(Source: The Record)
The Vacancy Rate for Rental Housing in the Kitchener Census Metro Area stood at 3.1 per cent in April, up from 2.9 per cent a year ago and below the Provincial Average of 3.4 per cent, says Canada Mortgage and Housing Corporation.
Average Rents in the region rose 1.3 per cent in price over the past year, compared to 1.8 per cent for the year before.
A two-bedroom apartment cost $858 per month, an increase of $5 from April 2009 and below the provincial average of $978, the agency said.
Saturday, June 19, 2010
Friday, June 18, 2010
Canada’s financial hub is preparing for G20 lockdown
Source: Jameson Berkow, Financial Post
All five major banks will be reducing hours or shutting a total of 51 branches that are inside or close to the summit meeting in downtown Toronto. Plans are also underway to reduce staff on trading floors and corporate offices and move some operations to remote locations or allow employees to work from home.
Most banks will be implementing so-called “business continuity plans” — previously put to the test during the SARS outbreak and the Ontario power blackout in 2003 — and now being put through their paces once again. Although the summit takes place on the June 26-27 weekend, many banks will be limiting operations in the days leading up to it.
Banks are keeping details of their plans largely under wraps. Many bank employees who generally work downtown still don’t know if they are going to be coming into work or if they will be at a remote site setup. Much will depend on the intensity of the protests and the level of street disruptions.
The Bank of Montreal, in addition to closing nine downtown locations, intends to shift part of its trading operations to an alternate location outside of the secure zone, which encloses most of the financial district.
“Trading will probably split operations, moving half of its staff to an alternate location to reduce demand on the main trading floor,” Ralph Marranca, a spokesman for BMO said. At the peak of the summit disruption, BMO could have as many as 40% of its downtown staff working from home, he added, though plans are still in flux.
Toronto-Dominion Bank will modify hours at 22 branches, for five business days leading up to the summit.
“Like many companies expecting to be impacted by the summit, we have pretty robust plans in place,” said Wojtek Dabrowski, a spokesman for TD. “In order to make sure everything runs safely and smoothly we’re closing eight branches in the downtown core.”
Decisions about further closures or reductions in hours, including trading and other operations will be made on an ongoing basis, Mr. Dabrowski said.
For Royal Bank of Canada, the summit will be a real-life test of its continuity strategy.“This is an actual event taking place in Toronto so we are putting our customized business continuity plans in place,” Don Blair, a RBC spokesman said.
RBC’s strategy, which also involves closing eight of its downtown branches from June 24 until June 27, will have as many employees as possible who work downtown either work from home or from alternative RBC locations in the Greater Toronto Area. According to Mr. Blair, RBC is planning to maintain normal trading operations for its investment services, Mr. Blair said.
An RBC branch in Ottawa was firebombed last month. The group that claimed responsibility for the attack, FFFC-Ottawa, has said it planned to protest at the Toronto event as well.
The Canadian Imperial Bank of Commerce will be closing six downtown locations, including its flagship Commerce Court branch, for all or part of the summit duration.
Aside from closing six downtown locations, Bank of Nova Scotia is not planning any specific mitigation strategy to deal with the G20 disruption. Though the bank will be “implementing business continuity plans as required,” said, Joe Konecny a bank spokesman.
The Toronto Stock Exchange (TSX), which maintains a corporate headquarters one block from the secure zone, is expecting approximately 75% of its staff to work from home. Though it does not anticipate any impact on its trading operations which occur off-site, according to TSX spokeswoman Carolyn Quick
All five major banks will be reducing hours or shutting a total of 51 branches that are inside or close to the summit meeting in downtown Toronto. Plans are also underway to reduce staff on trading floors and corporate offices and move some operations to remote locations or allow employees to work from home.
Most banks will be implementing so-called “business continuity plans” — previously put to the test during the SARS outbreak and the Ontario power blackout in 2003 — and now being put through their paces once again. Although the summit takes place on the June 26-27 weekend, many banks will be limiting operations in the days leading up to it.
Banks are keeping details of their plans largely under wraps. Many bank employees who generally work downtown still don’t know if they are going to be coming into work or if they will be at a remote site setup. Much will depend on the intensity of the protests and the level of street disruptions.
The Bank of Montreal, in addition to closing nine downtown locations, intends to shift part of its trading operations to an alternate location outside of the secure zone, which encloses most of the financial district.
“Trading will probably split operations, moving half of its staff to an alternate location to reduce demand on the main trading floor,” Ralph Marranca, a spokesman for BMO said. At the peak of the summit disruption, BMO could have as many as 40% of its downtown staff working from home, he added, though plans are still in flux.
Toronto-Dominion Bank will modify hours at 22 branches, for five business days leading up to the summit.
“Like many companies expecting to be impacted by the summit, we have pretty robust plans in place,” said Wojtek Dabrowski, a spokesman for TD. “In order to make sure everything runs safely and smoothly we’re closing eight branches in the downtown core.”
Decisions about further closures or reductions in hours, including trading and other operations will be made on an ongoing basis, Mr. Dabrowski said.
For Royal Bank of Canada, the summit will be a real-life test of its continuity strategy.“This is an actual event taking place in Toronto so we are putting our customized business continuity plans in place,” Don Blair, a RBC spokesman said.
RBC’s strategy, which also involves closing eight of its downtown branches from June 24 until June 27, will have as many employees as possible who work downtown either work from home or from alternative RBC locations in the Greater Toronto Area. According to Mr. Blair, RBC is planning to maintain normal trading operations for its investment services, Mr. Blair said.
An RBC branch in Ottawa was firebombed last month. The group that claimed responsibility for the attack, FFFC-Ottawa, has said it planned to protest at the Toronto event as well.
The Canadian Imperial Bank of Commerce will be closing six downtown locations, including its flagship Commerce Court branch, for all or part of the summit duration.
Aside from closing six downtown locations, Bank of Nova Scotia is not planning any specific mitigation strategy to deal with the G20 disruption. Though the bank will be “implementing business continuity plans as required,” said, Joe Konecny a bank spokesman.
The Toronto Stock Exchange (TSX), which maintains a corporate headquarters one block from the secure zone, is expecting approximately 75% of its staff to work from home. Though it does not anticipate any impact on its trading operations which occur off-site, according to TSX spokeswoman Carolyn Quick
Tuesday, June 15, 2010
No One Understands Homes Like a Realtor
Before anybody decides to sell their homeon their own and fly solo through this complex, time consuming and financially perilous process, they should consider the following, advises the Kitchener-Waterloo Real Estate Board.
When Buyers see a home for sale "by the owner", they usually think they see a bargain. They imagine the realtor's fee going into their own pocket, not the seller's.
"Did you know that selling a home is a complicated and ever changing process, where real estate law governs nearly every phasse of selling your home? One small slip-up and an entire deal can fall through, or sorse, a lawsuite can come your way."
Selling a home takes more than just haning a "For Sale" sign. Consider the following:
* How will you promote your home? Will you write your own ads?
* How will you use the Internet, knowing that you'll have no access to the cooperative service available through the Multiple Listing Serive.
* Promoting a home is a fulltime job, and you may already have a full time job. Will you be able to take calls at any time? How about screening the callers to figure out if they're suitable candidates?
* Lacking years of experience, the average do-it-yourselfer is merely guessing at their listing price. Often they set the price too low and miss out on thousands of dollars, or they price their home too high and drive away willing buyers.
Source - The Record June 12, 2010
When Buyers see a home for sale "by the owner", they usually think they see a bargain. They imagine the realtor's fee going into their own pocket, not the seller's.
"Did you know that selling a home is a complicated and ever changing process, where real estate law governs nearly every phasse of selling your home? One small slip-up and an entire deal can fall through, or sorse, a lawsuite can come your way."
Selling a home takes more than just haning a "For Sale" sign. Consider the following:
* How will you promote your home? Will you write your own ads?
* How will you use the Internet, knowing that you'll have no access to the cooperative service available through the Multiple Listing Serive.
* Promoting a home is a fulltime job, and you may already have a full time job. Will you be able to take calls at any time? How about screening the callers to figure out if they're suitable candidates?
* Lacking years of experience, the average do-it-yourselfer is merely guessing at their listing price. Often they set the price too low and miss out on thousands of dollars, or they price their home too high and drive away willing buyers.
Source - The Record June 12, 2010
Friday, June 11, 2010
Market Slowed Only Slightly in May
Month to Month comparison May 2009 – May 2010 for Kitchener Waterloo
653 total homes were sold, a decrease of 7.1% over May 2009
432 detached homes were sold, a decrease of 9.6%
114 condominium homes were sold, an increase of 5.6%
59 semi detached homes were sold, an increase of 37.2%
44 townhouses were sold, a decrease of 34.3%
Source: KW Real Estate Board MLS statistics
653 total homes were sold, a decrease of 7.1% over May 2009
432 detached homes were sold, a decrease of 9.6%
114 condominium homes were sold, an increase of 5.6%
59 semi detached homes were sold, an increase of 37.2%
44 townhouses were sold, a decrease of 34.3%
Source: KW Real Estate Board MLS statistics
Wednesday, June 9, 2010
Housing Starts Drop in May
Housing starts drop in May, in latest sign Canada's housing market is cooling
By Sunny Freeman, The Canadian Press
TORONTO - New home construction slowed in May as the number of startups last month fell below economists' expectations — the latest indicator that Canada's once white-hot housing market is cooling off.
Canada Mortgage and Housing Corp reported Tuesday that the annual rate of housing starts dropped last month, pegging the rate at 189,100 units in May, down from a revised 201,800 in April.
Douglas Porter, deputy chief economist at the Bank of Montreal, said May's figures were below expectations but "hardly a shock."
"The surprise so far in 2010 had been how quickly starts had ramped up from their depressed levels a year ago," Porter wrote in a note Tuesday. "While the May level of starts is the lowest so far this year, it’s still above where we see activity for all of 2010."
Economists have widely predicted a slowdown in the housing market in the second half of 2010.
Consumers pushed many sales forward into the latter half of 2009 and the early part of 2010 in order to get into the market in advance of tougher new mortgage rules in April, the widely expected interest rate increase that was announced by the Bank of Canada in June and the implementation of the harmonized sales tax in Ontario and B.C. coming July 1.
CMHC said the decrease in May is consistent with its forecast of 182,000 housing starts for all of 2010.
Urban starts fell 9.5 per cent to 165,200 units in May, while rural starts were estimated at an annual rate of 23,900 units. Urban multiple starts, which include condos and townhouses, decreased 5.6 per cent to 92,800 units, while single urban starts dropped 14.1, to 72,400 units.
While spring and summer are generally the busiest building seasons of the year, construction is expected to slow markedly as a result of cooling demand in Canada's housing market, Porter said, adding it looks as though Canadian residential construction activity has peaked for the time being and will recede in the months ahead.
Most economists now predict that home prices will either remain flat or fall in the rest of the year and into 2011.
Derek Burleton, vice-president and deputy chief economist at TD Bank Financial Group, said starts dropped in May despite unseasonably warm, construction-friendly weather in Central and Eastern Canada and were the first major setback for home building in several months.
"Today's data suggest that the rebound in home-building activity from last year's recession is quickly running out of steam," he wrote in a note Tuesday.
"Prior to May, starts had rallied strongly from a recession low of 112,000 units in April of last year. In the first four months of the year, starts had plateaued at the 200,000 level."
He added that TD Economics anticipates average resale home prices to decline by six to seven per cent over the next four or five quarters.
"A bigger culprit (than the HST) however, is easing price conditions in the broader housing market, as sales continue to come off the boil and more listings make their way onto the market," Burleton said.
But, thanks in part to a strong showing in April, housing starts in the second quarter are still likely to be solid—around 190,000 to 195,000 on an annualized basis —down slightly from about 200,000 units in the first quarter, Burleton predicted.
Meanwhile, he said in the second half of the year, housing starts will moderate to the 160,000 to 170,000 unit range.
The Canadian Real Estate Association last week lowered its 2010 national forecast for resale transactions following a weaker than anticipated start to the year in some provinces, mainly British Columbia, Ontario and Alberta.
CREA also revised its projected housing price increases for this year, saying it still expects a record to be set this year but that the increase now is expected to be just 1.6 per cent over 2009.
The previous forecast had called for prices to rise 5.4 per cent over last year's record-setting peak.
The association predicted that by 2011, the national average housing price is expected to decline by 1.5 per cent, driven down by an easing of the growth in sales in B.C. and Ontario.
http://ca.news.finance.yahoo.com/s/08062010/2/biz-finance-housing-starts-drop-latest-sign-canada-s-housing.html
By Sunny Freeman, The Canadian Press
TORONTO - New home construction slowed in May as the number of startups last month fell below economists' expectations — the latest indicator that Canada's once white-hot housing market is cooling off.
Canada Mortgage and Housing Corp reported Tuesday that the annual rate of housing starts dropped last month, pegging the rate at 189,100 units in May, down from a revised 201,800 in April.
Douglas Porter, deputy chief economist at the Bank of Montreal, said May's figures were below expectations but "hardly a shock."
"The surprise so far in 2010 had been how quickly starts had ramped up from their depressed levels a year ago," Porter wrote in a note Tuesday. "While the May level of starts is the lowest so far this year, it’s still above where we see activity for all of 2010."
Economists have widely predicted a slowdown in the housing market in the second half of 2010.
Consumers pushed many sales forward into the latter half of 2009 and the early part of 2010 in order to get into the market in advance of tougher new mortgage rules in April, the widely expected interest rate increase that was announced by the Bank of Canada in June and the implementation of the harmonized sales tax in Ontario and B.C. coming July 1.
CMHC said the decrease in May is consistent with its forecast of 182,000 housing starts for all of 2010.
Urban starts fell 9.5 per cent to 165,200 units in May, while rural starts were estimated at an annual rate of 23,900 units. Urban multiple starts, which include condos and townhouses, decreased 5.6 per cent to 92,800 units, while single urban starts dropped 14.1, to 72,400 units.
While spring and summer are generally the busiest building seasons of the year, construction is expected to slow markedly as a result of cooling demand in Canada's housing market, Porter said, adding it looks as though Canadian residential construction activity has peaked for the time being and will recede in the months ahead.
Most economists now predict that home prices will either remain flat or fall in the rest of the year and into 2011.
Derek Burleton, vice-president and deputy chief economist at TD Bank Financial Group, said starts dropped in May despite unseasonably warm, construction-friendly weather in Central and Eastern Canada and were the first major setback for home building in several months.
"Today's data suggest that the rebound in home-building activity from last year's recession is quickly running out of steam," he wrote in a note Tuesday.
"Prior to May, starts had rallied strongly from a recession low of 112,000 units in April of last year. In the first four months of the year, starts had plateaued at the 200,000 level."
He added that TD Economics anticipates average resale home prices to decline by six to seven per cent over the next four or five quarters.
"A bigger culprit (than the HST) however, is easing price conditions in the broader housing market, as sales continue to come off the boil and more listings make their way onto the market," Burleton said.
But, thanks in part to a strong showing in April, housing starts in the second quarter are still likely to be solid—around 190,000 to 195,000 on an annualized basis —down slightly from about 200,000 units in the first quarter, Burleton predicted.
Meanwhile, he said in the second half of the year, housing starts will moderate to the 160,000 to 170,000 unit range.
The Canadian Real Estate Association last week lowered its 2010 national forecast for resale transactions following a weaker than anticipated start to the year in some provinces, mainly British Columbia, Ontario and Alberta.
CREA also revised its projected housing price increases for this year, saying it still expects a record to be set this year but that the increase now is expected to be just 1.6 per cent over 2009.
The previous forecast had called for prices to rise 5.4 per cent over last year's record-setting peak.
The association predicted that by 2011, the national average housing price is expected to decline by 1.5 per cent, driven down by an easing of the growth in sales in B.C. and Ontario.
http://ca.news.finance.yahoo.com/s/08062010/2/biz-finance-housing-starts-drop-latest-sign-canada-s-housing.html
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