Tuesday April 30/2009

 

Recently the ups' and downs' of the Real Estate market has un-nerved many homeowners and those that rely on the re-sale housing industry for a source of income.  Although we here in Toronto have not felt the devastating effects of a 'free-falling' market as seen in many U.S. cities; it's important to understand that the housing market is just that- a free market system- of which is subject to the same supply & demand issues any other trading platform may encounter.  Our government (Provincial/Federal), and the Bank of Canada have taken appropriate measures to ensure that the housing market does not collapse or nosedive.  Realtors' are now seeing the effects of these actions (rock-bottom interest rates, home improvement incentives, first time buyer tax savings & more...), with increased activity and an overall stabilization of the local market.  Though it's really too early to tell for certain, and we don't know what tomorrow holds; it is comforting to know that these branches of government understands the absolute importance of the Canadian Real Estate Market- not only from the high number of jobs created when homes' are purchased, but also for the psychological benefits of having a stable RE Market for the Canadian population  (Even with tighter financial regulations, Canadians have a higher percentage of homeowners than the US).  The biggest issue that I personally have, is the fact that the City of Toronto does not seem to be on the same page as the Provincial or Federal governments.  In fact the Toronto Real Estate Board has undertaken a number of polls, 3rd party studies, and lobbying efforts aimed directly at the issue of the Toronto Land Transfer Tax.  (look for the TREB News release link in the 'Real Estate News & Information' page)  Though the city coffers desperately need the money, it would seem that homeowners are unfairly baring the brunt of this issue- all during poor economic times.  

 

I recommend that all my clients write the mayors' office voicing their displeasure with the Toronto LTT & I would recommend that you do as well.

 

As always, I'm interested in hearing your point of view.  Feel free to email me any comments you may have regarding the  opinions I express through this public forum. 

 

 

Mayor Miller's Contact Information:

 

E-mail: mayor_miller@toronto.ca 
Mail:  Toronto City Hall, 2nd Floor, 100 Queen St. West, Toronto ON M5H 2N2
Phone: 416-397-CITY (2489)  Fax:  416-696-3687