The renters: Adrian Chung, 36, an IT specialist, and his wife, Sarah Israel, the 37-year-old owner of the vintage shop Dwelling on the Past
The story: In late January, Adrian and Sarah were renting a condo off Eglinton when their landlord gave them an N12 notice, stipulating that they had to vacate by the end of May. It was a surprise, but they needed more space anyway. Sarah’s vintage inventory was being stored in three locations, and a new home would allow her to bring it all under one roof. They set their sights on Durham, where they could get more space for their money and be closer to Adrian’s Whitby office. Their wish list included two bedrooms, a garage and outdoor space with grass. With a $2,700 monthly budget, they began the hunt.
Option 1: Balsam Crescent, Oshawa
Listed at: $2,400 per month
The first property they got excited about was a two-bedroom semi in Oshawa’s Lakeview neighbourhood. Adrian and Sarah liked that it was near the water, the kitchen was newly renovated and the backyard came with a gazebo for entertaining. It also had a big basement and garage for Sarah’s inventory. It didn’t get a ton of natural light, but they decided to make an offer of $2,450 regardless. The renting agent then informed them that the place had already received several higher offers. It was still early in the game, and they wanted to avoid a bidding war, so they moved on.
Option 2: Alexis Way, Whitby
Listed at: $2,695 per month
In early April, the couple saw this end-unit townhouse. It had a large kitchen, lots of natural light and beautiful hardwood floors. The yard was private, and they liked its proximity to transit and other neighbourhood amenities. They offered the asking rent, but no dice: Adrian was on a temporary work contract at the time, and their would-be landlord wanted tenants with secure full-time employment. That’s when they started to feel anxious. The market in Durham was more competitive than they’d expected, and there was only a month left before they would have to vacate their unit.
The find: Bradenton Path, Oshawa
Listed at: $2,700 per month
At the end of the month, they saw this brand-new townhouse and fell in love. While landscaping work had yet to be completed, the place checked all their boxes—a garage and a large rec room for Sarah’s operations plus a huge kitchen, a sunny living room, a luxurious main bedroom with a walk-in closet and an ensuite bathroom, and a second bedroom that could be converted into an office for Adrian. They went in at asking, and the owners quickly accepted. Adrian and Sarah won’t be able to enjoy their new yard until spring, but that’s okay: they have no plans to move again any time soon.
TORONTO – One expert predicts Ottawa‘s changes to mortgage rules will help spur demand among potential homebuyers but says policies aimed at driving new supply are needed to address the “core issues” facing the market.
The federal government’s changes, set to come into force mid-December, include a higher price cap for insured mortgages to allow more people to qualify for a mortgage with less than a 20 per cent down payment.
The government will also expand its 30-year mortgage amortization to include first-time homebuyers buying any type of home, as well as anybody buying a newly built home.
CIBC Capital Markets deputy chief economist Benjamin Tal calls it a “significant” move likely to accelerate the recovery of the housing market, a process already underway as interest rates have begun to fall.
However, he says in a note that policymakers should aim to “prevent that from becoming too much of a good thing” through policies geared toward the supply side.
Tal says the main issue is the lack of supply available to respond to Canada’s rapidly increasing population, particularly in major cities.
This report by The Canadian Press was first published Sept. 17,2024.
OTTAWA – The Canadian Real Estate Association says the number of homes sold in August fell compared with a year ago as the market remained largely stuck in a holding pattern despite borrowing costs beginning to come down.
The association says the number of homes sold in August fell 2.1 per cent compared with the same month last year.
On a seasonally adjusted month-over-month basis, national home sales edged up 1.3 per cent from July.
CREA senior economist Shaun Cathcart says that with forecasts of lower interest rates throughout the rest of this year and into 2025, “it makes sense that prospective buyers might continue to hold off for improved affordability, especially since prices are still well behaved in most of the country.”
The national average sale price for August amounted to $649,100, a 0.1 per cent increase compared with a year earlier.
The number of newly listed properties was up 1.1 per cent month-over-month.
This report by The Canadian Press was first published Sept. 16, 2024.
MONTREAL – Two Quebec real estate brokers are facing fines and years-long suspensions for submitting bogus offers on homes to drive up prices during the COVID-19 pandemic.
Christine Girouard has been suspended for 14 years and her business partner, Jonathan Dauphinais-Fortin, has been suspended for nine years after Quebec’s authority of real estate brokerage found they used fake bids to get buyers to raise their offers.
Girouard is a well-known broker who previously starred on a Quebec reality show that follows top real estate agents in the province.
She is facing a fine of $50,000, while Dauphinais-Fortin has been fined $10,000.
The two brokers were suspended in May 2023 after La Presse published an article about their practices.
One buyer ended up paying $40,000 more than his initial offer in 2022 after Girouard and Dauphinais-Fortin concocted a second bid on the house he wanted to buy.
This report by The Canadian Press was first published Sept. 11, 2024.
