The news you have been waiting for
As I am sure everyone has heard, HUGE mortgage changes early this month shook up the Real Estate market in Canada. The largest change was CMHC reducing the maximum life on a mortgage from 30 years down to 25. This brilliant change effectively reduces the debt Canadians take on when purchasing a home and also helps all of us pay off our mortgages sooner.
This will be a great boost for the market. By reducing affordability to all Canadians, this will direct buyers back towards the condo market, a market that has been largely struggling in the last few years. Being the most affordable market and with many people now only having the availability to enter it, the selling condo owners will be ready to move up into townhomes and detached homes. The changes all bear a positive trail for our housing market long term.
Locally sales have remained stable yet listings are up, driving our area into mostly a buyer’s market. With a few neighbourhoods’ seeing increases in pricing, the summer typically shows a slowdown of overall action, which is normal for the sunny season. Expect to see the new mortgage rules take a minor toll on activity locally, yet my prediction is it will be a great fall for most markets. Although our inventory is trending at historically high levels, sales have remained steady so we’re not seeing significant downward pressure on residential prices overall.
If you know someone looking to buy or sell, rely on a professional who knows the market in and out, and is willing to go the extra step to build strong relationships. When you notice someone who could use my help, please take out your cell phone, look up my number and call me. This way we can talk about the best way to connect your friend with me so they have an opportunity to get the best advice first.