Curtis Leibel 780-438-2500

Hello and welcome to the new year – one which many local professionals predict should yield a strong local real estate market.  Because of this, our policy makers are doing their best to ensure we continue to have a balanced market – one that is neither over or under inflated.  With that, here are some real estate news items you can expect to come across over the next year:

1. New stress tests to ensure buyers have sufficient resources to cover their housing fees in the event of rising rates and prices.  The one that is already in place is prospective buyers needing to be able to afford a mortgage at either:                                                                                                                                                                  a) Two percentage points higher than whatever rate they are able to get from a lender,or                                       b) At the five-year average posted rate, according to the Bank of Canada
2. Foreign buyer taxes – with a successful 15% levy imposed on foreign buyers in both Toronto and Vancouver, it is possible to see similar taxes in other booming metropolises being inundated with foreign investment.
3. National interest rate hikes – with interest rates remaining so low for so long, we are destined to see correction over the coming years.  Last year, we saw the Bank of Canada raise interest rates twice in the previous year, with many experts predicting the same for the coming year.
4. Release of sale of home data – since the Toronto Real Estate board was court ordered to release data regarding home sales last year, expect the trend to continue in other markets.

These are just a few of the many hot topics in Real Estate you will encounter over the next year.  If you have any questions, or want talk some more on other ideas and concerns that you think will come up over the year to come, Id be happy to participate 🙂