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.
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This type of market brings out the survivors. Those that have put in the time to maintain relationships are going to be just fine, while those that always relied on a supply of new clients will not survive.
Thomas, you are right on the mark. There are all the small things that I do that help feed me daily calls and emails from past clients and new prospects. Blogging about my local real estate market is definitely a positive contribution in attracting online visitors to contact me. Maintaining good contacts with past clients is equally important in their referral and new businesses.
I am blessed to be dual-licensed for real estate sales and home financing. My pipeline is always full, and I have to work on prioritizing my time taking care of business.
"This type of market brings out the survivors. Those that have put in the time to maintain relationships are going to be just fine, while those that always relied on a supply of new clients will not survive."
When you hear stuff like this from realtors then you know the housig market is really that bad. We are in the midst of the worst housing bubble in history. This will be far greater than the one in the early 80s.