Rainwater guttering systems are designed to channel water away from a buildings base to protect its foundation. They also help to reduce erosion, prevent leaks in basements and crawlspaces, protect painted surfaces by reducing exposure to water, and provide a means to collect rainwater for later use.

Popular materials for guttering systems include metal, GRP, copper, zinc, plastic and timber.

Rainwater gutters collect water from the roof and drain it down a leader pipe to the bottom of the building where it is collected or directed to a drainage system. A barrel may be used to collect water from the guttering system.

Rainwater Systems are made up of the following components:

Gutters - the horizontal pipe that sits on the roof edge and collects the water as it drains off the tiles. Many different finishes and shapes are available in a guttering systems. The shapes are referred to as profiles.

Pipes - used to drain the water from the roof level to the ground. The down pipes needs to follow the contours of the building so are made up of sections connected by a series of joints.

Hoppers – down pipes from different areas of the roof line can meet at a junction called a hopper where they are joined into a single pipe.

Accessories - brackets, clips, ends and outlets are used to connect the rainwater system together and to secure it to the building.

Rain gutters can be equipped with gutter screens, louvers or solid hoods to allow water from the roof to flow through, while reducing passage of roof debris into the gutter.

Most modern guttering requires no maintenance other than periodical cleaning out. Water can leak down the side of the building if the gutters become blocked or clogged up. Blocked gutters can also lead to stagnant water build up which allows grasses and weeds to grow in the gutter.

Have you ever wondered what it really is that can explain the changes in property prices? In the next article, I will try explain the main factors behind the property prices’ shifts. I am writing from many years of experience as a Toronto realtor.

Watching the trend

How to determine the next price move? How to determine when is the most appropriate time for an investment? The majority of buyers will keep their eyes on the previous direction of prices. To say it differently, what buyers expect is mostly affected by previous movement. Should prices go up, they will expect a similar growth to go on, and visa versa. Sadly, this method has not much in common with important factors that determine the price, but yet it is often practiced. Relying on this method alone can result in very painful experiences, just as we saw not too long ago.

Primary economic factors

Which economic factors in principle is then responsible for creating the price?
- Economic growth
- Nominal interest rates (before inflation) and structure of mortgage products
- Inflation
Let’s look at these factors in more detail.

Economic growth

Strong economics will have a good impact on business every where and real estate is no exception to this. One reason is that strong economics will positively increase the prices of property as it reassures buyers that the demand for housing will keep on growing, their property will increase in value and they will be able to make profit when passing it on again. The BIS Quartely Review states that for every 1% increase of GNP, a 1% to 4% increase of property price can be expected in the following 3 years.

Nominal interest rates and structure of mortgage products

For the property prices to grow you firstly need plenty of eager buyers. One implication of the fact that house lones have to be arranged when anyone wants to buy property, is that there will be many buyers who will go rather for houses with interesting mortgage products that includes low nominal rates. According to the mentioned source, a 1% drop in the nominal interest rate can be linked with 1/2% to 1% rise in property prices after 1 year. Similarly, buyers get easily influenced by the smallest increase in the nominal interest rate which in reaction causes a settling of property prices. But there are exceptions to the rule. For instance - a credit crunch occurs when official interest rates become of less importance and the loan market gets driven by different factors. It concerns the real estate market as well.

Inflation

Property prices are strongly influenced by the rate of interest while changes in interest rates are influced by inflation. When inflation is high it affects every country in a different way. Countries that see investing into property as balancing the inflation, will have their property prices increased by higher inflation (for example Germany). Such countries may be characterized with fixed interest rate loans with no equity withdrawal. On the other hand, high inflation has a negative effect on property prices in countries by either floating interest rates like the UK, or fixed interest rates with equity withdrawal, for example the USA.

Conclusion

Every rule has an exception and numbers and values mentioned don’t have to suit your neighborhood. The realtor has got to see the exceptions and differences. It is, however, important to realize that there exists a general system by which real estate prices are created on the market. Don’t let shallow attitude get thebetter of you. Think about every aspect of the market.