tag:blogger.com,1999:blog-7123542260692860177.post8507380199465789788..comments2023-12-02T00:38:46.467-08:00Comments on House Hunt Victoria: Monday market updateHouseHuntVictoriahttp://www.blogger.com/profile/07456914359088891317noreply@blogger.comBlogger126125tag:blogger.com,1999:blog-7123542260692860177.post-65047340594207446972012-09-17T11:15:02.520-07:002012-09-17T11:15:02.520-07:00http://www.huffingtonpost.ca/2012/08/08/house-pric...http://www.huffingtonpost.ca/2012/08/08/house-prices-down-decade-scotia_n_1756792.html<br />Anonymoushttps://www.blogger.com/profile/08188115284116016130noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-56747747172545533952012-09-17T11:02:49.259-07:002012-09-17T11:02:49.259-07:00More RE news this time from the CREA...
Canada ho...More RE news this time from the CREA...<br /><br /><a href="http://ca.reuters.com/article/businessNews/idCABRE88G0RE20120917" rel="nofollow">Canada home sales drop in August, forecasts cut</a><br /><br /><i>Sales of existing homes in Canada dropped in August from July, notching the biggest month-over-month decline in more than two years, the Canadian Real Estate Association said on Monday as it cut its sales and price forecasts for this year and next.<br /><br />The industry group for Canadian real estate agents said sales were down 5.8 percent in August from July. Actual sales for August, not seasonally adjusted, were down 8.9 percent from a year earlier.<br /><br />The drops prompted CREA to cut its sales and price forecasts for 2012 and 2013, saying a move by the Canadian government to tighten mortgage lending rules to cool the red-hot housing market had effectively dampened demand.</i>Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-50782048565213800972012-09-17T10:14:56.380-07:002012-09-17T10:14:56.380-07:00Sooke REALTORS® must be buying Kraft Dinner these ...Sooke REALTORS® must be buying Kraft Dinner these days. There are 35 of them and only 11 sales last month (9 SFH and 2 townhouses)<br /><br /><a href="http://www.sookenewsmirror.com/news/169346836.html" rel="nofollow">Sooke Newspaper - Housing market slow</a>Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-61922459716222796792012-09-17T10:11:32.730-07:002012-09-17T10:11:32.730-07:00It's not a bubble, it's not a balloon, it&...It's not a bubble, it's not a balloon, it's a leaky ball... reasonfirsthttps://www.blogger.com/profile/02787594578611685612noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-11373993841638669832012-09-17T09:53:29.528-07:002012-09-17T09:53:29.528-07:00The bounce?
The ball has turned into an anchor....The bounce? <br /><br />The ball has turned into an anchor.a simple manhttps://www.blogger.com/profile/13054677016369304449noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-51932120178479368872012-09-17T09:38:42.112-07:002012-09-17T09:38:42.112-07:00In the first four business days of September there...In the first four business days of September there were 97 sales. (Labour Day made for a short week). In the last five business days there were 111 sales. At this rate we should hit 430 sales for the month. <br /><br />Looks like there will be 6% fewer sales than last year and 2011 was one of the lowest years in the last decade.<br /><br /><b>What happened to the fall bounce the REALTORS® were talking about a few weeks ago?</b>Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-1862973873804740342012-09-17T09:04:17.321-07:002012-09-17T09:04:17.321-07:00Monday, September 17, 2012 8:00am
MTD September
...Monday, September 17, 2012 8:00am<br /><br />MTD September<br />2012 2011<br />Net Unconditional Sales: 208 458<br />New Listings: 671 1,303<br />Active Listings: 4,716 4,940<br /><br />Please Note<br />Left Column: stats so far this month<br />Right Column: stats for the entire month from last yearMarkohttps://www.blogger.com/profile/08315282480144281935noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-18098862158524685792012-09-16T19:54:06.534-07:002012-09-16T19:54:06.534-07:00Bulletin: http://www.cra-arc.gc.ca/E/pub/tp/it120r...Bulletin: http://www.cra-arc.gc.ca/E/pub/tp/it120r6/it120r6-e.txtAnonymoushttps://www.blogger.com/profile/08188115284116016130noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-22206922089575931392012-09-16T19:34:19.234-07:002012-09-16T19:34:19.234-07:00You have to "ordinarily inhabit" the rei...You have to "ordinarily inhabit" the reidence. If you rent it out this caLls into question this aspect of the test. There is a CRA bulletin on this.Anonymoushttps://www.blogger.com/profile/08188115284116016130noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-53324900240632695892012-09-16T17:28:15.458-07:002012-09-16T17:28:15.458-07:00WRT principal residence destination: for people wi...WRT principal residence destination: for people with multiple properties, you could chose to declare which one is principal residence, only if none of them have (long) rental history, say between your city house and the cottage. But if there are rental incomes reported on a property for a few years and you own and live in another house in the same city, CRA may question your choice of the principal residence status if you declare it on the rental house for the rental years. <br /><br />We owned a house and rented it out for 3.5 years before we moved here and then sold it one year later after we bought and moved to another house. I called CRA and had multiple lengthy discussions with them wrt how to report the CG on the sold house. There are more to it than what you read on their web site. <br /><br />So don't assume that you can declare principal residence at will for a property with rental history for the rental years, ask CRA first.<br /><br />TOHfreedom_2008https://www.blogger.com/profile/16017963228192114898noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-47209332764987471702012-09-16T14:23:01.255-07:002012-09-16T14:23:01.255-07:00I would agree. An appraisal is peace of mind for l...I would agree. An appraisal is peace of mind for locking in gains prior to converting to a rental. Anonymoushttps://www.blogger.com/profile/08188115284116016130noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-18973985802274661752012-09-16T12:15:15.092-07:002012-09-16T12:15:15.092-07:00JJ: You don't have to pay capital gains until...JJ: You don't have to pay capital gains until after you actually sell the property. When you do move into the rental property, you should get a few appraisals at that time and keep them on record. Also make sure you keep records of any reno's, upgrades to the property afterwards. When you do sell, you must pay capital gains by the year after the sale. You keep the records incase it becomes "fishy" that you sold the house for so much more than what you deemed the capital gain was... say a couple of years earlier. This way you can prove that you did the upgrades after you moved in. Always keep your proof.Alexandraherehttps://www.blogger.com/profile/13100843258061373047noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-19581580621935584292012-09-16T11:28:25.563-07:002012-09-16T11:28:25.563-07:00@patriotz - add property transfer taxes ($10,780),...@patriotz - add property transfer taxes ($10,780), legals fees (twice ~$2500) and realtor fees (~25K) and you are already at $38,000 in expenses without considering renos and holding costs.a simple manhttps://www.blogger.com/profile/13054677016369304449noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-3576443200368091722012-09-16T11:25:52.947-07:002012-09-16T11:25:52.947-07:00Nope. I knew that. I'm not too worried about c...Nope. I knew that. I'm not too worried about capital gains. No plans to sell for seven years at which point. The market is not currently appreciating. When prices start to rise again I will determine which residence to deem principal and move there for some time prior to selling. I will have to pay capital gains someday for some years on some property but I will be pleased to have that problem. The bigger the better :) Anonymoushttps://www.blogger.com/profile/08188115284116016130noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-58400475051000321972012-09-16T09:51:39.327-07:002012-09-16T09:51:39.327-07:00Totoro Victoria,
Does AL+TOH's comment have a...Totoro Victoria,<br /><br /><b>Does AL+TOH's comment have any tax impact on you?</b><br /><br />Totoro said: "You will also be able to designate it as your principal residence for up to four years prior to the deemed disposition."<br /><br />AL+TOH" "True, but the condition is that you don't have another principal residence at the same time (during this four years)."Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-75798088525230542212012-09-16T09:46:57.180-07:002012-09-16T09:46:57.180-07:00BC Assessment says 2190 SANDOWNE RD sold for $639K...BC Assessment says 2190 SANDOWNE RD sold for $639K 3/Jun/2011 (that's the closing date).<br /><br />They must have put close to $200K into those renos: "flooring,bathrooms,gas fireplaces,dream ensuite, windows,roof,stucco,large family kitchen with jen air range and two ovens,on demand gas hot water,roof guard gutters,two large sun filled patios for outdoor living,easy care landscaped private yard with u/g sprinklers,and many other features."<br /><br />So the question now is how much money are they going to lose.patriotzhttps://www.blogger.com/profile/11154064267408955762noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-72598828373196558222012-09-16T08:19:33.141-07:002012-09-16T08:19:33.141-07:00I have no sympathy for flippers and will gladly jo...I have no sympathy for flippers and will gladly join in on that Schadenfreude...dasmohttps://www.blogger.com/profile/14638226799679794103noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-45393841295314544672012-09-16T07:55:33.378-07:002012-09-16T07:55:33.378-07:00The long-awaited Sandowne flip is one again testin...The long-awaited Sandowne flip is one again testing the market waters at $840K (purchase May 20, 2011). They are down from the $880K they tried in the spring for a week or two.<br /><br />The market has changed a lot since then.a simple manhttps://www.blogger.com/profile/13054677016369304449noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-70829996675820092982012-09-15T20:53:07.505-07:002012-09-15T20:53:07.505-07:00Just jack - Queenswood?Just jack - Queenswood?Animal Spirithttps://www.blogger.com/profile/14290032551579947421noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-39174645633430598802012-09-15T20:51:02.378-07:002012-09-15T20:51:02.378-07:00Totoro said: "You will also be able to design...Totoro said: "You will also be able to designate it as your principal residence for up to four years prior to the deemed disposition." <br /><br />True, but the condition is that you don't have another principal residence at the same time (during this four years).freedom_2008https://www.blogger.com/profile/16017963228192114898noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-58073639470017029002012-09-15T20:14:04.237-07:002012-09-15T20:14:04.237-07:00A deemed disposition will also occur if you conver...A deemed disposition will also occur if you convert a rental property into your principal residence. In this case you can make a parallel election under subsection 45(3) which will defer the capital gain resulting from the deemed disposition until you actually sell the property. You will also be able to designate it as your principal residence for up to four years prior to the deemed disposition. The election is made in the year in which you ultimately dispose of the property. Again it will only be allowed if you never claimed capital cost allowance during the years you were renting it out.<br /> <br />The Canada Revenue Agency provides Form T2091 Designation of a Property as a Principal Residence by an Individual for designating a property as your principal residence. However, the form only has to be filed if there is a capital gain to be reported on the property in the year you dispose of it. If you are able to designate the property as your principal residence for all the years you owned it, there will be no capital gain to report and Form T2091 will not be necessary.<br />Anonymoushttps://www.blogger.com/profile/08188115284116016130noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-68094962760544021352012-09-15T18:47:39.011-07:002012-09-15T18:47:39.011-07:00A question for all of you smarties.
You, own a pr...A question for all of you smarties.<br /><br />You, own a principle dwelling and a rental property.<br /><br />You sell your principle home and move into your rental property. <br /><br />You are exempt from Capital Gains tax on your principle home. And when you moved into your rental, CRA deemed the rental property to have sold on that date. And you now owe Capital Gains tax on the formerly rental property.<br /><br />Do you have to pay the capital gains tax in that tax year?<br /><br />Johnny-Dollarhttps://www.blogger.com/profile/12950799399842707067noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-25954737084354580332012-09-15T13:09:21.057-07:002012-09-15T13:09:21.057-07:00That would make the long term growth potential for...That would make the long term growth potential for real estate to be keeping up with inflation or about 3%. But first, prices have to roll back to pre-boom values in real dollars.<br /><br />For the long term and in real dollars, your home will never be worth more that it is today.<br /><br />You have the winning lottery ticket, your just choosing not to redeem it.<br />Johnny-Dollarhttps://www.blogger.com/profile/12950799399842707067noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-65263287360452116792012-09-15T09:45:12.983-07:002012-09-15T09:45:12.983-07:00No new info here, but it does link to another rent...No new info here, but it does link to another rent/buy spreadsheet I haven't seen before.<br /><br /><a href="http://business.financialpost.com/2012/09/14/why-its-better-to-rent-than-buy/" rel="nofollow">Financial Post - Why it's better to rent than buy</a><br /><br />And the <a href="https://docs.google.com/spreadsheet/lv?key=0AktN0CUf4uaVdHNvWFFzT0VPVFZTdi1ra0dCUC1jU3c&pli=1" rel="nofollow">spreadsheet</a>Leo Shttps://www.blogger.com/profile/02951281972056927807noreply@blogger.comtag:blogger.com,1999:blog-7123542260692860177.post-56411060597850853632012-09-15T03:42:08.392-07:002012-09-15T03:42:08.392-07:00My exaggerated point was made to highlight that th...<i>My exaggerated point was made to highlight that the rhetoric surrounding the boomers was being repeated here in the land of analysis. </i><br /><br />What rhetoric? There are links to several in-depth articles. Did you read them?<br /><br /><i>When I look at the numbers it doesn't seem so alarming. </i><br /><br />No one says you should be alarmed.<br /><br />It's just the facts that a big bulge of people that previously boosted the market are slowing their buying, and are transitioning to selling more than they buy. <br />That has the effect that they are boosting the market less and less as time goes by, and eventually will put a drag on the market. The academic theory is that the total effect is in the +-1% range. <br /><br /><i>The author also calculates that demographics alone will have a 1% per year drag on house prices over the next 40 years. This is not to suggest that house prices will fall by 40% over 40 years. We know that house prices are largely influenced by income growth, inflation, credit availability, interest rates, and un-quantifiable psychological factors. Rather, the paper is arguing that even if the underlying fundamentals improve markedly (and we know they are terrible at present), there will still be a headwind of 1% per year simply because of the net selling of homes by the boomer demographic. <br /><br />So , as an example, where residential real estate might otherwise appreciate at 4% annually, the impact of demographics will drag that down by one full percentage point per year.</i><br />Leo Shttps://www.blogger.com/profile/02951281972056927807noreply@blogger.com