Jim Flaherty, Minister of Finance, announced the following changes to the standards governing government-backed 
insured mortgages:

• the maximum amortization period was reduced from 30 years to 25 years;
• the maximum amount Canadians can withdraw in refinancing their mortgages was lowered to 80 per cent from 
  85 per cent of the value of their homes;
• the maximum gross debt service ratio was fixed at 39 per cent and the maximum total debt service ratio 
  at 44 per cent; and
•  the availability of government-backed insured mortgages was limited to homes with a purchase price of less 
  than $1 million.

Today’s announcement confirms Canadians will continue to be able to purchase a home with five percent down. 

Our clients often wonder what are the smart things to do to their home to keep them up to date and hold or increase their value. I found this article put out by First National Financial LP that has some great pointers.

Whether you’re renovating to make your home more comfortable, or you plan to sell it and are looking to get the money back, keep in mind that you don’t want to over-renovate for your area. If you overspend and over-renovate for your area, it will be unlikely that you will see the return that you’re expecting. Plan your renovation and select materials that are going to fit with the neighbourhood. If comparable properties don’t have granite, hardwood floors or high-end carpet, then consider not using them in your renovation.

It’s a good idea to speak with your real estate agent about what buyers are looking for, and what features will add the most value.

1. Modernize kitchens and bathrooms

Kitchen and bathrooms renos are a smart choice as both of these areas are extremely important to most buyers. Look to make the kitchen bright, spacious and modern. Modern doesn’t mean trendy – you want updates that are going to last for years and stand the test of time. Paint or stain your old cabinets and add new door hardware if you can’t afford to change out all the cupboards.

Bathrooms with neutral tones and bold fixtures are a good choice. Remove cabinets and put in pedestals if you need to make a room look larger. Upgrade to better quality plumbing fixtures to create added appeal.

2. Perk it up with paint

Painting is a fast and affordable way to freshen up your home. The key is to pick neutral tones and do a good job. Paint your interior as well as your exterior for a new and updated look.

3. Lay down new flooring

Attractive floors add value. Consider upgrading your flooring to hardwood wherever you can. If you already have hardwood floors, refinish them if they’re looking scuffed and tired. Ceramic tiles are best in bathrooms and the kitchen. Consider staying with a neutral inexpensive tile for the main areas, and then use only a small number of accent tiles for a pop of colour. If budget is a concern, take a look at some of the new laminate flooring that is now available. It’s durable and looks great!

4. Turn to new light fixtures and door hardware

Updating new light fixtures in the right places, such as the kitchen and dining room, will brighten up the space and enhance the ambience. Consider replacing your front and back door as well. It’s amazing how much difference it can make to the overall look of your home.

5. Spruce up your deck and landscaping

Make sure your outdoor BBQ and entertaining area is inviting by power washing your deck and painting or restaining if needed. Add to the curb appeal of your house by repairing fences and leveling any patio stones and steps that may have shifted over the winter. Keep shrubs and trees looking neat and healthy by trimming them properly. Stay on top of the weeding in your lawn and garden so the weeds don’t win out!

By Elden Freeman

It’s difficult not to get a case of the open-air crazies at this time of year. Everyone is pruning and seeding or fertilizing and mulching or aerating and planting. It’s infectious and perhaps a reaction to being cooped up indoors most winters.

While it’s fun to pretty up your outdoor space, it’s also important to be mindful of the impact beautiful gardens and lawns have on our environment. Perhaps the biggest consequence of this love affair with lawns is our unrestrained water consumption. Canadians are already big water abusers, using 350 litres per person per day. That amount jumps by 50 per cent in summer months thanks to outdoor water usage.

Ever heard of xeriscaping? It’s fuss-free gardening and landscaping that uses a minimal amount of water, time and effort. The concept, which is also known as drought-tolerant landscaping and smart scaping, was pioneered originally for desert regions but has spread to water – abundant places thanks to conservationists.

One of the most important things you can do when xeriscaping is to find plants that are native to your area. These are generally plants that sustain themselves on less water. Good selections are drought-tolerant plants that have long roots or succulents that store moisture in their leaves. Other good choices are plants that have fuzzy, waxy or silver leaves that either reflect the sun or lock in moisture.

Before you start planting, consider your soil. Improve it with organic matter. This encourages deep-rooted plants, which means plants can find their own sources of nutrients and moisture buried deep into the ground, unlike shallow-rooted vegetation.

Group plants based on their moisture needs with the more water-dependent plants closer to the water source. This limits the amount of water you need to spread around your grounds. Think about placing plants that are more water reliant in more shaded areas to limit evaporation of water.

Limit your lawn to flat areas that are easier to keep moist. Limit the size and number of these sections by using drought-tolerant plants to surround the areas of turf. For the grassy areas, take care to use drought tolerant species of grass rather than those that require much more water to thrive.

Water turf and garden areas no more often than once per week, but water deeply. This forces the plants to develop extensive root systems. Drip irrigation from a soaker hose reduces the amount of water lost to evaporation by sprinkler systems. Or collect water from your roof in rain barrels.

Mulch the soil to prevent water evaporation, maintain an even, cool soil temperature and prevent the germination of weed seeds. For ornamental gardens, choose mulch that is as natural in appearance as possible and that will eventually break down and become soil. Consider chopped leaves or pea gravel. The best time to lay mulch is in late spring after the soil has warmed, but before summer’s heat begins.

There is plenty of information online about what grasses, shrubs and plants are best for xeriscaping. Favoured perennials are the black-eyed susan and poppies, while good grasses include maiden grass and little bluestern.

The most obvious benefit of xeriscaping is lower water bills, but there are plenty more. Think of the neighbourhood cachet you’ll draw as the house with the eco-garden. Think of the extra time you’ll save cutting your lawn. When other garden beds begin to wither thanks to water restrictions, yours will flourish.

This is a type of gardening we’re sure to hear more about as the cost of water rises and more people warm to conservationist issues. Share this knowledge with your clients and you’ll be seen as – pardon the pun – cutting edge.