The Hutchens Blog

A panel of distinguished experts in human rights, foreign policy and international law will talk about “reconciling state sovereignty with the global responsibility to protect,” at a forum taking place at the Law Society on April 6, 2009, says Sandy Hutchens.
The event is being held by the Law Society and its Human Right Monitoring Group, and is the first in its Rule of Law Education Series. Event partners are Amnesty International Canada, Canadian Lawyers Abroad, Canadian Lawyers for International Human Rights, Human Rights Watch and Lawyers’ Rights Watch Canada.
Panellists will look at the political, legal and moral questions of humanitarian intervention – when it is appropriate for states to take action against another state to protect people from catastrophe, genocide and crimes against humanity. They will also look at the “The Responsibility to Protect” doctrine produced by the International Commission on International and State Sovereignty, and discuss how it applies to contemporary cases. Panel members include:

• Georgette Gagnon, Executive Director, Africa Division, Human Rights Watch
• The Honourable Harry S. Laforme – Judge, Court of Appeal for Ontario
• Pacifique Manirakiza – Assistant Professor, Faculty of Law, University of Ottawa
• The Honourable Bob Rae – Member of Parliament, Former Premier of Ontario

The panel discussion will be moderated by Sharmini Peries, a journalist with the Real News Network. Following the forum, a reception will be held featuring Anna Maria Tremonti, award winning journalist and host of the CBC’s current affairs program, The Current.

Toronto, ON – The Law Foundation of Ontario is pleased to announce the release of the report “Connecting Across Language and Distance: Linguistic and Rural Access to Legal Information and Services” prepared by Karen Cohl and George Thomson, two public policy experts with justice experience.

The Law Foundation of Ontario commissioned this report because so many of the
grant applications it received identified access to justice for linguistic minorities and residents of rural and remote parts of the province as an area of concern. In addition to its ongoing funding of access to justice initiatives, the Foundation decided to engage in a broader consultation to better understand the problem and to generate recommendations for improvement.

The Connecting Report describes significant barriers to access to legal information and services for people who do not speak English or French and people living in rural or remote areas, reviews efforts in many jurisdictions to reduce these barriers and suggests possible approaches for Ontario. It provides recommendations for improving linguistic and rural access to justice. The Connecting Report recommends strategic investment in the following six areas:

• Improving the capacity of non-legal community organizations to provide legal information and referrals
• A regional planning model for a designated geographic area
• Creation of a network of legal interpreters
• Videoconferencing
• Articling positions for organizations providing legal services to persons isolated by language or distance
• Evaluating the above initiatives and establishing a clearinghouse for information about efforts to address access to justice issues.

Sandy Hutchens welcomes this report which is a valuable resource for all those who are interested in access to justice issues and is now considering the report’s recommendations. It particularly wishes to thank the many community organizations and individuals who participated in the consultation process that led to this report.

Given the weakness in the manufacturing sector, soft service sector employment, and more new entrants to the labour force, the overall unemployment rate is expected to reach nine per cent in 2009. Employment in the goods producing sector continues to weaken largely due to the soft job condition in the London CMA’s automotive sector.
Areas where employment relies on Detroit Three Auto makers, says Sandy Hutchens, are especially hard hit, resulting in plant closures. Some areas in London depend more on Japanese auto makers such as Toyota and Suzuki. Though these manufacturers are not expecting to trim jobs, weak demand for both vehicles and light trucks in the U.S will keep them from adding shifts. While the automotive sector weakens, construction sector jobs have been recovering from the decline during the last quarter of 2008. Infrastructure investments in the London CMA will help boost employment in the con- struction sector.
London’s solid service sector isbrown beginning to show some sign of weakness. After several years of expansion, its growth has slowed due to losses in several service industries. These include education, transportation, accommodation and other services. However, the number of high paying health care sector jobs continues to expand due to more investment in the health care sector in the London CMA.
The labour force in the London CMA will increase by 2 per cent in 2009. In conjunction with recent lay offs in the manufacturing sector, this will result in a higher unemployment rate as more people compete for fewer jobs in the market. Employment in the 25 to 44 year age group generally associated with first-time buying decreased more rapidly compared employment for the 45 to 54 age group associated with move-up buying or the 55 to 64 age group often referred to as empty nesters. First-time buyers accounts for the largest category of London’s population. The deteriora- tion in first-time buyers’ job condi- tions will delay their transition into homeownership.

Migration

With a soft job market, migration is forecast to slow in 2009 in the London CMA. Employment is the major factor for attracting migrants to this region. Much of the migration to London during the past few years was drawn by solid service sector expan- sion. With a softer service sector job market, the outflow of residents is expected to continue, especially to western Canada. There will also be fewer people moving into London from other areas in Ontario.
International migration will slow as well. The impact of slowing interna- tional migration will be more pro- nounced on the rental market. When new Canadians arrive in Canada, renting is usually the most prevalent tenure choice. They would move to homeownership after a few years once they establish a solid work and credit history.

Mortgage Rates

Mortgage rates are expected to be relatively stable throughout 2009, re- maining within 25-75 basis points of their current levels. Posted mortgage rates will increase very gradually dur- ing the course of 2010, reflecting a rise in government of Canada bond yields. For 2010, the one-year posted mort- gage rate will be in the 4.75-6.00 per cent range, while three- and five-year posted mortgage rates are forecast to be in the 5.00-6.75 per cent range.

Even though people are still scared of  the “day after tomorrow”, there are plenty of good news, even in the “cursed” real estate market, if you are looking for them, here is just one example, notes Sandy Hutchens, a Canadian Real Estate Company that not only makes profit, it makes enough to be able to give out dividends:

Canadian Real Estate Investment Trust (“CREIT”)(TSX:REF.UN) today announced its May 2009 monthly distribution in the amount of 11.33 cents per unit (C$1.36 annualized). The May distribution will be payable on June 12, 2009 to Unitholders of record May 29, 2009.

CREIT is a real estate investment trust focused on accumulating a portfolio of high-quality real estate assets and delivering the benefits of real estate ownership to Unitholders. The primary benefit is a reliable and, over time, increasing monthly cash distribution. CREIT owns a portfolio of 160 retail, office and industrial properties.

The amount of paperwork home buyers sign at closing is astounding. Most of those documents will be generated by the buyer’s lender. One of them is the trust deed or deed of trust. It is the document wherein specific financial interest in the title to real property is held by a trustee, which holds it as security for a loan. When the loan is fully paid, the monetary claim on the title is transferred to the borrower. If the borrower defaults on the loan, the trustee has the right to foreclose on and transfer title to the lender or sell the property to pay the lender from the proceeds.

If you have never read a deed of trust, you might have questions about it. After all, it is the security for your loan. It is the document that is recorded in the public records.

A deed of trust contains three parties:

• The Trustor, which is you, the borrower
• The Trustee, which is an entity that holds “bare or legal” title
• The Beneficiary, which is the lender

The deed of trust is an instrument that identifies the following:

• Original loan amount
• Legal description of the property being used as security for the mortgage
• The parties
• Inception and maturity date of the loan
• Provisions of the mortgage and requirements
• Late fees
• Legal procedures
• Acceleration and alienation clauses
• Riders, if any, regarding such clauses as prepayment penalties or terms of an adjustable rate mortgage

What is a Trustee?

Because mortgages do not contain a trustee, many borrowers are confused between a mortgage and a deed of trust. Deeds of trust contain a trustee, an independent third party that does not represent the borrower nor the lender.

• The trustee is an entity, generally a title company, that holds the “Power of Sale” in the event of default.
• The trustee also reconveys the property once the deed of trust is paid in full.
• In the event of a default, the trustee files a Notice of Default; however, in most instances, the trustee will substitute another trustee to handle the foreclosure under a Substitution of Trustee.
• After the 90-day period in the public records, and a 21-day publication period in the newspaper, the trustee then has the power to sell the property on the courthouse steps without a court procedure.
• During the three months following recordation of the Notice of Default, the borrower can redeem the property by making up the back payments and paying the trustee’s fees.
• Once the trustee sells the property at a Trustee’s sale, it is final.

What is a Promissory Note?

Whereas the deed of trust is security of the debt, secured by the property, the promissory note is secured by the deed of trust and is the evidence of the debt.

• The promissory note is a promise to pay, signed by the borrower in favor of the lender.
• It contains the terms of the loan such as the interest rate and payment obligations.
• The promissory note is generally not recorded.
• When the loan is paid, the promissory note is marked “paid in full” and returned to the borrower, along with a recorded Reconveyance Deed.
• During the term of the loan, the lender retains the promissory note.

Trust deeds are the the most common instrument used in the financing of real estate purchases in Alaska, Arizona, California, Colorado, Idaho, Illinois, Mississippi, Missouri, Montana, North Carolina, Texas, Virginia, and West Virginia whereas most other states use mortgages. Deeds of trust can also be for loans made for other purposes but where real estate is used for collateral.

Contractors took out $4.5 billion in building permits in March, up 23.5% from February, halting five consecutive monthly declines. March’s increase came mainly from the non-residential sector in Ontario, Quebec and Alberta.Intentions in the non-residential sector rose 47.9% to $2.3 billion, in the wake of increases in the commercial and institutional components in Ontario, Quebec and Alberta.

In the residential sector, the value of permits advanced 5.0% to $2.2 billion. This increase was the result of higher construction intentions in both multi-family and single-family permits.

Non-residential sector: Increases in both institutional and commercial components

Following a 30.0% decrease in February, the value of the non-residential sector increased in six provinces, mainly as a result of gains in the commercial and institutional components.

In the commercial component, the value of permits increased 45.6% to $1.4 billion. This increase came mostly from higher construction intentions for office buildings in Ontario.

Permits in the institutional component increased 89.2% to $722 million, following a 54.2% decline in February. This increase was largely the result of higher construction intentions for medical buildings in British Columbia and government and education buildings in Ontario.

In the industrial component, the value of permits fell 8.8% to $216 million following a 14.7% increase in February. The decline in March was due to lower construction intentions in Prince Edward Island, Ontario, Nova Scotia and Newfoundland and Labrador.

Residential sector: Intentions up for both single- and multi-family permits

Municipalities issued $817 million worth of multi-family permits in March, up 7.3% from February. Quebec and Alberta accounted for most of the increase, although four other provinces showed higher intentions for the construction of multiple dwellings. In contrast, British Columbia posted a large decline.

Single-family permits halted their eight-month decline, increasing 3.7% to $1.4 billion. Ontario and Alberta accounted for most of the gain.

Municipalities approved 11,305 new dwellings in March, up 10.5%. This was due to a 26.5% increase in multi-family units to 6,479. The number of single-family units approved declined 5.6% to 4,826 units.

Permits up in half of the provinces

The value of building permits increased in half of the provinces in March.

The most significant increases occurred in Ontario (+45.7% to $1.8 billion), Quebec (+30.3% to $1.0 billion) and Alberta (+34.1% to $696 million). The increases were mostly a result of higher construction intentions in the non-residential sector.

Declines occurred in the Atlantic provinces, except for Newfoundland and Labrador, as well as Manitoba and British Columbia.

Permits up in most census metropolitan areas

The total value of permits was up in 24 of the 34 census metropolitan areas.

Permits values increased in Toronto as higher construction intentions in all non-residential components more than offset decreases in the residential sector.

The increase in permit value in Edmonton came from both the residential and non-residential sectors.

The value of building permits in Vancouver fell 42% to $192 millions, the sixth decline in seven months. This was a result of drops in all components except for permits for industrial projects. This report was reviewed by Sandy Hutchens.

CMHC’s study compares different types of neighborhoods located in the Greater Vancouver Regional District (GVRD), based on their proximity to downtown and the types of homes they offer.

Source: Statistics Canada. Neighbourhood types were defined by establishing consistent thresholds for housing types, using data from the 2001 Census. Area boundaries (e.g. central area vs. inner or outer suburbs) were based on definitions established by the Transportation Association of Canada’s Urban Indicator Survey project and refined through discussions with local municipal staff.

Neighborhood Types

Neighborhoods in the central area where homes are mostly high- and low-rise apartments and condominiums, like West End and Yaletown. Neighbourhoods in the central area offering a mix of housing types, like Kitsilano and Fairview. Neighbourhoods in the inner suburbs offering a mix of housing types*, like South Cambie and Riley Park. Neighbourhoods in the inner suburbs where homes are mostly detached, like those found in South Vancouver. Neighbourhoods in the outer suburbs offering a mix of housing types, like parts of Burnaby, such as Metrotown and “the Heights”. Neighbourhoods in the outer suburbs where homes are mostly detached, like parts of Surrey and Langley.

How many rooms are there in the homes?

Homes in suburban neighbourhoods, like South Vancouver, Surrey and Langley, offer more space, in terms of number of bedrooms and total rooms, than centrally located ones, in neighbourhoods like West End and Kitsilano. However, for many residents living in the urban core, a smaller home is a worthy trade-off for being closer to amenities like parks and shopping.

How close are the homes to schools, jobs, parks and other daily destinations?

Homes in centrally located neighbourhoods, like Kitsilano and Yaletown, are closer to certain daily destinations like jobs, schools and access to rapid transit as well as shopping and entertainment than those in suburban neighbourhoods, like Langley, Burnaby and South Vancouver. Proximity to parks is highest in inner suburban neighbourhoods, like in South Vancouver.

Walking, cycling and using public transit are more feasible when these destinations are close to home and when routes for pedestrians and cyclists are pleasant and safe, for example, on streets with slow-moving cars, shade trees overhead and shops or homes beside the sidewalk, rather than parking lots. Therefore people who live in walk-cycle-transit friendly neighbourhoods have more choice in their mode of transportation — they don’t have to take their car for every trip. Walking or biking to get to your daily destinations is excellent for your health and driving less or needing one less car means you save money.

Do people get by with fewer cars or do they drive less?

The study estimates that people living in central area neighbourhoods, like Yaletown and Kitsilano, own fewer cars than those in suburban neighbourhoods, even accounting for the average number of people and income per household. They also drive less for weekday urban trips, like going to work or shopping. Owning fewer cars saves money and those who decide to manage without a car can expect big annual savings. Even car owners can expect to save money by driving less. If you drive 18,000 km per year, the average cost to own and operate a vehicle in Canada is over $9,000 annually.

Do people reduce greenhouse gas emissions by driving less?

Households located in central area neighbourhoods produce fewer greenhouse gases from weekday urban trips, like going to work or shopping, than those in suburban neighbourhoods.

Is there a range of housing choices, so people can stay in the neighbourhood as their needs change?

Centrally located neighbourhoods offering a mix of housing, like Kitsilano and Fairview, says Sandy Hutchens, have the broadest range of housing choices, followed by certain pockets of the suburbs, like parts of Burnaby and neighbourhoods in the inner suburbs, like Riley Park. First, these neighbourhoods offer a broader mix of housing types, including townhouses, high- and low-rise apartments, single-detached homes and semis. Many suburban neighbourhoods, like parts of Langley and South Vancouver, tend to offer a higher proportion of single-detached homes, while central area neighbourhoods, like West End and Yaletown, tend to offer mainly high- and low-rise apartments and condominiums. They also offer significantly more rental compared to owned housing, whereas the outer suburbs have a significantly higher proportion of owned housing and fewer rental options.

A neighbourhood that offers a variety of housing choices is a one where you can stay as your age, family and income change.