Fall Market Update
On Tuesday, November 12 Centum Mortgage Partners was invited to CMHC's Information session on First Time Home Buyers and Housing Market Update. We really appreciate the information provided by CMHC as it helps us help our clients!
Here are a few interesting points as they relate to the housing market:
- CMHC has adjusted their risk model since getting more comfortable with new lending guidelines and are happy to report they are approving more business! This was good to hear because in the past number of months, we've felt their guidelines had tightened substantially.
- Did you know, the average sale price for a home continues to increase, but at a more moderate pace than what was recorded annually during the last decade.
- We are now firmly in a BUYERS MARKET!
- The average sale price of a home in the Charlottetown area is at $280,000
- In the last 4 years, more multiple units have been built in Charlottetown than in the previous 18 years! Which equals high current vacancy rates.
- Employment growth remains strong
- International migration to PEI is slowing and out-migration to Alberta is increasing
- Did you know...Calgary has more housing starts per year than ALL of Atlantic Canada!
- Consumers have preferences for high end homes.
- Based on market data, if you pay 5% down on your home purchase it will likely be 8-10 years before you will have enough equity to refinance!
We hope you found this information interesting and if you would like any additional details about the local market or the economy, we would be happy to chat! Contact your Centum Mortgage Partners here
Posted by Kim Reddin
on November 20, 2013