New Homes
New Homes
March shaping up as ultimate home month
I know that we're only 11 days into February, but I'm already excited about March as it is going to be a terrific month for everything relating to the home. It's going to be so exciting and so busy, planning needs to start now in order to see it all.
From March 3-25, the Spring Parade of Homes returns for another tremendous showing. Although specific details do not get released until the start of Parade, rumour has it that there will be 104 new homes featured this year; an all-time record number.
The ever-popular Parade magazine will be out again and online at the Manitoba Home Builders Association and the Winnipeg Free Press. You will also be able to follow reviews of the various homes on live blogs and Facebook sites.
However, nothing can compare to seeing these fabulous homes in person.
So, get your runners ready and mark off the dates, because you will need the extra time in order to get to all of the spectacular show homes that Manitoba new home builders have to offer.
On Wednesday, March 7, the Winnipeg Realtors Association is hosting the third annual Gimme Shelter fundraiser at the Tijuana Yacht Club for the MREA Shelter Foundation. More information is available on both of their websites concerning donations and tickets to this great event.
Finally, on March 30, 31, and April 1, the 38th annual Home Expressions Home and Garden Show returns to the Winnipeg Convention Centre. Everything you want and need to know about your home can be found under one roof that weekend. By going to www.homeexpressions.ca, you are going to find the hours of operation and ticket information.
As it gets closer to show time, there will be lists of the various exhibitors and the special presentations. What is confirmed now is that the mega-popular Steven and Chris will be here that weekend. Their presentations are always informative, entertaining and sure to delight the audience. Keep an eye on the Home Expressions web site and this column for ticket information to ensure that you see Steven and Chris this year.
Finally, do you know what else is related to home this March? Our Winnipeg Jets have seven home games in their March to the playoffs. March is going to be the ultimate home month for so many reasons.
Mike Moore is president of the Manitoba Home Builders' Association.
New Homes
New seniors complex in Steinbach excels in energy efficiency
Manitoba’s third most populous town opened its doors today to a 52-unit seniors complex.
The affordable units were built in Steinbach with more than $3 million in federal and provincial money.
The new complex, called Bridgepark Manor, is designed to support and enhance independent and healthy living.
The three-storey building, which contains a guest suite, is designed to meet Manitoba Hydro Power Smart Design standards, including enhanced energy efficient standards for insulation, windows, lighting and electrical systems. All suites have been designed to be fully accessible for seniors.
Rents are set at the current median market rents for the Steinbach area. As well, up to 10 units will receive rent supplements.
The Government of Canada, through CMHC, will invest more than $2 billion in housing this year. Of this amount, $1.7 billion will be spent in support of almost 615,000 households living in existing social housing. In Manitoba, this represents some 41,250 households.
New Homes
Winnipeg rental costs make it a 'tight' market
Two studies came out last week which shed additional light on the status of housing in Winnipeg. The first, by the Altus Group, dealt with availability. The second, by the Frontier Centre, dealt with affordability.
The Altus Group looked at apartment rental markets across Canada. To no one's surprise, Winnipeg fell into the "tight" market. That is, we have a vacancy rate of 1.1 per cent, the second-lowest in Canada, behind only Regina and tied with Kingston and Guelph. At the other end of the spectrum, in a "soft" market, is Windsor with a vacancy rate of 8.1 per cent.
The 34 cities that were reviewed averaged a 2.2 per cent vacancy rate with an average annual rent increase of 2.7 per cent and an average monthly rent (two-bedroom) of $883. Winnipeg sits close to the national average in most categories except for the fact that we have very few vacancies.
However, when one breaks down the categories further, they see that among those listed as "tight" markets, Winnipeg has one of the lowest average monthly rents, likely explaining why there are so few rental units available.
The Frontier Centre looked at housing affordability and concluded that Canada is the third most affordable country in the world, behind only the United States and Ireland. However, they were careful to note that housing should be looked at on a local perspective rather than nationally or worldwide.
The reason for saying this is that Vancouver sits at the highest end of Canada's unaffordable housing market whereas Windsor and many eastern seaboard cities sit at the low end or extremely affordable. Winnipeg, as you might imagine, sits in the lower third of the 34 Canadian cities or, as often noted here, a most affordable place to buy a house.
The report offers a number of explanations for this discrepancy. One, of course, is consumer demand. There is no doubt that many more Canadians want to live in Vancouver than Windsor. Local policy won't change this fact.
However, with each year of this study completed, the Frontier Centre does advocate that local policies geared toward making buildable land available are the greatest factor that policy makers could change if they wanted to improve housing affordability.
Markets that limit the use of land for new developments invariably increase the value of that land and the cost to new consumers.
Mike Moore is president of the Manitoba Home Builders' Association.
New Homes
Building permits are not optional paper
Almost 15,000 people enjoyed a tremendous Kitchen Bath and Renovation Show recently. There were many products and services on display that provided consumers with considerable information for their next renovation project.
The show provided considerable impetus to convince people that the project they have been thinking of is definitely within reach.
Last Saturday in this section of the paper, Mike Holmes provided sound advice when proceeding with a renovation. He talked about the importance of obtaining a building permit. Yes, these things can be a nuisance. You have to fill out forms, pay money and wait for them to be processed. Furthermore, the friend of a friend who is doing the work for you told you that you don't need a permit and he'll do the work for cash to save you even more money on taxes. WRONG!
Your first step should be to get a new contractor because this person is going to send you directly to the poorhouse. The City of Winnipeg has a tremendous website within the Planning Property and Development Department that clearly explains when you do and do not require a building permit. Consult this first as your building permit is your insurance policy.
Next, find an honest renovator, one who takes out all necessary permits, one who collects and pays all appropriate taxes and one who has the necessary insurance. In other words, one who follows the RenoMark Code of Ethics.
In Mike Holmes' column, he stresses the importance of the building permit. He talks about how the permit is a permanent record of the building activity to be done. The city or permit granting agency then has an obligation to follow up with an inspection to make sure everything has been done right and building codes and practices have been followed.
Mike is very direct in saying the building permit is the responsibility of the homeowner. I would alter that slightly by saying it is the responsibility of the homeowner to make sure the contractor has taken out all necessary permits. Don't let work start without them.
Don't take them out in your name because the name on the permit implies responsibility and liability for the job and work site. A truly professional contractor knows the system and willingly accepts responsibility for the job.
Mike Moore is president of the Manitoba Home Builder' Association.
New Homes
Purchasing new home now more affordable
The Bank of Montreal recently announced a five-year fixed mortgage rate of 2.99 per cent, the lowest advertised rate for that term by any major Canadian bank ever. Other banks and credit unions have responded to this with their own fixed rate deals, some a full point less than what they were previously offering.
Although this is being promoted as a short-term deal with additional restrictions, it does mean that qualified persons in the market for a new home are going to be able to take advantage of the savings like never before.
There are a variety of schools of thought for why the borrowing rate has decreased. The bottom line for consumers is that it has decreased, and fairly significantly. What makes this more dramatic is that for months we have been hearing from some sources that rates were going to increase when, in reality, the exact opposite came true.
Before going any further, I want to clarify that this change in rate has not made money easier to access; it has not suddenly become open to unqualified shoppers; and this is not some bargain basement sale to encourage Canadians to take on more debt. It is a realization that for those persons who are in a positive financial situation that enables them to purchase a new home, some financial incentive is being provided to do so.
The savvy buyer has the opportunity to create a payment schedule that fits within their existing comfort zone and to pay it off faster. For those concerned about their debt load over a period of time, this lower rate will permit the consumer to better stay within their means while continuing to save money for other expenses or emergencies.
In a competitive market, the consumer definitely wins.
This column has been espousing for some time that it was a good time to buy a new home. Manitoba new homes continue to increase in value over time, thereby making a new home a much less risky investment than many other ventures. Manitoba new homes are the best built and most energy efficient in Canada, also making them more healthy homes.
With the lowering of mortgage rates by various financial institutions, purchasing a new home has now become more affordable, another reason why now may be the best time to build a new home.
Mike Moore is president of the Manitoba Home Builders' Association.
