Selling your home?
The market’s in your favour
Hoping to sell your home? Thanks to the current sellers’ market we’re seeing, the timing couldn’t be better for those looking to put a "SOLD" sign on their front lawn.
Unlike early 2009, when slumping prices and sales made it a buyers’ market, recent figures from the Canada Mortgage and Housing Corporation (CMHC) show that the end of 2009 was once again a sellers’ market. This gives Canadians who are looking to sell their homes a distinct advantage.
Fewer listings + increased sales = seller’s advantage
Towards the end of 2009, the number of new listings slowed — decreasing supply — while the number of homes sold increased — a sign of increased demand. CMHC predicts that these conditions will continue to support growth in house prices.
But that’s not all. Thanks to factors such as increased government support of housing-related infrastructure projects, the Canadian economy continues to recover. In addition, according to the CMHC report, employment will continue to increase in 2010. The result of today’s recovering economy and positive employment rates is an increased appetite for homeownership among Canadians, adding even greater momentum to the nation’s housing market.
Prices heating up
According to CMHC, sales in 2008 for Canada’s most expensive housing markets fell at a faster pace than in other centres; this resulted in a sharp decline in average home prices.
Fortunately, strong price increases in the second and third quarters of 2009 reversed the trend, with the average MLS price in Canada projected to increase by 3.7% to $324,500 in 2010. For information on the outlook for some of Canada’s major cities, see below.
Buyers benefit, too
Buyers stand to benefit from the continued low-interest-rate environment. For potential buyers who already have a home and want to hang on to their current low mortgage rate, your First National mortgage is portable.
Being able to move, or “port,” your mortgage means that if you buy a new home, you can take your existing mortgage, and your rate, with you to the new property. This works to your advantage if your rate is lower than the going rate when you buy your new home.
By porting your mortgage, you’ll also avoid discharge fees associated with breaking your mortgage before the end of your term. Plus, you get the same mortgage features and payment privileges you currently enjoy. Find out more about “porting” your mortgage.
For additional information, visit the Canadian Real Estate Association website.
 |  | ||
| Total Housing Starts | MLS® Sales | MLS® Average Price | |
| 2008 | 19,591 | 25,149 | $593,767 |
| 2009 (F) | 9,000 | 33,000 | $580,000 |
| 2010 (F) | 13,000 | 35,000 | $605,000 |
* Excluding Surrey, Langley, White Rock, and North Delta
 | | ||
| Total Housing Starts | MLS® Sales | MLS® Average Price | |
| 2008 | 11,438 | 23,136 | $405,267 |
| 2009 (F) | 5,550 | 23,150 | $384,500 |
| 2010 (F) | 6,700 | 25,500 | $403,000 |
 | | ||
| Total Housing Starts | MLS® Sales | MLS® Average Price | |
| 2008 | 42,212 | 76,387 | $378,943 |
| 2009 (F) | 27,400 | 82,000 | $392,500 |
| 2010 (F) | 34,200 | 78,000 | $412,000 |
 | | ||
| Total Housing Starts | MLS® Sales | MLS® Average Price | |
| 2008 | 21,927 | 40,441 | $259,033 |
| 2009 (F) | 18,300 | 40,100 | $271,000 |
| 2010 (F) | 18,100 | 40,500 | $279,000 |
 | | ||
| Total Housing Starts | MLS® Sales | MLS® Average Price | |
| 2008 | 2,096 | 6,205 | $229,916 |
| 2009 (F) | 1,790 | 5,550 | $237,500 |
| 2010 (F) | 2,070 | 5,900 | $243,500 |
Source: Canada Mortgage and Housing Corporation (CMHC), Housing Market Outlook — Fourth Quarter 2009; (F) CMHC forecast.
Posts
No comments:
Post a Comment