Canadian Real Estate Expectations in 2021
Canadians Should Enjoy The Positive Side Of The Canadian Real Estate Market During Into The 21st Century
The outlook for the Canadian Real Estate market appears to be positive, especially after a record-breaking year that saw homes sold faster than ever in a single year. While this might seem like good news to the average Canadian home buyer who is looking to purchase a house, there are some factors which are bullish on the horizon for the Canadian Real Estate market in the next two years. First, it is anticipated that Canadians will continue to purchase homes through the use of the internet, rather than head down to their local realtor’s office. While many people were turned off by the idea of getting their home purchases online, it is now a necessity for many first-time home buyers. With more home buyers are using the internet to purchase homes, it is expected that the Canadian real estate market will see a large increase in sales over the next two years.
Another good thing for the Canadian real estate market in the next two years is the increasing demand for housing among women. With Statistics Canada releases data which indicates that there has been a significant increase in the number of women living in Canada, it is expected that the demand for housing among women will continue to grow in the future. In fact, it is being projected that there will be a twenty percent increase in the number of women buying homes over the next two years. This growth is projected to continue through the next decade. With this increase in demand for homes among women, it is anticipated that there will be increased competition for homes among women.
Two other factors that are bullish on the Canadian real estate markets are the fact that Canadians are experiencing a shorter housing boom, which has started to decline. The Canadian Real Estate markets are actually experiencing a housing slowdown, but because of the slow start to the housing market, prices have not yet peaked. With that said, over the next two years, the Canadian real estate markets are expected to experience an increase in both new home sales and resales. The increase in resales is caused by higher home values due to the demand, and lower home prices because of the slow start to the market. Over the next two years, Canadians are also expected to experience a migration from cities such as Vancouver and Montreal to more rural areas, creating a shortage of housing in some parts of the country.
Another bullish factor on the Canadian real estate market is the relatively low price of condominiums in the different parts of the country. The low prices of condos have created a booming market in Canada. Over the past few years, condominiums in Toronto and in most other major cities in Canada have experienced unprecedented growth in terms of value, popularity and demand. These condominiums have created a boom in the construction industry and allowed many people the opportunity to own their own piece of property, even if they do not have the money to purchase or own land on their own. As a result, Canadians have become more aware of the potential of owning their own home in Canada, even if they cannot afford to purchase a house right now.
Finally, one of the key indicators on the Canadian real estate markets has been the low interest rates over the last couple of years. Historically, Canadian banks have tended to keep interest rates very low, which have helped to attract a lot of new investment capital from the United States and around the world. Low interest rates have helped many first-time buyers, who were previously not able to afford a house of their own, to make a move and purchase a home. Given these indicators, it is very likely that Canadians will continue to enjoy low interest rates for quite some time.
Looking at the above indicators, it is safe to say that the Canadian real estate market is expected to perform well over the coming year and beyond. With low interest rates, more home construction, and an overall increase in demand for homes in Canada, it is not hard to see how the future could brighten for the Canadian housing market. Even though real estate markets in some countries around the world such as the United Kingdom have suffered in recent times, the Canadian housing industry should be able to weather the storm. As long as the interest rates remain low, there is no reason why Canadians can’t enjoy the benefits of an increased Canadian housing market.