Think Canada Home Prices Are Rising Too Fast and Will Continue to Accelerate in 2017
Canada is the developed North American country and one of the top five livable countries around the world. The education system, Medicare, well economic condition and natural beauty those make Canada most attractive place for living.
It was anticipated that oil’s price sharp decline which would hold some negative consequences for the booming housing market, this plunge’s effect on Canada’s other booming markets: Toronto and Vancouver.
Rising mortgage rates and increasing demand but less supply, as well as a dearth of affordable, existing homes on the market, are expected to lead to a little increase in sales in 2017, under the latest quarterly survey of National Association of Realtors. Existing house prices are expected to rise up to 4% in 2017, but it was slowing down just a bit from 5% in 2016, according to NAR.
In 2016, it was an amazing year for home sales in the greater Toronto area. According to the TREB, the market report showed that home sales grew 8.6% year over year. The annual rate of growth in the TREB market swift to 21% in December to an average of about $730,000 for all properties and separated homes rose to an average of $1,016,145.
But now the question is, what drives the Canada housing market? Or will it sink to the same fate as the Vancouver region? If you are a buyer, you are wondering which towns and neighbourhoods to focus on and whether this market will tank. If you are a seller, you are wondering if you are going to miss the biggest payday of your entire life by not selling. If you are close to retirement, you might want to carefully review your choice not to sell. Because 2017 is a prime time for you to sell and move onto a better life.
There are some good reasons to Drive the raising trend in 2017 Canada housing market.
- Increasing demand from buyers who have rent before.
- Canadian government impose some restrictions on development land for housing projects.
- There is a severe deficit of housing stock in the GTA region.
- NAFTA free trade deal and synthesis for Toronto’s automakers.
- Day by day interest/mortgage rates is rising.
- Land transfer taxes in Toronto and Ontario.
- Good rates of employment and income.
- Increasing the number of Asian and Persian home buyers and investors in Canada.
- Consumer credit ratings and debt loads
- More people moving toward Vaughan, York Region, and Central Toronto, it should drive the demand even higher for 2017.
- More foreign investors are interested in buying property in Canada.
Still now, the majority of the household’s survey found that they still believe that it is a good time to buy a home. That is the reason for rising housing prices still continuing to go up and making affordability an ever-bigger challenge for all.