1. The Time To Purchase a New Home is Now

Canada Mortgage and Housing Corporation (CMHC) are predicting a 9% price increase in the average new home price for 2006 over 2005. In 2005, CMHC reported an 8.7% price increase over 2004. The average price of a new home for 2006 is expected to be $275,000 according to CMHC.

Stats Canada shows an 11.7% increase in new home prices for Winnipeg from May 2005 to May 2006.

The increased cost of land (up 24.5% according to Statistics Canada) and material and labour (up almost 8%) have driven costs higher. The upward pressure on costs means waiting three more months could cost thousands of dollars.

For more information, visit www.cmhc.com and www.statcan.ca

2. GST and GST Rebate Information

As of July 1st, 2006 the Goods & Services Tax (GST) has been reduced from 7% to 6%. This also applies to new home purchases.

For homeowners signing contracts with homebuilders after May 1st, 2006 and taking possession after July 1st, the new rate applies.

New Home purchases are eligible for a 36% rebate of the GST paid. That is 36% of the 6% GST paid is refunded by the Federal Government. All of the GST is paid up front and then the customer sends a form in to Canada Revenue applying for the 36% rebate.

For more information, visit the Canada Revenue Agency web site at the following link: www.cra-arc.gc.ca

3. Manitoba Hydro Power Smart New Home Program

When you build your home to the minimum Power Smart standard, you are eligible to receive up to $1000 towards the purchase of a front-loading washing machine. Or you can choose a $600 rebate on your Manitoba Hydro electric bill.

Your Power Smart new home will provide your family with peace of mind now and in the future. Enjoy the comfort, energy savings and improved air quality that a Power Smart home can offer. You will also be contributing to a cleaner environment because new homes built to Power Smart standards reduce greenhouse gas emissions that contribute to climate change.

Four Easy Steps to Building a Power Smart Home

1. Ask your builder about The Power Smart New Home Program.

2. Register your home plan through your builder with Manitoba Hydro.

3. Build your home to the Power Smart Technical Standard.

4. Ensure your home meets the Power Smart New Home Program standard and have your builder arrange for an on site EnerGuide for New Houses** evaluation with Manitoba Hydro.

Visit Manitoba Hydro's Power Smart site at www.hydro.mb.ca for more information.

4. Manitoba Housing Starts Increase By Almost 7% Over 2005

On July 11th, 2006, CMHC released statistics showing 'Single detached home builders recorded 945 housing starts over the January to June 2006 period, a gain of 6.9% compared to the same period one year ago.'

For more information, visit www.cmhc.com or follow the press release link at www.cmhc-schl.gc.ca