactions in the first half of June – an increase of 19 per cent compared to the same period last year.
“Households in the GTA have become more confident in purchasing a home over the past three months,” said TREB President Maureen O’Neill. “Affordability, due in part to very low borrowing costs, has played a key role.”
The average price for MLS® sales was $407,716, up by two per cent compared to last year.
“Heightened interest in ownership housing this spring has solidified resale home prices,” according to Jason Mercer, TREB’s Senior Manager of Market Analysis. “The number of home buyers has been high relative to the number of listings, pushing the average price above last year’s level.”
| Summary Of Mid-June Sales And Average Price | |||||
| June | |||||
| 2009 | 2008 | ||||
| Sales | Average Price | Sales | Average Price | ||
| City of Toronto (”416″) | 2,023 | $449,946 | 1,733 | $439,469 | |
| Rest of GTA (”905″) | 3,162 | $380,698 | 2,641 | $371,686 | |
| GTA | 5,185 | $407,716 | 4,374 | $398,542 | |
| Source: Toronto Real Estate Board | |||||
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Get Your Share of the Government Pie
June 16th, 2009 Categories: Ajax, Area interest, Green Building, Pickering, Pickering Village, Real Estate
I recently had a home energy audit to see what grant money I had 
available from the incentive programs that the government has available. Actually, over 21,000 Canadians have taken advantage of this program.
I can get $2,645 from the government if I complete all the suggested improvements.
Now, some of the suggestions, like $760 grant to replace $11,000 worth of windows, doesn’t seem worth the effort. But $50 on silicone sealant and some electrical socket insulation covers can get me $190, if I improve the air tightness of my home by 10%.
I replaced my old 50 gallon hot water tank with a tank-less one and I am getting $315 back from the government. I’m not sure I will realize any savings in my bills because the kids take longer showers—they don’t run out of hot water.
These incentives and more are available to you. Natural Resources Canada ecoEnergy Retrofit—Homes grant can help you make often necessary home improvements.
The government also has tax credits available for other home renovations. It is worth checking out national, provincial, regional and municipal programs that can take some of the sting out of home repairs.
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Drop In Housing Prices Still Occurring But Market Activity Increasing
June 12th, 2009 Categories: Buying real estate, Real Estate News, Real estate investment
The experts haven’t said that we are at the bottom of the house price hill, but the real estate market is hopping in some areas. The key factor ruling the market right now is affordability.
The Toronto Real Estate Board reported that May sales this year out-stripped last year’s mark. And prices still declined one percent.
April 2008 was the high water mark for the prices in Toronto.
The opportunity here is in the decline in prices AND ultra-low interest rates.
You can’t really time the market. Will we know when prices have bottomed out? Only when they start rising again.
If you are making a decision to buy a house because you have a baby on the way, and you need more space, you shouldn’t try to time the market. You should buy the home for what it is—a home, not an investment.
If you are waiting for a further decline in house prices, you could find that happens, but that the interest rates rise. The interest rates are at all time lows and they likely won’t stay there (and they can’t get much lower). The US has seen an increase already. Maybe prices will come down a little bit, but if you see the interest rates go up, then it’s really a wash. Small increase in interest rates negate large drops in prices.
Want to see the difference? I can show you.
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GTA May Resale Housing Sales Higher Than Last Year
June 11th, 2009 Categories: Ajax, Buying real estate, Pickering, Pickering Village, Real Estate News, Selling real estate
TORONTO - June 2, 2009 — In May 2009, Greater Toronto REALTORS® reported 9,589 sales, up almost two per cent from May 2008 – the first annual increase since December 2007. The seasonally adjusted annual rate of sales in May was 81,3001.
“The resale housing market in the GTA has remained resilient in the face of challenging times globally,” according to TREB President Maureen O’Neill. “Many home buyers have taken advantage of extremely low mortgage rates.”
The average price for May transactions was $395,609 – down less than one per cent compared to the same month last year.
“The average resale home price has moved in line with last year’s level because of tighter market conditions experienced this Spring,” stated Jason Mercer, TREB’s Senior Manager of Market Analysis. “Home sales have increased strongly relative to new listings, bolstering home prices.”
1Seasonally adjusting TREB MLS® data removes recurring seasonal trends observed each year. For example, MLS® sales are highest in late spring each year and lowest in the winter months. Removing the recurring seasonality, allows for the analysis of a meaningful trend reflecting actual changes in market conditions. By multiplying the monthly seasonally-adjusted figure by 12, creating an annual rate, we can compare how the current month relates to historical annual figures.
Median Price
In May the median price was $337,000, from the $338,000 recorded during May of 2008.
Click here for the complete Market Watch Update.
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6 Creative Ways to Afford a Home
June 9th, 2009 Categories: Buying real estate, Mortgage, Real Estate, Real estate investment
If your income and savings are making homebuying a challenge, consider 
these options.
1. Investigate downpayment options. Your mortgage lender has several choices that can reduce your downpayment.
2. Get the seller to provide financing. In some cases, sellers may be willing to finance all or part of the purchase price of the home and let you repay them gradually, just as you do a mortgage.
3. Consider a shared-appreciation, or shared equity, arrangement. Under this arrangement, your family, friends, or even a third-party may buy a portion of the home and thus share in any appreciation when the home is sold. The owner/occupant usually pays the mortgage, property taxes, and all maintenance costs, but all investors’ names are usually on the mortgage. There are companies that can help you find such an investor if your family can’t participate.
4. Get help from your family. Perhaps a family member will loan you money for the downpayment and/or act as a cosigner for the mortgage. Lenders often like to have a cosigner if you have little credit history
5. Lease with the option to buy. Renting the home for a year or more will give you the chance to save more toward your downpayment. And in many cases, owners will apply some of the rental amount toward the purchase price. You usually have to pay a small, nonrefundable option fee to the owner.
6. See if you can qualify for a short-term second mortgage to give you the money to make a higher downpayment. This may be possible if you have a good income and little other debt.
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Banks Are Lending To Qualified Buyers
June 5th, 2009 Categories: Buying real estate, Mortgage, Real Estate News, Real estate investment
As a follow up to my last post, I see that David Bach, author of The Automatic Millionaire (among others).
Although this video references US loans and forms, the information is equally true here in the Greater Toronto Area. CHMC can insure mortgages if you have less than 20% down payment and you do need proof of income for mortgage pre-approval.
If you have any questions, call me to get information about a mortgage that you can qualify for.
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What Is Your Home Affordability Range?
June 4th, 2009 Categories: Buying real estate, Mortgage, Pickering Village, Real Estate
When a client comes into the office looking to buy a new home, we send them off to the mortgage broker to see how much home they can afford. The broker will crunch some numbers and help them to define an “affordable house payment.”
But what is an affordable house payment?
According to CMHC (Canada Mortgage and Housing Corporation), your monthly housing costs should not exceed 32% of your gross monthly income. Your housing costs include monthly mortgage payments, taxes and heating expenses (and half of the condo fee, if necessary). Along with that , your entire monthly debt load should not be more than 40% of your gross monthly income. This includes all your housing costs, and other debts like car payments, personal loans, and credit card payments.
The trouble with these guidelines is that they fail to take into consideration other factors. For example, a couple with 4 children is probably going to be able to afford less house than a young couple with no children.
Let’s look at a specific example.
Suppose a family of four is pulling in about $6,000 per month. That’s 
$72,000 annually. We will assume that they are otherwise debt-free, just to make things easier. According to the DTI (debt-to-income) ratio of 32%, the couple should be able to afford a monthly house payment of $1920. That leaves $4080 per month to cover everything else.
Before I encourage them to purchase a $250,000 plus house, let’s take a look at their current monthly budget. Here is where the rest of the money might go:
Income taxes (30% very conservatively) $1800
Kid’s activities (hockey, soccer, dance) $400
Groceries $700
Car insurance $180
Gas (for the cars) $200
Car maintenance and repairs $200
Movies, TV, internet $120
Cell phone, telephones $200
Clothing, shoes $50
Dining out $150
Gifts $100
Personal care (hair cuts, sundries) $70
Pet care $50
Total $4220.00
Now, you wouldn’t exactly say that this family was living high on the hog, yet if the house payment was $1920 per month, they would be seriously struggling every month to make ends meet.
What can you learn from this?
That guidelines are just that. You need to talk to a professional about how much house you can afford based on your budget and projections and develop a realistic affordable payment plan. Every situation is unique.
I can tailor your house payment to fit your budget, not the other way around.
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Gen X To Flex New Purchasing Muscle In Recreational Property Markets Across Canada, Says Re/Max
June 2nd, 2009 Categories: Buying real estate, Real Estate News, Selling real estate
Mississauga, ON (June 2, 2009) — Generation X purchasers are poised to replace aging baby boomers as the major force in recreational property markets across the country, according to a report released today by RE/MAX.
The demographic shift was noted in the 2009 RE/MAX Recreational Property Report highlighting sales, pricing, trends and developments in 50 Canadian markets. The report found demand from Gen X (those born between 1965 and 1980) has nearly doubled over one year ago. Seventy-four per cent of markets surveyed this year reported a marked trend toward thirtysomething buyers snapping up affordably-priced product, ranging from waterfront cottages to resort condominiums, compared to just 40 per cent in 2008.
“After being priced out of most markets for the better half of the last decade, Gen X purchasers now have the financial wherewithal to buy recreational product at virtually every price point,” says Michael Polzler, Executive Vice President, Regional Director, RE/MAX Ontario-Atlantic Canada. “Gen X is ideally positioned to pick up any slack in recreational property markets caused by softer demand from baby boomers and retirees. They represent the next wave of recreational property owners in Canada and they know it.”
The financial strength of the cohort dovetails well with current market realities. Sixty-six per cent of recreational property markets surveyed reported a decline in the number of recreational product sold in the first four months of 2009, while 22 per cent indicated sales were either up or on par compared to one year ago. While the combination of inclement weather and a global recession clearly hampered sales activity earlier in the year, many major centres are currently experiencing an upswing in activity as the traditional cottage season gets underway.
“Much of the activity in the marketplace today has to do with the mindset of this particular generation,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “More important than the investment aspect is the commitment to lifestyle. The purchase of a waterfront home or a condominium is more than a simple transaction to Gen X purchasers – owning a recreational property underscores their dedication to family and balance.”
The time to buy has never been better. With four exceptions, recreational property prices have softened in most major markets across the country. Only on the Newfoundland Coast and in Ontario, from Innisfil to Oro, Kingston, and Beaverton, have values increased this year compared to 2008. Starting prices remain similar to one year ago and in some cases are even higher.
“While buyer’s market conditions exist virtually across the board, sellers of recreational properties from coast-to-coast are clearly content to wait out the storm,” says Polzler. “They are in no hurry to unload their product. Many have held on to their properties for generations – they’re fully-owned yet underutilized, which has prompted some aging owners to list them for sale.”
The report also found that while lowball offers are on the rise, very few meet with success. Through tough negotiations with multiple sign backs, purchasers who are serious tend to find out the hard way that sellers are serious too. As a result, the sales-to-list ratio remains relatively high in most recreational property markets across the country.
“The prospect of greater stability down the road is creating cautious optimism in the marketplace,” says Ash. “Purchasers are seeking to buy quality product, whether it be situated on lakes, rivers, or ponds, before values start to once-again edge up.”
Highlights:
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Supply is adequate in most markets, but heated activity in the lower-end has resulted in tight inventory levels for entry-level product in 18 per cent of markets including: Bancroft, Combermere, Honey Harbour/Port Severn, West Kawarthas, Orillia, Flesherton, North Saskatchewan, and Salt Spring Island.
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Older cottage owners, many who own their properties outright, are selling to younger purchasers with families.
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Some American cottage owners in Canada are taking advantage of the stronger dollar to cash out of the market.
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American purchasers have largely fallen off the radar, with some exceptions: Lake Winnipeg, Shediac Bay, and Sault Ste. Marie.
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Pent-up demand is a factor in the marketplace, as those purchasers who had intended on buying recreational properties in the latter half of 2008 deferred their purchases to 2009.
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Older Canadians continue to seek secondary homes in warmer parts of the U.S such as Florida, Arizona, California, and Nevada.
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Generation X purchasers are prepared to spend their hard-earned dollars on recreational properties, but at the end of the day, they want to know that they’ve negotiated the best deal possible.
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The upper-end has somewhat softened in markets across the country.
RE/MAX is Canada’s leading real estate organization with over 17,600 sales associates situated throughout its more than 677 independently-owned and operated offices across the country. The RE/MAX franchise network, now in its 36th year, is a global real estate system operating in more than 70 countries. Over 6,700 independently-owned offices engage nearly 100,000 member sales associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral, and asset management. For more information, visit: www.remax.ca.
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Majority of Canadian Home Owners Hold More Than 50 Percent Equity
May 28th, 2009 Categories: Mortgage, Real Estate News
As Canadians weather the harsh economy, a beacon of their strength is the considerable amount of equity they have in their properties, according to a report released today by the Canadian Association of Accredited Mortgage Professionals (CAAMP). New challenges, such as budgeting for mortgage payments, are emerging, yet housingaffordability has dramatically improved due to lower interest rates and price reductions. The report is authored by CAAMP Chief Economist Will Dunning and based on information gathered by Maritz Research in an online survey conducted in March 2009.
Over 40 per cent of all mortgage holders have at least 50 per cent of the value of their homes in equity, and of all Canadian home owners, which includes those without mortgages, 65 per cent hold at least half the value of their properties. Only two per cent of mortgage holders have negative home equity, meaning the value of the mortgage exceeds the value of the home.
During the past year, 15 per cent of mortgage holders took equity out of their homes, representing a national total of $34 billion. Over half (57 per cent) used these funds for debt repayment or consolidation amounting to $12.5 billion.
“CAAMP’s report demonstrates that home owners have solid equity positions and although facing financial uncertainties, most Canadians have the ability to deal with temporary market fluctuations and reductions in personal income,” said Jim Murphy, AMP, President and CEO of CAAMP. “With only a very small number at risk of not being able to pay or refinance their mortgages, our overall market is very strong.”
There is no doubt that the current economic backdrop means increased financial challenges for Canadians. Job loss is a major risk factor for home owners and 18 per cent of those surveyed indicated an individual in their household had lost a job in the past six months.
The economy looms large when people consider buying a home. Despite the fact that 55 percent say now is a good time to buy, up almost 20 percentage points from fall 2008, only four percent of homeowners and six percent of non-owners actually say they anticipate buying – about the same number as last fall.
Low and flexible interest rates plus longer terms are adding buoyancy to the mortgage market. Mortgage holders are extremely successful negotiating their interest rates, knocking off an average of 1.68 per cent from the posted rate. Three-quarters of those who renewed their mortgage in the past year had their interest rate reduced. On average, renewals resulted in interest rate reductions of almost one full per cent. Three-quarters of Canadian borrowers are also likely to see reductions in their interest rates at their next renewal.
“While many Canadians are experiencing mortgage-related challenges, these issues are much less significant than the problems in the American market,” said Will Dunning, CAAMP Chief Economist. “We are not seeing the dramatic mortgage rate resets or panic selling that occurred in the United States, and Canadian mortgage lenders and insurers are demonstrating a willingness to work with those who encounter financial difficulties. These are good signs for the health of the market.”
The popularity of mortgage brokers continues to grow with almost half (46 per cent) of new mortgages taken out in the past year secured through brokers. Over one-half (61 per cent) of mortgage renewals occurred with the major banks.
“With increased choice and negotiation power in today’s market, informed mortgage consumers have an opportunity to leverage lower overall rates,” said Murphy. “CAAMP members are committed to educating consumers and increasing professional standards in the industry.”
Based on current housing market forecasts, the outstanding volume of residential mortgage credit is forecast to expand by close to $70 billion in both 2009 and 2010, growing at a rate of 7.6 per cent in 2009 and 7.0 per cent in 2010, although the growth rate has decreased from 10.4 per cent in 2008. Mortgage credit is expected to surpass $1 trillion about mid-2010. The volume of annual approvals may fall to about $150 billion in 2009 and $160 billion in 2010, down from totals that exceeded $200 billon per year in 2007 and 2008.
“The Canadian Residential Mortgage Market During Challenging Times” report contains a wealth of industry data, including consumers’ expectations of the housing market, profiles of mortgage holders, regional breakdowns of survey responses, and additional insight into challenges for mortgage holders in Canada. For a copy of the report, please visit: www.caamp.org.
For more information, please contact:
Renée Mellow; Jim Murphy
Media Profile; CAAMP
Office: (416) 504-8464; Direct: (416) 644-5465 Mobile: (416) 940-0011
renee@mediaprofile.com; jmurphy@caamp.org
About CAAMP
Established in 1994, the Canadian Association of Accredited Mortgage Professionals (CAAMP) is Canada’s national mortgage industry association. CAAMP has assumed a leadership role in the industry it serves and has set the standard for best practices for Canada’s mortgage practitioners. In 2004, CAAMP created the Accredited Mortgage Professional (AMP) designation as part of an ongoing commitment to increasing the level of professionalism in Canada’s mortgage industry.
As a membership-based organization, CAAMP strives to develop its network of professionals and to represent the interests of these individuals to government, media and consumers. CAAMP has attracted over 12,000 members and 1,400 companies from across Canada –representing over 90% of Canada’s mortgage activity. CAAMP members make up the largest and most respected network of mortgage professionals in the country. CAAMP’s membership base consists of mortgage lenders, brokers, insurers and other industry participants.
CAAMP’s other primary role is that of consumer advocate. On an ongoing basis CAAMP aims to educate and inform the public about the mortgage industry. Through its extensive membership database, CAAMP provides consumers with access to a cross-country network of the industry’s most respected and ethical professionals. Consumers should visit www.mortgageconsumer.ca for more information.
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