Real Estate market in Toronto is hot and it seems, it's going to continue the same way for some more time. We expect to have a lot more listings next year (2010). The sales at mid October were already 34% up from the same period last year (2008) and the average price up in 17%. Therefore, if you plan to sell your property, this is the time to do it.
The Central Bank of Canada intends to keep the overnight rate (rate used by banks to lend and borrow money among themselves) at 0.25%, which means consumers have more room to negotiate and obtain better rates from financial institutions.
Another strong reason to sell, at least before summer of 2010, is that the Provincial Government of Ontario is going to introduce the 13% Harmonized Sales Tax (HST) which will replace the current 5% GST. The HST will apply to all goods and services (except, I think, diapers and baby food).
In a real estate transaction, the HST will apply to Lawyer's fee, Real Estate Commissions' Fees, Home Inspection's Fee and Moving expenses' fees, increasing thus the expenses associated to the sale of your property.
2 comments:
The HST will mean better jobs and will allow more people to realize the dream of home ownership.
A recent report by the TD Bank estimates the HST will reduce cost of doing business in Ontario by roughly $5.3 billion and that the majority of cost savings will be passed on immediately to consumers.
As a result of moving from two taxes to one, businesses across Ontario will save $500 million in paperwork costs. Realtors will receive tax credits for the things they need to run their business from vehicles to computers. As in other industries, realtors will be able to pass on savings to their customers.
Prices will go up on some items. That’s why there is permanent income tax cuts for 93% of Ontarians.
Some people out there want to deceive the public into believing that this is a new tax on everything. This is absolutely false. In fact, the vast majority of items, about 80%, will see no change.
This is being done to create jobs. As the TD report stated, the HST “should help spur business investment, employment and income growth.”
The HST will mean better jobs and will allow more people to realize the dream of home ownership.
A recent report by the TD Bank estimates the HST will reduce cost of doing business in Ontario by roughly $5.3 billion and that the majority of cost savings will be passed on immediately to consumers.
As a result of moving from two taxes to one, businesses across Ontario will save $500 million in paperwork costs. Realtors will receive tax credits for the things they need to run their business from vehicles to computers. As in other industries, realtors will be able to pass on savings to their customers.
Prices will go up on some items. That’s why there is permanent income tax cuts for 93% of Ontarians.
Some people out there want to deceive the public into believing that this is a new tax on everything. This is absolutely false. In fact, the vast majority of items, about 80%, will see no change.
This is being done to create jobs. As the TD report stated, the HST “should help spur business investment, employment and income growth.”
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