Well Monday is the big day. Big in the sense that a new future direction will be determined for our industry. With either direction imposed, it will be a future of uncertainly for our city and industry. The significance of the upcoming vote cannot be underestimated.
What is at stake is the future of Toronto's financial situation, and what is at stake is the impact of any decision on our industry.
What is being proposed by our Mayor is nothing other than an ill thought out solution to the fiscal problems our city faces. Make no doubt about it - our city is in serious financial trouble. Mayor Miller has proposed to have 5% of the population of Toronto ante up 70% of the shortfall in his budget. These numbers alone tell us why this proposed tax is so unfair. To burden one segment of the population and one industry, with this new tax is crazy - plain and simple. One would think common sense would prevail and a fairer solution to our financial problems would surface. After all, isn't Mayor Miller charged with looking out for the best interests of all concerned in our city?
If in fact the proposed Miller Tax is approved on Monday - our industry will survive and home purchasers and sellers will adjust. The impact will be marginal. But that is not really the point in all of this. A better solution to our problems should of been found. That is the job Mayor Miller has be entrusted with. He and his group of supporters have let us down.
Another solution? Raise the level of taxes on all homes in Toronto. Presently people living in Toronto are paying up to 20% less than our friends in outlying areas. Even the playing field.
This new proposed tax will do the opposite, it will give birth to a playing field which will create an advantage to outlying areas, perhaps forcing purchasers to consider other options. I would not like to own a property in the City of Toronto on it's borders. Imagine a purchaser having an option of buying similar properties within eye site of each other, one with the Miller tax and the other without? You do the math - which one would you choose?
Well, they passed it. It's unfortunate the politicians didn't listen to the public outcry. So on any deal written after December 31/07 and closing before February 28/08, in T.O. we are nailed with the new tax. The good news-we should see a flurry of activity before December 31!
Posted by: Cheryl Bower | October 23, 2007 at 07:52 AM