Nov 13

a red brick house with ivy growing up the side of it

Toronto Vacant Home Tax 2024-2025: Complete Guide & Important Changes

By Mark Savel Advice For Buyers, Advice For Sellers

Hey there, Toronto property owner! If you’re scratching your head about the Vacant Home Tax (VHT), you’re not alone. As someone who’s spent countless hours researching and writing about Toronto’s Real Estate scene, I’m here to break down everything you need to know about this hot topic in our city’s housing policy.

body of water near trees and high rise buildings during daytime

What’s New with the Vacant Home Tax in 2025?

Let me start with some fresh updates that might affect your wallet: Toronto has increased the VHT rate to 3% of your property’s Current Value Assessment for 2024. That’s right – if you’ve got a $1 million property sitting empty, we’re talking about a $30,000 tax bill. Yikes!

But don’t panic just yet. I’ll walk you through everything you need to know to either comply with or legitimately avoid this tax.

Key Program Changes for 2024-2025

The City of Toronto has just rolled out some major updates to the VHT program. Here’s what’s changing:

Extended Declaration Period: You now have from November 1, 2024, to April 30, 2025, to submit your declaration
Increased Tax Rate: The rate has jumped from 1% to 3% of your property’s Current Value Assessment
New User-Friendly Portal: Launching November 1, 2024, making declarations easier than ever
Multilingual Support: A dedicated Customer Care Centre through 311 offering support in 180 languages
Email Confirmations: You’ll receive confirmation of your declaration via email (if provided)

What Counts as “Vacant”?

A property is considered vacant if it was unoccupied for more than six months during the previous year and it was NOT your principal resident. Now heres where it gets confusing, so to keep it simple, heres 2 considerations to ask yourself:

Is the property considered your principal residence for at least 6 months
If it’s not – was it occupied or was it vacant during last calendar year for longer than 6 months?

If it is NOT your principal residence and HAS been vacant for 6 months or more THEN ITS CONSIDERED VACANT. Important to note, it doesn’t have to be a continuous 6 months either. It can be spread across the year – important for those with short term rentals.

If it IS your principal residence, and as long as a property remains your principal residence, you can declare the occupancy status as occupied and the tax will not apply. This applies even if you leave for extended periods of time due to travel or work (e.g. snow birds). To claim this occupancy status, the property must be your principal residence for at least six months of the taxation year. Also, don’t try an be smart – You can only have one principal residence.

But don’t panic – there are several valid exemptions!

Legitimate Exemptions (Yes, They Exist!)

Here are some situations where you might be off the hook:

Medical Care: If you or your tenant is receiving long-term medical care and is out of the house for it.
Principal Residence: The property was your main home
Death of Owner: The property owner passed away during the year
Renovations: Major renovations with valid permits (but there are specific requirements)
Legal Issues: Court orders preventing occupancy
Transfer of Legal Ownership: Property was sold during the year

Be sure to check the exact details with City of Torontos Vacant Home Tax portal

Important Dates to Mark in Your Calendar

📅 Here’s your timeline for 2024-2025:

November 1, 2024: Declaration period opens
April 30, 2025: Final deadline for declarations
June 1, 2025: VHT bills mail-out begins
September 15, October 15, November 17, 2025: Tax payment due dates
December 2025: Deadline for Notice of Complaint submissions

How to Make Your Declaration (It’s Easier Than You Think!)

I remember my first time filing a property declaration – it seemed daunting until I actually did it. Here’s your step-by-step guide:

Visit the MyToronto Pay portal
Have your property tax roll number ready
Choose your property’s occupancy status
Provide any supporting documentation if claiming an exemption
Submit and keep your confirmation number
Pro Tip: Keep your confirmation number! The city has made this easier by providing email confirmations or printed confirmations upon request.

What Happens If You Don’t Comply?

I hate to be the bearer of bad news, but the consequences of non-compliance are steep:

Fines starting at $250
Potential tax rate of up to 3% of your property’s value
Risk of audit
Legal penalties for false declarations

Disputing a Vacant Home Tax Assessment

If you believe you’ve been incorrectly assessed, you have until December 2025 to submit a Notice of Complaint. Here’s what you need to do:

Gather your evidence
Submit your Notice of Complaint form
Provide supporting documentation
Wait for the review decision

Need Help? Where to Get More Information

Still have questions? Don’t worry, we’ve all been there. Here are your best resources:

City of Toronto VHT Page
Call 311 for direct assistance
Consult with a property tax specialist
Check the latest VHT news updates

Conclusion

This beefed-up VHT program is Toronto’s way of saying “let’s get serious about housing.” The goal? To nudge property owners toward renting or selling their vacant properties, ultimately feeding into the city’s affordable housing initiatives.

Remember, whether you’re a seasoned property owner or new to the game, staying on top of these requirements isn’t just good practice – it’s essential for avoiding costly penalties. Keep these dates in your calendar, and make sure you’re ready to declare when the time comes.

Want to stay ahead of the curve? Start gathering your documentation now and keep an eye out for that online portal launch in November. Your future self (and wallet) will thank you.

Frequently Asked Questions (FAQ)

General Questions

Q: Do I have to declare even if I live in my property?

A: Yes! All residential property owners in Toronto must declare annually, even if you live in the property as your principal residence.

Q: What is the tax rate for 2024?

A: The Vacant Home Tax rate has increased to 3% of your property’s Current Value Assessment (CVA), up from the previous 1%.

Q: How many properties in Toronto need to declare?

A: Approximately 820,000 properties within Toronto require an annual declaration of occupancy status.

Declaration Process

Q: When can I submit my declaration for 2024?

A: The declaration period opens November 1, 2024, and runs until April 30, 2025.

Q: What happens if I miss the declaration deadline?

A: While late declaration fees are currently waived, your property could be deemed vacant by default. It’s best to declare on time to avoid any complications.

Q: How do I get proof of my declaration?

A: You can:

Receive an email confirmation (if you provide your email address)
Print or save the confirmation page with your confirmation number
Request a printed confirmation by calling 311

Property Status Questions

Q: How long can my property be empty before it’s considered vacant? A: A property is considered vacant if it’s unoccupied for more than six months during the calendar year, unless it qualifies for an exemption.

Q: Does the six-month period need to be consecutive? A: No, the six months don’t need to be consecutive. The total time throughout the year is what counts.

Q: What if I’m traveling but this is my main home? A: If the property is your principal residence, it’s exempt from the Vacant Home Tax even if you’re away for extended periods.

Payment and Financial Questions

Q: When do I need to pay the Vacant Home Tax? A: For 2024, payments are due in three installments:

September 15, 2025
October 15, 2025
November 17, 2025

Q: How much revenue does the tax generate?

A: The program generated $56.5 million in 2022 and $50.6 million in 2023. With the new 3% rate, the city expects approximately $105 million annually.

Exemptions and Special Cases

Q: Will the city check my utility usage to verify occupancy?

A: While utility data may be used in audits, it’s not the primary verification method since approximately 45% of residential properties don’t have individual meters.

Q: What if I’m renovating my property?

A: Properties under renovation with proper permits may qualify for an exemption. Be sure to maintain all documentation related to your permits and renovation work.

Support and Help

Q: How can I get help with my declaration?

A: You have several options:

Call 311 to reach the dedicated Customer Care Centre (support available in 180 languages)
Visit Tax and Utility counters at Toronto City Hall or civic centres
Use the online portal at toronto.ca/VacantHomeTax

Q: What if I disagree with my tax assessment? A: You can submit a Notice of Complaint until December 2025 for the 2024 tax year. Be sure to gather all supporting documentation before submitting your complaint.

Program Impact

Q: What happens to the money collected from this tax?

A: Revenue supports various housing initiatives including:

The HousingTO Plan
Toronto Community Housing Corporation improvements
The Multi-Unit Residential Acquisition (MURA) program
Other affordable housing initiatives

Important Disclaimer

⚠️ Please Note: While we strive to keep this guide up-to-date, tax regulations and programs can change. This article is for informational purposes only and should not be considered legal or financial advice. The information provided is based on the City of Toronto’s Vacant Home Tax Program as of November 2024.

For the most current and authoritative information about the Vacant Home Tax Program, including:

Latest tax rates
Declaration deadlines
Exemption criteria
Program updates
Official forms and documentation

Please visit the City of Toronto’s official Vacant Home Tax webpage: https://www.toronto.ca/services-payments/property-taxes-utilities/vacant-home-tax/

Always consult with qualified tax professionals or contact the City of Toronto directly through 311 for advice specific to your situation.

Resources and Support

For the most up-to-date information, visit:

Nov 11

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October 2024 Real Estate Market Update: Signs of Life in October

By Mark Savel Monthly Market Updates

As we transition from fall to winter, the Toronto real estate market is showing renewed signs of life! October has brought a refreshing change, characterized by increasing transactions, shifting inventory, and evolving market dynamics. In the latest episode of our ongoing real estate series, Mark and Joey dive deep into the numbers to decipher what the current market trends indicate for the upcoming months. Here’s a summary of October’s real estate market highlights and future projections based on the duo’s insights, or follow along in the video below:

Toronto’s October Market Overview

We kick off the discussion with the notable resurgence in Toronto’s sales, marking a significant 44% increase. While media reports couldn’t seem to say enough about the “whopping” growth, Mark cheekily substituted the term with “double chocolate chunk cookie” in his readings to lighten repetitive coverage and offer an entertaining take on serious developments.

Sales Surge and Inventory Insights

The data reveals October as the third busiest month for transactions, with a reported 6,658 sales, jumping from the mid-high 4,000s seen in previous quarters. Notably, this shift is understood as a carryover from September’s transactions, which only firmed up in October due to procedural delays like financing and home inspections. Despite new listings dropping by around 15%, there remains an active presence in the market with around 24,000 active listings.

For buyers and sellers navigating these waters, the continuation of a buyer-friendly market remains uncertain, with predictions suggesting a potential shift towards sellers as we inch closer to 2025.

Price Trends and Market Segments

Average prices have experienced a modest but promising increase of 1.5% month-over-month, and a considerable 10.5% from January to October. Within market segments, condos have demonstrated resilience, recording a 34% year-over-year increase in sales, alongside a 46% rise for semi-detached homes.

Townhomes too saw a notable boost, with average prices crossing the million-dollar mark. New mortgage rules, anticipated to be implemented by mid-December, may further impact the townhome segment by facilitating greater accessibility for buyers through lowered down payment requirements on high-value properties.

Market Dynamics and Projections

Despite these positive signs, days on market have remained at 43, suggesting a potential cleanup of existing inventory rather than a complete market revitalization. Mark and Joey highlight that while firm trends are beginning to emerge, the market is not yet seeing the explosive growth of past years; instead, a steady increase points towards a healthier balance in the future.

Reflecting on months of inventory, an essential market indicator, Joey notes a dramatic decrease across almost all housing types, moving several segments back into a seller’s market. This rebound signifies a tightening inventory conducive to increased competition and dynamic pricing.

Conclusion

As we advance into the winter months, Toronto’s real estate market is poised for a cautious but promising revival. With sensitively optimistic projections, Mark and Joey foresee the potential for a more stabilized market by mid-2025, potentially favoring sellers if current trends persist. This measured growth contrasts sharply with the previous year’s volatility and suggests a healthier, more sustainable market dynamic on the horizon.

P.S. Don’t forget to subscribe to our newsletter for more real estate insights and market updates!

Oct 28

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$Japanese male businessmen who do the math.$

6 Essential Real Estate Investment Calculations Every Investor Must Know

By Mark Savel Advice For Buyers, Real Estate

Are you looking to maximize your real estate investment returns? Understanding key financial metrics is crucial for making informed decisions in the property market. In this comprehensive guide, we’ll explore six essential calculations that every savvy real estate investor should master, complete with practical examples to illustrate their application.

1. Net Operating Income (NOI): The Foundation of Property Profitability

Net Operating Income is the cornerstone of any income-producing property’s financial health. It represents the annual income generated by the property after deducting all operating expenses.

Formula: NOI = Total Revenue – Operating Expenses

Example:
Imagine you own a small apartment building:

Annual Rental Income: $120,000
Other Income (laundry, parking): $5,000
Total Revenue: $125,000
Operating Expenses (taxes, insurance, maintenance, etc.): $50,000

NOI = $125,000 – $50,000 = $75,000

This $75,000 NOI represents the property’s profitability before accounting for mortgage payments or capital expenditures.

Planning, networking and black man in real estate with a tablet, reading email and search for prope

2. Capitalization Rate (Cap Rate): Estimating Investment Potential

The Cap Rate helps investors quickly assess the potential return on an investment property, assuming it was purchased with cash.

Formula: Cap Rate = (NOI / Property Value) x 100

Example:
Using the NOI from our previous example:

NOI: $75,000
Property Value: $1,000,000

Cap Rate = ($75,000 / $1,000,000) x 100 = 7.5%

A 7.5% cap rate suggests a solid return for a residential property in many markets.

3. Cash-on-Cash Return: Measuring Cash Flow Efficiency

This metric measures the annual cash flow relative to the initial cash invested, making it particularly useful for comparing properties with different financing structures.

Formula: Cash-on-Cash Return = (Annual Cash Flow / Total Cash Invested) x 100Example:
Assume you purchased the same property with a 25% down payment:

Purchase Price: $1,000,000
Down Payment: $250,000
Annual Cash Flow (after mortgage payments): $30,000

Cash-on-Cash Return = ($30,000 / $250,000) x 100 = 12%

A 12% cash-on-cash return is generally considered attractive for a rental property investment.

4. Debt Service Coverage Ratio (DSCR): Assessing Debt Repayment Ability

DSCR is crucial for both investors and lenders as it measures a property’s ability to cover its debt obligations.

Formula: DSCR = NOI / Annual Debt Service

Example:
Using our previous figures:

NOI: $75,000
Annual Debt Service (mortgage payments): $50,000

DSCR = $75,000 / $50,000 = 1.5

A DSCR of 1.5 means the property generates 50% more income than needed to cover its debt payments, which is typically acceptable to most lenders.

Real Estate Agent Evaluating Property Investment with Calculations — #image_title

5. Gross Rent Multiplier (GRM): Quick Property Valuation

GRM helps quickly estimate a property’s value based on its gross rental income.

Formula: GRM = Property Price / Annual Gross Rental Income

Example:

Property Price: $1,000,000
Annual Gross Rental Income: $120,000

GRM = $1,000,000 / $120,000 = 8.33

This GRM suggests that it would take about 8.33 years of gross rent to pay for the property. Lower GRMs generally indicate more attractive real estate investments.

6. Return on Investment (ROI): Measuring Overall Profitability

ROI measures the overall profitability of an investment, taking into account all sources of return.

Formula: ROI = (Net Profit / Total Investment) x 100

Example:
Assume after one year:

Net Cash Flow: $30,000
Appreciation: $50,000
Equity Buildup (loan principal paid): $15,000
Total Profit: $95,000
Total Investment (down payment): $250,000

ROI = ($95,000 / $250,000) x 100 = 38%

This impressive 38% ROI reflects strong cash flow, appreciation, and equity buildup in the real estate investment.

Pro Tips for Using These Calculations

Create a Property Analysis Spreadsheet
- Input these formulas
- Compare multiple properties
- Track actual performance
Consider Market Context
- Local real estate trends
- Property condition
- Neighborhood growth potential
Use Multiple Metrics
- Never rely on one calculation
- Compare results across metrics
- Update calculations quarterly

Common Mistakes to Avoid

❌ Forgetting to include all expenses in NOI calculations
❌ Using incorrect property values for cap rate
❌ Overlooking future capital expenditures
❌ Assuming best-case scenario numbers

FAQ About Real Estate Investment Calculations

Q: Which calculation is most important? A: Start with cap rate for initial analysis, then verify with cash-on-cash return for a complete picture.

Q: How often should I update these calculations? A: Review quarterly for existing properties and before any new purchase.

Q: What tools can help with these calculations?
A: Popular options include Excel, real estate investment apps, and property management software.

Q: How often should I update these calculations?
A: Review quarterly for existing properties and before any new purchase.

Q: What tools can help with these calculations?
A: Popular options include Excel, real estate investment apps, and property management software

Conclusion: Empowering Your Real Estate Investment Strategy

Mastering these six essential real estate investment calculations will empower you to make more informed decisions, compare opportunities effectively, and better assess your property portfolio’s performance. By incorporating these metrics into your investment strategy, you’ll be well-equipped to navigate the complex world of real estate investing and maximize your returns.Remember, while these financial metrics are invaluable tools for any real estate investor, they should always be used in conjunction with thorough market research and due diligence. Happy investing!

Apr 23

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A Comprehensive Guide to Toronto’s Best Hotel/Condos Buildings

By Mark Savel Advice For Buyers, Toronto

Toronto, a city known for its dynamic lifestyle and diverse real estate offerings, has seen the emergence of a unique housing trend – the hotel/condo hybrid. Combining the comfort of hotel living with the convenience of condominium amenities, these developments offer residents a lifestyle that’s both luxurious and convenient.

In this blog post, we’ll explore some of the noteworthy hotel/condos in Toronto, each bringing its own distinctive charm to the urban landscape.

The Residences at The Ritz-Carlton, Toronto

Location: 183 Wellington St W, Toronto, ON M5V 0A1
Developer: Cadillac Fairview & Graywood Developments
Architect: Kohn Pederson Fox Associates
Year Completed: 2011
Number of Floors: 51
Number of Units: 159
Sizes: 1,397 – 11,000 Sq.Ft.

Features:

Luxury Redefined: As part of The Ritz-Carlton brand, these residences offer unparalleled luxury, with high-end finishes, stunning views, and access to the hotel’s amenities. The 24 hour concierge is available to help with valet parking, chauffeur services, and security. The building is equipped with an expansive gym, yoga studio, saltwater pool and spa!
Prime Location: Situated in the heart of the Entertainment District, residents enjoy easy access to theaters, restaurants, and cultural attractions. The Ritz-Carlton, is directly connected to the PATH, Toronto’s downtown walkway linking 27 kilometers of underground shopping, services, and entertainment, as well as St. Andrew subway station. The condo is also within walking distance to the city’s attractions, restaurants and sports venues; The CN Tower, Ripley’s Aquarium, Roger’s Centre and Scotiabank Arena (formerly Air Canada Centre), as well as the Metro Toronto Convention Centre

Shangri-La Toronto

Location: 180 University Ave, Toronto, ON M5H 0A2
Developer: Westbank and Peterson
Architect: James Cheng
Year Completed: 2012
Number of Floors: 66
Number of Units: 393
Sizes: 819 – 4,400 Sq.Ft.

Features:

Opulent Living: The Shangri-La residences exude opulence, with spacious layouts, contemporary designs, and top-tier amenities. Our favourite space in the Shangri-La is the stunning Lobby Lounge. Residents do have their own private entrance, but walking through the lounge is always a special treat. They have an expansive drink menu with an array of small-bite options. For something a bit more upscale, Bosk is the ideal place to have a conversation, business meeting or special date night.
Five-Star Services: Residents can indulge in the hotel’s world-class services, including a spa facilities (Miraj Hammam Spa), fitness center, and an indoor lap pool, hot tub and sauna!

St. Regis Residences Toronto

Location: 311 Bay St, Toronto, ON M5H 4G5
Developer: JFC Capital ULC
Architect: Zeidler Partnership Architects
Year Completed: 2012
Number of Floors: 58
Number of Units: 118
Sizes: 1,300 – 11,000 Sq.Ft.

Features:

Timeless Elegance: Formerly known as the Trump Hotel – the property was sold for nearly $300 million, and was rebranded to the St Regis in 2017. Today, the St. Regis Residences embodies timeless elegance, offering a refined living experience with bespoke services and sophisticated design. Residents have exclusive access to the Sky Lobby on the 32nd floor, which comes complete with 24-hour concierge, a fitness centre, a fully equipped gym, an indoor pool, and direct elevator access. Room service and maid service is also available (at an extra cost)
Coveted Location: Situated in the Financial District, residents are near Toronto’s business hubs and cultural attractions. Residents can dine out right in the building at either the Astor Lounge (perfect for drinks and small bites) or at the Louix Louis Grand Bar and Restaurant on the 31st floor… you’ll definitely want to check out the 60 ft mural on the ceiling of the Grand Bar. Painted by local Toronto artist Madison van Rijn, the mural, known as a ‘Bouquet of Whisky’ is inspired by a glass of Canadian whisky and looks just as refreshing as one. Salute!

Four Seasons Private Residences Toronto

Location: 50 Yorkville Ave, Toronto, ON M4W 0A3
Developer: Menkes Developments & Lifetime Developments
Architect: architectsAlliance
Year Completed: 2013
Number of Floors: 55
Number of Units: 210
Sizes: 655 – 9,038 Sq.Ft.

Features:

Yorkville Elegance: Nestled in the upscale neighborhood of Yorkville, the Four Seasons Private Residences provide a sophisticated living experience with stunning views of the city. You’re steps away from the cities finest shops in the city, with all the big brands at your doorstep.
World-Class Amenities: Residents enjoy access to the renowned Four Seasons amenities, including a spa, fitness center, and gourmet dining. D Bar is the destination of choice for those looking to unwind with a cocktail and some lite bites. Cafe Boulud offers a more formal setting and features a menu highlighting seasonal locally sourced ingredients and one-of-a-kind style.

Conclusion

Toronto’s hotel/condos redefine urban living, offering residents a blend of luxury, convenience, and world-class services. Each development brings its own unique character and charm, catering to different tastes and lifestyles. Whether you’re drawn to the opulence of The Ritz-Carlton, the contemporary elegance of Shangri-La, or many offerings of The Four Seasons these hotel/condo hybrids enhance the city’s real estate landscape, providing an elevated living experience for those seeking the best of both worlds. Explore these iconic residences and discover the epitome of sophisticated living in the heart of Toronto.

Connect with us below for more information about any of these hotel/condo projects!

Feb 19

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a view of a very tall building in the city

When is the Best Time to Start Looking for a New Home in Toronto

By Joey Virgilio Advice For Buyers

Embarking on the journey of finding a new home in Toronto is an exciting and significant step. However, timing plays a crucial role in ensuring a smooth and successful home-buying experience. In this blog post, we’ll explore each season and list out the reasons to why it may be the best time to start looking for a new home in the bustling real estate landscape of Toronto.

Spring into Action

Best Time: Spring is widely considered one of the optimal periods to start your home search in Toronto.

Why:

Blooming Market: Spring brings new life, and it’s no different in the real estate market. With warmer weather, more properties tend to become available, giving you a broader selection to choose from.
Curb Appeal: Viewing homes in spring allows you to see properties at their best, with gardens in bloom and outdoor spaces showcased in optimal conditions.

Summer Exploration

Best Time: Early to mid-summer is a favorable window for home searching in Toronto.

Why:

Extended Daylight: Longer daylight hours mean more time for property viewings, making summer a practical and enjoyable time to explore potential homes.
Family Moves: Families often prefer moving during the summer to minimize disruptions to their children’s school routines.

Fall Finds

Best Time: Late summer into early fall can be a strategic time to begin your home search.

Why:

Serious Buyers: As the summer rush subsides, serious buyers tend to remain in the market. Sellers may also be more motivated to close deals before the winter months.
Comfortable Weather: Fall weather in Toronto is generally mild, providing comfortable conditions for exploring neighborhoods and attending open houses.

Winter Advantage:

Best Time: Late winter, specifically February and March, can offer unique opportunities for homebuyers.

Why:

Less Competition: Winter tends to have fewer active buyers, giving you an advantage in negotiating deals and potentially finding a property at a more reasonable price.
Motivated Sellers: Sellers listing their homes in winter often have specific reasons, such as relocation, making them more motivated to finalize transactions.

Tips for a Successful Home Search in Toronto

Pre-Approval: Get pre-approved for a mortgage before you start your search. It helps you understand your budget and makes your offers more appealing to sellers.
Work with a Realtor: A knowledgeable real estate agent can guide you through the process, providing insights into the Toronto market and helping you make informed decisions.
Research Neighborhoods: Understand the different neighborhoods in Toronto to find the one that aligns with your preferences and lifestyle.
Be Flexible: Toronto’s real estate market is dynamic, and being flexible with your criteria can increase your chances of finding the perfect home.
Stay Informed: Keep an eye on market trends, interest rates, and any changes in real estate regulations to make informed decisions.

Conclusion:

The best time to start looking for a new home in Toronto depends on various factors, including personal preferences, market conditions, and lifestyle considerations. Whether you choose the vibrancy of spring, the extended daylight of summer, the strategic timing of fall, or the potential advantages of winter, being well-prepared and working with experienced professionals will set you on the path to finding your dream home in the diverse and dynamic city of Toronto.

Feb 16

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8 Things to Look for During Your Second Home Visit

By Joey Virgilio Advice For Buyers

Learn how to make a more informed and confident decision by exploring these important aspects during your second visit to a potential dream home.

Feb 04

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The Pros and Cons of Open Houses in Toronto

By Mark Savel Advice For Sellers

Selling your home is a significant undertaking, and one question that often arises is whether hosting open houses in Toronto is worth the effort and investment. In this blog post, we’ll explore the pros and cons of open houses to help you make an informed decision about whether they are the right strategy for selling your home!

The Top 5 Pros of Open Houses:

Exposure to a Wide Audience: Open houses attract a broad range of potential buyers, including those who might not schedule private viewings. This exposure can increase the chances of finding the right buyer for your home. The more people through the door, the better the chance of getting the most for your home.
First Impressions Matter: Open houses allow buyers to experience your home in person, creating a tangible connection. A well-staged and inviting presentation during an open house can leave a lasting positive impression. Remember, we don’t sell like how we live… so don’t take it personally if your realtor advises clearing out personal effects.
Feedback and Market Insights: Hosting an open house provides an opportunity to gather feedback from potential buyers. This insight can be valuable in making necessary adjustments to the price or to enhance your home’s appeal in the market.
Sense of Urgency: Creating a sense of urgency by having specific viewing hours can motivate potential buyers to make decisions quickly, especially if they see others expressing interest in the property.
Facilitates Networking: Real estate agents often use open houses to network and connect with potential buyers. This can lead to additional exposure for your property through word of mouth and industry connections.

The Top 5 Cons of Open Houses:

Security Concerns: Opening your home to the public may pose security risks. While most visitors are genuinely interested in purchasing, there is a potential for theft or unauthorized access. Always have jewelry, laptops, and any other high-value items removed from the home.
Inconvenience for Sellers: Hosting open houses can be disruptive for sellers, requiring them to vacate the premises for extended periods. Balancing privacy and the desire to showcase the home can be challenging.
Quality of Leads: While open houses attract a wide audience, not all attendees may be serious buyers. Some people might be curious neighbors or individuals who are not financially prepared to make a purchase.
Limited Time Frame: The limited time frame of an open house might not be sufficient for potential buyers to thoroughly explore the property. Private showings often allow for a more relaxed and detailed viewing experience.
Effectiveness Varies: The effectiveness of open houses can vary depending on the market, location, and property type. In some cases, the return on investment may not justify the effort.

If you’re interviewing multiple realtors before choosing the right one to sell your home, ask them to outline all the processes and procedures they use to host a safe and efficient open house!

brown wooden dining table with white chairs near kitchen

The 3 Best Tips for Maximizing An Open House:

Effective Marketing: Promote your open house through various channels, including online listings, social media, and traditional marketing methods. Don’t discount the old-school methods of sidewalk signs and door to door marketing.
Well-Staged Presentation: Ensure your home is impeccably staged for the open house to create a positive and memorable impression. (and yes, a tray of freshly baked cookies is always a good idea)
Security Measures: Implement security measures to protect your property during open houses, such as removing or securing valuable items. Have your realtor keep a log of all guests and visitors

Is Having an Open House Worth it for Your Home?

The decision to host open houses when selling your home ultimately depends on various factors, including your comfort level, the local market conditions, and your specific goals. While open houses can provide exposure and valuable insights, they come with potential drawbacks. Carefully weigh the pros and cons, and consider consulting with a real estate professional to determine the most effective strategy for showcasing your home in the competitive real estate landscape.

Jan 28

Love0

Empty white room with laminate flooring and french windows

Understanding Toronto’s Vacant Home Tax: A Closer Look at the New Initiative

By Mark Savel Advice For Buyers, Advice For Sellers, Video Blog

Toronto, like many other major cities around the world, is grappling with the challenges of urban housing. As the city continues to evolve and attract new residents, policymakers are exploring innovative solutions to address the housing shortage and ensure a sustainable and vibrant urban environment. One such solution that has gained traction in recent years is the Toronto Vacant Home Tax.

Understanding the Vacant Home Tax

The Vacant Home Tax (VHT) is a policy aimed at encouraging property owners to put their vacant properties into productive use by imposing a tax on homes that remain unoccupied for extended periods. Homeowners who choose to keep their properties vacant will be subject to this tax and VERY IMPORTANT TO NOTE: residents are required to declare the occupancy status of their property every year, even if they reside there.

In Toronto, this initiative represents a proactive approach to address the housing crisis, promote community engagement, and maximize the utilization of available housing stock. Revenues collected from the Vacant Home Tax will be allocated towards affordable housing initiatives, including the Multi-Unit Residential Acquisition (MURA) program.

How to Declare Your Homes Occupancy Status

Owners of properties in Toronto that are classified within the residential property tax class are required to declare occupancy status every year and can do so by visiting the City of Torontos Vacant Home Tax Portal. You’ll also need the following:

Assessment Roll Number, found on your property tax statement
Customer Number, found on your property tax statement
If applicable, documents required to show your Vacant Home Tax Exemption

The whole process will take less than 5 minutes, and can save you thousands in unnecessary taxes each year!

Fees Fines and Penalties Related to the Toronto Vacant Home Tax

If the declaration is not submitted by the specified deadline, the property will be considered vacant and will become subject to the Vacant Home Tax. Starting January 1, 2024, a fee of $21.24 will be imposed for failing to submit the declaration of occupancy status by the designated deadline.

Interest charges, amounting to 1.25 percent, will be applied to any outstanding Vacant Home Tax balance on the initial day of default and subsequently on the first day of each subsequent month until the outstanding taxes or charges are settled.

In case of payment default, the unpaid amount will be included in the property tax roll for the residential property and will be collected in the same manner as regular property taxes.

Any payments dishonored by a financial institution will incur a Dishonoured Cheque Processing/Non-Sufficient Funds (NSF) fee.

Failure to submit the declaration of occupancy status by the deadline may lead to a $250 fine. Additionally, making false declarations regarding occupancy status or failing to provide requested information may result in a fine of up to $10,000, in addition to the required tax payment.

Exemptions to the Vacant Home Tax

A property may be left vacant and be exempt from the Vacant Home Tax if one of the following criteria is met:

Death of a registered owner – (need to show death cert.)
Major repairs – (submit work permits and contractor receipts.)
The principal resident is in long-term care (hospital or supportive care facility)
Transfer or Legal ownership (what we just talked about… submit a copy of deed)
Occupancy for full-time employment (proof of residency outside GTA and signed letter from employer
Court order – a court order is made which prohibits occupancy of the property

Visit the City of Torontos Vacant Home Tax website for more details!

Key Features of the Toronto Vacant Home Tax

Definition of Vacancy: The Toronto Vacant Home Tax identifies vacant properties based on specific criteria. Generally, a property is considered vacant if it is unoccupied for more than SIX MONTHS within a calendar year.
Tax Rates: The tax rates are structured to incentivize property owners to either occupy or rent out their vacant properties. Higher tax rates are typically applied to properties that remain vacant for more extended periods, creating a progressive system that encourages swift action.
Exemptions and Appeals: The policy also considers legitimate reasons for property vacancy, such as renovations or major repairs. Property owners can apply for exemptions, and there is an appeals process in place to address any disputes regarding the determination of vacancy.

Impact on Toronto’s Housing Landscape

The Vacant Home Tax is expected to have several positive impacts on Toronto’s housing market:

Increased Housing Availability: By discouraging long-term vacancy, the tax aims to bring more housing units into the market, increasing the overall availability of homes for residents.
Neighborhood Revitalization: The initiative is likely to contribute to the revitalization of neighborhoods by reducing the number of empty homes and fostering a sense of community.
Revenue for City Services: The tax revenue generated can be used to fund essential city services and initiatives aimed at addressing housing challenges and improving the overall quality of life for Toronto residents.

Challenges and Criticisms

While the Vacant Home Tax is seen as a step in the right direction, it has not been without its challenges and criticisms. Some property owners argue that the tax unfairly penalizes them for circumstances beyond their control, such as personal or family reasons for keeping a property vacant.

Conclusion

Toronto’s Vacant Home Tax is a bold and necessary step in addressing the city’s housing challenges. By encouraging the efficient use of available housing stock, the initiative aims to create a more dynamic and inclusive urban environment. It’s important to remember that the deadline for declaring the status of your property is the last day of February and that the property status refers to the previous year’s history.

You can get more information on the latest details of tax, as well as declare the status of your home by visiting the City of Torontos Vacant Home Tax Portal.

Feb 16

Love1

Sold: 1048 Broadview #2108

By Mark Savel Sold Properties

SOLD

1048 BROADVIEW #2108

MINTO SKY

Price: $799,900

Bedrooms: 1+1

bathrooms: 2

Take in
The Best Views
From
Broadview

What was originally a tight, two-bedroom layout, has been transformed into a sprawling space with stunning views. The recently renovated suite features a long list of improvements which include a combination of luxury vinyl and porcelain flooring throughout, refinished kitchen cabinetry, quartz countertops, a custom banquet with added storage, shelving and a tiled feature wall.

The den area doubles as the perfect “work from home” office space and can also be adapted as a nursery or guest room depending on one’s need. A custom cut, “live edge” desk has been installed in the space and blends perfectly with the accented wallpaper.

The main bedroom is large enough to comfortably fit a queen-sized bed, with plenty of space for side tables. The closets are well equipped with built-in organizers and offer ample storage. A four-piece ensuite bathroom completes the space and was recently upgraded to feature a glass enclosure for the shower, tiling throughout and a newly installed vanity.

For the entertainers out there – you’ve got to check out the incredible, open concept living and dining room. There’s over 360 sq.ft of space in between the rooms, connected by floor-to-ceiling windows that flood the unit with natural light. Views of the sun setting over the Don Valley and Brickworks make for the perfect backdrop after a long day… or step out onto your private 100+ sq.ft. balcony and take in the panoramic views!

The condo measures in at over 1000 sq.ft (1029 to be exact), and also includes one locker and one parking spot. Residents have access to a gym, party room and bbq area. There is a front desk concierge for accepting deliveries and greeting guests. Explore the various nature paths nearby, or venture down to the Danforth for a variety of dining options!

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1048 Broadview Ave 503 Toronto-large-002-9-Building Entryway-1500x1000-72dpi

1048 Broadview Ave 503 Toronto-large-003-5-Building Lobby-1500x1000-72dpi

1048 Broadview Ave 503 Toronto-large-023-26-Building Exercise Room-1500x1000-72dpi

1048 Broadview Ave 503 Toronto-large-024-19-Building Exercise Room-1500x1000-72dpi

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1048 Broadview Ave 503 Toronto-large-026-23-Building Common Area-1500x1000-72dpi

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Feb 16

Love1

Sold: 210 Victoria St #2004

By Mark Savel Sold Properties

Sold

210 victoria st #2004

Pantages Tower

Price: $799,900

Bedrooms: 2

bathrooms: 2

Lights,
Camera,
Action!

Live in the centre of the city at 210 Victoria Street! This two-bedroom, two-bathroom suite measures nearly 920 sq.ft. and features sweeping views of the city from the east to the south. The floor-to-ceiling windows from this corner unit offers tons of natural light and unobstructed views. You’re literally front row to Massey Hall, steps to the Eaton Centre and neighbours with the Ed Mirvish Theatre and St. Mikes hospital.

You’ll love the recently upgraded hardwood floors, modern guest bathroom, open concept living room, and two spacious bedrooms. The galley-style kitchen offers ample prep room, stainless steel appliances and loads of storage.

Guests are greeted by front desk security/concierge and have access to a wide range of amenities in the building. The purchase price includes one parking spot and one locker!

book an appointment