Muskoka & Haliburton Real Estate News from David Thorpe June 2018   
  Real Estate News




David Thorpe
Sales Representative

Lakes of Muskoka Realty
100 West Mall Road
Bracebridge, Ontario
705-644-9819 or 1-800-606-2636
www.MuskokaAgent.com


 
Preparing your home for showings can be a lot of work, especially if you have kids running around.  This month's article discusses some strategies on how to prepare your home to show with kids in tow.

There are also some valuable debt management strategies to help keep you and your loved ones profitable as well as a few tips on how to de-stress your home.

Thanks so much for checking out this month's newsletter. Please get in touch if you have any questions or comments regarding the articles, or real estate in general -- it'd be great to hear from you!

David

In this issue...
Bank of Canada Rate Update 
Bank of Canada decides to keep rates on hold.

In line with financial market expectations, the Bank of Canada announced on May 30, 2018 it was keeping its trend-setting overnight lending rate unchanged at 1.25%.

The economy continues to unfold largely as expected. Inflation is close to the 2% target, a little higher than the Bank had projected back in April.

That said, the Bank attributes most of that to the bump in gas prices in recent weeks and said that, as usual, it will look past the transitory impact of gas price fluctuations.

The Bank noted that “housing resale activity has remained soft into the second quarter, as the housing market continues to adjust to new mortgage guidelines and higher borrowing rates.”; however, in line with CREA’s forecast for home sales, the Bank also expects activity to start to pick back up later this year in line with solid underlying fundamentals.

The Bank reiterated that higher rates are still on the way, with financial markets betting the next 25 basis point hike will be at the next scheduled policy announcement on July 11.

That said, the Bank also reiterated that it will be taking a gradual approach to future hikes, given that the economy is likely more sensitive to interest rate movements now than it was in the past. Should business investment improve further as the Bank hopes, the associated increase in the economic potential of the country could also require fewer rate hikes to keep inflation on target.

As of May 30, the benchmark five-year lending rate was 5.34%, where it has been since it was bumped by 20 basis on May 9. Prior to its recent increase it had been steady at 5.14% since January. It is also now 70 basis points above where it was at the end of May last year. As of January 1, 2018, all mortgage applicants must qualify for financing based on no less than the benchmark five-year lending rate.

Canada’s major chartered banks advertise five-year fixed mortgage interest rates ranging from 3.74% to 5.59%. Homebuyers may negotiate a rate below lenders’ advertised rates depending on their creditworthiness and the degree to which they do other banking business with the mortgage lender.

The next interest rate announcement will be on July 11, 2018. It will be accompanied by The Monetary Policy Report, which updates the Bank’s economic forecast.

Preparing a Home for Show with Kids in Tow 
Have your home “show ready” at a moment’s notice!

When your home’s on the market, getting ready for showings can be a real challenge but it's even harder when you share your home with little ones!

The trick to selling a house with kids is to try and make it appeal to buyers who have children as well as those who don’t. Here are a few tips to help you prepare your home for show with kids in tow:

  1. Depersonalize - It's important that buyers are able to imagine themselves living in your home so clear the kids’ artwork off the fridge and take down photos, awards and mementos.


  2. Play Time's Over - Keep just one box of toys on hand and pack up the rest as too many toys look messy and make rooms appear smaller.


  3. Clean Your Room! - Pack up stuffed animals, books and trophies in the kids’ rooms. Any remaining items should be placed on shelves instead of the floor.


  4. Behind Closed Doors - Buyers can never get enough closet space so get rid of any clothes and shoes that are out-of-season or that your kids have outgrown.


  5. Time to Grow Up - Buyers should be able to visualize your playroom as their rec room so get rid of kid clutter like arts and crafts so it’ll appear large enough for their pool table.


  6. Curb Appeal - Don't leave toys, sidewalk chalk or bikes strewn outside your home as drive-by viewings can occur at any time.

  7. Ready to Go - Have a diaper bag that’s ready with everything you need in case you have to make a quick getaway for a last minute showing.


Selling your home is a great opportunity to declutter and by doing it now, you’ll have less to pack when it comes time to move. Showings can happen in an instant so make sure you have a system in place that enables you to vacate in a matter of minutes. Although keeping everything perfectly staged with kids can be a challenge, it'll be well worth the effort!

It Pays to Pay Off Debt 
Getting out of debt can be tough, unless you have a plan.

Debt management isn't a popular family topic but talking about it with your kids and loved ones can help them avoid a lifetime of financial woes. Here are a few of the basics:

  1. First Things First - Focus on paying off high interest, non-deductible debt first.


  2. Budget Crunch - List all income and fixed expenses such as house and car payments. Next, list variable expenses to see what can be reduced or eliminated.


  3. Consolidate - Monthly payments can likely be lowered by consolidating debt through a home equity loan as the interest rate will be much lower.


  4. Reach Out - Creditors will often reduce monthly payments if a debt repayment plan is arranged through a reputable credit counseling service.


Managing debt may seem like a daunting task but it can help avoid a financial crisis that could devastate a person's credit rating and their ability to borrow money at attractive rates. Almost everyone feels the credit crunch at some point in their life but with a little planning, it can almost always be overcome.

De-Stress Your Home 
Your home should be a refuge from all the stressors in your life!

Life can sometimes be stressful so ideally, your home should feel like a sanctuary for you to relax in. Here are three easy ways to de-stress your home:

  1. Meaningful Memories - Hang photos and artwork that remind you of happy times in your life.


  2. Mess Causes Stress - Studies show that clutter overloads our senses so take a few minutes each day to clean up.


  3. Natural Cure - Bring nature into your home with some fresh flowers or a few potted plants to help restore a sense of balance.


Life can sometimes be overwhelming but an organized and tidy home means you’ll have a relaxing space to unwind in at the end of a long day. Just a few little tweaks can make a huge difference!



PS Are you sick of scouring the web looking for cottages? Tired of playing telephone tag with agents only to hear that it's already been sold?  Sit back, relax and let me do the work for you!  Just visit my website and check off the features you're looking for.  Whenever a home or cottage matching your criteria hits the market, it'll be automatically flagged and emailed to you so you'll never have to worry about missing out.

Not meant to solicit clients already under contract.