Determining if you should buy a new home or fix up your current one isn’t easy!  In fact, the decision can be steeped in so much drama they make reality TV shows about it!

So if you’re considering whether to move or improve, here are three things to consider.
1. Will a renovation truly fix what you don’t like about your property?
If you’re tired of a small kitchen, for example, it might not be possible, given the layout, to make it any bigger. On the other hand, if you’re craving a spacious rec room with a cosy fireplace then a renovation could make that happen.  Of course, there are some things you may want that aren’t specific to your house, such as an easier commute or nearby park. Those are features you may only be able to get by moving.
2. How much will a renovation cost? How does that compare to the
cost of moving to a new home?  It’s important to get accurate estimates of each so you can make a smart decision. This is where a good REALTOR® can help.  Keep in mind that renovations have a habit of costing more than you originally anticipate. As mentioned earlier, the final result should be a home you want to stay in for quite some time.

3. Beware of compromising versus settling.  Whichever decision you make — renovate or sell — you can expect to have to make at least some compromises. That’s normal.  For example, consider adding an extension to your house. That’s a major renovation. Is it the ideal way to get the extra room you want? Do the benefits of renovating outweigh the benefits of finding a new larger home designed to include the space you need?

Buyers of newly-built homes will get a break on their taxes, as part of changes in the B.C. budget designed to address the Lower Mainland's red hot housing market.

The government will, starting Wednesday, exempt any purchaser of a newly-built home, condo or townhouse valued under $750,000 from the property transfer tax, potentially saving them up to $13,000.

The deal only applies for the first owner of a new home, and the buyer must live in the property for at least a year. It's valid anywhere in the province, but only for Canadian citizens and permanent residents.

To make up the money, government will increase the property transfer tax by one per cent, to a total of 3 per cent, on any home sale worth more than $2 million.

The move may help encourage the construction of new housing, which Finance Minister Mike de Jong said is crucial to addressing the limited supply, but rising demand, for homes in B.C.

"We've taken some pretty purposeful steps to assist those who have the demand and incent the supply," he said.

It's on top of an existing first-time homebuyer exemption for new and used homes, which remains in place for properties less than $475,000.

"We should be capturing the bulk of the market, and as I say with respect to new homes, hopefully creating some incentive for more homes to be built," said de Jong. "We will be working with municipalities to try and facilitate that. So big changes. And we'll be tracking closely the impact they have on market and market behaviour."

Government data indicates a typical condo or townhome in east Vancouver would fall under the threshold, as would a typical townhome or condo in west Vancouver.

De Jong's budget outlined $47.5 billion in spending for the 2016/17 fiscal year, starting April 1, with a projected $264 million surplus. It's the fourth consecutive surplus budget for the Liberal government.

Even as it sought to cool the housing market, the province is enjoying a financial windfall from the property transfer tax it charges on sales. That tax has jumped more than 60 per cent above last year's expectations and is on track to bring in $1.5 billion in the current fiscal year - surpassing the revenue earned by the carbon tax.

To address the issue of foreign buyers spurring real estate prices, de Jong said the government will resume tracking data on who buys property.

Buyers will later this year have to disclose the country of their residence, which is data the province hasn't collected since 1998.

"A purchaser will need to disclose whether they are a Canadian citizen or a permanent resident of Canada, and if they are not one of those they will need to disclose the country the are a citizen or resident of," said de Jong.

Government will also track the beneficial owner of corporations buying property - known as bare trusts - but not move to close the loophole that allows the corporation to transfer shares to a new person, effectively selling the property but avoiding the property transfer tax

The budget did not contain any incentives for local governments to increase the density of housing projects through zoning and bylaws. De Jong threatened legislation that could force municipalities to make transparent the costs their development fees are having on new homes, but said government will first discuss the issue at this year's Union of B.C. Municipalities meeting.

Tuesday's budget also included extra funding for the Ministry of Children and Family Development, which has been rocked in the past year by several high-profile deaths and suicides of children in government care.

MCFD's core operations will get a $65 million boost next year, which will increase front-line programs and hire around 100 new social workers, according to the budget.

The province rejected calls to increase the social assistance rate for B.C.'s most needy, instead announcing a small $77 monthly increase to the disability income assistance rate to a monthly total of $983 effective Sept. 1. The change will affect 100,000 people - though half of those people will receive a lesser amount than $77 a month, because they already receive a bus pass or transportation allowance from the ministry.

"I don't think this makes life easier for people but hopefully it makes life a little less hard," said de Jong.

It's the first increase to the disability rate in nine years. The overall welfare rate remains unchanged.

Much-anticipated changes to the Medical Services Plan premiums largely failed to materialize in Tuesday's fiscal plan. Premier Christy Clark had previously called the flat rate system for MSP as "antiquated" and in need of major reform.

Instead, government increased monthly premiums on adults by $3, to $78 a month starting January 2017. And it eliminated a special rate for adult couples, meaning an additional $14 monthly increase for a family with two adults.

The changes will net government $147 million more, but is offset by $70 million in "enhanced premium assistance," according to the budget.

Children will be exempt from premiums, saving a minimum of $800 per year for families, said de Jong. Two million residents, including kids, won't have to pay any premiums, and 335,000 will pay reduced premiums under additional support, said de Jong.

There will also be a push to inform seniors, many of whom are not taking advantage of their MSP exemptions, that they are entitled to a tax break, said de Jong.

MSP will generate $2.4 billion in revenue towards health care spending that is estimated to rise to almost $19.6 billion, or 41 per cent of total spending. Government continues to plan for 4 per cent annual increases in future years, meaning costs are only going to increase. De Jong defended MSP premiums as a necessary way to fund health care.

"It may be politically attractive to create the impression that MSP premiums don't exist or disappear, but of course they do because the $2.4 billion that we receive in MSP premiums will need to come from somewhere," he said.

"I'd rather be as open and honest with British Columbians as possible and disclose what they are paying and what prupose they are paying."

Elsewhere in the budget, education spending remained basically frozen including inflation.

The budget included $12 billion in taxpayer-supported infrastructure capital spending over the next three years.

Taxpayer-supported debt is budgeted to rise to $43.2 billion, which de Jong said is a slowing of the growth of debt compared to previous years. Taxpayers will spend 3.7 cents per every dollar in debt servicing.

Total provincial debt is estimated to rise $2.4 billion next year, to $67.7 billion. The debt-to-GDP ratio will drop to 17 per cent, said de Jong.

The budget contained several new small tax credits for farmers donating food to non-profits, as well as an expansion of the BC seniors' home renovation tax credit.

However, de Jong warned that the film and television industry's increased use of the film tax credit program, combined with the low Canadian dollar, would force government to revisit the program in the near future.

The government followed through with the creation of its liquefied natural gas Prosperity Fund, despite the fact no LNG projects have actually started construction. The budget allocates $100 million to the fund, but state a minimum of 50 per cent of future funds will be used for debt repayment.

The Prosperity Fund money will come from the current 2015/16 fiscal year, ending March 31. In that current year, government said its estimated $265 million surplus has risen to a projected $377 million.

10 things to know about the 2016/17 provincial budget:

1. Buyers of newly-built homes worth up to $750,000 will be exempt from the property transfer tax, saving up to $13,000, effective Wednesday (only for Canadian citizens or permanent residents).

2. The new home tax exemption will only apply to people who actually live in the home as their principal residence for a year after the purchase (relatives do not qualify) and B.C. will share information with Revenue Canada to double-check whether the rules are being followed.

3. Homes (both new and used) sold for more than $2 million will see an increased property transfer tax of 3 per cent, up from 2 per cent.

4. The existing first-time homebuyers program for used homes remains in place, but the threshold is unchanged for properties worth less than $475,000.

5. Property buyers will need to disclose their citizenship for government tracking.

6. MSP premium rates will rise $3 per month for an adult to $78, starting in 2017, but children are now exempt.

7. The special discounted MSP rate for couples is eliminated, adding $14 a month to a family with two adults.

8. Taxpayer-supported debt is budgeted to rise to $43.2 billion, which means 3.7 cents of every dollar government earns it pays in debt servicing.

9. The $47.5 billion budget next year will have an estimated surplus of $264 million. The economy is expected to grow 2.4 per cent.

10.Income assistance for those on disability will rise $77 a month, except for those who already receive a bus pass or transit assistance. It's the first increase in the rate in nine years. The overall welfare rate remains unchanged.

Many homeowners think there’s not much they can do about telephone, heating, water and other utility expenses. Sure, you may not be happy about a high heating bill one month, but what can you do about it?

Turns out, you can do plenty!  There are several ways to reduce monthly utility costs that can save you tens or even hundreds of dollars. For example:

• Shop around for a better phone plan. Then contact your phone company. They sometimes will match the rates.  Many people only use a cell phone, eliminating a landline which saves money!
• Turn down the thermostat on your water heater. You likely don’t need tap water to be that hot.
• Clean the screen on your outside air conditioning unit regularly, if you have one.
(Gently with the water hose.) Dirt and leaves can build up on it, reducing the unit’s efficiency.
• Leverage the sun. Open curtains in the winter to gain heat. Block direct sunlight in summer to keep the cool air inside.
• Scrutinize your bill. There may be extras you’re paying for that you don’t need.
• Play with the thermostat. Experiment with setting the temperature a couple of degrees lower.  You might not notice any difference.. OR purchase a thermastat that allows you to auto set the temperatures at set times.

It’s worth paying attention to your utility costs. Just a few smart moves can save you some serious money.

Looking for tips?  Call me!  Leanne Drolet

Housing demand remains strong despite diminishing supply...

Home sales reached near record levels in November even as home listings began the traditional year-end decline.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Metro Vancouver reached 3,524 on the Multiple Listing Service® (MLS®) in November 2015. This represents a 40.1 per cent increase compared to the 2,516 sales recorded in November 2014, and a 3.3 per cent decrease compared to the 3,646 sales in October 2015.

Last month’s sales were 46.2 per cent above the 10-year sales average for the month and rank as the second highest November on record for residential property sales.

“November is typically one of the quietest months of the year in our housing market, but not this year,” Darcy McLeod, REBGV president said. “The ratio of sales to home’s available for sale reached 44 per cent in November, which is the highest it’s been in our market in nine years.”

New listings for detached, attached and apartment properties in Metro Vancouver totalled 3,392 in November. This represents a 12.5 per cent increase compared to the 3,016 new listings reported in November 2014.  The total number of properties listed for sale on the real estate board’s MLS® is 8,096, a 35 per cent decline compared to November 2014 and a 15.4 per cent decline compared to October 2015.

“Demand remains strong and there are housing options at different price points throughout the region,” McLeod said. “It’s important to work with your REALTOR® to understand your options before you embark on your home buying journey.” 

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $752,500. This represents a 17.8 per cent increase compared to November 2014.

The sales-to-active-listings ratio in November was 43.5 per cent. Generally, analysts say that downward pressure on home prices occurs when the ratio declines below the 12 per cent mark, while home prices often experience upward pressure when it reaches 20 per cent, or higher, in a particular community for a sustained period of time. 

Sales of detached properties in November 2015 reached 1,335, an increase of 31.9 per cent from the 1,012 detached sales recorded in November 2014, and a 44.2 per cent increase from the 926 units sold in November 2013. The benchmark price for a detached property in Metro Vancouver increased 22.6 per cent from November 2014 to $1,226,300. 

Sales of apartment properties reached 1,553 in November 2015, an increase of 47.6 per cent compared to the 1,052 sales in November 2014, and an increase of 60.3 per cent compared to the 969 sales in November 2013. The benchmark price of an apartment property increased 14 per cent from November 2014 to $435,000. 

Attached property sales in November 2015 totalled 636, an increase of 40.7 per cent compared to the 452 sales in November 2014, and a 49.3 per cent increase from the 426 attached properties sold in November 2013. The benchmark price of an attached unit increased 11.3 per cent between November 2014 and 2015 to $536,600.

*Editor’s Note:  Areas covered by Real Estate Board of Greater Vancouver include: Whistler, Sunshine Coast, Squamish, West Vancouver, North Vancouver, Vancouver, Burnaby, New Westminster, Richmond, Port Moody, Port Coquitlam, Coquitlam, New Westminster, Pitt Meadows, Maple Ridge, and South Delta.

Courtesy of the Greater Vancouver Real Estate Board

Caring for our neighbours- please support!

November 16 - 23, 2015 

It's time to winterize your closets for blankets and warm clothing you can donate to the Blanket Drive! 

Needed items for all ages include:

• gently used or new blankets or sleeping bags
• warm clothing, coats
• hats, gloves, scarves
• new socks and underwear

From Hope to Whistler, you can drop off your donations at any of the real estate offices listed here.

This is the largest and longest running blanket drive in the region. We help about 19,000 of our neighbours in need each year. Since 1994, this event has helped more than 275,000 people in need.

All donations collected within a community go to charities in that community.  If you're not able to drop your items at one of these offices, please contact Leanne and I will pick up!

Thanks so much for your support!!

Metro Vancouver home buyers push October sales above long-term averages

Home buyers remain active across Metro Vancouver despite a reduced supply of homes for sale.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in *Metro Vancouver reached 3,646 on the Multiple Listing Service® (MLS®) in October 2015. This represents a 19.3 per cent increase compared to the 3,057 sales recorded in October 2014, and a 9 per cent increase compared to the 3,345 sales in September 2015.

Last month’s sales were 36.2 per cent above the 10-year sales average for the month.

“Home sales are more than one-third above what’s typical for this time of year yet the supply of homes for sale is the lowest we’ve seen in five years,” Darcy McLeod, REBGV president said. “This activity has created favourable market conditions for anyone considering selling their home today.” 

New listings for detached, attached and apartment properties in Metro Vancouver totalled 4,126 in October. This represents an 8 per cent decline compared to the 4,487 new listings reported in October 2014.

The total number of properties listed for sale on the real estate board’s MLS® is 9,569, a 30 per cent decline compared to October 2014 and an 11.4 per cent decline compared to September 2015.

This is the lowest active listing total in Metro Vancouver since December 2010.

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $736,000. This represents a 15.3 per cent increase compared to October 2014.

The sales-to-active-listings ratio in October was 38.1 per cent. Generally, analysts say that downward pressure on home prices occurs when the ratio declines below the 12 per cent mark, while home prices often experience upward pressure when it reaches 20 per cent, or higher, in a particular community for a sustained period of time.

Sales of detached properties in October 2015 reached 1,437, an increase of 13.1 per cent from the 1,271 detached sales recorded in October 2014, and a 34.7 per cent increase from the 1,067 units sold in October 2013. The benchmark price for a detached property in Metro Vancouver increased 20.1 per cent from October 2014 to $1,197,600.

Sales of apartment properties reached 1,543 in October 2015, an increase of 21.7 per cent compared to the 1,268 sales in October 2014, and an increase of 40.5 per cent compared to the 1,098 sales in October 2013. The benchmark price of an apartment property increased 11.4 per cent from October 2014 to $425,800.

Attached property sales in October 2015 totalled 666, an increase of 28.6 per cent compared to the 518 sales in October 2014, and a 34.3 per cent increase from the 496 attached properties sold in October 2013. The benchmark price of an attached unit increased 9.3 per cent between October 2014 and 2015 to $526,700.

Courtesy of the Greater Vancouver Real Estate Board

*Editor’s Note:  Areas covered by Real Estate Board of Greater Vancouver include: Whistler, Sunshine Coast, Squamish, West Vancouver, North Vancouver, Vancouver, Burnaby, New Westminster, Richmond, Port Moody, Port Coquitlam, Coquitlam, New Westminster, Pitt Meadows, Maple Ridge, and South Delta.

If you take care to price your home correctly — that is, at a price that is in line with what similar properties in the area have sold for recently — then you have a good chance of selling it at or near your asking price.  That doesn’t mean you won’t get a low-ball offer. You just might. So what do you do when that happens?

First, understand that the buyer may not necessarily be trying to steal away your home at a bargain-basement price. He might simply be mistaken about its true market value. Of course, he might also be coming in at a low price in the hopes he’ll get lucky.

You will never actually know the buyer’s motives. So it would be a mistake to get angry or dismiss the offer out-of-hand. That low-ball offer might end up being the beginning of a negotiation that results in you selling your home at a good price.

Your first step is to work with your REALTOR® to determine:
• How serious the buyer is.
• How qualified the buyer is. (For example, does he have a preapproved mortgage?)
• How amenable the buyer is to a counter-offer that reflects the true market value of your home.

• What that counter-offer should be.

This isn’t an easy process. It takes knowledge and experience to get it right.

Working with a good REALTOR® is essential.  Call me today if you're thinking of selling!

You’ve no doubt noticed the occasional news report about a product being recalled for safety reasons. For example, a car model with a brake problem, or a children’s toy that, under some circumstances, may cause injury.

You may not know that these news reports are merely the tip of the iceberg.  For each product recall you hear about in the media, there are dozens that get little, if any, publicity.

That means there may be products in your home that have been recalled — and you don’t even know about it. It’s a scary thought.

How do you find out about recalled products that may affect you? Here are two tips.

1. Always complete the registration that comes with many products.  This is typically done by mailing in a registration card or filling out an online form. When you register, you’ll be alerted by the manufacturer if the product is recalled for any reason.

2. Both Canada and the United States have agencies that list recalled products on their websites. In Canada it’s the Healthy Canadians website at www.healthycanadians.gc.ca. In the United States it’s the Consumer Product Safety Commission at www.CPSP.gov. It’s a good habit to check these sites every season.

If you discover that a product in your home has been recalled, contact the manufacturer immediately. Never assume that the reason for the recall won’t apply to you.

When you put your home up for sale, you want it to look its best to potential buyers. That’s why you clean, tidy and de-clutter every room.

Some sellers, however, miss the backyard. You need to pay just as much
attention to that space as you do to the interior of your home. The backyard
is as important a living space as the family room. To some buyers, even
more!

Buyers want to see an attractive backyard space, with the grass cut and the
hedges trimmed. The more neat and tidy you can make it, the better. If you can create an oasis, even better! 

Be sure to sweep walkways and wipe down patio furniture.  Also, watch out for the following things that buyers do not want to see:

• Bags of garage and other waste.
• Doggie do-do. (Be sure to stoop and scoop!)
• Rakes and other tools piled in the corner.
• Cluttered and disorganized or poorly maintained storage sheds, pool huts and other backyard structures.
• Weeds in the flower beds.
• Items stored underneath the deck.
• Hoses not stowed neatly.
• Electrical outlets and water faucets that don’t work.

These are not difficult issues to fix. Doing so will positively impact the impression the buyer gets of your backyard.

Do you have a backyard that shows particularly well in the summer? Here’s
a tip: Take pictures when things are in bloom and looking their best! Those photos will help buyers be able to appreciate how beautiful it looks in the summer, should you list your home in the winter.

Want more tips on making your home show well so that it sells fast? Call me, I'd be happy to help!

Housing demand has been vigorous over the summer months, August was no exception. Home sales across the province were up 20 per cent to 8,800 units last month compared to year ago levels. On a seasonally adjusted basis, home sales were unchanged from July, albeit edging back by just 20 transactions. Through the first eight months of the year, home sales are up over 22 per cent compared to last year.

Active residential listings in the province are down 17 per cent from a year ago and continue to be at their lowest level since 2007. The combination of robust consumer demand and fewer homes for sale has pushed home prices higher in many regions. The average residential price was up 10-12 per cent on a year over year basis in Victoria, Vancouver, the Fraser Valley and Chilliwack. Market conditions, however, can vary significantly between individual neighbourhoods and communities so contact your local realtor to identify market conditions in the area.

The average home price statistic for the province was up 10.6 per cent year-over-year in August at nearly $620,000. Over the past 12 months, the MLS Home Price Composite Index, the price for a typical home, increased more than 12 per cent in Vancouver, over 7 per cent in the Fraser Valley and approximately 5 per cent in Victoria and on Vancouver Island.

Courtesy 2015 Real Estate Board of Greater Vancouver / British Columbia Real Estate Association.