Daily Archives: January 20, 2009

Rental Scam Returns

Late last year, it was reported that an individual was running a scam where he placed a ad for rental property on two online ad boards (Kijiji and Craigslist) with the sole intent of fraudulently collecting deposit funds.  Well it appears he is back, as a Toronto Real Estate salesperson reported seeing a similar ad on Craigslist.  The individual claims that he has been transferred here on business from London, as opposed to Nigeria in the first attempt.  Anyone seeing these ads, should report the occurence to the police.

Title Insurance: Protection For As Long As You Own Your Home

By Max Cohen, Senior Partner of Cohen LLP, Barristers and Solicitors

You may have read some of the recent horror stories published in Canadian newspapers about homeowners becoming victims of identity theft and mortgage fraud. The incidence of this type of fraud has increased significantly in Ontario with the introduction of electronic title registration. A lot of our clients are asking how they can protect themselves against title and mortgage fraud. Unfortunately, even the best security system won’t protect against this kind of invasion.

In recent years, more and more home buyers and homeowner are purchasing title insurance policies to reduce the risk of mortgage fraud, and in many cases, reduce the closing costs associated with buying a home. “Title insurance” is offered by a handful of reputable companies to protect a homeowner’s ownership interest (ie. your title) against risks associated with fraud and many less serious matters such as by-law infractions, permit deficiencies and unpaid taxes or utility bills.

In Ontario, lawyers who act for home purchasers will always obtain and review a “title search”, which shows who owns the property and whether there are any mortgages or liens registered on title. The lawyer will also check to see if there are any judgments against the Seller of the property. The Buyer’s lawyer will write a letter to the Seller’s lawyer requiring that all liens and encumbrances be satisfied and discharged from title, so that the Buyer gets good title to the property. Continue reading

How to Choose a Neighbourhood?

By: David Dunkelmam

In my experience as a Realtor; a prospective Buyer will rarely decide to make a decision to buy a home, no matter how nice it is, until they have settled on a neighbourhood that they are comfortable in. Comfort levels will depend on a wide range of factors depending on the wants and needs of the buyer.

First time buyers tend to crave a neighbourhood with some excitement where you can walk to coffee shops, restaurants and the fitness studio. A neighbourhood with a wide selection of condominiums or funky lofts might be a good choice here. Couples who may be thinking of children will definitely want to place schools and parks high on their priority list. A neighbourhood with a strong core of families can provide a nice support group and community for a young family.

The Toronto District School Board website (www.tdsb.on.ca) is a valuable resource in determining what the school is for the home on the street you are interested in. Families with young children already in tow may be looking for a neighbourhood with larger homes and backyards. The proximity to a recreation centre, a public library, a good grocery store and easy access to medical care should all be considered. And do not forget the little things that might come in handy like the presence of a local toy store, ice cream shop, veterinarian clinic for “Spot” and even a toboggan hill for those snowy Toronto winters.

Empty nesters and mature buyers concerned with healthy living might want to choose a neighbourhood that is close to public trails like the Waterfront Trail and the Beltline Trail where you can walk, jog and cycle. Close proximity to arts institutions such as the Art Gallery and the Museum as well as Toronto’s fashion and entertainment districts are also a plus for those with more recreational time on their hands. Convenience to outdoor and indoor shopping centres, hospitals and public transit must also be considered.

In general all buyers may want to choose a neighbourhood that is not too far from family and friends. Public transit and proximity to highways also rates highly on most homebuyers’ wish list. Things like crime statistics can be somewhat random but worth checking into. Are there any development, environment, or pollution issues relevant to a particular neighbourhood? Your local Realtor should have the answer to these questions.

In summary, Toronto is a very tolerant city and welcoming of new residents. Most Torontonians did not grow up in the neighbourhood they now live in; in fact most did not even grow up in this city. Trust your instincts. If a neighbourhood looks and feels right, it quite possibly is the one for you. If you’re still not sure, check and see if there is a neighbourhood residents association and someone you can speak to. Maybe the local business improvement area might provide more information or the parent teacher association at the local schools. You can also check with the local municipal councillor in your ward which can overlap several neighbourhoods. You can find this information on the city of Toronto website at www.toronto.ca. Having had firsthand experience exploring Toronto’s neighbourhoods as the author of the book “Your Guide to Toronto Neighbourhoods” I can confidently say that if you do your homework you will surely discover that there is a Toronto neighbourhood that is just right for you.

David Dunkelman is a Broker and ABR* with Royal Lepage R.E.S.Ltd/Johnston and Daniel Division.  David is also the Author of “Your Guide to Toronto Neighbourhoods”. *ABR* The Accredited Buyer Representative (ABR®) designation is the benchmark of excellence in buyer representation. This coveted designation is awarded to real estate practitioners by the Real Estate BUYER’S AGENT Council (REBAC) of the National Association of REALTORS® who meet the specified educational and practical experience criteria.

Mid-Month TREB Market Update – January 2009

Yesterday, the Toronto Real Estate Board released the mid-month January 2009 statistics for the GTA.   The number of sales to date was 888 units compared to 1,776 units last year.  The numbers last year were inflated greatly as purchasers rushed to avoid the disastrous Mayor David Miller’s Land Transfer Tax.  The average price came in at $332,495 compared to $367,574 in 2008 for the GTA.  The median price fell from $316,000 in 2008 to $301,000 this year.

In the City of Toronto, the average price declined from $394,205 last year to $350,835 this year.  The number of sales declined from 800 units in 2008 to 369 units this year-t0-date.

The realty is that the market has shifted from a sellers’ market to a buyers’ market.  However, in light of this recent TREB report, a number of properties that are priced right are finding themselves in multiple offer situations, some even going over the asking price .

The light at the end of the tunnel is not a train, there is positive news out there in the Toronto Real Estate Market.  With the low interest rates and the price realignment, buyers that were not able to buy before, now have entered the market.  Many existing homeowners are now able to buy their move-up homes that was previously priced out their range a year ago.