Ajax Real Estate Blog

Toronto builder's websites

2004-12-03T13:32:00.000-05:00

The following links will take you to some interesting Builder's websites:

www.collegeparkcondos.com

www.cityplace.ca

www.capriliving.com

www.baker-re.com/thepointe.htm

www.windermerebythelake.com

www.libertyvillageto.com

www.statebuildinggroup.com

www.empirecommunities.com

www.18yonge.com

www.highparkcondo.com

www.bellagiobloor.com

www.baker-re.com/hudson.htm

www.baker-re.com/18yorkville.htm

www.pembertongroup.com

www.comrost-felcorp.com

www.waterparkcity.ca

www.themonet.com

www.citygate.ca

www.1citycentre.com

www.waterclubcondos.com

www.empirecondominiums.com

www.dnacondos.com

www.canderelstoneridge.com

www.mls.ca

www.tridel.com

www.menkes.com

www.monarchgroup.com

www.canderelstoneridge.com

Real estate assets double

2004-11-11T06:19:00.000-05:00

According to a recent Bank of Nova Scotia report, rising rates of home ownership and house prices have contributed to a 27 per cent national increase in overall household financial assets since mid-2001. Overall household net worth rose 17 per cent to $136,500 per capita over the same period. Home equity has traditionally been the single largest component of net worth in most households.

Royal LePage wins relocation contract

2004-11-10T07:33:00.000-05:00

Controversy surrounds $154-million federal tender

The Canadian government has awarded a lucrative contract to Royal LePage Relocation – one year after pulling it from the real estate giant under allegations of favouritism. Public Works Minister Scott Brison announced the $154-million tender to move federal employees months after a special panel of public servants approved it.

"It has resulted in what I believe to be the best possible relocation service for our public servants and at the same time the best possible value for Canadian taxpayers," said Minister Brison.

Real estate agents have complained that they've been shut out of federal moves since Royal LePage won the 1998 contract to privatize the relocation of public servants. The federal government decided to re-tender the contract in August 2003 after the Canadian International Trade Tribunal (CITT) found the evaluation criteria were slanted in Royal LePage's favor. A Public Works investigation later found members of the selection committee accepted perks from Royal LePage.

Envoy Relocation president Bruce Atyeo said he was "shocked" by the federal government's decision to award the contract to his competitor. "They have eliminated all competition for this contract. Royal LePage will have it forever, I guess," Atyeo said. Atyeo added that he'll wait for Public Works to walk him through their decision before deciding on legal action, but noted he's already looking at hauling the feds back to the trade tribunal.

Royal LePage Relocation spokesperson Michel Bonin said the contract proves his company remains a leader in the moving business. "As a Canadian-owned and operated company, we have the essential experience, knowledge, and team to continue delivering this vital service," Bonin said.

Royal LePage Relocation will be paid $154 million to manage the system that moves Defence Department and RCMP employees from December 1, 2004 to November 20, 2009. The contract can then be extended another two years. About 10,000 Canadian Forces personnel and 2,000 RCMP employees move every year.

Ajax ~ a bit of history

2004-10-15T19:24:00.000-04:00

The first permanent settlement in what is now the Town of Ajax occurred around 1801 in a village called Pickering. This is somewhat confusing as today the city directly west of Ajax is also called Pickering, but back then the entire region was known as Pickering Township and the village simply took its name from that. The land around Pickering Village was mostly quiet farmland, and it might have remained so to this day if not for the outbreak of World War II.

In 1941 Defense Industries Limited established the Pickering Works, a shell filling plant which would churn-out over 40 million units of ammunition by the end of the war, right in the middle of this once peaceful countryside. The massive new facility attracted some 9,000 employees from across Canada, and thus a new community was born – bestowed with the fittingly bellicose name Ajax, in honor of the HMS Ajax, a victorious British warship from the recently fought Battle of River Plate.

The end of the war saw the end of the DIL Pickering Works, but it was just the beginning for Ajax. The filling plant was transformed into an engineering campus for the University of Toronto and the town spread out as a modern planned community to accommodate the new students as well as the workers and their families who chose to stay on after the last shell rolled off the line at Pickering Works. In 1974 old Pickering Village was annexed by Ajax and today the town continues to grow as a thriving member of the Greater Toronto Area.

Ajax ~ by the Lake

2004-10-14T10:40:00.000-04:00

Enjoying Nature

Ajax has over 465 acres of parkland and natural areas throughout the town, including many small neighbourhood parks. Many of our parks include naturalized areas, where natural vegetation is allowed to thrive.

Waterfront Park

Ajax takes great pride in its Lake Ontario waterfront, which is the longest undeveloped waterfront in the Toronto area. With many kilometres of walking and bike trails along with park land, the waterfront is well used. Get to the waterfront by taking Harwood Ave. South to the south end, at the lake. Immediately ahead you will see Harwood Point Gardens, which is more fully described in our Historic Ajax section. To the left (east) is the beautifully landscaped Durham Region water treatment plant. To the right (west)is the rolling greenspace of Waterfront Park. Continue along Lake Driveway to the west, and you will pass several small parking lots, then see the entrance to Rotary Park, the waterfront's main park area. Rotary Park includes a playground and snack bar, and is the location of many events. It is also the entry point to a long-span bridge across Duffins Marsh where it enters the lake. Across the bridge, the pathway continues into the City of Pickering.

Trails system

There are numerous walking trails in Ajax, totalling close to 38 kms! Eventually, there will be a comprehensive system of linked trails throughout the Town. Duffins Creek in the west and Carruthers Creek in the east form the major north-south greenway spines, linked by the 6-km. Ajax Waterfront Trail. A section of the Lower Duffins Trail is in place with the trail planned to continue north to connect with Greenwood Conservation Area.

Greenwood Conservation Area

Greenwood Conservation Area is the town's largest parkland. It is located just north on Westney Road, north of Taunton Road (see map). The park is open to the public every day from 8 a.m. to 8 p.m. No overnight camping is allowed without a special permit.

Greenwood offers you a chance to escape to nature along the banks of Duffins Creek. Hiking trails allow you to explore the forest or the steep-sided river valley. Picnic tables are available throughout the area for your use.

The park offers some of the best fishing with the opening of the trout season in the spring. The cold, clear-running creek is a perfect home for rainbow trout and other species of fish.

Bring your family for an afternoon picnic or reserve a picnic site for your company or social club. Picnic shelters and washroom facilities are available.

In the fall Greenwood turns bright with the hues of autumn. Scouting/Guiding and youth groups can take advantage of any one of the number of group campsites available throughout the year. School groups are also encouraged to take advantage of the natural environment for educational purposes.

Other activities available at Greenwood include:

nature trails
walking paths
creek (fishing)
play structures
soccer field
cross country skiing

The Town of Ajax

2004-10-14T09:58:00.000-04:00

Ajax combines an interesting mixture of history and modern development. The Lake Ontario waterfront park, renowned for its natural beauty and enviable accessibility has been creatively built in harmony with the residential community. Take a leisurely stroll, refresh yourself with a swim, or just relax and enjoy the fresh air and the view.

Named for the World War II war ship, H.M.S. Ajax, the town is a living monument to the Allied efforts during that time. Streets are named for crew members, the Town fountain is formed from part of the original ship's anchor, and each Town Council meeting is called to order by the original ship's bell. Anyone with an interest in modern history will find a rich and rewarding experience in Ajax.

Also located within the Town of Ajax is historic Pickering Village, an 1800's Quaker settlement that retains much of its original architecture. Specialty shops and fine restaurants highlight the village commercial core. In contrast, the Durham Centre provides the value and selection of big-box stores including Wal-mart, Costco, Home Depot, Best Buy and Canadian Tire.

There's lots to do in Ajax. The visitor can head to Picov Downs and thrill to the quarter horse races run there every Sunday from April to October; wander throught the adjacent beautiful greenhouse or enjoy four excellent golf courses; perhaps some salmon fishing or boating on Lake Ontario, or even a pleasant bike ride through safe, picturesque neighbourhoods.

See the official Town of Ajax website.

Young snapping up real estate

2004-10-13T16:09:00.000-04:00

Compared to the previous decade, the percentage of homebuyers between the ages of 18 to 34 has more than tripled since the year 2000, according to the results of a CIBC mortgage poll conducted by Decima Research. This age group represented just 10% of homebuyers in the 1990s, but they comprise 36% of purchasers in the past four years.

"More young people are getting into the housing market because financing is much more affordable," said Paul Mims, Vice President, CIBC Mortgages and Lending. "Homeownership has become a reality for many 18 to 34 year olds because their mortgage payment can often be the same amount as their rent."

The average age of a Canadian homeowner has fallen from just over 48 years old in the 1990s to 41 years old since 2000. In comparing homeowners who purchased since 2000 with those who bought their home in the previous decade, the average mortgage size has risen 26% to $120,000, from $95,000 in the 1990s, likely reflecting the rise in home prices during that time period.

The poll results also show that condominium purchases have nearly doubled since the 1990s, representing 11% of home purchases in the past four years, compared to 6% in the previous decade. Meanwhile, the percentage of single-family detached homes among home purchases fell, accounting for 66% of home purchases since 2000, compared to 74% in the 1990s.

"Even with today's low mortgage rates, it is still a good idea for most people to put down as large a down payment as they can afford to minimize the insurance and interest payable," said Jeannie Stamkos, a CIBC Branch Manager.

Profile of first-home buyers is changing

Women are playing a significant role in the Canadian housing market according to a report released on August 31, by Royal LePage Real Estate Services. Low interest rates and a booming housing market have drawn record numbers of buyers into the market, including an increasingly diverse pool of first-time buyers.

The Royal LePage First-Time Homebuyers' Report 2004 comprises a national omnibus poll of recent first-time homeowner and buyer attitudes (conducted by Maritz Research) and a market analysis of trends and activity in major markets across Canada.

Currently about the same number of men (49%) and women (51%) are first-time homeowners, however the gap is set to widen as women become an increasingly significant part of the market. Among those who have never owned a home and said they will potentially purchase their first property in the next three years, 55 per cent are women and 45 per cent are men.

While buying a first home was traditionally the domain of newly married couples, the market is now accommodating a broad range of entry-level buyers, including never-married single women and men, divorced parents with children who are making their first purchase alone, and unmarried couples.

One of the most notable trends in the past five years is the increase in the amount of single women who are making home purchases on their own. Among potential buyers, over half of men and women believe it is important to be in a long term relationship before they buy, however a full 30 per cent of women intend to buy their first home alone with their name as the sole one on the deed.

Additional poll findings

New categories of housing have emerged in Toronto including an expansive range of affordable condominium properties and loft conversions that cater to the changing and diverse needs of first-time buyers.

The level of activity for first-time buyers in the Ottawa marketplace is strong and is expected to remain so provided a combination of consumer confidence, strong job growth and most importantly, low interest rates prevail.

MLS® sales moderate

2004-10-11T09:51:00.000-04:00

September statistics show more inventory

Vancouver's housing sales remain on target to set a record in 2004, but monthly figures from September indicate the heated market from the past year and a half may be cooling. For the third consecutive month, sales in Vancouver in September 2004 dropped in comparison to the same period a year earlier.

While apartment sales were up by 6.5 per cent, the sales of all housing for September in the Greater Vancouver area fell by 15 per cent compared to the same month last year. Last month the sales of detached homes fell by 26.8 per cent compared to September of 2003, according to figures released by the Real Estate Board of Greater Vancouver.

Despite the recent slowdown, Board president Andrew Peck said that at the current rate of sales, 2004 will be a record for the real estate market because of the strong figures from the early half of the year.

"We saw a considerable drop off. Does this mean it's the end of our good market?" Peck said Wednesday. "The strong economic factors are still there. We couldn't continue to break records." The benchmark price – the board's unit to define a typical house – increased to $504.650, up 14.8 per cent from a year ago.

The Toronto housing trade saw more balanced conditions in September, as the number of listings hit the highest level of the year, helping to moderate a heated market. Last month saw the second-best September for home resales on record, with 6,588 units changing hands through the Toronto Real Estate Board's Multiple Listing System®. That figure missed the September 2003, all-time record by 163 sales.

Inventory levels reached the highest level of the year in September, which is helping to keep the market from overheating, said TREB president Ron Abraham. With 24,293 active listings, this represents a 15 per cent increase over last September and a significant 9 per cent increase over August. "A higher level of inventory should put some constraints on price increases going forward," said Abraham. As a result, "sellers may not experience such quick transactions."

Year-over-year, the average price of a home is up eight per cent from last September to $320,911 from $304,509.

In Hamilton, the number of sold signs may have dwindled in September but the area's real estate market remained strong. Home sales dropped eight per cent from September of last year and seven per cent from August, according to figures from the Realtors Association of Hamilton-Burlington.

But those numbers compare really strong sales months against one another, said association president Shawn Murray and the difference adds up to only about 60 or 70 sales. "People keep asking us when the bubble is going to burst. I don't see it bursting. The market is still very strong," said Murray.

The 1,073 sales for September marked the eighth straight month of more than 1,000 unit sales through the Association's MLS® system. Last year hit a record-setting 12,809 transactions. More than 11,000 homes have been sold already this year.

Despite a cooling in prices and sales in September, the president of the Edmonton Real Estate Board still expects at least a near-record, year. REALTORS managed 1,438 residential sales during September compared with 1,443 in the same month last year.

Board president Bill Briggs noted that the seasonal downswing was minimal. "We don't think anything has changed," said Briggs. "Interest rates are still low, the Alberta economy is still booming. There are so many multi-billion-dollar projects in northern Alberta, it's really keeping the economy going."

The average price of an Edmonton-area single-family house was $202,518 during September, down from the record high of $205,942 in July. However, the average house price is still well ahead of the $186,473 it notched in September last year. According to the Board, a home sold in Edmonton during September was listed an average of 43 days.

MLS® Sales and listings in Calgary continued to keep pace in September, according to statistics released by the Calgary Real Estate Board. For the month of September 2004, combined residential listings new to the market numbered 3,586 units, up from August's 3,469 but down from the 3,622 units recorded in September 2003.

Total active residential listings numbered 7,403 at the end of September 2004 – this compares to an inventory of 8,457 units at the end of September 2003.

In Calgary, the average combined residential sale price in September 2004 was $221,090, slightly down from August's $221,207. The average price for the same month last year was $214,895.

Affordability a hard argument to beat

2004-10-08T19:36:00.000-04:00

First-time buyers have been the first to see Durham region's housing strengths.

It wasn't very long ago that Pickering and Ajax were considered the most affordable home markets in the Greater Toronto Area. It wasn't hard even for novice home buyers to lift the euphemistic veil from that claim.

Most affordable is essentially Realtor parlance for least desirable. The two western cities of Durham Region were haunted by unfortunate albatrosses that cast a large shadow over their lakeshore settings: Pickering had its accident-prone nuclear generating station and Ajax had the dubious distinction as the post-war guinea pig experiment that set in motion decades of haphazard sprawl along Highway 401.

The one thing Durham region did have, in spades, was land supply. But even that is now running out for the favoured form of development here: the master-planned community dominated by single detached homes on large lots.

Over the past few years, new home buyers took a shine to Durham Region as it was the last remaining place to score a 2,000-square-foot home in the $200,000 neighbourhood within commuting distance of the big city. It hasn't hurt that Durham Region became the home to more new jobs than Toronto, positioning it to finally shake its bedroom community reputation.

Not surprisingly, first-time buyers have been the first to see past that rep. At Wyndam Manor, Great Gulf Homes' new community at the corner of Ajax' s Taunton and Westney Roads, sales representative Mitch Avenus reports that the eastern suburbs offer better value than Mississauga or Brampton.

Mr. Avenus had recently been selling homes at Great Gulf's Neighbourhoods of Churchill in Mississauga. "You get the same house here [in Ajax] for $100,000 less [than in Mississauga]," he said.

About 120 homes have been sold at Wyndam Manor since it was launched in the spring, including all of the semis and 30-foot-wide lots. Those remaining include 37-foot-wide lots starting at $264,000 and 47-foot lots at $360,000.

The homes are an attractive homage to rural Upper Canadian architecture with large windows, wrap-around porches and loft areas, and each of the five phases will be situated around its own park and other public spaces.

The project is attracting buyers mostly from the periphery of Toronto, Mr. Avenus said. "People are coming from Scarborough looking for a place to bring up their children outside the hectic city," he said.

As affordable as it might seem now, though, prices are rising and rising quickly. New home prices have gone up 31 per cent since last year in Pickering, according to the Canada Mortgage and Housing Corporation.

The average price for a new single detached home for the first six months of 2004 was $402,955 compared with $305,436 throughout 2003.

Ajax has risen less dramatically but shows no signs of flattening, reporting an average new home price of $322,691 for the first six months of 2004, compared with $318,540 throughout 2003.

Among characteristics shaping the market in these pockets are more move-up buyers looking for bigger homes. This has helped heat up the resale market for existing homes considerably, which always produces a ripple affecting new home sales.

But broader market conditions such as land supply, not buyer preferences, will continue to play a large role in price increases.

Analysts predict that builders will find new opportunities for semi-detached and town homes in the coming years as land supply forces them to squeeze more out of their lots but also because first-time buyers are likely to get squeezed out of the detached market by rising prices. As the price differential between detached and smaller products becomes greater, demand increases for towns and semis.

"Ajax and Pickering will probably be the best performing area in the broader market [all housing types including semis and towns] going forward," said Ted Tsiakopoulos, senior market analyst for CMHC. "When people start their home search, they usually start in the resale market. Buyers will often substitute new homes for resale for the lower price."

Other observers have noticed that developers are transplanting their higher end developments to Durham Region from other sites in Greater Toronto due to land constraints elsewhere.

"Part of the [price increase] is just reflecting the types of projects built," said Robert Feldgaier, vice-president of residential services for consultants Clayton Research. "Some of them are more upscale in the Durham Region context."

Finally, the recent handover of more than 1,200 acres in north Pickering's Seaton area will provide relief for some of the land supply issues in that area. The province gave the land to developers in exchange for about 1,000 acres that were to be developed in the environmentally sensitive Oak Ridges Moraine in York Region.

'Big box' battle in Markham

2004-09-29T16:06:00.000-04:00

The scene has turned as ugly as the barren land on which the big-box stores are set to be built.

A woman accusing Markham's leaders at a recent meeting of being on the take with developers. A councillor warning in reply, "You should be careful, I take that personally." A transportation expert calling the town a "wasteland."

As the number of big boxes in the GTA swells, Markham has found itself in a battle over whether it can stem the tide.

Town planners and lawyers are looking at the legality of a moratorium on new big-box development and the cost of a study to analyze the impact of big-box stores on small businesses.

"We'd like to say, `Go away, we've got enough (big-box stores).' But we can't say that and stand any kind of appeal" to the Ontario Municipal Board, said Valerie Shuttleworth, a city planner for Markham.

Residents of Markham's old neighbourhoods and many small-business owners on Main St. are terrified at the prospect of a big-box "power centre" with its gigantic outlets — home improvement and electronic warehouses — on a site just north of them on Highway 48 (the extension of Main St.), between 16th Ave. and Major Mackenzie Dr.

"It's going to kill everything around it," said a leather-smocked Gary Bomshakian, 45, a shoe seller who has just restored a 19th-century boot shop on Main St. "I'm no competition to anything like that. They're too huge."

The local business association maintains that shopkeepers are already struggling.

With a population of more than 215,000 today, projections for Markham now reach 281,000 by 2011. Much of the growth will be around the power centre.

The town started planning shopping for new residents 10 years ago. Big boxes were the rage then, and they still are.

So the town redesignated a giant swath of land in the area as "major commercial," setting the stage for a power centre. Zoning was approved last year.

Few spoke out at the time. Now that the process is under way, some businesses and residents want it scrapped.

It was Elizabeth Plashkes, of the Markham Village Conservancy, who demanded the development moratorium and impact study. "I'm not the kind of person who says that just because this is the way it is, this is the way it has to be," she said. "Things can be better."

Some view it as a step backward for transit, which York Region is trying to improve.

Among them is GO Transit managing director Gary McNeil. He was clearly not amused at the meeting, which he attended as a Markham resident. GO has built the Mount Joy station near this proposed development and for it to be viable, areas nearby should be rich with homes, not parking lots.

"Before me now is a reflection of a 1970s and 1980s mentality, an automobile-oriented mentality," he said.

In an interview, he added, "As a resident, I hate what's happening to Markham. It's like a bloody commercial wasteland."

But interviews with residents in a nearby new neighbourhood suggest support is high.

"I don't think they look bad," said 31-year-old Genia Mantella.

"I think it comes down to convenience, and it's the way people want to shop now."

Housing may top 2003 totals

2004-09-28T17:43:00.000-04:00

Each summer, there's a slump in new home sales, and 2004 was no exception. August sales in the Greater Toronto Area fell to their lowest level in over five years. The market, however, is still on pace to top last year's sales total, the second highest on record.

While interest rates have remained at historic lows, prices have crept up and supply is down in numerous cities.

As a result we are faced with a market in transition, with builders being forced to be more creative.

The fundamental shift in 2004 has been toward higher-density low-rise projects and smaller condominium high-rise suites in populated regions. There has also been an escalation in the level of sales in lower-priced areas outside the GTA.

In recent months, the low-rise market in Toronto has also been dominated by the more affordable stacked townhomes. The higher-density product is not solely a Toronto phenomenon. Esquire Homes has introduced it to the Whitby market, as has Sundance Homes, the Wynn Group and Rosebud Homes in Thornhill.

In terms of traditional detached homes, the market has picked up dramatically in areas, such as Barrie and Milton, where lots are lower priced and readily available.

Richmond Hill and Mississauga, which historically have been hot selling markets, are not well positioned now in terms of lot supply.

That, coupled with bigger, more expensive houses in those areas, have produced sales declines in recent months.

As the baby boomers begin to retire and more of the new immigrant population joins the ranks of home ownership, both the trade-down and first-time buyers markets will remain robust. If builders can cater better to those sectors, sales levels will show gains.

Thirty-five per cent of 2003 sales were made in the final four months of the year; and with more than 60 new sites scheduled to open before year's end, consumers can expect a similarly high percentage for the last four months of this year. We project total low-rise sales for 2004 to reach 33,966, up 2 per cent from 2003.

At the right price, the pool of potential buyers is vast. With the cost of mortgage money remaining cheap, continued value-targeted marketing by builders and increased choice with the addition of many new sites, the GTA should reach a strong sales finish this year and remain robust through 2005.

What fuels the hot house market

2004-07-25T06:31:00.000-04:00

Are we in a bubble? Why is the housing market so hot, and where's all the demand coming from?

It's not immigration into the GTA — that's been declining since SARS and 9/11. Although we have no up-to-date statistics available, one look at the rental vacancies in the city shows the population is not growing at historically normal rates.

It's also not because of lack of housing. By any yardstick we have more than made up for the deficit of the 1990s. From 1991 to 2003, the GTA grew by almost 1.15 million people and during that time 411,267 homes and apartments have been built or are under construction.

Based on the historical GTA average of 2.8 persons per household, new housing during the period is more than enough to accommodate the population increase.

Besides, that's only part of the story. The supply is even larger than that. I haven't included the increase in private home apartment stock created by homeowners who rent out a portion of their space to help pay the mortgage. That could amount to as much as 10 per cent of the new housing stock — or about 40,000-plus additional apartments.

There are also at least 40,000 houses to be built as a result of sales last year and this year, which haven't been started yet.

Also, the housing surplus at the beginning of the last decade, caused by the late '80s boom and bust, had to be absorbed by population growth. In all, we're probably moving toward a housing surplus of close to 100,000 homes.

So what's going on? Every month we're hearing record sales on the resale market, while the new home and condo market is operating at peak levels, still running in excess of 40,000 units a year with lineups at major low-rise openings.

Despite its predicted demise and a significant surplus of for-sale inventory, the condo market is still running around 12,000 units per year (annualized) and is well ahead of last year's sales statistics. The new low-rise market still has a shortage of inventory — only four to five months supply based on current sales — and builders can't get enough lots to accommodate demand.

The answer can't be that complicated. Either household size is decreasing and more housing is needed, or people are buying more than one house — that is, investing or speculating.

In fact, both phenomena are taking place.

Because of low interest rates, more people are buying homes. The average move rate for a GTA resident is once every 10.9 years, according to the 2001 census, and although no recent data is available, it is certainly more than that today.

If average household size decreases by as little as 0.1 per cent (from 2.8 to 2.7 persons per home), that means about 65,000 more homes are required to service the demand. We cannot quantify that trend, but it is indeed happening, as households divide, parents buy their children homes, and renters leave apartments in record numbers — all to take advantage of interest rates that may never be repeated in our lifetimes.

This trend is at least "natural" in that the demand is real. But the other factor — investment or speculation in real estate — is clearly artificial. In that case, demand is not based on population growth or real need, but on greed.

Speculation is extremely unhealthy for markets. It creates an imaginary demand that feeds off itself. The demand creates the illusion of scarcity, which causes prices to rise; rising prices reinforce demand, as more speculators jump into the market to profit from the rising prices. This sends prices even higher. Eventually prices go so high that they move way beyond sustainable affordability levels and the market crashes under its own weight.

It happened to our housing market in early 1989 and it happened to the technology sector in April, 2000. The housing bust was primarily the result of speculation, where investors pushed prices higher and higher until the market went out of sight. Then one day in early '89, someone woke up and realized that a small two-bedroom condo wasn't worth $400,000 and a semi wasn't worth $300,000-plus. The housing market corrected and prices gradually retrenched throughout the early '90s.

The investor has been buying high-rise condos for years, holding on to them and renting them out. They were not speculators, but investors, in for the long term. In the current real estate climate, because of rental vacancies, that market is much diminished.

Today, the condo investor has been superseded by the low-rise investor/speculator who is back in greater force than at any time since the late '80s. Most new home sites are reporting a significant number of these purchasers, and it is hard to believe they are buying to hold, as the rental option is not there. That means they must be buying to flip.

How much of today's sales are non-users? It's impossible to tell. In the '80s, they announced themselves. But today if they do, they're not entitled to the 2.5 per cent GST rebate, which has already been discounted in the purchase price.

If they tell a salesperson they're not moving into the home, they're obliged to pay the additional 2.5 per cent. So no one knows, but the number at some sites is large, as much as 25 per cent — even 50 per cent of sales.

It's a dangerous trend. If it gets out of hand, it artificially pushes up the price of homes, causing hyperinflation and, ultimately, a collapse of the housing market. Builders discourage speculators as they recognize that speculation ultimately ruins the housing business, but once it gets going, it's like a tidal wave that's difficult to stop.

How long will the market last? No one knows; it depends on so many factors.

Certainly there are still many real buyers in the market, and interest rates are very low. Current government policies are restricting suburban low-rise development and further increasing demand.

Plus the statistics suggest that we have just recently reached an equilibrium point. and the natural intertia of markets tends to keep them in their current state.

But prices are rising, and, in the end, affordability rules.

Any combination of rising interest rates, inflating home prices and increasing percentage of speculator/buyers is likely to cause a significant slow-down in the current robust rate of sales.

- from TheStar.com

Former Realtor is House Leader

2004-07-25T05:45:00.000-04:00

The person in the “hot seat” in the new Liberal minority government in the House of Commons is former Realtor Tony Valeri. His position as Liberal House Leader is a critical one in a minority government as the Liberals negotiate with the opposition parties to move legislation through Parliament.

Mr. Valeri was a member of the Realtors Association of Hamilton-Burlington from 1988 until 1991. He first ran for parliament in the 1993 federal election, and was re-elected in the riding of Hamilton Stoney Creek in the 1997 and 2000 elections. He was also appointed Parliamentary Secretary to then Finance Minister Paul Martin, serving in that role until 1999. Valeri also served as Transport Minister in the previous Martin cabinet.

For the June federal election, the Hamilton-Stoney Creek riding was split in two, and Valeri defeated veteran cabinet minister Sheila Copps for the Liberal nomination in the new riding that included Hamilton East.

Mr. Valeri is not the only Hamilton area Realtor to move into politics. Beth Phinney, the Liberal MP for the riding of Hamilton Mountain was also a member of the Realtor Association of Hamilton-Burlington. She was first elected to the House of Commons in 1988. Ms Phinney is currently a member of the Standing Committee on Foreign Affairs and International Trade and the Vice-Chair of the Standing Committee on Public Accounts, the Committee studying the controversial Federal Sponsorship Program.

What is title insurance?

2004-07-22T16:28:00.000-04:00

In the most general terms, title insurance is an alternative to a solicitor's opinion that protects purchasers and lenders from the risks inherent in real estate transactions. It is a means of insuring or indemnifying homeowners or lenders against loss or damage sustained as a result of covered title risks, many problems that would be revealed by an accurate, up-to date survey/real property report, and non-compliance with the requirements of applicable municipal and regulatory authorities. Just as with a solicitor's opinion on title, a purchaser would work with a lawyer of his/her choice, who remains an integral part of the transaction and closing.

Some common examples of covered risks include:
· Liens, encumbrances, or defects in the title to a property.
· Tax arrears.
· Defects that would have been revealed by an accurate up-to-date survey/ real property report.
· Forced removal of an existing structure, other than a boundary wall or fence.
· Work orders, zoning and set back non-compliance/deficiency.
· Another party claims an interest in the property.
· Fraud, forgery, duress, incompetence, incapacity or impersonation.
· The land is unmarketable, which allows another person to refuse to perform a contract to purchase, lease or make a mortgage.
· Loss of priority due to matters such as construction liens, agreements registered on title, and other mortgages.

The is a one-time insurance fee payable on closing when the property is purchased.
The policy remains in effect for as long as the insured has an interest in the property.

Be aware of electrical hazards

2004-07-22T11:43:00.000-04:00

After depending upon electricity for more than a century, we tend to take it for granted -- except in those rare instances when nature pulls the plug temporarily. So much so that at least 25 percent of the nation's estimated 75 million homeowners are completely unaware of potential electrical hazards around the house. That is what a survey commissioned by the Independent Insurance Agents & Brokers of America recently uncovered.

What it means is that one-quarter of our houses are vulnerable to electrical home-structure fires and other incidents that can cause significant personal and financial losses, the association believes. The survey, conducted by Media, Pa.-based International Communications Research, found that 18.2 million homeowners, or more than 24 percent, never check their homes for electrical hazards such as frayed or overheated cords, overloaded outlets and circuits, and light bulbs that are the wrong wattage.

However, the study also found that 30 percent of homeowners check for electrical hazards at least monthly while 33 percent check their homes at least once or twice a year.

At least some of us are on the ball.

The Consumer Product Safety Commission estimates there is an annual average of 165,380 electrical-related home structure fires, taking an average of more than 900 lives, injuring nearly 7,000 people and causing nearly $1.7 billion in property damage. A national survey by the American Society of Home Inspectors (ASHI) found that improper electrical wiring is the second most common problem they find when doing home inspections.

Common defects include insufficient capacity, inadequate overload protection and amateur, do-it-yourselfer-type wiring or wiring connections in kitchens, bathrooms, basements and garages. "Most home owners have the best intentions, but they are not familiar with the codes and the potential safety hazards that are common in do-it-yourself electrical work," said Stephen Gladstone, president of ASHI.

If you aren't going to check for hazards regularly, at least make sure that your house has working smoke alarms. You have to change the batteries at least twice a year. You also need to replace the smoke alarms every 10 years.

The National Fire Protection Association reported that while 95 percent of homes have at least one smoke alarm, more than half of home fire deaths result from fires in the 5 percent of homes without smoke alarms. Additionally, in one-quarter of the reported fires in homes with fire alarms, the devices did not work.

The Electrical Safety Foundation International recommends electrical inspections for any house more than 40 years old, any house more than 10 years old that has had any major renovation or major appliance added, and for any home at the time of resale by the new owner.

When asked about electrical inspections, the overwhelming majority of homeowners did not follow these recommendations. More than 91 percent of homeowners do not think their homes need electrical inspections. Of that number, nearly 90 percent live in homes that are more than 30 years old.

Additionally, more than 24 percent of homeowners completed a major renovation and added major appliances. Nearly 32 percent of these homeowners live in homes that are more than 30 years old. John Drengenberg, manager of consumer affairs for Underwriters Laboratories, says that there are signs that should alert homeowners to potential electrical problems.

Among them are:

Anytime you are shocked in your home: A properly wired and grounded electrical system will protect you from most potential shocks.

Overloaded outlets: Too many appliances plugged into a single outlet could indicate your house may not have the required number of outlets. The National Electrical Code requires that outlets be spaced every 12 feet of running wall space, or one on each wall of the average 10-foot-by-12-foot room. Kitchens typically require outlets spaced every four feet along the countertop.

Flickering or dimming lights: This could indicate loose connections, overloaded circuits, improper wiring, or arcing and sparking inside the walls.

Hot, discolored receptacles, switch plates, cords or plugs: If you can't keep your hand on these for more than five seconds, you may have an overload or product malfunction.

TV screen or computer monitor shrinks or wavers when a large appliance is turned on: This could mean you have too many appliances plugged into one circuit, or circuit, or that your house needs additional electrical capacity.

Unusual smells: Burning metal or plastic smells may indicate a loose connection, malfunctioning switch, light fixture, broken connection, overheating components, arcing or sparking inside the walls, damaged wire, or other potential hazards.

Say goodbye to that corner office

2004-07-22T11:17:00.000-04:00

In a bid to cut costs, firms are putting the squeeze on workers

When Royal Bank of Canada decided to trim the overhead of its Vancouver operations recently, it did not cut staff. Instead, it squeezed more people into less office space. For almost two decades, RBC had occupied four full floors, totalling 68,000 square feet at the Park Place tower; today, the same number of people share 52,000 square feet.

The Toronto law firm McMillan Binch LLP followed the same course when it moved offices last December. The firm's 455 staff shifted from 122,000 square feet at the Royal Bank Plaza into just 110,000 square feet at BCE Place.

The two companies represent a trend sweeping Corporate Canada, according to real estate experts. It is a trend that spells good news for shareholders but presents challenges for commercial landlords. Organizations are re-examining real estate budgets. In a continuing effort to cut costs and improve productivity, they are eliminating or reducing the number and size of private offices, opting for open plan offices and downsizing the space they occupy in general.

"It is having a major impact," says John O'Toole, Toronto-based executive vice-president of CB Richard Ellis Ltd. "Organizations are trying to align real estate needs with business needs. They are trying to become more profitable by reducing costs wherever they can and that includes office space."

A decade ago, corporations allowed about 300 square feet of space for each employee's office, which included 225 square feet of personal space and 75 square feet for hallways, says Nick Moore, vice-president of leasing, western division, at GWL Realty Advisors Inc. in Vancouver. "We are seeing new offices today cutting that personal space to as low as 140 square feet. Many people working in open plan offices, even executives, have just 34 to 36 square feet of work area."

Mr. O'Toole concurs. CB Richard Ellis has adopted an open plan office. He has just 42 square feet of space to call his own. "Our surveys show a 20-per-cent reduction over the past 15 years. In the early 1990s, you allotted 225 square feet of personal work space per employee; today the average is closer to 185."

The most obvious casualty of this downsizing trend is the corner office, says Nancy Cohen, vice-president of strategic occupancy planning at Royal LePage Commercial Inc. in Toronto.

"They are definitely disappearing," she says. "Corner offices are no longer part of the corporate reward system. They are no longer an end to themselves. The whole concept of private offices is being re-examined as organizations find that open plan offices not only reduce the need for space but also improve productivity."

Mr. Moore well remembers when large, luxurious offices were almost de rigueur for corporations and service organizations such as law, accounting and consulting firms. "There was marble and rich wood panelling everywhere," he says. "Companies used their offices to make a statement to the world. It was, 'Look how successful we are.' " He cites the example of Norcen Energy Resources Ltd., where just six executives in Calgary shared an 11,000-square-foot floor plate in what was then known as the Norcen Tower. At Esso Plaza, headquarters of Imperial Oil Resources Ltd. in Calgary, now known as Fifth Avenue Place, one floor contained 22 private washrooms, as well as the usual public ones.

"Today, the move is toward space that is focused toward business needs and not ego," he says. "It goes along with the new stress on good corporate governance. It is no longer politically correct to have lavish space and large private offices for executives."

A decade ago, where you sat was a visible sign of your status and rank, explains Edith Wormsbecker, president of MCM Interiors Ltd. of Vancouver. "Today, the hierarchy and the underlying ethic have changed," she adds. "The focus of office design is now on easy interaction and communications. Office walls not only are an impediment to both but they also send the wrong message to employees. The focus has to be on teams not on hierarchies."

The revolution in office design draws its roots from high-tech companies of the 1990s, according to Colleen Baldwin, vice-president of business development and strategic services at Straticom Planning Associates Inc. of Toronto, which has created offices for organizations such as CI Fund Management Inc., Ogilvy & Mather Advertising and the Children's Aid Society of Toronto.
"High-tech companies found they needed more than money to attract talent," she says. "As a result, they started being creative with their office space, going for open plans and even things like pool tables."

As the nature of work itself changed, shifting toward short-term projects tackled by teams of people collaborating and sharing information, the new design model created by the high-tech companies quickly found favour in other industry sectors.
"Walls are barriers to teams," Ms. Baldwin says. "At the same time, society changed. Equality in the workplace came in and hierarchies went out. With them went corner offices and maybe eventually private offices themselves."

Corners are now most often assigned to meeting rooms or staff facilities that are shared by everyone.

A major factor in favour of an end to office walls is simple economics, Ms. Wormsbecker suggests. Adding or removing offices to accommodate fluctuating staff levels and to reflect newly gained status through promotion is an expensive business, she says, and can easily double occupancy costs.

"I have seen the churn rate [staff turnover] in some industries reach as high as 50 per cent a year. Compare the cost of creating a new office with as little as $500 to run a new telephone line and computer cable."

Ms. Baldwin says the problem was especially acute in professional services firms. Accounting and consulting firm Coopers & Lybrand had been a client before its merger with Price Waterhouse. Every time an associate made partner, her firm was called in to create a new, larger office to reflect the jump in status.

Law firms seem especially resistant to downsizing of offices, Mr. Moore adds. "I have seen law firm premises committees have heated arguments with partners and associates alike when they tried to move from 285-square-foot offices to 280-square-foot ones," he says.
In the end, economics usually wins.

"There are tremendous hard dollar savings in open plan concepts," Ms. Baldwin says. "You need less space, it costs less to shift staff, the process can be done faster and there are advantages from the furnishings side."

While open plan offices need more furniture than the desk, credenza and bookcase of a basic private office, that furniture is an asset on the company's books.
"At the same time, studies show that productivity increases, morale often goes up and retention rates rise," Ms. Baldwin adds.

The open plan office and the end of corner executive suites have now taken firm hold in Corporate Canada, says GWL Realty's Mr. Moore. "While it is not something landlords can celebrate -- after all, tenants are taking less space -- it is a move we accept. It is definitely here to stay."

June MLS home sales edge higher

2004-07-21T20:54:00.000-04:00

According to The Canadian Real Estate Association, major market homes sold in June 2004 via the Multiple Listing Service® (MLS®) edged higher by 0.6% to 27,736 units on a seasonally adjusted basis, their fifth highest level on record.

Major market activity during the second quarter of 2004 rose 7.8% compared to the first quarter and stood at its second-highest quarterly level on record. Sales in the first half of the year reached their second-highest semi-annual level on record and surpassed sales in the first half of 2003 by 9.0%. Sales in the first six months eclipsed all previous year-to-date records in a number of major markets including Vancouver, Calgary, Edmonton, and Toronto.

The number of sellers was little changed, with seasonally adjusted new listings inching lower by 0.3% to 43,986 units. On a quarterly basis, new listings were up 10.3% compared to the first quarter and set a new quarterly record. The market for resale homes became slightly more balanced in second quarter, with sales as a percentage of new listings slipping to 63.9% compared to 65.4% in the first quarter.

The major market MLS® residential average price rose 10.0% year-over-year to $248,584, its sixth consecutive double-digit increase. The MLS® residential average price set a new monthly record in a number of major markets including Calgary, Edmonton, Regina, Saskatoon, Ottawa, Hamilton-Burlington, Montreal and Quebec City.

“Much of the increase in listings in major markets across Canada has been for higher-priced single family homes, with lower-priced single family homes remaining in short supply,” said CREA’s Chief Executive Officer, Pierre Beauchamp. “A bigger supply of higher-priced homes will keep a lid on price increases over the second half of the year. Meanwhile, lower-priced resale townhouse and apartment unit sales will continue to rise due to their relative affordability,” said Beauchamp.

“With the five-year conventional mortgage interest rate having recently inched lower, homebuyers can take advantage of historically attractive purchase financing. Combined with continuing full-time job growth, housing demand is expected to remain strong over the second half of the year,” he added.

Design mistakes can be easy to avoid

2004-07-14T18:30:00.000-04:00

Subtle changes make a big difference

In the many decorating projects that I've consulted on through the years, I've seen time and time again that it's the small improvements that can yield incredibly satisfying results — and can take rooms from so-so to sublime.

Fortunately, the most common mistakes are easy to spot and to remedy:

Top 10 Common Decorating Mistakes

1. Don't select paint colours before choosing rugs or fabrics; you'll make yourself crazy running around town with a paint chip that measures 1/2 by 1/2-inch in search of fabric that "matches".

Do select one or more of the room's most expensive items first—usually the sofa, draperies or carpet. Then choose a paint colour to enhance these items that contributes to the mood you want to create. Remember, the goal of paint is to make everything else in the room look good. Even you!

2. Don't hang the dining room chandelier more than 36 to 42 inches above the dining room table—unless your goal is to show off the ceiling.

Choose a chandelier that is approximately 9 to 12 inches smaller than the width or diameter of the table and hang the fixture 3 feet above the table, where the soft lighting is more flattering.

3. Don't hang artwork so that eyes and necks are strained trying to get a glimpse.

Do place artwork at eye level. The exception: a double height space may require a piece of artwork (e.g. a painted canvas, photograph or tapestry) to hang above 6 feet. In this case, choose a very large image or something abstract, so its presence isn't lost at the distance.

4. Don't frame or mat a work of art with a vibrant or unusual colour from the artwork itself.

Do use a mat to give breathing room to the print, painting or photograph. Pure white is usually the best choice; off white or putty will work occasionally.

5. Don't purchase small collectibles for display, since itty-bitty items lose their impact from a distance. When in doubt err on the side of too big. This also goes for furniture.

Choose fewer display pieces on a larger scale and you'll instantly improve your style quotient.

6. Don't ignore decorative lighting.

Do incorporate table lamps, sconces, lamps and library lights to create interest within a room and to draw attention to favourite collections and artworks.

7. Don't hang a mirror in a dark corner; it only amplifies this lacklustre area.

Do place a mirror adjacent to a sunny window or behind a well-lit smart collection in order to amplify a positive feature.

8. Don't automatically paint ceilings white. White ceilings work best in modern interiors and adjacent to walls painted in pastel tones.

Do select antique off-white or ivory for traditional interiors. Pale yellow, pink or blue are other frequently used ceiling colours. If decorative mouldings are noteworthy, show them off by increasing the amount of contrast between walls and mouldings.

9. Don't purchase any piece of furniture without first measuring the space. Consider the width of door openings and stairs for large pieces.

10. Don't settle for a version of the colour you love. If you try to "lighten" red, it turns pink and may not be what you had in mind.

Be brave and stick with your original vision, provided you've given it careful thought. If it's a chocolate brown family room you desire, beige will never do.

Design mistakes can be easy to avoid

2004-07-14T18:25:00.000-04:00

Subtle changes make a big difference

In the many decorating projects that I've consulted on through the years, I've seen time and time again that it's the small improvements that can yield incredibly satisfying results — and can take rooms from so-so to sublime.

Fortunately, the most common mistakes are easy to spot and to remedy:

Top 10 Common Decorating Mistakes

1. Don't select paint colours before choosing rugs or fabrics; you'll make yourself crazy running around town with a paint chip that measures 1/2 by 1/2-inch in search of fabric that "matches".

Do select one or more of the room's most expensive items first—usually the sofa, draperies or carpet. Then choose a paint colour to enhance these items that contributes to the mood you want to create. Remember, the goal of paint is to make everything else in the room look good. Even you!

2. Don't hang the dining room chandelier more than 36 to 42 inches above the dining room table—unless your goal is to show off the ceiling.

Choose a chandelier that is approximately 9 to 12 inches smaller than the width or diameter of the table and hang the fixture 3 feet above the table, where the soft lighting is more flattering.

3. Don't hang artwork so that eyes and necks are strained trying to get a glimpse.

Do place artwork at eye level. The exception: a double height space may require a piece of artwork (e.g. a painted canvas, photograph or tapestry) to hang above 6 feet. In this case, choose a very large image or something abstract, so its presence isn't lost at the distance.

4. Don't frame or mat a work of art with a vibrant or unusual colour from the artwork itself.

Do use a mat to give breathing room to the print, painting or photograph. Pure white is usually the best choice; off white or putty will work occasionally.

5. Don't purchase small collectibles for display, since itty-bitty items lose their impact from a distance. When in doubt err on the side of too big. This also goes for furniture.

Choose fewer display pieces on a larger scale and you'll instantly improve your style quotient.

6. Don't ignore decorative lighting.

Do incorporate table lamps, sconces, lamps and library lights to create interest within a room and to draw attention to favourite collections and artworks.

7. Don't hang a mirror in a dark corner; it only amplifies this lacklustre area.

Do place a mirror adjacent to a sunny window or behind a well-lit smart collection in order to amplify a positive feature.

8. Don't automatically paint ceilings white. White ceilings work best in modern interiors and adjacent to walls painted in pastel tones.

Do select antique off-white or ivory for traditional interiors. Pale yellow, pink or blue are other frequently used ceiling colours. If decorative mouldings are noteworthy, show them off by increasing the amount of contrast between walls and mouldings.

9. Don't purchase any piece of furniture without first measuring the space. Consider the width of door openings and stairs for large pieces.

10. Don't settle for a version of the colour you love. If you try to "lighten" red, it turns pink and may not be what you had in mind.

Be brave and stick with your original vision, provided you've given it careful thought. If it's a chocolate brown family room you desire, beige will never do.

Real estate prices soar in New York, Florida

2004-07-14T13:29:00.000-04:00

The Corcoran Group, a leader in New York, Palm Beach and Hamptons' real estate, reported tremendous growth in home-sale prices for the first six months of 2004.

According to The Corcoran Report, average sale prices for condominiums and co-ops in Manhattan were up 38 percent for condominiums and 19 percent for co-ops. In the first half of 2004, buyers paid an average $1.23 million for condominiums and close to $900,000 for co-ops. Helping move prices upward were multiple new condominium projects on the east side, which saw a 60 percent increase in the average sale price for condominiums to $1.4 million.

High demand for apartments with three or more bedrooms sparked a buying frenzy the first two quarters of 2004. Three-plus bedroom condominiums sold for close to $3 million on average, a 32 percent hike from the first half of 2003. Three-plus bedroom co-ops sold for an average $2.5 million, an 8 percent increase over the same period last year.

"This has been a monumental time in the history of real estate," said Pamela Liebman, president and chief executive officer for Corcoran. "Record low interest rates, record Wall Street earnings and low inventory made home-buying a sensible, worthwhile and impressive purchase and allowed a great number of people to realize the American dream of home ownership."

In the first half of 2004, Brooklyn continued to attract buyers and new development, driving average sale prices further north. Marketwide, Brooklyn saw a 16 percent increase in average sale prices. On average, New York's largest borough saw single-family homes surpass the $1.5 million mark, up 18 percent over the same period in 2003.

Average sale prices were especially significant in Boreum Hill and Fort Greene the first half of 2004, where average sale prices grew by 30 percent over the first half of 2003.

During the last six months, average sale prices for Palm Beach, Fla., homes in the $5 million and above luxury-home market increased more than 12 percent from $6.6 million in 2003 to $7.4 million this year. The average sale price for single-family homes in all price categories grew dramatically to more than $1 million, a 43 percent rise. Marketwide, demand for primary, secondary and investment properties is on the rise. The Corcoran Group Palm Beach reports that in the first half of 2004, the combined average sale price for single-family homes, condominiums and townhomes was more than $800,000, a 33 percent increase from last year.

Townhomes in Palm Beach proved tremendously desirable over the last six months as average sales prices surged more than 30 percent from $522,000 in 2003 to nearly $700,000 this year.

On Long Island's East End, the first six months of 2004 saw average sale prices on the South Fork jump from $922,000 in 2003 to $1.2 million this year. That figure follows recently released data for year-end 2003, which showed a 20 percent rise in average sale prices over 2002 on the South Fork and a 25 percent year-over-year increase in average sale prices on the North Fork.

The Corcoran Group, a member of the NRT family of companies, is the largest residential real estate brokerage company in New York City, with 45 offices and more than 2,150 sales associates and employees in Manhattan, Brooklyn, the Hamptons, Shelter Island, the North Fork, N.Y., and Palm Beach, Fla.

Non-residential building sets record

2004-07-13T06:08:00.000-04:00

Health-care spending takes much of credit

Health-care spending and construction of retail complexes helped spark investment in non-residential building construction across Canada to a mid-year record of $13.3 billion.

Total investment for the first six months of 2004 reached a record level, up 2.2 per cent over the same period in 2003, according to figures released by Statistics Canada yesterday. In the second quarter alone, construction investment rose slightly by 0.5 per cent for a second consecutive quarter to stand at $6.7 billion.

Non-residential construction includes building permits for institutional, commercial and industrial projects.

"With the rebuilding of the health-care infrastructure and the good employment growth that we've had over the last couple years, you see these very good numbers," said economist Peter Norman of Toronto-based Clayton Research. "The economy has been generally quite buoyant. At the end of the day, these people have to go somewhere to work."

Health-care construction took over from education buildings as the main source of growth in the institutional sector. Alberta showed the strongest gain, followed by Nova Scotia.

"The growing demand for health-care services continued to prompt governments and their partners to invest in new construction and renovation for the fourth consecutive quarter," said Statistics Canada.

Meanwhile, investment in retail and entertainment establishments helped drive the commercial sector, particularly in the second quarter.

"Encouraged by the year-over-year growth in retail sales and strong residential building activity in recent years, retailers continued spending to increase supply," said Statistics Canada. "Construction of new power centres, big-box food stores and commercial centres contributed to the growth."

Alberta, followed by British Columbia, showed the largest increases in the second quarter. In contrast, after a very strong first quarter for commercial building intentions, Ontario recorded the largest decline.

The industrial sector, meanwhile, was the only area that did not show a second-quarter increase. Investment in industrial building fell by 2.6 per cent. The six-month total, however, was up 3.9 per cent from the first half of 2003.

The Bank of Canada's summer business survey, released yesterday, showed businesses believe spare capacity has dropped consistently, and they have upgraded their outlooks for sales and investment spending.

Choice in Richmond Hill and Thornhill

2004-07-11T06:00:00.000-04:00

Prices do not include parking and locker unless indicated.
Richmond Hill

1. EMPIRE PLACE ON YONGE: Southeast corner of Northern Heights Dr. and Yonge St. Builder: Empire Communities. A 14-storey brick and concrete building, plus two other sold-out buildings with about 400 units in total. The two remaining units are $424,000 for a penthouse with 1,582 sq. ft. or $700,000 for a penthouse with 2,703 sq. ft. (parking and locker included). Fees: 46 cents per sq. ft. Amenities: indoor pool, whirlpool, sauna, exercise room, party room, video room, outdoor tennis court, gatehouse. Built. Occupancy: immediate. Sales centre: by appointment only, call 905-326-8686 or http://www.empirecommunities.com.

2. PARK GLEN: Northwest corner of Hightech Rd. and Red Maple Rd. Builder: Pemberton Group. Two 14-storey red brick and beige stucco buildings with 171 and 178 units. From $110,000 for 430 sq. ft. to $230,000 for 910 sq. ft. (parking and locker included). Fees: 36 cents per sq. ft. Amenities: 24-hour concierge, guest suite, entertainment room, cards/games room, billiards room, exercise room, library. Phase 1, 85 per cent sold; Phase 2, 35 per cent sold. Phase 1, under construction. Occupancy: Phase 1, next summer; Phase 2, late 2005. Sales centre: northeast corner of Hwy. 7 and Red Maple Rd., 905-709-5700 or http://www.pembertongroup.com.

3. THE ROSEHILL: 35 Hunt Ave., just west of Yonge St., north of Major Mackenzie Dr. Builder: Maren Group. A six-storey, 33-unit brick building. From $212,000 for 729 sq. ft. to $246,000 for 909 sq. ft. (parking and locker included). Fees: 29 cents per sq. ft., plus heat and hydro. Amenities: multi-purpose room. About 85 per cent sold. Under construction. Occupancy: September/October. Sales centre: by appointment, 905-884-6228 or http://www.rosehillsuites.com.

4. THE VINEYARDS: 350 Red Maple Rd., south of 16th Ave., east of Yonge St. Builder: Empire Communities. Two 14-storey buildings, 187 and 221 units. From $156,000 for 565 sq. ft. to $433,000 for 1,474 sq. ft. (parking and locker included). Fees: 38 to 39 cents per sq. ft. Amenities: 24-hour manned gatehouse, recreation building with exercise room, saunas, pool, whirlpool, games room, home theatre room, library/lounge, rooftop terrace, sundeck, outdoor tennis courts, putting green, patio with gazebo and fountain, walking/jogging paths, party room. Phase 1, 90 per cent sold; Phase 2, 60 per cent sold. Construction to start soon. Occupancy: Phase 1, November 2005; Phase 2, spring 2006. Sales centre: on-site, 905-326-8686 or http://www.empirecommunities.com.

Thornhill

5. AVIGNON ON BAYVIEW: East side of Bayview Ave., half a block north of Steeles Ave. Builder: Tridel/Hullmark. A six-storey, 81-unit, precast concrete building. From $595,000 for 1,485 sq. ft. to $2.4 million for 4,665 sq. ft. Fees: about 40 cents per sq. ft., plus hydro. (two parking spaces and locker included). Amenities: two-storey lobby, 24-hour concierge, fitness centre, saunas, indoor pool, multi-purpose room with dance floor and fireplace lounge, billiards, Internet centre, boardroom, garden lounge, gardens that back on to conservation land. About 80 per cent sold. Under construction. Occupancy: late August. Sales centre: 4800 Dufferin St., south of Steeles, by appointment only, 416-661-7071 or http://www.tridel.com.

6. THE BEVERLEY: Beverley Glen Blvd., north of Centre St., on the west side of Bathurst St. Builder: Liberty Development Corp. A 16-storey, 232-unit glass and concrete building. From $148,000 for 546 sq. ft. to $478,000 for 1,825 sq. ft. (parking included). Fees: 35 cents per sq. ft., plus hydro. Amenities: 24-hour concierge, indoor pool, exercise room, saunas, whirlpool, multi-purpose party room, media room with big-screen TV, guest suite, bicycle storage area, parkland. About 55 per cent sold. Construction not started. Occupancy: December 2005. Sales centre: on-site, 905-731-8302 or http://www.thornhillcitycentre.com.

7. CHATEAU RIDGE: East side of Dufferin, north of Steeles. Builder: The Alterra Group. An eight-storey, 149-unit stucco and stone building. From $241,000 for 894 sq. ft. to $502,000 for a penthouse with 1,665 sq. ft. (parking and locker included). Fees: about 33 cents per sq. ft., plus hydro. Amenities: counter-current exercise pool, fitness room, guest suite, steam room, sauna, rooftop terrace, party room, 24-hour concierge. About 80 per cent sold. Under construction. Occupancy: November. Sales centre: on-site, 905-669-8908 or http://www.alterra.com.

8. CHATEAU PARC: Dufferin north of Steeles. Builder: The Alterra Group. An eight-storey, 183-unit stucco and stone building. From $160,000 for 554 sq. ft. to $521,000 for 1,729 sq. ft. Fees: 33 cents per sq. ft, plus hydro. Amenities: outdoor pool, fitness room, guest suite, steam room, party room, 24-hour concierge. About 33 per cent sold. Construction not started. Occupancy: December 2005. Sales centre: 905-669-8908 or http://www.alterra.com.

9. GALLERIA TOWER: 51 Saddle Creek Dr., north of Hwy. 7, between Leslie and Bayview. Builder: Times Group. A 10-storey, 114-unit glass/stone building. From $163,000 for 616 sq. ft. to $272,000 for 1,053 sq. ft. (parking included). Fees: 33 cents per sq. ft., plus hydro. Amenities: exercise room, party room, saunas, 24-hour concierge. About 70 per cent sold. Under construction. Occupancy: December. Sales centre: 381 Hwy. 7 E., 905-882-8078 or http://www.timesgroupcorp.com.

10. THORNHILL CITY CENTRE: Beverley Glen Blvd., north of Centre on the west side of Bathurst. Builder: Liberty Development Corp. Two 15-storey glass and stucco buildings with 219 and 134 units. From $179,000 for 710 sq. ft. to $399,000 for 1,550 sq. ft. (parking included). Fees: 35 cents per sq. ft., plus hydro. Amenities: 24-hour concierge, indoor pool, exercise room, saunas, whirlpool, multi-purpose party room, media room with big-screen TV, guest suite, bicycle storage area, parkland. About 95 per cent sold. Under construction. Occupancy: next May. Sales centre: on-site, 905-731-8302 or http://www.thornhillcitycentre.com.

11. THORNHILL TOWERS: 62 Suncrest Blvd., west of Hwy. 7 between Leslie and Bayview. Builder: Times Group. Two 11-storey glass, brick and stone buildings, with 212 and 194 units. From $180,000 for 721 sq. ft. to $490,000 for a penthouse with 1,917 sq. ft. (parking included). Fees: 32 cents per sq. ft., plus hydro. Amenities: indoor pool, sauna, steam room, billiards room, big-screen-TV room, card room, exercise room, party room, virtual golf, 24-hour concierge, gatehouse, grounds with water fountains and waterfall in shared lobby. About 20 left. Built. Occupancy: immediate. Sales centre: 381 Hwy. 7 E. at Saddlecreek Dr., 905-882-8078 or http://www.timesgroupcorp.com.

12. RESIDENCES OF OLDE THORNHILL VILLAGE: 300 John, east of Bayview. Builder: The Wynn Group, Rosebud Homes and Sundance Homes. A nine-storey, 109-unit glass and concrete building plus 220 3 1/2-storey brick condominium townhouses. From $160,000 for a 550-sq.-ft. townhouse to $340,000 for a 1,380-sq.-ft. building unit. Fees: building, $258 to $576 per month, plus hydro; townhouses, $150 to $185 per month, plus hydro. Amenities: party room, meeting room, guest suites, fitness room, billiards room, concierge. Building, 10 per cent sold; townhouses, 70 per cent sold. Construction to start soon. Occupancy: September 2005. Sales centre: on-site, enter from Green Lane, 905-771-8850 or 1-800-469-0306, or http://www.thornhillvillage.com.

Crass additions to stately building

2004-07-10T20:38:00.000-04:00

As one of the finest examples of 19th-century industrial architecture in Toronto, the Massey-Harris Building (915 King St. W.) deserved better. Newly renovated and condo-ized, the stately three-storey red brick structure has become the victim of one of the clumsiest remakes seen in recent years.

Though one should be happy the building was saved, especially here in Toronto where heritage preservation laws are so weak, it has been seriously compromised.

For example, the two-storey addition that now sits on top of the former headquarters of what was once one of Canada's largest manufacturing concerns is a bad joke. Ill-conceived, utterly unsympathetic and wrong in every way, the new feature is completely at odds with the original building.

Even the new entrance, on the east side of the structure, bears no apparent relationship to its surroundings.

At the south end, where much of the new construction is concentrated, the results are equally banal. Finished in white brick and grey stucco, it seems to have been designed to add maximum insult to the existing building.

In another context, the design of the additions might have been acceptable. Though conventional and undistinguished, that's not the real problem; the issue here is the clash between the catalogue modernism of the new and the idealistic classicism of the old.

The contrast only makes the 21st-century contribution look painfully crass. We're willing to take advantage of our heritage, but that doesn't mean we respect it.

Dash of drama in Haven loft

2004-07-10T11:29:00.000-04:00

A two-storey loft layout provides a dramatic backdrop for design in the new model suite at Monarch Development Corp.'s Haven community.

The views outside the building at Leslie St. and Eglinton Ave. also help.

The ravine views are brought indoors with a floor-to-ceiling window expanding over both storeys to provide a focal point to the suite.

Designers Paul Davies and Virginia McCloskey of Tanner Hill Associates have treated the expansive window with Roman blinds in alternating shades of copper, beige and taupe — the same colours found throughout the suite — and interspersed each with one-inch sticks of bamboo.

"We wanted the unification of the one drapery treatment, so when it goes right up it's out of the way — you have the views straight through," Davies says.

"Then when it's down you still get hints of it behind there, but you get the privacy that you need and a little bit of colour."

The window treatment aims to create a natural, comfortable feeling in the 745-square-foot Haven model, with objects like rocks and shells serving as accessories.

The suite begins with a walk-through kitchen.

Here, the designers have used a caramel-copper hued stain on the maple cabinetry, contrasting it with black granite countertops and black appliances.

A tinted mirror backsplash runs from the cooking space to the eating area, where there is a built-in banquette in a taupe fabric, paired with a table and two chairs to create a sitting area for dining.

The compact arrangement saves room in the dining area and allows the designers to open up the combined living area further, providing space for an oversized sofa and chair.

The nine-foot sofa is upholstered in taupe linen.

"We're always playing with sofa sizes in condos these days, under-scaling everything and buying special furniture, and it's nice just to show you can move out of a big home and bring the big sofa, and it will fit the space," Davies says.

The living area also features an oversized sculpted chair, a round wool shag rug and small end tables that can be moved around to accommodate different uses.

A built-in shelving unit takes up one wall, extending upwards through the two-storey space, to create a headboard and shelving in the second-floor bedroom.

Drop-down night tables are suspended from the built-in upstairs and a wall-hung desk sits across from it.

In the bedroom is a platform queen-sized bed with a copper-and-taupe coloured bedspread to match the window coverings and accents.

The second-floor bathroom is papered in a neutral wall covering with copper highlights, and featuring copper and black accents in the accessories and towels.

The room is in contrast to the suite's second bathroom, a powder room just inside the front door downstairs.

There, the designers introduced a more "shocking" punch of colour, with metallic copper paper on the walls. "It's really striking to see," says Davies.

Haven has 133 suites over 16 storeys, including one- and two-bedroom designs with and without dens, as well as the two-storey loft layout.

The suites range in size from 653 to 1,862 square feet and are priced from $189,990.

Monarch, founded in 1917, was recently named the first Builder of the Year by the Ontario Home Builders' Association.

The Haven Presentation Centre and model suite, at 1105 Leslie St., are open Monday to Thursday noon to 6 p.m. and weekends noon to 5 p.m. (closed Friday.)

To celebrate the project's grand opening, the builder is offering $5,000 in upgrades for a limited time.

Call 416-385-9995 or visit the Web site at http://www.monarchgroup.net.

Canadian real estate prices building

2004-07-07T08:46:00.000-04:00

Canadian real estate prices continued to build in the second quarter, with Vancouver and Toronto leading the country in terms of house prices, Royal Le-Page Real Estate Services said yesterday. The average price of a standard two-storey home in Vancouver jumped 14.6% since last year to $535,249, up from $467,055.

The price of a detached bungalow in Vancouver increased 13.2 % to $462,086, up from $408,376.

The average price of a standard two-storey home in Toronto jumped 9.1% since last year to $471,978, up from $432,802. The price of a detached bungalow in Toronto rose 4.6% to $347,636, up from $332,448.

The Canadian average price of a detached bungalow rose 6.8% to $249,200 while the average price of a standard two-storey home increased 8.5% to $311,509 and a standard condominium appreciated 6.5% to $176,013.

In addition to Vancouver and Toronto, there were large price increases in Victoria, Winnipeg, Montreal, Saint John, N.B. and St. John's.

Best-ever sales activity occurred in many of the major markets, including Edmonton, Regina and Toronto.

Royal LePage said good weather and the anticipation of higher interest rates helped push house prices higher in Saskatchewan.

Toronto's other Greektown

2004-07-04T11:07:00.000-04:00

Small community on Bloor Street West hopes for victory.
Stays friendly with neighbours in Little Portugal

The Greek Coffee Shop on Bloor St. W. has seen better days.

Once the heart of the city's Greek community, the few Hellenic restaurants, grocery stores and clubs west of Christie Pits Park now find themselves on the wrong side of the Don Valley — a near-ghost town image of the thriving, upscale scene on the Danforth.

Worse still for soccer fans, they're in enemy territory.

As Greece meets Portugal in tomorrow's Euro 2004 final, men like Dimitrios Antris will be watching both the game and his neighbours in nearby Little Portugal.

Antris, 61, runs a Greek social club at Bloor and Shaw Sts.

At its peak in the early 1970s, the neighbourhood was home to some 25,000 Greek immigrants.

"Now it's just a couple thousand, maybe," Antris said.

Yesterday, a half dozen men sat in his club, drinking coffee, smoking and playing backgammon.

Like Antris, most of them moved into the area during its heyday.

Gos Kavidas, a retired 74-year-old lathe worker, has been coming to the social club for more than 30 years.

He and Bill Marinis, 65, remember shutting down Bloor St. when the Greeks qualified for the first round of the 1974 World Cup.

"We were so many back then. This was the Danforth, and we celebrated here like they do there now," he said.

There's been little to celebrate since, on or off the field.

Marinis said younger Greek immigrants started moving east in the 1980s, drawn by the availability of cheaper housing around the Danforth.

"After a while there wasn't enough business for the restaurants. When the business was gone, the people left, too," he said.

At the Greek Corner Groceryat Bloor St. W. and Roxton Rd., 31-year-old Eugenia Petrakos said the crowds on the Danforth in the past three weeks have consisted mostly of young people.

"The old men like to stay in the coffee shops," Petrakos said.

Her store used to be a popular Greek bakery in the 1970s. The Coffee Time outlet across the street was once a small Greek coffee shop, she said.

Down the street, the Melanon Restaurant has been serving up moussaka and gyros for more than three decades.

Jim Haralampous, the owner's 22-year-old son, concurred that Greek businesses in the area moved out "piece by piece" as others, including those owned by Portuguese, moved in.

"But there aren't any clashes (between soccer fans) around here. It's an older generation that's stayed behind," he said.

His mother, Athina Haralampous, said their back patio was full of both Greeks and Portuguese for the semi-final on Thursday, when Greece beat the Czech Republic.

"The day Portugal played, we all celebrated together. When Greece won, we celebrated together again," she said.

Still, the younger Haralampous figures the Portuguese team and their local fans want to avenge an embarrassing first-round loss to Greece.

No European championship host has ever lost the opening match before.

"What I think is, kick for kick, Greece has a better team," Jim said.

"And I'm not saying that just because I'm Greek."

Back at the coffee shop, they also know where they'll be placing their bets.

"Greece will win. They're playing very good," said Kavidas.

"If we win, they'll be playing bouzoukis in the streets," said Marinis, clearly longing to shut down Bloor St. one more time.

Antris said that, whatever happens in the game, it won't upset their Portuguese neighbours.

"I'm not worried about them. We're friends here. Everyone's friends. It'll be great when Greece wins," he said.

"We'll watch the game here, and if they win we'll go to the Danforth. That's where the party is."

Vroom with a view

2004-07-03T12:10:00.000-04:00

Former world driving champion Jacques Villeneuve finds a place to park in the beautiful Swiss Alps

A sleek red Porsche rushed past a small group of holiday golfers and a quick glance revealed the driver to be someone who looked very familiar.

"Hey guys," I shouted at my playing partners as they lined up their putts on one of Switzerland's unexpectedly beautiful alpine golf courses, "I think I just saw Jacques Villeneuve's double drive pass."

A few minutes later we pulled our power carts up in front of the clubhouse at the Golf Club Villars and a Swiss man named Patrick Henry — no kidding — rushed towards the visiting threesome he had adopted as friends a day earlier.

"Come quickly," the excited Henry told us. "Your countryman Jacques Villeneuve is here."

Sure enough, sitting just a few metres away, with the breathtakingly beautiful Alps reflected in his signature wire rimmed glasses, sat the former world driving champion and Canadian sports icon.

Remembering how Villeneuve cherishes his privacy — he later told me that's why he loves living part time in Switzerland "because even though people recognize you, they never bother you" — I was reluctant at first to approach the Formula One ace who has been honoured as Canadian male athlete of the year on several occasions. At the urging of Henry, though, I decided to introduce myself.

Villeneuve leaped to his feet and warmly shook my hand.

"I can't believe you came all this way just to play golf," said the scholarly-looking Villeneuve, who has been known to play a few rounds of golf himself on this very course.

"Isn't this (view) just beautiful," continued the man who has long been considered a sex symbol in a sport where the bodies of the sleek grand prix cars draw a lot more attention.

Villeneuve has time to hang out at golf courses these days. He has been forced into semi-retirement after losing his spot on the Formula One BAR-Honda team this year but is hopeful to return to the sport — "maybe by the end of this year."

However, on this glorious June day, Villeneuve seemed more interested in talking travel than cars.

"Being a race car driver you get to go all over the world and I had the pleasure of seeing so many great places," said Villeneuve, who was one of the highest-paid drivers on the F1 circuit (reportedly pocketing almost $30-million U.S. last season alone).

Being a hot-tempered individual, I figured Villeneuve would like South American destinations like Brazil.

"No, no, I hate Brazil," said Villeneuve. "Too hot! Just too hot."

Okay, then what places would the world traveller recommend people to visit?

"Tokyo," said Villeneuve without hesitation. "Japan is such a neat place and the people are just great.

"And Canada. I always love going back to Canada, especially Montreal," said the man who was born just outside that Quebec city, but spent much of his youth in private schools in Switzerland while his famous father, the late Gilles Villeneuve, was winning F1 races for the legendary Ferrari team.

"I also love Paris and the south of France. But Switzerland is a place I always tell people they must visit. I always rank Switzerland among the top five places in the world I have visited. How do you beat this?" asked Villeneuve as he scanned the majestic alpine peaks in a place which is far more famous as a ski destination than a golfer's paradise.

Villeneuve owns a million-dollar chalet not far from the Villars golf course and during the winter skis down slopes that in summer are transformed into elevated greens and fairways. He fell in love with this area of Switzerland when he attended private school here — called Beau Soleil — and owns a minor hockey team in the town.

"I play right wing on the team — on the second line. I felt it wouldn't look right if I put myself on the first line, being the owner," laughed Villeneuve, who said he started out playing left wing before moving to centre and finally right wing.

Villeneuve also said he likes to play golf whenever he can, but admitted "I can be a real pain because I count everything." However, his real passion is skiing and he spends as much time on the slopes surrounding this alpine village as he can.

"If you think this place is beautiful in the summer, then you should be here when the snows come. Very dramatic," said Villeneuve with a twinkle of excitement in his eyes.

As for his racing career, rumours are that Williams, the team he won his world championship with a few years ago, is interested in him returning "but they are only rumours," he insisted.

Just then, his cell phone rang. He grabbed it but reported it was not the call from an F1 team he had been waiting for.

"It was a friend in Canada wanting to come to Switzerland for a holiday," reported Villeneuve.

Take it from me, they won't be disappointed when they get here, especially if they are golfers.

Maybe it's 'bubble envy'?

2004-07-03T11:33:00.000-04:00

Naysayers target a go-go market

After three years of jubilant crowing from the real estate industry about record-breaking sales and prices, it's becoming increasingly common to read headlines predicting that the good times cannot last, or even that the ever-expanding market is a bubble getting ready to burst.

People think back to the late 1980s when the pressure from speculation and flipping in Toronto's red-hot market finally led to a sharp correction, with prices falling an average of 30 per cent.

Part of the fear comes from instinct that what goes up has to come down, and part from the start of a rising trend in interest rates.

Yet the real estate industry remains bullish. Why?

Because despite the anxious tone of recent media coverage, and all the backyard barbecue chat about a pending comeuppance for people who engage in bidding wars, all economic indicators point not to a bubble burst but to continuing strength in the market.

"I'm not sure where they're picking that up," economist Will Dunning says of the common wisdom. "There are places in the world where there are bubbles, but not Toronto. Maybe it's bubble envy, I don't know."

While Torontonians like to think of their city as a little London or New York, Toronto does not have the conditions that have created bubbles in those cities.

It's a matter of supply, Mr. Dunning says.

London and New York don't have enough, Toronto does, he says.

A market bubble occurs when prices rise by 20 to 40 per cent a year, as they have in New York and London and as they did in Toronto in the latter half of the 1980s when speculation and flipping were rampant and it seemed every young urban professional was taking a pause in his career to get his real estate licence.

But this time around house prices have only been rising 10 per cent a year, and that is normal during a period of recovery from recession, Mr. Dunning says.

"I think the recovery cycle is close to being done now and there will be a slowdown, but it is going to be a very gradual one. I don't expect prices to fall."

The Greater Toronto Home Builders Association, which may be expected to take an optimistic view of continuing high demand for new homes and condominiums, has a real foundation for its positive outlook.

Reports from Statistics Canada, Canada Mortgage and Housing Corp. and Mr. Dunning's company, Will Dunning Inc., all show that year-over-year rises in new-home prices have matched almost perfectly the annual rise in the consumer price index.

Statscan figures show that the drop in the real estate market that occurred in the early 1990s followed a period of huge housing-price inflation relative to the general inflation rate measured by the CPI.

"The new-house price index remains far short of the level reached during the real bubble in the late 1980s," says GTHBA spokeswoman Suzanna Cohen.

CMHC defines a speculative bubble as "a continuous market overvaluation followed by a collapse," and an asset bubble as "a sharp increase in asset value . . . of short duration with no underlying economic support."

In its most recent forecasts for the Toronto market, the federal housing agency agrees with Mr. Dunning's assessment that there is no bubble in Toronto housing prices, which are strongly supported by other economic indicators.

CMHC analyst Ted Tsiakopoulos points to a strong job market -- particularly for 45- to 64-year-olds who are fuelling the market as move-up buyers -- to interest rates that remain low compared with previous decades, and to plentiful migration to the city as factors that will keep the market "vibrant" despite a slight slowdown.

"A gradual slowing in the sales pace combined with a boost in supply conditions across the GTA points to fewer market imbalances in 2004," Mr. Tsiakopoulos wrote last fall.

Real estate agents confirm that the market is slowing slightly from the frenetic pace of the past few years, but see no signs of anxiety in either vendors or buyers.

"It's not quite as crazy as it was; there aren't as many bidding wars," says veteran agent Stephen Caldwell of Sutton Group-Bayview Realty Inc. "But I haven't had any vendors say to me they want to sell quickly because they think the market's going to collapse."

Mr. Caldwell also questions "the doom and gloom" spread by some columnists who say there is an oversupply of condominiums being built and that a market crash is coming.

"I sold two condos at St. Clair and Yonge last week and both went for $50,000 over the asking price," Mr. Caldwell says. "They don't build them unless they are 70 per cent presold."

The agent says he was in Paris and London recently, which gave him a good perspective on Toronto's market. "[Toronto prices] are nothing compared to there," he says.

"Toronto is still undervalued in my view. To be able to buy such charming homes so close to downtown for so little . . ."

Positive outlook

Forecast summary - GTA housing outlook

........................................2003.........2004

Resales...............................78,898......83,700

Average resale price.............$293,067......$307,000

New sales - low-rise..............31,055.......32,000

New Sales - high-rise.............12,377.......13,300

Total new home sales.............43,432........45,300

Housing starts - Toronto CMA...45,475.......42.200

SOURCE: WILL DUNNING INC.

It's a renter's market

2004-07-01T19:51:00.000-04:00

Toronto vacancy rate jumps 27 per cent

Two good pieces of news for renters: Some tenants will soon be able to pay their rents by credit card, and for those looking for an apartment, there's now a lot more units to choose from.

Starting June 1, half of Greenwin's residential buildings in the GTA will allow rent payments by credit card. As followers of Christian Cotroneo's rental column will know, there's been a growing trend in the U.S. to allow payment this way.

Not only do cardholders with affinity programs like Aeroplan get to rack up thousands of more points each year, they can actually defer payment on their rent by 30 to 45 days, depending on when the credit card bill is due.

This appears to be a first for Canada. And in this competitive Toronto market, watch for more landlords to introduce credit card payments.

Initially, 50 of Greenwin's 100 buildings in the GTA will take part in the program.

"Based upon the success of our debit card payment plan introduced in 1999, we expect that nearly half our residents will take advantage of this opportunity," said Barry Eisen, CFO of Greenwin Property Management Inc.

A word of advice: Pay your credit card bill on time. With late penalties in excess of 20 per cent annually, you could get hit with a huge interest payment.

The second piece of good news is that rental vacancies have shot up in the past year, according to the semi-annual Altus Group survey.

Across the Toronto Census Metro Area, the vacancy rate (empty suites) currently stands at 4.77 per cent, an increase of 16 per cent since last October and 27 per cent over the past 12 months.

Another barometer of rental supply is the availability rate, which means empty or soon to be vacated apartments. That rate is now 6.69 per cent, an increase of 42 per cent over last year.

The survey also says rents are dropping an average of 4.5 per cent per year.

If you're looking for an apartment, don't take a landlord's first offer. Always haggle over the price and ask for extras, such as a free month's rent, parking, a TV or a break on utilities. It's a renter's market, and landlords are making deals.

Welcome mats in style

2004-07-01T19:48:00.002-04:00

Designers go to the mat to make entranceways more inviting for your holiday visitors.

It's Canada Day. Summer is here and warm-weather entertaining is in full swing. With annuals planted, the barbeque primed, ice tea brewing, and patio umbrella in place, you're ready for family, friends and neighbours to drop by.

Make sure your entrance is also ready to welcome by replacing that tired mat with one of these stylish options.

1.Welcome mat with fern leaves, $50, from Teatro Verde, 23 by 47 inches.

Guests are bound to feel good with a warm "welcome" like this. Blooming ferns on a pale, thick border are outlined in smoky green. This is another choice where the colour is neutral enough to transition from summer into fall and winter.

2. Maison de campagne, $75, from Stacaro Home Interiors, 48 by 16 inches.

A "country house" is just the place for this smart-looking fibre mat in cocoa and honey. The extra length is ideal for double entrance doors or beside back entrance sliding doors. Although this is ideal for country homes and cottages, it's sophisticated enough for city settings.

3.Flip flops $32 from Wildbird, 18 by 30 inches.

This perky welcome mat just feels like summer, doesn't it? Sturdy coir (coconut fibre) is decorated with cheeky flip flops in colours that are as fresh as a slushy. Choose this playful approach for the cottage or backyard pool setting. With that price, if you're invited to a pool party this summer you'll know just what to bring the hosts.

4. Ladybugs, $32, from Wildbird, 18 by 30 inches.

Every child knows that a ladybug's presence foretells good luck. Put a smile on visitors' faces with these playful insects on parade. The complementary red and green colours provide a strong contrast, making the pattern visible even on shaded porches. Pair with a front door in high gloss black or spring green.

5. Antique white scrollwork, semi-circular, $99, from Stacaro Home Interiors, 34 by 17 inches.

Forgive me, but this is far too pretty to wipe your feet on. Still, it's highly practical since it's made of cast iron. The arabesque pattern in antique ivory is a delightful addition to a summer porch as well as Victorian and country home styles. Positioned above a darker painted porch, say Wedgwood blue or slate green, the intricate pattern commands centre stage.

6. Rectangular rubber mat, $35, from Teatro Verde, 30 by 17 inches.

Here, an intricate pattern forms a visual embrace and strikes a charming note at the front or back door. The neutral black works in virtually any setting and makes the leap from summer to winter and back again.

7. Fish, $28, from Wildbird, 16 by 28 inches.

The fish are jumpin' on this charming mat with contrasting boarder. The pale blue background provides the ideal spot for frolicking fish that appear have no worry of being caught. I'd love to see this beside a country blue or green door. It's a great gift for the favourite fisherman (or woman) in your life.

8. Poly mat, $38, from Wildbird, 18 by 30 inches

A welcome mat with casual charm. A ubiquitous summer staple, the traditional "woven rope" pattern works in nearly every setting. The polysynthetic material makes it durable and functional, as it's excellent for catching dirt and debris before it enters the house.

9. Purple and orange flowers, $50, from Teatro Verde, 23 by 47 inches.

Not for the shy and retiring, this mat is blooming in oranges and purples; two of this season's hottest colours (with no sign of slowing into 2005, by the way). These vivid blooms will certainly add some punch to the front porch or back door.

Make an entrance your friends are sure to remember by pairing this one with a striking front door in deep, sage green or bold terracotta.

10. Jardinerie royale, $45, from Stacaro Home Interiors, 29 by 17 inches.

Though my own garden is somewhat more humble (okay, a lot more humble) than a "jardinerie royale" I love the formality of this handsome mat.

The heraldic pattern makes a formal statement best suited to traditional homes and gardens. Place this mat between a pair of wrought or cast iron urns planted with topiaries and you have the makings of a classic tableau.

11. Half moon with ivy, $28, from Wildbird, 17 by 28 inches.

Make a calm and sophisticated entrance with this semi-circular welcome mat covered in trailing ivy. The colours, the various shades of green on a honey background, are neutral enough to transition from summer to winter while the dark green border accentuates the comely shape.

Made of coir (coconut fibre), it is a perfect choice for Tudor, country, arts & crafts, and ranch bungalow style homes.

12. Long runner, $140, from MacFAB, 28 by 84 inches.

You can tell this mat was designed by a city slicker; its sleek shape is ideal for urban balconies. The modern poly-vinyl works indoors and outdoors.

Welcome mats in style

2004-07-01T19:48:00.001-04:00

Welcome mats in style

2004-07-01T19:48:00.000-04:00

July 1 Unites Canadians

2004-07-01T19:38:00.000-04:00

Each July 1, Canadians across the country pull out red and white National flags to decorate their homes and businesses in celebration of Canada Day.

Many Canadians grow red and white flowers in their gardens to add a festive air all summer. The combination of red and white was proclaimed Canada's national colours by King George V in 1921, in the Royal Arms of Canada -- Canada's coat of arms.

Historians tell us that the maple leaf began to serve as a Canadian symbol as early as 1700. Maple trees remain a common feature in Canadian gardens, parks and neighbourhoods. In 1867, Alexander Muir, a Toronto schoolmaster and poet, composed the song The Maple Leaf Forever, which, as the backup national anthem, will be sung this week at many Canada Day celebrations across the country.

In typical Canadian style, the flag's design was the result of a collaborative effort involving several Canadians.

Although most people know that the Canadian flag is the only country flag in the world with a maple leaf on it, how many of you will do well on our quiz about this distinctive symbol of our country?

When was our current flag first flown?

What kind of maple leaf is on the flag?

When did the search for a new flag begin?

Which Prime Minister was instrumental in replacing the red ensign with a uniquely Canadian flag?
Answers to our mini-quiz are at the bottom of this article.

On June 20, 1868, a proclamation signed by the Governor General called upon all Her Majesty's loving subjects throughout Canada to join in the celebration of the anniversary of the formation of the union of the British North America provinces in a federation under the name of Canada on July 1st, a holiday that was named Dominion Day in 1879 until it was renamed Canada Day in 1982.

Since 1985, Canada Day Committees are annually established in each province and territory to plan, organize and coordinate Canada Day celebrations locally. Whether you have just moved into your neighbourhood or are one of the most established residents, get out and meet your neighbours at local festivities. In communities across Canada -- from sea to sea to sea -- Canadians will be celebrating together in growing appreciation of what a rare and precious place Canada is and what a privilege it is to live here.

Happy Canada Day!!!!

Mini Quiz Answers

The official ceremony inaugurating the new Canadian flag was held on Parliament Hill in Ottawa on February 15, 1965. This date is commemorated each year as Flag Day.

The maple leaf is a sugar maple that has been stylized for a practical reason. Although a sugar maple leaf has 23 points, the leaf on the flag has only 11. This redesign was necessary since the points on a natural leaf appear to multiply on a windy day. The 11-point leaf resembles a real maple leaf when the flag flies in a brisk wind. There is no special significance to the eleven points.

Research for a new Canadian flag started in earnest in 1925 when a committee of the Privy Council began to research possible designs for a national flag, however the work was not completed. In 1946, a parliamentary committee called for submissions and received more than 2,600 designs, but no final decision was made. In October 1964, after another call for submissions, the committee was left with three possible designs -- a Red Ensign with the fleur-de-lis and the Union Jack, a design incorporating three red maple leaves, and a red flag with a single, stylized red maple leaf on a white square. None was considered appropriate, so the committee continued deliberating until a final design was agreed upon in 1965.

Early in 1964, Prime Minister Lester B. Pearson informed the House of Commons that the government wished to adopt a new distinctively-Canadian flag before the 1967 centennial celebration of Confederation. (Pearson himself preferred a design with three red maple leaves between two blue borders.)

Agents' fees get an overhaul

2004-06-30T09:51:00.000-04:00

Straight percentage-based commissions, the traditional way of rewarding real estate agents involved in commercial transactions, are increasingly under pressure from those who want change. In their place, the owners of office, retail and industrial buildings and the companies that manage those properties are pushing for a wider range of options.

Most often, they are demanding fees that reward performance and that reflect the degree of difficulty involved in making a sale or finding a tenant. In seller's markets such as today's, where many buyers are pursuing few properties, fees should be lower because an agent's job is easier, they argue.

On the other hand, property owners are willing to pay more for a speedy sale or for sales in which target prices are exceeded. In that scenario, a percentage of the sale price continues to be the basic tool for calculating financial rewards to agents. But that percentage can rise or fall according to preset conditions for speed and price.

Hitting the target price, for example, may result in a fee of anywhere from less than 1 per cent to about 3 per cent, depending on the size of the property.

Exceeding that price, however, may trigger a bonus, raising the fee by anywhere from a quarter percentage point to a full percentage point. In some cases, property owners are even willing to pay all or part of an agent's expenses.

This pressure for change from property owners and managers was felt first in leasing, especially office leasing, in the late 1990s. Instead of commissions, leasing agents now receive flat fees. That trend is now moving beyond leasing, to the sale of office, retail and industrial properties.

"We look on it as a success fee rather than a commission," says Gary Whitelaw, president and chief executive officer of Bentall Capital LP of Toronto. Bentall manages 45 million square feet of commercial office space on behalf of pension funds and institutions. Bentall decides when and what to buy or sell and negotiates with real estate agents on all commissions.

"We want to see an emphasis on performance. The commission structure for commercial properties is absolutely evolving," adds Paul Finkbeiner, president of Calgary-based GWL Realty Advisors Inc. His company, like Bentall, acts for institutional owners and manages 21.6 million square feet of office space.

"What we want today are a series of incentives to achieve maximum benefit," he explains. "Straight commissions don't do that. If an agent's reward is just one number then you have to settle for what [the selling price] you get. We want a fee structure that makes sure the agent's interests are aligned with ours."

In simple terms, performance bonuses have been proven to generate higher selling prices.

The first major step towards creating a new, industry-wide approach began in the late 1990s when office building owners started pressing for a flat fee as the basis for rewarding leasing agents. Previously agents and brokers who found a tenant were paid a commission based on rents for both the first year and subsequent years. The first year might pay 2 per cent, the second and third year 1 per cent, with the balance of a five-year lease paying one-half of 1 per cent.

Today the reward is a flat fee in the range of $4 to $6 a square foot for major downtown buildings, says Colum Bastable, president and CEO of Royal LePage Commercial Inc. of Toronto.

The reason is straightforward, explains Michael Emory, president of Allied Properties and Allied Properties REIT of Toronto.

"It made accounting easier. It allowed us to fix leasing costs and benefit from 100 per cent of future rent increases. There were no future payouts to agents," he says. "In our pro forma statements we can now isolate leasing costs accurately and easily and as rental rates rise, the benefits go straight to us. Agents are paid one time, when the lease is negotiated."

Agents were willing to trade off a small amount of extra income, paid over the term of the lease, in favour of a larger immediate payment when a lease was signed or a tenant occupied the space.

The move to flat fees also reflected the changing nature of the Canadian commercial property industry, adds GWL's Mr. Finkbeiner. Before the real estate meltdown of the early 1990s, commercial property was widely held by entrepreneurs. Today it is concentrated in a handful of very large property management companies acting for pension funds and institutions.

Management is by committee and those committees must be able to muster hard facts to justify their decisions, says Bentall's Mr. Whitelaw.

"We have our own staff doing analyses [for both leasing and sales] for all properties we manage. In the past you would go to brokers for much of that information -- if they had it. The role of the agent has become downplayed, as a result," he says.

At the same time, management companies like Bentall and GWL have taken lessons from other industries, especially investment banking. The fee structures they now demand from real estate agents reward speed and maximize the sale price for properties put on the market.

As a result, today's sales transactions will often be based on a percentage commission for achieving a sale at a fixed price within a defined period of time plus various levels of bonuses.

There are no hard-and-fast rules about the percentage of a sales price that the commission is based on. It is all a matter of negotiation, says Blake Hutcheson, Canadian president of CB Richard Ellis Ltd.

In today's seller's market, an owner offering a commercial property for sale can negotiate lower commissions, perhaps less than 1 per cent for a major property.

The changes in the way owners pay brokers is now reflected in the way brokers pay their own staff. Traditionally, agents would split commissions with the brokers that employed them. Now, for example, an agent at Royal LePage Commercial receives 50 per cent of commissions until his or her total sales reach a specific threshold, usually in the low hundreds of thousands, Mr. Bastable says. The agent's share then rises to 60 per cent.

To satisfy client demand, brokers now offer services such as research and property management, for which they charge either an hourly rate or a flat fee for a project. That demands finding new ways to reward key staff.

"We have to have a wide range of options when it comes to paying our people, from straight commission to salary to fees like you would pay an accountant or a lawyer," Mr. Hutcheson says.

But commissions will always be a core element in calculations, suggests Royal LePage's Mr. Bastable.

"We are not likely to radically change the system as long as both parties are getting value," he says.

Real Estate: Storehouse of Wealth?

2004-06-29T10:54:00.000-04:00

It's kind of ugly - red brick down the sides and creamy stone on the front. The house eats up most of the 30-foot-wide lot, leaving just enough room for a skinny driveway. The street is in an established North Toronto neighbourhood, but just a stone's throw away from a busy industrial area and big box stores.

In 1996 this two-storey, four-bedroom house sold for just over $300,000. Last year, in the fourth year of Canada's red hot housing boom, it changed hands for $581,000. A builder bought it, did some renovations, and put it back on the market a few weeks ago. Asking price: $999,000. Twenty-three days later it was sold, for $1 million.

Is this fantasyland? Or has residential real estate become the true storehouse of wealth? Are we at the tippy-top of a boom market that - like every boom before - will be followed by a bust? Or, are there solid reasons to believe that houses can continue to appreciate by double-digit amounts for the next decade? Are those waiting to buy the true fools? Or were greater fools the buyers of this million-dollar pile of bricks?

Five years from now we will probably know the answers to those questions. One of two things will be true: Either the people who bought houses in 2004 at the highest price in history made one of the smartest investment of their lives, or one of the worst.

One key ingredient will be the cost of money. Today you can gorge on mortgage money at just 3%, which means a $1,000,000 mortgage carries for less than $30,000 a year, or $2,500 a month. And don't laugh - there are lots of people today who have gladly walked into that kind of a debt load.

But if interest rates rise, then so do mortgage payments, making houses less affordable. That impacts the entire real estate market, dampening demand and bringing down values. Folks who bought with little or nothing down could conceivably end up with mortgages that exceed the worth of their houses.

Some economists are warning that a housing bubble has truly erupted in North America, while many others argue the market is stable and will continue to grow, albeit more moderately. The alarmists point out that house prices have now risen for the longest continuous stretch of time ever. They also point out that too many homeowners have an unrealistic expectation of future gains. An American survey last year showed people expected their homes to rise in value between 12% and 16% every year for the next decade.

Finally, we are told to worry because house prices are not just at an historic high in dollar terms, but also at a zenith when compared to income, rent or replacement costs. That suggests if interest rates do start to jump - something everyone expects by the end of this year - it could be too much of a shock to a real estate market that has already exceeded itself.

On the other hand, a greater number of economists paint an entirely different picture. They point to strong immigration as fuelling a continued demand for housing, and net migration into the major urban centers of Toronto, Calgary and Vancouver. They're forecasting a long period of low inflation and steady economic growth. Yes, rates will rise, but the increase will probably be modest and gradual. Finally, with a wonky stock market and low returns on fixed-income investments, the experts think real estate will continue to attract a huge share of all investment dollars, keeping prices high.

So, there you go. Clearly there are two visions of the immediate future of the housing market, which cannot both come to pass. To date, those who have been warning of a real estate disaster have been dead wrong. This is the longest, most vibrant, sustained, broad-based and active real estate boom in Canadian history. More houses have never been built before. Prices have never been higher. Never more multiple offers or bidding wars.

And that has brought us to this: The million dollar ugly duckling house on a 30-foot lot.

Don't know about you, but it seems to me something spectacular is not far off.

Inspections, Defects & Disclosure

2004-06-29T10:16:00.000-04:00

No home is perfect.

Realizing this, buyers today are encouraged to have a home inspection done by a qualified professional prior to finalizing the sale.

The inspector's role is to identify any structural problems that might affect the value of the home today or in future and, if any are identified, to give the buyer an estimate for repairs.

The buyer can then either accept the fault as is, renegotiate the offer or revoke it altogether.

As the vendor, how much should you tell prospective buyers about defects - hidden or otherwise? Most experts agree that full disclosure is best.

Aside from casting doubt on your integrity, you could jeopardize the sale entirely if your buyer discovers hidden defects during the inspection.

You could also face legal actions if the home is sold and it is later discovered that you knew about a particular defect.

To protect everyone's interests, many real estate boards now ask vendors to sign a statement itemizing improvements and identifying structural problems.

Turn lemons into lemonade. Describe any major structural defects in the listing agreement, but add that you have reduced the price accordingly!

Put housing issues on the agenda

2004-06-28T17:08:00.000-04:00

Today is the federal election. While it's fair to say housing issues haven't exactly dominated the agenda, there's been a concerted effort by the Canadian Home Builders' Association to get housing on the radar screen.

"Building homes and communities for Canadians, now and in the future" is the theme of CHBA's nation-wide effort during this election campaign and beyond. The association has two main goals: Promote housing quality, affordability and choice and build vibrant, prosperous and healthy communities.

For consumers, the CHBA favours continuous improvement in quality, choice, and affordability. For families and communities, CHBA wants clean air, water and land, plus efficient transportation systems.

"We've made the essential role of our $63 billion industry much clearer to more candidates than ever before," said CHBA president Mary Lawson. "We've been in touch with over 1,100 candidates from the main parties, as well as all major party leaders to stress three major topics: offering access to decent housing for those living in poverty; increasing investment in key municipal infrastructure and creating a favourable environment for housing consumers."

With respect to access to affordable housing, the CHBA has focused on a program of portable "housing choice vouchers" to support Canadian households in greatest need. Based on the experience of other countries, CHBA believes vouchers would be four to 40 times faster than low-income housing, 50 to 75 per cent less expensive and at least twice as financially effective as compared with existing programs to provide affordable housing.

"Our proposed plan would give low-income households what they need most — more money so they can get adequate housing close to jobs, services and playgrounds for their children," CHBA says.

In terms of infrastructure, the CHBA has long advocated that federal infrastructure funds focus on a cleaner environment, efficient roads and transit. The aim is to support healthy communities and sustainable economic growth in municipalities of all sizes.

Under the theme of establishing a positive environment, thegovernment should also tackle the underground economy and enabling more consumers to get the GST rebate.

Price thresholds for qualifying for the GST new housing rebate have remained unchanged since the new tax was introduced in 1991, despite the fact that the federal government of the day made a commitment to adjust the thresholds at least every two years.

"We want to see the GST rebate for new housing indexed to account for inflation in prices since the tax was first introduced," CHBA says.

With respect to the impact of the GST on renovations, CHBA notes the federal government is collecting two to three times as much in sales taxes on major renovations as it was in the pre-GST period. That's because the GST applies to the full value of renovation work, including labour, materials, services and profits, while the former federal sales tax applied only to building materials.

There is a GST rebate available for "substantial renovations," but the definition is so restrictive that only about 2,000 renovators qualified last year.

CHBA believes "substantial renovation" should be redefined to promote renovation and encourage homeowners to hire professional renovation contractors rather than choosing underground operations. "This would benefit consumers who would have more recourse when work is not up to par, as well as ensuring better quality work in the first place," the association says.

The CHBA is calling on the next federal government to address the skilled labour shortage. Canada's labour pool is expected to shrink due to an unprecedented rate of retirement within the next five years. We're not producing enough skilled tradespeople — homegrown or imported — to meet demand.

"It will be hard — and very expensive — to live in a country where only a few know how to fix a leaky faucet, build well-crafted homes, or make sure the lights come on when it gets dark," CHBA concludes.

Finding the perfect cottage

2004-06-28T16:01:00.000-04:00

Web sites can help find the perfect cabin on a lake

If renting a cottage is on your radar screen this summer, the Internet is a great place to start searching for your place in the sun.

The Web offers would-be cottagers two avenues to find their ideal summer getaway, in both cases without the need to drive hundreds of kilometres or ring up hefty long-distance telephone bills.

One is to pick a handful of cottage country communities — as close as Muskoka and Haliburton or as far away as Vancouver Island, Rainy River, Ont. or Cavendish, P.E.I. — then surf to real estate company Web sites that list cottage properties for sale or for rent.

A better way is to find "gateway" Web sites that deal exclusively with cottage rentals.

Once you find a place or two that fit the bill, you'll still need to do some driving to ensure they're not mouse infested or bordering on a swamp. But by doing your research online you can draw up a short list and motor to one or two rather than five or 10.

Here are a handful of Web sites worth visiting, most offering one-stop shopping, whether you're looking to rent or buy. Most serve up listings from Ontario, across Canada and in some cases outside North America. Rentals are both privately owned and operated by businesses.

Waterloo, Ont.-based http://www.cottagelink.com features a variety of rental listings, as well as hunting and fishing camps, cottage lots, lodges and resorts, including some in Puerto Rico and Florida.

Last week the site had several hundred rentals for the Muskoka-Parry Sound-Haliburton region alone, from $225 to $5,500 a week.

Start your search with the "rentals by region" option, which leads to a colour-keyed map of Canada. Choose your province and another map arrives with a regional breakdown. Another click and you see listings for each region.

When you get to a specific rental property, you'll find colour photographs and a wealth of information, including number of bedrooms, whether the place is on water, its mode of heating, distance to the beach, smoking or non-smoking, proximity to hospitals, rental rates, and whether pets are welcome.

A useful feature, though it's not available for all rentals, is the "check availability" button that shows which weeks are open.

If buying is your goal, the "cottages for sale" option provides a list of properties complete with price and location.

Once you pick a property you'll find enough information to determine whether it's worth pursuing, including property taxes, room sizes, amenities such as boats, fireplaces and telephones, proximity to communities, and the asking price. Most listings also feature a series of interior and exterior photographs, and contact email addresses.

Another useful site, albeit with fewer listings, is http://www.CottagesinCanada.com, which also uses maps to help browsers pick a province and a region. Last week it had just 22 places for rent in the Kawarthas and 16 in the Lake Huron region, but far more were up for grabs in the Barrie-Muskoka-Parry Sound-Bracebridge-Wasaga Beach area.

A six-bedroom place on Georgian Bay was going for $4,700 a week. A two-bedroom cottage on Lake Vernon was listed at a more reasonable $895 a week.

Start your search by picking a province and an area on a colour-keyed map or from a list of regions, then peruse a chart that sets out price and number of bedrooms and whether there is smoking, allowance for pets and a beach. Each cottage's individual Web site has a map that pinpoints its location.

CottagesinCanada.com, operated by partners based in Ottawa and Quadra Island, B.C., has a search tool that enables you to find a rental cottage by filling in details of what you are looking for and when. It features a rental "Cottage of the Week" for each province and maps that can be enlarged. It also covers cottages for sale.

Other cottage rental Web sites worth looking at include: http://www.10kvacationrentals.com, http://www.holidayjunction.com and http://www.ontarioguide.com/cottage/

Toronto homes you can't miss

2004-06-28T11:08:00.000-04:00

Some of these front yards might not make the covers of Better Homes and Gardens. But all of them — with their collections of art or arty collectibles, customized looks and unconventional gardens — add colour, character and a singular beauty to Toronto streets.

What city doesn't need that?

37 Bertmount Ave.

It's a good thing Shirley Sumaisar's home is on a one-way Leslieville street and not a main thoroughfare, or rubber-necking drivers might cause a pileup. Her front yard is a show-stopping riot of colour, one that merited an award from then-mayor Barbara Hall a few years back for the city's "best small garden'' (the honour is now framed and part of the display).

The real draw is mixed in with plants, flowers, fountains with frogs, dozens ("I've never counted them all'') of toys, stuffed animals, gnomes, cartoon characters, plastic bugs and bric-a-brac. And most unusual is the presentation. The bigger items gaze on to the street from pedestals, to which they're glued or screwed.

Sumaisar, 64, had help with her creation, but most of the time the trim, wiry woman does her own embellishments, puttering around for hours a day, installing new items picked up from garage sales or bargain stores. If an item starts looking decrepit, it's replaced with a fresh find.

A South African immigrant, Sumaisar is proud of her garden, which has been about 10 years in the making. "It keeps me busy. I love to be busy. It's just a hobby I like to do. If I find something I like, I bring it here. I don't spend too much. I'm lucky."

Those with sticky fingers — beware. A sign warns of a closed circuit TV; some people have tried to walk off with favourite items.

Sumaisar enjoys the visitors the garden brings, and has met people from all over the world here. "They tell me they feel better coming to see my house. It makes them smile. They say, `Thank you for making this to look at.''' What of those who are less appreciative? "It doesn't bother me ... if some people don't like it, they can just look on the other side (of the street).''

73 Clinton St.

To understand the 3-D house and garden Albino Carreira created, it helps to know his story.

The Portuguese immigrant from near Fatima was working as a bricklayer in Toronto on June 16, 1993, when he fell from a scaffold, broke his neck and suffered extensive back injuries. Now 59, he can't work at his old trade and still wears a collar for neck support. His spine has been welded in five places, he has two plates in his neck and he takes daily pain pills. Sleeping is still difficult.

But he's lost none of his enthusiasm for living, which Carreira has poured into his house and garden ever since he recovered enough to walk around.

Unique may be an overused word, but it fits Carreira's creation. He's attached thousands of sawed-off bits of round wood to his house and garden fence, each piece individually screwed into place and spray varnished. Undulations of the same pegs adorn his garden, wrap around old cedars, ride the low fence, hug walls. Colourful, carved wooden leaves are also scattered around.

Carreira points to a curved wooden wave and smiles. "It looks like my spinal cord,'' he says, explaining that he was struck by how it looked in an X-ray.

He freely admits his unconventional decorating has cost about $15,000 for tools — "I've broken five drills,'' he says. All told, the bill is about $80,000. He gets help with anything that requires major installation, as his mobility is limited. But he's able to saw and hold a screw gun.

Flowers, herbs and trees also adorn the garden. At ground level, there's a whimsical assortment of plastic creatures. Spider-Man crouches high in an old cedar tree. "For the kids,'' says Carreira, who has a young grandson. "They like them.''

In the backyard, Carreira laughs as he shows off a customized ladder adorned with the same peg art. "I make this for the raccoons,'' he says. His wife, Maria, feels his work is a good thing because it keeps him busy. It earned the couple a "Best Eccentric Garden'' award in 1997 from then-mayor Barbara Hall.

In winter, Carreira keeps the place lit up. Some neighbours have pitched in money for his Christmastime electrical bills. But spring, summer and fall are his favourite times, because there's always something to change. Visitors and tourists are welcome to look.

"I meet people from all over. It's good. Kids always ask me so many questions ... Sometimes I get stuck for words,'' says Carreira. Viewers will know how he feels.

323 Wychwood Ave.

Once upon a time, Louna and Bill Slater's modest house at the busy corner of Wychwood Ave. and Vaughan Rd. was a diner, apparently specializing in hot dogs. A neighbour passed on the home's history shortly after the Slaters bought the home in 1991, decades after its restaurant career.

The Slaters say that just added to the charm of the 71-year-old house, which is now a landscaping lodestone. The garden is phenomenal — thousands of plants (including dozens of holistic herbs), flowers (1,500 tulips alone) and trees make the most of shade and sun.

But what stands out most is the front patio, designed by Bill to accommodate a sprawling Manitoba maple. The tree rises majestically through the patio floor, its grey, gnarly branches soaring through the Plexiglas roof.

"We did this out of respect for the tree — it's older than us,'' says Louna, whose gardening prowess is all the more phenomenal because of her progressive multiple sclerosis.

"I should have been in a wheelchair by now,'' says Louna, who does a lot of her gardening at night and uses her herbs to make essential oils, some of which are used in her work as a medical skin care aesthetician.

Near the tree is a bronze statue of a young girl with flying pigtails balancing on a boy's shoulders. "It reminded me of my brother and I when we were kids,'' says Louna.

A visitor to the Slater garden cannot walk through without being followed by family felines. Louna has made the garden creature-friendly, even building hideaway homes under the porch where stray cats can find shelter and including plants and trees such as the Mulberry to help feed the birds.

Despite the traffic that whizzes by on Vaughan Rd., the garden is a quiet oasis sheltered by cedars, lilacs and other redolent leafy barriers. "As soon as I walk in the gate, I feel the temperature drop,'' says Bill.

935 Islington Ave.

Visitors know they're welcome at the house of Theresa Muller and her sister, Lottie Schuran. There are at least seven "Welcome'' signs dispersed around the front garden, the side of the house, the garage door and the front door. Another sign reads, "Garden Tours, 5 cents.''

In case you don't get the message, a group of about 25 friendly-looking creatures — rabbit, deer, duck, raccoon, bear cub, squirrel, rooster, puppy and toad — peeks from the flowers and shrubbery. Off to the side, a joyous bunny sits on a rope swing tied to a branch near a forest of irises. You can't help but feel right at gnome — seven of the little creatures are here. Plastic daisies twirl with the wind amongst the garden's perennials — includes roses, hostas, yellow and purple irises, dahlias and more.

Muller and her sister enjoy collecting the garden creatures and pick up more every year. She laughs while admitting that the younger of her two daughters, 16-year-old Marlena (who has an older sister, Heidi, 23) says they're "tacky."

"But I love them," Muller says. "I just enjoy looking at them — they make me happy.''

68 Empire Ave.

Some gardens inspire inertia. Kassa Dabreo's garden makes you think.

The 38-year-old Rastafarian, a native of St. Vincent and the Grenadines, came to Canada in 1985, bringing with him a love for the outdoors and a respect for the Earth. He's committed to environmental protection, and it shows in his front yard.

Dabreo also likes to laugh, and humour shines through many of his arrangements, which involve recycled household goods such as faucets and toys interspersed with wood, stone and other natural materials, such as sliced coconut shells.

Two prominent rocks near the front are reminiscent of a woman and child. Mid-yard, there's a weathered Muskoka chair with a coffee cup, saucer and spoon perched on an armrest, as if waiting for someone to stop by. It's next to an outsized birdhouse and feeder, built by Dabreo and his 11-year-old son, also named Kassa.

The centrepiece is a young cherry tree inside a tire. Last summer, Dabreo left his house one morning and noted that the cherries were ripe and made a mental note to harvest them that day.

Unfortunately, squirrels came to the same assessment. "I couldn't believe it — all the fruit was all gone. Some they'd just taken a bite out of and thrown it down,'' he recalls of his return. This year, Dabreo may cover it with some wire. "I'll share some, but not all,'' he says with a smile.

At the front, at little-people level, Dabreo leaves an assortment of toys. "Kids come by and play with them. Sometimes they take them, but they always bring them back. I don't mind ... I leave stuff out, like plates, that people can take if they want,'' he says.

Once in a while, vandals do strike. During the winter, someone destroyed one of the ice and candle arrangements he makes in the yard. "But I just rebuilt it and it was even more beautiful.''

His yard has struck a positive chord with some neighbours. Vlad Cubrt, 30, doesn't know Dabreo, but says he has "a soft spot in my heart for (the yard) — I always check it out when I'm walking by because he's always changing it. I think it adds interest to the street. In the winter it's amazing, too.''

``I like to watch people go by," says Dabreo. "People are so serious but usually they'll stop and smile.

"I do it for the fun of it ... to relax myself. It's always changing.''

17 Chester Ave.

He's 88, a little bent over and admits he's "too old to be climbing ladders.'' But Vince Foster, known fondly in Danforth Village as the "Butterfly Guy,'' still loves watching the Toronto Blue Jays play and creating his handmade wooden butterflies and birds — all finished off with two coats of Spar varnish.

He hangs them inside and out; sometimes he'll get a neighbour to help with installations. But his biggest creations — a dozen or so colourful flyers — have been attached to his home for years and even spill over to his next-door neighbour's house, which once belonged to his in-laws.

In fact, Vince's wife, Helen, was born in the second floor of that house. Not long after they married, Foster's father-in-law told him the three-storey semi at 17 Chester was selling for the then-considerable sum of $4,500.

The Fosters scraped together a down payment and bought the house in 1945, raised three sons and have lived there since. The butterflies — some painted as orange and black monarchs, others showing combinations of yellow, orange and black and blue, orange and white — perch as though they just alighted on the front wall of the second storey. Blue jays, budgies and cardinals swing freely.

Foster got the idea of cutting out the creatures after visiting Sault Ste. Marie years back and seeing wooden butterflies there. He bought one and started cutting out his own, using a sabre saw and scrap hardwood. When he retired from an auditing career in 1981, he had more time for his hobby.

"I don't drink or smoke — never have," says Foster. "It's something to do. I like working with wood.'' Evidence of his skill — which won him first prize "way back'' in a Canadian National Exhibition contest — shows in birdhouses and the oversized mailbox that sits on his front lawn not far from a 100-year old maple tree. It wears a sign that says "Junk Mail,'' with yellow parking tickets hanging from a hook below. He often finds these on the street, left by disgruntled motorists in the no-parking zone just north of Danforth Ave. Foster chuckles and notes that some folks borrow the tickets and put them on their cars so parking police will think they've already been ticketed.

His house has a little handcrafted wooden sign that says "Blue Jay Lodge,'' while next door there's one that says "Butterfly Lodge.'' Several Canadian flags — "you should see them go in the wind'' — hang off poles in the yard. The house certainly get attention — "I can't go out in the front without getting in a conversation with someone'' — but Foster's a modest man, and takes the effect of his striking creations in stride. "It's just a hobby,'' he says.

497 Northcliffe Blvd.

If the weather is good, Joe and Maria Folino like to sit on their folding chairs inside the coolness of their garage, door open, and watch the world go by. Sometimes it works the other way — the world stops and takes a look at their front yard, filled as it is with multi-coloured flowers (real and silk), evergreens and exotic trees, hand painted animal statues and an unusual elf holding a fish, as well as religious icons, including a small, glassed-in grotto for the Blessed Virgin Mary watched over by a bust of Pope John Paul II.

The retired couple — Joe is 77, Maria 73 — are devoted Catholics who came to Canada from southern Italy in 1957 and bought this house about 12 years ago. They decorated and planted bit by bit. That way, "it's not so expensive,'' says Maria.

The lions and other creatures were painted by Maria. "I like doing that. It's good to pass the time ... You need lots of patience. Joe, he doesn't have the patience for that,'' she says. The colours aren't always lifelike — "the (silver) lions should be brown, but I say, `What the heck, I like this colour.'''

Joe names the three angel figurines inside the glass case with Mary: "Rafael, Gabriel and St. Michael the Archangel.'' Another three angels — huge ones, holding bugles — adorn the front of the house over the garage, where icicle lights hang year-round.

The couple likes fruit, and their plum and apple trees have produced so much over the past few years that they've had to "give fruit to the whole street,'' says Mary. They acknowledge that their house gets attention and don't mind people looking, as long as they don't take. A couple of their favourite statuary pieces, "a guy playing guitar — it was beautiful — and a little lady with flowers'' were actually dug out of their concrete settings and stolen, Mary says.

American sales hit record level

2004-06-28T10:58:00.000-04:00

Existing-home sales hit record level in May

Sales of existing homes in the United States shot to a record high in May as people scrambled to buy ahead of an expected rise in interest rates. Existing-home sales leapt 2.6 per cent from the previous month to a seasonally adjusted annual rate of 6.8 million in May, the U.S. National Association of Realtors said. Sales were up 15.8 per cent from a year earlier. The middle of the range, or median, price for an existing home rose 10.3 per cent from a year earlier to $183,600 (U.S.). "In part, the record results from a natural 'fence-jumping' by buyers getting into the market after mortgage interest rates began to rise at a sharper clip in April," said the association's chief economist David Lereah.

House auctions popular in Australia

2004-06-28T10:47:00.000-04:00

In Sydney, Australia, where real estate prices are hopping like the native kangaroos, folks trying to buy a house don't agonize over their offer so they'll prevail in a late-night multiple-bid war.

In Sydney, most houses are sold by auction. Prospective buyers gather in the house's yard or at a hotel to bid openly against each other. Each week, the newspapers report the carefully watched auction clearance rate — how many of the previous week's auctions resulted in sales.

And the percentage of auctions held throughout Australia goes up in a hot market, not down, because sellers know they will get even more money.

Auctions are big in Ireland and New Zealand, too. Almost 18 per cent of Ireland's for-sale homes go under the hammer each year, said Laurence McCabe, consultant to international property firm Ganly Walters in Dublin.

Home auctions also occur regularly in Britain, Malaysia and Singapore.

So why is it that North Americans associate auctions with foreclosures, estate sales, bad times such as the real estate crash in the late 1980s, and weird or one-of-a-kind properties such as Bill Clinton's boyhood home, which recently went on sale on eBay?

Susan Wachter, professor of Real Estate, Finance and City and Regional Planning at the Wharton School of the University of Pennsylvania, predicts auctions will not become common in North America.

Others say the approach is becoming a more attractive alternative here and elsewhere, and that our association of the word ``auction" with "bad properties" will wane.

Adam Rollins, of the National Association of Estate Agents, the largest property-selling organization in Britain, said in an e-mail that auctions represent only about 3 per cent of sales there. But ``we have had contacts with other (organizations) throughout the world, including China, where auctioneering is growing. One of the main restricting factors at the present day is probably the lack of expertise; not enough people know how to run the process.''

U.S. auctioneers are especially enthusiastic, suggesting that American homeowners who are not in distress or foreclosure are already auctioning in a big way in some parts of the country, particularly in the South and Midwest. But they say it is a hidden trend because no one has ever kept count.

Joe Wilson, of Wilson Auctioneers Inc. in Hot Springs, Ark., said auctions are common in his neck of the woods.

"Real estate is well over 90 per cent of everything we do at auction," he said. "And about 60 to 70 per cent of that is residential, 20- to 30-acre farmland or development. ''

North York bursting with choice

2004-06-28T08:06:00.000-04:00

Prices do not include locker and parking unless indicated.

1. CARRIAGE LANE: 120 Finch Ave. W. at Yonge St. Builder: Berkley Homes. 73 three-storey townhouses. From $379,900 for 1,750 sq. ft. to $449,900 for 2,300 sq. ft. (garage included). Fees: $87 per month, plus heat and hydro. About 65 per cent sold. Construction to start this June. Occupancy: spring 2005. Sales centre: on-site.

2. THE CONTINENTAL: Finch Ave., one block west of Yonge St. Builder: Empire Communities. A 21-storey building with 274 units. From $185,400 for 632 sq. ft. to $346,900 for 1,048 sq. ft. (parking and locker included). Fees: 43 cents per sq. ft. Amenities: 24-hour concierge, indoor pool, whirlpool, saunas, party/exercise/billiards/games rooms, home theatre, library, two guest suites. About 60 per cent sold. Construction to start late summer. Occupancy: late 2005. Sales centre: on-site, 416-228-8886 or http://www.empirecommunities.com.

3. COSMO: East side of Yonge St. south of Sheppard Ave. Builder: Menkes Developments Ltd. Two 23-storey precast concrete and glass buildings with 550 units in total. From $144,490 for 488 sq. ft. to $303,990 for a penthouse with 1,025 sq. ft. (parking included with most units). Fees: 36 cents per sq. ft., plus heat and hydro. Amenities: 24-hour concierge, indoor pool, billiards/exercise/party rooms, saunas, guest suites. Under construction. Occupancy: fall 2005. Sales centre: on-site, 416-730-1600 or http://www.menkes.com.

4. DIA CONDOMINIUMS: 19 Churchill Ave., south of Finch Ave., west of Yonge St. A 16-storey, 143-unit building. From $153,900 for 490 sq. ft. to $958,800 for a penthouse with 2,594 sq. ft. (parking and locker included). Fees: 35 cents per sq. ft., plus hydro. Amenities: 24-hour concierge, indoor garden and fireplace, party/fitness/meditation rooms, aerobics/yoga studio, stretching studio, steam showers, hot tub, guest suite. About 50 per cent sold. Construction to start next January. Occupancy: April, 2006. Sales centre: on-site, 416-225-5500 or http://www.dialife.ca.

5. ELITE CONDOMINIUMS: 5940 Yonge St., north of Finch Ave. Builder: Evergreen Villa. A six-storey building with 75 units. From $180,900 for 571 sq. ft. to $255,900 for 867 sq. ft. (parking and locker included). Fees: 43 cents per sq. ft. Amenities: party room. About 60 per cent sold. Construction to start this summer. Occupancy: summer 2005. Sales centre: by appointment only. Ask for Iris Lustic at 416-488-2875.

6. GRAND TRIOMPHE AT NORTHTOWN: Northtown Way, near Yonge St. and Finch Ave. Builder: Tridel Corp. A 30-storey, 398-unit s building. From $187,000 for 620 sq. ft. to $630,000 for a penthouse with 1,628 sq. ft. (parking and locker included). Fees: 36 cents per sq. ft., plus hydro. Amenities: virtual golf, party/billiards/card/games/aerobics rooms, library, two guest suites, indoor pool with whirlpool, saunas, boardroom, 24-hour concierge. About 90 per cent sold. Under construction. Occupancy: summer 2005. Sales centre: 5385 Yonge St., at Finch Ave., 416-222-3811 or http://www.tridel.com.

7. HILLSIDE AT YORK MILLS: William Carson Cres. at Yonge St. and York Mills Rd. Builder: State Building Group. Three eight-storey buildings with 500 units, on 3.7 hectares of landscaped land. From $248,900 for 753 sq. ft. (parking included) to $925,900 for a penthouse with 2,276 sq. ft. and two parking spaces and a locker. Fees: 42 to 44 cents per sq. ft. Amenities:indoor pool, whirlpool, sauna, workout area,library, putting green, party/billiards/board rooms, two guest suites, 24-hour concierge, gatehouse. Phase 1, one remaining; Phase 2, five remaining; Phase 3, 45 per cent sold. Phases 1 and 2, built and registered. Phase 3, under construction. Occupancy: Phases 1 and 2, immediate. Phase 3, spring 2005. Sales centre: 28 William Carson Cres., 416-733-8086 or http://www.statebuildinggroup.com.

8. THE MAJESTIC PHASE 2: Yonge St. and Parkview Ave. Builder: Conservatory Group. A 24-storey, 285-unit building. From $294,900 for 977 sq. ft. to $329,900 for 1,131 sq. ft. (parking and locker included). Fees: 26.95 cents per sq. ft. Amenities: whirlpool, sauna, exercise/party/billiards/conference rooms, barbecue area, 24-hour concierge, A/V room. Six units left. Built. Occupancy: 60 to 90 days. Sales centre: 4917 Yonge St. at Spring Garden Ave. 416-512-1818 or http://www.conservatorygroup.com.

9. MARQUIS AT NORTHTOWN: McKee Ave. Builder: Tridel Corp. A 16-storey, 120-unit building. From $386,000 for 1,450 sq. ft. to $423,000 for 1,550 sq. ft. (parking and locker included). Fees: 39 cent per sq. ft., plus hydro. Amenities: indoor pool, whirlpool, fitness/steam/party/games/board rooms, guest suite, 24-hour concierge. About 95 per cent sold. Built. Occupancy: immediate. Sales centre: 5385 Yonge St. at Finch Ave., 416-222-3811 or http://www.tridel.com.

10. MERIDIAN RESIDENCES: Northwest corner of Yonge St. and Finch Ave. Builder: Tridel/Hullmark. A 31-storey, 406-unit building. From $175,500 for 535 sq. ft. to $330,000 for 1,070 sq. ft. (parking and locker included). Fees: 42 cents per sq. ft., plus hydro. Amenities: indoor pool, whirlpool, saunas, exercise/billiards/party rooms, virtual golf, 24-hour concierge, guest suites, library, A/V room. Construction to start this summer. Occupancy: spring 2006. Sales centre: 5385 Yonge St. at Finch Ave., 416-222-3811 or http://www.tridel.com.

11. MONACO: 28 Byng Ave., near Yonge St. and Finch Ave. Builder: Edilcan Group and Myraid Group. A 14-storey, 140-unit building. The one remaining unit is $407,000 for a penthouse with 1,410 sq. ft. Fees: 36 cents per sq. ft. Amenities: indoor pool, patio and garden, whirlpool, 24-hour concierge, party room, guest suite. Built and registered. Occupancy: immediate. Sales centre: by appointment. Ask for Winston, 416-494-8822.

12. THE MONET: Byng Ave., east side of Yonge St., south of Finch Ave. Builder: Great Lands Corp. A 28-storey, 311-unit glass tower. From $163,500 for 509 sq. ft. to $430,000 for a penthouse with 1,246 sq. ft. (parking and locker included). Fees: 36 cents per sq. ft. Amenities: exterior water gardens, indoor pool, lap pool, whirlpool, fitness centre, steam/party room/lounge, catering kitchen, dining room, big-screen theatre, 24-hour concierge, virtual golf, business centre. About 96 per cent sold. Under construction. Occupancy: September. Sales centre: 430 Kenneth Ave. Open on weekends or by appointment, 416-226-6638 or http://www.greatlandscorp.com.

13. MONET TOWNHOUSE RESI- DENCES: Kenneth Ave., Yonge St., south of Finch Ave. Builder: Great Lands Corp. 71 condo townhouses. From about $300,000 for about 1,100 sq. ft. (parking included). Fees: unknown. Amenities: lily garden, putting green. Sales opening end of August. Construction not started. Occupancy: late 2005. Pre-registration only, 416-321-6969, http://www.greatlandscorp.com.

14. ONE AVONDALE: Avondale Ave. and Yonge St. Builder: Shane Baghai Group of Companies. A 20-storey building with 96 two-storey lofts. From $277,900 for 815 sq. ft. to $362,900 for 890 sq. ft. (parking and locker included). Fees: 37 cents per sq. ft., plus heat and hydro. Amenities: media room, exercise room, indoor/outdoor rec area, business centre, spa. About 70 per cent sold. Construction not started. Occupancy: September 2005. Sales centre: on-site, 416-222-8281 or http://www.oneavondalelofts.com.

15. PIED A TERRE IN AVONDALE: Avondale Ave. and Yonge St. Builder: Shane Baghai Group of Companies. A six-storey building with 83 units. From $130,000 for 375 sq. ft. to $155,900 for a penthouse with 400 sq. ft. (units fully furnished, locker included). Fees: from $175 per month, plus heat and hydro. Amenities: rooftop terrace, business/fitness centre, concierge, 24-hour security. About 95 per cent sold. Construction not started. Occupancy: September 2005. Sales centre: on-site, 416-222-8281 or http://www.oneavondalelofts.com.

16. PLATINUM TOWERS: Hollywood Ave. and Yonge St. Builder: Conservatory Group. Two 36-storey precast concrete buildings, each with about 340 units. From $159,900 for 586 sq. ft. to $482,400 for a penthouse with 1,573 sq. ft. (locker included, parking included in all but one-bedroom units). Fees: 35 cents per sq. ft. Amenities: indoor pool, two bowling alleys, fitness area, whirlpool, library, aerobics/card/party/conference rooms, saunas, guest suite, home theatre, 24-hour concierge, terraces. Phase 1, 80 per cent sold. Phase II, 30 per cent sold. Phase I, under construction. Occupancy: Phase 1, February, 2005; Phase 2, December, 2005. Sales centre: 4917 Yonge St. at Spring Garden Ave. 416-512-1818 or visit http://www.conservatorygroup.com.

17. PRINCESS PLACE: Olive Ave., one street south of Finch Ave. at Yonge St. Builder: Pemberton Group. Four buildings, ranging from 16 storeys with 176 units to 26 storeys with 288 units. From $175,500 for 590 sq. ft. to $215,500 for 770 sq. ft. (parking and locker included). Fees: 31 to 36 cents per sq. ft. Amenities: party/exercise/card/billiards rooms, gatehouse. About 15 units left. Built. Occupancy: 30 to 90 days. Sales centre: by appointment, 416-250-8181 or http://www.pembertongroup.com.

18. PULSE: Yonge St., south of Finch Ave. Builder: Pemberton Group. Two glass buildings of 26 and 27 storeys with 510 units in total. Prices, fees, amenities: unknown. Sales opening in July. Pre-registration only, 416 250-8181 or http://www.pembertongroup.com.

19. SKYMARK CENTRE AT AVONDALE: Harrison Garden Blvd., north of Hwy. 401. Builder: Tridel/Hullmark. Two buildings, 29 and 31 storeys, with 714 units. From $319,000 for 1,090 sq. ft. to $1.4 million for 3,245 sq. ft. (parking included). Fees: 34 to 38 cents per sq. ft., plus hydro. Amenities: pool, whirlpool, outdoor tennis courts, saunas, guest suites, bowling alley, home theatre, party/billiards/weight/aerobics/card/board rooms, library, golf simulator, spa centre. Over 80 per cent sold. Phase 1, built; Phase 2, under construction. Occupancy: Phase 1, immediate; Phase 2, August/September. Sales centre: on-site, 416-221-6300 or http://www.tridel.com.

20. SONATA: 7 Lorraine Dr., near Yonge St. and Finch Ave. Builder: Ghods Builders Inc. A 26-storey, 303-unit building. From $196,900 for about 572 sq. ft. to $519,900 for two-storey unit with 1,435 sq. ft. (parking included). Fees: 38 cents per sq. ft. Amenities: indoor pool, whirlpool, sauna, party/billiards/exercise rooms. Over 90 per cent sold. Built. Occupancy: immediate. Sales centre: on-site, 416-225-5754 or http://www.ghodsbuilders.com.

21. SPECTRUM: 28 Harrison Garden Blvd., at Yonge St. and Avondale Ave. Builder: Menkes Developments Inc. Two precast concrete and glass towers, 27 and 23 storeys with 500 units. The two remaining units are $299,990 for 1,225 sq. ft. and $349,990 for 1,385 sq. ft. (parking included). Fees: 30 cents per sq. ft., plus heat and hydro. Amenities: whirlpool, 24-hour concierge, guest suites, saunas, party/exercise/billiards rooms. Occupancy: immediate. Sales centre: by appointment only, 416-730-9711 or http://www.menkes.com.

22. SYMPHONY SQUARE: 23 Lorraine Dr., near Yonge St. and Finch Ave. Builder: Ghods Builders Inc. A 21-storey, 317-unit precast concrete and glass building, with terraced top floors. From $240,000 for 850 sq. ft. to $399,000 for 1,100 sq. ft. (parking included). Fees: 32 cents per sq. ft. Amenities: indoor pool, whirlpool, sauna, guest suite, party/billiards/exercise rooms. About 99 per cent sold. Occupancy: immediate. Sales centre: 7 Lorraine Dr., 416-225-5754 or http://www.ghodsbuilders.com.

23. THE TOWNHOUSES OF HOGGS HOLLOW: 45 York Mills Rd. at Yonge St. Building: Landmark Building Group. 79 three-storey condominium townhouses. From $490,000 for 1,790 sq. ft. to $2.395 million for 5,100 sq. ft. (two parking spaces included). Fees: $161 to $197 per month, plus heat and hydro. About 90 per cent sold. Construction to start this summer. Occupancy: March, 2005. Sales centre: by appointment, 416-944-0880 or http://www.townsofhoggshollow.com.

24. ULTIMA AT BROADWAY: West side of Yonge St. at North York Blvd. Builder: Menkes Developments Ltd. Two 36-storey adjoining buildings; 770 units. From $149,990 for 530 sq. ft. to $567,990 for a penthouse with 1,760 sq. ft. (parking included with most units). Fees: 37 cents per sq. ft., plus heat and hydro. Amenities: indoor pool, subway access, saunas, party/exercise/billiards rooms, rooftop terrace, guest suites, golf centre, 24-hour concierge. Under construction. Occupancy: March, 2005. Sales centre: 5075 Yonge St., between Empress Ave. and Hillcrest Ave. 416-730-9722 or http://www.menkes.com.

Toronto ... the Grand City

2004-06-27T22:21:00.000-04:00

Toronto is cosmopolitan, multicultural, vibrant and stylish. But of all the adjectives that describe Toronto, grand is most fitting. It is Canada's largest city by population, home of the nation's largest stock exchange and financial district, location of the world's tallest structure and boasts Canada's widest variety of cultural and recreational attractions.

LOCATION AND DESCRIPTION

Toronto, Ontario's capital city, sits on the northwest shore of Lake Ontario in the southeastern region of the province. The CN Tower, the world's tallest free-standing structure at 1,815 feet high (553 metres), dominates the skyline amidst a cluster of concrete and glass office towers. The observation deck near the top of the tower affords an awesome view of the city that sprawls for 40 kilometres along the lakeshore. Skydome, a 3.2-hectare (8 acre) sports stadium with a retractable roof, lies at the foot of the tower.

CLIMATE

Weather in Toronto is mild for Canada. Although the temperature frequently falls below freezing in winter months (the average January temperature is -4º C), heavy snowfall is uncommon. Summers tend to be hot, sunny and sometimes humid with temperatures averaging 21º C.

ECONOMY

Toronto is the main manufacturing, financial, and communications centre of Canada. The majority of goods manufactured in Canada are produced in the area in and around Toronto. As Ontario's capital city, it is also a centre for both provincial and municipal government.

Toronto is Canada's banking and financial centre. More banks, insurance companies, mining firms, trust and loan companies have headquarters in Toronto than in any other Canadian city. The Toronto Stock Exchange is the fourth largest exchange in North America (by value of shares traded).

PEOPLE

One third of Canada's population is located within 160 kilometres of Toronto and one half of the population of the United States is accessible within a day's drive. Over 80 languages are spoken in the city, and one third of Toronto residents speak at home a language other than English.

The Toronto area is known for it multicultural communities. The largest Chinese community in North America resides in Toronto, as do large populations of Italians, Portuguese and West Indians.

CULTURE AND RECREATION

The city is one of Canada's most active cultural centres. The Toronto Symphony Orchestra is recognized worldwide. There are three major theatres, together with many smaller fringe theatres. The Art Gallery of Ontario and the Royal Ontario Museum have first-rate collections, and there are many privately owned galleries.

Thousands of restaurants, nightclubs, pubs, shopping malls, parks and trails provide entertainment for every taste.

The Toronto Maple Leafs of the National Hockey League play home games in the Air Canada Centre as do the Toronto Raptors of the National Basketball Association. The Toronto Argonauts of the Canadian Football League and the Toronto Blue Jays, an American League baseball team, play in the SkyDome. The Hockey Hall of Fame is in downtown Toronto.

Toronto has three English daily newspapers, the Toronto Star, the Globe and Mail, and the Toronto Sun. The city has about 15 radio stations and 5 television stations.

Sure, you can lock in ...

2004-06-27T21:42:00.000-04:00

for double the rate ... 3 per cent floating becomes 5 to 7 fixed.

Your cost for paying less: uncertainty.

If you're like the people in TV commercials, you may have recently discussed this issue with your spouse: short or long?

Choosing a mortgage term is a decision that says as much about your personality as it does about your economic analysis. It also depends on how close to the edge you are financially.

Just don't try to pretend that it's based on an acute forecast about the future level of interest rates.

Global financial institutions devote massive intellectual and technological resources to predicting rates, but frequently it seems they might as well just flip a coin. It would be unwise to bet your financial comfort on being able to do better than people who have billions of dollars at stake.

Think of Long Term Capital Management, the U.S. hedge fund staffed by Nobel Prize winners that collapsed in 1998 after an errant wager on bond yields.

Closer to home, consider the Conference Board of Canada's confident prediction that short-term interest rates would rise by 2.25 percentage points over the next year. That was in late 2002, when the Bank of Canada overnight rate was 2.75 per cent.

It's two per cent now, though most economists expect an upward move in the second half of this year.

At the Bank of Nova Scotia, whose advertisements play on the short-or-long conundrum, the solution is to split the mortgage principal in two, with part paid by a five-year, fixed-rate mortgage and the rest by a five-year floating-rate mortgage.

Scotiabank's floating rate is 75 basis points — 0.75 of a percentage point — below the prime lending rate. Prime currently is 3.75 per cent, so the floating or adjustable rate is three per cent.

The rate on a five-year fixed-rate mortgage, posted at 6.7 per cent, is negotiable but probably about 5 1/2 per cent.

This means that short-term interest rates would have to almost double before you'd be ahead of the game with the fixed rate.

So why not just go short?

The short answer is that you probably should — if you and your financial situation can tolerate uncertainty.

"Economically speaking, if you think like a machine and if you have a stomach for this kind of risk, taking variable rates has always been the best thing to do," says Benjamin Tal, an economist at CIBC World Markets.

"Of course, can you sleep at night? You have to absorb fluctuations in interest rates."

The window for low rates is closing and "many, many people have been borrowing like there's no tomorrow," Tal observes.

In addition to increasing debt-service costs, rising interest rates would have other effects — for instance, you might lose your job. "Higher interest rates are designed to slow down the economy," Tal said.

"To the extent that people have been borrowing so much — and we have to remember that the current expansion in consumer spending is the most leveraged in recent history — this also means that as a society we became more sensitive to the risk of interest spikes and to the risk of any other economic shock."

At the same time, an analysis by Tal and colleague Avery Shenfeld suggests that — because consumers are so deeply indebted — central banks will need to impose smaller rate increases than in the past to cool the economy.

"The likelihood that the Bank of Canada will raise interest rates by 200 basis points over the next two or three years probably is not very high," said Tal. Still, the key issue is your margin of safety.

"One has to make sure that when interest rates start rising, even by 100 basis points — and the impact will be immediate — you have to be able to absorb it."

Tom Caldwell, chairman of Caldwell Securities Ltd., says he paid off his own mortgage before floating-rate mortgages became common but did well by always taking one-year terms.

"If I want to lock in a rate, I am asking the bank to take that interest-rate risk and, in so doing, they charge to take that risk," Caldwell observed.

"I figured I would take on that risk, and in the 20-plus years I had a mortgage, I think I was ahead of the curve every year but one or two."

His strategy worked during a "long-term secular decline in interest rates" while rates now are at four-decade lows, he added, but "if you take the risk, go to adjustable, you'll probably work out all right."

10 biggest home-buying mistakes

2004-06-27T20:25:00.000-04:00

Not doing your homework. Knowledge is power. Tremendous information is available on the Internet. There is no excuse for entering the market unprepared.

Trying to make a shrewd investment. People need to buy based on what fits their family. Don't try to guess what will happen to the market.

Choosing a poor location. Even within a neighborhood, location matters. Is it on the busiest street? Is there a shopping center out the back window?

Overlooking an inferior floor plan for an attractive exterior. It may have gorgeous curb appeal, but you don't live on the lawn. No matter how attractive the exterior, you need a livable home.

Overlooking how the house will function for your family. How do you really live? Do you really need a formal dining room and living room? Would you be happier with an eat-in kitchen and a great room and a den to use as a home office? The house only needs to fit one family -- yours.

Not having the home properly inspected in a resale. This is not the time for surprises. Get an inspection from a qualified, respected professional.

Not checking out the builder's reputation on a new home. Talk to three or four people who live in the builder's homes and see what they have to say. If one builder did all the houses in a neighborhood, talk to the residents and get their input. (It's also a great way to see what your neighbors would be like.)

Not getting what you want because you're impatient. This is a big decision. You need time. Impatient decisions can lead to mistakes.

Waiting for a better market and interest rates. Warren Buffett says the rear view mirror is always clearer than the windshield.

Not buying at all. If you can afford a home and you don't make that purchase, you'll lose the benefit of tax deductions, building home equity and the appreciation in value.

Toronto Real Estate Board

2004-06-27T19:59:00.000-04:00

The Toronto Real Estate Board welcomes incoming President Ron Abraham and the 2004/2005 Board of Directors, who will begin their term on June 23rd.

Mr. Abraham has been a licensed REALTOR for more than 35 years and is the Broker/Owner of Prudential Lorimer Realty. He is also a former President of the Cornwall and District Real Estate Board. Mr. Abraham has served on TREB's Board of Directors for the past three years and he is a widely recognized real estate instructor.

During his term of office, Mr. Abraham intends to build on the achievements of recent years by providing REALTORs with functionality that will enhance the facilitation of transactions.

"Since our new MLS system was launched two years ago, we have taken steps to tailor it to our Members' needs. One very significant stride we will make this year will allow Members to digitally attach important documents, like surveys and floor plans, to their listings. This will speed communication between Members, thereby expediting the process for consumers," he says.

The President also hopes to expand technology efforts by offering online voting in the next TREB election.

"This organization exists to serve the needs of its Members and it is therefore, absolutely critical for Members to ensure their voice is heard. Online voting can provide this opportunity more effectively and in the meantime, I encourage Members to get involved in as many ways as possible this year."

Mr. Abraham also intends to continue efforts to help consumers recognize the value of professional real estate services and home ownership.

"We recently raised funds to build a home as part of Habitat for Humanity's summer blitz build. I hope that we can encourage more families to become homeowners and in doing so, retain the services of a Realtor."

The Members elected to serve on this year's Board of Directors are as follows:

Ron Abraham, President
John W. Meehan, President-Elect
Cynthia Lai, Past President
Donald Bentely, Director-at-Large
C. Anne Briscoe, Director-at-Large
Dennis Hastings, Director-at-Large
Richard Silver, Director-at-Large
Pamela Prescott, North Firm Director
Dorothy Mason, North Non-Firm Director
David Pearce, East Firm Director
Michael Manley, East Non-Firm Director
Ken McLachlan, Central Firm Director
Maureen O'Neill, Central Non-Firm Director
Bhupinder (Pal) Singh Randhawa, West Firm Director
Tom Lebour, West Non-Firm Director
Joe DeLeo, Chair, Executive Council Commercial Division

The 2004/2005 Board of Directors will serve until June 2005.