The real first sign of spring…

Well the time has come. It has been a very long and cold winter so far. I was looking at Facebook the other day and saw a post by Sherrie. She was talking about the weather. More specifically The Weather Network and the 24 hour forecast that was calling for -41.

Despite the temperature shown here, spring really is on the way!

Despite the temperature shown here, spring really is on the way!

This temperature alone is enough to make me start thinking about a vacation with white sandy beaches but to add insult to injury, the bad news didn’t end there. Not only was it going to be -41 it would be -54 with the wind chill. Did I mention it has been a long cold winter?

So where does the good news come in you may be asking yourself.   Well the good news is this weekend we experience daylight savings. What’s the old saying? Spring ahead and fall back.

All I know is I love this time of year. The evenings see more light. I will no longer need a flashlight to access the lock boxes to allow entry into listed properties. Buyers get the benefit of a daylight view of the back yard on an evening showing and conversely sellers get the opportunity to have buyers see all of the hard work they have done landscaping the backyard escape.

But really the most important part of daylight savings is the reminder that our firefighters send out. This time of year has been the perfect time for the firefighter campaign to remind us all weather we rent or own it is time to change the batteries in every smoke and carbon monoxide detector is your home. That means this week you need to make a point of going out and buying fresh batteries. Don’t procrastinate it is important.

Sunday March 9 at 2 a.m we move our clocks ahead 1 hour.  Best way to make sure you have the correct time is to go around the house before you go to bed Saturday evening. Make sure you change the time on your oven and microwave and most importantly – the coffee pot. You want the coffee timer to actually have the coffee ready and hot for Monday morning.

So change your batteries in all smoke and carbon monoxide detectors around the house and move all clocks ahead 1 hour and you won’t have to worry about it again until November. And as you make these changes, remember that this is really the first sign of spring!

Tracey

Posted in General, Uncategorized by

New home construction tip for builders

I have to say one of my pet peeves with some of the new construction I’ve seen in the past few years has do with bathrooms and specifically the ensuites bathroom in the master bedroom.

New construction home

New construction home

No, I’m not thinking of the bad feng shui of bed placement in relation to the orientation of the bathroom door, sadly my issue is just about the bathroom doors themselves or, my personal gripe, the lack of a bathroom door.

It’s a simple concept that has been around for a long time. A door to separate the outside world from the goings on behind the door. Simple yet useful. Outhouses have doors with the little crescent moons in them. Public washrooms have doors on the stalls (well except that public washroom in the Caribbean, but that’s a different story). Main bathrooms have doors.  Doors are important.

A door gives privacy. A sense of sanctuary if you will. A barrier between you and the rest of the world, or the rest of the world and you.

Just this weekend I was touring new homes with a client and we saw a beautiful new construction home with almost everything you could ever want. This place was loaded. Granite counter tops, stainless steel appliances, main floor laundry with the latest smart washer and steam dryer and a large oversized garage with custom cabinetry built in. Gorgeous.

Then the buyers get to the master bedroom. Large walk in closet. Beautiful view of the manmade lake outside. Built in home entertainment wiring for the included wall mount flatscreen.

All of the boxes are getting checked.

But then it happens. I’m coming down the hallway to the master bedroom when I hear a loud, almost theatrical, snicker from one of the buyers followed by “that’s not gonna happen”.

I enter and there, 6 feet from the foot of where the master bed would go is the opening to the loo. And the opening is door free. Oh sure, the opening is offset to the side and you couldn’t actually see someone sitting there doing their business, but we have more senses than just sight.

Like hearing.

And smell.

As soon as these particular buyers saw that, the rain shower and double sinks suddenly didn’t cut it. This house just went from the lead to several places back in the standings for the lack of a door.

Builders, for your own sake, please stop building beautiful homes with a toilet open to the master bedroom. Thanks.

Tracey

Posted in General, Uncategorized by

Leduc growth is simply amazing

When I first moved to Leduc the population was around 15,000. Eleven years later we are up to 27,241 as of the 2013 census. That’s up from 24,139 in the 2011 census when we were the 2nd fastest growing city in all of Canada… an average annual growth rate of 5.6% from 2011 to 2012 – simply amazing and a big part of the reason why Leduc real estate is such a hot commodity.

The growth can be seen with homes popping up and new infrastructure (including schools and shopping and soon a new fire hall or two) being put where once only crops stood.

Construction site for Leduc's newest K-9 Public School

Construction site for Leduc’s newest K-9 Public School

Grant MacEwan Boulevard was once what we thought of as the end of Leduc. This road runs north to south and was at that time gravel road. Today the development has Grant MacEwan paved and the development has been made on the west side of the road.  Announcements have been made that a second fire hall will be built here and construction on the new school has already broke ground.

With the close proximity to Edmonton and the vast array of jobs in the Nisku industrial area as well as the Edmonton international airport expansion, Leduc has become a seriously desirable place to live. One of the side effects of all this growth and opportunity is that Leduc has also been named one of the top 10 places to invest in real estate in Alberta by the Real Estate Investment Network (REIN).

And it’s not just growth in housing… the Leduc Regional Chamber of Commerce reported at the end of 2013 that they saw a “flood” of new members in 2013, with about 120 businesses signing up last year.

I have seen the farmers fields disappear and the shopping and restaurant selection at an all time high. People are eager to call Leduc home so they can get away from the hustle and bustle of Edmonton, or to be close to their work in Nisku or the InternationalAirport.

It’s exciting to be around all that growth and to help people find homes in this booming community.  If you are interested in moving to Leduc, we’d be happy to help you too!

Tracey

Posted in General, Uncategorized by

RRSP Home Buyers’ Plan – Is It Right For YOU?

Interested in lending yourself your down payment?

Well, it’s February and that means (besides more cold and snow) it’s RRSP season! So what else would we talk about but Registered Retirement Savings Plans?

 

RRSP season and real estate go together

RRSP season and real estate go together

Don’t worry, I haven’t lost my mind – this still has to do with Real Estate. How does an RRSP have anything to do with home ownership? Well gather round and let me tell you how your RRSP might give you a great opportunity to supplement your down payment on a home, or to help a related person with a disability buy a qualifying home.

First off, I must qualify this post by saying I am offering neither legal nor accounting advice – I am simply introducing you to a program that you may wish to investigate further. In all cases, get advice from your own legal and accounting experts before you take the plunge.

So what is the Home Buyers’ Plan?

The long and short of it is that if you have an RRSP and you are a first time home buyer you may qualify to access up to $25,000 of your funds without incurring a withdrawal tax hit to go towards your purchase. The even better news is that a couple may combine to make a total of $50,000.

Using RRSP funds to purchase your first home isn’t for everyone, but it can help by lowering your monthly payments or even reducing the number of years you have to make payments. These are the possible benefits of using your own money.

Take note there are always cautions to be aware of and this situation is not the exception. When you use your RRSP funds in this manner you have 15 years to repay the money (through annual payments) with no penalty. However if you do not meet the annual repayment requirements, the unpaid annual amount will be added as taxable income for that year. No such thing as free money. So if you decide to explore this option to help you get into home ownership, you will need to make sure you have considered the extra annual repayment amounts in your plan.

Another consideration before you decide to use your RRSP is the loss of potential growth. Any money taken from your retirement fund will not be working to compound any potential interest. Before making a decision on whether you should use RRSP funds you have lots to think about and talking with an accountant first is always a good idea.

I have had many buyers who have taken advantage of the RRSP Home Buyers’ Plan. The program gave them the opportunity to get into the home they love. In their cases, after discussing their options with their accountants, they decided that this made the most sense for them.

I have also had other buyers who looked into the program and decided not to go that route. Everyone’s situation is different so get your own advice.

When used correctly this can be a great program and one that is definitely worth further investigation. If nothing else, it will give you a new appreciation for how down payments affect your monthly payments and the overall interest paid on a mortgage.

So that’s the ‘cole’s notes’ on the RRSP Home Buyers’ Plan. If the idea intrigues you visit the Canada Revenue Agency site >>> here <<< for full details on the program.

Tracey

 

Posted in General, Home Buyers by

Let the ‘fun’draising begin again!

IT IS OFFICIAL – let the fundraising begin!

Sherrie and Tracey with Prosellers.ca have once again committed to fundraising for the Riseup House in Leduc as our official charity for 2014. Last year we had the pleasure of being part of the fantastic team with Amp’t slo-pitch, City of Leduc and Home Run Sports to raise a total of $10,000.

Sherrie and Tracey with cheque

Prosellers Sherrie and Tracey pose with the $10,000 cheque of funds raised for Riseup House in Leduc

It was October 9, 2013 when we had the privilege of presenting a cheque to the Riseup House with the proceeds of our efforts on their behalf.  WHAT AN AMAZING FEELING!  We heard the excitement of the hard working ladies who have poured their hearts and souls into the house and hearing what the funds will allow them to do for the Leduc community.  Hearing this made all time at the tournaments we worked, such as the Guinness World Record attempt, the Sno-Ball tourney, the Slush Ball just to name a few, along with all of the gift baskets truly worthwhile. Knowing what a difference our efforts will make was so rewarding.

Established in 2007 Riseup House Society is an equipping and healing women’s outreach centre responding to the reality of domestic violence and abuse. Riseup House provides group support, counselling and resources for women impacted by intimate partner abuse, and educates individuals and community groups about preventing and addressing abuse in Leduc Alberta. For more visit www.riseuphouse.ca

Well we are ready to start the running tally again next weekend as we will once again be working a ball tournament.  On February 15th and 16th in Leduc we will be working the Beer Garden for the SPN Valentines Sno-Pitch Tournament.  There will be a total of 16 teams with the furthest coming all the way from Saskatchewan.  This is the first tournament of many for the year that will include one on May long weekend where we are expecting 80+ teams, another on September long weekend with more than 100 teams expected, Fall Fever at the end of September with 64+ teams, Halloween Havoc at the end of October with 64+ teams and (weather permitting) there will be an “end of the line” tournament after that.

We are very proud to be part of the team raising money for the Riseup House in Leduc and invite you to come out and watch some good ball and of course stop by and say hi to Sherrie and Tracey and help us make a difference to a worthwhile cause in Leduc.

See you at the diamonds!!!

Tracey poses with the winner of a draw for a high end bat.

Tracey poses with the winner of a draw for a high end bat.

A gift basket full of goodies to raffle off

A gift basket full of goodies to raffle off

Sherrie and Tracey pose for a pic at one of the early 2013 ball tournaments.

Sherrie and Tracey pose for a pic at one of the early 2013 ball tournaments.

Tracey poses with the 50/50 winner at one of the tournaments.

Tracey poses with the 50/50 winner at one of the tournaments.

Posted in Fund Raising, General, Uncategorized by

Location, Location, Location Right? Kind of…

When It Comes To Real Estate Location Is Key

map searchYou have all heard it before when you are looking to buy real estate it is all about LOCATION, LOCATION, LOCATION!  Right?

Well sure, everyone has heard that gem before, but what does that actually mean?  The reality is it will mean different things to different people, depending on a lot of factors.

Factors That Go Into A Real Estate “Location”

A great location for someone who has kids may be within a block of a great school so the kids can walk.  A home next to a school may not be as desirable to a single professional who places greater priority on walking distance to the trendy bars and restaurants.

Before you start your home search it is important to take a little bit of time and make notes on what you would consider a positive in location and what would be a negative.

Once you have a list of the pros and cons of locations you should start to consider what kind of features you need.  If you are the family wanting a home by the schools so your three kids will be able to walk to school, you might also want a large fenced back yard.  And because you are blessed with three girls you know that sometime in the not-too-distant future you are going to be fighting past the curling irons and makeup to have a shower… that is if you can beat the kids to it in the morning.

Dad may say he needs a garage because he can claim it as his domain and can hide out and polish the car to get away from the days stresses.  The young professional may be looking for a short commute to work and has no need for more than 1 bathroom.

Whatever it is you want as a “feature” make a note of it.

Now that you have gotten all excited and made a list of your dream features it is time to get down to business.  Go and talk to your bank or a mortgage broker and find out what you are qualified for.  This, in my opinion, is the MOST important step.

There is nothing worse than taking a buyer out to view properties and have them fall in love with a home only to find out it was way over budget.  Do you really think anything else will compare to the home of your dreams that you have seen and already visualized the family living in?  Not a chance.

Once your heart is set it better be aligned with your pocketbook, or we will never be able to find anything that will compare.  Save yourself the heartache and find out the budget you have to work with BEFORE you go and look at homes.

The next step is to pick a Realtor.  If you happen to be looking at Edmonton area real estate, I happen to know a great one! 😉  Look for someone who has expert level knowledge of the area you want to buy in.  It can be very frustrating as a buyer when you find a home that you love which seems to fit the criteria, but your Realtor knows nothing about the neighborhood.

A good Realtor is one that can answer questions about what you find important.  A great realtor is one who works with you to understand what you find important and takes that into consideration before you have to ask.

Starting Your Home Search

Any Realtor can set you up on an MLS search and let me just say that if all they do is start feeding you listings and then wait for you to scroll through them all and call them to ask about a property, you picked the wrong Realtor.

A great Realtor might get you set up on a quick search based on what you tell them you are looking for, but they will then dig deeper.  I personally like to get you on the ground looking at homes as soon as possible so I can get a feel for what you like and don’t like in person.  Remember, the pictures you see in real estate listings can be very deceptive.  I have seen my share of Realtor pictures of homes that have been taken with a wide angle lens from just the right angle on top of a chair to know you need to see the inventory in person so we can get you into what you really like.

It’s also important when working with your Realtor to keep an open mind.  I have worked with buyers who told me that they want a 2 story house and so don’t show them anything but 2 story houses.  After seeing a few 2 story homes with these buyers and listening to what they had had to say it quickly became clear that a 2 story in their price range didn’t have enough main floor living space.  I threw a couple of ‘comparison’ bungalows in the mix and the buyers fell in love.

If all I had done was send these buyers 2 story listings and only showed them 2 story listings, they might still be searching for the home of their dreams.

Also, much like a yoga devotee, flexibility is important.  It is critical to have a features list and to know the budget going in and to work with a great Realtor who will help you check as many boxes as possible in the right neighbourhood, but remember that everything you put on your features list and even community requirements may not ALL be available in one house.  You will need to prioritize as you go through the progress and find the best home for the best price in the best location FOR YOU.

After that, all that remains is the packing.

Real Estate Investors

This doesn’t just apply to families looking for places to call home, but it holds true for real estate investors as well.  Many real estate investors are experts on the deal.  They can structure the offer, arrange the financing and breeze through the paperwork, but they often need local knowledge – especially if they aren’t from the community themselves.

A good investor Realtor will be able to tell you whether the home is underpriced for the neighbourhood and which schools and amenities are nearby.  A great Realtor will work with you to understand your real estate investor needs.

What is the tenant profile you are looking for?  Looking to attract families?  Your realtor should be able to tell you what the demographics of the neighbourhood are – is it attractive to young families, is there a dog park nearby, what are the school options?  Looking to attract young professionals?  Your realtor should know how far the nearest sushi restaurant or micro brew pub is, and what the local nightlife options are.  Students?  What about public transit and walkable shopping?

It might seem silly to think of picking a Realtor based on some of this criteria but how bad would you feel if you bought your investment property and find out a month later the school is a 45 min bus ride and the pickup time for the kids is 7 a.m. and the kids will have nobody to play with on the weekends because everyone else in the neighbourhood are empty nesters.

Posted in General, Home Buyers, Investors by

Curb appeal can make the difference

You cannot underestimate the importance of curb appeal when selling a home.

In my many years of assisting people in their home purchases, I have seen a LOT of folks scratch a home off their list before they even got out of their car based solely on their first impression.  Fair?  Nope.  Reality?  Yup.

Overgrown shrubs, peeling paint, bad curtains, an overflowing garbage can, piles of pet… ‘waste’… I’ve seen it all, and so have my clients.

Don’t put yourself at a disadvantage when selling.  Spruce things up.  Do a cleaning.  Give potential buyers the best impression possible.

Here is an article on DIY Network that offers some suggestions to improve your curb appeal for not a lot of money – under $100 per project, and they can help your home sell quicker or for more money.

FULL ARTICLE

Posted in General, Home Sellers by

Proper Tenant Screening Protects Your Real Estate Asset

The Right Tenant Can Help Your Investment Real Estate Business

The Wrong Tenant Can Cost You Thousands

Years ago it was enough peace of mind for a real estate investor or property manager to just meet someone to get a “feel” for them as a person.  A “what does my gut say” way of screening a potential tenant…

Sadly in this day and age this is no longer a viable way to determine if the ones signing the lease are going to take care of your investment real estate, or put another way if they will take care of your “business asset”.  And really when you look at it, the people you pick are going to be in charge of a substantial investment.

When things go wrong, you had better hope the person in charge of this valuable asset does the right things to deal with the problem, or at very least calls you or the property manager right away because if they don’t it could cost you thousands.  Imagine the damage an unattended water leak can do, or a broken window in the dead of winter.  Think of the potential damage.

To put it in perspective, would you hand over the keys to your brand new $40,000 car to just anybody to take off on a test drive without you there based on a quick gut feel?  Doubtful.  If you weren’t going to go with them then at the very least you would ask lots of questions, verify their identity, maybe take a picture of them and their drivers license before you ever let them get behind the wheel.  Even then I would guess if you are anything like me there will only be a select few who will be given the opportunity to take your baby for a spin.  So why would we hand over the keys to an investment that might be worth 10x that value?

A gut check is an important PART of to the process but let me be clear it is just the start.

First Impressions Are Important Too

Early on in my investing career I met a potential tenant at the bungalow I had just purchased.  It didn’t start well as they didn’t arrive until 20 minutes after our scheduled appointment time when I was getting ready to leave.  I stood in the living room window looking out and watched vehicles as they drove by with none of them stopping or even slowing down.  Just when I was ready to turn the lights out and lock up I see three boys on bikes.  To my surprise they rode onto the sidewalk to come to the front door… now I’m stunned… did I mention it was a snow storm?  And when I say they pulled up on bikes I mean pedal bikes.  And by pedal bikes I mean BMX bikes.

After a brief roll of my eyes, I pull myself together and convince myself I shouldn’t judge a book by its cover.  Just because it is snowing and they are on pedal bikes doesn’t mean they aren’t responsible young men who just happen to enjoy riding bikes in the snow…

The doorbell rings.  I open the door and introduce myself and invite them in.  As they pass me I see the back of their jackets are soaking wet from the spray coming from the rear tire of the bikes and I realize they are even younger than I first thought.  It goes downhill from here.

I follow them around the house and listen to them rave about the beer fridge, the room for the insanely loud sound system and the firepit big enough to fit “everyone from work”.  At the end of the tour they informed me (very politely) that the three of them were representing themselves and three others who intended to share the house.  I thanked them and told them I would be in touch.

As they pedaled away, no doubt arguing over who got the master bedroom and planning their first big house party, I vowed to ask more questions up front next time.

I learned to ask more questions before I book an appointment and that just because someone wants to see the house doesn’t mean I need to take the time to show it to everyone.  A few well worded questions up front could have saved me a lot of time, but then again I guess I wouldn’t of had this story to share with you.

Check And Double Check

But back to the business at hand.  A gut check is an important part of the process but I now never stop here.  If they are good enough to show up (on time) and pass the gut check when I meet them, they move onto step 3.  For me step 3 is getting a rental application filled out.  I don’t use my own rental application but instead use one from Tenant Verification Services.  I like this one because it asks all of the regular questions like full name, employment history and references but it also asks for drivers license and social insurance number and has them to sign that they are authorizing me to do a credit check.  I always take a few minutes to go thru this part and make sure they understand what I will be doing.

This is a very important step as I have found it to often be the tipping point.  If I am on the fence about someone this is generally where the scales lean one way or the other fairly quickly.  You would be surprised how many people panic and start spilling all of the dark secrets – the unpaid phone bills, the furniture from the Brick they bought on the “don’t pay for 18 months” plan and then sold 12 months later and forgot about paying for, the notices from cable companies, and so on.

At this point I need to make a decision are these people still in the running to rent my home or have I learned enough to determine they are not a good fit?  If at this point there are no giant red flags and I am still thinking they could be the ones to rent the house I go back to the office and pick up the phone.

I call the employers past and present, former landlords and references.  If I am still happy at this point then and only then will I do a credit check.  I use Transunion but Equifax is also available and both are great.  You may be wondering why I haven’t done this as soon as I left the house, well it is because this is the step that costs me money.  It is money that is well spent and worth its weight in gold, but I won’t spend it until the free stuff has been gone through.

Once you get the report make sure that you read it and with all of the information in front of you it is time to make an informed decision and get a lease signed.  While you can’t take all of the risk away that you can have a bad experience taking these steps will help to minimize the risk.

Tenants can either keep your real estate asset in good shape or they can cost you thousands.  It’s important to do a proper screening of tenants and that includes references and credit checks.

Posted in General, Investors, Uncategorized by

Alberta Boom = Immigration

Alberta boom a labour-intensive process

BY GARY LAMPHIER, EDMONTON JOURNAL NOVEMBER 23, 2013
Lamphier: Alberta boom a labour-intensive process

Alberta’s low jobless rates, affordable housing and high average wages — about $4 an hour above those in Ontario and B.C. — are the key drivers behind the surge, which shows no signs of slowing.

Photograph by: Colleen De Neve , Postmedia News, file

EDMONTON – If history proves anything, it’s that people will go where there is more opportunity to better their lives. In fact, that’s how Canada was built — through successive waves of new immigrants.

My father’s ancestors moved to this country from Ireland in the 1830s. In the early 20th century, my mother’s mother, then just 18, arrived from England. A few years after the Second World War ended, my wife’s parents moved to Ontario from Italy. As their families grew and prospered, they spread out across the continent and beyond, wherever job opportunities took them.

Today, Alberta is experiencing the latest in a long series of in-migration waves, as hungry jobseekers hoping to build a better life move here from other parts of Canada and abroad.

The province’s population recently topped four million — double the 1980 total — with an army of newcomers arriving from Ontario, Quebec, the Maritimes and British Columbia.

The sluggish pace of economic growth in many other parts of Canada has unleashed a human stampede to Wild Rose Country.

“Interprovincial migration is on the rise, with the absolute number of migrants over the past year hitting the highest level in almost a quarter century,” Robert Kavcic, senior economist with BMO Capital Markets, reported this week.

“Most of them are headed to Alberta, where net inward migration has surged to more than 50,000 people over the past year, the highest on record.”

Alberta’s low jobless rates, affordable housing and high average wages — about $4 an hour above those in Ontario and B.C. — are the key drivers behind the surge, which shows no signs of slowing.

Since thousands of fly-in, fly-out oilsands workers take their fat paycheques home with them to places like Abbotsford, B.C., Sydney, N.S., or Wallaceburg, Ont., you might think these places would be grateful for the injection of wealth.

But that’s generally not the case. Too often, Alberta’s wealth breeds only envy and contempt elsewhere. Indeed, in typically Canadian fashion, some eastern politicians insist the playing field must be levelled.

Instead of supporting Alberta’s booming economy — which generates taxes and wealth for the entire country — they want more public money poured into skills development in their home provinces, as if that will somehow spur equivalent levels of job creation there.

At the same time, they oppose tougher employment insurance eligibility rules, which might encourage workers to go to places like Alberta, where many current job openings remain unfilled.

“I’m for professional mobility, not just geographical mobility,” Conservative Senator and Quebec labour economist Diane Bellemare recently told The Globe and Mail. “I’m not against people going to Alberta. But EI does not promote professional mobility.”

At the same time, federal Employment Minister Jason Kenney has been telling employers in Western Canada that they can’t depend on temporary foreign workers (TFWs) to fill their labour needs.

That may win the Conservatives votes in Quebec, Ontario and the Maritimes, but it’s only bound to dampen growth in the one part of the country that is prospering.

“It’s a dumb thing because, to the extent that Alberta is very successful, it helps to solve some of the issues in Eastern Canada, from a fiscal point of view. So it doesn’t make any sense to not encourage labour mobility,” says Leo de Bever, CEO of Alberta Investment Management Corp. (AIMCo).

“I often fly from Toronto to Edmonton in the evenings, and business class is full of guys who work in Fort McMurray. They come off the flight from St. John’s (Nfld.) and board in Toronto,” he says.

“That is inefficient, but I can see why the oil companies can afford it, because it’s the only way they can fill the labour hole here,” he adds.

“As for the temporary foreign worker problem, I think the feds are just playing politics, frankly, and I don’t think that’s smart. If you don’t like TFWs you can’t at the same time discourage labour mobility, because over long periods of time, that’s what happens. Just look at Detroit, which has lost half its population. You can regret that, but you can’t stop it, ultimately. If I was running a non-political national economic strategy, I would encourage mobility.”

glamphier@edmontonjournal.com

© Copyright (c) The Edmonton Journal
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Alberta is (still) the place to be

Canadian Bills and Coins

Paydays are bigger in Alberta

When people ask us why real estate prices in Alberta have weathered the economic storm better than other places, we tell them that the major reason is that people keep moving to Alberta for jobs and opportunities.

This article from the Globe and Mail explains things:

Canada’s record pay gap: Why so many are leaving home for Alberta

MICHAEL BABAD – The Globe and Mail

Published Friday, Nov. 01 2013, 7:41 AM EDT

Record wage gap

Canadian readers can be forgiven if they missed a key statistic – $6 – because they were riveted by that other news story yesterday.

That $6 figure represents a record hourly pay gap, including overtime, between wage earners in the province of Alberta and those in the east.

Mining trucks sit parked at the delayed Barrick Gold Pascua-Lama project in northern Chile. After its second major writedown in just six months, Barrick is trying to wooing back shaken investors by focusing on assets closer to home.

Data released yesterday by Statistics Canada showed the difference in average hourly wages in Alberta and the rest of the country, but for Saskatchewan, widened again in August.

“Note that hourly wages are now nearly $6 less in Atlantic Canada than in Alberta, the widest gap on record, a factor that has contributed to pushing more than 11,000 migrants out of the region in the past year – a major headache for housing markets, government finances, etc.,” said senior economist Robert Kavcic of BMO Nesbitt Burns.

“Even B.C. is seeing the wage gap approach $4/hour versus Alberta, and not coincidentally is also seeing a decade-high net outflow of workers.”

Average weekly earnings, including overtime, rose in Alberta in August to $1,117.68, according to Statistics Canada, the highest in the country but for the Northwest Territories.

Compare that to Nova Scotia, where those paycheques fell to $809.31.

According to a recent study by Toronto-Dominion Bank, Alberta and Saskatchewan were along among Canada’s provinces in drawing in people between 2010 and 2012. All other regions saw people leave home.

Last year, for example, more than 100,000 people flocked to Alberta, while 56,000 left the province. That brings the net inflow to just shy of 46,000, or 1.2 per cent of the population of the home of the nation’s oil industry.

Alberta and Saskatchewan also boast the country’s lowest unemployment, at 4.3 per cent.

“Consistent with general perception, the destination of migrants is increasingly the greener economic pastures of Alberta and Saskatchewan,” said TD economist Jonathan Bendiner.

“Indeed, Alberta, which accounts for 11 per cent of the national population, managed to attract over 100,000 in-migrants (almost one-third of total migrants) from other provinces in 2012 – a higher reading than compared to the heyday of the oil boom in 2005-06.”

Source Article

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