The following changes will be in effect July 9, 2012:

1. Reducing max. amortizations to 25 yrs on high-ratios insured mortgages (meaning mortgages with less than 20% down payment or equity)
2. Eliminating lending on high-ratio mortgages over $1 million
3. Reducing the maximum amount for refinances to 80 % of the current market value. Currently that maximums is set at 85 %.
4. Reducing the ratio’s that borrowers can go up to for mortgage financing overall.

Reducing an amortization for a $300K mortgage at 3.29% from 30 years to 25 years is a difference of approximately $156 per month.

Perhaps the government should finds ways of increasing the liquidity of consumers by changing tax policies, which are imposing taxes on Canadians at every turn.

In summary; if you are looking to purchase a home and need a longer amortization to qualify for the amount you need, act now.

If you are looking to refinance your home to access the maximum amount of equity, act now.

You have until July 9 to do this and as we get further communications from lenders on these changes, we will continue to keep you informed.

If you have any questions at all, don’t hesitate to contact the Cardas Mugridge Group at 604-259-0595.

Lenders

• Trish Pigott
  604.729.7940
• Chris Novy (One Stop Mortgage)
  778.836.8808
• Brian Johnston (CIBC Maple Ridge)
  604.218.8306
• Tim MacNeil (Client First Mortgages)
  604.377.4001
• Brian Johnston – CIBC Mortgage Advisor

• Dispute resolution
• Changes to improve accountability
• Rentals permitted within Strata Corporations

New regulations under the Strata Property Act that improve accountability in strata corporations have been introduced that will support the more than one million strata property owners and residents in the province.

The new rules were developed after extensive consultations with the strata community including strata lot owners, strata associations, legal experts and professionals. The consultation also included an online public survey in February 2011 that attracted over 1,800 participants, many of whom provided additional comments that helped refine the final regulations.

The majority of new housing starts in recent years have been stratas. Strata properties already make up more than half of the taxable properties in a dozen British Columbia municipalities. The prevalence of stratas will continue to grow as the province’s population expands and urban densification increases.

The Strata Property Act and regulations are used directly on a regular basis by members of the public. Regulations with respect to audited financial statements are expected to be introduced next year.

A guide to the new regulations will be published early in 2012 to give strata owners and corporations an opportunity to learn more about the new rules before they are required to comply.

Further information is available at: http://www.housing.gov.bc.ca/strata/regs

For help with these new regulations and how they affect you if you are looking to buy or a sell a strata property, call the Cardas Mugridge Group at 604-259-0595.

• The increase reflected strong gains in urban multiples and rural starts, which were up by 8.3% and 11.9%, respectively. Urban single-unit starts fell by 2.4% in the month to provide some offset.
• Gains were led by Ontario (30.3%), with the Prairies and Atlantic Canada also posting gains (6.4% and 2.7%, respectively).
• New home construction in Canada was robust during the first quarter of 2012, with housing starts up an annualized 17.7% from the final quarter of last year and the quarterly pace of activity representing its highest level since the third quarter of 2008. At least part of the recent strength in starts likely reflected the effect of the warmer than usual winter temperatures that brought construction activity forward. Thus, we expect some modest payback in the coming months, with housing starts expected to moderate to an average of 188,000 for the remainder of 2012.

Housing starts surge

Canadian housing starts rose 5.0% in March 2012 to an annualized pace of 215,600 units from 205,300 in February (revised upward from the previously reported 201,100). The level of starts in March was the highest since October 2008 and was stronger than market expectations for a reading of 200,000. The higher level of housing starts in March reflected a large 8.3% jump in the urban multiples component to 124,100 annualized units, while rural starts surged 11.9% to 23,500 to reverse the previous month’s 11.4% drop. Urban single-unit housing starts provided a partial offset by falling 2.4% to 68,000 annualized units.

Urban starts surged by 30.3% in Ontario thereby reflecting a 50.4% jump in the multiples component (single starts fell 2.8%). The level of multiple-unit starts in Ontario was the second highest on record dating back to 1990. Gains were also seen in the Prairies (6.4%) and Atlantic Canada (2.7%) as strong increases in urban multiple-unit starts more than offset declines in the singles component. Urban starts fell 16.3% in Quebec partially reversing the previous month’s outsized 48.2% gain, while British Columbia’s urban centres saw activity fall to its lowest level since March of last year by being down 27.7% in the month.

New home construction in Canada was robust during the first quarter of 2012, with housing starts up an annualized 17.7% from the final quarter of last year and the quarterly pace of activity representing its highest level since the third quarter of 2008. At least part of the recent strength in starts likely reflects the effect of the warmer than usual winter temperatures that brought construction activity forward. Thus, we expect some modest payback in the coming months, with housing starts expected to moderate to an average of 188,000 for the remainder of 2012.

New home sales in Maple Ridge and Pitt Meadows

If you are looking to buy a new home, contact the Maple Ridge and Pitt Meadows Real Estate experts at the Cardas-Mugridge Real Estate Group. Realtors Kris Mugridge or Mark Cardas can help you get into the home of your dreams.

WELCOME HOME!! This 2 bedroom upper unit has been transformed into a show home!! Everything has been upgraded and renovated! New hardwood floors, carpet in bedrooms, slate tile in bathrooms and laundry, designer paint, kitchen fully redone with stainless steel appliances! This quiet unit comes with front and rear sundecks with mountain views, insuite laundry and additional parking is available. Central location, walk to everything, very well self-managed complex with low, low strata fees! Don’t let this one pass you by! Move in and enjoy!!!! ONLY 224,900!!

Closer alignment between home buyer and seller activity helped bring greater balance to the Greater Vancouver housing market in February.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver reached 2,545 on the MLS® system in February 2012. This represents a 61.4 per cent increase compared to the 1,577 sales recorded in January 2012, a decline of 17.8 per cent compared to the 3,097 sales in February 2011 and a 2.9 per cent increase from the 2,473 home sales in February 2010.

February sales in Greater Vancouver were the third lowest February total in the region since 2002, though only 151 sales below the 10-year average.

“With a sales-to-active-listings ratio of over 18 per cent, we see fairly balanced conditions in our marketplace as we move into the traditionally busier spring season,” Rosario Setticasi, REBGV president said.

New listings for detached, attached and apartment properties in Greater Vancouver totalled 5,552 in February 2012. This represents a 2.5 per cent decline compared to February 2011 when 5,693 properties were listed, and a 3.5 per cent decline compared to January 2012 when 5,756 homes were added to the MLS® in Greater Vancouver.

Last month’s new listing count was the second highest February total in Greater Vancouver since 1996.

At 14,055, the total number of residential property listings on the MLS® increased 12 per cent in February compared to last month and increased 17.9 per cent from this time last year.

“Region-wide we’ve seen relative stability in home prices over the last six months, but it’s important to do your homework and consult your REALTOR® because pricing can vary considerably depending on the neighbourhood and property type,” Setticasi said.

The MLS® HPI benchmark price for all residential properties in Greater Vancouver currently sits at $670,900, up 6 per cent compared to February 2011 and an increase of 0.9 per cent compared to January 2012. The benchmark price for all residential properties in the Lower Mainland is $601,300, an increase of 5.5 per cent compared to February 2011.

Sales of detached properties on the MLS® in February 2012 reached 1,101, a decline of 21.5 per cent from the 1,402 detached sales recorded in February 2011, and a 12 per cent increase from the 983 units sold in February 2010. The benchmark price for detached properties increased 10.5 per cent from February 2011 to $1,042,900.

Sales of apartment properties reached 1,020 in February 2012, a decline of 15.4 per cent compared to the 1,206 sales in February 2011, and a decrease of 5 per cent compared to the 1,074 sales in February 2010. The benchmark price of an apartment property increased 2.8 per cent from February 2011 to $373,300.

Townhome property sales in February 2012 totalled 424, a decline of 13.3 per cent compared to the 489 sales in February 2011, and a 1.9 per cent increase from the 416 townhome properties sold in February 2010. The benchmark price of a townhome unit increased 0.7 per cent between February 2011 and 2012 to $472,800.

If you are looking to buy or sell real estate, Pitt Meadows and Maple Ridge Realtor Kris Mugridge can help you. Contact Kris Mugridge to get him working for you.

Welcome home to this ground floor VERY private 1 bed and den! This 927 sq ft home has a great private patio for entertaining, insuite laundry, huge storage room in the unit, laminate flooring & gas fireplace. There is a big master bedroomas well as a 10×8 den that could be used as a second bedroom if needed. The property is walking distance to everything!!! Priced to sell.

Looking to sell your home? Contact Kris Mugridge to have a Maple Ridge and Pitt Meadows Real Estate Specialist work for you.

Property Map

• The BC New Housing Rebate threshold will increase to $850,000 from $525,000, so that more than 90% of newly built homes will now be eligible for a provincial HST rebate effective April 1, 2012 .
• The maximum rebate will increase to $42,500 from $26,250 effective April 1, 2012 .
• Buyers of new secondary vacation or recreational homes outside the Greater Vancouver and Capital Regional Districts priced up to $850,000 will be eligible to claim a provincial grant of up to $42,500 effective April 1, 2012.
• For newly built homes where construction begins before April 1, 2013, but ownership and possession occur after, purchasers will not pay the 7% provincial portion of the HST. Instead, purchasers will pay a temporary, transitional provincial tax of 2% on the full house price.

HST/PST transition rules will help ensure that whenever purchasers buy a new home they will all pay a consistent and equitable amount of tax, whether the home is built:

• entirely under the HST;
• entirely under the PST; or
• partly under HST and partly under the PST.

The temporary housing transition measures will be in place until March 31, 2015. The tax only applies to homes where construction begins before the transition date and ownership and possession occur after.

REBGV successfully advocated for the following:

• An increase in the threshold value of homes to be covered by the rebate;
• An increase in the rebate amount;
• An announcement of the transition rules for new homes as early as possible.

For more information, visit the BC Ministry of Finance.

To read the Ministry of Finance announcement.

If you are looking for help understanding the new rules when buying or selling a home, Contact Kris Mugridge for more information.