Bank of Canada Interest Rate Decision - October 23, 2013

The Bank of Canada left its target for the overnight rate unchanged at 1 per cent this morning. In its accompanying statement, the Bank highlighted that uncertain global and domestic conditions are delaying a forecast pick-up in exports and business investment, leaving the level of economic activity lower than what the Bank had been expecting. The Bank is forecasting growth of 1.6 per cent in 2013, and has trimmed its outlook on growth in 2014 from 2.6 per cent to 2.3 per cent. Interestingly, the Bank also noted that persistently below target inflation are of increasing importance, normally an argument for a cut in the overnight rate. However, the risk of exacerbating already elevated household debt is weighing heavily on the Bank's interest rate decisions.

Low inflation, higher long-term interest rates and the Bank's downward revisions to its economic forecast virtually rule out any movement in the overnight rate in the short term. Like the Bank, we anticipate a rebound in economic growth in 2014 that will bump inflation back onto a path back to its 2 per cent target by 2015. Rising inflation will likely necessitate a tightening of interest rates, but not until late next year at the earliest.



Fall Home Maintenance Tips!

Your Home!


Get to Know Your Home

Your home is made up of components that work togethe. These include mechanical systems and the building envelope:

Mechanical Systems


Air Conditioning

The Building Envelope

Windows, doors


Where do you start!

Home Maintenance is an important aspect of owning a home and most jobs around the house can be done inexpensively and quickly.


Drainage- The standard way of grading a lot is to have the lot sloped so that the water drains to the front. Make sure you have no clutter along the sides of the house as the water may be prevented from running away from the house; thus, seeping into the basement. If the lot slopes into the house, at certain points, be vigilant in regards to the water ingress.

Electric - You will want to have GFCI (Ground Fault Circuit Interrupter) plugs installed outdoors, if you don't already, as this will prevent shock in most cases. You can trip each breaker in the panel to test the circuit. *Caution - Turn off the power and lockout, so no one else can turn it on, before commencing with electrical work*

Garden - Trim down the roses and deciduous trees. Tie down any lattice etc. so that the wind causes no damage.

Gutters/Drain Spouts - The major reason for having these is to protect the foundation. Any down spouts that are not functioning properly should be replaced so that water can run away from the house. It is advisable to extend the down spout a few feet away from the house also.

Heater/Furnace - Step one is to put a filter in. The filter is most likely dirty from use over the summer. A new filter will help the furnace operate more efficiently and also clean up the air in the home. Vacuum the outside of the furnace and around it when changing the filter to prevent dust backups. Check that the forced air system works in all rooms by a check of the vents. Crack the heater and if it doesn't warm up, you will want to have the thermocouple tested. The heat exchanger should be checked also. You are looking to make sure that no gas is entering the clean air circulating in the home.

Paint -Paint protects the surface beneath it from water damage. Check over the outside of your home and if there are any areas that require painting, have them painted.

Roofs –Check the roof before the rainy season gets into full swing. *Caution: Do not get on top of the roof to check it.* You can check the roof from inside the attic, again using caution. On a sunny day, go into the attic and look up, if you see light coming through it leaks. If there are water stains on the beams, then it leaks. Look at the sheathing for signs of water damage. Call a professional roofer if you notice any of these signs.

Water Heater/Tank –The supply of hot water to the home is controlled by the water tank. The tank can be electric, gas powered, oil burner, solar etc…. Are there any leaks, water spots around the tank? This could indicate a rusted out heater that needs to be replaced. Check the temperature value by quickly opening and closing it. Water should run through it and drain down the drain hole. If it doesn’t open, have a plumber check it out. You can drain the tank through the drain stem at the bottom of the tank. Connect a hose to the drain stem, making sure to have the other end of the house outside, and open the value. *Caution – Beware of the hot water coming out of the tank.*

Weather Stripping -Be sure to check around the doors and windows for functioning weather stripping. Heating bills are expensive enough without trying to heat the outdoors, so fix any areas that require it.


This is not meant to be a comprehensive list, however, it will aide you in the upkeep of your property.

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If you have any real estate questions or comments, call me at 250.884.3980. or email me!




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Vancouver, BC – October 15, 2013. The British Columbia Real Estate Association (BCREA) reports that a total of 6,498 residential sales were recorded by the Multiple Listing Service® (MLS®) in BC during September, up 43.2 per cent from September 2012. Total sales dollar volume was 55.7 per cent higher than a year ago at $3.49 billion. The average MLS® residential price in the province was $537,458, up 8.8 per cent from September 2012.

"Consumer demand for housing in September was the strongest in four years,” said Cameron Muir, BCREA Chief Economist. “After declining for most of 2012, BC home sales have increased now for seven consecutive months."

"While a return to a more normal level of demand is good news for buyers and sellers, relatively weak economic conditions and muted provincial job growth will likely limit continued acceleration of home sales over the next few quarters,” added Muir.

Year-to-date, BC residential sales dollar volume was up 5.7 per cent to $30 billion, compared to the same period last year. Residential unit sales were up 3.1 per cent to 56,347 units, while the average MLS® residential price was up 2.6 per cent at $532,745.



Subject: Which renovations will improve your home's value?

Four Rules of Renovating!

1. Don't overbuild for the neighbourhood.

2. Don't spend more than the price range warrants.

3. Older homes return more on renovations than newer ones.

4. Renovate in a hot market.

The areas to focus on;

1. Kitchen - this is the most valuable area. As a general rule, never spend more then 10% of the homes value on a kitchen.

2. Bathrooms - The second most valuable area. As a general rule, never spend more then 5% of the homes value on a bathroom.

When renovating a bathroom;

Expand the size.
Put in double sinks.
Put the toilet in a seperate enclosed area.
Have a seperate tub and shower.
Add new lighting.
Install new cabinets and tops.
Use all new plumbing fixtures.

Which renovations return the greatest yeild?

Renovations are money pits of one sort or another. Very few will return a dollar-for-dollar return.

The biggest exception to this is when the home has a defect like a very dark living room or a single bathroom. Putting in another window or a skylight will add more light to the room thus improving it value. In the case of the single washroom, adding a second will add immediate value to the home.

Project Possible Max Payback

Attic conversion 75%
Basement conversion 75%
Bathroom Renovation 85%
Bedroom Addition 50%
Deck addition 35%
Den addition 50%
Family Room addition 50%
Front Door - adding new 110%
Home office conversion 75%
Interior doors upgrading 50%
Kitchen renovation 95%
Patio addition 50%
Pool - new 45%
Spa - new 55%

The actual value added will depend on a number of factors, including the age of the home, its price range, its condition, the market, and what's normally done in the area.
For more great articles and tips, visit my blog on my website. Click here for the website!
#193-1581H,Hillside Ave, v8t2c1, Victoria, Canada
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MLS® property information is provided under copyright© by the Vancouver Island Real Estate Board and Victoria Real Estate Board. The information is from sources deemed reliable, but should not be relied upon without independent verification.