Property Tax Bill-One Bill You’ll Never Burn : February 2016 Monthly Budget Review

THE TAX MAN HANGS AROUND FOR LIFE   In February like clock-work we get a letter in the post from the city about our new tax rate along with payment dates for our property tax bill. Whether it’s paying for income tax, property tax, product tax or anything that says tax you know you’ll never get away with dodging it. Which is why there are two certainties in life: death and taxes Every year the property tax bill gets higher and higher but that’s expected I suppose since it goes to pay for various things in the community such as municipal services, police, fire, transit and so on. I received an email from a young couple in the process of buying their first home and they wanted to know what the best way was to pay for their property tax bill. Dear Mr.CBB, My wife and I are just finalizing the sale of our new home and were wondering how we should pay for our property tax bill in order for our budget to balance. What else is there that we need to know about our new property and our tax bill? Thanks for any tips. -Chris and Angela If […]

Does your neighbours home improvement really affect your property value? : The Saturday Weekend Review #101

BABYSITTING THE PROPERTY MARKET   Your property value is determined by many factors and whether your neighbour paints his garage door pink or purple that has nothing to do with how much your home is worth. Sometimes I can’t get over how some neighbours pick on each other for the silliest of things. Earlier this year we talked about one of our neighbours who hardly ever cuts the lawn. We got serious about overcoming laziness as a homeowner and joked about renting a goat. That was a legitimate complaint because there is a city by-law against leaving your lawn to grow to a certain height. Sure if the homeowner were to sell his house it may impact how much someone would be willing to pay him. The house might deter potential buyers of other homes that are well-kept but for the most part I don’t think it would bring down property value of all the homes. When a homeowner lets their home fall apart that’s when I’d start to worry but not if they are making improvements to the home and keeping the property looking good. It becomes a pain in the butt when the neighbourhood patrol group picks on […]

The Saturday Weekend Review #41: Would you buy a house that has a spooky or illegal past?

Behind Closed Doors Lurks A Story You Might Want To Know You are looking for your dream home when you suddenly find it but then you also find out there is more to the home than meets the eye. Getting my daily dish of Yahoo this morning I was reading about whether Satanists decrease the value of a home. The article had me thinking about what other things might decrease the value of a home that was out of the ordinary and would I put an offer on a home of that calibre. I don’t suspect the property assessment with the Multiple Property Assessment Corporation (MPAC) would be affected as they value the homes that are comparable in the neighbourhood so we might not see any value decrease reflection documented when the paperwork arrives. Then again, what do I know? Whether it was a grow op house for sale, illegal activities, someone may have died or even worse was murdered inside of a house would you put an offer in on a house you fall in love with knowing this information? There was a time last year where a beautiful home sitting on a large property in our city was […]

Buy or Sell First: One Home, One House, Two Mortgages And A Pool

Deciding whether to buy or sell first can be a difficult decision that face home owners. It is a decision that if not executed properly could leave a homeowner with 2 mortgages and lots of stress. Owning two houses sounds like a great real estate investment but not when one is a home and another is a house you are trying to sell. This is the case with a neighbour of ours who is living the stress yet fails to see the problem, is the price of the house. Typically in the UK we would sell our home first with a reasonable closing date and then look for a new home to purchase. Research What to do when buying your first home? That’s easy, research! Talk to professionals and get tips and advice so you aren’t heading down a path where you want to tear your hair out. The same goes when you’re looking for things to do when selling your home, research. When I sold my home I did my research first, granted I wasn’t buying a second home I was moving to Canada. I had estate agents come around and value my home and I averaged the values out […]

Becoming a Single Homeowner – Part 1 “The Plan”

I’ve noticed a trend lately. The usual client that darkens my door is changing. There is a marked increase in Single person – home purchase applicants. And this trend is being led by the ladies. And I’m not the only one noticing this. Single ladies hooking up with homes is coming to a neighbourhood near you. Mr. CBB asked me to share the experiences of the unique requirements of how the Single person approaches purchasing a home. He was very emphatic in ensuring this covers single women, men, and single parents. As there are potential additional risks and vulnerabilities with a single income and/or dependents – I submit this information to you with great respect and full gravity. With this said – I am very excited at what is transpiring here! Making the move from renting to home ownership carries a direct historical correlation to wealth accumulation and an increased net worth. And one thing all of my single clients are in agreement on is having an opportunity to increase their financial position. So with this in mind – here are some simple steps to increase your shot at owning your home. It All Starts With A Budget – And A Plan […]

Market Value, Appraisal Value, Assessed Value….How did they Value my Home?

Undoubtedly, one of, the most important considerations when deciding to sell your home, is its’ value! Home-owners want to know the market value, assessed value and the appraised value. Some questions a home-owner may want to know and these are all relevant questions are: Has my equity increased? Has the neighborhood’s value increased? Is my valuation, in line with industry professionals? How much is my home worth? Ultimately the market value of your home is whatever someone is willing to pay you for it. An appraisal value is a value determined by the study of comparable properties and local market conditions. It is, in reality, an educated guess about what the market value may be. The assessed value of homes in Ontario is done by MPAC and is a (CVA) Current Value Assessment which is a common standard used for property assessment jurisdictions in North America. MPAC uses 3-5 years of open-market sales in the area to determine the current assessed value of surrounding properties. Assessed values often come in at a lower evaluation than market value or an appraised value. It is almost as if MPAC is a year or two behind in their evaluations. Here are the steps I take to appraise the value […]

MPAC Assessment And The Value Of My House

Most people have a vague idea what MPAC (Municipal Property Assessment Corporation) is and what the purpose of the property assessment is. When you finally make the decision to stop renting and buy your first home you learn about things such as what an MPAC assessment is and why you need to have one. You get a letter in the mail that says your house is worth less than what you paid for it and you scratch your head wondering what the bloody hell they are going on about. If you are like us we didn’t know what the Market Value, Appraisal Value, Assessed Value was. How Did they Value our Home? Good Question! We paid our mortgage in full after 5 years of owning our home in 2014 but that doesn’t mean we get to wash our hands of our MPAC assessment and property taxes. We are still responsible as homeowners to contribute to services with-in the city and the education system. Related: Property Tax Bill- One You’ll Never Burn   MPAC Property Assessments   That used to be us but we have since done our research and here is what we learned. When we purchased our first home in 2009 we […]

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