The provincial government announced today a potential tax savings up to $500 for new home buyers when they purchase a newly built home, effective for agreements written today until the HST is removed on April 1, 2013.  Details are as follows:

The new BC First-Time New Home Buyers' Bonus will be a temporary one-time refundable income tax credit for first-time home buyers who purchase a newly constructed home. The credit will be calculated as five per cent of the purchase price of the home up to a maximum credit of $10,000.

The credit will be phased out at a rate of 20 per cent of net income in excess of $150,000 for single individuals and at a rate of 10 per cent of family net income in excess of $150,000 for couples. Only one credit can be claimed per home.

The credit will be available on purchases of newly constructed housing where both the HST applies and where a written agreement of purchase and sale is entered into on or after Feb. 21, 2012.

And, of course, it is also important for them to have other kids in the neighborhood that could potentially become their friends.Several academic studies have shown that “kid-friendly” neighborhood features can have a significant impact on a child’s well being, psychological growth and academic performance.

Need help selecting the ideal neighborhood? Call the Dion-Ivans Real Estate Group today!

VICTORIA – New housing transition measures give certainty to an important economic sector and help to keep taxes equitable throughout the transition as the province returns to the PST, Finance Minister Kevin Falcon announced today.

B.C. will return to the PST on April 1, 2013, meeting the Province’s commitment to return to the PST as quickly and responsibly as possible, while ensuring businesses can plan their training and systems switch-over effectively to apply the sales tax correctly.

Government is announcing new relief measures that will benefit purchasers and builders of new homes. The B.C. new housing rebate threshold will be increased to $850,000, effective April 1, 2012, meaning more than 90 per cent of newly built homes will now be eligible for a provincial HST rebate of up to $42,500. It is important to note that the HST does not apply to resale housing.

In addition, to help support workers and communities in B.C. that depend on residential recreational development, purchasers of new secondary vacation or recreational homes outside the Greater Vancouver and Capital regional districts priced up to $850,000 will now be eligible to claim a provincial grant of up to$42,500 effective April 1, 2012.

The housing transition rules help ensure when people buy a newly constructed home under the PST, whether built entirely under the HST, entirely under the PST, or partly under HST and partly under the PST, they will all pay a consistent and equitable amount of tax.

Specifically:

• B.C.’s portion of the HST will continue to apply before April 1, 2013. Purchasers will be eligible for the new higher B.C. HST new housing rebate, of up to $42,500, and builders will continue to claim input tax credits.
• B.C.’s portion of the HST will no longer apply to newly built homes where construction begins on or after April 1, 2013. Builders will once again pay seven per cent PST on their building materials. On average, about two per cent of the home’s final price will again be embedded PST.
• For newly built homes where construction begins before April 1, 2013, but ownership and possession occur after, purchasers will not pay the seven per cent provincial portion of the HST. Instead, purchasers will pay a temporary, transitional provincial tax of two per cent on the full house price. This ensures equitable treatment among purchasers and will help mitigate distortive market behaviour. Builders will receive temporary housing transition rebates to offset PST on materials to help prevent double-taxation on homebuyers.

The transition rules outlined today provide certainty for new-home construction and sales, particularly during the transition period.

For goods and services that will be subject to PST, PST will generally apply where tax becomes payable on or after April 1, 2013. Detailed general transitional rules for goods and services will be available with the full PST legislation introduced in the legislature this spring.

The provincial changes are subject to the approval of the legislature.

Information provided by the Ministry of Finance. For more information please visit www.gov.bc.ca 

Canadian housing starts began the year with a seasonally adjusted annual rate (SAAR) of 197,900 starts in January. While starts were down slightly from December's mark of 199,900, the pace of new home construction remains strong.  New home construction in BC urban centres rose 29 per cent from December 2011, registering 27,000 starts (SAAR) in January. 

Looking at major metropolitan areas, housing starts rose 8.3 per cent year-over- year in Vancouver. In a bit of a role reversal, it was single family starts that drove growth, rising 50 per cent year over year while multi-family starts rose a modest 2 per cent. Abbotsford new home construction fell 54 per cent year-over-year in January due to weakness in both single-family and multi-family starts. New home construction in Victoria rose 5 per cent year-over-year in January due to strong growth in multi-family starts. Finally, new home construction in Kelowna continued to build on momentum from late 2011 as total starts rose 48 per cent year-over-year on balanced growth between single and multi-family starts. 

Source: www.BCREA.ba.ca 

Ideally, the first property you see when shopping for a new home will be the one you fall in love with and buy. But let’s face it. You’ll probably end up seeing several homes before reaching the decision to make an offer on one.

When you’re viewing homes, you want to make sure that the experience is enjoyable (rather than stressful) and that you get all the information you need to make the right decision. 

To help you do that, here are a list of items you should consider taking with you:

• A notepad. Have something with you so you can take notes – a pad of paper, laptop computer, iPad, even a voice recorder.
• Flashlight. Just in case there is an area in a home that is not well lit, such as the furnace room.
• Maps. Map out your route in advance. This will reduce a lot of potential stress.
• Water and snacks. If you’re viewing more than two properties, take some healthy refreshments with you, rather than relying on fast food restaurants. These will help keep your energy level up. (This is especially important if you’re taking kids with you.)
• A plan. Don’t just view properties randomly. Work out an itinerary in advance. This will help you make the most of your time.

Want more tips on making your home hunting experience less stressful and more productive? Call The Dion-Ivans Real Estate Group today!!

Has a new job or a new direction necessitated your moving to Kelowna, British Columbia? Or perhaps you visited, fell in love with one of BC’s fastest growing yet laid-back communities and have decided to retire there. Whatever it is drawing you to Kelowna, you’ll best start the process of finding a Kelowna home by approaching a qualified Kelowna Real Estate agency. When it comes to Kelowna properties for sale, no one’s going to have their thumb on the pulse of the market quite like the friendly folks at Royal LePage Kelowna.

First and foremost, their realtors won’t aim to find you a house, condo, townhouse etc. – they’re goal is to find you a home, and the definition of what is an ideal home differs with every individual and every family. Being receptive to the particular needs and wishes of the client is of the utmost importance and a value every Royal LePage Kelowna realtor places front and center in their service. Anyone can evaluate any number of Kelowna homes for sale on their own. Where a quality realtor provides real value is in fine tuning your search by combining his or her market expertise with an understanding of what distinguishes you as a buyer. It starts with a lot of listening, is followed by a lot of hustle and ends with a satisfied homebuyer.

The consistency seen in the large numbers of quality Kelowna properties for sale is a testament to the way the city has grown and the attractiveness it has for people at different stages of their lives. Like any mid-sized city, folks come and go but those who are on their way in are sure to feel good about what Kelowna has to offer. It features a burgeoning economy with a growing high-tech sector and other similarly strong industries. In addition, there is a real quality of life in Kelowna that is buoyed by the ample opportunities available to one and all to enjoy its spectacular natural beauty.  Add to it all the fact that Kelowna homes for sale and their properties offer good value for your dollar and some might say it’s a slam dunk in favour of BC’s interior gem of a city.

Do yourself a favour and weigh the many Kelowna properties for sale with the help of one of the experts at Royal LePage Kelowna. They’ll narrow the field of Kelowna homes for sale that meet your criteria and streamline the process of getting you into the one that’s perfect for you. Visit http://kelownahomefinders.caand get the ball rolling.

Property Type:

23.8% of purchases were by Move-Up Buyers
21.8% buying Revenue/Investment Property
19.8% by First Time Buyers
8.9% moving from Single Family Home to Strata Unit
7.9% Recreation Property Buyers
5.0% moving from Strata property to Single Family Home 
3.0% moving into Retirement Home/Seniors Community

Moving From: 

68.9% from Within OMREB Board Area
12.6% from Alberta
8.6% from Lower Mainland/Vancouver Island
2.9% from Other Areas in BC
2.9% from Saskatchewan/Manitoba
2.9% from Outside Canada
1.0% from NWT/Yukon (third month reported)
0% from Eastern Canada/Maritimes

For more information on Kelowna Real Estate, call the Dion-Ivans Group today. Your best source for Kelowna Real Estate Listings!

TORONTO, January, 2012 –The Royal LePage House Price Survey and Market Survey Forecast released today showed the average price of a home in Canada increased between 3.6 and 6.1 per cent in the fourth quarter of 2011, compared to the previous year. Royal LePage expects average price growth to continue through 2012 and predicts national average prices to increase by 2.8 per cent by the end of the year.

Despite calls in some quarters for Canadian house prices to soften in 2011, the market proved resilient as demand created by low interest rates and a relatively stable national economy created upward pricing pressure for all housing types surveyed. Further, recent high profile reports forecasting significant house price declines in 2012 are not supportable.  Nationally, consumer confidence in the housing market was high in the fourth quarter as real estate brokers witnessed an unusually high quantity of multiple offer situations, including over the holiday season, compared to same period in previous years.

In the fourth quarter, standard two-storey homes rose 4.2 per cent year-over-year to $375,427, while detached bungalows increased 6.1 per cent to $344,392. Average prices for standard condominiums increased 3.6 per cent to $234,680.

“In the recovery period following the 2008-2009 recession, I found myself repeatedly speaking of ‘irrational exuberance’ in the Canadian housing market,” said Phil Soper, president and chief executive of Royal LePage Real Estate Services. “Expectations were too high and the pace of expansion unsupportable. With this report, I find myself in exactly the opposite position. Widespread calls for a major real estate correction in 2012 simply can’t be justified. The industry has significant momentum entering the year, and buoyed by the stimulative effect of very low interest rates, we expect the market to continue to expand – albeit at a slower pace.”

While 2011 was a very strong year for price growth, over the past five years, including the recessionary period, Canada’s average home prices have grown by only 3.5 per cent compounded annually, well below the long term average rate of appreciation. Canada’s GDP has also grown modestly over the same period and the economy is expected to expand by approximately two per cent in 2012. While unemployment remains stubbornly higher then pre-recession levels, sustained employment at today’s levels in a low interest rate environment can be expected to support continued average house price appreciation across the country.

Canadians remain confident in their real estate investments. Throughout 2011, buyers took advantage of low rates to enter the housing market or move-up to homes that better suited their family’s needs or wants. All regions included in the Royal LePage Market Survey Forecast anticipate positive average price growth in 2012. This includes the relatively expensive Toronto and Vancouver regions, where rising home prices have consistently out-paced the other urban centres.

”We believe calls for falling prices and more affordable housing in 2012 are unlikely to materialize,” said Soper. “While this will comfort the seventy per cent of Canadians who are homeowners, there is cause for concern when house price growth outpaces increases in wages and salaries for an extended period of time. Coupled with more restrictive mortgage regulations that have made it more difficult to obtain financing, those who aspire to own a home may find it increasingly difficult to enter the housing market and, in some regions, it may leave people out entirely.”

Regionally, Royal LePage expects to see cities with commodity-based economies, such as Calgary, Regina and Winnipeg, outperform larger urban centres such as Toronto and Vancouver. Royal LePage has forecast Calgary’s average house prices to climb 3.6 per cent in 2012. In 2011, the largest average price increase was seen in Regina, where average prices for standard two-storey homes rose 19.5 per cent year-over-year.

For more information visit www.royallepage.ca