Wednesday, October 19, 2016

Bank of Canada holds key interest rate steady at 0.5%

OTTAWA – The Bank of Canada has downgraded the country’s growth outlook yet again as it released fresh projections Wednesday that pointed to dampened expectations for exports and real estate activity.
The central bank also held its trendsetting interest rate at its current low level of 0.5 per cent, which was widely expected.

READ MORE: Canada expected to run bigger deficit than Trudeau budgeted: TD Bank 
The bank’s latest monetary policy report blamed exports as a main contributor for the lower forecast, following a weaker-than-anticipated performance and somewhat gloomier prospects for the future.
The report also predicted growth to take a hit from an expected decline in real estate sales activity, which it said will follow the federal government’s recently announced measures intended to stabilize the housing market.
On Wednesday, the bank provided an analysis of those measures, predicting they will lower the country’s level of real GDP by 0.3 per cent by the end of 2018.
The report also reiterated the bank’s position that it expects the changes, which seek to slightly limit borrowing and to cool hot markets, will help ease household vulnerabilities.
The bank is now projecting Canada’s real gross domestic product to expand by just 1.1 per cent this year, down from its July projection of 1.3 per cent. For next year, the bank is forecasting growth of two per cent, down from its previous call of 2.2 per cent.
“The outlook for exports remains subject to considerable uncertainty, which has significant implications for the economic projection,” the Bank of Canada said in the monetary policy report.
“The downward revision to exports, including spillovers to domestic demand and imports, lowers real GDP by 0.6 per cent by the end of 2018.”
The bank added that the economy isn’t expected to return to its full capacity until mid-2018, which it called “materially later” than the late-2017 time frame it had anticipated three months ago.
“The Bank of Canada delivered a whiter shade of dove in today’s statement,” Douglas Porter, chief economist with BMO Financial Group, said in a note to clients.
“This is a bank that has precisely zero appetite for rate hikes, and seems to be keeping a flame alive for the possibility of rate cuts, should the need arise. We continue to look for the bank to keep rates unchanged through next year, with the earliest possible move up not until 2018.”
For a couple of years, the bank has been expecting a solid increase in non-commodity exports, helped along by a lower dollar, to offset the negative economic impact of low oil prices.
Bank of Canada governor Stephen Poloz has said the full adjustment should take three to five years, but the shift has been slower than expected – a process that has perplexed the bank.
“It’s our lack of understanding that causes us to say something like … there’s a level gap between where we thought the economy would be … and where it actually is,” Poloz said earlier this month.
Despite the downgrades, the bank also offered reassurances that it sees promise ahead.
Thanks to momentum in the global and U.S. economies, the bank still predicts the Canadian economy to rebound over the final half of this year from a second-quarter contraction.
The hoped-for bounce back, however, is expected to come at a slower pace, with an average real GDP growth of about 2.5 per cent over the last two quarters of 2016.
The bank predicts third-quarter growth of 3.2 per cent, down from the July forecast of 3.5 per cent, and fourth-quarter growth of just 1.5 per cent, down from 2.8 per cent.
“The bank expects solid household spending to continue to be the main contributor to growth, with additional support from government spending and exports in 2017,” said the report, which also noted that business investment is expected to provide some help.
The government’s enhanced child-benefit program, which started mailing cheques to families in the summer, is also expected to deliver a boost in the second half of 2016. In addition, Ottawa’s commitment to invest billions in infrastructure will begin having an impact moving forward, the bank said.
© 2016 The Canadian Press

Monday, October 17, 2016

Your home may be worth more than you think. Click for a FREE valuation.

Your home may be worth more than you think. Click for a FREE instant valuation.

Tuesday, October 04, 2016

Victoria Housing Market Chills Out For Fall

A total of 781 properties sold in the Victoria Real Estate Board region this September, an increase of 10.9 per cent compared to the 704 properties sold in September last year.

Inventory levels remain lower than last year, with 2,061 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of September 2016, 40.7 per cent fewer than the 3,478 active listings at the end of September 2015.

"This is the lowest level of inventory on the market in September that we have on record [since 1996]," notes Mike Nugent, 2016 President of the Board. "This continuing lack of inventory holds up sales. The market is still strong, but not moving at the pace we saw earlier in the year. This slowdown is typical with what we expect in the fall to winter season and may be more pronounced as a result of buyer fatigue, due to the lack of available inventory."

The Multiple Listing Service® Home Price Index benchmark value for a single family home in the Victoria Core in September 2015 was $607,100. The benchmark value for the same home in September 2016 has increased by 22.8 per cent to $745,700.

"We have already exceeded the number of sales that we saw in 2015, with a full quarter remaining in the year," adds President Nugent. "And there is still strong demand, thanks to underlying fundamentals in our province - the GDP is up, employment numbers are up, retail and population growth is up. All of these contribute to current market conditions. We also see no indication that the new foreign buyer Property Transfer Tax in Metro Vancouver has pushed foreign buyers into our market in a substantial way, though we continue to track that as a possibility."

The graphic below shows market price activity in 3 areas over the past year

If you are considering buying or selling anywhere on the South Island, call Lorne Tuplin today 250-217-4600!

Friday, September 09, 2016

SOLD! Triplex on Langford Lake
REDUCED $110,000 to $839,0000


A rare lakefront revenue property! This spacious legal non-conforming triplex is situated on .17 acre of waterfront. Each of the 3 suites enjoying the fantastic southwesterly view of the quiet waters of Langford Lake. Over $65,000 in recent updates incl new windows, new flooring, fresh paint, new deck surface, new roof over 2 of the 4 garages, new hot water tank & now on sewers. The middle suite is level entry with access to a large deck overlooking the lake. The upper suite has been nicely updated (incl new appliances). Conveniently located close to all the amenities in a growing community AND this part of Goldstream has been cut off from the highway! Blueprint available. To view, call Lorne Tuplin with RE/MAX Camosun 250-217-4600



Upper Suite Kitchen

Lower Suite Kitchen

View from lower suite

Main floor kitchen

Panoramic view

Wednesday, September 07, 2016

This is a busy month in many households. Summer is over. The kids are back in school. It’s time to prepare for the change in seasons.
If you're trying to find someone to help finish any lingering yard work or home repairs, give me a call. I can recommend professionals in almost any home related field – like contractors, designers, landscape companies, junk removal services, handy people, and more.
Of course, if you, a friend or neighbour wants real estate help, please call me for the professional advice you need.

Lorne Tuplin
RE/MAX Camosun
Victoria, BC
Cell: 250-217-4600Toll Free: 1-877-478-9600
  RE/MAX Awards: Lifetime Achievement, Hall of Fame
What Buyers Notice Most When Viewing a Home
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Do you remember the last time you viewed a home for sale? What do you recall about that property? You likely remember the features and characteristics that stood out, such as the gorgeous hardwood floors, the spacious kitchen with the long island, or... the faucet that was dripping in the main floor washroom!
Obviously, you want potential buyers to notice the great features of your home rather than those things that are less appealing. So, when preparing your home for sale, pay particular attention to what a buyer is likely to notice and remember.
Say, for example, you have a small unused bedroom that has become the unofficial storage room. If something doesn’t go anywhere else, it gets put in that room! Now it’s a cluttered space.
What will buyers remember about that room after a viewing? Will they see the potential for a home office or comfy reading room? Most likely, they will just remember a small, cluttered, potentially unusable space.
Buyers will also notice a dripping faucet, a scuff in the wall, or the lingering odour of spicy cooking in the kitchen. They will remember all the things that stand out, regardless of whether they are positive or negative.
So, when you list your property, make sure that what stands out for potential buyers are the desirable features of your property.
If you have a wonderful sitting room with large windows and a great view, make sure that space is clean and comfortable. You may even want to “stage” it a little, perhaps with some fresh flowers and a good book sitting on the end table.
As your REALTOR®, I can help you determine the most marketable features of your property and how to ensure buyers notice – and remember – them. Call me today.
Make a “Great Things” List
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What’s great about your home? Is it the spacious foyer and generous main floor closet space? Is it the beautiful washroom? Is it the playground that is only a short walking distance away?
Although some properties may look similar at first glance, every home is unique – with features and characteristics that make it special.
If you’re considering putting your home on the market, make a list of all the great things about your property that potential buyers will want to know.
Start by thinking about what you think are the desirable features of your home. Write down what you really love about the house and the surrounding area.
Next, think about what friends and other visitors to your home think is great about it. Have you ever heard anyone say something like, “I really love your kitchen!” or, “This is such a quiet street”? Those are indications that potential buyers will like those features and characteristics too.
Finally, talk to me. I can help you determine all the great things about your home and area, and how to market them.
Can You Afford the Home You Want?
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Can you afford to purchase the home you really want? Here are some things to consider:.
  • What kind of home do you want? What kind of neighbourhood do you want to live in? What features and characteristics do you need in a home? (Three bedrooms? A large livingroom for entertaining? A backyard big enough for a garden?)
  • What homes currently on the market match that criteria? Are there some properties for sale that are close to what you’re looking for? What are their listing prices? How much, realistically, will it cost to buy one of those homes?
  • How much, realistically, can you expect to get for the sale of your current property?
  • How much of a mortgage will you need? How does that compare to the mortgage you qualify for?
  • What additional costs will you incur in selling your current property and purchasing your new home? (For example, moving, home inspection, repairs and renovations, closing costs, etc.)
Chances are, there’s a home on the market that you can afford – and is right for you. Call me today to discuss.

New Listing - Lakefront Triplex

Looking for that special holding property or always wanted to build on a South exposure lake lot?  This property would potentially bring in $3,000-$3,500 per month. Each suite has its own garage & two have decks. Asking $949,900. Call Lorne to view 250-217-4600.

Thinking of Selling?

If you are considering selling a home, condo or townhouse, now is the perfect time to maximize on your return on investment!
Homes are selling quickly and in many cases for more than list price. Call me to talk about the listing process.
Direct Cell is 250-217-4600

Lorne Tuplin
RE/MAX Camosun
Victoria, BC
Cell: 250-217-4600
Toll Free: 1-877-478-9600
RE/MAX Awards: Lifetime Achievement, Hall of Fame