A majority of homeowners in British Columbia won’t know what has happened to their property value over the past year until they receive their annual BC Assessment notice in early January 2012.

Each year, BC Assessment sends out Property Assessment Notices on December 31 for nearly two million properties in British Columbia. Local real estate sales determine the property values that BC Assessment reports based on a market value approach with a July 1 valuation date.

However, some BC property owners have received an early indication of what to expect when BC Assessment releases their 2012 Assessment Roll figures on Tuesday, January 3, 2012.

On December 5, 2011, BC Assessment sent out approximately 10,000 “Extreme Value Change” information letters to BC property owners where the assessed value of their property increased by 30% or more above their local area.

These BCA information letters are sent to property owners as part of the pre-roll consultation process for significant value change where the assessed value of a property increases more than the average increase in an area.

“Generally speaking, for property owners whose 2012 assessments have increased 30% or more above the average increase for their local community, we have provided advanced letters informing them of this change,” said Tim Morrison, Communications Coordinator for BC Assessment, in an interview with BuyRIC.com.

“For example, if the average market increase for a specific property type within a specific jurisdiction was 5% and your property increase was 35% or higher, then you would likely receive an advanced letter.”

This advanced information indicates that approximately 10,000 BC property owners across the province will see a 30% or higher than average increase in their 2012 assessment notices.

The most significant 2012 property assessment increases in British Columbia occurred in Vancouver. BC Assessment sent out approximately 1,800 of these “Extreme Value Change” letters to Vancouver property owners and approximately 800 to the North Shore, including West Vancouver and North Vancouver property owners.

Morrison added, “We provide impacted property owners with advanced notification in order to make them aware that the change will likely result in an increase in their 2012 property taxes as determined by their local municipality.”

“We want to ensure that people know that they can contact us, so that we can work with them in explaining our market analysis techniques used to assess their properties.”

BC Assessment serves to ensure accurate, fair, and equitable annual assessments throughout British Columbia. Local governments and other taxing authorities are responsible for property taxation and, after determining their own budget needs in the spring, will decide their property tax rates based on the assessment roll for their jurisdiction.

These “Extreme Value Change” information letters are part of BC Assessments “no surprises” focus to engage BC property owners and local governments on changes that might have a big impact on property valuations.

Ongoing audits, reviews, and market analyses are part of BC Assessment’s quality assurance commitment to property owners.

Canada currently has the sixth lowest Central Bank Interest Rate in the world as of April 11, 2011.

Interest rates in Canada are controlled by the monetary policy interest rate decisions of the Bank of Canada (BOC) or Canada’s Central Bank.

The Bank was founded in 1934 as a private corporation. In 1938 it became a crown corporation belonging to the Canadian federal government. As the Central Bank of Canada it is responsible for carrying out Canada’s monetary policy as defined in the “Bank of Canada Act” which is to “to promote the economic and financial welfare of Canada.

The BOC uses a “monetary policy framework” as a cornerstone of its “inflation control system” which has a goal of keeping Canadian inflation in a target range of 1% – 3% with a mid-point of 2%.

The Bank of Canada’s (BOC) main tool to conduct monetary policy is the “target for the overnight rate” which is also known as the “policy interest rate.” This rate tells major Canadian financial institutions the average interest rate that the BOC wants to see in the market where they lend each other money “overnight.”

When the BOC changes the target for the overnight rate (the policy interest rate), it changes other interest rates in the Canadian economy. This usually leads to moves in the “prime rate” of commercial banks, affecting Canadian mortgage rates and other lending rates as well as influencing the interest rate paid on deposits, GICs, and other savings.

Over the past decade, between January 1, 2001 and April 11, 2011 the average Canadian Bank of Canada “Target for the Overnight Rate” has been 2.65% with a high of 5.75% in January 2001 and a low of 0.25% in May 2010.

Historically the BOC has used its mandate to encourage a balanced approach to rate setting that leaned towards the conservative over the past decade.

As Canadian’s await another pending Bank of Canada Central Bank interest rate policy decision on April 12, 2011 we thought it might be interesting to see where Canadian central bank rates stand on the worldwide stage.

Current Worldwide Central Bank Interest Rates – April 11, 2011

As you can see from the chart above, Canada currently has the sixth lowest Central Bank Rate in the world at 1.00%.

The Top 10 Lowest Central Bank Interest Rates in the World for April 2011 are as follows:

1. Japan at 0%
2. Singapore at 0.06%
3. United States and Switzerland at 0.25%
4. United Kingdom and Hong Kong at 0.50%
5. Denmark and Czech Republic at 0.75%
6. Canada and United Arab Emirates at 1.00%
7. Euro Zone, Germany, France, Italy, Spain, Netherlands, Belgium, Austria, Greece, Finland, Portugal, Ireland, Slovakia, Luxembourg, Slovenia, Estonia at 1.25%
8. Sweden at 1.50%
9. Taiwan at 1.75%
10. Norway and Saudi Arabia at 2.00%

Out of the major economies in the world, Canada has the fourth-lowest Central Bank interest rates according to the IMF.

The major economies in the world have the following Central Bank interest rates as of April 11, 2011:

1. Japan at 0%
2. United States at 0.25%
3. United Kingdom at 0.50%
4. Canada at 1.00%
5. Euro Zone at 1.25%
6. France at 1.25%
7. Germany at 1.25%
8. India at 5.75%
9. China at 6.31%

An interesting comparison can be made of Canada’s central bank interest rates to Australia, as both countries came through the current worldwide economic recession with very resilient and strong real estate sectors.

Australia’s current central bank interest rate as of April 11, 2011 is at 4.75% while Canada’s is at 1.00%.

In response to the recent worldwide financial crisis, the US Federal Reserve dropped its interest rates to 0.25% in January 2009 and then the Bank of Canada responded by cutting its rate to 0.25% in May of 2009. The Bank of Australia never dropped their rates to these extremes. It responded by lowering its rates only as far as 3.00% in April 2009.

Canadian interest rates are still near historically low figures. How long they will stay there is up to the Bank of Canada.

We are back with another edition of the Vancouver Real Estate Reel, which contains a summary of articles published by BuyRIC.com in the month of March 2011.

Bank of Canada Keeps Interest Rates Unchanged March 1, 2011

By Kris Cyganiak – March 1, 2011

With tighter Canadian mortgage standards introduction dates looming on March 18, 2011 and April 18, 2011, the Bank of Canada today announced that it would leave its benchmark overnight interest rate unchanged at 1.0%.

This was the forth-consecutive decision to hold rates steady, following similar moves on January 18, 2011, December 7th, 2010 and October 19, 2010.

Economists were not expecting the BOC to change interest rates today. A recent pole by Reuters last week found that “most analysts predicted the bank would resume rate hikes in the first half of the year, with May 31 being the most likely date for the next move.”

To read more of this News article, click here.

Start Preparing your Greater Vancouver Home for Sale

By Andrea Jauck – March 1, 2011

The ultimate decision to purchase a home is often driven by a mixture of sensibility, rationality and emotion.

Lifestyle, location, size, type and price all factor into the emotional response that often prompt a buyer to proceed with a purchase.

The same can be said for someone selling their home, which is why a realtor like myself can help you through the process.

To read more of this Realtors article, click here.

Top Two Questions Answered about 2011 Canadian Mortgage Changes

By Mark Fidgett – March 2, 2011

The government of Canada announced new mortgage rules in mid-January that will take effect on March 18th and April 18th, 2011.

The overall rule changes cover three areas:

A) Maximum Amortization Period to 30 Years

The Amortization is the time it takes to pay off your entire mortgage. Not to be confused with the term of your mortgage. Typical mortgages in Canada have terms of five years or less during which a specific fixed or variable interest rate will apply, and the mortgage can be renewed at the end of the term.

Today’s news will reduce the maximum amortization period from 35 years to 30 years.

A lower amortization period results in an increase in the monthly payment, hence making it harder to qualify.

To read more of this Mortgages article, click here.

British Columbia Benefits from 4.0% Visitor Increase in 2010

By Kris Cyganiak – March 2, 2011

British Columbia continues to build on the momentum and afterglow of the Vancouver 2010 Olympic Winter Games.

Statistics Canada figures show that total international overnight visitor arrivals in British Columbia increased by 4.0% to 4,271,422 in 2010 compared to 4,105,613 in 2009. This almost doubled the 2.3% rise for Canada as a whole.

British Columbia is one of the most important international entry points for Canada as almost one in four (25%) international visitors to Canada entered the country through BC in 2010.

To read more of this News article, click here.

Marcraft Homes – Greater Vancouver Luxury Custom Home Builder

By BuyRIC.com – March 2, 2011

Marcraft Homes is a family-owned business in the Lower Mainland, building quality residential homes.

With its extensive experience in building custom-designed homes, it has established itself as a standard of homing building pride and excellence.

The customer’s individual needs and wishes are Marcraft’s top priority, and influence the home building process from the initial design and financial planning, to construction and follow-up service.

To read more of this Profile, click here.

Greater Vancouver Real Estate Sales Red Hot 70.26% Increase Feb 2011

By Kris Cyganiak – March 3, 2011

Greater Vancouver residential housing market sales increased by a blistering 70.26% in February 2011 with 3,097 units sold compared to the 1,819 in January 2011.

February’s Greater Vancouver MLS sales of 3,097 units were the highest level of sales achieved in the past ten month’s since April 2010′s 3,512 unit sales. It was also substantially higher than the 2,742 February home-sale average recorded in the region over the last ten years and 25.23% up from the 2,473 sales recorded in February 2010. This was also a 109.3% increase from the 1,903 homes sold in February 2009.

“We saw an increase in demand across our region last month as more buyers entered the market in advance of the spring season,” said Jake Moldowan, President of the Real Estate Board of Greater Vancouver (REBGV).

To read more of this News article, click here.

Lower Mainland BC Real Estate Market February 2011 Bidding Frenzy

By Kris Cyganiak – March 4, 2011

The lower mainland British Columbia real estate market erupted with increased sales volumes across the region in February 2011.

One of the factors in the sales spike is certainly the rush to purchase properties prior to the upcoming changes in Canadian mortgage rules coming into effect on March 18, 2011. However, this is not entirely the same case across the region.

Home sales in the Fraser Valley surged up by 53.36% in February hitting 1,279 units, the highest level in the past eight months.

To read more of this News article, click here.

Vancouver Real Estate Multiple Offer Bidding Presentation Play-by-Play

By Adam Goss – March 4, 2011

Multiple offers, or bidding wars as the situation is more commonly referred to, are again becoming more and more common in the Greater Vancouver real estate market in early 2011.

I thought it a good time to provide a little insight on the topic.

Preparing for this post I felt that there are simply too many points to cover and stories that should be included to take just one angle on this topic. With that said, let’s make this post #1 in a series on Multiple Offers.

To read more of this Realtors article, click here.

Two Strategies and 5 Reno’s that Increase Vancouver Home Values

By Mark Fidgett – March 7, 2011

How do I increase the value of my home?

That’s the question on every homeowners mind. There are two key strategies to accomplish this.

The first is to think long term and hold onto the property allowing your equity in it to buildup over time. History has shown that this strategy has worked extremely well for most Canadian homeowners.

The second tactic is to outperform the market by ensuring that your property increases in value at a greater rate than those in your surrounding area.

To read more of this Blog article, click here.

Mistakes with Clauses and Legal Aspects of Vancouver Real Estate

By Andrea Jauck – March 7, 2011

It seems like there are literally a million details connected to the process of buying or selling a home in Vancouver.

These can be very complex, intricate and time consuming. If done incorrectly at any stage, it could potentially cost a lot of money and hardship in the long run.

This is why it is important to not only educate yourself on these matters, but to also seek the professional advice and help of a realtor such as myself

This is where I as a realtor, will help you with all the paperwork and legalities involved in the process of completing a proper real estate transaction.

To read more of this Realtors article, click here.

Deadline to Beat New Canadian Mortgage Rules Midnight March 17, 2011

By Robert Mogensen – March 8, 2011

At midnight, March 17, 2011, Canadians will no longer be able to qualify for CMHC High Ratio Insured Mortgages with a 35-Year Amortization.

Effective on March 18th, 2011, Canadians with less than 20% down payment will have to qualify for their CMHC Insured Mortgages with a maximum 30-Year Amortization.

Since Finance Minister Jim Flaherty announced new Canadian mortgage rules that will be used in an effort to “protect the stability of the economy”, we have seen a bit of a buying frenzy in the “First-Time Buyer” category in parts of Greater Vancouver, before the new rules kick in.

The Terraces by Marcraft Homes – Ridgewood Estates – Anmore, BC

By BuyRIC.com – March 10, 2011

Perched high on a one-acre home site in the magnificent mountain setting of Ridgewood Estates in Anmore, BC, you will find Marcraft Homes’ latest creation – “The Terraces.”

This remarkable true West Coast Contemporary Anmore Home features modern elegance with a combination of fir posts and beam timber design, along with sleek contemporary finishings.

The gourmet kitchen and a chef’s delight offers top of the line Subzero and Wolf appliances, a martini bar with a built in Ariston coffee maker, large center granite island, and beautiful custom designed maple cabinetry.

Just off the kitchen, find the intimate dining area with a two-way fireplace and double French doors leading to the wrap around deck for enjoyment of evening gatherings.

To read more of this Profile, click here.

First Geo Hot Rod Install in North America at Marcraft Homes in Coquitlam

By Kris Cyganiak – March 11, 2011

Coquitlam Mayor Richard Stewart was on hand for the unveiling of the first residential geothermal “Geo Hot Rod” snow and ice melt system installation in North America on March 9, 2011 at the Marcraft Homes Copper Beech Estates development on Burke Mountain in Coquitlam, BC.

“The Geo Hot Rod system being installed at this Coquitlam home is a simple technology that utilizes a superconductor to transfer the Earth’s geothermal heat to the surface of the homes driveway clear of snow and ice,” said Glen Bereti, of HVAC Systems.

Andrea Jauck, Director of Sales and Marketing, Matthew Jauck, Project Coordinator and David Harkison, Director of Construction for Marcraft Homes were on-site as the mayor viewed a presentation from HVAC Systems, the distributor of the Geo Hot Rod system.

“This geothermal system being installed at this Marcraft home is a green initiative, which eliminates consumption of non-renewable fossil fuels used by alternative snow-melt systems,” said Andrea Jauck.

To read more of this Build article, click here.

Vancouver Housing Starts Increase by 0.9% February 2011

By Kris Cyganiak – March 11, 2011

There were 1,414 Housing starts in the Vancouver Census Metropolitan Area (CMA) in February 2011, which brought the total housing starts for the area up by 23% to 2,850 units in 2011 compared to 2,319 in 2010 according to figures released by CMHC.

February’s 1,414 housing starts across the Vancouver CMA represented a modest 0.9% increase from the 1,402 starts in January 2011.

“Over 85% of housing starts were multi-family in February,” noted Robyn Adamache, CMHC’s Senior Market Analyst.

To read more of this News article, click here.

Grouse Mountain – Vancouver’s Year Round Natural Playground

By Kylee Szabo – March 11, 2011

With great snowboarding and skiing in the winter season, it’s a great time to start thinking about what else Vancouver’s beautiful mountains have to offer.

Grouse Mountain is a great place for everyone with all sorts of activities throughout the year. It is one a Vancouver’s premier year-round attractions.

From your own “Sno-Limo” Chauffeur in the winter to the Grouse Grind in the summer, Grouse Mountain has something to do for everyone at every time of the year.

The Grouse Grind is a steep trail that climbs 2,799 feet over a distance of 2.9 kilometres, which can be enjoyed during the warmer months of the year.

To read more of this Lifestyle article, click here.

Video in Coquitlam, BC of the First Geo Hot Rod Install in North America

By Marcus Cyganiak – March 12, 2011

On March 9, 2011, the very first installation of the residential geothermal “Geo Hot Rod” snow and ice melt system in North America took place at the Copper Beech Estates development by Marcraft Homes on Burke Mountain in Coquitlam, BC.

“The Geo Hot Rod system being installed at this Coquitlam home is a simple technology that utilizes a superconductor to transfer the Earth’s geothermal heat to the surface of the homes driveway clear of snow and ice,” said Glen Bereti, of HVAC Systems.

Below is an exclusive BuyRIC.com video taking a look at the unveiling and installation process of the Geo Hot Rod system on March 9, 2011, which saw Coquitlam Mayor Richard Stewart on hand.

To read more of this Build article, click here.

British Columbia Home Sales Increase 54.94% February 2011

By Kris Cyganiak – March 14, 2011

British Columbia MLS residential home sales increased by 54.94% to 6,410 units in February 2011 from 4,137 units in January 2011 on an actual month-over-month basis according to figures released today by the British Columbia Real Estate Association (BCREA).

The BCREA report indicated that while residential sales in the province climbed 5% on a seasonally adjusted basis in February from January 2011, the 6,410 February sales also represented a 7.6% actual increase over the same month last year when there were 5,955 sales in February 2010.

The residential MLS sales of 6,410 units in February 2011 represents the highest level of provincial home sales over the past eight months since June 2010 when there were 7,722 units sold in British Columbia.

“The surge in consumer demand in Metro Vancouver continues to propel the provincial statistics higher,” said Cameron Muir, BCREA Chief Economist.

To read more of this News article, click here.

Canadian 1-Year and 5-Year Mortgage Rate Forecast for 2011-2012

By Kris Cyganiak – March 14, 2011

Canadian 1-year fixed mortgage rates could increase to 4.35% by end of 2011 and rise further to 5.40% by the end of next year according to a recent BCREA report that also forecasts that 5-year mortgage rates could end 2011 at 5.90% and increase further to 6.55% by the end of 2012

The British Columbia Real Estate Association (BCREA) Mortgage Rate Forecast report released in March 2011 indicates that, “Mortgage rates have thus far evolved in-line with our December 2010 forecast, with the 5-year fixed rate reaching 5.44% and the 1-year rate hitting 3.50% in mid–February.”

Citing improved economic outlook that is putting upward pressure on rates, the report states that recent geo-political risk has threatened recent optimism but mortgage rates will slowly get back to “normal” which will lead to higher rates in 2011 and 2012.

To read more of this News article, click here.

Marcraft Homes – Luxury Custom Home Builder – Gallery

By BuyRIC.com – March 16, 2011

BuyRIC.com Gallery of Marcraft Homes – Luxury Custom Home Builder out the Great Vancouver, Tri-Cities, and Anmore areas!

To view this Gallery, click here.

The Terraces by Marcraft Homes – Anmore, BC – Gallery 1

By BuyRIC.com – March 16, 2011

Introducing Gallery 1 of The Terraces by Marcraft Homes at 1084 Uplands Drive in Anmore, BC!

Surrounded by majestic mountains, pure lakes and natural beauty, Anmore, BC is your private oasis just minutes from the city. Take advantage of everything that Port Moody, known as “City of the Arts,” and Coquitlam, have to offer.

To view this Gallery, click here.

The Day After Tomorrow – Canada’s New Mortgage Rules March 18, 2011

By Kris Cyganiak – March 16, 2011

Canadian Minister of Finance, Jim Flaherty announced new mortgage rules for Canadians on January 17, 2011 that would start being implemented on March 18, 2011.

The federal government announced that Canadian mortgage insurance rules would be tightened because of concerns about rising household debt in the current low interest rate environment, placing consumers at significant financial risk once rates inevitably rise.

“Canada’s well-regulated housing sector has been an important strength that allowed us to avoid the mistakes of other countries and helped protect us from the worst of the recent global recession,” said Minister Flaherty.

To read more of this News article, click here.

Prepare the Bathroom to Sell Your Vancouver Home for Top Dollar

By Mark Fidgett – March 17, 2011

When you list your home for sale, it’s best to consider it less of your home and more of a show home.

The bathroom truly falls into this category.

When buyer’s walk through your home, the last thing they want to see is your personal hygiene items, moldy remnants of steamy showers or a soap scum-covered collection of empty shampoo bottles. You’re much better off showing a well maintained and sanitized room.

To read more of this Blog article, click here.

What is the Most Important Part of the Mortgage Process in Vancouver?

By Mark Fidgett – March 17, 2011

What’s the most important part of the mortgage process?

Bar none without hesitation the most important part of the mortgage process, is credit. If you don’t have income, no problem, we have options – we can add a guarantor or co-borrower.

If you don’t have a down payment, no problem, we have options – we can use RRSPs, we can borrow the down payment, we can get you approved for a zero down, but if you don’t have credit, you’re hooped.

To read more of this Mortgages article, click here.

Variety Lottery Show Home Comes to Anmore, BC in March 2011

By Kris Cyganiak – March 18, 2011

Variety has chosen an unexpected hidden gem of a location for their grand prize show home in their 6th annual Variety – The Children’s Charity Lottery. The grand prize package worth over $2 million includes a 6,000 sq. ft. prize home in prestigious, Anmore, BC.

Variety – The Children’s Charity holds two lotteries per year, a spring edition and a fall edition. They raise funds and distribute grants throughout British Columbia to inspire hope, enrich lives, and build a better future for children who have special needs.

Variety’s lotteries started back in 2000. From the fall of 2002 to the spring of 2005, all of Variety’s lottery grand prize show homes were located in Port Moody within the Heritage Mountain community, only minutes away from Anmore.

In the spring of 2006, one of Variety’s other prize homes was also located on Panorama Drive in Port Moody. From the fall of 2006 to the fall 2010, all of Variety’s showhomes were located within South Surrey.

To read more of this Lifestyle article, click here.

BC Building Code Requires High Efficiency Plumbing October 3, 2011

By Kris Cyganiak – March 21, 2011

New British Columbia Building code requirements for high-efficiency plumbing fixtures come into effect on October 3, 2011.

Under the new BC Building Code requirements, new residential buildings and renovations in British Columbia involving plumbing fixtures must install high-efficiency toilets (HET) with a 4.8-litre flush volume or dual-flush toilets. This will result in saving as much as 8,000 litres of water annually for a family of four.

What is a high-efficiency toilet (HET)?

A high-efficiency toilet (HET) is a toilet with a flush volume of 4.8 litres (1.28 gallons) or less. Dual-flush toilets are classified as HETs because the ratio of reduced flushes (up to 4.1 litres) to full flushes (up to 6 litres) results in an effective flush volume that is less than 4.8 litres.

To read more of this Build article, click here.

Canadian Economy Linked to Water Demand and Supply Conservation

By Kris Cyganiak – March 22, 2011

It is a well-known fact that Canada is a country rich in natural resources.

If asked, most people would answer that Canada’s top natural resource is oil, natural gas, coal, copper, gold, wood, grain, potash or any of the other resources Canada has in abundance. But, they would be missing the point.

Canada’s most valuable natural resource by far is freshwater.

To read more of this News article, click here.

Don’t Lose $50,000 with Mortgage Pre-Approval vs. Pre-Qualification

By Mark Fidgett – March 22, 2011

Imagine losing $50,000 or MORE on your Greater Vancouver home purchase…

That’s exactly what the caller in the video below stands to lose.

All because she didn’t know the difference between a Pre-Approval and a Pre-Qualification.

It’s a common story.

Client attends a showroom, likes what they see, writes an offer, gives a deposit and anticipates closing 2 years down the road.

To read more of this Mortgages article, click here.

Pricing to Sell Your Home in 3 Real Estate Market Conditions

By Andrea Jauck – March 22, 2011

Selling your home quickly and for top dollar is often determined by setting a realistic price for your home that reflects current market values and conditions.

Pricing your home properly will increase the chances of receiving an acceptable offer quickly in any part of Greater Vancouver and perhaps may even attract competing offers, which could result in a higher overall selling price.

Numerous studies have shown that a normal property has the best chance of getting sold for an acceptable price to the seller in the first seven weeks on the market. Pricing a property incorrectly or substantially over market value can result in it ultimately selling for less.

To read more of this Realtors article, click here.

British Columbia Household Facts About Domestic Home Water Usage

By Kris Cyganiak – March 22, 2011

British Columbia is getting serious about water use. The provincial government has outlined a target that 50% of new municipal water needs be acquired through conservation by 2020 and that water efficiency in BC be improved by 33% across the province by 2020.

British Columbia’s Water Act modernization plan is currently being developed and under review as a policy proposal for an expected implementation in 2012 as BC’s new Water Sustainability Act.

Canadians rank second only to the United States in terms of highest per capita water use in the developed world and have a general lack of awareness of the pressures placed on Canadian water supplies.

To read more of this Build article, click here.

WildPlay Element Parks – Active BC West Coast Fun and Adventure

By Kylee Szabo – March 23, 2011

What do Whistler, Nanaimo, Maple Ridge, and Victoria all have in common? Other than all being in the province of beautiful British Columbia, they are all home to WildPlay Element Parks.

The WildPlay Element Parks was first established in 2005 by Gord Ross and Tom Benson. They had a vision to expand and develop a full-service outdoor adventure destination on Vancouver Island.

WildPlay Element Parks purchased the former Bungy Zone in Nanaimo, Vancouver Island, in March 2006. The Nanaimo location also offers Monkido Classic, Monkido Buddy, Monkido Kids, King Swing, and Canyon Zip.

To read more of this Lifestyle article, click here.

Luxury West Coast Custom Home Design at its Best – Anmore, BC – Part 1

By Cristina Cyganiak – March 24, 2011

This stunning custom home in Anmore, BC built by Marcraft Homes is a testament to the best in west coast luxury home design. Set in a breathtaking terrain hugging location that uses the contours of the land, this home is the crown of The Terraces.

The ambiance of nature is reflected in the environment and transposed to the architectural design, which draws in the surrounding natural elements.

The landscape slopes away gently in front, allowing the spectacular view of the mountain vista to take presence.

The home draws a Whistler inspired theme with a higher pitched roof, pronounciated gables and fir beams in harmony with nature.

To read more of this Design article, click here.

Total British Columbia Housing Sales Forecast to Rise up to 15% by 2013

By Kris Cyganiak – March 24, 2011

Residential home sales in British Columbia are forecast to increase by about 7% in 2011 with additional increases in the following two years according to a new report from Credit 1.

While forecast reports from BCREA, CREA and CMHC are based on MLS sales data, the Credit 1 report released on March 2, 2011 is unique in that it measures total home sales including market arms-length residential transactions with both new and resale home transactions as determined by BC land title transfers.

According to the report, total home sales in British Columbia for 2009 were at 99,612 units, which then decreased by 11% to 89,136 units in 2010.

To read more of this News article, click here.

The Terraces by Marcraft Homes – Anmore, BC – Gallery 2

By BuyRIC.com – March 25, 2011

Featuring Gallery 2 of The Terraces by Marcraft Homes at 1084 Uplands Drive in Anmore, BC!

Surrounded by majestic mountains, pure lakes and natural beauty, Anmore, BC is your private oasis just minutes from the city. Take advantage of everything that Port Moody, known as “City of the Arts,” and Coquitlam, have to offer.

To view this Gallery, click here.

British Columbia Introduces Energy Efficient Light Bulb Standards 2011

By Marcus Cyganiak – March 28, 2011

Did you know that the British Columbia provincial government introduced new standards for energy efficient light bulbs in the 75-100W ranges on January 1, 2011?

It’s part of a new green initiative to increase BC homeowners lighting efficiency and conserve energy in British Columbia.

This is one of the ongoing measures put forward by the provincial government to enable increased energy efficiency in British Columbia. The BC government has mandated that 66% of BC Hydro’s incremental electricity needs in the province must be met through efficiency and conservation by 2020.

To read more of this Build article, click here.

British Columbia Earth Hour Power Consumption Savings Results 2010

By Marcus Cyganiak – March 28, 2011

This year, the world’s fifth annual “Earth Hour” took place in British Columbia on March 26, 2011 between 8:30pm to 9:30pm.

The annual global event is hosted by the World Wildlife Fund (WWF) to encourage individuals to fight against climate change by turning off their lights for 1 hour around the world during the event each year.

As we await BC Hydro to report on the 2011 electricity savings for this year’s Earth Hour on March 26th, let’s take a look at how British Columbia faired in 2010.

To read more of this News article, click here.

How to Win at Multiple Offer Situations without the Top Price in Vancouver

By Adam Goss – March 28, 2011

I presented a great, “clean”, offer this past month that marked the end of my perfect record at bat for buyers in multiple offer situations. As it turned out the home we “bid” on went a mere $50 000 over asking. Pretty crazy considering the price point on this one; not crazy considering home and neighbourhood.

Yes, it’s true of many cases that one buyer will simply overwhelm the competition. Especially when dealing with a detached home where a family will hunker down for the next decade.. justifies over paying a bit. BUT, I can tell you as fact that clients of mine have come out on top with less than top price. How that is possible and how to give yourself the best shot is what Id like to share with you.

In every case my clients scored a “win” their home search was well under way. These buyers knew what they wanted and knew it was a very desirable product. Therefore, we were on top of each and every new listing matching their criteria and took immediate action to view the home.

To read more of this Realtors article, click here.

2011 Earth Hour Results for British Columbia Almost Double Last Year

By Marcus Cyganiak – March 28, 2011

The results of the 2011 Earth Hour event show that British Columbian’s have definitely become more aware of power conservation.

This years participation in the world’s fifth annual “Earth Hour” which took place in British Columbia on March 26, 2011 between 8:30pm to 9:30pm resulted in almost twice the electricity savings as last year across the province.

BC Hydro which is onto its forth year of supporting the event in BC announced that British Columbian’s saved 117 megawatt hours of electricity and reduced the provincial electricity load by 1.8% during Earth Hour in 2011.

To read more of this News article, click here.

Mount Seymour – Winter Fun and Outdoor Summer Activities in Vancouver

By Kylee Szabo – March 30, 2011

As our local mountains transition from the winter to summer months, many people may wonder what the mountains around Vancouver have to offer in the changing seasons.

For over 70 years Mount Seymour has been the choice for outdoor enthusiasts in the lower mainland. A short and easy drive from Vancouver, the Mount Seymour experience is the epitome of the “West Coast” lifestyle.

The winter months have so much to offer on the mountain, with an average 1,000 cm / 393 inches of snow annually. All this snow can be enjoyed with the many winter activities that Seymour offers including ski and snowboarding lessons, tube and toboggan parks, and snowshoeing with of course a variety of lessons and levels from beginner to expert for everyone.

To read more of this Lifestyle article, click here.

BC Hydro 52.17% Rate Increase Over 5 Years 2011 to 2015 – Suspended

By Kris Cyganiak – March 30, 2011

The BC Utilities Commission has suspended BC Hydro’s much publicized 9.73% rate increase that was expected to come into effect on April 1, 2011, pending further review by the provincial government.

This was the first of several proposed BC Hydro rate hikes, which would have seen British Columbia residents facing a 52.17% cumulative increase over 5 years.

On March 1, 2011, BC Hydro filed its 2012 to 2014 revenue requirement application (RRA) with the BCUC that would have seen a residential electricity rate increase of 9.73% per year for each of it’s fiscal years of 2012, 2013 and 2014 and a estimated 6.95% increase for 2015.

To read more of this News article, click here.

New Homes vs. Substantially Reconstructed Homes in British Columbia

By Marcus Cyganiak – March 30, 2011

New homes built from the foundation up to the final finishing stages are not the only homes that are considered “new” in British Columbia. A “new home” can also be a newly reconstructed building, or more specifically – “substantially reconstructed” – according to the Homeowner Protection Act of BC.

The Homeowner Protection Act of BC is administered by the Homeowner Protection Office (HPO), which is a branch of BC Housing, a British Columbia provincial Crown agency under the Ministry of Energy and Mines.

A new home in British Columbia is defined as “a building, or portion of a building, that is newly constructed or being constructed and is intended for residential occupancy, and includes a home that is or is being substantially reconstructed,” according to the Homeowner Protection Act.

To read more of this Build article, click here.

Using QR Codes in Real Estate to Connect with Smartphones

By Marcus Cyganiak – March 31, 2011

With the Internet moving peoples’ lives at an ultra fast pace, we are now on the cusp of a “post PC era” for information delivery. Mobile devices such as smartphones and tablets allow unequaled mobility while browsing the internet, emailing, text messaging, instant messaging, or interacting via social media platforms.

Today information travels at a blistering pace. People want instant and immediate access to information and content. If your material or information is not readily available or quick to access, a potential customer will just pass it by and go to another source.

Information architects on the web understand this concept and its one of the reasons why the Internet is overtaking most other forms of media including printed newspapers and magazines.

To read more of this Tech article, click here.

It is a well-known fact that Canada is a country rich in natural resources.

If asked, most people would answer that Canada’s top natural resource is oil, natural gas, coal, copper, gold, wood, grain, potash or any of the other resources Canada has in abundance. But, they would be missing the point.

Canada’s most valuable natural resource by far is freshwater.

According to a report released by Statistics Canada on September 13, 2010:

Renewable water resources have declined in Southern Canada over the past three decades. From 1971 to 2004, water yield in Southern Canada, the area in which 98% of the population lives, fell by an average of 3.5 cubic kilometres a year.

This annual loss is equivalent to the water contained in 1.4 million Olympic-size swimming pools, and almost as much water as was supplied to Canada’s entire residential population in 2005. This represents an overall loss of 8.5% of the water yield in Southern Canada over the 34-year period.

The world’s supply of freshwater is limited and finite. Only 3% of the world’s water is fresh and less than one-third of that is available for human use as the other two-thirds are frozen in glaciers and the polar ice caps.

Fresh clean and safe water is something that we in Canada have in apparent abundance, but that is not true in other parts of the world.

The following map from Nature.com graphically illustrates the access to safe fresh water for the world’s population by country in 2000.

Canada is one of the most fortunate nations in the world, while it contains only 0.5% of the world’s population it has approximately 20% of the world’s fresh water resources, but only about 9% of that water is renewable according to Natural Resources Canada.

Everything is not quite as good as it seems. Over 60% of Canada’s fresh water flows north to the Arctic Circle, while 84% of Canada’s population lives within a narrow southern band in major centers close to the United States border.

Canada is also one of the highest fresh water users in the world. Of the 29 member nations of the Organization for Economic Co-operation and Development (OECD), only the United States uses more water than Canada on a per capita basis. Canada’s per capita water consumption is 65 per cent above the OECD average according to the OECD FactBook of 2005.

Industrial and agricultural water use

In 2005, Canadians withdrew about 42 cubic kilometres of water from the environment, roughly 1.2% of the total average water yield. More than 90% of this volume went to support economic activity, while about 9% was used directly by the residential sector.

The sector that withdrew the most water overall, by a considerable margin, was thermal-electric power generation. In 2005, it used almost 28 cubic kilometres of water, the bulk of which was returned to the environment within a short period of time.

The manufacturing sector, in second place, used almost 6 cubic kilometres of water, or about 14% of all water use. Manufacturing industries use water mainly for processing, cleaning and cooling, but water can also be added to the content of final products.

The agricultural sector was responsible for almost 5% of total water withdrawals in 2005, the bulk of which (84%) was used to irrigate crops. The remainder predominantly went to support livestock production.

Residential water use

Water withdrawals for the residential sector were the third largest overall with 9.0% of total water use, about 3.8 cubic kilometres, in 2005. This amount includes the water supplied by drinking water plants to households, as well as the water withdrawn from private wells.

Drinking water plants provided water to about 28 million Canadians in 2005. Roughly 88% of water processed was from surface water sources, while 12% was from groundwater. Canadians who do not receive water supplied by drinking water plants typically rely on wells, which are fed by groundwater. Overall, about 25% of Canadians rely on groundwater, though this percentage varies from region to region.

The population in the Saint John–St. Croix drainage region of New Brunswick is the most reliant on groundwater, whereas the population in the South Saskatchewan drainage region is the least.

Environment Canada states, “Our growing population, and our growing thirst for water, are being concentrated in expanding metropolitan areas, and are forcing water regulators and policy makers to find ways to stretch available supplies even further.”

Power generation accounts for approximately 59% of all water use in Canada. The remaining 41% is used for manufacturing, municipal, agriculture, and mining.

Water is present in all aspects of our lives, and is embedded in the goods and services that we rely on. This embedded water, also referred to as “virtual” water content, refers to the water used to make a product, including in the generation of the energy used in manufacturing, as well as all the water in all the inputs used in production. Water is used both to satisfy the demands of Canada’s domestic economy, and to produce goods for export.

Of all the water withdrawn by Canadians in 2005, 63% was used to satisfy internal domestic demand for goods and services, and the remaining 37% was used to produce goods for export.

Canada’s apparent abundant fresh water resource is being strained by the demands being placed on it by increased power generation requirements on the national level and population growth and economic development on the municipal level.

Residential water use accounts for 57% of water use in Canadian municipalities. Commercial use accounts for 19%, industrial use consumes 11%, with the remaining 13% attributed to leakages of the municipal water supply.

As fresh water is a finite resource, it must be managed accordingly. Freshwater conservation efforts being implemented at both the Federal and Provincial Government levels will provide positive benefits to both the people and economy of Canada.

According to the Canadian Government 2009 National Round Table on the Environment and the Economy, “Access to clean, sustainable supplies of water is essential for the operation and growth of Canada’s major natural resource sectors — energy, mining, forest, and agriculture.”

Changes to building codes and government regulations across Canada in recent years have introduced water saving measures that will directly benefit homeowners and Canadian municipalities such as high efficiency plumbing fixtures, green technology and solar programs.

Canadian Minister of Finance, Jim Flaherty announced new mortgage rules for Canadians on January 17, 2011 that would start being implemented on March 18, 2011.

The federal government announced that Canadian mortgage insurance rules would be tightened because of concerns about rising household debt in the current low interest rate environment, placing consumers at significant financial risk once rates inevitably rise.

“Canada’s well-regulated housing sector has been an important strength that allowed us to avoid the mistakes of other countries and helped protect us from the worst of the recent global recession,” said Minister Flaherty.

The Bank of Canada and Mark Carney consistently warned Canadian consumers to rein in their debt in the latter part of 2010. However, the fragile Canadian economic recovery, moderately high unemployment, high Canadian dollar and subdued inflation signaled that Canadian interest rates would not be increased significantly in the short-term to curb debt.

As a result, the federal government chose to intervene on the issue by introducing three new mortgage rules to address their concerns on housing related debt.

New Canadian Mortgage rules Announced for 2011:

1. Reduce the maximum amortization period to 30 years from 35 years for new government-backed insured mortgages with loan-to-value ratios of more than 80%.
• Effective March 18, 2011
2. Lower the maximum amount Canadians can borrow in refinancing their mortgages to 85% from 90% of the value of their homes.
• Effective March 18, 2011
3. Withdraw government insurance backing on lines of credit secured by homes, such as home equity lines of credit, or HELOCs.
• Effective March 18, 2011

The key policy that will impact Canadian housing demand will be changes to government backed mortgage insurance, which go into effect on March 18, 2011. This essentially reduces the maximum amortization period available to a wide majority of Canadians to 30 years from the current 35 years.

This new rule effectively lowers the maximum loan amount that purchasers can borrow and/or increases their monthly payment for new government-backed insured mortgages with loan-to-value ratios of more than 80%.

Maximum refinancing rates will also be lowered to 85% from the current 90% and on April 18, 2011 mortgage insurance on non-amortizing lines of credit securitized by homes will also be eliminated.

So how will these new mortgage rules affect the Canadian real estate market?

As we have already seen with homes sales across the country in February 2011, the introduction of the new rules is resulting in stronger activity as buyers rush to beat the tougher mortgage rules that take effect on March 18, 2011.

The British Columbia real estate market has certainly shown this to be true as residential MLS home sales across the province rose by 54.94% in February 2011.

Fraser Valley, BC residential MLS home sales rose by 53.36% in February 2011.

Greater Vancouver, BC residential MLS home sales rose by 70.26% in February 2011.

Home buyers who purchase a home with a down payment of less than 20% of the homes value in Canada are required to have government-backed mortgage insurance through the Canada Mortgage and Housing Corporation (CMHC). Prior to midnight March 17, 2011 these buyers were able to qualify for a 35-year amortization term.

After Friday March 18, 2011, buyers with less than 20% down payments will no longer have the option of a 35-year mortgage amortization. The new rule eliminating government backed CMHC insurance on terms over 30 years for this type of mortgage will effectively make it impossible to get conventional 35-year amortization’s for these buyers.

The shortening of the maximum amortization period from 35 to 30 years will have the largest impact on young and first-time buyers in Canada. These buyers tend to be constrained by lower incomes and/or lack of home-equity wealth. The longer 35-year amortization period allowed them to obtain higher loan amounts relative to shorter amortization periods, or to lower their monthly payments.

The new Canadian mortgage rules will result in some marginal buyers having to increase their monthly payments or lower their target home purchase price points. It may also eliminate some of them from homeownership in the higher and fastest rising housing markets in Canada for the short-term.

A recent report from Credit 1 expects that British Columbia home sales will be stronger in the first part of 2011 as buyers move to beat the tougher mortgage insurance rules that take effect on March 18.

“Metro Vancouver will observe the strongest uptick in early-year activity, given the higher proportion of local buyers and higher prices in those areas,” said Bryan Yu, Central 1 economist.

The early-year boost in home sales is also expected to extend into part of the second quarter of 2011.

Buyers will be eligible for the 35-year amortization product provided that purchase and sale agreements are signed prior to March 18, 2011. Pre-approvals are not considered binding agreements.

As such, housing sales will remain elevated in the second quarter as purchase agreements are converted into final sales, then this will be followed by a period of lower demand reflecting the end of the sales wave from the rush to beat the new rules introduction dates.

Canadian 1-year fixed mortgage rates could increase to 4.35% by end of 2011 and rise further to 5.40% by the end of next year according to a recent BCREA report that also forecasts that 5-year mortgage rates could end 2011 at 5.90% and increase further to 6.55% by the end of 2012

The British Columbia Real Estate Association (BCREA) Mortgage Rate Forecast report released in March 2011 indicates that, “Mortgage rates have thus far evolved in-line with our December 2010 forecast, with the 5-year fixed rate reaching 5.44% and the 1-year rate hitting 3.50% in mid–February.”

Citing improved economic outlook that is putting upward pressure on rates, the report states that recent geo-political risk has threatened recent optimism but mortgage rates will slowly get back to “normal” which will lead to higher rates in 2011 and 2012.

2011 Mortgage Rate Forecast – BCREA:

2012 Mortgage Rate Forecast – BCREA:

Mortgage spreads (the difference between a fixed mortgage rate and the yield on Government of Canada bonds) have returned to historically normal levels lately and these spreads are expected to remain fairly stable in subsequent quarters.

The path of future mortgage rates will largely be determined by changes in government bond yields. These yields have moved significantly higher in recent months, but they are also susceptible to current world events, which have become more unpredictable and less stable recently that may cause them to be pushed lower.

The BCREA March 2011 Mortgage Rate Forecast report states:

A much improved economic outlook has prompted a steepening of both the Canadian and US yield curves, with large movements occurring in the 5-10 year maturities. However, some of the increase has been offset by growing risk aversion as investors flee back into safe assets to wait out events in the MENA region. The unpredictability (in both the severity and duration) of this still developing situation should translate to volatility in bond yields going forward, but we maintain that Canadian interest rates will ultimately end the year higher.

The Bank of Canada held its overnight rate at 1% its most recent March 1, 2011 meeting. The BCREA March 2011 report states that, “In absence of nascent geo-political risk and the soaring loonie, the stronger than expected pace of economic growth may have alone been enough to push the Bank to raise rates at its next meeting in April.”

The next Bank of Canada interest rate policy announcement date is Tuesday, April 12, 2011 followed by Tuesday, May 31, 2011, and Tuesday, July 19, 2011.

The risk posed to the global economy by a still evolving situation in the MENA (Middle-East and North Africa) region along with the anti-inflationary (and potentially growth-subduing) impact of the loonie’s rise will likely see the Bank erring on the side of caution and therefore holding rates steady until the summer. Once the Bank resumes rate increases, we expect the overnight rate to rise from one per cent to between 1.75 and 2 per cent by end of 2011.

Inflation is not likely to be a problem in the medium term according to the report, however inflation expectations have risen higher in recent months. This has developed from the recent positive economic data and pricing pressure from soaring food and energy prices.

So far, the sharply higher food and energy prices that have been pushing headline CPI inflation higher have not found their way through to core-measures of inflation watched by Central Banks. Moreover, as an oil producing country, much of the inflationary impact of an increase in energy prices tends to be offset by an appreciation in the loonie, which has hit a three-year high of $1.03 US as oil prices pushed over $100 US per barrel.

Signs of Improvement in the United States economy has prompted the BCREA to revise their forecast for Canadian real GDP growth from 2.1% to 2.8% in 2011. They expect that this will be followed by a 2.7% growth rate in Canada for 2012.

Sentiment about the US economic outlook has improved dramatically in the two months since our last forecast. This is very good news for the Canadian economy and also very good timing as the economy is likely to face some headwinds in 2011 from potential consumer restraint, exchange rate pressure on exports and slowing residential construction. However, the increasingly positive economic outlook is already in danger of being swept aside by a looming crisis in the Middle-East and North Africa (MENA) region that is threatening spill-over to global markets and Canadian interest rates.

The report anticipates that, “barring a growth depressing and sustained rise in oil prices, yields will move gradually higher throughout the year as markets price in improving economic conditions and higher inflation expectations.” Rising yields will in turn lead to higher mortgage rates.

After a meeting with Wen Jiabao Premier of China in Beijing on December 3, 2009, Canadian Prime Minister Stephen Harper announced that the Government of China had granted Canada, Approved Destination Status (ADS) for travel.

“Approved Destination Status marks a significant moment in the history of our relations with China, indicating not only our mutual commitment to strengthening our diplomatic and commercial partnerships, but also our people-to-people ties,” said Prime Minister Harper.

It wasn’t until June 24, 2010 that a “Memorandum of Understanding” governing ADS was reached and signed between Prime Minister Harper and Chinese President Hu Jintao during a meeting in Ottawa prior to the G20 summit in Toronto that was held on June 26-27, 2010.

BC Premier Gordon Campbell welcomed the new ADS agreement by saying, “This is a significant milestone in our relations with China. Not only will Approved Destination Status result in substantial economic benefits for BC in the form of increased tourism revenues and job creation, it represents an important step forward in strengthening our role as Canada’s gateway to the Asia Pacific.”

Approved Destination Status (ADS) makes it easier for Chinese nationals to visit Canada, allowing them to travel to Canada in a leisure group tour format. It allows Chinese travel agents to advertise and organize group tours to Canada as a result of the designation.

The Government of Canada stated:

ADS travel to Canada by Chinese tourist groups is organized by travel agencies designated by the National Tourism Administration of China (CNTA) in partnership with a Canadian tour operator accredited by the Tourism Industry Association of Canada (TIAC.)

Since being granted Approved Destination Status (ADS) in June 2010, the Canadian Tourism Commission, Canada’s national tourism marketing agency (CTC) announced on February 15, 2011 that it has launched its first major advertising campaign in China entitled “Say Hello to Canada”.

The new advertising campaign will allow CTC to market Canada for the first time in China on an equal footing with other destinations around the world because of the Approved Destination Status (ADS) designation.

The Canadian Tourism Commission stated:

The marketing campaign, “Say hello to Canada,” aims to introduce Canada to potential Chinese travellers in the same open, informal way as making a new friend. Advertising will feature heavily online, including key social-media platforms such as Kaixin, video-sharing sites such as Youku, search engines and micro blogs as well as travel, lifestyle, news and culinary websites. There will also be ads in leading newspapers and travel or lifestyle mags, such as Shanghai Weekly, The Bund and National Geographic. To pique Chinese interest further, an online game will have prize trips to Canada at stake.

“We are aiming primarily at affluent, high-spend and well-educated 25-to-34-year-olds in this initial campaign,” says Derek Galpin, CTC managing director China/India. “Our research shows that they are the most inclined to long-haul travel, and then to get out and explore Canada once they arrive.”

“This time next year, CTC expects significant growth from the China market linked to additional air capacity, our advertising and promotional campaigns, and partner support,” says Greg Klassen, CTC’s Senior Vice President of Marketing Strategy and Communications. “With tour operators in China and suppliers in Canada, CTC will showcase high-quality vacation experiences.”

With tourism being a competitive market today more than ever before, the CTC wants to start by focusing on the promotion of well-known hot spots. This will ensure enticement for Chinese travellers to make the flight overseas.

The city of Vancouver has long been a major attraction for Chinese tourists and homebuyers. Their influence on real estate has been a huge factor in the substantial home value and price increases recently seen in several parts of the city.

Chinese travel groups such as SouFun had previously put together several tours of Vancouver for wealthy Chinese travelers coined as “real estate tourism” for the sole purpose of viewing real estate.

The Approved Destination Status (ADS) agreement is expected to increase Chinese visitors to British Columbia by 15% in 2011 and an additional 15% in 2012. Last year, over 160,000 Chinese visitors came to Canada, with more than half visiting British Columbia.

By the year 2020, China expects to deliver 100 million international travellers worldwide. An additional $300 million a year in tourism revenues, is what Canada could potentially generate by 2015, as a result of China’s expected growth of travellers.

With the ADS agreement in place, this new consumer-focused Canadian advertising campaign in China is sure to build on the momentum and success of the Vancouver 2010 Winter Olympic Games by promoting the many tourism opportunities BC has to offer to the most populous nation in the world.

The total assessed value of British Columbia properties on the 2011 BC Assessment Roll increased by 7.64% to $1.043 trillion from $970 billion in 2010. This is the first time in history that BC assessed property values surpassed the $1 trillion dollar mark.

The 2011 BC Assessment Roll estimates the value of British Columbia properties (homes) on the valuation date of July 1, 2010 based on a market value approach from sales in a property owner’s area from January 1, 2010 to October 31, 2010. Over two million assessment notices were mailed to BC property owners on December 31, 2010.

The provincial government reviews BC Assessment’s property value information annually to determine if BC homeowner program adjustments are necessary to provide British Columbian’s with additional relief to ease the burden of increasing residential property taxes.

For the 2011 taxation year, the British Columbia provincial government announced on January 3, 2011 that it will raise the BC Homeowner Grant threshold by 10% to $1.15 million from the previous $1.05 million threshold in 2010 and 2009.

With this change, more than one million BC homeowners with homes valued up to $1.15 million may now be eligible for a full homeowner grant amount in 2011.

The province has adjusted the BC Homeowner grant so that at least 95.5% of all BC homeowners are eligible for the full grant, while people with homes valued above the threshold may still be eligible for a partial grant.

Colin Hansen, the BC Provincial Finance Minister said, “Raising the homeowner grant threshold ensures that 95% of homeowners continue to benefit from a full grant, helping them with the cost of living.”

The BC Home Owner Grant provides up to $570 reduction in residential property taxes, while an additional grant of $275 (for a total of $845) may be available if the homeowner is 65 or over, permanently disabled or eligible to receive certain war-veteran allowances.

A further measure of relief from British Columbia residential property taxes is being implemented with the start of the Northern and Rural Area Homeowner Benefit program in 2011.

BC Northern and Rural Area Homeowner Benefit Program for 2011:

• This benefit provides up to $200 for homeowners living outside of the Capital, Greater Vancouver, and Fraser Valley regional districts.
• To be eligible, homeowners must meet the requirements to receive the basic or additional homeowner grants.
• The new benefit will be included with property tax notices in the spring, and eligible homeowners will not need to apply separately.

Two other changes taking effect in 2011 may also benefit certain BC property owner’s province wide.

Further Changes Taking Effect in 2011 to Benefit BC Property Taxpayers:

• Increasing the Industrial Property Tax Credit to 60% of school property taxes payable by light and major industrial properties.
• Establishing a credit of 50% of school property taxes for land classified as “farm.”

“While we’re starting to see mills and mines reopen in our smaller communities, we recognize the economic downturn hit some parts of rural BC harder, so we’ve kept our promise to provide a Northern and Rural Home Owner Benefit to ease the burden on rural families in the months ahead,” added Hansen.

According to figures from the Provincial Government, British Columbia will have over one million job openings by 2019.

The Province is expected to be one of Canada’s economic leaders over the next decade with more than a 25% increase in British Columbia’s GDP by 2017.

Employment is projected to increase an average of 1.8% per year because of BC economic growth, creating 450,000 new jobs by 2019. With an additional 676,000 available job openings becoming available because of retirements, the total available jobs will exceed 1.1 million by 2019.

“If we want to maximize our economic potential, B.C. not only needs a highly skilled workforce, but also one with the right skills to match market demands,” said Ida Chong, BC Regional Economic and Skills Development Minister.

With 650,000 students currently in the BC education system, job growth and openings are expected to outpace the number of available jobs and workers needed for BC’s continued growth.

In response to these challenges, the BC Government has implemented a new provincial strategy titled Skills for Growth – British Columbia’s Labour Market Strategy to 2020.

Officially introduced on November 25, 2010 by Regional Economic and Skills Development Minister Ida Chong, Skills for Growth targets three priority areas aimed at building BC’s workforce over the next decade.

BC Skills for Growth – Labour Market Strategy to 2020:

1. Increasing the skill level and success of people currently in British Columbia so that by 2020, B.C.’s labour market has a population with the necessary skills to pursue economic goals and capitalize on emerging opportunities.
2. Attracting and retaining top talent from across Canada and around the world, highlighting the fact that B.C. is a welcoming environment that is internationally recognized as one of the best places for newcomers and their families to live, work, study and invest.
3. Improving productivity by creating a culture of innovation that leads to productive workplaces.

Developed in consultation with BC employers, post-secondary institutions, labour, industry associations, government and other stakeholders, the Skills for Growth strategy is designed to be the starting point of a co-ordinated effort to bring all stakeholders together to help meet British Columbia’s future workforce needs.

Chong said, “Over the next decade, we know that over three-quarters of our job openings will require a college diploma, trade certificate, university degree or higher.”

“Skills empower British Columbians with more options, helping them rise higher in their chosen profession, provide more for their families and enjoy more success in their lives.”

The Skills for Growth strategy reinforces the work of the Ministry of Regional Economic and Skills Development to strengthen connections between communities, employers and post-secondary institutions to ensure each region of the province has the skills required to drive regional economic growth.

“Skills for Growth outlines our strategic approach to ensuring we have enough workers, with the right skills, in every region of the province,” added Chong.

On Monday, January 17, 2011, Jim Flaherty, Minister of Finance along with Christian Paradis, Minister of Natural Resources announced new mortgage rules aimed at reducing some of the risk in the Canadian mortgage market after mounting concerns over rising consumer debt levels in Canada.

“Canada’s well-regulated housing sector has been an important strength that allowed us to avoid the mistakes of other countries and helped protect us from the worst of the recent global recession,” said Minister Flaherty.

With household debt in Canada reaching a record 148% of disposable income in third quarter of 2010, exceeding the US level of 147%. The government wants to ensure there is no US style mortgage meltdown in Canada as interest rates are anticipated to rise in 2011.

The rules are aimed at promoting responsible lending and borrowing in Canada while encouraging people to increase their home equity.

Three new mortgage rules were announced for 2011 including:

1. Reduce the maximum amortization period to 30 years from 35 years for new government-backed insured mortgages with loan-to-value ratios of more than 80%.
• Effective March 18, 2011
• This will significantly reduce the total interest payments Canadian families make on their mortgages, allow Canadian families to build up equity in their homes more quickly, and help Canadians pay off their mortgages before they retire.
2. Lower the maximum amount Canadians can borrow in refinancing their mortgages to 85% from 90% of the value of their homes.
• Effective March 18, 2011
• This will promote saving through home ownership and limit the repackaging of consumer debt into mortgages guaranteed by taxpayers.
3. Withdraw government insurance backing on lines of credit secured by homes, such as home equity lines of credit, or HELOCs.
• Effective April 18, 2011
• This will ensure that risks associated with consumer debt products used to borrow funds unrelated to house purchases are managed by the financial institutions and not borne by taxpayers.

“The prudent measures announced today build on that advantage by encouraging hard-working Canadian families to save by investing in their homes and future,” added Flaherty.

“The economy continues to be our Government’s top priority,” continued Minister Paradis. “Our Government will continue to take the necessary actions to ensure stability and economic certainty in Canada’s housing market.”

This move is widely viewed as a measure to influence the Canadian mortgage market and Canadians debt levels without resorting to interest rate hikes. It gives the Bank of Canada and Mark Carney much more flexibility and allows him to keep Canadian interest rates low thereby putting less pressure on the overall Canadian economy.

The government is implementing a policy that will affect a subset of borrowers instead of the entire economy.

The 2011 Mortgage Changes in Detail:

1) Change Maximum Amortization Period to 30 YEARS:

A typical mortgage in Canada will have a term of five years or less at which time it can be renewed with a specific amortization period in which the entire mortgage must be paid off.

The new rules which come in effect on March 18, 2011 (only applies to mortgages with less than a 20% down payment) will reduce the maximum amortization period from 35 years to 30 years resulting in a moderate increase in the monthly payment along with a significant reduction in the total interest paid over the amortization period.

A typical $300,000 mortgage with a 5% interest rate will see monthly payments increase by $97.00 per month from $1,504 (35 year amortization) to $1,601 (30 year amortization) and result in a total $55,404 interest savings over the life of the mortgage.

2) Lower Maximum Refinancing To 85% Loan-to-Value Ratio:

Canadian borrowers can refinance their mortgages to increase the amount of the loan secured against their home.

The new rules which come in effect on March 18, 2011 will reduce the limit on refinancing from 90% to 85% of the value of the home. As refinancing a mortgage usually lowers the borrower’s equity in their home, reducing the maximum loan-to-value ratio on refinancing will encourage Canadians to keep more equity in their home.

A typical home valued at $300,000 will allow a homeowner to access up to $255,000 at the new 85% loan-to-value ratio, while previously they would have been able to get up to $270,000 at the 90% rate. The changes will increase the remaining home equity by an additional $15,000.

3) Withdraw Government Insurance on Non-Amortizing Lines of Credit Secured by Homes:

Currently a line of credit secured by the borrower’s home, such as a home equity line of credit, is limited to a maximum of 80% of the value of the home.

There has been a substantial increase in the credit available to Canadians through this type of secured line of credit over the past several years, and it is an important factor in the rise in overall household debt. These loans are generally non-amortizing, which means that borrowers are not required to make regular payments on the principal amount of the loan.

Moreover, these loans are almost exclusively variable rate products, which expose borrowers to the impact of rising interest rates.

While regulated lenders are not required to obtain insurance on lines of credit secured by homes at the time of origination, they may choose to obtain insurance after origination through what is known as “portfolio insurance,” where secured lines of credit are pooled into a portfolio and then insured by a mortgage insurer. At the time of insurance, the benefit of the portfolio insurance is to the lender by facilitating funding, rather than to the individual borrower. Other options exist for lenders to fund their secured lines of credit.

Many lenders now offer multiple loans or a multi-segment loan secured against a borrower’s home. If a loan or a segment of a multi-segment loan is in the form of a revolving line of credit that does not amortize over time, it will no longer be eligible for government-backed insurance. However, with established scheduled principal and interest payments, a loan will continue to be eligible for government-backed insurance, provided it meets the underwriting standards set by the mortgage insurer.

Withdrawing government insurance backing on these non-amortizing products is consistent with the Government’s objective of supporting the long-term stability of Canada’s housing market.