Archive for January, 2009

What Does the New Federal Budget Mean to Montreal Real Estate?

NEW FIRST-TIME HOME BUYERS’ TAX CREDIT

The budget proposes to introduce a new non-refundable tax credit for first-time home buyers who acquire a qualifying home after January 27, 2009 (a qualifying home is one that is currently eligible for the Home Buyers’ Plan).

First-time home buyers will be able to claim a 15% non-refundable tax credit on an amount of $5,000, for a maximum credit of $750 in the year the home is purchased. If a home is purchased jointly, the total credit that may be claimed by all purchasers combined is $750. The credit will also be available for certain acquisitions of a home by or for the benefit of an individual who is eligible for the disability tax credit (DTC).

INCREASED HOME BUYERS’ PLAN WITHDRAWAL LIMIT

To encourage home ownership and home construction, the budget proposes to increase the Home Buyers’ Plan (HBP) withdrawal limit to $25,000. Read More

2009 Real Estate Market Predictions by Royal LePage

“The going rate for housing in other central Canadian markets such as Ottawa and Montreal is anticipated to stay relatively flat.”

Forecast average housing prices for 2009 (% change from 2008)

Halifax $234,300 (+1%)

Montreal $254,400 (-1%)

Ottawa $291,000 (0%)

Toronto $364,800 (-4%)

Winnipeg $204,900 (+4%)

Regina $243,300 (+6%)

Calgary $402,000 (-1%)

Edmonton $333,000 (0%)

Vancouver $540,100 (-9%)

Canada-overall $295,000 (-3%)

Source: Royal LePage

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