Dragon's Den

Not too long ago, a co-worker of mine got a new job. I decided to get the group organized to get a farewell gift. I decided to go to Chapters to pick up a gift certificate. In addition, I ended up buying a couple of things for myself. I had noticed that I haven't picked up a book in awhile.

I picked up a book by Robert Herjavec called "Driven". If you don't know who he is, he is probably most famously known as a dragon on CBC's "Dragon's Den". He is also featured on another entrepreneurial-based show on ABC called "Shark Tank".

As I have done in the past, I thought I would review another book. This was another business book, and I thought it would be an interesting read. Mr. Herjavec has had a very interesting career to date and I was interested in his story. Unfortunately, this book was fit for the bathroom.

I say that because the chapters are short and disjointed. You can sit down for five minutes, do a little reading, and be on your way again. You do not have to read through the entire book in one sitting because you are certainly not led by any form of suspense. This is typical of a business book, but I had hoped for more.

I think there are thousands of books on that topic, so I thought that there were no flashes of brilliance or insights within this book. I respect what was said in the books, but since there was nothing noteworthy to read, I label this book as a money-grab. I would have preferred to hear more stories about his rags to riches, but such entertainment was minimal.

I'm hoping the next book will provide some more insights.

Bad back

Hey,

So, if you've been wondering, I haven't made many posts recently due to an injury I suffered recently. I hurt my back again and it has caused a great amount of discomfort. It is slowly on the mend, but I wanted to let people know that it isn't a bad idea to think about starting your research for buying a home.

One of the things that I try to do as a real estate agent is help people learn about the market they are in. If they get to see a few places, they quickly get an idea of what their money can buy them. It may not be the best salesperson approach, but it's an approach that I think my family and friends appreciate. If you happen to know anyone looking, new or used, please send them my information and I will help them out as much as possible.

Medical expenses

Want to know what you can claim for medical expenses? Have you been confused before on what to do and which expenses are eligible? How much are you allowed to claim?

Well, thankfully, I've decided to write a post about it. Generally, prescriptions, dental work, and eye glasses are some of the most common items claimed. There is a catch. The government does expect you to pay for some of the expenses. They have instituted a threshold of 3% of your net income. Well, it is actually the lessor of 3% of your net income or $2024.

This means that, if you make $50,000 net income in the year, you can only claim expenses over and above $1,500. This is out of pocket of course. You cannot claim any credits on medical expenses that you may have been reimbursed through medical insurance.

The best place to see what expenses to claim are on the CRA's website. A link is provided below.

http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns300-350/330/llwbl-eng.html

This post is for informational purposes only and you should do your own research before attempting to do your personal taxes. You may come across an exception, so you should consult a tax professional about your taxes to protect yourself from ineligible claims. I make no warranties or assurances that the information contained in this post is correct.

My idea gone

I had told a couple of people what my plans would be if I was a mega-real estate investor. I had some ideas about how to make a lot of money. One idea is now taken. I guess it didn't take much to think of the idea I had.

My idea involved changing the use of the Greyhound bus station. After I bought my place on Arlington, I thought the land potential value of that property was ten times higher than the current use. Recently, the former Mayor, Larry O'Brien, had been pushing for Greyhound's relocation. I knew then that somebody else was planning big things.

I obviously couldn't act because I don't have the resources to pull it off. I knew at some point that someone else would figure it out, but didn't think the wheels would be in motion so soon.

The plan is developing. In fact, there was a recent article about the plan. It can be found at the following link:

http://www.ottawacitizen.com/business/station+owner+applies+rezoning/4423000/story.html

As for my thoughts, I think I'm super excited about the plan. The plan calls for homes to be built on the Arlington side of the property. This will make my two semi-detached units more appealing. It may also make it easier to perform an infill later on. It only increases the value of my properties. I also think the plan to move the Greyhound is a good one. Currently, it is not set up on the municipal transit service. At the VIA rail location, there is an expectation that the new light-rail will connect there. Overall, it's a win-win-win for all of the parties involved.

Prices up

According to the Ottawa Real Estate Board, price in February are up 6.7% over the same period last year. This was according to their latest new release found at http://orebweb2.oreb.ca/news_release.shtml.

This does not mean that the price of an individual house has increased or decreased, but the statistic tries to give a general trend for prices in Ottawa. The average sale price of residential property in Ottawa is now over $338,000. This has meant that the average house in Ottawa costs you about $21,000 more than it did last year.

You can see why some people say that the best time to buy real estate was yesterday.

Mortgage renewals

This week was a very important week for me. My first mortgage had come up for renewal. That means I have owned my property for nearly 5 years. We got to renew a little bit early, and that is why I am sharing this information.

Banks allow for an early renewal up to 6 months without penalty. They would rather keep you as a customer than risk you going to a competitor. In order for an early renewal to make sense, you must know the competitive interest rates. In my case, I was able to reduce my interest rate by 3.75%. It has meant a tremendous savings. It will allow me to pay off my mortgages that much quicker.

In essence, by renewing early, I have been able to save 3.75% over the 6 month term. In terms of time, I have likely saved myself nearly a year's worth of payments. The compounding effect of interest is amazing, so it was nice to know that I'm going to be closer to paying off my debts sooner rather than later.

I would also like to mention that I was able to "cannibalize" some of my mortgages. Since I have more than one property, I have more than one mortgage. By taking advantage of the lower rate that exists now, I am able to make additional payments by increasing my mortgage a little bit on the renewal and applying the extra cash to my mortgages with the highest rates.

If you are in the market for mortgages, please take the time to shop your mortgage. You can get an idea quickly how good your mortgage rate is. Talk to a professional about the different options that are best suited for you. You may not need a standard 5 year term. You may opt for a shorter term knowing that you may not be living in the same house, or have the same job in 5 years.

Have a nice weekend!!!