Toronto Real Estate Blog

Amendments to the Land Transfer Tax Act – December, 2007

There have been several enquiries about the Ontario land transfer tax refund proposals for resale homes.

Here is an update from the Ministry of Revenue.

On December 13, 2007, proposed amendments to the condos-for-sale/landtaxcalculator.htm” title=”ontario land transfer tax”>Land Transfer Tax Act were announced in the 2007 Ontario Economic Outlook and Fiscal Review. The proposed amendments must be passed by the Legislature and receive Royal Assent to become law. This notice provides general information and is not a substitute for the legislation.

First-Time Homebuyers Refund proposed to include Resale Homes

In keeping with the government’s commitment to help Ontarians who are starting out, it is proposed that the Land Transfer Tax Refund Program for First-time Homebuyers be expanded to include purchases of resale homes. This measure would be effective for agreements of purchase and sale entered into after December 13, 2007. As a result of this change, first-time homebuyers of newly-constructed or resale homes would be able to receive a refund from the provincial government of up to $2,000 of the land transfer tax paid.

Further Details To Be Issued

More detailed information, as well as a Refund Affidavit which will include resale situations, will be issued shortly.

Resale Homes

Pending the proposed amendments becoming law, condos-for-sale/landtaxcalculator.htm” title=”ontario land transfer tax”>land transfer tax must be paid at the time of registration. Following registration, a refund affidavit, which will be published shortly, may be submitted to the Ministry of Revenue.

Remember, the proposed expansion to resale homes would apply to agreements of purchase and sale entered into after December 13, 2007.

Refund cheques would be issued upon the proposed amendments becoming law.

Newly-Constructed Homes

Eligible first-time homebuyers of newly-constructed homes should continue to have their lawyers claim the refund under current procedures at the time of registration. See Tax Bulletin LTT 4-2003 Refunds for First-Time Purchasers of Newly-Constructed Homes.

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Contact the Jeffrey Team for more information – 416-388-1960

Two New Records Set In First Two Weeks of December!

December 19, 2007 — The Greater Toronto real estate market reached two new heights during the first half of this month Toronto Real Estate Board President Maureen O’Neill announced today.

The 2,868 transactions recorded during the first two weeks of December have made this the first year that sales have exceeded 90,000, said Ms. O’Neill.

This activity also represents a 3% increase over the 2,783 sales recorded during the first two weeks of December 2006.

This year’s record activity has been matched by record prices.

“The average price is now $404,707, which is the first time it has exceeded $400,000,” said Ms. O’Neill.

The current average price has increased 3% since last month and 19% compared to the same timeframe a year ago.

In the Danforth area (E03) transactions are up 24% compared to mid-December 2006, as a result of strong semi-detached sales.

New Toronto transactions (W06) are up 43% compared to the same timeframe a year ago, as a result of strong condominium sales.

condos-for-sale/propertysearch.htm” title=”toronto condo for sale”>Condominium transactions in downtown Toronto (C01) also pushed overall sales in that area up 28% compared to the first half of December 2006.

In North York (C14) detached home transactions led to an overall sales increase of 34% in the area compared to mid-December 2006.

“The two new precedents set in the last two weeks is certainly positive news,” said Ms. O’Neill. “It’s shaping up to be a busy holiday season for homebuyers and sellers alike.”

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Contact the Jeffrey Team for more information – 416-388-1960

Province Expands Provincial Land Transfer Tax Rebate

The provincial government has announced that it is expanding the Ontario Land Transfer Tax rebate for first-time buyers to include re-sale housing, something which Toronto real estate agents have lobbied for.

Details

condos-for-sale/firsttimebuyer.htm” title=”first time toronto home buyers”>First-time buyers of both re-sale, and newly constructed homes, will be eligible for a rebate of the Ontario Land Transfer Tax of up to $2,000.

Effective for condos-for-sale/firsttimebuyer.htm” title=”first time toronto home buyers”>first-time buyers who enter into Agreements of Purchase and Sale after December 13, 2007.

This change is being implemented by provincial legislation introduced on December 13, 2007. The Ministry of Finance has indicated that, until the legislation is passed, first-time buyers of re-sale properties eligible for the rebate can submit their applications for the refund and they will be processed once the legislation has passed. It is not known when the legislation will be passed. Buyers can consult with their lawyers if they have concerns.

The Ontario Land Transfer Tax rebate applies in all Ontario municipalities. In Toronto, the provincial rebate is in addition to City rebates of the Toronto Land Transfer Tax. See details of the Toronto Land Transfer Tax.

Further information is available by calling:

Ministry of Finance
Land Transfer Tax Section
905-433-6361

Or

Ministry of Finance
General Inquiry
1-800-263-7965

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Contact the Jeffrey Team for more information – 416-388-1960

New Info Regarding Toronto Land Transfer Tax Rebates Provided By City

The City of Toronto has indicated that it has been able to make arrangements that will allow purchasers who are eligible for a full rebate of the Toronto Land Transfer Tax to close their transactions without paying the Toronto Land Transfer Tax upfront (and then receiving a rebate at a later date). The City previously indicated that these arrangements would not be made until the “spring of 2008″, but has now indicated that changes will be made by February 1, 2008, when the Toronto Land Transfer Tax takes effect.

condos-for-sale/landtaxcalculator.htm” title=”toronto land transfer tax”>Toronto Land Transfer Tax is not payable on transactions closing before the tax takes effect on February 1, 2008. For transactions closing after the Toronto Land Transfer Tax takes effect on February 1, 2008, the City of Toronto allows for certain rebates, as described below.

Details

According to the City, purchasers who are eligible for a full rebate of the condos-for-sale/landtaxcalculator.htm” title=”toronto land transfer tax”>Toronto Land Transfer Tax will not have to pay the tax (meaning that they do not have to pay the tax upfront and be rebated later). This includes the following:

Purchasers who have entered into an Agreement of Purchase and Sale for a property on or before December 31, 2007; and first-time home buyers where the total Toronto Land Transfer Tax is $3,725 or less ($3,725 is the amount of Toronto Land Transfer Tax payable on a home purchased for $400,000).

First-time home buyers with Toronto Land Transfer Tax payable above the maximum rebate amount of $3,725 (those purchasing homes above $400,000) will be required to pay the total Toronto Land Transfer Tax, and then receive the maximum rebate of $3,725 at a later date from the City. Once all changes have been made to Teranet’s collection system, in the spring of 2008, these buyers will only have to pay the balance of the Toronto Land Transfer Tax above $3,725.

More Information

Complete details of the Toronto Land Transfer Tax are available here or by calling the City of Toronto at 416-338-0338.

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Contact the Jeffrey Team for more information – 416-388-1960

Loft living in Forest Hill

If you’ve always wanted to live in a loft but it wasn’t convenient for you to live downtown, your dream has come true. Stafford Homes Ltd. has built a beautiful, three-storey loft project at the corner of Dufferin Street and Hopewell Avenue, just north of Eglinton Avenue on the western edge of prestigious Forest Hill, near the aptly-named Forest Hill Lofts.

It’s easy to enjoy this unique lifestyle in such an incredible location at 550 Hopewell Avenue. Minutes from the Allen Expressway, West Village Lofts offers easy access to Hwy. 401 and the upscale Yorkdale Shopping Centre. Overlooking the Walter Saunders Park and the Greenbelt Trail, West Village Lofts is just a short drive to the city’s downtown core and to the upscale Forest Hill Village. A beautiful Loblaws superstore is at the corner of nearby Bathurst and St. Clair, while just east of that is Sir Winston Churchill Park and running track and the historical Casa Loma.

Transportation is simple with easy access to TTC and the Eglinton West subway station. The lofts, however, include parking so there’s no need to worry about where to leave your car during the day or overnight.

West Village Lofts is a boutique soft loft building contains 29 unique residences, all with an array of quality features and finishes. The beautiful exterior is done in an architectural stucco finish and has new double glazed oversized commercial grade windows to allow plenty of natural light into each suite.

Some of the West Village Lofts suites have a private, oversized balcony or terrace making it the ideal place to sit and enjoy a cool drink on a hot summer night. While some of the lofts boast individual entrances, the other suites are accessed through a contemporary designer lobby. A designer interior elevator cab lifts you from the lobby to the second and third floors so there’s no need to worry about climbing the stairs when you’re not up for the exercise.

However, you won’t mind climbing the stairs to get to your designer loft. Soaring 12-foot ceilings greet you when you walk in the door, making you immediately aware of the bright, open spaces and the sleek designs. The exposed steel beams give the suite a true lofty feeling, as do the exposed circular ductwork at the ceiling and the polished concrete flooring with metal flakes. Each loft is pre-wired for cable television and a rooftop satellite dish, telephone and Internet, making access to the outside world easy, and convenient.

West Village Lofts have gourmet kitchens that feature granite countertops and contemporary European-styled steamlined cabinets with frosted glass upper cabinet doors. The 40-inch upper cabinets allow for plenty of storage space. Elongated tubular brushed chrome door and drawer pulls bring out the stainless steel appliances: a top-mount, frost-free refrigerator/freezer; a built-in, multi-cycle dishwasher; a smooth-top free-standing range; a combination microwave and range hood; and a sophisticated wine cooler. The open-concept kitchens with free-standing islands as per plan also come with a glass tile backsplash and four halogen pot lights over the main counter.

Bathrooms are equally luxurious, with marble or granite vanity tops and contemporary streamlined high-gloss lacquered vanity cabinets. A unique, free-standing acrylic claw foot tub with a Victorian faucet gives the bathroom elegance and charm. A separate shower with a frameless tempered glass door is surrounded by ceramic tile.

Your loft also has the added convenience of a stacked white washer and dryer, hidden away in a convenient closet or storage area. You’ll also appreciate the security of the building – a card-accessed security system with an enterphone with in-suite monitoring capabilities. The monthly maintenance fees are approximately 34 cents per square foot, including building maintenance and water.

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Contact the Jeffrey Team for more information – 416-388-1960