{{A Tribute to the Renter}}

This email is dedicated to all you renters out there!

I'm currently in the process of working with a few first time home buyers educating them about the market, how to prepare and what is required to purchase a new home.

In the process I thought that you renters out there may be interested to see that it's the same price IF NOT LESS to own your own home instead than it is to pay rent!
Take a look at the two scenarios that I have put together for a purchase of a condo that is under five years old. I've also included a picture of a live example.  Over the next couple weeks I will also include scenarios for a town home purchase as well a a house so stay tuned!

This could be your home!

SCENERIO #1 - Condo

$150,000 Purchase
5% down payment $7500
(you would need this amount or consider a partnership with Westridge Realty) see http://homeswithlacey.com/we-finance.html
CMHC insurance fee - $4204
Total Mortgage - $146,704
Mortgage payment: $560
property taxes: $65
Condo fees: $132
Utilities: $30

TOTAL MONTHLY PAYMENT :  $787
INCOME REQUIRED: $27,000
That's approx $14 an hour!!!


SCENERIO #2 - Condo

$200,000 Purchase
5% downpayment - $10,000
CMHC insurance - $5605

Mortgage Payment- $747
Property Taxes - $65
Condo Fees - $132
Utilities - $30

Total Monthly Payment - $974
Total Income Required - $34,000

THAT'S approx $18 an hour!!!

Consider getting a room mate and charge them $400 to $500 per month with this scenario and then it only costs you approx $500 to own!


On average the Real Estate Market increases about 6 - 8 % a year and sometimes more! Interest rates are at all time lows plus it's a great market currently for you first time buyers with ample product to choose from.

If you are finding it hard to save up for a downpayment call me today and allow me tell you about our partnerships that we offer a few select clients per year.

So what are you waiting for?

Call me today and let's set up a plan tailored to your needs.  Whether you're looking to buy now or down the road, It's never too early or late to start the process!
I look forward to hearing from you.

LACEY
604-910- LACE (5223)

{{The HST and your Real Estate: Are You Affected?}}

Shortly residents of B.C. will have the opportunity to vote on this question regarding the HST tax.

Are you in favour of extinguishing the HST (Harmonized Sales Tax) and reinstating the PST (Provincial Sales Tax) in conjunction with the GST (Goods and Services Tax)? Yes or No?

* The first point to note is the format of the question.
* If you vote YES – then you do not want the tax.
* If you vote NO – then you agree with the tax and its proposed changes.

Now that the question you will be voting on is clear, I would like to bring forward some of my views on the impact this tax has on the real estate market and the economy of B.C.

Prior to the tax coming into effect on July 1, 2010 most transactions relating to real estate were not taxable at the provincial sales tax level. Many believe that is still the case until you take a closer look. Even if you are not buying or selling a property, you are still affected by this tax if you own property.


IF YOU OWN YOUR HOME:
Only three examples from a long list:
 When you own your home, you want to keep it in good condition. Prior to HST many trades people that may work on your home did not charge PST on the labour portion of their work. With HST you are now charged this tax. This has added 7% to your maintenance costs.

You wish to do a refinancing to buy another property, reduce your interest cost or debt consolidation. Your legal fees, the land appraisal, and other associated services are now charged an additional 7% tax. This amounts to a few hundred dollars in many cases.

Many building supplies that were excluded from PST such as energy efficient products or agricultural products are now charged an additional 7% tax. You wish to upgrade the insulation in your home for example; you are now charged an additional 7% tax to be energy efficient. That seems pretty smart?



YOU WISH TO PURCHASE A PROPERTY OR SELL YOUR EXISTING PROPERTY:
Prior to July 1, 2010 most services related to this were not subject to the PST. The GST is another topic, but we do not have the opportunity to vote on this tax. How are you affected?

Most transactions require the services of a lawyer or notary. You are charged HST on their services.

Most transactions require a land appraisal. You are charged HST on this.

Most transactions engage the services of a Real Estate Agent; you are charged HST on this.

You use the services of a mover or rent a truck to move. You pay HST

Another point to consider is that most moves involve two transactions – You sell so you can buy. The HST then has double the impact.


YOU WISH TO PURCHASE A NEW HOME – or a building lot to build your dream home:
This particular real estate transaction has the greatest cloud of confusion hanging over it! Most buyers and most realtors do not fully understand this particular unique transaction.

One of the largest contributors to the B.C. economy is the new housing business. Everything from trades people, the lumber yards, the furniture stores to the garden shop are dependent on the new home market. Add to this the fact, that if the supply of new homes is reduced then the supply of used homes is also reduced. This has the net effect of supply and demand driving housing prices up.

Further to this, the market has a supply of new homes available for sale by good builders that, in many cases, are being offered at prices equal to or below the prices of similar used houses. Why are purchasers not buying new houses? Why are some buyers paying more for a used house than a new house? They are confused in many cases about the impact of the HST. If confused stay with what you know, buy used even if you pay more!

If you didn’t know that new is less than used – call me and I will show you proof. Prior to July 1, 2010 land was not subject to the PST tax. This is no longer the case.

Before I add to the confusion however, you do get some tax breaks. A system of tax credits or refunds up to a maximum of $26,250 to be applied to your tax bill is available. This helps soften the tax blow to some degree. You do not pay the full tax at the full rate on a New Home to be clear, but you do pay some tax depending on the value of the new home. [subject to some conditions] See what I mean about confusion!

Now for a simple overview of the impact that the HST has on the New Housing Industry:
* Prior to HST the land component {about 50% of a new home cost} was exempt from taxes. Not now.
* Prior to HST about 50% of the cost of the home construction was exempt from taxes.

* About 50% of a homes cost is labour or materials such as insulation and energy efficient items that are totally tax exempt. This is not the case with HST.

* Include the services that a purchaser of a home will need, as with any home purchase


New or Used Are Also Taxable:
With new housing starts down, mainly due to the “confusion” and the production of building lots down, do you suppose this is affecting our economy? One reason we are seeing such high housing inflation in some pockets of the Fraser Valley is due to the reduced supply of New Homes. Further to this a huge employer is the new home industry. Watch the unemployment rates fall, as the housing/construction sector becomes more robust.

Does the HST affect new homes? You bet! Check out the government's own web site for an example of the increased taxes on a new home as compared to pre-HST times. In most cases the builders are absorbing this tax increase reducing the supply of new homes to the consumer. SOME GREAT BUYS HOWEVER!

See the link http://www.hstinbc.ca/buying_goods/buying_a_home/

In case you are having some doubts about what my opinion is, let me make another comment. The B.C. Government is making the claim that by 2014 [about two years from now] I will be saving about $120 per year on my HST.

After reading my comments, do you think I should wait two years for the $120, or should I vote YES – which really means NO!

If you have any further questions please feel free to contact me – call 604-910- LACE(5223).

{{The Dusty Shoes Opportunity}}

The Dusty Shoes Foundation is focused on volunteer groups that provide an important role in the fabric of our communities. These groups are many, and can range from Kids Sports Teams to your church, non profit organizations, charities and foundations, to your neighbourhood food bank. They all need funding to operate, and this simple opportunity can be part of your funding plans.

An EXAMPLE of What You Can Achieve:

A referral to Lacey Forward of Westridge Realty Co.is received from your circle of contacts. Your friend receives great service and completes their real estate transaction.

(ie. A common transaction could be to sell a townhouse and buy another property. Based on this simple referral, your group could receive as much as $2,400. Perhaps even more. This sure beats a car wash, and your effort is minimal.)

HOW TO START YOUR OWN PERSONALIZED PLAN:

1. Contact Dusty Shoes Foundation to gain authorization to feature it's brand on your emails, and any web sites that feature your particular group and your facebook account.

 2. Forward a brief outline of the details of your organization, and the purpose for the needed funding. Forward to Lacey@homeswithlacey.com

 3. Keep an eye out for those in your circle of contacts that may be thinking of Buying or Selling real estate. Tell them of your clubs fund raising goals and direct them to the Dusty Shoes opportunity.

 4. Personalized cards featuring your organizations fund raising plan will be produced so that the members of your organization can hand these out to interested parties.

5.  10% of any business from buying or selling real estate that is generated from your contacts will be donated to your particular volunteer group. Everybody at some time or another will deal in real estate. Why not participate and aid your particular group?

Everybody wins! Your friend receives great service, and your volunteer group receives a sizeable cheque. We can only do so much on our own – So let’s see what we can do together !

Contact Lacey Forward of Westridge Realty to set up your program:

(604) 910-LACE (5223) or email: Lacey@homeswithlacey.com     

Some exclusions may apply. All real estate transactions will be with Lacey Forward and Westridge Realty Co. as broker.

{{Not Just A Sign On Your Lawn}}

Buying or selling? You made a decision that this is the time for you to move. I can provide a number of options to speed up the process and save you time and money. Please take a moment to read over some of the options that have assisted many of my previous clients.

Are You Tired Of Waiting?!?!?... 

I Do More Than Just Put a Sign On Your Lawn:

Over the years I have developed many options tailored to my client’s needs. Let me help you end the wait.  I offer more than just a sign on your lawn!

My clients have found the “We Trade Homes” option of great value in purchasing or selling their properties. I also encourage my clients not to overlook these other great solutions. Often a little help is all that is needed to turn your dream into reality and in the process save you money!

What if My Trade Option Is Not For You? You may wish to consider my interim financing option. I can tailor a plan to your needs and budget. This will aid in completing your sale or purchase and avoid any disappointment caused by buying with a “subject clause”. I offer more options than with traditional banks and without the expense and red tape.

Save CMHC Fees: In many cases my clients find that with only a small supplement to their cash equity they can arrange for conventional financing rather than with CMHC. This option can save you many thousands of dollars in mortgage fees that may not be possible through other realtors or lenders.

Purchase With A Partner: I do not offer this option to everyone, but this is an option that I offer to a few select clients each year. I invest the down payment, and rather than a loan, I may partner in sharing the equity for your first purchase. If you feel that home prices are getting away from you faster than you can save the required down payment, then this amazing option may be just what you are looking for.

Financial Challenges: From time to time clients find themselves in some tight financial spots through unforeseen and unfortunate circumstances. Give me a call. I have provided a number of solutions to help in keeping the wolf from the door. This can range from cashing you out on your property or providing easy financing to satisfy creditors until your property is sold. When challenges strike give me a call.

Tailor Made Options: I am in the habit of creating solutions. Bring your real estate needs to Westridge Realty Co. and see what I can do to assist you. In most cases I should be able to provide a solution to whatever challenge you may have. I have been specializing in creative forms of financing and have many satisfied clients to prove it. My motto has always been “All your real estate solutions under one roof” and for good reason.

If you would like more information on any of these solutions, or have any questions, please call me direct at (604) 910-LACE (5223) or email me at lacey@homeswithlacey.com. 

I look FORWARD to speaking with you soon!