Toronto Real Estate Board rallies  behind  the housing sector

The   Toronto Real Estate Board ( TREB)    has not been supportive of the  land transfer tax increase in the City of Toronto.  In fact they have conducted public campaign against this issue.  TREB,  which is currently headed by  Maureen O’Neill,    considers this  new  tax  measure of the government unhealthy for the real estate  industry in Toronto.  The new  tax increase will definitely hurt the housing industry. At this  critical time  when the real estate sector all over Canada is mulling over the  financial crunches  that hit the real estate sector, any tax increase in the property will add burden to the already ailing housing industry.  This is an additional  disadvantage to   the  property market. At this time when nobody  looks   very interested  to step in the real estate market despite falling home prices and lenient mortgage offered by banks,   tax increase  by the government will  be another  drawback  instead of  attraction to buying public.

Since  the tax increase will be imposed to the home buyer , this means  a second land transfer tax,  which will double their tax . But this tax measure has some negative  effect to   Toronto government’s coffer. The  independent  study conducted by the C.D. Howe Institute  at the University of Toronto has determined  that  despite this  new tax, Toronto is losing $170 million  as a  result  of this tax increase. 

The TREB  has already  lobbied politicians   both at the federal and provincial level   for the repeal of this tax  and for other property rights.  The Board is  worried that that the same   transfer tax increase imposed in Toronto will become  prototype for other municipalities  which look at the housing sector as milking cow .

            The issues in the  economy   which  has  devastated   the outlook  toward real state  industry  in the US has also afflicted the housing sector in  Canada.  And TREB has to closely monitor any news coming out about real estate  sector . It needs  to calm down the press to be more lenient with the issues regarding the housing industry in comparison  to  the US picture. There is a declining market in the housing industry, falling prices  and  wary    buyers but  the situation of the  property market in Canada is not as worse as the meltdown that happened in the United States.  Issues  that are  hitting the real estate sector in  America are not the same issues that hurt the real estate sector in Canada.  But people  here  seems to  be   having a mentality that  the woes faced by the industry will last forever. And this greatly dampens the spirit of  both  homeowners and prospective buyers.   Any bad news affect  the buyers and homeowners and TREB has to  be watchful  that only the  right stories will come out. The TREB is doing everything to protect the housing sector .

Despite all the psychological pressures experienced  by  both  homeowners  and buyers  , figures in 2009  are more  becoming steady . People  are still in the wait-and-see attitude but  as they become more confident in the economy, with more prospects  looming ahead,

buyers are already coming in .  After all real estate market is   has  been a good long-term investment.