There's a new class action lawsuit initiated in Canada, following the US lawsuit against the National Association of Realtors (NAR) and some of the top real estate brokerage brands. The issue is that the current system is anti-competitive, to sellers that want to sell without having to be forced to pay a buyer's agent's commission.
This made big headlines over the past year in the States, and it looks like it's coming here. Will it change the way we do business here?
Read MoreThe last time that the Bank of Canada paused their rate hikes in Spring 2023, the real estate market went bananas. Now that we are at or are near the terminal rate, what do you think will happen in the Fall 2023 GTA real estate market?
This isn’t going to be a market prediction discussion, but Ken and Michael do dive into the various factors contributing to all the uncertainty in the market. Listen in on our discussion and let us know of your thoughts.
Read MoreThere's a new project coming to the Durham Region in Ontario, Canada. It's a mixed-use development, in Pickering's city core. This is the best affordable project in the Greater Toronto Area, with one bedroom condos starting in the $500's, at $1,050 per square foot.
Normally I would say don't just buy based on what's cheap, but I'm excited about this project because of the value that you get buying into a master-planned community, all created by one developer. Imagine a new city plopped on top of a thriving mall, with 6,000 units anchored by a 180-store mall, with 300,000 sq ft of office space, community centre, a hotel, and parks. All this density will create new employment opportunities, with entertainment for residents not only in the new towers, but in the overall Durham Region itself.
Getting to Downtown Toronto is also easy, with a 6-stop GO Train ride that will bring you to Union Station in 40 minutes. It's also right off the Highway 401, and will be a part of a new bus network.
Join us as we do a deep dive into the Pickering City Centre development, and discuss whether or not it is a good buy.
Read MoreToronto has a huge supply and demand issue in the housing market. With the need for strong immigration and with the lack of housing starts, this is going to get even worse in the future. The fundamentals make sense in the long run, but does it make sense to invest in real estate now with the fastest run up in interest rates in history? Is now the time to buy the dip, or are we going to see more pain coming?
There’s also the struggle for affordability in Toronto. Can the city sustain these massive budget deficits? Will they raise our taxes?
Read MoreBlind bidding, a longstanding practice in Toronto's real estate market, may finally be coming to an end with the new Trust In Real Estate Services Act (TRESA) legislation.
A few years ago, the Canadian government announced plans to reform the housing market, including a proposed ban on blind bidding. This controversial practice, where potential buyers submit offers on a property without knowledge of competing bids, has long been criticized for driving up prices and suppressing transparency.
With this potential change, buyers in Toronto may finally see a shift towards a more equitable and transparent real estate market. While it remains uncertain when these reforms will come into effect, the possibility of bidding wars becoming a thing of the past brings hope for a fairer and more accessible housing market in the city. At least, for buyers.
Could this be the start of a new way of doing business in Ontario?
Read MoreThe soaring real estate prices in Canada have created a stark reality where a decent income alone is no longer sufficient to afford a home. The increasing cost of homeownership has far outpaced wage growth, making it incredibly challenging for middle-class families to enter the housing market. Factors such as low housing supply, population growth, and speculative investment have contributed to the current landscape. Moreover, the stringent mortgage stress test and rising interest rates further exacerbate the struggle for prospective homebuyers. As a result, the dream of owning a home is slipping out of reach for many Canadians, creating an urgent need for policies and solutions that address affordable housing and income inequality in our country.
So, where do we go from here?
Read MorePassive homes have gained significant recognition in recent years for their innovative and sustainable design principles. These houses are not just another architectural trend, but rather a response to the pressing need for energy-efficient and eco-friendly living spaces. With an emphasis on reducing energy consumption, passive houses have become a beacon of hope for mitigating the environmental impact of residential buildings.
The concept behind passive houses is simple yet revolutionary - to create homes that require minimal heating or cooling systems. By implementing a well-thought-out combination of insulation, solar energy utilization, and efficient ventilation, passive houses are able to maintain a comfortable indoor climate year-round without excessive reliance on fossil fuels.
One key feature of passive houses is their air-tightness, achieved through the use of continuous insulation and high-performance windows and doors. This not only prevents heat loss in cold weather but also keeps the interior cool during hot summer months. The carefully sealed structure ensures that external elements, such as drafts and pollutants, are kept at bay, resulting in a healthier and more comfortable living environment.
Another essential element of passive houses is their strategic use of solar energy. Large south-facing windows and properly positioned shading devices allow for optimal solar gain during winter months, while preventing overheating in the summer. Additionally, the inclusion of solar panels on the roof contributes to a considerable reduction in energy consumption, as passive houses generate a significant portion of their own electricity.
One of the most fascinating aspects of passive houses is their reliance on natural ventilation systems. By incorporating heat recovery ventilation (HRV), which continuously exchanges stale indoor air for fresh outside air, these homes maintain a constant supply of clean and filtered air. The HRV system also transfers heat from the outgoing air to the incoming air, further reducing the need for additional heating or cooling.
Apart from their impressive energy efficiency, passive houses offer numerous benefits to their occupants. The superior insulation and air-tightness result in a remarkably quiet living environment by minimizing external noise penetration. Additionally, these homes prioritize the use of non-toxic materials, ensuring improved indoor air quality and reducing the risk of allergies and respiratory issues.
While the concept of passive houses has gained significant traction, there are still challenges to overcome. The cost of constructing a passive house can be higher in comparison to traditional homes due to the specialized materials and systems required for their construction. However, it's important to consider the long-term benefits of lower energy bills and reduced environmental impact that these houses offer.
Reach out to us if you want to come check it out in person!
Read MoreIf you exclude major streets (that don’t have land use designations), approximately 75% of the land in Toronto only permits a single family home to be developed on it. The other 20% are open spaces and employment zones (where people can work), leaving only 5% to be able to develop in to more denser uses. Furthermore, the re-zoning process is complicated, and takes several years and is an expensive process. So if you are faced with the choice to intensify land, you’d naturally want to swing for the fences, namely, large apartment buildings and condos.
This is where the “Missing Middle” term came from. It’s a range of housing types between single family homes to apartment buildings that have gone missing from large cities.
As of May 10, 2023, The City of Toronto has adopted an amendment to the zoning by-law and official plan to allow multiplexes citywide, thereby eliminating single-family zoning. You can now create up to 4 units on all lots with residential zoning, plus a garden or lane suite.
Will this be enough to solve the housing crisis? What’s the cost to do so, and what does the process look like? Are there any objections from the community? Find out more in this episode featuring Craig Rice of Lanescape.ca.
Read MoreThe numbers in Toronto real estate don’t seem to make sense any more. With the rising cost of home ownership, despite record growth in rental rates, the ROI is not there if you’re only looking at the yield. So what’s better, putting your money in a low risk high-interest savings account or GIC and getting 5% on your money? Or is investing in GTA real estate still the tried and true method of investing?
Read MoreIn May 2023, the number of sales has nearly tripled since the beginning of this year in January, and up by almost 25% year-over-year. Yet the average price is slightly down by -1.2% from this time last year. Are we in a seller's market, or still in a buyer's market?
Also, let's talk about ways you can kick out your tenants to sell your property. It's a question I often get from our clients and from agents in our office.
Read MoreOnly 18% of newly purchased resale properties are cash flow positive, and around half of new construction closings that were purchased 4-5+ years ago coming online now are cash flow positive. As you may know, cash flow is oxygen. Unless you can supply oxygen from other means to keep this thing alive, or maybe you don’t need oxygen at all (25% of new condo closings don’t have mortgages), becoming a landlord is a losing proposition.
Is it even financially viable to invest in Toronto real estate any more?
Read MoreDid you know that in the real estate sales industry, 50.7% of agents close 2 deals or less in the past 12 months? It’s no wonder why so many agents are so desperate. Here’s a story of how one of my ex-team members left the team and stole from us, most likely out of desperation.
Ultimately it’s my mistake for not making him sign a contract, I just didn’t think I needed to since we were friends. Oh well. I hope this serves as a learning lesson to those of you that have your own businesses with team members, and especially for real estate team leaders.
Read MoreThere are a lot of mixed signals in the housing market right now. Prices are on the rebound since the beginning of this year. New listings are at an all-time low. Will we have more inventory in Toronto? Will the real estate market collapse, if we get another rate hike?
Read MoreAs you are building out your real estate investment portfolio, which would you pick? A larger unit, or a smaller unit to invest in?
In this episode, Michael Ng and Kenneth Yim discuss the trade-off between larger units and smaller units to invest in. We talk about what gives the best return on investment, which one is easier to rent out, and which size is easier to sell.
Read MoreWhat are the causes, consequences, and potential solutions to this ever-increasing rent in the Greater Toronto Area?
Condo and apartment research firm Urbanation just announced that purpose-built rentals have hit a new record, surpassing an average rental price of $3,002 per month in Q1-2023. So what does this mean for landlords, if the tenant population cannot afford to live here any more? What can we do to mitigate this risk?
Read MoreMy new friend Derek Wu talks about the huge move from Montreal to Toronto, in search of better job opportunities but at the cost of more affordable housing and not as much entertainment options. We also discuss all the cool new technology from a resident’s perspective, and how it’s made his life easier.
Read MoreLooking to invest in Toronto real estate? There are lots of deals to be hand in today's assignment market, from people that purchased a few years back and now can't close (or don't want to) because of the high interest rate environment that we are in. Let's talk about the pros and cons of buying an assignment in Toronto, or if you're thinking about flipping a property you bought and haven't closed on yet, let's talk about that too. At the end of this video, I'll show you how to actually structure an assignment deal and the paperwork involved (for real estate agents).
Read MoreBy 2030 Toronto is estimated to have a population of 8 million people, on its way to 10 million by 2045. Toronto will be one of the most diverse megacities if Ontario government projections are correct. In this video podcast, we'll discuss the 6 factors that could shape the Toronto real estate market over the next decade.
Where do you think we are headed? Do you think the density will bring us to ruins or will we become an even more thriving metropolis?
Read MoreIf you're considering purchasing a property or coming up with creative strategies to get your listings sold, you may be considering a vendor take-back mortgage. VTB’s are a type of financing structure where the seller provides a loan to the buyer. Let's take a closer look at the advantages and disadvantages of this financing option.
Vendor take-back mortgages can be a good option for some buyers, especially those who may have difficulty qualifying for a traditional mortgage. However, it's important to weigh the pros and cons carefully before making a decision. If you're considering a vendor take-back mortgage, be sure to do your due diligence, negotiate the terms carefully, and have a clear contract that outlines the terms of the loan.
Read MoreLet's ignore all the negative headlines in the news AND the overly positive ones too, and let's just get into the facts. Let me give you my take on what I see in the first quarter of 2023 for the GTA Real Estate Market, and how it performed for the month of February, with an increase of 5.5% month-over-month in terms of the average price and over one and a half times the previous month's sales volume.
Let's also look at the shortage of new listings, resulting in bidding wars. Are they here to stay?
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