Real Ranting

I have a good sense of direction, tested in numerous cities around the globe, despite having grown up thinking west was north in Ottawa. (I know!) At the heart of the issue: aside from getting some fun driving lessons in a hot little red Fiat Spider convertible tooling around Rockcliffe (back when it was still a village) I never really drove in Ottawa. I grew up walking all over the downtown core: Centretown, the Glebe, the Market, Golden Triangle, and so I oriented around the Rideau Canal which occurred to me (erroneously) as running east-west. I've got it handled now... don't worry. If you tell me you want sunset views, I won't sell you a place where you'll wake up blinded every morning. I promise! I refuse to give yoga mats out as apologies.

But lately, I've been wondering about my Ottawa real estate colleagues... There's been an awful lot of confusion about the field "fronting on", which you'll see when perusing real estate listings on the multiple listing service (MLS). I find that it's wrong about 50% of the time. Here's why:

This field refers to which side of the street the front of the property abuts, or said another way, the side of the street to which the front of the property is adjacent.

Contrary to popular belief, "fronting on" does NOT describe the direction the property is facing.

Remember there are no dumb questions, just dumb people who won't ask questions. Seriously, don't be shy to ask me your Ottawa real estate curiosities.

Thinking of locking in a mortgage rate while you search for a home? Good news: looks like you've got a few months... or weeks?

The Bank of Canada maintains overnight rate target at 1/4 per cent and reiterates *conditional commitment to hold current policy rate until the end of the second quarter of 2010.

*Conditional on the outlook for inflation, the target overnight rate can be expected to remain at its current level until the end of the second quarter of 2010 in order to achieve the inflation target.

The next scheduled date for announcing the overnight rate target is March 2nd, 2010. So if you're thinking of taking the first step in the purchase of a home, speaking with a lender about mortgage pre-approval (and locking in a mortgage interest rate for 90 or 120 days), the good news is that it looks like you've timed it right!

If you're considering listing your home in February/March to benefit from the hot spring market, then good news for you too, as (a) you're likely purchasing somewhere else, and will need a mortgage, and (b) you'll have motivated buyers who want to take advantage of the continued low cost of borrowing.

News to consider:

• Economic growth in Canada resumed in the third quarter of 2009 and is expected to have picked up further in the fourth quarter.
• The Bank projects that the economy will grow by 2.9 per cent in 2010 and 3.5 per cent in 2011, after contracting by 2.5 per cent in 2009.
• The private sector should become the sole driver of domestic demand growth in 2011.

Highlights from the Bank's outlook for the economy and inflation:

• the outlook for global growth is somewhat stronger than in October,
• recovery is also under way in Canada, but considerable excess supply remains,
• the Canadian economy is expected to return to full capacity in Q3 2011.

The Bank's outlook, including risks to the projection, is published in the Monetary Policy Report, released yesterday; click here for the 4-page summary: http://www.bankofcanada.ca/en/mpr/pdf/2010/mprsumjan10.pdf.

Source: Bank of Canada Press Release January 19th, 2010. For full details, click here: http://www.bankofcanada.ca/en/fixed-dates/2010/rate_190110.html

urbanique urban lifestyle. low-maintenance living. an expression of your unique style.

Low-maintenance living in Ottawa? It's here! The future... as it was promised to us on the silver screen... all that "far-fetched" high-tech goodness... is here my friends! It all reminds me of Sean Connery (my fave Bond) smoothly cueing the mood lighting and the make-out music. Not that his mojo really needed any help from props...

The easy-to-live-with genius of Smart Condo manages everything effortlessly– energy use, lighting, even ‘mood’ and entertainment. Control everything conveniently: music, home theatre entertainment, lighting, room temperature, your fireplace – all with one remote control you already know how to use. Audio stream where you want, to any room in your home. There’s even an email alert. Programming is a snap with features that go way beyond thermostat, lighting and security settings, to handle ambience and entertaining all night long. How Bond, indeed! Metropia homes are smart wired for remote control energy conservation plus security – whether you’re just around the corner or half-way around the world. Dial heat down when you’re out; tell the system to warm things up for you when you’re on your way home. The same system that keeps a wary eye on energy use also monitors advanced automated security controls. Cue the lighting to simulate active occupancy. It’s intelligent conservation plus peace of mind.

Come see me this Sunday in the urban village of Old Ottawa East, at 140 Springhurst! I'm not driving anywhere to see the leaves this weekend - I've got the best view in town right there overlooking the grounds of St. Paul's.

Research shows that you know at least 5 people who are considering buying or selling a home... I love referrals and treat them as the huge compliment that they are. I'm happy to meet with the people in your life and be of assistance to them.

2pm - 4pm @ 140 Springhurst: http://www.mapquest.com/maps?city=Ottawa&state=on&address=140+Springhurst

Low-maintenance living in Ottawa is here... and I predict we'll see an increase in the sale of faux-fur rugs and martini glasses!

Just as there's a difference between renters and owners, there's a difference in the mindset of a rental income property investor versus that of a home owner looking for a residence. When considering a property purchase for yourself, emotional attachment comes naturally when envisioning your future "home sweet home". Part of my job as your Ottawa real estate professional is to help you weigh the neighbourhood and property factors in terms of a sound investment. While you're picturing Thanksgiving in your future dining room, I will be keeping an eye open for resale potential.

When looking at strictly rental income properties it's about cashflow, tax savings, tangible investment and return on equity. Where it becomes confusing is when considering owner-occupancy with a rental unit. This duplex scenario is an increasingly popular avenue into a desirable neighbourhood that might not otherwise be affordable without the rental income. It's a balancing act: "nesting" mode with your personal quarters, and "business mode" (expense-cutting for most) with the rental unit.

In hindsight with my triplex, I see I was overly "business" focusing efforts on renovation of the main and basement apartments, in order to attract the best tenants and obtain the highest rents. It worked! However when it came time to create my own home sweet home, I'd lost my steam! Sure, I painted it beautiful colours, installed unique light fixtures and set up my huge 18'X15' patio for entertaining, and a potted herb garden. Ironically, I only finished the closets, pantry and custom built-ins throughout as I became an absentee landlord! Efforts paid off, as I again had more interested parties than I had apartments to rent... however it took "business" mode for me to finally make it that home sweet home I'd envisioned. I enjoyed living in my finished pad for exactly one summer. On my twice annual visits, I can't help but feel a tad envious of the current tenants. Just a smidge. And then I picture myself depositing their monthly rent cheque and I feel all-better again!

You've got to consider the location perception and match it to the demographics to judge the rental potential on Ottawa investment properties - and anywhere I'd argue! YOU may not want to live in a neighbourhood, but you've got to switch from homeowner mindset into investor mindset when considering a rental property.

I had to consider both as my foray was initially an owner-occupied property. So it had to suit my needs as well as generate tenancy. The upside is that now that it's fully tenanted, I have a good handle on the type of person that would like to live there... someone like me! I chose an established high-rent high-demand 'hood and don't regret the decision - but I paid a corresponding price tag.

Saturday, September 19th from 2 - 4pm, I'm inviting you to an open house at 446 Clarence Street East - nestled between two phenomenal neighbourhoods: New Edinburgh and the Byward Market. The property is immaculate, with hardwood floors, the most perfect drywall I've ever seen (I'm a bit of a drywall maniac) and very spacious - great for entertaining! It's in Lower Town. What there is to wrap your head around is two keys: (1) are you ready to invest in an up and comer neighbourhood and potentially reap the benefits when Shoppers, Starbucks and the Gap move in, and (2) are you able to look through investor's goggles at the rental potential.

There won't be cookies. There will be math and spreadsheets on offer. This is a great opportunity for either a live-in owner-occupied with rental supplement (it's two 2-bedroom apartments - the upper unit is 2 floors and gorgeous!). There are 8 parking places, including a 3-car garage. It's also a phenomenal pure rental opportunity.

Dip your toe by coming by. Let's talk about rental properties as a wealth-building strategy. I walk the talk on this one! Lower Town rentals are popular because of the old real estate adage: location, location, location! And this one's a peach! Ottawa investment properties are an opportunity to consider... that's all I'm saying.

On walkabout through Centretown Ottawa, I passed by a triplex offered for sale by its charming owner. She'd recently toured me through her units and is a fine example of how to successfully own Ottawa investment properties! We'd connected as I also own a century-old triplex that boasts both positive cashflow and appreciation in value.

As we chatted on her porch it dawned on me just how much the face of today's "landlord" has changed! Single and 33 when I became a "landlady", this move drew skepticism, derision and raised eyebrows. In retrospect, I only wish I'd started ten years earlier! Meet the new face of a landlord: recent graduates, having just landed their first salaried job, skip afterwork cocktails to save for a duplex down-payment! Savvy twenty-somethings own Ottawa investment properties while still doing their undergraduate degrees! It's easy to find good tenants in Centretown Ottawa, with the area serving three schools and massive federal public service!

Investment property ownership is increasingly recognized as a sound wealth-building strategy. My prediction: between TV shows that make renovating look feasible (and fun), insecurity in the stock market, and a forecasted local vacancy rate of 0.8%, we will see an increase in interest in Ottawa investment properties. In this seller's market, this bodes well for my charming soon-to-be-client with the gorgeous Centretown Ottawa triplex!