According to many of Canada’s top economists, higher interest rates – and debt servicing costs – may be just around the corner. Exactly when rates will rise is unclear and depends on who you talk to.

In its latest Financial System Review, The Bank of Canada judges that vulnerability of Canadian households to adverse wealth and income shocks has grown in recent years. “At present, Canadian household finances appear quite healthy,” Governor Mark Carney says, but it is the responsibility of households now to ensure that in the future, when the recovery takes hold and extraordinary measures are unwound, they can still service their debts.”

The Bank of Canada still maintains it will hold the line on rates until July of this year, and many analysts believe rates may start to rise in the fall of 2010, with some expecting a full three percentage point hike by the end of 2011. Here’s a summary of a few of the forecasts for where interest rates are headed over the next year and a half:

TD Canada Trust Quarterly Economic Forecast

Toronto Real Estate Facts

Spring home buying frenzy continued in June. Buyers and sellers reached deals on 10,955 properties, which is 27% more compared to the same period last year. The average price for MLS sales was $403,972, up by two per cent compared to last year.

It is very unusual what is happening on the market and even the oldest agents in my office haven’t seen anything like this. All of the sudden we are seeing multiple offers, but it is hard to believe recession is coming to an end. I think that sellers were afraid to list so we have a shortage of supply. If that’s the case market will soon become balanced.

If you are a home buyer who missed Toronto Real Estate market bottom while waiting for recession to push home prices further down, then you should check out my article Where to get good deals now?

To establish your property’s assessed value, Municipal Property Assessment Corporation (MPAC) analyzes property sales in your community and applies the Current Value Assessment (CVA) method, which is used by most assessment jurisdictions in Canada and throughout the world.

In addition to sales, MPAC looks at the key features of every property and may consider up to 200 factors when assessing the value of a residential property. Five major factors that account for 85% of the value are:

It was only a matter of time before Canada Mortgage Rates, which have plunged by almost 50% in the last year, turned higher. The days of ridiculously cheap mortgage rates appear to be over. Now they're just cheap. Here's the latest media roundup:

How high will mortgage rates go?

Recent increases in mortgage rates and bond yields have many home owners wondering how high rates will go, how soon, and what they should do to save the most money. They ask: Should I stick with a low variable interest rate? Or switch to a fixed rate?

Have you missed the great Canadian mortgage sale?

With interest rates hovering near dramatic lows, many Canadian home owners have been taking advantage of rock-bottom mortgage rates to break their existing contracts and refinance at a lower rate. But mortgage rates rose quickly and dramatically last week, leading some to wonder if they have missed the sweetest mortgage recession sale in recent history.

Royal LePage Your Community Realty & Jasmina Zivkovic welcome you to 10 Post Oak Drive

Beautiful 3 bedroom Townhouse located in a very desirable Richmond Hill neighbourhood, steps away from Yonge Street and Viva transit:

• Large windows provide much sunlight and great view of Toronto skyline.
• Built by Sierra, featuring
  1. Gleaming Hardwood floors
  2. 9 foot ceilings on the main floor
  3. Marble fireplace
  4. Family size breakfast area with Walk-out to balcony
  5. Direct access garage.
• Low Maintenance Fee of only $168.58 per month!

For a full list of amenities check out my other listing "Quality Home in Superb Richmond Hill School District" in the same condo complex.

Take a Peek Inside

If you are one of the buyers who was waiting for home prices to come down more, than you have missed the housing market bottom in the GTA. But don't worry, you can still find great deals in the areas & home types that depreciated more during this downturn.

Toronto neighbourhoods to look at

A beautiful, well-maintained yard is a source of pleasure and relaxation for everyone. A little planning can help reduce carbon dioxide levels, promote environmental sustainability and can even save you a little money. Here are a few Eco-smart gardening tips to transform your garden and yard into an environment that is both beautiful and eco-friendly:

De-fuel

According to Statistics Canada, using a standard gas mower for one hour causes the same amount of pollution as driving a new car 550 km. For a greener alternative, try using push reel or electric mowers and cordless trimmers. These non-gasoline powered solutions help eliminate harmful emissions, are quieter, and can save you anywhere between $55-550 in annual fuel costs. This analysis is based on data from Environment Canada.

The Federal Budget 2009 recognizes economic importance of housing to stimulate the economy introduces several incentives to get Canadians spending by buying a first time home, or renovating the one they are already in. New Canada's Economic Action Plan includes:

1. Home Buyers’ Plan Withdrawal Limit Increase
2. First-Time Home Buyers’ Tax Credit
3. ecoENERGY Retrofit Homes Grant
4. The Home Renovation Tax Credit

The commonly used Toronto Real Estate Board forms available for download below (in PDF format) offer clause-by-clause plain language explanations of the legal terminology used throughout them. Understanding what you are signing is essential to having a successful realestate transaction. Here are the links to our brand new 2009 TREB forms:

• Agreement of Purchase and Sale
• Agreement of Condominium Purchase and Sale
• Buyer Representation Agreement
• Buyer Customer Service Agreement
• Listing Agreement - Authority for Sale / Lease
• Seller Customer Service Agreement
• Confirmation of Cooperation and Representation

If you need FREE expert advice, to ensure a complete and accurate understanding of these Real Estate Forms, or you require any additional information regarding home buying & home selling in Toronto, York Region and surrounding areas do not hesitate to contact Jasmina, Royal LePage Real Estate Professional.

This 2009 wall calendar, published exclusively for Toronto Real Estate Board, comes with 12 special coupons for leading Toronto area attractions with over $165 in possible savings! These are some of the city's top attractions, including:

• Centreville
• Casa Loma
• CN Tower
• McMichael Canadian Art Collection
• Royal Ontario Museum (ROM)
• Royal Winter Fair
• Ontario Place
• Ontario Science Centre

plus many more... Jasmina's past, present, and future clients will receive this TREB 2009 coupon calendar for free! Contact Jasmina to request your copy now.

Toronto Real Estate Board 2009 Wall Calendar Features

• 13 Beautiful Photos of GTA Homes & Neighbourhoods

Property taxes are often overlooked factor for many people in Greater Toronto Area. However, when buying a home, property taxes are nearly as important an issue as the selling price of the home.

Home Buyers Beware!

Residential taxes in cities and towns across GTA & surrounding area may differ a lot. In some of the municipalities residential property tax rates are so high, that they will not only hinder you as the buyer, but also will most likely draw concerns when you attempt to sell your house.

Property Tax Rates Chart for 2008

I want to wish all my clients a Happy Thanksgiving. I hope that you will all have a wonderful time with your family, friends and that your homes will be filled with love. This is also a great time for me to express my gratitude to all of you who helped me grow as an agent, but more so as a person. You brought something special into my life and I've learned so much about life from you. I am thankful for this job that gives me an opportunity to work with people from all around the world and experience different cultures without going abroad. Coming from Bosnia - a small, war thorn country, I could not imagine this new life in my wildest dreams, so I am very, very thankful.

I am writing this post, because I just received an email that touched my heart and I want to share its content with you. Pictures below will remind us to be thankful each and every day. What are you grateful for this Thanksgiving?

1. If you think you are unhappy, look at them:
   
   

Don't "Fall" into the Season Without Preparing Your Home

Proper maintenance of your home and garden will help preserve your investment. And best of all, keeping your house in tip-top shape this fall will prevent any unnecessary chores in the spring.

Outdoor Projects

• Complete exterior painting before cooler weather arrives.
• Cover air conditioner and barbecue to prevent winter damage.
• Store lawn ornaments and patio furniture in a shed or basement.
  
  

Announcement: Canada’s Number One Royal LePage brokerage is expanding again.

Royal LePage Your Community Realty has acquired Royal LePage Timeless Realty a three year old brokerage with offices in Bradford West Gwillimbury and Keswick.

Already ranked as the country’s top brokerage (based on sales of independently owned RLP franchises in 2007), The Richmond Hill-based Royal LePage – Your Community Realty now boasts more than 600 Real Estate Agents in nine locations covering a sales area stretching from the shores of Lake Simcoe to the waterfront of Lake Ontario.

“By acquiring these ideal locations in two of the fastest-growing communities in the GTA, we can offer our clients a much larger inventory that stretches, literally, from shore to shore,” said Vivian Risi, Broker of Record and founder of Royal LePage - Your Community. “With offices in downtown Toronto and throughout York Region right up to cottage country, we can maximize our network and do an even better job servicing our listing and client needs.”

Recent changes to Canadian government guaranteed mortgages will soon make buying a home with zero-down payment thing of the past. News announced by the Minister of Finance has left the majority of Canadians mystified as to what removing the “government guarantee” from some of lending programs means.

My in-house Mortgage Professional Justin Risi explains...

Most understand how mortgage insurance works (not mortgage life and critical illness insurance, but mortgage default insurance). It’s a premium applied to your mortgage, paid to a mortgage insurer, who in turn agrees to insure your mortgage with your lender in the event you default. In other words, it is protection for the lender should their customer not make payments. This is a mandatory insurance for mortgages higher than 80% of the home value.

But what if a lot of people all suddenly can’t make their payments and the insurer responsible for protecting the lender is unable to cover their insurance obligations? The lender then faces a borrower not being able to make payments and an insurer possibly not being able to pay out insurance coverage!

Enter the government guarantee...