Bank of Canada Raises Policy Rate to Address Economic Growth and Inflation
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Blog Post
Residential Market Commentary - week of May 8, 2017
Winona Reinsma • May 08, 2017
Benchmark price up 11.4%.
Everyday we are bombarded by real estate news and the big question, "boom or bust?" I receive a great update from one of my favorite lenders who has terrific mortgage features that favors homeowners. Since these sound bits give me the facts and heads up on what's real out there, I've decided to share these, so you too may cut through the noise and understand what is really happening in our Canadian market place.
"The April sales numbers are out and it is
clear government interventions are having an effect; exactly what
effect, though, is not clear.
In Vancouver the 15% foreign buyers tax appears to have hit the detached single family segment the hardest, for now. Prices are down about 4% since the tax was implemented in August. The decline is led by the luxury end of this segment which has seen prices dip almost 3% since August. Still, the benchmark price for all home types was up 11.4% compared to a year ago.
What the luxury market lost, the condo market appears to have gained. The benchmark price for a condo jumped 16.6% y/y and more than 8% in the past 3 months. The real estate board says the tight supply of entry level and “missing middle” housing means prices are likely to keep climbing even as sales volumes slide."
May 8, 2017, 11:27 AM
by
Joelle Park
Depending on your situation, this can be great news or not so much. If you have any questions, or want to take advantage of the current market place, I would be glad to have a conversation.
To your financial health!
Winona