Ashley's Real Estate Corner

Free Real Estate & Home Design Session

2011-03-03T07:56:00.000-08:00

Free Real Estate & Home Design Session

Ashley Stevens, a Sales Representative with Keller Williams Energy will be providing valuable information on the current trends in the real estate market. Ashley will also be speaking about what to look for when selecting a realtor.

Sue Pitchforth, Decorator/Stager and owner of Room for Change will present "Designed to Sell" a staging program on how to stage a home prior to listing it for sale to get the most money in the least amount of time.

Sunday March 27, 2011

1:00pm. – 3:00pm.

RSVP to Ashley by March 21, 2011

Keller Williams Energy Real Estate Brokerage
360 King St W. Unit 101
Oshawa, ON L1J 2K9
905-556-2158

http://www.ashleystevens.ca/

Free – including refreshments

Location, Location, Location

2010-04-15T09:18:00.000-07:00

Selecting the right location before purchasing your home. What are your needs? Kid friendly neighbourhood, close to work, close to nature?

Ashley Stevens Realtor, holding the keys to your future.

Why hire a home inspector

2010-04-14T07:59:00.000-07:00

Ashley Stevens Realtor shares a video of information on why buyers should use a home inspector.

Ashley Stevens, holding the keys to your future.

Now is the time to Buy!

2010-03-24T07:31:00.001-07:00

Now is the time to Buy!

With last year's budget, the Ontario government announced the anticipated new HST blending of PST and GST effective July 1st, 2010 creating a new combined tax rate of 13% on the purchase of almost all goods and services in OntarioCurrently, certain services associated with a real estate transaction only attract GST and not PST. What that means is that consumers will be forced to pay 8% more for things like legal fees, home inspection fees, mortgage insurance premiums, moving costs and yes, real estate commissions.

According to a media release issued by the Ontario Real Estate Association, the HST could add over $2,000 in new taxes to closing costs.

Ashley Stevens, holding the keys to your future.

2009-12-31T09:08:00.001-08:00

Housing Market Hot Enough to Need Cooling?

Toronto, Ottawa — Globe and Mail update Published on
Monday, Dec. 21, 2009 6:28 AM EST
The housing market that led Canada out of recession is now so hot that Ottawa is talking about doing something to cool it off, a move economists say carries risks for the economy.
Fuelled by record low interest rates, residential real estate prices have gained 20 per cent this year. And Finance Minister Jim Flaherty is now warning he will step in if prices get too high by tightening the rules for borrowers, by increasing the minimum down payment and shortening the maximum length of mortgages. Such a move would have to be done cautiously, economists say, because the real estate market touches
all parts of the economy, and anything that caps its growth could also temper the recovery.
Policy makers are concerned homeowners will take on more debt than they'll be able to afford when interest rates rise again, possibly leading to a painful correction later. The Bank of Canada has vowed to keep lending rates low into the middle of next year, limiting its options for taking the pressure off a hot market. But since the federal government dictates rules around down payments and amortization periods, it can effectively dampen the housing market without
increasing borrowing costs for businesses.
Mr. Flaherty said in an interview with CTV the
government would consider raising the minimum down payment from 5 per cent “to a higher figure” and reducing the amortization period of 35 years to “something less.”
But the minister stressed that the government has not yet made that decision. “If there is, in the future, evidence of a residential real estate bubble, the tools we have are the tools we've used
before, relating to insured mortgages, lending standards, amortization periods and down payments, which is what we acted on in the summer of 2008,” Mr. Flaherty said in an interview with The Globe and Mail. In the summer,
the government said it would no longer insure zerodown-payment mortgages or mortgages with an amortization period of more than 35 years.
Tougher requirements could price out first-time buyers such as 28-year old Michael Maynard, who are vital to a healthy market as they buy entry-level homes and allow others to trade up to larger and more expensive properties. The Oshawa, Ont., law clerk has been looking for a house
with his wife Angela for most of this year. They intend to make a 5-per-cent down payment, which they managed to save while Angela was on a maternity leave. “If the requirement went up, I'd be out of the market right now,” he said. “There's no way. We'd cool our heels.
We'd come back eventually, but there's no way we'd be able to stay in the market. And we want to take advantage of low interest rates, so that would be a shame.” Buyers like the Maynards, who rely on low down payments and extended repayment periods to afford their homes, are becoming more common. In a November report, the Canadian Association of Accredited Mortgage
Professionals found 18 per cent of mortgages were amortized over more than 25 years – a gain of 100 percent in two years.
Steve Ladurantaye, Tara Perkins and Bill Curry

2009-12-22T18:48:00.001-08:00

10 Big-Impact, Low-Cost Remodeling Projects

Working with sellers who have some—but not unlimited—cash for upgrades? Here are budget-minded enhancements you can suggest to make their home stand out.

1. Tidy up kitchen cabinets.
"Potential buyers do open kitchen cabinets and look inside," says Morrissey. "Home owners can add rollout organizing trays so when buyers peek in, they feel like there’s lots of room for their stuff."

2. Add or replace tile.
"By retiling very inexpensively, you make a room look way cleaner that it was," says Javier Zuluaga, owner of Home Repairs and Remodeling LLC in Tempe, Ariz. "Every city has stores that offer $1 to $2 tile, so home owners have to pay only for the low-cost tile and labor to replace a dated backsplash or add a new one. We also use inexpensive tile to upgrade bathrooms."

3. Add a breakfast bar.
When a wall separates a kitchen from a family room, suggest cutting out an opening to create a breakfast bar. "In one home, there was a cutout in the wall between the kitchen and living room," explains Matthew Quinn, a sales associate at Quinn’s Realty & Estate Services in Falls Church, Va., who handles estate and real estate sales for family members whose loved ones have passed away. "We left the structure of the cutout, added an oversized granite breakfast bar, and put chairs in front of it. That cost about $600."

4. Install granite tile instead of a slab.
"Everybody is hot for granite kitchen countertops, but that can be a $5,000 upgrade," says John Wilder, a general contractor and owner of Fence and Deck Doctor in New Castle, Ind. "Instead, home owners can put in 12-inch granite tiles for about $300 in materials and get very high impact for little money."

5. Freshen up a bathroom without retiling.
"With a dated bathroom, I recommend putting in a new medicine cabinet for $100 to $150, light fixtures for about $100, a faucet for $50 to $75, and a vanity for $200 to $300," says Wilder. "And instead of replacing the tile, the existing grout can be lightly scraped and regrouted, which leaves a haze that can be buffed out and will make the tile look brand new. Also install glass shower doors. A French door adds a lot of panache and elegance for $250, and people will notice the door, not the tile. With all that, you’ve done a bathroom remodel for $1,000 to $2,000."

6. Freshen up the basement.
"If home owners have cement block or poured concrete walls in the basement, suggest they have a contractor fill in cracks with hydraulic cement and then paint with waterproofing paint," recommends Wilder. "They can then add a top coat to add color. They can also paint the basement floor with a good floor paint, which spiffs it up. The basement may not be finished, but it’s no longer a damp dungeon."

7. Add a room.
Look for large spaces that can be enclosed to create a new bedroom for just the price of creating a wall. "One time, we closed off a half-wall to an office and added a door to the other side of the room, thus creating another bedroom," says Quinn. "That $400 procedure, which took a contractor one day, netted about $40,000 in the sales price." Zuluaga has also added bedrooms inexpensively. "In a two-bedroom house, there was an archway that led to a third room that was used as a den," he explains. "It had a dry bar where there would have been a closet, so we took out the dry bar and created a closet so the owners had a third bedroom."

8. Spruce up cabinet fronts.
Suggest home owners update tired-looking kitchen cabinets. Reconditioning is the least expensive move for under $1,000. "If the wood is starting to look shabby from use or contaminants in the air, we take out the nicks and scratches, recondition it with oil, and put new hardware on," explains Heidi Morrissey, vice president of marketing and sales at Kitchen Tune-Up in Aberdeen, S.D. For $1,500 to $4,000, owners can replace the cabinet doors and drawer fronts, and for $4,000 to $12,000, they can have all the cabinets refaced. "With refacing, owners can change the color of the cabinets by replacing the door and having a new skin put on the boxes," says Morrissey. "If they have oak cabinets today, they can have cherry the next day."

9. Replace light fixtures.
"In a foyer and in bathrooms and kitchens," says Wilder, "replacing overhead light fixtures provides a lot of pop for a little money." If the kitchen has track lighting, Zuluaga suggests the home owner spend $450 to $600 to have an electrician replace it with recessed canned lights on a dimmer switch to add ambience. For about $700, Zuluaga also suggests installing pendant lights over a kitchen island or peninsula.

10. Tech-up the garage.
"Sometimes we replace the garage door opener with a remote touchpad entry system," says Zuluaga. "That costs about $425 and makes it look like a high-end system."

2009-12-18T06:19:00.001-08:00

Housing Market Remains Stable in November
DURHAM REGION December 4, 2009 – Durham Region Association of REALTORS® President
Debbie Dawson reported 695 sales of single family homes in November, down 19 percent from the 860
record sales in October but up a large 70 percent from 409 sales in November, 2008. “Sales last
November were much lower due to the slump in the market,” commented Dawson. “November 2004 to
2007 sales averaged 661 so we’re not far off the mark.”
The average price of a home in Durham Region slipped to $286,497 from $289,003 in October but
reflects a 6.5 percent jump from $268,902 at the same time last year.
The number of listings on the MLS® System have dropped again this month to 1593 from 1753 last
month but shows an even bigger decline of 44 percent from 2838 in November, 2008. “The slump in
homes on the market is reflective of a sellers market”, commented Dawson.
“Year over year sales and average selling prices are on the plus side which is positive news,” commented
Dawson. “October was another record setting month for sales and with interest rates still at an all time
low, we expect the strong fall market to continue.”

2009-12-17T11:53:00.001-08:00

Research your purchases and
know the true cost of ownership:
SHOP AROUND
The Internet is a great place to make
sure you’re getting the best price, and
there are a number of online sites you
can use to search and compare services
before you go to the store. If you decide
to purchase something on the Internet,
check several websites and make sure
you deal with reputable merchants.
Some great sites include:
www.pricegrabber.ca
www.canadaspace.com
Consider reliability and warranties when
comparison shopping. A high-quality
product with a good warranty may be
worth paying a little more for up front.
Consumer guides can be worth the cost
if it leads to the right decision, and back
issues can be found at the library.
Read the fine print before you buy.
Look out for hidden fees, usage charges
and costs for additional services. Always
ask about refund and return policies.STOP
DON’T GET RIPPED OFF.
FIGHT BACKand keep your money.
© 2009 Buffini & Company All Rights Reserved. Used by Permission. LGK DECEMBER CAP C
Scrutinize special offers,
promotions and bundled packages:
EXERCISE DUE DILIGENCE
Before you decide to purchase any
kind of insurance, or phone, cable or
Internet service, compare the bundled
cost with the price for each service
separately. Select the company that
offers the best overall plan at the
best rate.
While bundle and
bargain offers can
promise significant
discounts, carefully
consider the purchase
of additional
merchandise or
services. If you
don’t really want or need the extras, it’s
not a good deal.
Often, special offers are temporary
price reductions on a longer-term
contract. Make sure you calculate the
annual cost of each option for an
accurate comparison.
Don’t be afraid to negotiate and ask
for discounts:
NEGOTIATE THE BEST DEAL
Always ask for fees to be waived;
sometimes they will be, but if you don’t
ask, they definitely won’t be waived.
Here are effective negotiation tips:
• Research prices and store policies, and
bring evidence of better deals, such as
Web printouts, flyers and ads.
• Be patient and pleasant.
• Ask a manager—the person helping
you may not have the authority to offer
a discount.
• Be willing to walk. The most persuasive
tactic you have is the ability to spend
your money someplace else.
• Call your service providers periodically
and ask for a rate reduction; competition
is high and the mention that
you are shopping around is usually
enough to get a vendor to compete
for your business.
With businesses focused on increasing profits, it’s an everyday
battle to hold onto your hard-earned dollars.
Consider these facts:
• Over 50 percent of Canadians pay monthly service fees for banking;
these fees account for about 5 percent of total bank revenues.
• Credit Card fees are an enormous hidden cost for average
Canadians, amounting to $4.5 billion a year.
• Canadians spent $1.8 billion on gift cards in 2006.
• According to the Competition Bureau, as few as 1 percent of
consumers go to the trouble of claiming rebates.
• Approximately 78 percent of cell phone minutes paid for
remain unused.
Twelve Ta1ctics to Be2come a Savvy Saver
Earn
Happiness
Studies have shown that experiences provide more long-lasting happiness
than possessions. Try some of these free experiences to brighten your day:
Spend Less:
• Wait 30 days before buying anything you don’t absolutely
need; chances are the urge to buy it will pass if you wait, and
if not, you may find the item on sale.
• Avoid temptation by opting out of catalogues or e-mail
announcements from companies trying to sell you things
you don’t really need.
• Purchase birthday and holiday gifts throughout the year and keep
them in a designated box or closet; making a list of everyone’s
special occasion needs will make it easy to take advantage of sales.
• Try frugal gift-giving, like giving the gift of spending time with
someone, giving something you baked or made yourself or
helping them out with a project; it doesn’t have to cost a lot to
be a generous gift.
• Create a sleeve for your credit card(s) with pictures of things you
really care about to remind you of what you are saving for ...
or the debt you’re paying off.
• Exchange your books, DVDs, CDs, video games and other items
with friends and family, or use an online service to swap or sell.
Spend Smart:
• Prevent unnecessary or poor-quality home and auto repairs by
finding skilled, honest professionals from a trusted source.
• Evaluate your cell phone plan options regularly to make sure they
match your needs; check to see if another plan would save you
money. Also get rid of the excess channels on your cable package
that you rarely watch; it’s cheaper to rent a movie once in a while.
• Start shopping for airline tickets about four months before
departure; look for trends and use technology like e-mail alerts
to help you see when your destination has the cheapest airfare.
• Use flexible spending accounts to pay certain medical, dental and
child care expenses using pre-tax dollars; check with your HR
department for more information.
• Save on your insurance premiums by paying them annually or
semi-annually instead of monthly or quarterly.
• Consider buying pre-owned; you can buy almost anything in
a resale environment locally or online at a great price.
• Check out the community calendar on your town’s website or stop by city hall to find a list
of events going on in the community, many of which are free.
• Find out if any local museums or zoos have any free public exhibits or if they offer free
admission on certain days or free passes upon request.
• Volunteer your time; there are countless volunteer opportunities out there that require
nothing more than your time.
• Attend a free class, like a cooking class at a local food store, a home repair class at a hardware
store or a yoga class at a local community college.
• Visit the library to check out magazines, books, DVDs and CDs for free.
• Mingle with your neighbours; they can become not just your friends but also a valuable
resource as a friendly pair of eyes on your property when you’re away or a helpful set of
hands when you’re trying to complete a challenging task. Offer to help them as well.

2009-12-15T11:25:00.001-08:00

Buyers - Who Represents You?
An important topic in the world of real estate is the issue of agency. Some people might have you believe that it really doesn't affect you, the buyer, and that nothing much has changed. But they are wrong.

The topic of agency is important to buyers because it answers the most fundamental question that can be asked of any real estate professional: Who do you represent in this transaction?

Until that question is answered, you may be left with the impression that all agents who work with buyers actually represent those buyers, and that you have somebody going to bat for you in a transaction. Well, the issue of agency is important, because without it you can never be sure who represents who.

Here's a scenario:

At an open house, you meet a great agent named Bonnie. Even though the house Bonnie is showing is not right for you, she tells you she has others to show you that fit your needs exactly. You spend an hour or so with Bonnie looking at a half dozen homes and talking about your needs and your wants. During the course of the conversation, you volunteer that you have $250,000 cash to spend and that you will not go over $250,000 purchase price no matter what. Then you find the perfect house. Asking price is $250,000 but you decide to offer $242,500 based on recent sales in the area. During negotiations, the seller asks Bonnie directly how much cash you have and how high will you go. What does Bonnie say?

Here's the answer: Unless you have signed a "Buyer Agency Agreement" with Bonnie making her your buyer agent, she is most likely acting as a subagent to the listing agent who represents the seller. If that is the case, she has a fiduciary obligation to the seller to disclose to him any information she has that might "promote or protect his interest" in the transaction. Guess what? Bonnie has that information.

The seller, having talked to Bonnie now has knowledge of your financial position, counters at a full $250,000. He knows you can afford it and that this price falls within your desired range. He also knows that you have seen a number of other homes and that this is the one you want.

Regardless of what eventually happens in this scenario, it can hardly be called an even playing field. So, how can you protect yourself from a possible disclosure required of a seller's agent?

Get a written "Buyer’s Agent" agreement. Make sure that the agent you are working with has agreed, in writing, to represent you as a "Buyer's Agent." This will mean signing a buyer brokerage agreement in which you promise to work only with that particular agent for a specific period of time, often 90 days. It also means that you promise not to buy from anybody else, even FSBOs, without involving your buyer's agent. In almost every case, the commission will still come from the seller, but your agent must present the offer.
Never disclose anything you wouldn’t want the seller to hear. Never say anything to anybody unless you would be willing to have that information repeated into a seller's ear. Assume that everybody, and I mean everybody, is working for a seller unless you have specifically hired them to work for you. And even then, be discreet.

Don't Let an Imperfect Home Inspection Scare You Away

2009-11-20T11:56:00.001-08:00

Unless it's new construction, no home will be in perfect condition

Be present for the home inspection so the inspector can explain any issues. The final inspection report may not give the full picture.

.The property inspection is a critically important part of the homebuying process. Most buyers like to know that the home they will be purchasing is structurally sound and that the systems are safe. That sounds reasonable enough. Yet, as a working agent, I often see the inspection process nearly derail the transaction, and not for the right reasons.

Don't forget why you came

Any inspector or agent will tell you that the purpose of the home inspection is to investigate conditions which may rightly affect the decision to buy. Health and safety issues top the list; no buyer wants to unknowingly move their family into a death-trap or a money pit. Too often, however, the inspection becomes confused with an opportunity to pursue perfection. Unless the home you are purchasing is new construction, it will not be perfect.

So what is important? Faulty wiring, missing or inoperable smoke detectors, and, in California, water heaters which are not equipped with proper seismic strapping are all good examples. Other things generally considered "inalienable" rights include working appliances, water-tight roofs and windows, and plumbing which doesn't tend to channel Old Faithful.

The inspector will not limit items called out in the report to the "biggies," however. Their job is to thoroughly inspect each room in the home for deficiencies, however small. And, too often the buyers will request a list of repairs which reads like the blueprint for the Hubble telescope. I always advise my clients that if they want the best chance that the seller will address the truly important stuff, it is critical to avoid getting bogged down with minutia.

Will the fact that a drain stop in the guest bath is a little out of whack really be enough for you to cancel contract? Probably not. On the other hand, the under sink cabinet which, thanks to an ongoing pipe leak, needs a serious shave and suggests the presence of mold may be something worth the seller's attention. You can adjust the sprinkler hitting the garden window after you move in; a carbon monoxide leak at the furnace should probably be addressed before you hit the hay for the first time in your new home.

So, in order to assess what is really important, you need to simply read the report. Right? Not necessarily.

You had to be there

Most of the time, it's not enough to just read the inspection report. You really do have to be there. This is because inspectors like everyone else are concerned about liability. For this reason, their written words tend to err on the side of caution.

Inspector at the home: "This outlet has reversed polarity."

Buyer at the home: "What is reversed polarity?"

Inspector at the home: "It is (speaking loudly and slowly) when the polarity is reversed. I'll note it in the report."

Inspector in the report: "Electrical outlets at various locations show evidence of improper and/or faulty wiring and/or gross negligence on the part of the contractor who had no personal stake in the safety of future owners or their families. Recommend a complete toxic mold investigation and remediation by a licensed HVAC/OPEC/FDIC/Structural Engineering specialist as well as immediate relocation of any remaining, living occupants to high ground in a neighboring county."

I embellished, of course, but only a little. And if the actual findings don't scare you back to your rental, the boilerplate language in the report will. We recently had an inspection on a newer home where the inspector found only a dime-sized spot of discoloration on the carpet outside of the shower stall. The inspector confessed that somebody must have dripped a little. The report, however, told a different story. "We recommend a full evaluation and remediation as needed of this area as well as the entire dwelling by a qualified, licensed mold specialist," it read. The entire dwelling? Because someone didn't use the plush towel? And this one I didn't make up.

Due diligence and common sense can coexist

As a buyer it is your right and your privilege to thoroughly investigate the condition of the home you wish to purchase. In fact, I'll go one step further; it is your obligation. But, you owe it to yourself and the seller to remember that unless the home is new, it is not and will never be again. Fight the important battles rather than petty squabbles and, whatever you do, make sure you are there for the inspection so that you can make the distinction.

Mortgage Rates - Making sense

2009-11-05T07:15:00.000-08:00

MAKING SENSE OF MORTGAGE RATES IN TODAY’S ECONOMY - Many prospective homebuyers are wondering what has happened to mortgage rates in 2009, and where they may go from here. RBC Economics Research recently updated its’ outlook, and here is what the group has to report.

Since hitting a low in January of 2009, longer-term interest rates have trended higher with the move accelerating in July. The prospect that the worst is over for the global economy is giving investor’s confidence to venture out of low-return fixed income securities and seek higher risk investments. While we expect many bumps on the road to recovery we still see potential for a very modest decrease in long-term rates in the final quarter of this year.

OUTLOOK FOR THE FUTURE - Momentum in the global economy appears to be changing. Leading indicators currently point to the end of economic contraction for industrialized world in 2009. Stimulus from central banks, combined with government fiscal stimulus packages, is expected to support a fledgling recovery that is forecast to build momentum in 2010.

Until this recovery is well underway, no changes to policy rates are likely. The Bank of Canada is expected to maintain the status quo until mid-2010. Once the recovery is well established, central banks will normalize their policy rates, and interest rates are likely to increase.

FIXED VS. VARIABLE RATE MORTGAGES - One of the biggest decisions homebuyers face is choosing between a fixed or variable mortgages. This is not a simple decision, which is why many people are looking for advice to help them decide which mortgage interest type is best for them. I can help homebuyers and homeowners decide which option best fits their situation and risk tolerance.

Mortgage rates continue to trend at historic lows, despite the fact fixed rates have edged up recently. In this environment, people who are comfortable without a guaranteed rate are opting for a variable rate mortgage. Such a strategy could result in considerable interest savings.

What homebuyers choose should depend on how they feel about rate fluctuations and cash flow. Example: homeowner may want assurance that rate and payment will not change, and may be wise to opt for a fixed term. A homebuyer who is not concerned about rate fluctuations may want to take advantage of today’s low variable rates in a bid to save more on mortgage interest over long term.

Statements + statistics provided by RBC Economics based on information from sources considered reliable.

When the price is right...act quickly!

2009-10-28T08:18:00.001-07:00

Should you always negotiate the price of a home you’re interested in? That’s a question more and more Canadian homebuyers are asking these days. While every transaction is different, some buyers may be surprised to learn that there will be times when it is appropriate -- and even desirable -- to go in at the asking price. This is where the expertise of your real estate professional really proves its worth. One of your sales representative’s most important duties is to provide you with the appropriate research to help you make sound decisions. They can tell you when a home is well priced, and whether or not there are comparable alternatives on the market. And they can also tell you if there are likely to be other offers competing with your own.

If you’ve found a great property that meets all your criteria, the asking price is attractive, and there aren’t any other comparable homes available, you may be well served to go in at the asking price. Buyers should take into consideration that negotiating the price extends the timeline when the home is still open to offers and during this time, other buyers may enter the process. Sometimes the best course of action is to go in at the asking price and bring negotiations to a swift conclusion. This is especially true in a hot market with low inventory.

But what happens if you’re interested in a home but think it’s overpriced? If everything else is right about the house, don’t just walk away...negotiate! You have nothing to lose and everything to gain by making an offer. If it’s not accepted exactly as submitted, then you are under no further obligation.

One word of caution -- be sure that you have your facts straight before you assume that a property is overpriced. Before you decide on what price to offer, your Coldwell Banker® real estate representative can show you recent sales and also active listings of comparable properties, as well as advise you about local market trends and conditions. All this will help you to estimate what price range the home will likely sell for in the current market. And this same information can also help your sales representative to negotiate from a position of strength.

BMO study says variable rate mortgages better deal for borrowers most times

2009-10-26T10:26:00.000-07:00

by THE CANADIAN PRESS
Sunday, October 25, 2009
provided by

TORONTO - Fixed mortgage rates may help you feel secure in your budgeting, but the Bank of Montreal (TSX:BMO) says the more volatile variable rate mortgages will save you money in the long run.

The bank put out a report Friday showing that, over the past 30 years, variable-rate mortgages have been more cost-effective about 82 per cent of the time.

That may come as a surprise to some after studies have shown many Canadians prefer a fixed-rate mortgage.

A fixed rate locks the borrower into a set interest rate for a certain period of time.

That gives many borrowers peace of mind knowing how much money to set aside each month for their mortgage payment.

Variable rates change along with interest-rate moves.

BMO said the Bank of Canada's overnight lending rate is at its lowest possible point now, which could mean there are fewer benefits to a variable rate in the foreseeable future.

BMO highlighted two historical periods when fixed rates were considered beneficial - in the late 1970s and late 1980s - and both were just before interest rates started rising again.

The bank added that the current interest environment is similar to both of these periods.

"Short-term rates are at extreme lows and pressure is likely to build for higher rates in the year ahead,"said deputy chief economist Doug Porter in the report.

"The question of whether to lock in to a longer-term fixed mortgage rate or stay in a variable rate has become an increasingly complex and important issue."Canada has been in a long-term declining rate environment since the early 1980s, the bank suggested.

As a result, the spread between five-year fixed mortgages and variable mortgages has been pushed wider in recent years, and is now near an all-time high.

Insurance

2009-10-16T08:27:00.000-07:00

BEST SELLING SEPTEMBER ON RECORD

2009-10-15T11:09:00.001-07:00

The Durham Region Association of REALTORS® (DRAR) reported 825 sales in September 2009, down .5% from August 09's 875, but up 9% from the 752 recorded in September '08'.

Average selling prices were up 1.4% ($282,308) in September, from August's $278,400, and up 5.5% from the $267,478 reported in September '08'.

"Durham's fall market is starting stronger than ever," said Debbie Dawson, 2009 DRAR President. "With the reported 825 sales this September, it is the best selling September on record!"

Total active listings are down 36% (1920) from September 08's 2989, and up 2.9% from last months 1865.

"This year's real estate market has been a rollercoaster ride," commented Dawson. "With a weakened economy Durham's first quarter started off rocky. Government incentives kicked the second quarter into gear and into a buyers market. Now with listings well below the same time last year the market has spun into a sellers market. In the first quarter we never would've anticipated setting any records, but with both June and September in the record books, the first quarter pessimism has come and gone with the changing of seasons."

Durham REALTORS®, We Work Where You Live. To contact a local Durham Association REALTOR® for more specific and local housing statistics or to search for an open house please visit www.DurhamRealEstate.org. Last Update Occured: October 7, 2009