2010 Real Estate Forecast

CANADA’S REAL ESTATE MARKET EXPECTED TO CONTINUE STRONG GAINS INTO THE FIRST HALF OF 2010

Demand and supply finding balance in the second half of the year
TORONTO, January 7, 2010 – Canada’s residential real estate market is forecast to remain unusually strong through the first half of 2010 as economic conditions across the country improve and the stimulus impact of low interest rates continues to stoke demand, according to today’s Royal LePage House Price Survey and Market Survey Forecast. As confidence in the recovery builds in early 2010, increases in average house price levels and overall market activity are expected to continue. The gradual erosion of affordability driven by higher house prices and the expected late-year modest upward movement of interest rates, together with an improvement in listings supply as confidence improves, are expected to bring the market back into balance in the second half of the year, when home price increases are expected to moderate.

“The Canadian real estate market enters 2010 with considerable momentum from a unusually strong finish to the previous year, said Phil Soper, president and chief executive, Royal LePage Real Estate Services. “The stimulus effect of low borrowing costs has contributed to a sharp rise in demand that has driven activity levels to new highs. This demand, coupled with a typical seasonal undersupply of homes for sale, should cause home prices to continue to appreciate significantly during the early months of the year. Improving supply as the year unfolds and easing demand as the cost of home ownership rises should moderate home price increases in the second half of 2010.”

In contrast to the difficult months during the worst of the recession, house prices appreciated during the later part of 2009, with fourth quarter price averages surpassing averages from the fourth quarter 2008. The average price of detached bungalows rose to $315,055 (up 6.0%), the price of standard two-storey homes rose to $353,026 (up 5.2%), and the price of a standard condominium rose to $205, 756 (up 6.4%). The first two quarters of 2009 saw significant year-over-year price declines across the housing types surveyed and the third quarter provided the first signs saw a strong rebound in Canadian home values.

Regions that saw the strongest declines during the recession are now showing marked gains. Those regions include Toronto and the Lower Mainland, B.C. Vancouver in particular experienced a robust quarter, with home prices rising across all housing types surveyed.
“No other sector of the economy has been as highly affected by economic stimulus as housing,” commented Soper. “As consumer confidence has improved, Canadians have shown a lingering reluctance to acquire depreciating assets such as consumer durables, but have embraced the opportunity to invest in real property. Predictably, the regions benefiting most from this renewed interest in home ownership are those with lower average house prices and strong economic confidence, such as Winnipeg and parts of Atlantic Canada.”

Soper added, “Our forecast is built upon an expectation that interest rates will ease upward before the year’s end, which should have a dampening effect on demand, allowing it to come into balance with the supply of resale homes on the market. Further, we expect to see an increasing number of homes listed for sale as the year progresses – as Canadians regain confidence in the economy, they should be more willing to enter into a large financial transaction such as the sale of a home.”

REGIONAL MARKET SUMMARIES

Halifax saw varied gains across all surveyed housing types in comparison to fourth quarter 2008. Notably, more affordable homes posted the highest price increases due to the influx of workers returning from Western Canada.

Montreal saw strong gains this quarter as year-over-year price levels rose across all three housing types surveyed. Recent increases in demand have resulted in lower than normal inventory levels. Inventory levels are expected in increase in 2010. Continued demand is expected to result in moderate price levels.

House price levels in Ottawa are moderately higher this quarter compared to fourth quarter 2008 across all housing types surveyed. Fourth quarter sales activity did not slow as expected, and the demand has resulted in higher incidences of sellers receiving multiple offers, an unusual occurrence in end of year activity for this region. While inventory levels are low and there is competition among home buyers, this may abate as the government eases economic stimulus in 2010.

The Toronto market saw year-over-year price increases across the housing types surveyed in the fourth quarter. Of particular interest is the increase in sales of higher-priced units, which were hit hard by the recession over the previous 12 months. There was a surge of first-time buyers active in the market last year, depleting the inventory of entry-level units. They are expected to be joined by move-up, executive, and luxury buyers in the coming year, resulting in additional price appreciation.

Winnipeg saw some of Canada’s largest home price increases this quarter. More than one third of homes sold in the region went for above their asking price driven largely by first time buyer activity. This strong growth is expected to continue well into 2010.
Inventory levels in Regina are low, as much as thirty per cent lower than expected for this time of year; this situation should be corrected in the spring of 2010. House prices should continue to increase into 2010, driven by labour force growth in the construction industry.
Price levels in Calgary remain constant as the market is correcting from the record growth seen in the middle of the previous decade. Inventory levels are one quarter the levels seen in 2008, and the reduction in choice has delayed purchases. Activity and price levels are expected to increase modestly in 2010.

House price levels in Edmonton are also still correcting from the 2005 to 2007 boom. Low inventory levels have provided some price support, and activity is expected to increase in the spring of 2010.

Vancouver saw significant gains in price levels, with average increases of approximately ten per cent across the housing types surveyed. Inventory levels are beginning to decrease, and there has been an increase in sales involving multiple offers. Sales activity may drop off due to the city’s focus on the Olympics in the first quarter, but the market is expected to be robust for the remainder of the year.

Royal LePage’s quarterly House Price Survey (Q4 2009) shows the annual change of prices for key housing segments in select national markets. Click here to view the chart (.PDF).
The Royal LePage Survey of Canadian House Prices is the largest, most comprehensive study of its kind in Canada, with information on seven types of housing in over 250 neighbourhoods from coast to coast. This release references an abbreviated version of the survey, which highlights house price trends for the three most common types of housing in Canada in 80 communities across the country. A complete database of past and present surveys is available on the Royal LePage Web site at www.royallepage.ca. Current figures will be updated following the complete tabulation of the data for the fourth quarter. A printable version of the fourth quarter 2009 survey will be available online on February 5th, 2010.

Housing values in the Royal LePage Survey are Royal LePage opinions of fair market value in each location, based on local data and market knowledge provided by Royal LePage residential real estate experts. Historical data is available for some areas back to the early 1970s.
About Royal LePageRoyal LePage is Canada’s leading provider of franchise services to residential real estate brokerages, with a network of nearly 14,000 real estate professionals in over 600 locations across Canada. Royal LePage believes in the importance of giving back to the community and is the only Canadian real estate company to have its own charitable foundation. The Shelter Foundation is dedicated exclusively to funding women’s shelters and violence prevention and education programs. Royal LePage is managed by Brookfield Real Estate Services, and is part of a brand family that includes Royal LePage, Johnston and Daniel, and La Capitale Real Estate Network. An affiliated company, Brookfield Real Estate Services Fund, is a TSX listed income trust, trading under the symbol “BRE.UN.”

For more information visit www.royallepage.ca.
For further information, please contact:
Tammy GilmerDirector, Public Relations and National CommunicationsRoyal LePage Real Estate Services416-510-5783

Olympic Winter Games in Vancouver

2010 Winter Olympics
XXI Olympic Winter Games
The 2010 Winter Olympics logo,named Ilanaaq the Inukshuk.
Host city
Vancouver, BC, Canada
Motto
With glowing hearts/Des plus brillants exploits[1]
Nations participating
80+ (projected)[2]
Athletes participating
5,500 (projected)[2]
Events
86 in 7 sports
Opening ceremony
February 12
Closing ceremony
February 28
Stadium
BC Place Stadium
The 2010 Winter Olympics, officially known as the XXI Olympic Winter Games or the 21st Winter Olympics, will be held on February 12–28, 2010, in Vancouver, British Columbia, Canada, with some events held in the resort town of Whistler and in Richmond, a Vancouver suburb. Both the Olympic and Paralympic Games are being organized by the Vancouver Organizing Committee (VANOC). The 2010 Winter Olympics will be the third Olympics hosted by Canada, and the first by the province of British Columbia. Previously, Canada was home to the 1976 Summer Olympics in Montreal, Quebec and the 1988 Winter Olympics in Calgary, Alberta.
Following Olympic tradition, then Vancouver mayor Sam Sullivan received the Olympic flag during the closing ceremony of the 2006 Winter Olympics in Turin, Italy. The flag was raised on February 28, 2006, in a special ceremony, and will be on display at Vancouver City Hall until the Olympic opening ceremony. The event will be officially opened by Governor General Michaëlle Jean.[3]

Please check: http://en.wikipedia.org/wiki/2010_Winter_Olympics

Jump Start your Real Estate Career

My dream came true!!! I have my very own first ebook and im selling it online with 24 cds of complete new real estate trends to make you the next top producer.

If you are new to the business this is a must to own 'coz you can beat the veterans with your new knowledge and easy to practice marketing. And if you have been in the business for a decade, you must own the cds to update you with the newest trends in real estate marketing.

Please check:

http://www.optimumsuccess.us/


Writing an ebook is easy especially if you know the topic that you want to write. This is my second internet product. The third one is on the making now and hopefully will be online before the end of the month. The Optimum Success website took me 4 straight days to make with all the paypal link and cd downloads that i organized. Now i can relate to those internet marketers who are multi-millionaires now. They said it takes months or even a year before the fun begins--when the money is pouring and it never stops. I am challenge and that is why i made some products online and see that it works. I will be posting more updates about this experience.

Back to Real Estate...

To your success,

G.Brewster

Recession? Where?

The number of U.S. foreclosures hit a record-high 2.8 million properties in 2009, according to RealtyTrac, a 21 per cent jump from 2008. Foreclosures will continue in 2010 due to an unemployment rate of over 10 per cent and wage cuts.

I was recently in Chicago and spent my holidays with my relatives. From my eye point of view, recession doesn't even exist at all! My nephew who is in his mid 30's owns 3 properties (1 bungalow, a brandnew mansion and a condo) and drives a SUV Mercedez Benz plus another car. He started his own business at the peak of recession in States. His business is very successful and he is helping a lot of Health Industries Professions to get employment.

While he was driving us on his Benz around downtown Chicago, he told us that there was no recession and the media was very exagerated. He said we can listen to news and belive them or not. Of course if you believe them, you lost your power of hope and dreams. As self-development fanatic, i was listening and observing what he was saying. He is a very positive person, smart and follows his instinct. He doesn't allow the environment dictates him and this is why he is successful ni life. I just heard his wife just gave birth to his second child. As you all know, success is from the inside out. Abraham Hicks from The Law of attraction always tell us that we tell a story of what we want to happen and not what it is. We do create our own reality!!!!

While Vancouver is waiting for the Winter Olympic to happen, I'm pre-occupied building my real estate, self employed development internet online marketing that will generate thousands of dollars. In my own world, recession doesn't exist in States or Canada. I chose too!!!!! I have evidence! I saw people shop before and after Christmas in Chicago. The grocery stores and shopping centres were busy everyday. We chose what we want to focus. While the rest listen to news,the others are taking advantage of the economy. Two of my nieces in Chicago are buying Real Estates soon. Another friends of them are looking to buy too. I get calls from investors here--they are buying hotels and residential properties.

Opportunities are all over. Acres of Diamonds (Russell Conwell) are inside us. We just have to reach them!

Happy New Year!

Best Regards,

Grace Brewster
www.gracebrewster.com