Gary O`Brien - From Orangeville to Mississauga - On The Road Again

New respect for shipping containers.  Have you ever stopped to think where old shipping containers go when they are retired from service?  From humble utilitarian beginnings fifty years ago, the modern day shipping container is now evolving into a housing solution in dense urban environments where space and affordability are at a premium.  They're also finding their way out to the countryside as cottages, and onto architect's desks where especially creative minds are finding new ways to improve on the simple "box".  It's an idea that's been gaining momentum as a development alternative since 2000 when Container City was constructed in London England.   According to the project's designers, Urban Space Management,  "containers are an extremely flexible method of construction,  being both modular in shape, extremely strong structurally and readily available.  Container Cities offer an alternative solution to traditional space provision. "  They are also environmentally friendly in the sense that most of the material used is recycled.

To date, shipping containers have been stacked into multi-level buildings, reconfigured as student housing, emergency housing, prisons, cottages, office space, temporary housing, and converted into modernist luxury homes such as De Maria Design's Redondo Beach Container House.   According to The Daily Green, "Shipping containers can be readily modified with a range of creature comforts, and can be connected and stacked to create modular, efficient spaces for a fraction of the cost, labour, and resources of more conventional materials".  You'll find some truly amazing examples of what can be done by visiting The Daily Green and The Fab Files.

While I haven't seen any similar homes around Orangeville, the backroads of Dufferin County, or stacked amongst the gleaming condo towers of Mississauga, as architects and municipal planners become more adventurous - perhaps there may soon come a day when I'll be listing my first shipping container and asking potential buyers to "think outside the box" so to speak.  Thanks to Point2 Technologies for the idea.  Photos courtesy of Wikipedia.

Check out the You Tube video at http://www.youtube.com/watch?v=65C9OLvmjpI

I received a general tweet the other day from the Canadian Real Estate Association (CREA) asking if anyone had clients requesting dual master bedrooms.  Apparently this is starting to develop into an emerging trend as the last of the Baby Boomers and Zoomers (Boomers with "zip") get dragged fighting & kicking into the 50+ demographic.  And, it's not just because we're now over 50 and crotchety all of a sudden that we need our own rooms.  The reality of today's Zoomer is so much different than that of our parents or grandparents.  Today, many in the 50+ category are having to accomodate non-traditional families, aging parents, alternative lifestyles, conflicting schedules, etc.  You'll find a good article dealing with this topic at Helium.com

Looking at some other emerging trends; the housing industry has started to notice Zoomers (ages 52-62) and is gearing up to cater to the more affluent segment of this particular group by developing new models of active adult housing and neighbourhoods, similar I suppose to areas such as Briar Hill near Alliston, or Rosedale Village in Brampton.  HGTVPro.com has a good article dealing with this trend which you can read by clicking here.  These neighbourhoods can be fairly pricey though, and one development I would like to see is more affordable housing for retirees/empty-nesters.  The way it stands now, often times many retirees are left with few downsizing options other than a condo or apartment, especially if they wish to remain in their communities.  The most common request I receive from people considering their downsizing options is for a reasonably priced small bungalow with a bit of yard.  Unfortunately, those are far and few between, especially in the areas such as Orangeville, Shelburne, Caledon, et al.  

Speaking of downsizing, another emerging trend for Baby Boomers and Zoomers is to smaller homes and yards as the post-50 empty nester looks for "comfort and ease of maintenance."  You can read more on this topic by visiting www.homeinsight.com or clicking here. 

I'll try to follow up on this theme from time to time, so if you have any suggestions re: topics, links, articles, etc., feel free to let me know.  Cheers.  G.

Whether I'm in an elevator in Toronto, at a party in Orangeville, with clients in Brampton, getting a haircut at Square One, hacking away the tall grass at Shelburne Golf Course looking for an errant golf ball - everybody wants to know where is the market headed?  Is now a good time to buy?  Will prices go up or will they go down?  Is Armageddon waiting around the corner?  Should we sell off and move to the hills?  Should I order those new Pings or settle for my son's hand me downs?  Wow - so many questions, so much responsibility, so much pressure.  

Normally, like any good realtor, I can bluff my way through pretty much anything.  This time though, I think I'll play it safe and go to the authorities to see what the prognosticators say about current real estate market trends and forecasts.  For starters - lets' take a look at real estate.  Of course we'll experience peaks and valleys over time but, historically, real estate values have always appreciated over the long haul.  Short-term, nothing is ever certain, however, markets throughout Ontario are reporting strong sales with increases in Cornwall, Kingston, Grey Bruce-Owen Sound, Guelph, and Brantford where they posted record numbers.  In Mississauga sales volume was up 115% in December 2009 vs December 2008.   Read the full report by clicking here.  Elsewhere, in Orangeville for example, sales volume doubled during the same time period while values increased by approximately 8%.  Meanwhile, home sales across Canada reached the highest level ever for the month of December.  According to the Canadian Real Estate Association December 2009 showed an increase of 72% above activity in December 2008.  Click here to go more in depth. 

So where do we go from here?  Let's see what smarter minds than mine have to say.  The Bank of Canada sees economic growth of 2.9% in 2010 and has reiterated it's commitment to hold mortgage interest rates until the end of the second quarter of 2010.  With interest rates continuing to remain stable, "improving credit market conditions have enabled lenders to reintroduce discounts off posted mortgage interest rates".  Click here to read more on the Bank of Canada outlook.

An interesting study by ScotiaBank Group takes a look at the bigger picture with it's Global Real Estate Trends publication where it states,  "Canada still leads the pack in markets we track."  Further, the article goes on to say, "We expect housing demand will remain strong through the key spring sales season as buyers attempt to pre-empt the inevitable rise in interest rates, and improving labour markets bolster confidence.  Reduced affordability - through a combination of higher home prices and borrowing costs - will eventually cool demand, though probably not until much later in 2010."  Read the full article here.

Glad I could help clear that up.  Now, what to do about those clubs...

What a difference a decade makes.  I had someone tell me in no uncertain terms the other day there was no way they were giving their house away (exclamation point, exclamation point).  I had done an assessment that, apparently, came in considerably lower than they had expected.  Haha - true story - it does happen.  This meant huge, I mean heee-yoodge, losses on this potential seller's part.  Kinda - well not really.  It turns out the owners had been there over ten years and had paid somewhat less than the number I presented them with.  Even after maintenance & upkeep, property taxes, etc., they were still way ahead of the game.  But, human nature being what it is, their interpretation of the number I suggested versus what they'd imagined equalled a loss.  Anyways, as I drove home I started thinking about how much their property had increased during the time of ownership and wondered how the numbers stacked up across the board.  I had a decision to make - do I watch "The Bachelor" when I get home, or bring out the abacus.  The latter won and here are some very general unscientific stats I came up with.  How much difference does a decade make?

During the month of December 1999 the average price of a detached home was as follows;

Orangeville ... $186,969 (13 sales)
Dufferin (excluding Orangeville) ... $191,674 (19 sales)
Caledon (excluding Bolton) ... $416,281 (16 sales)
Brampton (W23) ... $229,187 (70 sales)
Georgetown ... $260,033 (15 sales)
Port Credit ... $273,442 (19 sales)

During the month of December 2009 the average price of a detached home was as follows;

Orangeville ... $349,014 (21 sales)
Dufferin (excluding Orangeville) ... $343,606 (16 sales)
Caledon (excluding Bolton) ... $616,382 ( 17 sales)
Brampton (W23) ... $385,350 (168 sales)
Georgetown ... $494,711 (28 sales)
Port Credit ... $638,731 (26 sales)

Interestingly, these figures tie-in nicely with some statistics recently released by NAR's (National Association of Realtors) Research Bureau which found "those who owned a home for more than 21 years typically reported a selling price of 203% more than the purchase price."  You can read the full article by Sophia Stuart, Research Economist by clicking here.   

So how does the story end?  Fortunately for us all - they were in no rush and didn't need to sell so we all lived happily ever after.  True story.

Like a scene from a postcard.  Idyllic setting in the Pine River Valley.  If apres-ski is your thing, you'll just love coming home after a day on the slopes of nearby Mansfield, Collingwood, or Hockley Valley.  Located on prestigious River Road near Hornings Mills, this wonderful home ( & Guest Cabin) has much to offer as either a great weekend spot, full-time residence, or as a studio/retreat.  Area amenities include skiing, golf, hiking, and fishing.  You'll also find many other leisurely pursuits such as a great selection of restaurants, the Dufferin Museum, the Creemore shoppes, markets, & auctions, the Bruce Trail, and a vibrant arts community with numerous studios dotted throughout the Headwaters region.  Or you can just hang around and simply enjoy the views overlooking the grounds and the pond.  Charming & eclectic bungalow with numerous updates over the years including a steel roof, windows, both baths, hydro, gas fireplace and more.  Other newer notable features include the garage, Guest Cabin, UV system, and enclosed front entry.  More pics & details on my website at www.Gary-OBrien.com.

Just sitting here at Starbucks, enjoying a little downtime between appointments, and thinking "how cool is this - messing around with this little netbook, catching up on emails, checking out different websites."  It doesn't seem that long ago when I'd sooner drive from Orangeville to pick up an offer in Toronto, than to try and figure out an antiquated facsimile machine that would invariably leave a big black line down the middle of each curled up page.  Now I'm texting with my left thumb and typing with a couple of fingers on my right, all the while navigating the streets of Toronto.  Well, not literally 'cause that's illegal don't ya know.  I'm actually cruising around on Google Street View. 

What a great tool for realtors - to help familiarize us with different neighbourhoods before we head out to show properties.  No longer will we have to bluff our way around the neighbourhood (ok - well maybe just us guys).  No more walking into the wrong house - oh yeah, I've done it.  It's also a great tool for you buyers as you'll be able to preview different areas on-line before hopping in the car to drive by that dream home - the one that happens to be located next to the wrecking yard?  (Maybe next time you'll believe me and I won't have to say I told you so.)

Generally speaking, I think they've done a pretty good job with this in the larger centres such as Toronto, Mississauga, Brampton, etc., but nothing yet in the outlying areas around Georgetown, Orangeville, or Shelburne.  Hopefully they'll eventually get around to doing the backroads where it would really come in handy.  Can't wait for the 3D version.  Smile.

Now that the GTA and outlying urban centres are faced with having to evolve their development practices from the standard fare of urban sprawl into a more intense focus on densification, a tremendous opportunity is at hand for these centres to recreate themselves as models of creative and exciting architecture - and to do so using the latest green technology.  Cities like Markham and Mississauga are creating entire new downtown communities from what was once just farmers fields.  Brampton is doing it's best to redevelop it's downtown with new highrise condos.  Orangeville, which already has a charming downtown, will soon be forced to grow up instead of out.  Halton Region has proposed a reduction in the amount of land available to builders which will force Georgetown to reshape it's skyline.  What a great time for these centres to take the lead on environmentally conscious development by insisting builders incorporate more eco-friendly technologies into their condos and houses.  How about more use of solar panels on the sides and tops of buildings, rain collection systems, green roofs, hydro outlets for electric cars, well - you get the idea.  Of course, there are buildings that do adhere to green principals, but they are still a rarity.  That a building is green shouldn't be trumpeted with news releases and press coverage - it should be the norm.  Whether by necessity or social conscience, the environment is inevitably going to play a larger and larger role in any future development, rendering much of today's construction obsolete - so why not start now. 

The day of the 5% down mortgage may soon be coming to an end according to the attached Globe & Mail article.  Ditto for the 35 year amortization.  The government has been musing about different means by which to cool down the housing market and the aforementioned may be the tools they use to accomplish their objectives.  While the plan may work in the long-term, I see chaos in the short-term as anyone looking to buy using a 5% down/35yr plan is going to have to move quickly.  Given the limited supply of starter homes in our area, be it Mississauga, Brampton, Orangeville, Shelburne, et al, this could lead to a shortage of suitable housing, thereby putting upward pressure on Peel & Dufferin area real estate prices.  Long-term, the proposal may potentially remove a huge segment of the home-buying public from the market.  Another discussed remedy to rising house prices may be an increase in interest rates, which has been bandied about by the powers that be.  At the moment it's just talk but you can probably consider it a trial balloon to determine which course of action to take, and how to spin it when they do.  To read the article, click here; http://bit.ly/6ikwGe.

If you're feeling not just the spirit of the season, but also catching a bit of that Ol' Olympic Fever, you may want to take a break from shopping to exercise a little community spirit by getting out and cheering on the Olympic Torch Relay.  The Town of Orangeville has been working hard to get their end organized and will host the relay December 28, 2009.  You can read more about Orangeville's participation by visiting their website at http://www.orangeville.org/news_detail.php?id=1014.  Meanwhile, the City of Mississauga is gearing up to host the torch on Saturday, December 19, 2009.  It's scheduled to arrive in town by around 10:30am with the main event to take place at the north side of Mississauga Civic Centre, Princess Royal and Living Arts Drive from 10:45 a.m. to 1:00 p.m.  One of the highlights will certainly be watching Mississauga Mayor Hazel McCallion jogging along with the torch.  You can follow the progress of the torch by visiting the Vancouver Olymic Committee's website at http://www.vancouver2010.com/olympic-torch-relay/.

As a kid I used to love watching "The Jetsons" and imagined that's what it would be like in the year 2000 - everything you wanted at your fingertips.  Push a button - dinner's ready & your martini is poured.  Video phones that catch you off-guard.  Landing your car on the roof.   Well, we're not quite there yet, but we are getting close.  I just finished reading an interesting article by Pedro Arrais of the Victoria Times Colonist.  Entitled "New Technologies Let Older Homes Become Smarter", it offers suggestions on how wireless technology is creating more affordable upgrade solutions.  The beauty is, although you still can't land your car on the roof, you do have more options now and are not limited to buying a newer home solely to take advantage of today's technology.  You can read the entire article by clicking on the following Twitter posting; http://bit.ly/8bCCq7.