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Hombuyer incentives web

Federal government releases details on homebuyer incentive programs unveiled in Budget 2019

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Federal government releases details on homebuyer incentive programs unveiled in Budget 2019

 

Hombuyer incentives web

The federal government has released the details of the first-time homebuyer incentive programs promised in March in the 2019 budget.

Beginning Sept. 2, 2019, the First-Time Home Buyer Incentive will help middle class families take their first steps towards homeownership by reducing monthly mortgage payments required for first-time homebuyers, without increasing the amount they need to save for a down payment. This program complements other measures taken in Budget 2019 to support first time homebuyers with their down payment such as increased RRSP withdrawal limit from $25,000 to $30,000 The government has allocated $1.25 billion over three years for the program. The incentive will be available to first-time homebuyers with qualified annual household incomes up to $120,000.

Budget 2019 also previewed the Shared Equity Mortgage Provider Fund, a five-year, $100-million lending fund to assist providers of shared equity mortgages to help eligible Canadians achieve affordable homeownership. This will support an alternative homeownership model targeted at first-time homebuyers, help attract new providers of shared equity mortgages and encourage additional housing supply. The fund will launch on July 31, 2019, and will be administered by CMHC.

 

ALSO READ: Budget 2019 comes up short

ALSO READ: How the Liberals missed the boat on affordable housing

“Through the National Housing Strategy, more middle-class Canadians – and people working hard to join it – will find safe, accessible and affordable homes,” says Jean-Yves Duclos, Minister of Families, Children and Social Development and Minister Responsible for CMHC.“Our proposed measures will reduce the monthly mortgage for your first home by up to $286. This will mean more money in the pockets of Canadians and will help up to an estimated 100,000 families across Canada.”

First-Time Homebuyer Incentive facts

  • Canada’s First-Time Home Buyer Incentive will help qualified first-time homebuyers purchase their first home as the incentive reduces their monthly mortgage payment, without increasing the amount that they must save for a down payment. The program will launch on Sept. 2, 2019, with the first closing on Nov. 1, 2019.
  • The incentive will allow eligible first-time homebuyers who have the minimum down payment for an insured mortgage with CMHC, Genworth or Canada Guaranty, to apply to finance a portion of their home purchase through a form of shared equity mortgage with the Government of Canada.
  • For the purchase of an existing home, an incentive amount of five per cent may be available. For the purchase of a newly constructed home, an incentive amount of five or 10 per cent may be available.
  • Doubling the incentive for purchasers of new homes encourages new housing supply.
  • No on-going repayments are required, the incentive is not interest bearing and the borrower can repay the incentive at any time without a pre-payment penalty.
  • The buyer must repay the incentive after 25 years, or if the property is sold.

 

These details confirm that the First-Time Home Buyer Incentive program will be an ownership stake in the property of qualified homebuyers, whereby the government will participate in appreciation of the property and – in the case of the property devaluing – depreciation as well.

“The key issue remains qualifying, and this program diminishes the amount that a first-time homebuyer can qualify for by about 15 to 20 per cent,” says James Laird, co-founder of Ratehub Inc. and president of CanWise Financial. “This is because the program limits the mortgage amount to four times the households’ income, whereas those not participating in the program can actually qualify for a mortgage that is 4.5 to 4.7 times their income. Household income for qualified homebuyers is also capped at $120,000.”

Those who would be attracted to the program would be Canadians who are trying to purchase at their maximum qualification, Laird adds. “However, because the program diminishes how much they can qualify for, it doesn’t serve the needs of the group it is targeted at. Canadians can get a larger loan by not participating in the program.”

 

Maximum affordability calculations

A household with $100,000 of income, putting a minimum down payment of five per cent, can currently qualify for a home valued at $479,888 with a $2,265 monthly mortgage payment.

The maximum purchase price for the same household, if they participate in the First-Time Home Buyer Incentive program, drops to $404,858 with a five-per-cent minimum down payment. The total mortgage amount would then be $400,000 (or four times their household income).

Source: Ratehub.ca 

 

Mortgage payment calculations

If the household took a five-pre-cent incentive from the government (for resales), their mortgage amount goes to $378,947, and monthly payment is now $1,810.
If the household took a 10-per-cent incentive from the government (for new homes) their mortgage amount goes to $357,894 and  monthly payment is now $1,710.

Source: Ratehub.ca 

For more details on the First-Time Home Buyer Incentive program, visit here.

 

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Father's Day featured

Mouth-watering gift ideas for Father’s Day

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Mouth-watering gift ideas for Father’s Day

Let’s face it… dads can be hard to buy for. For Father’s Day this year, I’ve looked high and low for some of the most unique and fun ideas that will delight dad. Here are my top picks for your Father of the Year.

Grilling galore

Now what dad doesn’t like to grill? A great gift is the gift of grilling! I found these amazing grilling accessories at Lowe’s and RONA from Broil King and I know they are going to delight any dad on your list! These tongs, chicken roaster pan, spice rubs and mini thermometers make the perfect grilling gift this year!

Wine-not?

I love to bring a good quality wine to family gatherings, and Father’s Day is no exception. I recently discovered Jackson Family Wines, based in California and specializing in producing quality wines from family-owned vineyards. For a gathering such as Father’s Day, I like to go with either an essential, like Kendall-Jackson Vintner’s Reserve Cabernet Sauvignon , which pairs perfectly with meats on the grill, or for hotter days, I like to pull out their La Crema Sonoma Coast Chardonnay, which is perfect when chilled.

Moments that matter

I am a total daddy’s girl, so when I have the opportunity, I just love to give my dad something meaningful and special. FUJIFILM Printlife has an entire line of high-quality photo-finishing products to customize and preserve your favourite memories – and my dad and I have a lot! A great idea is to compile all your favourite “dad and me” photos and print them into a photobook or print your favourite memory on a canvas or on a mug for your dad to enjoy!

Only the eScentials

I am a huge fan of plant-based products that work. A great gift for Dad is an eScential Wellness’ bundle of products that are perfect for any gardeners out there. They have a Gardener’s Hand Salve that is made with shea butter, and a blend of essential oils and is 100 per cent organic. I love, love, love that these products are toxin- and cruelty-free. Bundle it with a few gardening tools and you have the perfect gift for the dad who likes to putter in the yard.

Tech talk

Style meets sporty in Samsung’s latest smartwatch innovation, the Galaxy Watch Active, bringing dads who want to live actively a device that is as smart as it is stylish. Pair it with your favourite Android or iOS smartphone so dad can manually engage in more than 39 activities, set daily goals and monitor his progress with real-time coaching, indoor/outdoor activity tracking and popular third-party apps, complete with a light and versatile design.

 

Decor for dad

For those dads with a man cave, add some fun masculinity with a camo or 4/20 pillow, which will surely be a great conversation starter for his friends. Even if he is messy, the handcrafted Canadian-made pillow is fully washable (no need to remove a cover) and is also hypoallergenic and has dust mite control. Fun and function come together!

Jo-Alcorn-Bio_Shot_jan19

Jo Alcorn is founder and design specialist at Alcorn Home.

alcornhome.com

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Peter Gilgan SickKids Hospital

Peter Gilgan Foundation donates $100 million – largest single gift ever to SickKids Hospital

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Peter Gilgan Foundation donates $100 million – largest single gift ever to SickKids Hospital

Peter Gilgan SickKids Hospital

The Peter Gilgan Foundation has donated an unprecedented gift of $100 million to The Hospital for Sick Children (SickKids) – the largest single gift ever to SickKids. Together with donations made to other hospitals and health care organizations to date, this makes Peter Gilgan and the Peter Gilgan Foundation the largest benefactor to health care in Canada.

This $100-million gift will support the SickKids VS Limits campaign, a key element of which involves redevelopment of the SickKids campus, including building a new patient care tower on University Avenue, which will be named the Peter Gilgan Family Patient Care Tower.

Gilgan is founder and CEO of Mattamy Homes, the largest privately owned homebuilder in North America.

Breakthrough research

“We are extraordinarily grateful to Peter Gilgan and the Peter Gilgan Foundation for their ongoing philanthropic leadership and dedication to SickKids,” says Dr. Ronald Cohn, president and CEO of SickKids. “Our vision for the children’s hospital of the future includes the construction of a state-of-the-art building, matching our world-class care with family-friendly spaces for patients and their loved ones. This gift is unparalleled and will help ensure our vision becomes reality. In conjunction with a commitment from the government of Ontario, and support from other donors, this gift will help SickKids continue to advance children’s health through exemplary clinical care, breakthrough research, and teaching excellence both at home and around the world.”

Peter Gilgan SickKids

“To continue to have the opportunity to support SickKids is an honour and is also very humbling,” says Gilgan. “I’m in a privileged position to be able to make this gift, and I know it’s going to be used to help children, today and in the future, live longer and healthier lives.”

The commitment from the Peter Gilgan Foundation to ensuring the SickKids campus is a cutting-edge world leader began in 2012 with a transformational gift of $40 million to support the construction of the SickKids Centre for Research and Learning. The Peter Gilgan Centre for Research and Learning brings together 2,000 research staff – who previously worked in six different buildings – under one roof to enhance interactions between clinical and research colleagues. The integration of research with patient care and learning are among the strengths of SickKids. This most recent donation brings the cumulative giving from the Peter Gilgan Foundation to SickKids to more than $140 million.

Peter Gilgan SickKids

Peter Gilgan Family Patient Care Tower

SickKids will break ground in October 2019 on the first of two buildings. The first building, the Patient Support Centre, will house the SickKids Learning Institute with 1,200 world-class trainees, a Simulation Centre for hands-on teaching, and provide 6,000 professionals, management and support staff with up-to-date spaces to do their best work. The second building, the Peter Gilgan Family Patient Care Tower, will house critical care and inpatient units. It will reflect the very latest in medical design: Private one-family rooms, dedicated mental-health beds, a state-of-the-art blood and marrow/cellular transplant therapy unit, specialty operating theatres, advanced diagnostic imaging facilities, and a vastly expanded emergency department.

RELATED READING

Mattamy’s Gilgan honours roots and parents with $10M donation to St. Joseph’s

Peter E. Gilgan

 

 

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Securing a mortgage

Looking to secure a mortgage? Now is the best time to negotiate

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Looking to secure a mortgage? Now is the best time to negotiate

 

Securing a mortgage

The Bank of Canada again held its influential overnight lending rate today at 1.75 per cent, signalling the continuation of a stable interest rate environment – and underlining that now may be the best time to negotiate a mortgage.

Why? We’ll get to that in a second.

First, the BoC held the rate for the fifth straight announcement – it’s been at 1.75 since October 2018 – citing growing evidence that the Canadian economic slowdown in late 2018 and early 2019 is now being followed by a pickup in the second quarter this year. Housing market indicators point to a more stable national market, albeit with continued weakness in some regions.

In addition, the Bank says, continued strong job growth suggests that businesses see the weakness in the past two quarters as temporary, with recent data supporting an increase in both consumer spending and exports in the second quarter, and it appears that overall growth in business investment has firmed.

“The Bank’s language indicates that things will need to change to the positive or negative in order to move from their current rate strategy,” says James Laird, co-founder of Ratehub Inc. and president of CanWise Financial. “Therefore, Canadians can expect a stable rate environment for the foreseeable future.

“This announcement should bring peace of mind to consumers currently in a variable rate mortgage because it is unlikely that the prime rate will increase anytime soon,” he adds. “Going forward, a decrease seems as likely as an increase, which is also good news if you’re in a variable rate.”

Mortgage seasonality

Canadians may also be able to take advantage of seasonality in the mortgage industry to score the best deal on their lending rate. Just like spring is known as traditionally the busy season in real estate, it’s also a very good time of year to secure a mortgage.

Securing a mortgage to buy a condo in Toronto

Ratehub.ca, for example, analyzed historical rate data from 2016 to 2019 to identify the best times of year for Canadians to lock in to a rate, or refinance an existing mortgage.

According to Ratehub.ca’s historical data on the best five-year fixed and variable rates, Canadians have access to the lowest rates during the spring homebuying season – between April and July – every year. The second most competitive time period for mortgage rates occurs between October and December.

A similar story played out in 2017 when the average best five-year fixed rate fell to 2.4 per cent from 3.32 per cent, and the average variable rate dropped from 2.09 per cent to 2.04 per cent.

ALSO READ: Ontario releases plan to address housing affordability and supply issues

ALSO READ: Variable vs fixed mortgages? It’s complicated

A year later, 2018 proved that while a rising rate environment can override the benefits any spring mortgage deals, mortgage holders still benefited from certain promos. The average best five-year fixed rate increased from 2.94 per cent from January to March to 3.07 per cent, but the average best variable rate fell from 2.17 per cent to 1.96 per cent. Lenders actually slashed fixed rates over that period.

Spring promotions

“Lenders and mortgage providers come out with their strongest promotions during the busy spring and summer homebuying season,” Laird says. “Regardless of the interest rate environment, springtime is when lenders are willing to make the smallest margins in order to win business.”

During this period, many lenders will choose at least one rate and term to price very aggressively in order to attract attention to all of their mortgage products. Lenders also come out with special promotion offers to incentivize borrowers to lock in a rate. Consumers can expect to see cash-back deals to help with closing costs and refinance fees. Some lenders offer extra-long rate holds during this period. For example, BMO is currently offering a 130-day rate hold. The “30-day quick close rate” is another promotion many lenders opt for – this is a discounted rate that applies if your mortgage is closing in the next 30 to 45 days.

It’s crucial that lenders remain competitive through the spring market, Ratehub says, to hit their annual mortgage volume targets. In most cases, lenders will hit their targets during the second quarter (April to June) and, as a result, tend to be less competitive with promotions during the latter half of the year.

Consumers will typically see rates fall again in October, in the lead up to Oct. 31, when all of Canada’s major banks end their fiscal year. Lenders that want to get an early start on their targets for the following year often come out with promotions during this time period.

Bank results

Further benefiting the mortgage landscape for Canadians is that Canada’s big banks this week are reporting lower second quarter profits than expected.

“The poor results reported by Canada’s big banks in Q2 2019 could be good news for mortgage consumers,” Laird told Homes Publishing. “In light of these results, it would be unsurprising if the banks aggressively try to win mortgage business by offering lower rates to consumers or promotions to attract more business in the latter half of 2019.”

RELATED READING

Ontario releases plan to address housing affordability and supply issues

Three important questions facing the GTA housing market this year

 

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HanStone Canada Storm interior

HanStone Canada unveils nature-inspired collection of premium quartz colours in its Unearthed Collection

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HanStone Canada unveils nature-inspired collection of premium quartz colours in its Unearthed Collection

 

HanStone Canada Storm interior
HanStone Canada’s Storm colour, used in this kitchen island and backsplash, features marbling windswept across a rich, earthy grey base for striking dimension and depth

HanStone Canada has revealed a trio of new colours and an exclusive Riverwashed finish that combine sophisticated style and remarkable design with the natural beauty of nature’s offerings.

The Unearthed Collection – in Storm, Terra and Coast – combines earthly elements such as texture and windswept veining with warm, tonal shades of pearl, grey and terra cotta, to create unique and distinctive quartz designs.

“My main source of inspiration behind this collection was simply nature itself,” says Michael Talbot, HanStone product design manager. “While designing this collection, I wanted to illustrate the beauty of nature and its unique characteristics and imperfections. With its rich texture and earthly tones, this collection captures the essence of our beautiful planet and allows us to embrace those outdoor elements from the comfort of indoors.”

Comprising three new colours and the distinct Riverwashed finish, the Unearthed Collection is a remarkable display of premium quartz that captures the natural beauty of nature through texture, colour and design.

 

Terra

Extracted from the earth, Terra seeks to echo the warmth of the land. A deep, warm tone with subtle movement, a true study of the planet’s beauty
Extracted from the earth, Terra seeks to echo the warmth of the land with a deep, warm tone with subtle movement.

 

Coast 

HanStone Canada's Coast colour from its Unearthed Collection
Coast’s neutral, sandy background is dappled with soft pearl veining for a sophisticated, casual look that brings calmness and harmony to any space.

 

Riverwashed finish

Capturing the essence of our planet through touch, this collection features our new Riverwashed finish, delivering a distinctive, natural texture.

 

About HanStone Canada

HanStone Canada, a division of Hyundai L&C Canada, is the country’s premier quartz manufacturer and Ontario’s only quartz manufacturer. HanStone Canada’s state-of-the-art facility, located in London, Ont., produces material for all of North America. HanStone quartz is known for its superior quality and exceptional design, with more than 45 unique colours, patterns and textures to draw inspiration from.

For design inspiration, product information, and showroom locations across Canada, visit hanstone.ca or on Twitter and Facebook @HanStoneCA.

 

 

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OD item

Scandinavian Collection wallpaper products from Suzanne Brown and Associates

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Scandinavian Collection wallpaper products from Suzanne Brown and Associates

OD item

Suzanne Brown and Associates of Toronto, supplier of fine wallcoverings, fabrics, trim and hardware to the design trade, has some exciting new offerings – the Scandinavian Collection.

A unique opportunity to decorate walls with a piece of classic Scandinavian design, including Stig Lindberg’s imaginative textile pattern, which was first displayed at an exhibition by Nordic company NK in 1947.

The collection features patterns from five different designer icons within architecture and pattern design during the 1940s to 1960s. All patterns in the collection have a natural, colourful and imaginative touch that make them a perfect complement to the understated, clean Scandinavian interior design. Classic and contemporary have never been more to the point.

OD item 2

An exciting pattern of leaves, so airy you can feel the sky appear beyond the leaves. The pattern is based on Viola Grasten’s original textile sketches that he made in 1964. A timeless design, this wallpaper carefully preserves the spontaneous and sketchy expression that was so important to Grasten. Available in four colourways.

OD item 3

An amazing, blooming pattern with Lisbet jobs’ characteristic style. The pattern was made in the 1950s and the fresh, green plants keep a sense of summer in the room all year round.

For more information, visit the website.

 

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Bob Finnigan

CHBA names Bob Finnigan Member of the Year

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CHBA names Bob Finnigan Member of the Year

Bob Finnigan
Bob Finnigan

The Canadian Home Builders’ Association (CHBA) has named Bob Finnigan, partner at Herity (Heathwood Homes), CHBA Past President, member of BILD GTA and long-time building industry executive, as its Member of the Year.

CHBA presented the award, one of its annual Association Leadership Awards, during its 76th National Conference in Niagara Falls on May 10. The prestigious awards showcase the contributions, qualities and accomplishments of leaders within the association.

Association Leadership Awards

  • Member of the Year, Bob Finnigan, recognized for his many years of dedication and leadership at the national level of CHBA.
  • Home Builders’ Association of the Year, Saskatoon & Region HBA for its record of membership development and services, internal leadership and governance, and the effectiveness of its government advocacy and communication activities.
  • Executive Officer of the Year, Guy Huntingford from BILD Calgary Region, for exemplary leadership during his time at the association.
  • Community Service Award, CHBA Edmonton Region, for new and ongoing charitable activities and positive impact on the community.

 

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Great Gulf, Homebuilder of the Year, Lowrise

GTA’s top homebuilders and projects honoured at 39th Annual BILD Awards

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GTA’s top homebuilders and projects honoured at 39th Annual BILD Awards

Great Gulf, BILD Awards Homebuilder of the Year, Lowrise
Great Gulf, BILD Awards Homebuilder of the Year, Lowrise

Great Gulf and Tridel were among the big winners at the recent 39th Annual BILD Awards, as the Building Industry and Land Development Association (BILD) recognized the top builders and developers, projects and marketing initiatives in the industry.

Builders of the Year

Great Gulf earned the distinction of Lowrise Builder of the Year, while Tridel won for Mid/Highrise Builder of the Year.

Tridel, BILD Awards Homebuilder of the Year, Highrise
Tridel, BILD Awards Homebuilder of the Year, Highrise

The awards honour achievements in planning, design, sales, marketing and city building in 40 categories. A group of 41 expert judges from across North America determined the winners from 850 submitted entries.

Lifetime Achievement Award

Edward Sorbara, principal with the Sorbara Group of Companies, was presented with BILD’s Lifetime Achievement Award, recognizing his 52 years of leadership in the building and land development industry.

Edward Sorbara, right, principal with the Sorbara Group of Companies, is presented with BILD’s Lifetime Achievement Award by BILD President David Wilkes
Edward Sorbara, right, principal with the Sorbara Group of Companies, is presented with BILD’s Lifetime Achievement Award by BILD President David Wilkes

Stephen Dupuis Humanitarian Award

Tridel also took home the Stephen Dupuis Humanitarian Award for the company’s unique approach to corporate social responsibility. The founding families and every Tridel employee takes pride in the fact that the Tridel brand is synonymous with integrity, quality, customer service, innovation and sustainability.

People’s Choice Award

The coveted People’s Choice Award, determined by members of the public through online voting, was awarded to Aoyuan International for its M2M development. Aoyuan’s vision for M2M is a condominium community that supports and encourages a healthy urban lifestyle, while providing living options that make it easy for families to raise children in the city. The master plan includes more than 1,500 new residences, a community centre and a daycare.

“The People’s Choice Award is a unique honour because it is the public that decides the winner,” says BILD President and CEO Dave Wilkes. “Over 5,200 people cast votes for projects that competed for the best in city building. These projects demonstrate how the industry is providing a wide range of housing options for home buyers in GTA.”

Best New Planned Community

Lakeview Community Partners Ltd. won Best New Planned Community for Lakeview Village. Lakeview Village reconnects the community through a diverse mix of build forms for different uses, including residential, cultural, institutional, commercial and retail. Lakeview will repurpose brownfield land that was once home to the Ontario Power Generation Station in Mississauga.

Lowrise Project of the Year

The Lowrise Project of the Year went to Treasure Hill Home Corp. for its Charbonnel development near De La Salle College in Toronto, while Urban Capital Property Group, M3 Condos, in Mississauga was selected as the Mid/Highrise Project of the Year.

Best Highrise Building Design

Best Highrise Building Design went to Lanterra Developments for 50 Scollard. The project boasts contemporary architecture from Norman Foster and interiors by Toronto-based Italian designer, Alessandro Munge, and an incomparable location in the heart of Yorkville.

Best Midrise Building Design

Alterra Group of Companies and Graywood Developments Ltd. won the award for Best Midrise Building Design for Wonder Condos. Wonder is one of the last of its kind in Toronto, a landmark address that will house heritage lofts, condos and townhouses. Wonder is built on the site of the former Weston Bakery on Eastern Avenue.

Best Overall Marketing Campaign

The award for Best Overall Marketing Campaign went to the team of Empire Communities and Pureblink for their campaign for Empire Phoenix.

For a complete list of award recipients, visit bildawards.com.

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BILD names finalists for 39th annual BILD Awards

GTA’s top builders and projects honoured at annual BILD Awards

 

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Ontario housing plan

Ontario releases plan to address housing affordability and supply issues

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Ontario releases plan to address housing affordability and supply issues

Ontario housing plan

The Ontario government has released its plan to address housing supply and affordability, and homebuilders couldn’t be happier.

Steve Clark, minister of municipal affairs and housing today revealed More Homes, More Choice: Ontario’s Housing Supply Action Plan, a full-spectrum suite of legislative changes to increase the supply of housing that is affordable and provide families with more meaningful choices on where to live, work and raise their families.

“We’ve heard loud and clear from families across Ontario that finding housing that is affordable takes too long and costs too much,” says Clark. “After years of neglect by the former government, there is now a housing crisis in Ontario and the dream of ownership is out of reach for too many. Our plan will make it easier to build the right type of homes in the right places, giving Ontarians and their families more flexibility when looking for a home they can afford.”

GTA homebuilders, through the Building Industry and Land Development Association (BILD), applaud the action, calling it an important step to address the barriers to new homeownership and rental housing.

“The challenge is a basic one,” says Dave Wilkes, BILD president and CEO. “Previous government policies and procedures have created structural barriers to the efficient operation of the housing market which has resulted in a generational shortfall of housing. Today, the Ford government has signaled its intent to address this problem to ensure that the right type of housing is built at the right price across the Greater Toronto Area.”

Clark says the plan will require a province-wide effort that includes municipalities, non-profits and private industry and will also be a comprehensive all-of-government initiative that will include legislative amendments to 13 government Acts.

The new measures proposed in More Homes, More Choicewould streamline the overly complex development approvals process to remove unnecessary duplication and barriers, making costs and timelines more predictable. The plan would also streamline and simplify the process for creating new rental housing options.

As part of the action plan, our government is also launching A Place to Grow: Growth Plan for the Greater Golden Horseshoe,to address the needs of the region’s growing population, diversity and local priorities.

“Whether you are a first-time homebuyer, a family looking for a larger apartment to rent or a senior hoping to downsize, our action plan puts people first,” says Clark. “Combined with our government’s investment in renewed community housing, our Housing Supply Action Plan is sending a clear message that no matter what your situation you can count on our government to always put people first.”

Highlights of the plan

Local Planning Appeal Tribunal (LPAT):Changes will be introduced to allow LPAT to make decisions based on the best planning outcome and remove existing restrictions around the introduction of evidence. The number of adjudicators will be increased and case management powers introduced to acknowledge the need to address the backlog/housing supply.

Development Charges: To increase predictability for the industry and consumers around development charges, changes will allow for rates to be locked in at the time of complete site plan or zoning application. There are also provisions that defer DCs for rental buildings until occupancy.

Parkland/S37/Development Charges: A “community benefits authority” is to be introduced that both acknowledges the cumulative effect that taxes, fees and charges have on housing affordability and allows for more certainty and predictability by eliminating “planning by negotiation.” This new benefit will roll together DCs and will have a cap based on property value by municipality.

Red Tape Reductions:To reduce red tape and help streamline approvals, among other actions:

  • Direction will be provided on how municipalities can use the Ontario Heritage Actwhile allowing for compatible changes and creating consistent appeals.
  • The role of Conservation Authorities is to be reviewed to make sure that they go back to their core mandate, which will reduce overlap in approvals and reduce costs by streamlining roles.
  • The Environmental Assessment Actwill be amended to exempt low-risk actions and remove duplications.

“It just takes too long to build new housing in the GTA,” says Wilkes. “This restricts supply and negatively impacts affordability. When you then layer on a disproportionate share of the cost for new infrastructure, parks, and municipal services to new homes, you now have the recipe for what we are currently experiencing.”

The complex regulatory environment, government fees, taxes and charges add as much as 25 per cent to the cost of an average new home in the region, BILD says.

The roposed LPAT changes will have a beneficial impact on supply, BILD says. Currently, there are as many as 1,000 cases, representing almost 100,000 housing units across Ontario waiting for consideration at the LPAT.

The overall focus on reducing red tape and speeding approvals through modifications to the Provincial Policy Statement, The Ontario Heritage Act, The Environmental Assessment Act and many others will enable the industry to unlock housing supply.

“We need more of all types of housing across the GTA – homes for purchase, for rent and social housing,” says Wilkes. “We look forward to working with all levels of government to address housing supply and affordability as the consultation on the proposed changes continues.”

RELATED READING

GTA new home market shows encouraging signs in March

Development in the GTA

GTA builders launch public awareness campaign

 

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CL June 19 News BILD

GTA new home market shows encouraging signs in March

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GTA new home market shows encouraging signs in March

CL June 19 News BILD

The GTA new home market continued to show some encouraging signs in March, according to the Building Industry and Land Development Association (BILD).

Total new home sales, with 2,314 new homes sold, were up 20 per cent from last year, though still 36 per cent below the 10-year average, according to Altus Group, BILD’s official source for new home market intelligence. There were 886 new single-family homes sold in March, including detached, linked and semi-detached houses and townhouses, up from last March’s low of 295, but still 38 per cent below the 10-year average. This is the fifth month in a row that new single-family home sales have increased year-over-year.Sales of new condominium units in low-, medium- and highrise buildings, stacked townhouses and loft units, with 1,428 units sold, were down 13 per cent from March 2018 and 34 per cent below the 10-year average.

Broader availability

“The desire to own a new single-family home never went away, but many would-be buyers have been taking a wait-and-see approach in the past two years,” says Patricia Arsenault, Altus Group’s executive vice-president, Data Solutions. “While the affordability of single-family homes in general remains a challenge, the broader range of product at more favourable price points that is starting to emerge has attracted some of these buyers into the market.”

The benchmark prices of both single-family homes and condominium apartments moderated slightly compared to the previous month. The benchmark price of new single-family homes was $1.12 million, down 7.6 per cent over the last 12 months, while the benchmark price of new condominium units was $780,839, up 5.1 per cent over the last 12 months.

Affordability still an issue

“Despite the recent slight moderation in new home prices, affordability is an issue for many people in the GTA, as we have learned from our Building Answers campaign, which encourages residents to ask questions about development,” says David Wilkes, BILD president and CEO. “Affordability will continue to be a challenge until structural remedies are introduced to fix the GTA’s housing supply shortage. It is clear that we all – industry, government and public – need to look for ways to build more housing faster and to mitigate unnecessary delays and costs on new housing.”

Remaining inventory in March included 11,744 condominium units and 5,054 single-family homes. Remaining inventory includes units in preconstruction projects, in projects currently under construction and in completed buildings.

 

March new home sales by municipality

Condominium units Single-family homes Total
Region 2019 2018 2017 2019 2018 2017 2019 2018 2017
Durham 35 14 188 173 66 209 208 80 397
Halton 70 64 110 107 59 296 177 123 406
Peel 84 99 197 307 126 366 391 225 563
Toronto 953 1,081 3,628 88 5 93 1,041 1,086 3,721
York 286 382 442 211 39 372 497 421 814
GTA 1,428 1,640 4,565 886 295 1,336 2,314 1,935 5,901

Source: Altus Group

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