RE/MAX recently released report reported in The Vancouver Sun, "Threat of global recession to hinder home sales in major Canadian housing markets in 2008 and 2009" cited global economic uncertainty weighed heavily on residential real estate activity in most major Canadian centres.
"The first quarter of 2009 will certainly be a continuation of the trend we're seeing now, with reduced transactions and average prices coming down in Vancouver and throughout British Columbia."
According to the report, some 440,000 homes are expected to change hands in Canada by year's end - a decrease of 15 percent from record levels reached in 2007.
Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada, said that "the nation's housing market performance next year will depend largely on how the country's economy fares at the local, provincial and national levels, but he remains hopeful for gains in 2009".
"The situation is not expected to be remedied until consumer confidence is restored," Polzler says. "We could see a bounce back as early as spring - if inventory levels remain stable, pent-up demand kicks into gear, and lower interest rates stimulate home-buying activity."
Should you buy now or wait a little longer? Home prices in Greater Vancouver are now down 12% to 15% from the peak towards the end of 2007. As home owners, real estate is local and there are challenges when you are buying or selling in today's market:
- as a seller, you want to know how much lower home values will go down.
- as a buyer, you wonder if you should wait for further price reductions.
- as a homeowner, you may be concerned how the present market impacts on your home equity.
- when trading-up or down, how do you manage 2 transactions in today's market.
- as an investors, you wonder whether it is a good time to buy, renovate, and re-sell for a profit.
- as a first-time buyer, you want to know if you can get financing in these uncertain times.
There is no easy answer to the above questions. You have to evaluate you options and find out what is the best action for you. If you like to discuss your needs, you are welcome to contact me at 604-721-4817 or email me with your questions.
 |
Comments(3)