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New Mortgage Changes-How Will This Affect Saskatoon Real Estate?
If you aren’t already aware there was a major change that occurred regarding amortization periods for government-backed mortgages (CMHC or Genworth). We have had as high as 40 year amortizations in the past 5 years and now we are going back to how things were prior to 2004 with a maximum amortization of 25 years.
If you are a Saskatoon first time home buyer this may affect your purchasing power as you likely were pre-approved with a 30 year amortization. If you were more prudent and were following the 25 year amortization you won’t notice any change.
As a Saskatoon real estate agent I haven’t had a lot of buyers ask me about this yet however the change is happening and it is coming fast. Effective July 9, 2012 the rules are changing.
Canada’s Finance Minister Jim Flaherty has announded that:
Max amortization will be 25 years
Max amount an individual can borrow when refinancing is 80% from 85%
The gross debt-service ratio (GDS) will be set at 39% and the maximum for TDS (total debt-service ratio) will be lowered to 44% from 45%
Government-backed insured mortgages will no longer be available for homes with a purchase price of $1 million or more
This is the 4th move by the government since 2008 and brings things back to how they were around 2004 which is bringing more prudent and conservative standards back into place.
What does this mean to you as a Saskatoon home buyer? You may need to purchase sooner than later if you were relying on the 30 year amortization. For every $100,000 your home (mortgage) is valued your mortgage payments will go up approximately $50/month. This is just another reason you should use a reputable and trusted Saskatoon real estate agent to help you in your search as some are more informed than others.
It also means your qualifying income needs to go up.
While we do have some homes for sale in Saskatoon over $1 million this shouldn’t affect things too much as most buyers in that range aren’t in a high-ratio mortgage but we may see those homes sit for awhile longer.
If you have already purchased a house for sale in Saskatoon or surrounding area, as long as you take possession before December 31, 2012 there are no problems.
If you already have an offer on one of the Saskatoon houses for sale but you do not yet have your financing approved you should still be okay as of today. Each bank and lender may be handling this slightly differently so it is important to speak to your lender if you think this may affect you. Just because you have a pre-approval held does not mean you will get an extension-you must have an agreement of purchase prior to July 9th, 2012.
If you need some advice I have a few Saskatoon mortgage brokers I can recommend.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
Saskatoon Real Estate Market Update for May
The Saskatoon real estate market remains strong this spring. We had 1240 properties for sale in Saskatoon at the end of May which is down 11% from 2011. We had 634 sales in May which is up 16% from 2011.
The average price for a house for sale in Saskatoon is currently at $335, 178 which is up from $317,336 in 2011. Keep in mind that if high end houses for sale in Saskatoon are being sold this will bring the numbers up as it is an average of the total sales dollar volume by the number of sales. In certain price ranges we are seeing the sales outpacing the rate at which new listings are coming on the market so this means less to choose from and a tighter market in those price ranges. As a REALTOR in Saskatoon I do see that it is still price sensitive.
The busiest price range of houses for sale in Saskatoon continues to be the $300,000-$350,000 which amounts for approximately 20% of all sales in May. It is taking 27 days on average to sell a house on MLS in Saskatoon which is down from 33 in 2011.
In communities around Saskatoon there was a 34% increase in May for sales to 137 from 102 in 2011. The average sale price for houses in communities outside of Saskatoon, however, only went up 4% to $285,183. There are currently 930 properties for sale outside of Saskatoon which is down 12% from the year before.
We have also seen a huge increase in the amount of REALTORS in Saskatoon. While we still have 26 offices we have 593 REALTORS in Saskatoon which is up 9% from 2011 but up almost 100 Saskatoon real estate agents since 2010.
If you are thinking about selling your home in Saskatoon please consider me for any of your Saskatoon real estate needs. I can help you find good Saskatoon Lawyers, Saskatoon Home Inspectors, Saskatoon Mortgage Brokers, etc.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
Warman Real Estate Should Further Improve With New Shopping Centre
Real estate in Warman will see an advantage with a major shopping centre in Warman planned to create up to 300 jobs and serve this quickly growing community. Warman is seeing major growth with the much needed construction of Warman Middle School (meant for 700 students and supposed to be complete in 2013).
The creation of this new shopping centre in Warman will also serve other bedroom communities. 30 acres as the north end of Warman was purchased for the future “Stone-Gate” development by Edmonton based Avatex Devcorp. The immediate trading area is more than 25,000 so what once seemed like a crazy idea is now making perfect sense in Saskatchewan’s booming economy. Warman residents will no longer have to rely on doing most of their shopping in Saskatoon.
Possible tenants include a large grocery store, box retail stores, banks, restaurants and possibly a hotel. The project could have a value between $30-$50 million. Construction should see the first buildings done by 2014. The job estimates of 250-300 full time jobs and about 500 part time jobs comes from a similar shopping development in Prince Albert, the Cornerstone shopping development that this company started 8 years ago. If you have been through Prince Albert lately you will see how much the shopping has expanded.
I think real estate in Warman will definitely become that much more appealing knowing that the town is building a new school and shopping district.
If you are considering buying a house for sale in Warman I can provide your Warman real estate needs as I work in many of the surrounding communities and have sold many homes in Warman in the past 5 years.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
Kari@saskatoonrealestate.net
April Saskatoon Real Estate Market Update
April was a busy in the Saskatoon real estate market. The number of houses for sale in Saskatoon increased by 4% from the same month in 2011 but we also saw an increase of 20% from 2011 in the number of houses in Saskatoon that sold in the same month. It is normal to see the number of listings go up in the spring and sales also tend to increase in a balanced market.
One of the slower price ranges in April was the $200,000-$300,000 range which was down 3% from the previous year (however there were likely also less houses for sale in Saskatoon under $300,000 this year). The $300,000-$500,000 continued to be busy in April with sales in this range up 34% from the year before.
The average price for a house for sale in Saskatoon in April 2012 was just under $326,000 which is up 9% from 2011 however with the price range of $300,000-$500,000 being very active this also impacts the average house price in Saskatoon. The six month rolling average house price in Saskatoon is just $320,768 which is up from $298,183 in 2011.
There were 1145 houses for sale in Saskatoon by May 1st 2012 which is down 12% from the 1300 houses for sale in Saskatoon in 2011. Outside of Saskatoon there were 938 houses for sale which was also down from 2011 when there were 973 houses for sale in communities outside of Saskatoon.
The number of REALTORS in Saskatoon has jumped 9% since 2011. We now have 520 active Saskatoon real estate agents which is up from 475 in 2011 and up from 433 in 2010.
If you are interested in buying a house in Saskatoon and you don’t yet have a Saskatoon REALTOR working for you, get in touch with me as I would be happy to help you with your purchase. If you are thinking about selling your house in Saskatoon I would be happy to discuss what I have to offer.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
Saskatoon REALTOR Newest Member of Trusted Saskatoon
I am proud to announce that I am the newest trusted Saskatoon real estate agent to be part of Trusted Saskatoon. Trusted Saskatoon was started by Sara Wheelwright after moving to Canada from the UK in 2006 and her struggle to find good providers for all of her needs. Google can provide you with names but you don’t necessarily know if the names given are good names so the idea was planted. After life circumstances changed she needed to look out for herself and her children and worried about being taken advantage of and also noticed that there was something missing in our business community. People getting ripped off or treated poorly and not being held accountable. Her business model instead rewards the reputable business people and ensures high standards and excellence. Trusted was founded on the principal that good businesses deserve promotion and they don’t allow too many of each provider to be part of the Trusted group.
By being awarded the “Thumbs Up” by Trusted Saskatoon means a lot to me as your Trusted Saskatoon REALTOR. I have been in the business for 5 years and believe that I have done a pretty good job of making a name for myself by being a Saskatoon real estate agent people can trust and rely on. While I understand that I can’t make everyone happy all the time as long as the majority are happy with the value and expertise I have brought to their largest purchase or largest sale, I have done what I have set out to do…all the while getting to know my Saskatoon real estate clients.
Trusted Saskatoon is not just a business directory where any business can list. They do their research and call references (up to 20) and will not allow you to be part of the group if the feedback is not as high as their standards. There are two other great Saskatoon REALTORS involved with Trusted and I am happy to be the third member to have achieved the Trusted “Thumbs Up”.
If you are looking to purchase a house for sale in Saskatoon or looking to put your house for sale in Saskatoon contact me to see what I can offer you and be confident that my years of experience combined with the Trusted Thumbs Up means I will take care of you and your Saskatoon real estate needs.
Thank you to my previous Saskatoon real estate clients who spoke so highly of me to the team at Trusted Saskatoon. I appreciate your business and your friendships.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
New School in Warman-Good News for Warman Real Estate
Warman is one of the fastest growing communities in Saskatchewan and they have just announced a new school to open in 2013 which will help alleviate a lot of the stress and overcrowding of the current schools in Warman.
It was announced in the Saskatoon Star Phoenix on the weekend that there will be a new middle school opening and is under construction. This will be a middle school, which is rare in our province, as normally our schools run from K-8 and 9-12. They presently aim to accomodate Grade 4-8 at this new school that will be attached to the new 100,000 sq ft rec complex, The Legends Centre. The project is approximately $21.5 million dollars and will be able to comfortably fit 700 students. There are currently 750 students in Grade 6-12 and 769 students in Kindergarten to Grade 5 in the Warman schools. This is about 130% capacity, so kids are crammed in and students have to take staggered bathroom breaks, cram into computer labs and spend less time in gyms than they should.
September may be an issue as the elementary school has been growing at about 6% per year and the high school by 8%. This means about 50 more students to each already overcrowded school in September.
The new school’s location is ideal for leasing space from the Legends Centre for use of one of the two indoor soccer fields. These fields can also be used for sports such as tennis, badminton or basketball. The town library will also be part of the school building and the 400 seat theatre in the school will be available for rent by other community groups.
With Warman being one of the fastest growing communities this is imperative. Real estate in Warman is always steady as it is still a nice town to commute from (although the town has surpassed the requirements to become a city according to our latest statistics with a population of 7048.
As a real estate agent in Saskatoon I often show properties in Warman as it is so close to the city. I have sold many homes in Warman to people who commute to the city.
If you are thinking about buying a house for sale in Saskatoon or surrounding areas, Warman is definitely a nice community to consider (especially if you don’t yet have kids in school-once the new school is built it will be even more popular). Once this school is finished I think we will see more real estate in Warman selling faster as the school situation is definitely a concern for my home buyers. If you need an experienced REALTOR in Saskatoon or surrounding areas please check me out as I would love to help you purchase a home for sale in Saskatoon or area.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
New Listing-Saskatoon Condo Steps from Broadway
Looking for a condo for sale in Saskatoon that has it all? This could be the Saskatoon condo for you. Located in Nutana, this top floor condo is literally steps from popular Broadway Avenue where you can find amenities such as groceries, restaurants, coffee shops, clothing shops, pubs, art, etc. Broadway is the most happening area in Saskatoon and is home to festivals and events all year long.
For a full list of businesses check out the On Broadway website. You can literally find everything you need on or just off Broadway Avenue. Antiques, Art, Bakeries, Bars, Butchers, Florists, Footwear, Health & Wellness, Theatres and Travel. This is the ‘artsy fartsy’ district of Saskatoon and very popular for a wide variety of reasons.
This condo for sale in Saskatoon features 2 bedrooms and 2 bathrooms. Master bedroom is large and has a 3 piece bathroom and walk-in closet. For guests or an office you have a second bedroom as well as a 4 piece bathroom. This condo for sale in Saskatoon has seen many upgrades such as new wood flooring in dining, kitchen and living room, upgraded granite in the kitchen including an eating bar, new lighting throughout (including professional removal of the ‘sunshine ceiling’), new counters/sinks and hardware in both bathrooms as well as ceramic tile flooring.
This unis is a top floor condo in a popular building with an elevator, rec/games room, underground parking and extra storage. If you are looking to buy a house or condo for sale in Saskatoon this is a great opportunity. Whether you are downsizing, a first time buyer looking for easy living, if you are a parent looking for your kids while they attend the U of S or College or if you are an investor this a great opportunity for move in ready. If you are looking for a trusted REALTOR in Saskatoon call or email me.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
Saskatoon Real Estate Market Update for March
The Saskatoon real estate market continued to be hot in March. When looking at the entire first quarter of 2012 there was an increase of 14% from the same period in 2011 and combined with this the amount of houses for sale that were listed were down 2% from the same period.
At the end of March we had 1053 houses for sale in Saskatoon which was down 66 units from the year before. All price ranges have been busy but the activity in homes for sale in Saskatoon priced over $350,000 was up 140% from 2011 and compared to last March sales in $450,000-$500,000 was up 243%. This also affects the average house price in Saskatoon which was up 9% to just under $319,000. These higher range houses for sale in Saskatoon that are getting offers is what is helping to drive the average house price in Saskatoon upwards.
Saskatoon’s real estate market continues to be what we call ‘balanced’ but certain price ranges tend to be hotter than others and with lower supply and high demand this means we aren’t balanced in all ranges.
At the end of March we had 1000 houses for sale in Saskatoon and surrounding area with 631 actual properties for sale in Saskatoon and 494 sales.
If you are considering buying a house for sale in Saskatoon or a condo for sale in Saskatoon call or email me as I would love to help you with the largest purchase of your life. If you are thinking about selling your house in Saskatoon call or email me to find out how using my full service can get you the best exposure for your home. I am a trusted Saskatoon REALTOR with 5 years of experience and over 300 clients helped.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
Economy is Red Hot In Saskatoon
Saskatoon is forecast to lead the nation in GDP growth in 2012 with 3.6%, closely followed by Calgary at 3.5% and Edmonton at 3.2%. Regina was the leader in 2011 with gross domestic product growth of 6.1% followed by Saskatoon and Edmonton. Saskatchewan’s economy keeps on growing.
The forecast shows that from 2013-2016 Calgary should lead, followed by Edmonton and Saskatoon. Senior economist, Rob Wiebe, says “Saskatoon has been red hot” and is not surprised that Saskatchewan’s economy has been boosted by resource extraction and a good agricultural picture. There is a lot of demand for food and of course with potash helping produce food this plays into the demand. We also have the Bakken Oil field in Southern Saskatchewan and nuclear is being re-examined so our Uranium reserves continues to play a role.
Saskatoon is doing things to keep up with the growth and to prepare for further growth such as a new art gallery, River Landing, a new police station and water treatment plant. The economic boom has also fuelled a population explosion in Saskatoon, up 10,000 from 2011 our new population is 270,000. Due to the demand of food, fuel and fertilizer Saskatoon should continue to see growth and our positive migration is an important forecast for the future. We are seeing approximately 500 people a month move to Saskatoon and I can see this in the Saskatoon real estate community as well.
Real estate in Saskatoon is as busy as ever with demand for both houses for sale in Saskatoon and rentals in Saskatoon. I have been getting more requests lately for rentals, however I do not deal in property management so hopefully I can flip some of these would be renters into Saskatoon home buyers.
If you are thinking about purchasing a house for sale in Saskatoon there is no time like the present as demand will continue to increase and supply will continue to be tight as Saskatoon home builders cannot keep up with the demand.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
Willowgrove Commercial Project Now Under Way
As a Willowgrove resident I am looking forward to seeing our newest project come to fruition. I have been walking my dog past the ‘mixed-use development’ area for the past 2 years wondering what will be going here and when this will be started, so the Star Phoenix article today made me happy.
Baydo Development Corp, a locally owned and operated land and real estate developer in Saskatoon, will be building a 75,000 square foot commercial and residential building which is a key project for Willowgrove. Their intention is to have space for small shops plus residences above the stores. The plans have a 25,000 square foot main level with 10 retail stores and the top 2 floors will consist of 48 one and two bedroom residential units which have a projected sale price of $180,000-$220,000 and their plans are to make these rental units.
Their plan is to make this as eco-friendly as possible and having solar power to preheat the boilers which should work for temperatures as low as -15 degrees which means lower than normal operating fees. The project is meant to be started this spring and finalized by September, 2013.
They already have a small convenience store for one of the spots and are looking for boutique-style stores such as a coffee shop, salon, small clothing store, etc.
There is one more property for sale in Willowgrove that is slated for the same type of development and Evergreen has similar plans for the same type of development. While most lots for sale in Willowgrove have been sold and construction of single family homes in Willowgrove is coming to an end there are still a lot of multi-family dwellings being constructed.
As a REALTOR in Saskatoon who has sold many houses in Willowgrove I am pretty excited that there is just one more thing to offer the residents. Just another great reason to buy a house for sale in Willowgrove as our neighbourhood is rounding out.
Kari Calder
Saskatoon Real Estate Agent
Century 21 Fusion
kari@saskatoonrealestate.net
