Thursday, September 23, 2010

Managing your Money, Mississauga


Once again, John Scholl has provided a very interesting article regarding financing so that I can pass it along to all of you. We're all very concerned about what's going on with the economy at this time. We hear different stories of what to do with our finances. This is some sound advice. Here it is:

From John Scholl:

Thought I’d better pass you another Managing your Money column. This has to do with the income tested pension credits and OAS and how to avoid the clawback.

You know on one hand the CRA says we have the right to organize our affairs to minimize our tax payable , but read this quote defending the clawback.

Quote – “anyone in a clawback situation should not generally be concerned but rather be proud of their ability to be self-sufficient”.

What a bunch of hooey. I’m sorry but unlike CPP which is funded by a pool generated by CPP contributions from an employee and employer, the OAS is paid from general tax revenues. In other words, I’ve been paying for other seniors OAS all the years I’ve been working and now they feel justified in not paying out my share. Did you know they want to change the time honoured (ahem) name from OAS CLAWBACK to OAS REPAYMENT ( I guess the visual of a claw raking in your money would get us too riled up)

MANAGING YOUR MONEY

Steer clear of the clawback

The government obviously loves seniors, as they receive benefits from a variety of tax assisted benefits and tax credits not available to others. However, these benefits are income-tested, in that there may be claw-backs on Old Age Security (OAS) payments and the Age Credit. OAS is a monthly benefit available to most Canadians age 65 or older. However, you will be required to repay 15 per cent of the amount by which your net income for tax purposes – including your OAS pension – exceeds $66,733. If your taxable income exceeds $108,152, you will lose your entire OAS benefit to the clawback.

Age Credit is a non-refundable tax credit available to Canadians age 65 or older. For 2010, the maximum amount that can be claimed as an Age Credit is $6,446, but this amount is reduced by 15 per cent of your net taxable income in excess of $32,506and disappears completely once your taxable income reaches $75,479.

Steering clear and keeping more – strategies that work for you

The key to avoiding OAS and Age Credit clawbacks is to keep your taxable income to the absolute minimum required to meet your needs – using strategies like these:

Pension income splitting
You can allocate up to 50% of ‘eligible pension income’ – including payments from a Registered Pension Plan (RPP) at any age and Registered Retirement Income (RRIF) payments at/after age 65 – to your lower earning spouse, which usually reduces your family’s overall tax bill and clawbacks.

Other income-splitting strategies
You can gift or loan assets to your spouse for investment purposes, contribute to a spousal RRSP (if your spouse is under age 71), and/or change who pays for daily living expenses and who invests. Withdraw the minimum for your RRIF. RRIF withdrawals are fully taxable, so consider withdrawing only the minimum each year. If you have a younger spouse, base your withdrawals on their age – this will produce a smaller minimum withdrawal.

Invest in TFSAs
Contributions to Tax-Free Savings Accounts generate tax-free investment income. As well, payments from a TFSA are not taxable, so do not result in clawbacks. Seek non-registered investments that offer preferential tax treatment. Only 50% of the capital gains generated by equity investments are taxable income, which may result in less of your income being subject to clawbacks.

Another strategy to consider is tax-advantaged or switch funds, which allow you to buy and sell investments without paying any taxes on capital gains until you leave the fund structure. This allows you to defer tax payments to a year when your income is lower.

With the right strategies you can pay less tax, avoid clawbacks and preserve your wealth. But talk them over with your professional advisor to be sure you are following all of the often difficult tax rules and doing what’s best for you.

Regards
John Scholl, CLU (Chartered Life Underwriter),CGA, B. Mathematics, Financial Consultant - Investors Group Financial Services Inc.

Feel free to contact John Scholl for further sound information. Call me at 416 427 1875 to get the telephone number and allow me to direct you to John.

Thank you John, for a great article.

Betty Bartusevicius, Sales Representative
Re/Max Realty Specialists Inc., Brokerage
905 828 3434
Direct: 416 427 1875
betty@bettybart.com
bettybart.com

Friday, September 17, 2010

"SOLD"


You have heard it a dozen times, "Your house will sell". Every realtor that knocks on your door, or telephones you, will tell you that they can get the best price in the shortest amount of time for your house. There are a few steps that 'should' be followed in order to get the end result - a SOLD sign on your lawn.

These are just a few. I am not going to cover the advertising aspect of selling your house, that's for another day. But, you do want to hire a Realtor that will bring the most eyes onto your property.

Here we go:

1: Hire a 'full time Realtor'. This is not time to be fooling around with part-time agents. Don't hire your best friend, cousin, or your hairstylist who may be working as a part-time realtor. You are selling what is your most valuable asset. This involves a lot on money. Understand your marketing plan that will be set out by your realtor.

2: Don't beat your listing agent up over the commission. Marketing real estate properly costs money. Don't limit the amount of money your listing agent will have available for marketing.

3: Listen to your Listing Agent regarding pricing. We do know what we're doing. We are following homes sales and solds all day, every day. It doesn't matter what your neighbour "thinks" you should get for your house, but what a qualified buyer is willing to pay for your house. A good Realtor will be able to show you all the comparable data of homes that sold, how quickly they sold, and why the sellers got what they got for the listing.

4: You may want to think about getting a "PRE"-inspection done on the house. This will help you get minor fix-ups done, and possible hidden major fix-ups, to send a signal to buyers that you are serious about selling your house.

5: Make the home move-in ready as much as possible. I'm not talking about cosmetics, although that would help. I'm talking big ticket items. eg. roof, furnace, air conditioning, etc.

6: CLEAN CLEAN CLEAN. It should sparkle. There should be no odors.

7: Hire a professional home stager. At the very least, get a consultation so you know exactly what needs to be done to make it more appealing to the greatest number of buyers.

These are just a few ideas. Of course there are more and I would be happy to sit down and discuss all your real estate needs with you. Even if it's just to chat about what's going on in your neighbourhood.

Betty Bartusevicius, Sales Representative
Re/Max Realty Specialists Inc., Brokerage
Fine Homes In Nine Oh Five
Office: 905-828-3434
Direct: 416-427-1875
Email: betty@bettybart.com
Web Site: http://www.bettybart.com

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this is not intended to solicit buyers or sellers under brokerage contract

Thursday, September 16, 2010

Home For Sale, Lorne Park, Mississauga


This home is located in prime Lorne Park location. Offering a spectacular backyard wuth an award winning Bonavista Pool-Hot Tub. A cabana with a 2 piece washroom. This backyard offers complete privacy. This home was given the Award Of Merit For Excellence In Urban Design. The living room has a cathedral ceiling and a 2-sided fireplace. Walkout from the formal dining room to a covered porch. Enjoy an eat-in centre island in the kitchen that also offers a pantry, computer desk and walk-out to patio and pool. All bedrooms have ensuites. The finished basement includes a games room, a wet bar, a recreation room, a gas fireplace, a 5th bedroom, and a gym.

For more pictures of this lovely home click here.

Also inclluded are the fridge, cooktop, dishwasher, built-in oven, built-in microwave, 2 central air conditioners, 2 furnaces, central vacuum & attachments, 2 garage door openers and remotes, electric light fixtures, security system, sprinklers, night lighting, inrgound pool and hot tub, cabana with 2piece.

If not this home, perhaps I can show you something else? If you would like to know the market evaluation of your home, click here, fill in the short form and I will call you. How easy is that?

Betty Bartusevicius, Sales Representative
Re/Max Realty Specialists Inc., Brokerage
Fine Homes In Nine Oh Five
Office: 905-828-3434
Direct: 416-427-1875
Email: betty@bettybart.com
Web Site: http://www.bettybart.com

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PSST: IF YOU KNOW SOMEONE WHO IS THINKING OF BUYING OR SELLING A HOME AND NEEDS MY HELP...FEEL FREE TO PASS ALONG MY NAME AND NUMBER TO THEM! ALL REFERRALS ARE GREATLY APPRECIATED
this is not intended to solicit buyers or sellers under brokerage contract

Thursday, September 9, 2010

11 Rules Your Kids Did Not and Will Not Learn In School, Mississauga


A few days ago, many of us celebrated our children going back to school. Others, dropped their loved ones at different universities or colleges so they can continue their education. I no longer celebrate in the same manner. I still have one young adult in university. He hasn't started his 3rd year, yet. He starts the second week of September. I watch the little ones walking to school with their new school bags and holding their parents hands and I think back to those wonderful days. Of course, we do see our kids grow up and we look forward to the day when they begin their lives away from the comfort of their own homes. It will happen.

I have been fortunate to pick up a real cute article by Kent Summers. The article was titled:

Bill Gates Speech: 11 Rules Your Kids Did Not and Will Not Learn In School
Rule 1: Life is not fair - get used to it.

Rule 2: The world doesn't care about your self-esteem. The world will expect you to accomplish something BEFORE you feel good about yourself.

Rule 3: You will NOT make $60,000 a year right out of high school. You won't be a vice-president with a car phone until you earn both.

Rule 4: If you think your teacher is tough, wait till you get a boss.

Rule 5: Flipping burgers is not beneath your dignity. Your Grandparents had a different word for burger flipping: they called it opportunity.

Rule 6: If you mess up, it's not your parents' fault, so don't whine about your mistakes, learn from them.

Rule 7: Before you were born, your parents weren't as boring as they are now. They got that way from paying your bills, cleaning your clothes and listening to you talk about how cool you thought you were. So before you save the rain forest from the parasites of your parent's generation, try delousing the closet in your own room.

Rule 8: Your school may have done away with winners and losers, but life HAS NOT. In some schools, they have abolished failing grades and they'll give you as MANY TIMES as you want to get the right answer. This doesn't bear the slightest resemblance to ANYTHING in real life.

Rule 9: Life is not divided into semesters. You don't get summers off and very few employers are interested in helping you FIND YOURSELF. Do that on your own time.

Rule 10: Television is NOT real life. In real life people actually have to leave the coffee shop and go to jobs.

Rule 11: Be nice to nerds. Chances are you'll end up working for one.

There has been so much sad news in the papers, on TV, and on the radio. I thought that this would bring a new a few smiles and a chuckle to those with children who are in post secondary education or heading out to the real world of jobs and opportunities.

Let's smile and laugh and pass it on.

Betty Bartusevicius, Sales Representative
Re/Max Realty Specialists Inc., Brokerage
Fine Homes In Nine Oh Five
Office: 905-828-3434
Direct: 416-427-1875
Email: betty@bettybart.com
Web Site: http://www.bettybart.com

Help Me Get to 150 Friends on this Facebook Page; Click and Like me Please

PSST: IF YOU KNOW SOMEONE WHO IS THINKING OF BUYING OR SELLING A HOME AND NEEDS MY HELP...FEEL FREE TO PASS ALONG MY NAME AND NUMBER TO THEM! ALL REFERRALS ARE GREATLY APPRECIATED

Wednesday, September 8, 2010

Interest Rates Update, Mississauga


Thank you Kristian Harris of Monster Mortgage for the following article. Great up-to-date information that keeps us on our toes. I got this just as the news came out regarding the rise in interest rates. It's not much and as you will see in the article. It still keeps the rate by the Bank of Canada low and affordable my many.

Enjoy the article. If you have any questions after you have read it, feel free to contact me at 416 427 1875 or Kristian at 416 818-1645.

Interest Rates Go Up

...even with .25% increase the variable is still attractive at 2.35%...
Carney hikes rates, cites uncertainty.

Bank of Canada governor leaves room to pause at next meeting following three straight increases in benchmark

Jeremy Torobin

Ottawa — Globe and Mail Update Published on Wednesday, Sep. 08, 2010 9:03AM EDT Last updated on Wednesday, Sep. 08, 2010 9:24AM EDT

Bank of Canada Governor Mark Carney raised his benchmark interest rate for the third straight time Wednesday, but left himself room to pause at his next scheduled decision by saying that while borrowing conditions in Canada remain “exceptionally stimulative,” the overall economic climate is fraught with “unusual uncertainty.”
In the statements on his decision to lift the overnight rate by another quarter of a percentage point to 1 per cent, Mr. Carney reiterated - arguably more strongly than in the past - that future moves will depend on developments around the world and, in turn, how they are affecting Canada’s export-heavy economy.

“Any further reduction in monetary stimulus would need to be carefully considered in light of the unusual uncertainty surrounding the outlook,” the central bank said, tweaking language in the all-important last line of the statement that accompanied its previous two rate hikes, which referred to “considerable” uncertainty.

Unlike the previous two statements, on June 1 and July 20, Wednesday’s decision included no mention of debt problems or belt-tightening in Europe. However, Mr. Carney left little doubt that the sputtering U.S. recovery is now the No. 1 risk to the global and Canadian recoveries, saying in the second paragraph of his statement that the rebound in private demand south of the border is being crimped by stubbornly high joblessness and that ``recent indicators suggest a more a more muted recovery in the near term.’’

As a result, the central bank said, the global bounce-back from the worst downturn since the Depression is ``proceeding but remains uneven, balancing strong activity in emerging market economies’’ (such as China and India, though the central bank didn’t name them) against ``weak growth in some advanced economies.’’ At the same time, the central bank appeared to downplay the effect that the global turmoil is having on Canada, calling the country’s 2-per-cent annual growth rate in the second quarter ``slightly softer’’ than what policy makers had expected, even though their latest forecast in July was for a 3-per-cent pace.

The Canadian recovery will be ``slightly more gradual’’ than the central bank expected in July, but consumer spending and investment have ``evolved largely as anticipated,’’ it said, reflecting the fact Mr. Carney’s forecasts have warned of a slowdown for several months because of factors such as the fading impact of government stimulus and the cooler real-estate market.

In the future, consumption growth will ``remain solid’’ and business investment -- which has a surprisingly strong pickup in the second quarter, Statistics Canada data last week showed -- will ``rise strongly,’’ the central bank said. For now, as the U.S. recovery proceeds in fits and starts, investor demand for safer investments such as bonds is pushing borrowing costs down and helping consumers and companies, the bank noted.

``Financial conditions in Canada have tightened modestly but remain exceptionally stimulative,’’ the central bank said.

In its July 22 forecast, Mr. Carney said inflation will stay near the central bank’s 2-per-cent target throughout the projection period, and the economy will return to full capacity at the end of 2011. On Wednesday, Mr. Carney said inflation -- which has been tame in recent months -- has been in line with his expectations and the dynamics surrounding prices in Canada ``are essentially unchanged.’’ All of that suggests Mr. Carney and his deputies are still rather uncomfortable with an overnight lending rate so far away from what most economists consider ``neutral,’’ or about 3.5 per cent to 4 per cent.

Still, the continuing emphasis on risks from abroad and on the uncertain nature of the global recovery indicate policy makers are trying to signal to remind investors that the central bank reserves the right to pause at its next decision, on Oct. 19, to spend more time assessing how the situation in Canada and abroad is unfolding. Mr. Carney would explain such a move in a new forecast the following day.

Central bankers in Japan and Australia this week indicated that fears about the durability of the U.S. rebound are weighing heavily even on the minds of policy makers whose countries aren’t quite as dependent on the world’s biggest economy. The Reserve Bank of Australia kept a pause in place on Tuesday, despite having the biggest spike in economic growth in the country since 2007, and the Bank of Japan highlighted ``uncertainty’’ about the U.S. in saying that it is prepared to add more stimulus if needed.

As you can see by this article, there still may be another rise in interest rates again. Rumors abound that it will be in December. So, if you are ready to invest in a home, maybe it's time to sit down and see if it's a possibility. I'm here to help.

Betty Bartusevicius, Sales Representative
Re/Max Realty Specialists Inc., Brokerage
Fine Homes In Nine Oh Five
Office: 905-828-3434
Direct: 416-427-1875
Email: betty@bettybart.com
Web Site: http://www.bettybart.com

Help Me Get to 150 Friends on this Facebook Page; Click and Like me Please
PSST: IF YOU KNOW SOMEONE WHO IS THINKING OF BUYING OR SELLING A HOME AND NEEDS MY HELP...FEEL FREE TO PASS ALONG MY NAME AND NUMBER TO THEM! ALL REFERRALS ARE GREATLY APPRECIATED

Tuesday, September 7, 2010

August Market Watch, Mississauga


Hello To All:

This is meant for all those that missed receiving my monthly news letter.

First things first, welcome back to school to all those children and young adults (all adults) who have returned. To the parents who left their loved ones in the hands of the educators who will teach your children for the months that follow, enjoy a restful cup of tea or coffee as you try to settle into your regular fall routine. The excitement of the first day of school is now over.

The EX is ending, the Air Show took place only for 2 days not the regular 3, and Mother Nature decided to remind us that summer is nearing it's end. In the days and weeks that follow, we will start to think about cleaning up our yards and completing some tasks that we put off when the weather was too warm. This has been the best summer in a number of years. Homes were not listed as quickly as was predicted. Buyers stood back and waited for the 'bargains' to magically appear. The homes that were priced well, sold quickly. Some homes in certain areas of Mississauga and Oakville even had multiple offers. Yes folks, they're back. Not with the same vengeance as previously.

The August Market Watch is available. Read it on line and save a tree.

I'm waiting for listings to come on the market as I have some serious buyers that are looking to purchase. I have knocked on doors in those neighbourhoods that my buyers have showed interest. I'm just waiting for everyone to settle into their fall routines and return my calls.

The Bank of Canada has informed us that it may be raising interest rates this month. Is it time for you to get your finances in order? Give me a call and I'll set you up with a Financial Specialist to get you on the right track toward Home Ownership.

Are you ready for a Home Evaluation? You will find that I will provide you with honesty, integrity, and the professionalism that you deserve from your realtor. Do you just have some questions? If you want to find out what I will do for as your realtor, you can get information easily. Just click here. Do you want to go look at what's available on the market right now? Become a VIP Buyer.

We have all heard the doom and gloom from the media that the Real Estate Market is heading toward hard times. If you take a look at the market ups and downs throughout the years, the last season was nothing new. We are looking forward to a better fall market than we had seen in the summer. This was typical. If you would like, I can provide you with the tables and figures of markets of past. Pricing a home has never been more important in order to get your house sold. Buyers, take a look at statistics and be prepared to make an offer. Get yourself a realtor you can trust and get along with. It will be a journey and you want to take that journey with someone with whom you can get along.

Do you just want to chat? Do you have a few questions? Give me a call directly at 416 427 1875. I am ready to get moving and complete the tasks that both buyers and sellers put towards me. I look forward to all your calls and questions.

I look forward to hearing from you. Don't forget to help me get to 150 friends on Facebook.

Remember, your decision is the decision I will respect!

Betty Bartusevicius, Sales Representative
Re/Max Realty Specialists Inc., Brokerage
Fine Homes In Nine Oh Five
Office: 905-828-3434
Direct: 416-427-1875
Email: betty@bettybart.com
Web Site: http://www.bettybart.com

Help Me Get to 150 Friends on this Facebook Page; Click and Like me Please

PSST: IF YOU KNOW SOMEONE WHO IS THINKING OF BUYING OR SELLING A HOME AND NEEDS MY HELP...FEEL FREE TO PASS ALONG MY NAME AND NUMBER TO THEM! ALL REFERRALS ARE GREATLY APPRECIATED
this is not intended to solicit buyers or sellers under brokerage contract