Curious about Condo Ownership? Read On

Curious about Condo Ownership? Read On

Wish You Owned a Condo? Good News for Buyers and Sellers

New governance regulations, for Condo ownership, were approved by cabinet recently. "About one out of every five Albertans lives in a condo and our government has their back," says Brian Malkinson, Minister of Service Alberta.

Rules Change – More Protection for Condo Owners' Investments

A condo is a substantial investment. The new rules can be found at https://www.alberta.ca/assets/documents/condominium-property-regulation.pdf

If you are considering buying a condo it is recommended that a professional read the bylaws and review the financials first.

Access to Condo Documents - New Changes! - What You Need to Know

In previous years gaining access to this information could be expensive! But now prices will be set. With new regulations it will now be easier to access condo documents and the new rules will clarify which documents must be provided to new owners and when they need to be provided. It will also stipulate what exactly needs to be included in them.

New Regulations Will Make Condo Life Better

Anand Sharma of the Canadian Condominium Institute (CCI) appeared on media channels recently to explain the many of the changes. "This is huge for condo owners," said Sharma, who is president of the North Alberta chapter of the CCI. "We’ve been waiting for this regulatory change for 18 years. It was a big piece of legislation." These new regulations will make it better for everyone in the industry.

Condominium Boards - More Important – More Transparent

There is good news for potential buyers. As a result of surveys, consultations and studies by condo owners (more than 5,000 across the province) in cities like Edmonton, Calgary, Lethbridge and Fort McMurray there are now new bylaws for condominium boards. These new rules come into effect in July of 2019. The Minister has also stated that, "Alberta condominium boards will have to be more transparent as a result of changes made to the province's Condominium Property Regulation."

Revamp of Voting Rules and Much More - This is Huge!

The new rules mean owners will get more notice to attend general meetings and see 'Agenda Topics' beforehand. Other changes include adjustments to make the rules fairer on how condo corporations can issue bylaw fines and how reserve funds are managed. Some changes related to insurance matters were also made.

Condo Fees – More Pressure on Condo Boards for Accountability

Condo boards will not be able to raise condo fees without justification. Sharma said, "They have a fiduciary responsibility."

He went on the explain that the new regulatory framework is going to put a lot more pressure on condo boards in terms of professionalizing the industry and professionalizing their action. For example the reserve fund studies will not be able to be penned by just anybody, as the updated regulations define the 'study-provider' qualifications.

Insurance and Deductibles - What You Need to Know

While it's not mandatory under the Condominium Property Act or Regulation to have insurance to cover insurance deductibles, a condo board can now enact a local bylaw. And effective Jan. 1, 2020, condo boards will be able to go after condo owners for outstanding insurance deductibles up to a maximum of $50,000. Sharma advises condo owners to look into an insurance plan. "Start preparing for that," Sharma said.

Any questions about the new condo regulations and what they mean for you? Please give me a call 403-680-4479.

Hey Calgary - Good News for the Economy

Alberta’s wildfires raged in May and oil exports dipped forcing a downturn in the overall country’s economic output. The good news is that the figures for June show growth. Real estate can start growing again.

Economy Weakened but on the Rebound

Statistics Canada reported that during the second quarter the real (i.e. inflation-adjusted) GDP fell at a rate of 1.6 per cent in the three months ending in June 30. That reflects the deep impact of the wildfires that shut down large portions of the Alberta’s oil sands production throughout May. Statistics Canada also stated that by the end of the quarter, June’s real GDP grew 0.6 per cent. That's the biggest monthly growth in nearly three years!

BMO's Research Proved Ugly, Bad and then Good

Referring to the second-quarter report, Bank of Montreal's Chief Economist wrote, "We knew for the past four months that GDP report was going to be ugly, and it delivered with a capital U." Douglas Porter stated, "The good news is that we have also known that there would be a considerable rebound in the third quarter, and June’s solid result reinforces that view."

A Boost in Consumer Spending Expected – the Biggest Driver of GDP

Most economic analysts agree that the third quarter will see a return to growth as June has proven. As well there will be the continuing rebound in oil production, the rebuilding of Fort McMurray, a strong manufacturing sector and the new federal benefit program. Many economy watchers, including the Bank of Canada, expect that starting in July the first payments of the new Canada Child Benefit will boost consumer spending.

What Does This Mean for Real Estate Prices? Houses? Condos? Apartments?

Recently stats on the number of sales for the same period last year dipped 21.6 percent according to Calgary Real Estate Board. Also prices fell while the number of days on the market grew to 57 from 47 last year on average according to CREB. What does it mean? What's next? For more information give Chris a call 403-6804479.

E-mail: chris@yourhomeinalberta.com

Website: http://www.YourHomeInAlberta.com

Wild Fires Change Calgary House Prices

Wild Fires Change Calgary House Prices

As the smoke lifts we learn that much of Fort McMurray remains standing. Although the impact of the raging fires could have been worse things are still shaky in the oil industry. Oil production has been affected by a temporary hit of one million barrels a day. At least 12 operations have been closed. People need jobs and they may look to Calgary.

Tragedy of Fort McMurray Will Affect Calgary Housing Market

Things aren't as bad as they could've been but over 88,000 people have been displaced. For the people of Fort McMurray, there will be long-term disruption of business operations, lost wages and lost incomes. Where will the evacuees go? This type of environmental misfortune, like the Calgary floods of 2013 is hard to take but like their fellow Albertans, the people of Fort McMurray will no doubt show resilience and recover. However, if they don't get their jobs back soon many will think about moving south. After months of lagging house prices in Calgary we could see them jump.

Economic Landscape Different Now

The wildfire is merely the latest wound to be inflicted on the oil sands economy. Since the drop in oil prices there has also been a shift in thinking about the future of oil in general. As residents of Fort McMurray keep hope that soon, things will return to normal, other influences may make that impossible. Some will still continue to work there but undoubtedly many of them will want homes in Calgary and this could drive up prices.

New Influences in Industry

Concerns are mounting. Continued depressed global outlook for oil prices and obstacles facing the industry, like the debate over more pipeline construction, may mean less work. The people of Fort McMurray may not be able to or may not even want to go back to the old jobs. As doubts remain high, families may choose a more stable job market and Calgary is not far away.

Do you think it is time to buy in Calgary? Should you wait to sell?

Give Chris a call to get more details on the housing market. Tel # 403-680-4479
E-mail: chris@yourhomeinalberta.com

 

Fort McMurray – Help is on the Way!

(photo courtesy of Cole Burston/AFP/Getty Images)

Fort McMurray – Help is on the Way!

We are deeply saddened by the loss and devastation forest fires have caused to the people of Fort McMurray. Our thoughts and prayers go out to them.

Many Organizations Helping

From Airbnb helping to coordinate free emergency homes for Fort McMurray evacuees, to Red Cross humanitarian efforts to Radio-thons many are trying to help the victims of this tragedy. Other organizations are offering housing to those who were forced to leave their homes, many of whom escaped the raging fires with just the clothes on their backs. Reports claim that Prime Minister Justin Trudeau is saying that 7,000 cots have been provided for Fort McMurray evacuees in emergency shelters, with 13,000 more coming soon.

How Can You Help?

Here are some ideas: When you text the word FIRES to 45678 you can donate $10 dollars or if you text the word REDCROSS to 30333 a $5 donation will be added to your wireless bill and if you text the word REDCROSS to 45678 a $10 donation will be added to your wireless bill.

Governments Matching Donations

To make your donation go twice as far, Prime Minister Justin Trudeau has announced that the federal government will be joining with Alberta to match individual donations made for Fort McMurray disaster relief. According to news reports by CBC the Canadian Red Cross has received more than $30 million in donations.

About Canadian Red Cross Donations

For more information about how to help and for a larger donation and general inquiries, visit their list of Frequently Asked Questions, contact WeCare@redcross.ca or call 1-800-418-1111. If you have been affected by the wildfires go directly to their website to register: http://www.redcross.ca/how-we-help/emergencies-and-disasters-in-canada/how-we-help-canadians/red-cross-services/northern-alberta-wildfires-registration