5 Years Fixed or 5 Years Variable?

5 Years Fixed or 5 Years Variable?

Which one is the better option?
This a question many home owners & home buyers will be asking
themselves this Spring when figuring out their mortgage situation.

There is no right or wrong answer, the better option is, IT DEPENDS
Both options have their “pros” & “cons”:

5 Year Variable
• rate is based on Bank of Canada Prime (currently 2.25%) but, this
rate can change when the Bank of Canada feels it is appropriate, it
can increase or decrease and your payment may be impacted
• variable rate has been lower than the 5 year fixed rate for the past
20 years
• you have an option to ‘lock-in’ your interest rate at any point during
the 5 years

5 Year Fixed
• stable interest rate for the term but, high penalties to break the
mortgage mid-term
• protection against rate increases but, if rates drop you’re still paying
the higher rate
• with the current rate environment, rates are still at all time lows!

As you can see both options have a set of positives that some may
value more than others. Some people prefer to pay the lower variable
interest rate & increase their payments to pay off their mortgage faster
while others prefer having a fixed rate and not having to worry about
what their rate is going to do next month.

At the end of the day making the decision doesn’t have to be
something you do on your own. Speak to a specialist like myself
and we will figure out together what is the best option that meets
your needs. Already have a specialist? That’s ok, I give free second
opinions!

With over 15 years of experience I am confident we can pick the
better option for YOU!

Wayne Marks, Mobile Mortgage Specialist
Manager, Residential Mortgages
T: 416-294-9704 E: wayne.marks@td.com

Posted via email from Markham's #1 Real Estate Blog

GTA: Scarborough/ Markham Real Estate: January 2010- Why you should list now!

Toronto MLS Real Estate Listings for the GTA.

Every year, there is a seasonal trend for listing in the Toronto.  During the winter months we see a lot fewer listings of resale homes.  Currently in the GTA, January 2010, the market is thirsting for new listings.

If you look at the chart, you will see that the seasonal trend is for listings to dramatically increase come March and April. With the HST tax coming to play at the end of July, we expect many more listings just as there was when the Toronto Land Transfer Tax was initiated.  People will want to save $1000s on added service costs on closing.

So with all these new listings expected to flood the market,  the competition to sell your home will vastly increase.  Not only will it affect the time it takes to sell your home, it will also affect the price you'll get.

So if your considering moving up, downsizing and looking to sell, now is the time to list and get top dollars for your home.

———-  Jas Jagpal helps families in Markham’s Boxgrove, Scarborough’s Morningside Heights and the GTA in buying or selling their home.  Jas’s purpose is for you to be so outrageously happy with the help he provides you… that you will gladly introduce him to at least two people you care about even before you transaction is closed.  Jas’s unique 20% commission sharing partnership with charitable organizations distinguishes him as a leader in innovation and charity.  By choosing Jas you’ll work with an extraordinary agent who is honest and upfront with his advice and you’ll help your charity.  Give Jas a call 647-272-6629 or visit his website and download his personal brochure to get to know him better.  Help Jas raise 50K in 2010 for charities.  Jas Jagpal: Making Good Things Happen. ——–

Posted via email from Toronto's Morningside Heights Community

Toronto Real Estate: January 2010- Mid-Month Housing Stats

It is clear as you look at the chart and compare the number of sales in January 2010 (1749) to Jan 2009 (888) and the average price ($395K to $332K) that the market is RED HOT in the Toronto, Markham, Scarborough and GTA!

If you are living in Markham's Boxgrove, or Scarborough's Morningside Heights, now is the best time for you to list your home before we get the annual seasonal influx of listings in March and April that will make it harder for you to sell fast and for top dollars.

If your thinking of selling.  Call me and get a FREE Market Evaluation.  And if you are looking to buy to better have a unconditional Morgage pre-approval and be ready to act fast.  Read previous posts.

———-  Jas Jagpal helps families in Markham's Boxgrove, Scarborough's Morningside Heights and the GTA in buying or selling their home.  Jas's purpose is for you to be so outrageously happy with the help he provides you... that you will gladly introduce him to at least two people you care about even before you transaction is closed.  Jas’s unique 20% commission sharing partnership with charitable organizations distinguishes him as a leader in innovation and charity.  By choosing Jas you'll work with an extraordinary agent who is honest and upfront with his advice and you'll help your charity.  Give Jas a call 647-272-6629 or visit his website and download his personal brochure to get to know him better.  Help Jas raise 50K in 2010 for charities.  Jas Jagpal: Making Good Things Happen. ——–

Posted via email from Markham's #1 Real Estate Blog

Pricing Your Home To Sell is Worth $1000s when Priced Right!

Often Seller's are confused as to how much to "list" their home for sale as they are getting suggested list prices from Realtors that can vary $10K- $20K.  I explain to Sellers that "suggested List Price is an Art, not an exact Science".  However, if due diligence is done, the price variation should be within 5-10K.  More importantly, under normal conditions, the market sets the price that your home will sell and not the "listing" price.

You see, if you list your home at $420K.  Yet the comparable homes values are near $400K.  It won't matter that your Realtor® suggested your home was worth $420K, the market will only pay $400K.  Unfortunately many Realtors inflate their suggested listing price to get your listing, or accept Seller's onerous listing price, knowing that in a month when there are no offers, you will be forced to reduce your pricing.  You lose precious time and energy when you do this and Buyer agents will use your listing as a comparison to sell other listings to their Buyers at lower prices.  Eventually your home carries a "stigma", that there must be something wrong with it, if it stays on the market too long.  And the value may dip below $400K because of this.  So when you reduce the price offers may only come at $390 or less.  Bottom line: you will often suffer when you over price your listing. Don't do it, except in a couple of cases!  "Your local market has very few listings, there are no comparable homes and you are just testing the market".

Whereas, time after time again, we see that listings that are priced right, sell faster and at top dollars.  So if you listed at $300K.  Yet the market showed your home is worth $310K.  Then you will get multiple offers and your home will sell at $310K.  Not only would you have sold within the first two weeks.  You also get fair market value for your home.  Just think, if you were a Buyer, you wouldn't  overpay for a home, just because it is listed $20K more than it's worth.  Buyer agents can get in a lot of trouble, if they misdirect their client to pay more for a home than it's really worth!  The Real Estate and Business Brokers Act 2002, clearly directs registrants to provide fiduciary duties of "Competence & Good Faith".  

So ensure you price your home to sell!  And any Realtor® worth his medal, whose looking out for your best interest, as a Buyer or Seller, will always guide you and tell you how it is, and how it should be... irrespective if they got to list and your sell your home or not.

———-  Jas Jagpal is a Re/Max Sales Representative, who helps families in Markham, Scarborough, Pickering and the GTA in the sale or purchase of their home.  Jas’s professionalism and his unique 20% commission sharing program for charitable organizations distinguishes him as a leader in innovation and charity.  If you are charitable organization,  looking to fundraise and want to partner with extraordinary agent who is honest and upfront, then give Jas a call 647-272-6629.  All buyers and sellers are encouraged to visit Jas's website and download his personal brochure to get to know him better.  Affiliate with Jas, help him raise 50K in 2010 for charities and Make Good Things Happen.  Thank you. ——–

Posted via web from Markham's #1 Real Estate Blog

Home Buyer's Plan of Action - 3 questions you must address.

When looking to buy a home, Buyer's can either jump in, thrash around and hope to blunder into their goal, or that can systematically create a plan of action to help get them their desired outcome.  The first method is what children often do, hit and miss, before they've learned how to succeed at a task.  You'll want to take the "create a plan of action" approach, and not gamble with your dreams.  You want to be in control of your biggest purchase and get the best home deal possible.

Three questions you must deal with in your plan of action before making any offer on a home.

1.  How Much Can You Afford to Pay for a Home?

If you can only afford a Honda Civic, there is no point going to Porsche dealer.  It will be a frustrating experience.  There is no point looking at homes at the $500,000 range if you can afford something at $450,000.

This is wear you should already have a "unconditional" preapproval commitment from a lender (Bank).  Also, if the lender says you can afford a mortgage of $400,000 but you feel comfortable with payments on a $350,000 mortgage, then take the smaller mortgage.  Don't feel compelled to buy at the MAX the lender will approve you.

2.  Where do you want to buy?

Ideally you can live anywhere, but most of us are limited to a reasonable driving distance from work, family and friends.  Even with these limiting factors you have many choices. You'll undoubtedly want a neighborhood with good schools, low crime, nearby shopping,  good transportation, and so on.  You'll also want to consider the types of homes, detached family, semis, shared condos or townhomes.  Neighborhoods, just a few minutes drive from each other can be vastly different.  It is important to "chart" the area you want to live in, "research" it and narrow your focus.  Expose yourself to your options and you may find something you never before considered that you really like.  Don't be fixated on 1 choice, you may have to settle for 2nd or 3rd.

3.  What Kind of Market Are You In?

Is it a hot, normal or cold?  In a Hot market, as we currently have, means that there are more buyers chasing fewer homes.  As a result, homes sell often as soon as they are listed, often entertaining multiple offers and resulting in homes selling for at or above asking price.  If you want to be a player, you must have all your "ducks in a row" and be able to act quickly!

A normal market has a fairly large inventory of homes for sale.  On average homes sell in 120 days or less.  You have room to negotiate and don't have to "rush" to make a deal. (Save a few high demand neighborhoods, or homes in impeccable condition)   Of course there are other buyers, so you still need to act fast on homes you "like".

A cold market, is where there is a huge inventory of homes, very few buyers and homes languish in the market for a year or more without an offer.  Parts of the United States have experienced this in the past few years.  Home prices keep falling and Buyer's (Investors) make low ball offers while taking into account the depreciation market.

Plan Your Actions: Once you've answered the three questions, you can take the steps to find a home of your dreams at an affordable price.  Find an agent your comfortable with and start looking.  Offers should always be made appropriate to market conditions.

Summary: 1. Get Preapproval.   2. Decide where you want to live.   3. Know the Market Condition  4. Get an Agent  5. Begin Looking.

———-  Jas Jagpal is a Re/Max Sales Representative, who helps families in Markham, Scarborough, Pickering and the GTA in the sale or purchase of their home.  Jas’s professionalism and his unique 20% commission sharing program for charitable organizations distinguishes him as a leader in innovation and charity.  If you are charitable organization,  looking to fundraise and want to partner with extraordinary agent who is honest and upfront, then give Jas a call 647-272-6629.  All buyers and sellers are encouraged to visit Jas's website and download his personal brochure to get to know him better.  Affiliate with Jas, help him raise 50K in 2010 for charities and Make Good Things Happen.  Thank you. ——–

Posted via web from Toronto's Morningside Heights Community

Tips for Buying a House in Toronto's Seller Market

2009 has been a roller coaster of a year.  With a dismal start in January and an outlook calling for worse, it ended with a bang!  How quickly the market magically transformed from Buyers low balling every offer (frustrating Buyer agents, Seller Agents and Sellers) back to a Sellers Market where Buyers' are feuding with each other, and paying, often above asking.

Here are a few tips to help buyers avoid overpaying in this Hot Market with a  limited supply of homes.

ALWAYS Plan before you purchase.  Never rush into a deal.

1. Get an "unconditional" preapproval so you know exactly how much you can afford.

2. Determine how much you are willing to spend and have as carrying expenses.  Just because you can "afford" more, doesn't mean you want to take on that much debt.

3. Canvas the neighborhood.  Ensure the neighborhood you want to live in meets your needs. "Transporation,  Good Schools, Malls, etc."

4. Avoid Neighborhoods with lots of Rentals - look at the homes, yards, windows, paint and you can see how well the area is maintained. Renters usually don't and owners who rent often fail to do so.  This reduces the value of homes in a neighborhood.

5.  Check for Graffiti.  Graffiti is a tell tale sign of bad elements and a week neighborhood community associations.  It lowers values of homes as well.

6.  Avoid Multiple Offers - no explanation needed.  

7.  Get your Offer in Early before others arrive.  It helps if you have all your financing and everything else in order.

8.  Offer full price or slightly above asking with better conditions.  Never give Sellers more than 24 hours to sign back.

9.  Look for "As Is", "Fixer-Uppers", FSBO and make "Cash-Only" offers.

10.  Use an agent who can deliver and help negotiate on your part and will your partner in the transaction and not concerned about selling you any home to collect a commission from the Seller.

To get the best deal and not over pay, you always have to work from a plan of action.  If you need any further information, contact Jas Jagpal at jasjagpal@rogers.com or visit: www.LetsMakeADeal.ca  

———-  Jas Jagpal is a Re/Max Sales Representative, who helps families in Markham, Scarborough, Pickering and the GTA in the sale or purchase of their home.  Jas’s professionalism, impeccable service and his willingness to give back with his unique 20% charitable commission sharing program distinguishes him as a leader in innovation and charity . If you are looking for an extraordinary agent, honest and straight shooter, then give Jas a call and ask for his personal brochure.  Or you can visit his website and download it.  Jas Jagpal is Making Good Things Happen! ——–

 

 

Posted via web from Markham's #1 Real Estate Blog

GTA REALTORS® REPORT DECEMBER RESALE HOUSING MARKET FIGURES

TORONTO, January 6, 2010 -- Greater Toronto REALTORS® reported 87,308 MLS® transactions in 2009 – a 17 per cent increase over 2008. This result included 5,541 sales in December. The 2009 result was in line with the healthy levels of sales experienced between 2004 and 2006, but lower than the record of 93,193 set in 2007.

More: http://1stoprealestate.ca/2010/01/08/gta-realtors®-report-december-resale-housing-market-figures/

Posted via web from Markham's #1 Real Estate Blog

Beware 'free' real estate seminars

January 01, 2010

Mark Weisleder

Special to the Star

How many times have you seen late-night infomercials or advertisements inviting you to a seminar on how you can become a millionaire by buying real estate with no money down, even if you have a poor credit history? As with most get-rich-quick schemes, there is an old saying, "If it seems too good to be true, it is."

Becoming a real estate investor is not easy. It involves careful study as well as being surrounded by a team of professionals to assist with properly evaluating, negotiating, financing and managing your investment. Even with all of this, some very experienced investors have also suffered losses or even bankruptcies when the market unexpectedly turns, as we saw in the last four months of 2008.

Typically, what these no-money down programs attempt, in a two-hour "free" presentation, is to convince you to attend a three-day workshop in which you'll learn the "secrets" to become an instant real estate entrepreneur. You are then invited to pay several thousand dollars to attend this seminar, with a promise that you'll make tens of thousands of dollars within 30 to 60 days of completing the program.

Here are some of the methods used to entice you to attend the three-day seminars:

The instructor will usually spend time telling you about all the vacations he is taking now that he is financially secure, and that he has personally purchased several hundred properties in your area using this system.

The main principle is that the seminar will help you find properties in distress that no one knows about where the owners owe more on their mortgage than they can afford.

You will learn how to place advertising in key real estate magazines to help you find these owners who are in distress.

You will then receive at least 50 to 100 calls from sellers in trouble, either through job loss, marriage breakdown or a death in the family.

These homeowners will be very happy to give you their property if you take over their mortgage payments, so they can avoid having their credit score ruined for the next 10 years.

Even if you have bad credit, you will still be able to take over an owner's mortgage without getting approval from the owner's bank.

They will provide you with lenders who will lend you money at high interest rates for a short period of time – usually 30 to 60 days, which is okay because in two months you can re-sell your property and make your first profit.

They have a database of properties in your area that are in a category called "pre-foreclosure," where the bank is about to take over.

Notice the phrase "pre-foreclosure." That's a term rarely used in Canada, but it's common in the U.S. Many other principles in these seminars are taken from similar U.S. seminars that have little or no application in Canada.

In Canada, most banks use the power of sale remedy if a mortgage goes into default; they typically do not use the foreclosure remedy because it takes too long. And we are not experiencing the real-estate meltdowns people are facing in the U.S., because most lenders in Canada have been more responsible than lenders in the U.S.

More than 15 years ago some trust-company mortgages allowed buyers to take over a mortgage without bank approval, but it's very unlikely you'll find one of those mortgages today.

In Canada, most lenders will not give you money, even at high interest rates, unless you can demonstrate you have some equity in the property. So why would owners in this situation not just sell their properties themselves to pay off their mortgages?

I invite readers to share with me any of their own experiences attending these seminars.

Remember, if it seems too good to be true, it is.

Email: mark@markweisleder.com. Website: www.markweisleder.com. Mark Weisleder is a lawyer, author and public speaker for the real estate industry and a regular contributor to Real Estate News.

Posted via email from Markham's #1 Real Estate Blog

Tip #3 -29 Essential Tips That Get Homes Sold Fast (And For Top Dollars)

Tip #3 Do your homework before setting a price

Settling on an offering price shouldn’t be done lightly. Once you’ve set your price, you’ve told buyers the absolute maximum they have to pay for your home. The trick for the seller is to get a selling price as close to the offering price as possible. If you start out by pricing too high, you might not be taken seriously by prospective buyers and their agents. A price too low can result in selling for much less than you had hoped for.

Setting your home’s sale price can be a fairly easy process. If you live in a subdivision comprised of homes with similar or identical floor plans, built in the same time period, then all you have to do is look at recent sales in the neighborhood to give you a good ballpark figure.

But many people live in older neighborhoods that have changed quite a bit over the years. Every home in your neighborhood may be different in minor or substantial ways—the house next door may have added another bedroom, for example, or the one across the street might have been built recently to fill a vacant lot. As a neighborhood evolves

over the years, you may find that there aren’t any homes that are truly comparable to your own.

If you decide to sell your home on your own, the most common way to set a value is to look at homes that have sold in your neighborhood within the past six to 12 months, as well as those now on the market. That’s certainly how prospective buyers will assess the worth of your home.

You can usually learn what homes have sold for in your neighborhood by making a quick trip to City Hall; home sale information is in the public records in most communities (but not all).

If this sounds like a lot of work, you may decide to hire a Realtor®. Your Realtor® will do all the market research and provide you with comps showing where your home should be priced to best meet your goals—a fast sell, maximum profit, etc.

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Jas Jagpal is a Re/Max Sales Representative, who helps families in Markham, Scarborough, Pickering and the GTA in the sale or purchase of their home. Jas’s professionalism, impeccable service and his willingness to give back with his unique 20% charitable commission sharing program distinguishes him as a leader in innovation and charity . If you are looking for an extraordinary agent, honest and straight shooter, then give Jas a call and ask for his personal brochure.  Or you can visit his website and download it.  Jas Jagpal is Making Good Things Happen! 

Posted via web from Markham's #1 Real Estate Blog

Jas's 2010 Polar Bear Dip - Watch Video & Pictures

A friend calls me and says "Jas you're going to do the Polar Bear Dip".  I say "What?!"

He says it is for a good cause, so I say "YES"!  After hanging up, I'm thinking, "at 38 have I gone crazy!"

Needless to say, not knowing what to expect, Jan 1st, turned out to be a party in the cold!  A Dhol group joined us, and we Bhangra'd before the dip.  Around 500 participants and family members were kept warm and entertained to the beat of the drums as we all entered to make the frigid plunge.

How cold was it?  Well the water was near 0C and the temperature hovered at freezing.  Jaspreet and the kids kept me company and upbeat!

As of this moment, the Khalsa Kanucks have raised nearly $3000 for Habitat for Humanity.  With your help Jas,  "the great one", was able to raise nearly $1000.  I'm extremely thankful for all the donations and support I've received.  More importantly the Khalsa Kanucks, helped the organizers reach and exceed their sponsorship goal.

Habitat for Humanity will be able to get 3 foundations poured with the money they collected to build a home and give a "hands up" and not a "hand out" to a family in need.  I'm hoping to raise more and looking forward to reaching my goal of $1500.  I've taken the plunge the proof is below.

Watch video on Youtube. Pictures are posted on Facebook. Donate to Jas's Toronto Polar Bear Dip

Videographer: Jaspreet Jagpal, Amar Jagpal  Photographer: Kiranjot Jagpal Cute Baby: Balraaj Jagpal

Happy New Year!

Jas Jagpal & Family

"In helping others, we shall help ourselves, for whatever good we give out completes the circle and comes back to us." Flora Edwards

----------  Jas Jagpal is a Re/Max Sales Representative, who helps families in Markham, Scarborough, Pickering and the GTA in the sale or purchase of their home.  Jas's professionalism, impeccable service and his willingness to give back with his unique 20% charitable commission sharing program distinguishes him as a leader in innovation and charity . If you are looking for an extraordinary agent, honest and straight shooter, then give Jas a call and ask for his personal brochure.  Or you can visit his website and download it.  Jas Jagpal is Making Good Things Happen! -------- 

Posted via web from Markham's #1 Real Estate Blog