While many Canadians have a good understanding of financial services terms, a recent Angus Reid survey revealed that only 51 percent of respondents were confident they knew what a mortgage deposit was, with 48 percent admitting they were "not very confident" or "not at all confident" they understood the term.

It's easy to see why there's some confusion over the definition, as homebuyers often use the terms "deposit" and "down payment" interchangeably.  While they both refer to money put forward in the home buying process, here's some clarification of each term:

A deposit is comprised of the initial funds the buyer submits during the offer process to secure or commit to a property they wish to purchase, as a gesture of trust and good faith to the seller.  It's typically made at the time the offer is made, or upon acceptance of the offer.  There's no typical amount for the deposit, although 5 percent is the norm and in a hot housing market, an offer with a higher deposit could be more attractive to the seller.

If the seller accepts the offer, the deposit will typically be kept in a trust account - usually by the seller's brokerage - until it becomes payable.

A down payment is the money the buyer pays to the seller to be eligible for financing once the offer is accepted.  It's a lump sum that's paid out of the buyer's pocket, not financed through a mortgage.  When the time comes to close on the home, the deposit will go toward the down payment and will be credited toward the home's purchase price.

Are you planning to make a move this summer? 

Call Rodeen Antrobus - Broker or Tami Antrobus - Sales Representative today for the latest market update!

PINEAPPLE DESIGN

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The benefits of having a room plan

A successful room that you enjoy spending time in can be achieved by creating a room plan.  The room plan lays out how best to use the space as well as sets the design and style to be achieved.  The way you feel in a space is influenced not only by the specific furnishings in the room, but by how they fit together, the existence of focal points, balance, textures and lighting.  This is the easiest time to make changes if desired before anything has been ordered.  A room plan incorporates any existing furniture you may want to keep as well as shows any furniture to be added.  The plan also includes all the colour, fabrics, window coverings, carpet and lighting that are necessary to complete the room.  Once all the selections have been finalized, a budget can be confirmed.  You know that when everything arrives it fits and money is not wasted.  Without a plan, purchases are made without seeing the whole picture and the results will reflect this.  Having a room plan not only ensures the best use of space and furnishings for the room, it alleviates stress for the client since they know how everything will work together before anything is ordered.

Pineapple Design is a full service Interior Planning and Furnishing company. The services we they provide you with will not only enhance the enjoyment of your home, but also add value to your investment.

Services Include:

• Interior space planning 
• Custom draperies and blinds 
• Custom sofas
• Custom headboards
• Colour and design consultation
• Art consultation and selection
• Fine Linens made to order

To discuss your needs, please call Garry or Vanda and Let them know you saw their blog on Rodeen.com

 "The benefits of having a room plan"
at 905 209-8989

It's time for homebuyers and sellers to take a deep breath...the busy real estate season is ready to take off!  What's the forecast for this year's real estate activity?

Research by the Bank of Canada suggests that tightened mortgage rules will reduce sales activity in housing markets across Canada, particularly in and around Torono and Vancouver.  Meanwhile, potential homebuyers throughout other areas of the country are anticipated to pause on the sidelines, as they save up larger down payment before purchasing and contributing to a modest improvement in sales activity during the second half of 2018.

The Canadian Real Estate Association (CREA) notes that the anticipated decline in Canadian sales activity in the fist half of 2018 due to an erosion of housing affordability from tighter mortgage regulations may be mitigated by a number of factors.  Some buyers who qualify for a smaller mortgage may purchase a lower-priced home, while others may opt to stretch the amortization period to allow for more affordable monthly payments when financing their purchase.

It's at times like this, when home sellers need help with crafting a well-honed and executed listing strategy in order to maximize their home's selling price and minimize the time on market, and home buyers struggle with affordability concerns, that the services of an experienced real estate sales representative become even more crucial.

Are you thinking of buying or selling this year?  Please remember that you're welcome to call wtih any and all of your real estate-related questions - there's never any obligation!