Monday March 2014 is the last day to contribute to your RRSP's (Registered Retirement Savings Plan) for the 2013 taxation year. RRSP's are one of the ways you can save for retirement giving your money a chance to grow without having to pay taxes on it now. At the same time as making your contribution you may be able to benefit from an immediate tax reduction. Here are links to 3 of our major banks and BC's largest credit union offering advice on what you need to do!

Please give us a call and we would be happy to put you in touch with the contact information for investment professionals we know and trust.

Vancity

Retirement Planning

RBC

Retirement Planning


TD bank

Retirement Planning


Scotiabank

Retirement Planning

If you're thinking of making a move within the next few months, there are two important things you need to know.

The first is the market value of your current property. That's the amount your home will likely sell for in today's market. When you know its market value, you'll have a better idea of how much money will be available to invest in a new home.

The second is an overview of what's available on the market. Which of the homes currently available for sale meet your criteria with respect to type of home, special features (such as a big kitchen or pool), neighbourhood, etc? How much are these homes selling for?

With those two pieces of information, you'll be able to make a better decision.

A good REALTOR® can get that information for you. Give us a call today.

CMHC (Canada Mortgage and Housing Corporation) announced today that they will be raising the insurance premiums in order to insure mortage loans by up to 15% depending on how much money a Buyer has to put down on their mortgage.

Many home Buyers only have 5-10% to put down on their mortgage, unless they have a 20% downpayment then they will need to have their mortgage insured by 1 of the 3 mortgage insurance companies that we have here in Canada - CMHC, Genworth or Canada Guaranty. It will be interesting to see if the other 2 companies follow suit.

Overall this increase could add thousands of dollars to the overall purchase price when amortized over a number of years. CMHC estimates this increase will only add on average about $5/month. 

Certainly nothing to panic about and isn't expected to affect the housing market adversely. But for those Buyers concerned about having mortgage insurance premiums it is good information to have. 

Great news for First time Home Buyers. The BC government came down with their budget yesterday and Finance Minister Mike de Jong announced a new savings for First Time Home Buyers by raising the tax threshold from $425,000 to $475,000. 

Which means as long as you are a Canadian resident, have lived in BC for at least a year, never owned a property anytime or anywhere in the world. Then as of today you will likely qualify for full exemption of the Property Transfer Tax owed on the purchased property as long as the purchase price is $475,000 or less. You may still qualify for a partial exemption if the purchase price falls between $475,000 and $500,000. This could amount to up to $7500 savings to First Time Home Buyers.

Having volunteered on the government relations committee for a couple years, I know how hard our Fraser Valley Real Estate Board has been working at lobbying the government for years to make these changes. The tax threshold was implemented in 1987 as a wealth tax. In 1994 the First Time Home Buyers Program was introduced and the threshold has remained the same since then, when house prices were much lower. Our government relations committee has been trying to get the threshold raised to $525,000 and even though it was only raised to $475,000 it shows their lobbying was worth it. 

I know The First Time Home Buyers we are presently working with are quite excited to be saving a few dollars. Providing them some extra money in their pockets that they didn't think they would have.

For full details visit the following link:

First Time Home Buyers 

When you’re shopping for a new home, you want to find a property that has all the features and characteristics you want. A large deck surrounded by picturesque landscaping ... a beautiful kitchen with gleaming marble countertops... a cozy finished basement with fireplace....

You should look for the ideal home. You deserve it! But some home buyers make the mistake of becoming fixated on finding the "perfect" property, and passing too quickly on those homes that don't quite measure up.

Why is that a mistake? Because some of those less-than-perfect properties have the potential of becoming your next dream home.

First of all, a home that is lacking some desirable features, such as a finished basement, will probably cost less. Those savings may be more than enough to cover any needed upgrade or renovation.

Secondly, if you look at a home in terms of its potential, rather than the features it happens to have now, there will be more properties available on the market for you to consider.

If you're determined to have a large wrap-around deck for entertaining, for example, don't cross homes that don't have this feature off your list. At least not yet. Instead, view these properties with an eye on potential. Is the backyard big enough to accommodate a large deck? How would a deck like that look if added to this particular property? How much would such a renovation cost?

There's no doubt about it. You want to find a home that has all the features and characteristics you want. If you work with a good REALTOR®, there is a good chance you'll find a property that has most of them.

But keep an open mind. Sometimes a "diamond in the rough" can – with an upgrade or renovation – become a home you'll treasure for years.

I came across a great article from a local Home Inspector - James Bell from Solid State Inspections and thought I would share. Not only as a Realtor but as a homeowner myself this information is quite handy. I am sure every home owner has wondered about their hot water tank and how long it will last. 

Hot water tanks are still the most common method of providing domestic hot water for showers and washing however hot water tanks have the shortest service life of the major mechanical systems of the home. I’m often asked by clients some common questions about hot water tanks.

Why Do Hot Water Tanks Have Such Short Lives?

The primary failure method for hot water tanks is to spring a leak and this leak is typically caused by erosion of the inner pressure tank. Essentially, oxygen molecules in the water supply will cause the metal in the tank to rust. The reason hot water tanks have shorter lives than other water/metal mechanical systems however has to do with some additional unique characteristics of a hot water tank. 

The speed at which metal will ‘rust’ will speed up when there is a fresh source of oxygen, chemical reaction catalysts (like natural salts and minerals) and even heat and pressure can speed up the process. As hot water tanks have a constant supply of fresh oxygenated water, and generate heat under supply water pressure, rust is inevitable. The real wild card however in how long a hot water tank will last is based on the mineral content of the supply water to the home. This mineral content can speed up rusting in the tank censurably and is highly variable in different communities.

How Long Does a Hot Water Tank Last?

Predicting the failure of mechanical equipment is a statistical experiment. On the short end, tanks have been known to fail in as little as 8 years, and in some cases, I’ve seen original hot water tanks in 20-25 year old homes. The industry ‘average’ for hot water tank life is usually considered about 10-12 years.

When Should I Replace My Hot Water Tank?

This question is all about managing risk. If you absolutely cannot risk a water leak from a hot water tank, you should be pretty safe replacing it every 8 years (by pretty safe, that still means a small risk of premature failure). As a home inspector, I start to warn people of probable failure when the tank is about 10 years old and recommend replacement on all tanks over 12 years of age.

Another part of the risk to manage is what happens if there is a leak. In many house basement mechanical rooms, there is a drain a few feet away ready to collect water from a potential leak. In these houses, there is less risk of damages from a leak. However if you live on the 4th floor of a wood frame condo and there is no drain around your hot water tank, repairs to the building below you could be very expensive in the event of a leak.

How Can I Tell the Age of my Hot Water Tank?

This is one of the most frustrating parts of my job as for some reason the labelling requirements for hot water tanks don’t include an obvious date code. Every manufacture uses a different combinations of letters and numbers (usually in the serial numbers) to determine the month/year or week/year of manufacture. Fortunately, most of these codes can be looked up by inspectors or home owners on the internet but for some brands such as Sears Kenmore units (which are made by other factories), the code system can be nearly impossible to determine. With experience however, home inspectors can observe other components like gas valves, installation methods, and temperature pressure valves to get a closer idea of the date of the unit.

Do Tankless Hot Water Heaters Last Longer?

Tankless hot water heaters still have metal, oxygenated water, oxidization catalysts, heat, and pressure and are also slowly working their way to failure. There has not been a good history of these units to predict life spans however most home owners are being cautioned to consider the same 10-12 year life spans.

Final Thoughts

While hot water tanks have a short life compared to most other mechanical systems, they are much less expensive than most mechanical systems. Installation costs can vary as different municipalities may have different permit and code needs but it is often comparable to the price of a ‘good’ dishwasher.

If you are unsure about the age or condition of your hot water tank, call your local home inspector, service technician, or a competent handyman to help you know if your tank is safe and solid.

By James Bell - Owner Solid State Inspections Inc.

A quick lesson in wood floors

Thinking about installing wood floors? The first decision you need to make involves the type. According to the National Wood Flooring Association, there are four types:

Unfinished. This type requires you or your installer to sand and apply a finish. If you want a specific colour or style, or you're trying to match existing flooring, this might be the best option for you.•

Factory finished. As the name suggests, this is flooring that has its finish applied in the factory. Although it is more expensive, factory finished flooring can be installed faster and can be walked upon immediately.

Solid. This is flooring that is made from a solid piece of wood, top to bottom. The advantage is that it can be sanded and refinished many times over the years, or even decades.

Engineered. This is flooring that is made of thin layers of wood pressed together. It can be engineered to be very durable and expand and contract less than solid flooring. 

The type you choose depends on your needs. Talk to your dealer or contractor about your specific application. 

If you are wondering if wood flooring is the way to go and not sure what other options there are here are 12 tips for choosing the flooring that best suits each room

I blogged about Enviro Can Clean at the end of the summer and after garbage day yesterday thought it might be a good idea to remind people of their services again.

Click the following for my Previous Enviro Can Clean blog:

Enviro Can Clean - Bettina Reid Group blog September 2013

Over the holidays a lot of food scraps and turkey carcasses etc have been dumped into our green bins. I can just imagine the state of some bins out there. Mine isn't too bad after having it cleaned at the end of the summer. But even I am thinking it may be time for a refresher.

After a family member mentioning how they got tired of using those bags because of how much their family eats fruits and vegetables. She then told me how bad her bins were getting and when she tried to clean the bin herself she almost fell in. I told her about Enviro Can Clean and hopefully she remembers to book them before she falls in next time. :)

As great as all the tips are for trying to maintain your bins, why not schedule Enviro Can Clean to come out a couple times a year to ensure the cleanliness around the outside of your home. Save you from falling in to your bins. :)

To book your cleaning today click on the following link:

Enviro Can Clean

In this day and age, who isn't looking for tips to make life easier. The holidays are over and January is all about fitness and organizing. Here are a few organizing tips. Some I have seen before and a few new ones. I think everytime I see these articles and blogs come out, I always seem to find at least one or two tips that help to make my life easier.

Click the following link for the new Tips and Tricks:

The latest Tips and Tricks

Let us know what your favourite organizing tip is.

In case you missed the last couple years tips and tricks please visit my previous blog:

January 3, 2013 blog on Tips and Tricks

It's that time of year again where everyone in British Columbia will be getting their BC Tax assessments in the mail over the next few days. If you still haven't received yours by the end of next week, you may want to contact the BC assessment office at 1-866-valueBC (1-866-825-8322). You can also check online at BC assessment where you can find your own BC assessment as well as compare to your neighbours or other homes in the area.

Overall residents will see marginal changes here South of the Fraser River as prices haven't changed much over the last year, but some of the northern areas of the province are seeing huge increases due to mining and the potential natural gas pipelines.

An interesting fact - over 98% of property owners accept their property assessment without proceeding to a formal, independent review of their assessment. 

Having trouble trying to figure out how to compare your home with others in your neighbourhood? Click the following link for a how to video: BC Assessment e-valueBC - How to Use

For more information on your BC assessment and how to file a complaint visit the following link:

BC Assessment

I wrote about this in January 2012 2and shared some advice I had received from a colleague that used to work for BC assessments, if you are concerned about your tax assessment it might be worth a read:

BC tax assessments blog January 2012 

Just remember if you are considering an appeal you must file your appeal by January 31st, 2013.

One of the many questions we get asked is whether or not it is a good idea to sell your home during the Holiday season? 

I would argue that it is...People looking for homes during this time of year are usually the very serious, qualified buyers. They have either sold their home already or need to buy. 

Selling during the Christmas season and having your home decorated can actually make your home more warm and inviting. Although, you have to be careful not to decorate as you normally would. Less is always more....Which we usually say when staging your home by asking you to pack away as much as possible and setting the stage to showcase your home well. The last thing we want is to clutter it up with more stuff. Minimizing the space instead of maximizing it. Try to choose tasteful decorations sparingly. Leave presents hidden away until just before Christmas if you can. Otherwise, only have out a few. Try not to have too many religious things out. The reason is that you want people to be able to envision themselves in your home, but to see it as their home. Removing these things and photos etc., also helps to protect your own privacy.

Another great reason to consider selling - a lot of people will take their home off the market or consider not putting it up on the market until the new year. But there are always buyers out there and when this happens the inventory shrinks giving Buyers much less to choose from. Which helps keep prices strong and helps get your home sold faster. This might not happen for everybody, but if you have a good property that shows well and is priced well....then there should be no reason why you shouldn't take advantage of a slower holiday season.

We just listed a beautiful home in South Surrey and in only 4 days on the market we had an offer, much to the surprise of our skeptical clients. :) They kept asking if they should just wait until the new year and pleasantly surprised by the activity we have had so far with it being less than a week away from Christmas.

It has become a tradition in our house to pile into the car on Christmas eve and head out for a drive around the city to see Christmas City Lights . We love to go through our own neighbourhoods, even though we drive through them everyday...when you are heading one place or another you seem to miss out on the beauty around you. Which is why we venture out specifically to check them out.

But we don't just stay aorund our house, we will travel throughout the city and surrounding communities in search of the biggest displays. There are some hidden gems and we thank the local papers each year for putting out a list of some of the best light displays not to be missed. Some even have their lights set to a radio station playing Christmas music.

For a list of some of the best light displays to visit this year check out the following link: Christmas City Lights thanks to the NOW paper for publishing this for all of us to enjoy! I can't wait for Christmas Eve to make the trek around the city with my family!

Here's another list from the Province: Christmas City Lights

Might be a little late to share this from last year: Twas the lights before Christmas ...as I was going through old blogs I came across this one and forgot how great an idea this is....last year I blogged about a company that takes care of putting up your Christmas lights for a fee of course!