Purchasing a home in the Canadian real estate market will be one of the most significant decisions of your life. Therefore, you need to know what you are paying for as you find a home to budget the home-buying process accurately.

One of the expenses associated with buying or selling a detached house, a townhome, or a condominium is closing costs. These are a wide range of fees generally paid at the end of the transaction, accounting for roughly one percent to four percent of the overall purchase price, depending on where the home is located.

So, what can you anticipate paying when you complete the acquisition?

What Closing Costs Must Be Paid When You Buy a Home?

Here are six closing costs you may expect to pay when you buy a home in Canada:

Land Transfer Tax

A land transfer tax is a levy based on the amount paid for the property. Some provinces, and in the case of Toronto, municipalities set the land transfer tax rate for real estate transactions. This will represent the bulk of your closing costs. However, because they can be exorbitant, some jurisdictions will offer partial rebates to first-time homebuyers to reduce the size of the tax bill.

Legal and Agent Fees

Another closing cost that buyers will face is real estate agent fees and attorney fees. These closing costs range from a few hundred dollars to thousands of dollars, depending on what is needed to be done, the size of the property price tag, and where the home is located.

Property Tax Adjustments

For most homeowners in Canada, property taxes are usually paid on a pro-rated basis. However, when you purchase a home, you might pay a portion of the property taxes for the year of the transaction. For example, if the owner has already paid the property tax for the year and you purchased the home mid-year, you would need to pay the adjustment to finalize the balance.


Did you purchase a pre-build? If so, you should determine if there are any additional closing fees. These are extra costs that the builder is owed due to fresh levies issued by the province or municipality.

Here are some other closing costs you may need to familiarize yourself with when acquiring a pre-build property since it will differ from a resale property:

HST or GST: A tax charged on the property’s purchase price and due at closing. Development and Education Levy: Some cities will apply development and education taxes on construction projects to help cover the cost of infrastructure and services. Mortgage Application Fee: Applying for a mortgage to purchase a pre-build property might require a mortgage application fee. Pre-Construction Costs: Buying a pre-build property might also require paying occupancy fees, upgrading finishes, and deposits to adjust original plans. Home Inspection and Appraisal Fees

A home inspection is a crucial step in the home-buying process to determine the property’s condition. The home inspector will examine everything from the foundation to the roof to the plumbing. This will help you identify any prior issues before taking the title of the property. The home inspection cost will depend on the size and age of the house, townhome, or unit.

Appraisal fees originate from professional evaluation of the home’s value. Mortgage lenders sometimes request this to ensure the property’s value is sufficient to secure the loan. If you opt for a “purchase plus improvements” type of mortgage, you will need an appraisal before receiving the mortgage approval and a second appraisal once the work has been completed to receive the improvement portion of the funds.

Mortgage Broker Fee

For most people, using the services of a mortgage broker to find and secure a mortgage requires no fees. In most circumstances, the broker is paid by the lender. In some cases, however, typically more complex situations, you may have to pay the mortgage broker yourself for finding you a lender and handling the necessary paperwork.

The More You Know

There are many costs associated with buying a home in the Canadian real estate market. All three levels of government maintain some type of tax, while industry participants typically have fees. While buyers and sellers expect closing costs, many are unaware of what these may be or how much they will add to the final balance. This is why it is critical to equip yourself with the knowledge of what you will be spending beyond the home’s purchase price. By working with real estate agents, attorneys, and mortgage lenders, you and your family can make the best and most informed financial decisions when searching for your next home.

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During the 2020-2021 housing boom, nearly the entire Canadian real estate market was a seller’s market. The buying frenzy was intense amid historically low interest rates, minimal housing inventory levels, and enormous competition among prospective homebuyers flush with cash. Over the last year, the historic growth has subsided. With the Bank of Canada (BoC) aggressively tightening monetary policy by raising interest rates and trimming its balance sheet, the Canadian housing industry began to shift in the other direction, favouring buyers in many markets. With the spring market in full swing, you may be wondering what to do, if you’re selling in a buyer’s market.

In fact, more than half (55 per cent) of Canada’s housing markets were expected to shift into balanced or buyer’s markets this year, according to the RE/MAX 2023 Canadian Housing Market Outlook. A balanced market is when conditions reach an equilibrium (an equal about of supply and demand), and a buyer’s market is when there are more homes for sale than buyers. Indeed, it is a complete turnaround from what occurred before and during the coronavirus public health crisis.

“In sharp contrast to 2022, most regions analyzed in the report will experience more balanced conditions in 2023 – a trend that’s already starting to materialize as a result of current economic conditions,” the report stated.

So, for households looking to sell a property in this environment, how do you begin? We have compiled a guide of tips for selling in a buyer’s market:

Selling in a Buyer’s Market

Here are seven tips for selling in a buyer’s market in the Canadian housing sector:

#1 Price Your Home Correctly

It is crucial to make sure your property is competitively priced. It is important to remember that the buyer has the power to negotiate in a buyer’s market. Buyers also typically have more choices in this kind of climate. Therefore, if you are interested in selling your property, you will need to attract buyers, which can be successfully achieved by pricing your property competitively. You can do so by conducting thorough research in the area of your property and pricing it based on current market conditions. Of course, a real estate agent can help you with choosing a price that will be competitive.

#2 Are Upgrades Needed?

When assessing your residential property, can you ensure the property is in good condition? If not, you may need to go ahead with proper repairs and upgrades. Remember, buyers will always choose a property that provides them with the greatest value for their money. It is essential that your property is in excellent condition and that all necessary repairs and upgrades have been completed before showing the property to buyers.

This can add significant value to your property and assure buyers that they are investing their money in something worth the cost. The goal should be to make your property appealing. If this means a fresh coat of paint, an extra bedroom, or new flooring, then so be it. However, since renovations cost money, the renovations and upgrades should be done considering the price the property will likely command with those changes.

#3 Curb Appeal

Many real estate agents and industry experts typically suggest maximizing your property’s curb appeal. Why? The first impression is usually the last. This is especially true in real estate. The first thing any potential buyer sees is a property’s exterior. Before putting up your property for sale, try to pay special attention to its curb appeal and surroundings. The exterior of the house should not look unkempt. The porch should be clean, for example. Uneven pathways should be fixed. There should be no overgrown bushes, weeds, leaves, broken or bad lights, broken pots, poor landscaping, or spiderwebs.

Overall, the external appearance should be in perfect condition. Only then will the buyer have a positive mindset when examining the property’s interior.

#4 Flexibility

Flexibility was not a common word during the last couple of years. Today, the term is quite ubiquitous. Put simply, always be flexible and willing to negotiate. Since buyers have multiple options and properties to choose from, they have the upper hand in a buyer’s market. Indeed, those interested in selling their property should be open to negotiations and should aim to reach agreements that are mutually beneficial for both parties. This does not mean the seller has to sell his property at a loss. The real estate market typically maintains a dynamic where sellers can still make a decent profit even if the buyers have more negotiating power.

#5 Real Estate Agents

No matter your circumstances, you must always work with a reputable real estate agent. Property owners may have the most fantastic property but finding a suitable buyer still requires the expertise of a reputable and experienced real estate agent. This is even more important in a buyer’s market as real estate agents have more information about market trends and dynamics and can help sellers price their property at the most competitive price and present it in a way that the buyer is convinced that this is the best option for them.

Real estate agents are also better positioned to advise which upgrades or renovations are needed and which might not be worth the money. They know what can give a particular property an edge in the market, and sellers should utilize this expertise to get the best price and buyer.

#6 Presentation Matters

Every seller must present the home properly. Once the real estate agent identifies a prospective buyer, it is vital to ensure they can present your property most effectively. Homes should be staged to make buyers envision themselves in that space. Properties for sale should never be cluttered or dirty, personal items should be removed, and the whole ambiance should be that of space, comfort, and livability.

#7 Try to Sweeten the Deal

In the end, when you are confined to the parameters of a buyer’s market, buyers expect more. One tip to make your property more attractive is to offer something to sweeten the deal. This could include a broad array of features, such as including the home’s appliances or offering an early closing.

For example, an offer to cover some of the closing costs or to accommodate the buyer’s preference for a move-in date and other similar incentives could tilt the buyer’s decision in your favour.

Need more advice? Find a RE/MAX Agent near you.

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Property taxes and real estate taxes are two terms that are often used interchangeably, but they refer to different things. While they are both related to the ownership and maintenance of the property, they have distinct differences that can affect homeowners and investors in various ways. Understanding the nuances between these two types of taxes is essential for anyone who owns or is planning to purchase real estate.

Property Taxes and Real Estate Taxes in Canada

In Canada, property taxes and real estate taxes are the responsibility of the provincial and territorial governments. These taxes are levied on all real estate property, including residential, commercial, and industrial properties. Property taxes are assessed annually based on the property’s assessed value. The local municipality or government agency determines this value and considers the property’s location, size, and other factors. Property taxes fund local government services, such as schools, fire departments, and infrastructure.

On the other hand, real estate taxes are a type of tax levied on the sale or transfer of real estate property. These taxes are also collected by the provincial and territorial governments and are usually based on a percentage of the sale price of the property. The purpose of real estate taxes is to generate revenue for the government, and they are often used to fund a variety of programs and services.

The specific rules and regulations regarding property and real estate taxes in Canada can vary by province and territory. For example, some provinces may offer tax exemptions or reductions for certain types of properties or individuals, such as seniors or farmers. Depending on the property’s location, different rates and calculation methods may be used for property and real estate taxes.

How Property Taxes are Used in Canada

Property taxes generate revenue for local governments and fund essential public services, such as schools, fire departments, police departments, parks, and public transportation. Property taxes are a more stable source of revenue for local governments than other sources, such as sales or income taxes, which can fluctuate with economic changes. This stability allows local governments to plan and budget more effectively for the long term.

In addition to funding public services, property taxes also help to encourage responsible property ownership. When property owners are required to pay taxes on their property, they are incentivized to maintain and improve it to maximize its value. This, in turn, benefits the community by increasing property values and promoting economic growth.

Is Real Estate Tax the Same as Property Tax?

Taking that first step on the real estate ladder can mean a steep learning curve regarding financial terms and how they affect you. One common area of confusion for those entering the real estate market is the terms real estate and property taxes, which are often used interchangeably. So, the real question is, are “real estate taxes” and “property taxes” the same?

In short, real estate tax is a type of property tax.

While a property tax does apply to real estate, it can be used for items other than real estate, depending on your jurisdiction’s laws. That said, the most common property tax is paid on real estate, which is why the terms property tax and real estate tax can be used in reference to the taxes paid on real estate.

However, the term real estate can’t be used in reference to property tax paid on items that are not real estate.

Property Tax Rates in Canada

When researching property taxes – what they are and how they will affect your finances – you may come across the terms mill rate and mill levy. These terms relate to how your real estate tax is calculated. The mill levy is the tax rate imposed on your property value, with one ‘mill’ representing one-tenth of one cent. This means that if real estate is valued at $400,000, the associated mill rate would be $400. This then applies to the overall value of the jurisdiction and helps determine how much revenue is needed to run necessary community functions. This revenue is then passed onto the property owners in the region.

Calculating Property Tax Rates

Property taxes are calculated based on the value of the real estate property, both the land itself and any buildings on it. A property tax is a combined rate for municipal and provincial property tax rates. The rate is determined based on the property’s value and whether the real estate falls under the residential or non-residential category.

After the initial appraisal of the property when purchased, an assessment by an official tax assessor visits the property every one to five years to update the property’s value and adjust the property (or real estate) taxes accordingly. The assessor can determine the property tax and value of the property through three methods: by performing a sales evaluation, following the cost method, or estimating the amount of income that would be generated, should the property be rented.

A good way to see whether your property taxes are reasonable is by checking your tax card for comparable homes and their associated real estate taxes. Reducing your property taxes might be possible by looking for local and regional tax exemptions that apply to your property.

Factors That Can Affect Property Tax Rates

As a function of your local government, governmental changes can affect your property tax rate. Some of the common reasons why property tax rates may shift include:

Reductions in governmental revenue from grants or fees – Municipalities rely on the fees and grants allocated to them by provincial and federal governments. If the number of allocated funds changes, municipal property tax rates often shift accordingly to accommodate this change.

Increases in municipal spending – The flip side of reduced municipal revenue is increased spending. Though the opposite in most respects, this scenario also affects the real estate tax rate (almost always an increase).

Failure to pay property taxes – In some municipalities, penalties are associated with a property owner’s inability to pay the mandated taxes. As a result, the owner will often see an increase in the property taxes required as a function of a fixed penalty or an interest rate on the amount owing. Luckily, this factor is entirely in the hands of the property owner – as long as real estate taxes are wholly paid and on time, additional expenses can be avoided.

Exempt properties – Some properties are deemed exempt from the standard property tax rate for various reasons, but mainly because these properties have been considered valuable to society. Further drawing from the income of these properties would negatively impact these valuable contributors. Some examples of these properties could be farming residences, hospitals, churches, and schools.

Staying Aware of Property Taxes

Real estate taxes can seem like a fair amount of money to a property owner if you don’t know exactly where it’s going. However, property taxes paid are another source of income for governmental bodies. The money is then redirected to the various needs throughout the area, such as the construction and maintenance of schools, city amenities, emergency services and more. When you pay real estate taxes, you are contributing to your community services and infrastructure and, in turn, maintaining or even increasing the value of your home by creating a valuable community.

Once you have a strong understanding of property taxes, from how they are calculated to their purpose, the best way to ensure that you are paying the correct amount is by staying educated. This means staying up to date with your municipality’s changing rates and spending from year to year, finding out about any deductions you might be eligible for and having an active role in assessing your property.

Working with RE/MAX means having all the home and property owner resources at your fingertips. From buying and selling tips to housing market outlooks, you can make the most of your real estate decisions with RE/MAX.

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In 2023, financial experts have been homing in on mortgage rates. With inflation showing moderation, the Bank of Canada (BoC) has put pause to its recent wave of interest rate hikes, and analysts believe the Bank may start dropping rates early next year. The debate among housing observers, economists and investors is about how much and how quickly.

Despite recent decreases, Canada’s inflation rate remains well above the central bank’s two-per-cent target.

“If inflation continues to slow down—and this is what we expect for 2023—mortgage rates may stabilize below six per cent in 2023,” said Nadia Evangelou, senior economist and director of forecasting at the National Association of Realtors (NAR).

Fluctuating mortgage interest rates can affect fixed and variable mortgages differently. So, with all this talk of fixed versus variable rate mortgages, what is the difference between the two products? Let’s explore.

Fixed vs Variable Rate Mortgages: Understanding the Differences

With a fixed-rate mortgage, borrowers’ interest rates and payments remain unchanged during the mortgage term. This means that the borrower’s monthly payments will remain constant, making planning and budgeting each month’s mortgage payment easier. The fixed interest rate is typically set when the loan is originated and does not change, regardless of any fluctuations in the market interest rates. Fixed-rate mortgages are a popular choice among homebuyers who prefer the stability and predictability of a consistent payment over the life of the loan.

With a variable-rate mortgage, homeowners’ interest rates will rise or fall based on the lender’s prime interest rate. The interest rate is typically tied to a financial index, such as the prime rate, and may change periodically based on changes in the index. Variable-rate mortgages may be suitable for homebuyers who are comfortable with fluctuations in payments and feel the interest rate may drop in the future.

Benefits and Drawbacks of Each Mortgage

Both types of mortgages have their pros and cons.

For a fixed-rate mortgage, borrowers know when they will pay off their mortgage. This allows someone to budget accurately every month because they know their payment for the prescribed term. The interest rate does not change, regardless of any fluctuations in the market interest rates. This means that borrowers are protected against any potential increases in interest rates, providing peace of mind and helping to avoid payment shock. Because the interest rate never changes, borrowers could pay more or less in interest than with a variable-rate mortgage.

At the same time, a fixed mortgage interest rate is typically higher than the variable alternative. Not only does that mean a potentially higher overall cost, but it also makes it more difficult for some borrowers to qualify. Fixed-rate mortgages are less flexible than adjustable-rate mortgages, as the interest rate remains the same for the life of the loan. This means borrowers cannot take advantage of any potential decreases in interest rates without refinancing. Plus, should the borrower decide to end the mortgage prematurely, they will incur greater penalties than a variable rate.

So, what about the advantages and disadvantages of variable mortgage rates?

The interest rate on a variable-rate mortgage is typically lower than with a fixed rate. Should the prime rate move, so too will the mortgage interest rate. If the prime rate increases, more of the payment will be allocated to interest. If the rate falls, more will go toward the principal, extending the amortization period. Some variable-rate mortgages include caps or limits on how much the interest rate can increase, which can protect against significant interest rate increases. Those with a variable-rate mortgage concerned about an imminent interest rate hike can transition to a fixed-rate mortgage anytime.

However, with a fluctuating interest rate, there is more uncertainty in budgeting for homeownership. The higher monthly payments could result in a higher overall mortgage cost. If interest rates increase significantly, borrowers with variable-rate mortgages may have difficulty making their mortgage payments, resulting in default and potentially foreclosure. At the same time, some variable-rate mortgages may have prepayment penalties if the borrower pays off the loan early or refinances.

A Note About Prime Rates

But wait a minute. What is a prime rate anyway?

The prime rate is the interest rate banks charge their most creditworthy customers for loans. It is generally considered the benchmark rate for many types of loans, including adjustable-rate mortgages (ARMs), home equity lines of credit (HELOCs), and credit cards. Individual banks set the prime rate, typically based on the federal funds rate set by the Federal Reserve, which is the interest rate banks charge each other for overnight loans to meet reserve requirements. The prime rate can fluctuate over time based on changes in the federal funds rate or other economic factors. It is often used as an indicator of the economy’s overall health. Borrowers with a good credit score may be able to secure loans at or near the prime rate, while borrowers with lower credit scores may be offered loans with a higher interest rate.

Types of Fixed and Variable Rate Mortgages

Meanwhile, there are variations of a fixed- and variable-rate mortgage:

Open Fixed: Borrowers can prepay in full or part to change to another mortgage term without fees. With an open fixed mortgage, borrowers have the flexibility to make additional payments on their mortgage, which can help them pay off their mortgage faster and save money on interest charges. This type of mortgage benefits borrowers with fluctuating income, such as self-employed individuals, or those who anticipate receiving a large sum of money in the near future, such as an inheritance.

Closed Fixed: Homebuyers will see their interest rate and payments remain the same throughout the term. The interest rate is fixed for a specified period, such as one, two, three, five or 10 years, and the mortgage cannot be paid off or renegotiated before the end of that term without incurring penalties. This means that borrowers are committed to the mortgage for the entire term and cannot make any significant changes to the mortgage without paying a penalty. At the end of the fixed term, borrowers can renew the mortgage with the same lender or switch to a different one.

Open Variable: Clients can make as many prepayments as they want and either pay off the total balance or switch to a different term without penalties. With an open variable mortgage, borrowers have the flexibility to make additional payments on their mortgage, which can help them pay off their mortgage faster and save money on interest charges. This type of mortgage benefits borrowers with fluctuating income, such as self-employed individuals, or those who anticipate receiving a large sum of money soon, such as an inheritance.

Closed Variable: Homeowners will make the same monthly payments throughout the mortgage term. The interest rate is variable and is fixed for a specified period, such as one, two, three, five or 10 years. The mortgage cannot be paid off or renegotiated before the end of that term without incurring penalties. This means that borrowers are committed to the mortgage for the entire term and cannot make any significant changes to the mortgage without paying a penalty. At the end of the fixed term, borrowers can renew the mortgage with the same lender or switch to a different one.

Adjustable Rate: An adjustable-rate mortgage (ARM) is a type of mortgage where the interest rate on the loan is variable and may change over time based on fluctuations in an underlying financial index. The interest rate on an ARM is typically fixed for a certain period, often three, five or seven years, before becoming adjustable. After the fixed rate period ends, the interest rate may adjust up or down, depending on changes in the financial index.

Lock and Roll: “Lock and roll” is a term that is sometimes used to describe a feature of adjustable-rate mortgages (ARMs) that allows borrowers to lock in their interest rate at any time during the life of the loan. This feature gives borrowers greater flexibility and control over their mortgage payments, especially in a rising interest rate environment. With a lock and roll feature, borrowers can lock in their interest rate for a set period, typically ranging from 30 days to several months, at any point during the life of the loan. This can protect borrowers against rising interest rates and help them better manage their monthly mortgage payments.

What’s Right for You?

Should you choose a fixed or variable mortgage rate?

Since real estate is generally considered a conventional safe-haven asset in any economy, many choose the fixed option because it allows for a steady approach to managing finances. In today’s sizzling Canadian real estate market, many homebuyers have opted for the variable rate and have enjoyed savings. But with interest rates only expected to return to pre-pandemic levels, some wonder if this could be a time to lock it in. Work with a professional financial advisor to determine what’s best for you in your specific situation.

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Did the coronavirus pandemic permanently change the Canadian real estate market? Undoubtedly, many aspects of the Canadian economy have been altered, triggering a cascade of challenges and opportunities!

Of course, this can weigh on consumer sentiment. But how much is it altering how Canadians purchase residential properties, whether single-family detached homes or condominium suites?

Now that it has been a year since Canada’s housing sector began its correction after the central bank launched its rate-hiking campaign, industry observers are observing the fallout. Homebuyers are navigating difficult terrain with rampant inflation and economic uncertainty dominating today’s environment.

Indeed, despite the decline in the average national home price over the last 12 months – approximately $660,000, according to the Canadian Real Estate Association (CREA) – housing affordability is still a crucial issue for buyers and sellers. According to market analysts and real estate agents, this is resulting in a new trend in the Canadian real estate market: trade-offs.

So, what are prospective homebuyers giving up to make the most significant purchasing decision in their lifetime?

Buyers Are Comprising on the Must-Haves

Is it too late to purchase the “perfect” home?

During Canadians’ property hunt, many families are learning to prioritize what matters to them while giving up certain features, according to a new study conducted for RE/MAX.

For example, more than two-thirds (68 percent) of Canadians say they might have to consider rethinking their focus on a specific location when buying a home. Seventy-two percent of Canadians also note that changes in the broader economy have revised their homebuying plans.

Because 66 percent of Canadians think the housing market is moving faster than they could make an offer, half of Canadian homebuyers are buying residential properties “to alleviate fears around the unknown,” the report stated.

“I don’t know how sustainable it is for prices to be the way they are now, but it was a pretty quick decision to buy the two-bedroom. A part of it was we didn’t want to be priced out of the area, because I do think that it will continue to get expensive, and the longer that we had waited, I don’t think a two-bedroom would have been affordable for us,” a repeat homebuyer in British Columbia.

Another repeat homebuyer in Alberta conceded that the residential property she purchased would have been her third choice.

“The area that we ended up buying in, if you had asked me a year or two ago would have been a third-choice area. So we did trade off a bit on location. It’s about a 30-minute walk into the city for us, and to my office […] the areas we were looking in prior to were about a 15-minute walk and much closer,” she said.

Others are conceding their desired home category, with many first-time buyers opting for a higher-density housing type instead of a conventional single-family unit.

As a result of these adjustments, Canadians have expanded their definition of what makes “a good fit,” realizing that they require the assistance of real estate agents to balance “must-haves” with “nice-to-haves.”

Of course, this balance might depend on your personal circumstances. Families with children might desire a location closer to a school. Professional couples may want to live in a home close to work or public transportation. Retirees may yearn for a simple one-story home in a community with nearby amenities.

This is why it is always critical for buyers and sellers (who will most likely turn to buyers again) to work with real estate agents!

Meanwhile, Canadians continue to focus on supporting a work-life balance. While the line between home and work is getting blurred as more people work from their homes, prospective homeowners envision their residential properties as safe spaces.

In addition, the size is becoming crucial, too: 64 percent of respondents say storage space is a critical factor when buying a home.

“People are bringing more intentionality and purpose to how they are utilizing space. The office needs to feel different from the kitchen or the bedroom. They’re looking for spaces that can shift their mindset,” said Chelsea Hamre, a RE/MAX real estate agent, in the report.

At the same time, a growing number of Canadians view their homes as both a place of rest and productivity. Twenty-one percent describe their homes as a place where they spend their “time learning and developing,” which is nearly double from 2020.

In the end, the Canadian real estate market has been transformed three years after the start of the COVID-19 public health crisis. Is an extra room necessary room? Yes, storage space is of the utmost importance! But, no, having a school three minutes from your house may no longer be feasible within your budget.

Ultimately, exploring and purchasing a home in this environment might be a balancing act between needs and wants, must-haves and nice-to-haves!

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A great real estate agent can make your house-hunting experience much less stressful and confusing, lending you their expertise as well as a listening ear. But how does one identify a good agent? In this article, we will discuss the key characteristics Canadians look for in a real estate agent today.

Market and Industry Knowledge

A great real estate agent has a solid grasp of what is happening in the real estate industry, such as trends in home buyer preferences, regulatory changes, and new financing options. Because most homebuyers want to be part of a community, real estate agents must have in-depth knowledge of specific neighbourhoods and communities within the larger areas they cover.

Technology and Communication Skills

Today’s home buyers are accustomed to having a constant stream of information at their fingertips. They expect their real estate agent to supply the information relevant to their home purchase to them in a timely manner. A good agent is on top of matters that affect their home purchase or sale, is adept at filtering and summarizing the incoming information, and sends it to the client as soon as possible. The most effective real estate agents today are multi-platform, multi-channel communicators.

An Eye for Possibilities

Home buyers are looking for spaces that meet multiple needs and adapt to changing lifestyles. A great agent can identify houses that could suit them perfectly, even if they don’t initially check all the buyer’s boxes. Real estate agents can use their experience, imagination, and familiarity with emerging communities to show their clients the potential in homes they might otherwise have passed over.

Personalized Service

Clients prefer real estate agents they can connect with. An agent should have excellent listening skills so that they can learn about their clients and what they are really looking for in a home. What sort of lifestyle do they want to have? What are they hoping to use the home for, now and in the future? What are their biggest fears in buying a house? Understanding their clients makes it easier to identify their needs, as well as their hopes and dreams. By employing empathy and adapting to the changes in each home-buying journey, an agent can help any client secure their vision for the future.

Honesty and Transparency

Access to information is unprecedented in today’s real estate market. That can only be a positive for people who are looking for a home or planning to sell, but this proliferation of information can also be overwhelming. Can the client afford to buy in this market? Will house prices go down? What about that new development near the proposed train station—will the train station be built, and when will they break ground on the development? A real estate agent who can synthesize all this current and forecast information and communicate it with honesty and transparency is an invaluable resource to home buyers. Buyers want to know what’s really in their price range, whether they should move quickly on a particular home if their offer on a home is realistic, and how far out of the city center they will need to look to find a home they can afford. Home buyers today are savvy and will quickly be able to discern if their agent has their clients’ long-term best interests at heart.


Home buyers appreciate knowing who their agent is as a person. Many people have two selves: the online one they present to the world and the “in real life” (IRL) one they are around friends and trusted others. Homebuyers want to work with an IRL person, someone they can relate to and who understands their needs and wishes on a deeper level.

Decision-Making Support  

Buying a home is confusing and stressful. Because it’s the largest purchase most people will ever make, the stakes are incredibly high, and the costs of making a wrong decision are even higher. Today’s buyers want an agent who understands their state of mind and can calmly guide them through the process, offering support while respecting their clients’ individuality and agency.

Choosing a Real Estate Agent

If you’re in the market for a new home or looking to sell your home, ReMax agents are ready to help. With the solid advice you expect from seasoned professionals who maintain a close watch on industry trends and the empathy and honesty homebuyers appreciate, we will find you the perfect home for you and your family. Our agents consistently rank among Canada’s best; you can rely on us to help you through the home-buying process so that you emerge feeling confident about your new home and your future there. Contact us today to connect with one of our outstanding team members.

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Let’s face it: The mortgage market is notably volatile right now. And Canadians are noticing.

The 2023 RE/MAX Housing Market Outlook report revealed that nearly half (45 percent) of Canadians are concerned that additional interest rate increases will affect their ability to purchase or sell a home this year.

After the Bank of Canada (BoC) announced that it would slam the pause button on raising interest rates, it appeared that the mortgage sector would stabilize and provide prospective homebuyers certainty on where fixed- and variable-rate mortgages would be headed.

What a difference a month can make!

The chaos in the bond market – Canada and the rest of the world – has potentially changed the direction of these debt instruments. Remember, the five-year bond yield is typically the basis for most mortgage rates. As of Mar. 16, 2023, the five-year bond was trading at around 3.07 percent. And, of course, the central bank’s policy decisions influence the bond market.

Last year, the conventional five-year mortgage lending rate was around 3.77 percent. It is above 5.8 percent today, according to the Canada Mortgage and Housing Corporation (CMHC).

At the beginning of the year, there had been a debate about whether rates would trend higher or lower. While market experts have carved out a path for the economy this year, the latest events in the financial system have cast doubts on these projections. Based on the recent developments, it could be challenging to figure out how interest rates, the bond sector, and even the Canadian real estate market will evolve in the coming months.

So, what is the solution for a household considering purchasing a detached house in rural Ontario or a condominium suite in the heart of Vancouver? It may be time to think about short-term mortgages.

Is a Short-Term Mortgage the Way to Go?

The BoC signalled that it would leave interest rates elevated for quite some time to conquer inflation and determine how they are affecting the broader economy. If the central bank does follow through on this pledge, this could be good news for borrowers as they now possess some certainty about the future.

However, what happens if the central bank starts cutting interest rates in response to a slowing economic landscape? Indeed, it could force homebuyers to leave savings on the table as they finally dip their toes in the Canadian housing market. This is undoubtedly a difficult decision to make.

A chorus of economists and mortgage experts assert that a legitimate solution is to take on short-term mortgages, be it one- or three-year terms. By employing this option, you can lock in mortgage rates that are just below the peak, and then, over the next 12 to 36 months, you can renegotiate your mortgage and obtain a lower interest rate. As a result, your monthly payments would shrink earlier than if you wait for the full five-year fixed rate.

Meanwhile, others purport that taking advantage of a variable-rate mortgage in this environment could also be advantageous since rates are more likely to come down than they are to rise.

“Yes, five-year fixed mortgages have materially lower rates right now, but that’s largely because Bank of Canada rate cuts are just starting to be priced into five-year terms. Barring another unforeseen inflation spike, variable and short-term rates will ultimately fall below five-year fixed rates, potentially by next year,” The Globe and Mail wrote.

“Regardless of expectations, the market compensates borrowers for taking risk. Over a five-year span, the risk-reward of taking back-to-back one-year fixed mortgages remains favourable. The fact that today’s one-year rates are so much higher doesn’t change that.”

Of course, at the same time, it is important to note that everyone’s balance sheet and personal finances are different. Some might have substantial down payments. Others may have a highly leveraged and costly residential property. A few may be willing to heed the market signals and go with a variable option. Whatever the case may be, it is always crucial to speak with a real estate agent and mortgage specialist at your lender.

At its next policy meeting in April, money markets are pricing in a 40 percent chance of the central bank cutting interest rates.

“Obviously, just as easy as this has changed over a weekend, that may change back, but that’s kind of the expectations given the current situation,” Shubha Dasgupta, CEO of Toronto-based digital mortgage agency Pineapple, told Global News.

With Canada’s annual inflation rate falling below six percent for the first time in February 2022, these could be good odds.

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In today’s economy, real estate is one of the best ways to generate wealth and fund your retirement. But while asset appreciation has been enormous, sellers should be asking themselves this very important question: How much tax do I pay when selling my home in Canada?

What makes the Canadian real estate market attractive is that you do not pay any taxes on the sale of your principal residence. As a Canadian resident, you will be given the principal residence exemption. Put simply, any profit you garner from selling your primary residence will not be taxed.

Considering how Canada’s housing sector experienced exceptional growth in the last couple of years, many homeowners who sold their residential properties enjoyed immense tax-free gains.

Of course, there are a few exceptions. Still, the fact that there is no capital gains tax when you are selling your home be it a detached house in rural British Columbia or a condominium in the heart of Toronto, is appealing to many Canadians.

That said, here are taxes you might pay when selling your residential property in Canada.

Taxes You Might Have to Pay When Selling a House in Canada

How much tax do you pay when selling a home in Canada? Here are three that may come up on the sale of your property:


Are you selling a newly constructed or significantly renovated home? If so, you might be required to charge the GST or HST on the sale. At the same time, if the property was your primary residence, you might be able to apply for a rebate of some or all the GST/HST paid. In addition, the size of the rebate will also depend on the sale price of your home and how much GST or HST was paid.

Ultimately, to determine if you are qualified, you have to file a GST/HST new housing rebate application with the Canada Revenue Agency (CRA) within two years of the sale date.

You should also know that even if the home you sell is your primary residence, there is some GST/HST to be paid. The commissions paid to your real estate agent are subject to GST/HST. For example, if you pay a five-per-cent commission on the sale of a $500,000 home ($25,000) in Ontario, you can expect to pay an additional $3,250 in HST.

Capital Gains Tax

In the last few years, there has been discussion about introducing a capital gains tax on property values of at least $1 million to raise revenues for cash-strapped governments. Canada Mortgage and Housing Corp. (CMHC) considered a 0.2 per cent penalty on homes valued between $1 million and $1.5 million and up to one percent on residential properties valued above $2 million.

So far, this idea has not gotten very far in public policymaking at any level of government.

For now, while you do not need to pay a capital gains tax on the sale of your principal residence, the rules will be different if you own a vacation home or a rental property. Typically, you can still apply for a partial exemption, but the calculations are a bit more intricate. For “house flippers,” the likelihood of paying capital gains tax is high if the property has not been your principal residence for at least a year. Therefore, you may need to hire the services of a tax professional to guide you through this process.

Property Tax

Generally, property taxes are paid on a pro-rated basis. This means that you will be required to pay a part of the property taxes for the year of the sale.

Non-Canadian Resident Owners

The tax implications are slightly different for non-Canadian resident owners or individuals who are  Canadian citizens but do not reside in the country. There are several aspects that non-resident owners must be aware of when selling a property:

Apply for a clearance certificate. A non-resident withholding tax of 25 per cent of the home’s gross sales price (50 per cent if it is a rental property). File a Section 216 return to confirm that they have reported rental income and paid taxes (this is if the property has been rented out). Submit a Canadian tax return for the year of the sale. Assistance is Important

The taxes you are responsible for are in addition to the myriad of other real estate-related fees you will inevitably have to pay, such as agent commissions, mortgage discharge fees, moving costs, and many other expenses.

When you are selling your home, it is imperative to seek the assistance of tax professionals, legal experts, and real estate agents to ensure that you are fully informed about what taxes and fees you will need to pay upon the sale of your home. Remember, the taxes and fees you must pay will depend on a broad array of factors, like the sale price, the property’s location, and whether it is your primary or investment property.

Yes, real estate can be a wealth generator. But you also need to be aware of the tax implications.

As the saying goes, it is better to be safe than sorry.

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Are you looking to sell your home but need help to get started? When you’ve lived in a home for a while, it’s easy to miss things that can impact the selling price. Most people dream of an easy sale where they list it, sell it, and hand over the keys. But the truth is, it can be complicated, time-consuming, and involves many moving parts. A realtor can help you get top dollar for the property. They know the market and can share valuable advice to help prepare your home to sell.

Is a REALTOR® and a real estate agent the same thing? Not exactly. A real estate agent is a licensed professional who helps with real estate transactions. A REALTOR® is a member of the Canadian Real Estate Association (CREA) and must follow the organization’s strict standards and REALTOR® Code of Ethics. That said, not every real estate agent is a REALTOR®, but every REALTOR® is a real estate agent.

How Will a Realtor Help Me Prepare My Home to Sell?

Embarking on the journey to sell your home involves several crucial steps. We take you through the process and discuss what to expect from your agent, and how they can help prepare your home to sell faster, and for a higher price.

Identity Goals and Timeline

A real estate agent will schedule an initial consultation to identify your needs. They will interview you to understand your reasons for selling and your timeline. For example, if you want a quick sale, the agent may recommend pricing the property slightly below market value to attract more potential buyers. When touring the property, an agent will observe and ask questions to better understand the home’s current condition, including any upgrades or renovations. This will help the agent manage the seller’s expectations and provide valuable advice on achieving the best possible outcome.

Conduct a Market Analysis

A realtor will typically conduct a market analysis to set the ideal price for your home. A Comparative Market Analysis (CMA) is an essential tool to determine the market value of a property. They will identify Comparable Properties (Comps) recently sold in the area with similar features, including the number of rooms and bathrooms, size, time of construction, and style. The realtor will then adjust the selling price based on comps. For example, if you have a newly renovated kitchen, the estimated value will be higher than a comparable home. They will also consider other market factors, like the number of similar properties for sale, average days on the market, and the general trend of the local real estate market. The realtor will compile their findings into a CMA report and provide you with the estimated market value of your property.

Develop a Pricing Strategy

Real estate agents have experience pricing homes and negotiating deals. They can leverage this knowledge to set a price to attract offers while leaving room for negotiation. A skilled realtor might recommend listing the property below market value to attract multiple offers. This strategy can create a bidding war, potentially leading to a final selling price above market value. An expert agent can maximize the seller’s profit by asking all potential buyers to submit their best and final offer by a specific deadline or negotiating with each buyer separately to push the price up. They can grab the interest of a wider group of prospective buyers and stimulate competition.

Recommend Home Improvements

An experienced realtor can suggest ways to improve your home’s appeal. Fresh paint can do wonders as it brightens a home and makes it more inviting. Remodels can be expensive, but minor upgrades like new countertops, updated backsplashes, or modern appliances can increase your home’s value. New fixtures in the bathroom or a new vanity can make a big difference. A realtor can also guide you on how to stage your house. This includes decluttering, rearranging furniture, or even hiring a staging professional. Stagers know how to highlight a home’s strengths and downplay its weaknesses. They can also help potential buyers visualize how they might use different spaces in the house.

Boost Marketing Efforts

Real estate agents have a broad network that can get your property in front of many potential buyers. They have access to Multiple Listing Services (MLS), widely used databases in the real estate industry. Many realtors hire professional photographers and videographers to capture your home’s best features. They may also use drone photography for aerial shots, create virtual tours, or use 3D technology to provide buyers with a comprehensive view. They utilize online marketing strategies, such as social media promotion, email marketing, and targeted ads, to reach a more diverse audience.

Negotiate Offers

Agents help clients evaluate offers and counteroffers when negotiating, ensuring they get the best possible deal. For instance, a seller may receive multiple offers from potential buyers. The agent can help guide the seller through choosing the right offer, perhaps the one with the fewest conditions rather than the one with the highest dollar amount. This approach can help the seller to quickly seal the deal with less hassle or back-and-forth if this is the seller’s priority.

Still have questions about how to prepare your home to sell? To find a RE/MAX agent and get the advice you need, click here.

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Canada has made great progress in its inflation fight, peaking at an annual rate of 8.1 percent in June and slowing to 5.9 percent in January, according to fresh data from Statistics Canada.

The disinflation process has been a welcomed surprise for monetary policymakers as the Bank of Canada (BoC) decided to hit the pause button on its quantitative tightening campaign by leaving the benchmark interest rate at 4.5 percent, up from nearly zero at the beginning of 2022.

But while Ottawa might be celebrating the recent easing in the annual inflation rate, the Canadian people are still struggling to make ends meet. At a time when the cost of living is spiralling out of control, particularly in the major urban centres, nothing can be taken for granted.

In today’s inflationary environment, there is a growing divide in the inflation perception of the Canadian economy between homeowners and renters in 2023, a new report found.

So, how do renters and mortgage holders feel about a multi-decade-high consumer price index?

How Renters Are Feeling About Inflation in 2023

A new RE/MAX-Empathy study, titled “Fight, Flight or Freeze?” assessed how renters and homeowners cope in the current inflationary landscape. The findings were compelling in the sense that these two categories possessed different attitudes regarding rampant price inflation.

The report discovered that renters are more likely to be “angry” and “upset” about inflation than mortgage holders, who were more likely to feel “fearful.”

Here is a breakdown of answers to the question, “what describes how you feel about the current rising costs of living/inflation?”:


Mortgage Holders: 70 percent Renters: 75 percent


Mortgage Holders: 36 percent Renters: 42 percent


Mortgage Holders: 67 percent Renters: 60 percent


Mortgage Holders: 61 percent Renters: 60 percent


Mortgage Holders: 4 percent Renters: 7 percent

Meanwhile, the same study revealed that renters are generally more cost-conscious about essential items like food, groceries, and medical expenses.

For example, 84  percent of renters are more conscious about food and supermarket prices than 74 percent of mortgage holders. Or in another instance, 38 percent of renters are conscious about health care costs, compared to 23 percent of mortgage holders.

That said, homeowners were more concerned about the price of electronics (24 percent) and vacations (43 percent).

Overall, nearly half (49 percent) of renters say they are unable to maintain their current lifestyle due to surging costs. And yet, Canadians are not adapting to this evolving marketplace, as only 35 percent of respondents said they are reducing their overall spending.

Surprisingly, only a smaller percentage of Canadians are doing what is necessary to keep up with the growing cost of living, such as delaying large purchases (ten percent), pursuing alternate sources of income (eight percent), and working harder to earn more (five percent).

Only one percent of homeowners revealed they are considering selling their residential property.

This comes as Statistics Canada revealed that one-quarter of Canadians could not afford a $500 expense. The struggle is mainly seen in young adults and consumers residing in the Maritimes and Prairies.

But optimism is still paramount nationwide.

“Despite higher levels of concern about increasing cost of living, Canadians aged 25 to 34 years reported the highest level of optimism regarding an improvement in their financial situation in one year, with 37% reporting a belief that it will improve,” the statistics agency noted.

Is More Relief on the Way for Renters?

While rents are at or near all-time highs across the Canadian real estate market, inflation is expected to continue to slide.

In fact, according to RSM Canada, a global consultant and auditing firm, the annual inflation rate will decline to three percent by the end of 2023 and slide to two percent in 2024, which is the BoC’s target rate.

The downside risk? A recession.

“With inflation still elevated and demand surging in Canada, we expect the Bank of Canada to continue raising interest rates to cool an overheating economy,” said Joe Brusuelas, chief economist for RSM, in a statement.

“Despite some positive signs, growing headwinds are hurting the Canadian economy to the point where the rising risk of a recession and a larger-than-expected housing contraction cannot be dismissed.”

Should the central bank slam the brakes on rate hikes, life could become slightly more affordable for renters and homeowners.

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Заглавието е от публикация на ТрудГрупа НОВА СОФИЯ е автентична дясна формация, което никога не е било прикривано в нашите публикации. Ние сме с дясно мислене, ние сме за икономическото… top-bg.eu

Страна, в която институциите са бедствие за инвеститорите, няма бъдещеГрупа НОВА СОФИЯ настоява за незабавното дострояване на сграда ЗЛАТЕН ВЕКДнес разбираме, че ДНСК през 2019 г. , след нареждане на… top-bg.eu

Източник: 24 часа През април 2019 г. строежът на емблематичната сграда „Златен век“ бе спрян. Основният мотив – изтекло разрешение за строеж. Започва съдебна сага, която приключва с решение на… top-bg.eu

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