Springtime in Kamloops

By
Mortgage and Lending with Mortgage Intelligence Mortgage Consulting

I have Tulips growing in my front garden and it is only Late February!!!  Not usual at all.  Fruit trees and shrubs may take the biggest hit, if a late frost occurs or a late winter blast.  Sad results in that case for sure. 

The housing market has been hot as well.  Sunny days seem to bring out the buyers and I have seen multiple offers in many cases.  Asking prices seem to be the starting point for bargaining...the days of $10,000 to $20,000 bids below asking appear to be over.

CMHC has posted predictions that there will be a shortage (read smaller than usual inventory) of housing inventory and that certainly seems to be coming true in the short term.  For Buyers, being preapproved for a mortgage can be the difference between bidding with confidence or losing the house due to lack of financial preparations.  As the market speeds up, buyers will not be able to visit houses 2 or 3 times before making an offer as some listings have sold in the 1st 24 hours!!!

Is it sustainable???  No one really has any experience with the market we are in, the state of our economy or the impact of an HST.  If someone was to tell me that the prime rate would remain unchanged at 2.25%for 1 year, i would have called them crazy...and yet, we will soon pass the 12 month mark.  Unfortunately, there are no past historical incidences like this we can review and evaluate...this is really brand new.  Everybody is a rookie and new rules are being written.  People taking advantage of the low interest rates are extatic with their low payments...5% used to be the rule...now we are below 4% in many cases!!!  Not bad, this uncertainty thing has a few advantages ;).

So, TODAY, we find a hot market, excellent interest rates and no indications this will change.  If you are considering a purchase, I am happy to assist with all your financing needs.  Looking for a second opinion?  I do that too.  Call or email~

Steve Bucher

mortgage intelligence  250 682 6077 steve.bucher@migroup.ca

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