Here's
What Ontario Seniors Should Know
About Utilizing a Reverse Mortgage...
Real
Estate in Ontario at a Glance:
The
real estate market in the province is starting to stabilize
in the final quarter of 2010, with prices holding as inventory
increases. Prices are expected to boost in 2011 due to recovering
demand and lessening inventory. Though sales volume is expected
to moderate and flatten the trend in 2011, improved affordability
and economic conditions will create overall value growth into
the later part of 2011.
Note:
For more information, and for up-to-date real estate and economic
news & data, we suggest visiting CMHC's
Housing Market Info Center for new reports each
quarter.
Average
House Values in ON and the Major Cities:
|
Location
|
AVH*
2009
|
AVH
2010
|
|
ON
(province-wide)
|
$326,698
|
$335,086
|
|
Toronto
|
$406,877
|
$427,269
|
|
Ottowa
|
$305,628
|
$324,841
|
|
Mississauga
|
$387,921
|
$411,012
|
|
Hamilton
|
$304,670
|
$316,566
|
|
Brampton
|
$381,524
|
$411,953
|
*
AVH = Average House Value
What's
the Outlook for Ontario Seniors?
Ontario's
long-term outlook for real estate value is strong, though
home-owners aren't out of the woods yet in terms of equity
value.
Rising
interest rates in 2011, coupled with the high CDN dollar (and
cautious US spending) may result in slight economic decline
and housing prices for awhile, but this should eventually
recover as the global demand for manufactured goods continues
to recover - thereby stimulating the economy.
Another
positive factor is that Ontario's population is expected to
grow due to higher immigratory influx and fewer Western-bound
migratory outflows. This will, in-turn, increase housing demand
and reduce vacancy rates, which will boost pricing.
The
key is to focus on the long-term (5+ year) outlook, which
should be positive for most locations in ON.
And
in the same train of thought, it's important to carefully
consider the long-term value pattern when considering an equity-secured
cash or income strategy for retirement. Don't assume that
housing will hold peak pricing, but at the same time, consult
professional advice to reasonably predict the value of your
equity at certain benchmarks in the future, and borrow accordingly
- and well within your means.
Currently,
the average senior in Ontario can get up to $134,034
(40% of the avg. ON house value) in tax-free cash/income
through a reverse mortgage against existing equity.
A
word of caution...
As
the "baby-boomer" population matures into retirement
age amidst a trailing recession, there are bound to be some
desparate people looking for relief. This creates an environment
ripe for scam-artists.
Ontario
seniors should be aware that though there are many legitimate
retirement strategies (such as CHIP™, which is also registered
bank in Canada), unfortunately there are also scams and unscrupulous
tactics that are harmful in the long-run. We suggest consulting
the ON
Securities Commission to research a company or program
before betting your retirement on it.
Where
do I go from here?
If
you would simply like more information - or if you'd like
to discuss it further with us directly, please fill out our
quick inquiry request form at the top of the page, and we'd
be delighted to help you and answer any questions you may
have.
In
fact - if you'd like to speak to a reverse mortgage professional
who can provide you with answers and information so as to
assist you in making a decisions that's best for you, why
not call us right now?
It's
toll-free, and we'd be delighted to hear from you!
Call
Right Now:
1-877-686-4246
_______ Copyright © 2010 :: ShangriLoan Ventures LTD :: All Rights
Reserved _______ 