Go Canadian Newsletter February 2023

Plus, my FREE REPORT & resource of the month...

Ultimate Homebuyer Success Kit!

It’s easy to tell the housing market is slowing down. All you have to do is listen to the news and talk to friends. But for more official proof, here are 4 of the signs that experts look for before they declare a slowdown in real estate.

1. Growing inventory of homes for sale. With everyone working from home during the pandemic, home sales exploded. This resulted in depleted inventories. But now inventories are growing again, as sales aren’t keeping up with new listings. In November, the sales-to-new listings ratio slipped to 49.9%. That number has remained close to 50% since May, in stark contrast to the long-term average of 55.1%.

2. Slowing sales. With inflation raising home prices, the Bank of Canada raising mortgage rates, and stock valuations down, not as many people are willing to buy a home. Between October and November, MLS home sales fell by 3.3%, more than erasing October’s small gain. About 60% of all local markets saw lower sales in November, led by Greater Vancouver and the Fraser Valley, Edmonton, the Greater Toronto Area (GTA) and Montreal.

3. Prices are falling. With more and more buyers taking a pass on the market due to high mortgage rates, inflation and reduced investment portfolios, sellers are forced to reduce prices. The national average home price was $632,802 in November, which is down 12% from the same month last year. Regionally, prices are down somewhat more in Ontario and parts of BC, while in Calgary, Regina and Saskatoon, home prices are barely off their peaks.

4. Fewer new listings. Prospective sellers are hesitant to enter the market, discouraged by steadily slipping prices and unsure how much more mortgage rates will climb. The number of newly-listed homes edged down 1.3% on a month-over-month basis in November. New listings fell in slightly more than half of local markets.

If you’d like help developing the most cost-effective home purchase strategy for a slowing housing market, call us today!

Lenders take many factors into consideration in setting your mortgage rate. Once you understand how they arrive at your rate, you can take steps to help reduce your borrowing costs. Here are some of the factors lenders consider:

Your credit score predicts how reliable you’ll be in repaying your loan. The higher your score, the lower the mortgage rate you’re likely to qualify for. If your score is too low, start working on improving your credit today.

Providing a larger down payments makes the loan less risky for lenders. So, the larger your down payment, the more options open up for you.  With 20% down or more you will avoid any mortgage insurance fees as well. 

With a fixed rate, you can be confident your rate won’t rise. But you pay a higher rate for that security. With a variable rate, the rate is generally lower, but it can always rise. Make sure you know what you can afford over the long term.

 The amortization is how long you have to repay your loan. Shorter amortizations generally have lower interest rates and lower overall costs, but higher monthly payments. Before you buy, it’s worthwhile to make sure you’re financially capable of paying off your mortgage quickly.

If you’d like free expert advice how to get the best mortgage with the best rates and terms available (with a winning strategy for getting your offer accepted), call us today!

While prices aren’t rising as quickly as they were, they’re still high. But there are ways to fight inflation and those higher prices. Basically, we have to be more strategic in how we spend our money. Here are 5 ways to save money during inflationary times:

1. Make your home more energy efficient. All forms of energy have been rising in price. So now’s the time to cut back on consumption wherever possible. Seal air leaks around windows and doors. Use LED lightbulbs. Set your thermostat lower in the winter and wear a sweater. Unplug electrionics when not in use. 

2. Save on insurance. Shop around for a better rate on homeowner and car insurance. See if it’s worthwhile to raise your deductibles. Discontinue unnecessary coverage. Negotiate a safe driving discount.

3. Reduce fees. Decide whether you really need four or five premium streaming services. Call your Internet and phone providers and see if you can negotiate lower rates. Check if there’s a lower-fee bank account.

4. Save on groceries. Shop at discount stores. Buy generic brands and bulk sizes. Clip coupons and check weekly flyers. Have more meatless meals.

5. Optimize your savings. The upside of higher inflation is higher interest rates on GICs. Now’s the time to lock your money in for the long term, so when inflation finally cools, you’ll still be earning high returns.

HOLISTIC HEALTH TIP OF THE MONTH

BEST FRUITS TO EAT TO STAY HEALTHY THIS WINTER

Eating lots of fruit is a good way to stay healthy any time of year. But some fruits are particularly healthy in winter. Here are the best fruits to add to your winter diet:

• Grapefruit. This delicious citrus fruit begins ripening in January, so it’s currently at its flavorful best. Grapefruit are rich in antioxidants, vitamin C, beta-carotene, fiber, and salicylic acid which can help reduce the symptoms of arthritis.

• Pears. A good source of vitamin C, potassium, vitamin K, copper, magnesium, B vitamins, fiber, as well as flavonoids which help reduce inflammation.

• Pomegranates. Fresh-made juice from a single pomegranate provides 40% of your daily vitamin C requirements. The juice is also rich in antioxidants which can help reduce the symptoms of inflammatory bowel diseases.

• Oranges. Like all citrus fruits, oranges are rich in vitamin C, fiber, folic acid, potassium and calcium. For variety, try mandarins, tangerines, tangelos and clementines.

• Bananas. The potassium in bananas promotes heart and muscle health, as well as helping to maintain a healthy balance of water in cells.

• Cranberries. Aside from vitamin C, cranberries boast high levels of antioxidants which are associated with the prevention of heart disease, inflammation and some cancers.

• Pineapple. Fresh pineapple contains bromelain which is very effective at reducing inflammation. Pineapple also offers vitamins C, A, B6, E and K, as well as calcium, iron and zinc.

Chocolate is a key ingredient in Valentines Day. Where does Cocoa originate?

a. Ghana

b. Belgium

c. Latin America

d. Cote D'Ivoire

What is the name of the Calendar used in most

parts of the world?

a) Gregorian

b) Julian

c) Lunar

d) Alexandrian

ANSWER: a) Gregorian

Congratulations to Kim Greeley of Cambridge, Ontario for winning last month’s quiz contest! You have won a FREE KEG DINNER for four. Enjoy!

The first person to respond with the correct answer will win a FREE Dinner for four!

To submit your answer to this month's trivia contest, type your name along with your trivia answer and the current month below.

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Buying a home is a major investment no matter how you look at it. But for many home buyers it’s a lot more expensive than it should be because they fall prey to common and costly mistakes, which results in them either paying too much for the home they want, or losing their dream home altogether. Unfortunate but true.

As your mortgage advisor, I’ve prepared an informative home buyer resource entitled, “The Ultimate Home Buyer Success Kit"  --an absolute must for any prudent home buyer. Here’s just a portion of what you’ll get in your kit:

• Free Guide: 15 Home Buyer Mistakes and How to Avoid Them

• How to Find Your Dream Home Checklist

• $200 Closing Costs Coupon

• Rolodex of Our First Class Service Providers for All Your Home Buying Needs and much, much more!

Don’t waste another day in financial prison. Get your no-obligation copy of this exclusive report and start enjoying financial freedom today. Request “The Ultimate Home Buyer Success Kit” by clicking here:  

As you can see, we have a growing selection of FREE REPORTS that are jam-packed with valuable tips and proven strategies to help you, your friends and family avoid costly financial pitfalls. If you’d like us to rush you one or more of these free reports, please click the link below.

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Do you have all the information you need to make an informed decision about buying, selling or refinancing your home? Here are 3 FREE REPORTS that are GUARANTEED to help you make an informed decision on buying, selling or investing in Real Estate.

We are changing the way Canadians get mortgages, and we want to help you too! Click the button below to get started on the path to homeownership!

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