The first is whether or not you are buying a “used” home or a “new” home. There never was HST or GST payable on “used” housing. The tax is paid at the time of the first purchase of the home by a home buyer.

If you are considering a purchase of a “new” home – then the answer I would give is “it depends” and “maybe”. If you were to buy that new house or condo now or in the near future, then the answer I believe is “yes”, the HST would be applicable. However, contrary to many people’s understanding, the HST did not necessarily make that home purchase more expensive. As was the case under the GST system, home buyers could be eligible for several rebates of the total tax payable thereby reducing the net tax a home buyer would end up paying on the purchase.

I’m not sure what the transition back to the old GST system is going to look like. When the HST was being implemented, there were seminars held to update those in the housing industry about how that transition period would work. To my knowledge that has not happened yet in the reversal of the HST.

Your best bet, if you want to know what you will be looking at in exact numbers after rebates, is to talk to your accountant or lawyer.

So, if buying a “new” home, I don’t think it will make a huge difference to the price whether you decide to wait or not. If the home you are interested in is there now, it’s probably better to take advantage of the current low property values and lock in the lower purchase price.

Keep in mind, whether GST or HST applicable, “new” or “used”, the Property Transfer Tax will apply. This tax is payable on the transfer of real property in BC at a rate of 1% on the first $200,000 of market value and 2% on the balance of the market value of the property you are acquiring. Again, there are exceptions particularly First Time home buyers may. If you’re in doubt, again check with your lawyer or accountant.

He started by noting that the most common way to evaluate a vineyard is by comparing it to recent sales for vineyard properties. Typically, a range of “per acre” values for producing land would be arrived at. He felt that for most of the South Okanagan these values were currently between $95,000 and $110,000 per acre. Where the property fell into the range would depend on age of plantings, varietal, condition of the vineyard and location.

Other contributing factors that would impact value would be any improvements.

Homes could be best evaluated by comparing similar dwellings to homes sold on regular lots, then deducting the value of the lot to arrive at a reasonable price for the “home” component.

Included equipment is a little trickier, and in his opinion is usually over-valued. The cost less depreciation is one way to set this value.

Another factor is non-producing land – is it useable? plantable? does it provide a benefit?

As far as his “predictions”, he said he felt that the “trophy” buyer looking for a vineyard estate without regard to the income potential had pretty much left the market. He sees prices being stable at best, and that we may even see price declines to the $80,000 per acre range.

Of course, time will tell! Still, an interesting and informative look into vineyard values in the South Okanagan.

If you have any gently used (or new) items you’d like to donate to a good cause, give us a call at 250-498-6222 to arrange pick up or drop off.

Hope you can join us!

Year to date, the South Okanagan Real Estate Board (SOREB) reports 70 residential sales compared to 103 for the same period last year. 29 condos and townhomes sold compared to 38 ytd in 2010. There were a total of 116 sales reported this year compared to 157 January to March of 2010. There are 2763 active listings on the market this year compared to 2740 last year.

Most areas of the SOREB report that number sales are down over 2010 with the exception of Kaleden/Okanagan Falls and Keremeos. Sales volume was also down in most areas.

The average sale price of a single family home year to date in the SOREB board area is $342,328 taking an average of 118 days to sell. In the Oliver area, the average single family home has a value of $290,700 taking an average of 93 days to sell.

The historical average year to date values of a single family home in Oliver at the end of March are as follows: 2011- 290,700; 2010- 298,157; 2009- $362,817; 2008- $352,192; ’07- $284,767; ’06- $361,155; and ’05 $202,789.

Just 2 single family homes sold in Oliver this March, 12 have sold year to date. There are 109 active single family listings available on the market. Also in March 1 condo/townhome sold for a total of 9 year to date. There are 39 active listings. Townhomes and Condos are taking 170 days and 157 days to sell respectively.

There has been 1 vacant lot and no farms or acreages sell in the Oliver area so far this year. There are 39 active listings.

Now in its 13th year, the Royal LePage Shelter Foundation supports close to 200 shelters across the country, helping more than 30,000 women and children every year. It’s also committed to funding violence prevention and education programs. Since its inception, the Shelter Foundation has raised $12 million with the help and support of generous Royal LePage agents, brokers, managers and administrative staff, along with members of the communities in which they live and work.

“Violence against women occurs across all ethnic, racial, social and economic groups and in all communities,” says Shanan Spencer-Brown, executive director of the Royal LePage Shelter Foundation. “In Canada, half of all women will experience abuse during their lifetime, and every year, 360,000 children are exposed to their mother being abused. That’s why the Royal LePage Shelter Foundation remains committed to raising funds to stop the cycle of family violence.”

The Shelter Foundation’s signature event is the National Garage Sale for Shelter, a one-day charitable garage sale taking place on May 14, 2011 at Royal LePage offices across Canada. Members of the community are encouraged to join in and de-clutter for a cause. Donate gently used items at any participating Royal LePage office by Friday, May 13 and visit your local Garage Sale on Saturday, May 14. For more information, please contact your local Royal LePage office or visit: www.royallepage.ca/shelter.

To read the full article, click here.

The resolution carried by the Town Council is:

That staff continue with the preliminary steps on implementing the change of house numbers to no more than four digits as proposed in the rural area. Use unique street names (e.g. Main Street, Fairview Road, Bellview Drive, Panorama Crescent, etc.), with possible use of single digit numbers for north-south streets in the downtown grid, contingent on the outcome of the RDOS Area C Public Open House.
CARRIED UNANIMOUSLY

The process allows for public feedback, and residents are encouraged to visit the website: http://www.newmanandnewman.ca/streets/ to view the proposed new names.

“Finance Minister Jim Flaherty has announced new mortgage regulations aimed at reducing Canadians’ soaring household debt.

Flaherty has unveiled three new rules:

1. — Mortgage amortization periods will be reduced to 30 years from 35 years.
2. — The maximum amount Canadians can borrow to refinance their mortgages will be lowered to 85 per cent from 90 per cent.
3. -  The government will withdraw its insurance backing on lines of credit secured on homes, such as home equity lines of credit.

The rules are aimed at encouraging responsible lending and borrowing and encouraging people to increase their home equity.”

Mortgage Consultant, Pat Evans, withVerico Complete Tami O’Callaghan Mortgages Inc. has this to say about how the new rules might affect you:

“There are 2 issues that will have an effect on borrowers:

1)For hi-ratio mortgages, (those with less than 20% down payment)  the maximum amortization allowed will be reduced from 35 years to 30 years.

Here is an example of the impact of the change:
Before:  $200,000 mortgage at  4% amortized over 35 years:   Monthly payment = $881.64
After:   $200,000 mortgage at 4% amortized over 30 years:        Monthly payment = $951.04

That’s close to the same increase in payment that a rate increase from 4% to 4.5% would have.

2)Any borrower wishing to refinance  will be subject to a maximum loan/value of 85%.  Currently, the maximum is 90%.  If your house is worth $300,000 then you would be able to borrow a maximum of $255,000 under the new rules.  Currently, you would be able to borrow up to $270,000.

The Federal Government is  concerned that borrowers who qualify under today’s low rates may have difficulties when their mortgages renew if rates have increased.  They are also concerned that a 35 year amortization equates to a lot of interest over a very long period of time.  By reducing the amortization to 30 years, the theory is that homeowners will build their equity more quickly.    The other area of concern is that homeowners are using their equity to finance lifestyle.

Now is an excellent time to review finances and plan for the future in an informed and  prudent manner.”

For more information on how these rules may impact you, you can reach Pat at http://www.mortgagesinbc.com/ or by email at  pat.evans@shaw.ca.

For more information:

www.sbr.gov.bc.ca/individuals/Property_Taxes/Home_Owner_Grant/hog.htm

from a B.C. Ministry of Finance News Release dated Jan. 3, 2011

Bring the kids to have their picture taken with Santa Claus here in the Royal LePage Office in the Mall, then the parents can do their shopping while the kids take part in the colouring contest.

New this year, is the Gingerbread House Competition. There have been six entries, all are on display in the window of the Royal LePage office. Everyone is encouraged to come and have a look at these works of art, and vote and/or bid on your favourite. Each of these Gingerbread Houses is being auctioned off by silent auction with the proceeds to the Royal LePage Shelter Foundation which helps the Women’s Centre in our area.

So, come one and all! This will be a great way to kick off the Christmas season. We’d love to see you!

We think Oliver is the most affordable community in the Okanagan! Come and talk to us about how you CAN afford a home in the Wine Capital of Canada.

For more information, and a listing of the properties on the Open House Tour, please visit: For more information on these properties, call or visit: http://tinyurl.com/openhousetour.