Paul Vieira, Financial Post  Published: Tuesday, December 9th, 2008  

OTTAWA - The Bank of Canada surprised markets Tuesday with a deeper-than-expected 75-basis-point cut to its benchmark-lending rate, to 1.5% a 50-year low, as it warned that Canada is entering a recession and global economic conditions are deteriorating at a deeper rate than anticipated.  "The outlook for the world economy has deteriorated significantly and the global recession will be broader and deeper than previously anticipated," the bank said. "While Canada's economy evolved largely as expected during the summer and autumn, it is now entering a recession as a result of the weakness in global economic activity. The recent declines in terms of trade, real income growth, and confidence are prompting more cautious behavior by households and businesses."    

There is probably a long list of things you need and things you want in your next home. But putting them all on a single list would be a mistake. Why? Because buyers who separate what they need from what they want are much more likely to find a home that meets all their requirements. For example, say you want a home that is close to a golf course but you need it to be in a neighborhood that has a good local school. If you hold out for both, you may miss some great opportunities on the market. Or worse, you might mix up your priorities and become so excited by a house that’s a block away froma country club (what you want) that you fail to realize that the nearest school (what you need) is several miles away. That’s why you should create TWO lists when you shop for a home: a needs list, and a wants list.

See attached full article.

Informed Home Buyer Dec 08.pdf (590.71 kb)