A10
jun 1 to jun 7 2012 |
renovations
Canadians Reconsidering Renovations Study shows fewer people planning renovations this year cody stuart
managing editor
W
ith concerns regarding household debt on the rise, it appears Canadians are being choosier how they spend their renovation dollars. According to the Annual BMO Home Renovation Report, fewer Canadians are planning home renovations this year but are choosing projects with the greatest returns - a sign consumers are scaling back and becoming more strategic on spending amid rising concern about household debt. Half of Canadian homeowners (51 per cent) plan to renovate their homes in the next year, compared with 62 per cent in 2011. Single-family homeown-
ers far out-pace their condo-dwelling counterparts (62 per cent versus 41 per cent respectively). Regionally, the report revealed that while more than half (52%) of Albertans homeowners planned on renovating their homes in the next year, the province fell behind its reno-hungry neighbours to the east. According to the report, more than two-thirds (67%) of residents in Manitoba and Saskatchewan plan on renovating their homes in the next year. “The scaled-back plans for home renovations likely reflect increased caution on the part of households as they continue to reduce discretionary spending to rein in debt,” said Sal Guatieri, senior economist, BMO Capital Markets. “After averaging nine per cent in the past decade, consumer loan growth has slowed to almost two per cent recently, suggesting Canadians are taking recent debt warnings to heart.” A recent poll from CIBC found almost half of Canadians holding debt
made at least one extra payment to bring down their balances in the last 12 months, with the number of Canadians holding some form of debt relatively unchanged at 72 per cent. The BMO study, conducted by Leger Marketing, also revealed the top five renovation plans for Canadians. Kitchens came in top at 39 per cent, followed by bathrooms (35%), basements (16%), while bedrooms and family rooms nationwide were less apt to undergo renovations in the next year at 11 and 10 per cent, respectively. “Making home upgrades can add significant value to a home; however, it’s crucial that homeowners consider the financial implications involved,” Laura Parsons, mortgage expert, BMO Bank of Montreal. “Renovation projects come in different shapes and sizes and vary in return on investment. Homeowners planning to move forward with renovations should consult a professional to help balance wants versus needs and the overall value of the investment.”
(As of MAy 28, 2012)
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ATB Financial
6.30
4.45 3.20 3.55 3.95 4.39 3.94 4.49
BMO
A new BMO study, conducted by Leger Marketing, revealed the top five renovation plans for Canadians. Kitchens came in top at 39 per cent, followed by bathrooms (35%), basements (16%), while bedrooms and family rooms nationwide were less apt to undergo renovations in the next year at 11 and 10 per cent respectively.
Where
Residential Mortgage Rates AMA Financial 3.19 3.34
Cody stuart, Managing Editor
3.39 3.47 3.44
Am I?
Do you know where this is located? Post your guess at facebook.com/ CREBrealestatenews and look for the answer in next week’s issue of CREB® Real Estate News.
6.30 4.45 3.20 3.55 3.95 4.64 5.34 5.99 6.29
Bridgewater Bank 4.64 4.79 4.84 4.92 4.89
6.89
Calgary Mortgage Corp
2.89
3.09
3.19 3.25 3.29
3.99
Canadian Western Bank
6.45 4.45 3.20
3.55
3.95 4.64 5.44
CIBC
6.70
Dominion Lending Centres Westcor
4.45
3.20 3.29 3.95 4.39 5.34 6.35 6.75
4.40 2.74 2.74 2.94 3.09 3.19 3.99 3.89
First Calgary
6.30 4.45 2.39
HSBC Bank Canada
6.20 4.45 3.60 3.95 4.45 4.99
Invis
4.40
Jencor Mortgage
2.75
3.55 2.99 3.39
3.49 5.44 6.30 6.50
2.99 3.19 3.19 3.29 3.99 3.99
2.74 2.74 2.94 3.09 2.75
Laurentian Bank 6.70 4.40 3.50
3.55
3.95
4.64
5.34
6.35
6.75
M. Richard & Associates Inc.
2.89
2.89
2.95
3.19
3.25
3.29
3.99
3.99
Mortgage Alliance Company
4.45
2.74 2.99 2.99 3.24 3.19 3.99 3.89
Mortgage Intelligence
4.40
2.75
MyMortgage.ca
4.45 2.84 3.05 3.04 3.19 3.19 3.99 3.89
MyMortgageStore.ca
2.89
1.99
2.99
2.74
3.19
2.63
3.19
2.81
3.29 3.99 3.99
3.06
3.81
3.84
National Bank 6.70 4.45 3.50 3.55
3.95 4.64 5.34
6.35
6.75
RBC Royal Bank
6.30 4.45 3.20
3.95 4.64 5.24
6.35
6.75
Scotiabank
6.45 4.55 3.65 3.89 3.99 4.39 4.99 5.99 6.29
TD Canada Trust
4.45
3.20
3.55
3.55 3.95 4.64 5.34
6.35
6.75
The Mortgage Group 2.75 2.95 2.99 3.19 3.39 3.99 3.99 *All the above information is subject to change without notice. Certain rates may be displayed as promotional rates only. Contact individual institutions for details.
Did you guess correctly? Last week’s photo was taken at the Scotiabank Saddledome. The doors of the Saddledome opened in 1983, a new home for a new NHL franchise, the Calgary Flames, and the hockey and ice skating venue for the 1988 Olympics.
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