Muddy York: Toronto Real Estate Blog

Entries from February 2009

Another Proposed Tax: GST-PST Harmonization

February 27, 2009 · Leave a Comment

Ontario Premier McGuinty has publicly indicated that the provincial government may consider combining the federal Goods and Services Tax (GST) with the Provincial Sales Tax (PST) into one harmonized sales tax. The Ontario Real Estate Association (OREA) has indicated its opposition to this proposal and is continuing to monitor this issue.

OREA sent a letter to the Premier, OREA raising a number of concerns with potential harmonization of the GST with the PST. These concerns addressed that:

  • a harmonized sales tax could increase the cost of newly constructed housing by adding the cost of PST on top of the GST, which already applies to the sale of new housing;
  • the harmonized sales tax could result in PST being charged on various real estate related services that are currently exempt from PST, such as REALTOR® commissions, legal fees, appraisals, home inspections and other services; and the impact of a harmonized sales tax on consumer spending and the economy.

Given the recent rash of Mayor Miller taxation policies, Toronto homeowners are in no mood for any additional forms of taxation from any level of government.

Categories: Commentary
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Priority Maintenance for Home Buyers

February 27, 2009 · Leave a Comment

By Carson & Dunlop Associates

There are so many home maintenance and repair items that are important; it can be confusing trying to establish which are the most critical. To simplify things, we have compiled a short list of our favorites. These are by no means all-inclusive, nor do they replace any of the information in a home inspection report. They should, however, help you get started on the right foot. Remember, any items marked as priority or safety issues on your home inspection report need immediate attention.

One-Time Tasks

1. Install smoke detectors as necessary (usually one on each level of the home, near any sleeping areas). Install carbon monoxide detectors, according to manufacturer’s recommendations.
2. Make any electrical improvements recommended in the home inspection report.
3. Remove any wood/soil contact to prevent rot and insect damage.
4. Change the locks on all doors. Use a dead bolt for better security and to minimize insurance costs.
5. Correct trip hazards such as broken or uneven walks and driveways, loose or torn carpet or uneven flooring.
6. Correct unsafe stairways and landings. (Railings missing, loose, too low, et cetera.)
7. Have all chimneys inspected before operating any of these appliances.
8. Locate and mark the shut-offs for the heating, electrical and plumbing systems.
9. Label the circuits in electrical panels.
10. If there is a septic system, have the tank pumped and inspected. If the house is on a private water supply (well), set up a regular testing procedure for checking water quality.

Regular Maintenance Items

11. Clean the gutters in the spring and fall.
12. Check for damaged roofing and flashing materials twice a year.
13. Cut back trees and shrubs from the house walls, roof and air conditioning system as needed.
14. Clean the tracks on horizontal sliding windows annually, and ensure the drain holes are clear.
15. Test ground fault circuit interrupters, carbon monoxide detectors and smoke detectors using the test button, monthly.
16. Service furnace or boiler yearly.
17. Check furnace filters, humidifiers and electronic air cleaners monthly.
18. Check the bathtub and shower caulking monthly and improve promptly as needed.
19. If you are in a climate where freezing occurs, shut off outdoor water faucets in the fall.
20. Check reversing mechanism on garage door opener monthly.
21. Check attics for evidence of leaks and condensation and make sure vents are not obstructed, at least twice a year. (Provide access into all attics and crawl spaces.)

Carson & Dunlop Associates is a consulting engineering firm which has been devoted exclusively to building inspections since 1978.  Their website is located www.carsondunlop.com and they can be reached at (416) 964-9415.

Categories: Uncategorized

Muddy York Quick Tip: Is My Deposit Protected?

February 26, 2009 · Leave a Comment

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One of the benefits of working with a registered real estate broker or salesperson is that your deposit is protected. All registered real estate brokers and salespersons are required to participate in an insurance program that includes consumer deposit insurance. The premium for the insurance coverage, including the coverage that protects your deposit, is paid for by brokers and salespersons.

Consumer deposit insurance protects you in the event of fraud, insolvency or misappropriation of funds. The insurance provides coverage up to a maximum of $100,000 per claim and a maximum of $500,000 for all claims related to the occurrence. There is no deductible under this coverage.

Claims arising as a result of a registered broker or salesperson acting as an executor, administrator, trustee, guardian, conservator or in any other fiduciary capacity other than as a broker or salesperson are not covered under the policy.

Information related to making a claim can be found at www.reco.on.ca.

Categories: General Information · Muddy York Quick Tip
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Don Mills – Canada’s First Planned Community

February 26, 2009 · 1 Comment

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By George Klump and Toni Vernon

This once wide open area was nothing more than farms and ravines nestled upon the rolling hills at the centre of Don Mills and Lawrence. It’s hard to imagine that it would one day become the community that it is today.

The project to create the Don Mills community was announced on March 11, 1953 by its financial backer, legendary E. P. Taylor, and designed by Macklin Hancock a young urban planner.  Developed between 1953 and 1967, Don Mills was the first planned and fully integrated post-war community in North America and became a template for urban developments around the country.

The first house to be built was on Jocelyn Crescent., behind the present day location of the library at Lawrence and The Donway West.  It was among the first 530 homes being constructed in the northwest quadrant of Don Mills. In 1954 a modest bungalow on a 60 foot lot sold for $12,000 ($1000 extra for a carport) and $19,000 could get you one of the few two storey homes. In 1954 an average down payment for a house in the area was $3500.00 and mortgage interest rates were 5.5%.

Construction of the new suburbia continued quadrant by quadrant incorporating a mix of housing which included semi-detached, ranch style bungalows, three storey units backing onto parks, garden terraced townhouse rentals and apartments.  Each quadrant was to contain a school, a church, and a park. Rather than detached homes overlooking parkland, semi-detached homes were built on sub-collector roads so that residents could enjoy park or ravine views as compensation for location on higher traffic roads. In the early years, there was no telephone service and residents walked to pay-phones.

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By 1956 Highway 401 was nearing completion and five years later the Don Valley Parkway opened, connecting with Don Mills Road, which gave way for Don Mills becoming a commuter colony.  As the community expanded so did the requirements for schools. In l954 Norman Ingram Public School in the northwest quadrant was the community’s first elementary school. It was soon followed by Greenland, Mallow Road and Overland. Three Valleys School opened their doors in l958, Don Mills Collegiate opened in l959, and Don Mills Junior in 1961.

Today Don Mills is surrounded by a flurry of luscious ravines, beautiful parks, greenbelts, walking paths and bicycle trails that can take you all the way to the Leslie Street Spit (which we have biked many times). Many of the smaller local parks are connected by paved walkways that run behind Don Mills’ homes. No matter what time of year, these trails have become a haven for runners, cyclists, roller bladders, cross country skiers, speed walkers, and bird watchers.

There are many well known landmarks in Don Mills such as; The Donalda Golf and County Club, which opened its doors in November 1960;   Edwards Garden with its beautiful manicured lawns and well kept flower beds that makes it an ideal location for wedding photos;  the newly constructed and soon to be opened “Shops of Don Mills”, (aka- Don Mills Centre); Don Mills Civitan Arena, home to many aspiring local hockey players; and of course The Science Centre, one of Canada’s most visited attraction centers, opened its doors to the public in September 1969. Amongst these landmarks Don Mills is also has a good commercial base being home to IBM, Rogers Cable, Global Television, The Toronto Real Estate Board, Wrigley’s, and Celestica, just to name a few of the many businesses that flourish in the area.

Regardless of all the developmental changes that Don Mills has experienced in it’s more than 50 years of growth, its beauty and unique historical aspects have been preserved. It’s evident when you walk through the neighborhood and you observe the pride of ownership that people take in their homes.  Many of the original residents are gone, although I have had the pleasure of meeting some of those that still live here and not surprisingly I often meet the children of those original residents that have moved back to Don Mills to raise their own families.

Some say that Edward Plunket Taylor’s most notable accomplishment was the breeding of the famous racehorse Northern Dancer on his Windfields Farms, but Canadians know him best as the principal founder of Argus Corporation. E. P. Taylor’s name became a caricature of Canadian capitalism for a quarter of a century after.  But for the residents of Don Mills he was known for initiating and financing a vision for a community of what is today known as “Don Mills”

Being a family that truly enjoys the outdoors, we have fully taken advantage of what this wonderful neighborhood, Don Mills, has to offer.  It’s proximity to ravines, parks and trails, and of course the highways for easy getaways to the cottage, was the ideal place for us to raise our family.  We are very fortunate to be living in one of Toronto’s finest neighborhoods, so we don’t foresee moving anytime soon.

George Klump and Toni Vernon are both Sales Representatives with Royal LePage R.E.S./Johnston & Daniel Division.  George and Toni’s website is located at www.georgeandtoni.com

Categories: Don Mills · Neighbourhood Information · Uncategorized
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Muddy York Quick Tip: Information on Canadian Mortgages

February 25, 2009 · Leave a Comment

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  • 5,250,000 – number of Canadian home owners with mortgages
  • 29% of homeowners got a new mortgage in past 12 months
  • $136,000 is average homeowner equity
  • 22% took equity out of home in past 12 months – average withdrawal $41,000
  • 50% of new mortgages in past 12 months have longer that 25 year amortization periods
  • 5.41% is the average mortgage rate, at time of report
  • 0.40% is the average mortgage rate improvement realized by refinancing in past 12 months, at time of report
  • 1.59% is the average discount from bank posted rates, at time of report
  • 1.96 is the average number of quotes received when shopping for a mortgage
  • 0.28% is the percentage of Canadians in mortgage arrears, for more than 90 days

Choice of mortgage terms selected:

  • 1-3 years – 29% of borrowers
  • 3-5 years – 61% of borrowers
  • > 5 years – 10% of borrowers

40% of mortgages in past 12 months have been variable rate, compared to 21% for the year previous.

Lender Originations (Where people are going for mortgages):

  • Major Banks – 47%
  • Mortgage Brokers – 35%
  • Credit Unions – 11%
  • Other – 6%

Source: the Canadian Association of Accredited Mortgage Professionals (CAAMP) Fall 2008 Report. CAAMP is located at www.caamp.org

Categories: Mortgage Information · Muddy York Quick Tip
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UREA FORMALDEHYDE FOAM INSULATION – Much Ado About Nothing?

February 24, 2009 · Leave a Comment

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By Carson Dunlop & Associates

What is it?

Urea formaldehyde foam insulation is injected as a mixture of urea formaldehyde resin, an acidic foaming agent, and a propellant, such as air. It was commonly used in existing houses by injecting the foam into areas, such as behind walls, where it was impractical to provide conventional insulation. The insulation was approved in Canada for use in exterior wood-frame walls only. It has a reasonably good R value (thermal resistance). Some formaldehyde gas is released during the on-site mixing and curing. Formaldehyde is colourless, but has a very strong odour, which can generally be detected at concentrations above one part per million. It is this by-product of the curing of the foam that became a controversial issue.

Formaldehyde is both a naturally occurring chemical, and an industrial chemical. It is found in dry cleaning chemicals, paper products, no-iron fabrics, diapers, pillow cases, the glue in particle board and plywood, cosmetics, paints, cigarette smoke, and the exhaust from automobiles, gas appliances, fireplaces, wood stoves. It occurs naturally in forests and is a necessary metabolite in our body cells.

(more…)

Categories: Home Inspection Information
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Rosedale

February 23, 2009 · 1 Comment

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By Richard Fiennes-Clinton

At the start of the twenty-first century, Rosedale is considered to be a very refined and elegant residential neighbourhood, located in the heart of downtown Toronto.  It has several attractive elements; it is central but also quiet, a residential space surrounded by amenities but not overburdened with the noise and distraction of a downtown neighbourhood.

However, when Rosedale began, it was considered a rustic location for rural homes, and it did not even become part of the City of Toronto until the end of the nineteenth century.  The first known resident of Rosedale was Captain George Playter.  He had served in the British military, and had fled the United States after the American Revolution because he still wanted to live under the British Crown.  For his loyalty, Captain Playter was given two hundred acres of land, north of what is now Bloor Street and east of Yonge Street.  He received this land in 1796, and the Playter family was one of the earliest to settle in the town of “Muddy York” (now Toronto).  The name for the community where he received his grant of land ~ “Rosedale” ~ would not be invented for approximately another thirty years, but the Playter family has some streets named after them, north of Danforth Avenue and east of the Don Valley Parkway.

In 1821, Playter sold a portion of his land to a man named James Small, who built a house on the property.  Three years later, in 1824, Small sold the land to William Botsford Jarvis, a cousin to Samuel Jarvis, who Jarvis Street was to be named after.  In 1828, William Jarvis married Mary Boyles Powell, and the recently wedded couple moved into a house that stood roughly where Rosedale subway station is today.  According to the legend, Mary was in the back garden, looking down the valley (or “dale”, in the older English) into what is now Rosedale Valley Road.  She saw that this “dale” was overgrown with wild roses, and it was this point that the name “Rose Dale” or “Rosedale” was born.  In the early nineteenth century, when a family of means had a large home constructed, it was traditional to give your home and the surrounding estate a name.  Thus, Rosedale, the name that Mary invented, was given to the Jarvis family estate, and would eventually go on to represent the entire community.

Among other interests, Jarvis got into land development.  An associate of his had come to Canada and worked for a time as a tavern owner, and then a brewer.  This associate was successful, and got into local politics in the town of Yorkville, which at that time was an independent community, located quite north of the City of Toronto.  Together, Jarvis and his associate built up and developed the two communities.  The name of Jarvis’ associate was Joseph Bloore, and eventually Toronto’s major east / west thoroughfare, Bloor Street, would commemorate his accomplishments.  At some point in the past, we have dropped the “e” on the end.

With the construction of the Jarvis home at Rosedale, there was hope that the neighbourhood would prosper as a residential one.  However, initally it was hard to attract people to come and settle in the area.  As mentioned, the Rosedale of today is a central community, but over 180 years ago, it was considered quite far north.  Toronto in the 1820s had a northern boundary of present day Queen Street, and the city’s “downtown core” only ran as far north as present day Adelaide Street.  People were reluctant to move north to rural Rosedale, because they thought that they would be separated from the action of city life.  Women, who in those days remained at home and had the rather daunting job of running the household, were worried that they couldn’t find or keep household staff.  There was a lack of infrastructure, of bridges and proper roads, so remaining connected could be difficult.  Of course, there were no telephones, computers, or personal communication devices to help people stay in touch with their friends.

Before 1880, only about twenty homes were built in the Rosedale area.  But in the last twenty years of the nineteenth century, Rosedale finally began to flourish.  Toronto was growing, sweeping north, and neighbourhoods like Rosedale and Yorkville were being seen less and less as rustic northern communities, and more and more as extensions of the City of Toronto.  Generally speaking, Rosedale started to develop in the southwest, and grew towards the northeast.  This spreading out of development was mirrored, in a way, in communities like the Annex, where development started in the southeast, and spread to the northwest.  Most of Rosedale was laid out before 1930, when development slowed or stopped because of the Great Depression and the Second World War.  Rosedale has managed to avoid a lot of high density residential construction, but there were some apartment buildings and townhouses that were constructed in southern Rosedale during the suburban boom of the 1950s.

A few of Rosedale’s historic homes did survive to see the twenty-first century.  The home at 5 Drumsnab Road, just northwest of Bloor and Bayview, was constructed in 1834, with a second floor added around 1850.  The second floor was added by jacking up the roof, adding a second floor and attic, and then lowering the roof again.  The house at 124 Park Drive was built in 1855, as the home to solicitor James Boyd Davis.  The house at 23 Rosedale Road was built in 1857, by Walter Brown, a land agent, broker and publisher of the Toronto General Directory.  Alas, the first really prominent home, “Rose Dale”, the estate of William and Mary Jarvis, was destroyed by 1905.  It’s location was more or less where an apartment building at 30 Rosedale Road stands today.

Richard Fiennes-Clinton is the founder of Muddy York Walking Tours, which is a company dedicated to bringing Toronto’s past back to life in fun and exciting ways. For more information on Muddy York Walking Tours visit www.muddyyorktours.com or call 416.487.9017.

Categories: Rosedale
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Marketing Your Home For Sale and Success

February 21, 2009 · 1 Comment

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By James Strathy Warren

It has been said that within the first 30 seconds of entering a home, the decision is made whether to continue or leave by a potential Buyer.  If the decision is positive, the rest is exploration through the house to see if it works for them.  However, there is nothing wrong with helping the process along in a positive way.

Enclosed are some thoughts on how to anchor a Buyer’s decision on your home.

Decide which room is potentially where a buyer is going to make their decision… is it the Foyer, the Living room, Dining room or Family room etc.  Once that is done, a Seller should consider the following steps.

Using the Living room as an example…
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1. “Tailor the room” -  that is make it clean and crisp looking with new paint, hang pictures in odd numbers on walls, add light (particularly natural light) to the room.  This catches the Buyer’s eye sight from the front door.  Get those windows cleaned.

Secondly,

2. “Add Pop “  value to the room.  Now a Buyer is standing on the cusp of the threshold of the Living room looking in.  Now we need to draw them in… this is done by having bright colours added as an accessory.  The best solution is usually bright red, orange, or ice blue pillows up against a soft coloured sofa.  Remember to display two pillow on one side and one pillow on the other side (equals three).  Leave enough room for the Buyer to sit, if they wish.  If they choose to sit, it shows they are comfortable.  “Pop value” makes people happy.  They will now step into the room to explore.  Adding flowers, usually white or light green flowers are an added bonus.  In the winter having the fireplace going is also an inviting feature.

Finally, the final point is what keeps the Buyer in the room…

3. The House needs “Soul“.  Once the Buyers are in the Living room, there must be life.  Buyers want to see and feel a happy house.  So, you can display wonderful happy pictures of your children, preferably in glass or black frames in different sizes around the room.  Remember, to display them in odd numbers of 1 or 3.  In doing so, this will allow the potential Buyer to actually envision themsleves in the house.  Even pictures of pets or favoured holiday spots are ideal.  Adding three books to the coffee table is also good (either really old ones or new flashie ones – stacked in threes.)  Buyers want to know more about the Sellers and this tells them alot about the house and how the current Seller’s live in it and take care of it.  Gone are the days of using the fridge as a display board.

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The only other consideration is… the Master bedroom suite and bathroom should always be followed by these words

1. A Master re-treat
2. Spa-inspired (crisp white towels and floor mats)
3. Soul – glass jars filled with sand or sea shells in the bathroom

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So, in conclusion remember these words when organizing, fluffing or preparing your other rooms…

A Tailored Look
Pop Value
and
Soul

Your success is in your hand and eyesight.

James Strathy Warren, Hons. B.A., C.F.A.C, an award winning agent, is a Sales Representative with
Royal LePage Real Estate Services Limited/JOHNSTON & DANIEL DIVISION.  James can be reached at jameswarren@trebnet.com and his website is located at www.jameswarren.ca.

Categories: General Information · Staging Information
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Muddy York Quick Tip: What is RECO?

February 21, 2009 · Leave a Comment

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RECO is the Real Estate Council of Ontario. RECO regulates the activity of trading in real estate in the public interest.

RECO as such is responsible for the administering the Real Estate and Business Brokers Act, 2002 and the associated regulations on behalf of the Government of Ontario.

RECO’s mandate is as follows:

  • Enforce the standards required to obtain and maintain registration as a brokerage, broker or salesperson and delivering the duties of the Registrar;
  • Establishing minimum requirements for pre-registration and continuing education;
  • Conducting routine inspections of brokerage offices to ensure compliance with REBBA 2002 and educate brokers;
  • Addressing inquiries, concerns and complaints about the conduct of registrants received from all sources and taking appropriate action to protect the public interest;
  • Establishing and administering insurance requirements, which include consumer deposit protection;
  • Promoting ongoing education and competent, knowledgeable and professional service.

For more information on RECO, visit www.reco.on.ca.

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