Search This Blog

25 January 2011

Home Values - Will they go up or down?

Some interesting facts
The national average home price in December was $344,551 — up two per cent from December 2009. The Canadian Press 01/14/2011

Many experts are advising that Canadian home prices are overvalued by 14%. “the average price of a home has risen by almost 23 per cent since the cyclical low of January 2009, and about 7 per cent above recession levels. As a result, at least 1.5 million homes across Canada are overvalued, particularly in western Canada, and a price drop of 5 to 10 per cent over the next 12 months would not be unlikely”, said Benjamin Tal of CIBC.

In case you have forgotten the depth and velocity of the previous market reversal when Canadian real estate prices plunged in 2007-08; householder equity vanished as follows: (SFD single family dwelling)
• Average Vancouver -SFD lost $122,900, or 15.9% in 8 months
• Average Calgary -SFD lost $92,499, or 18.3% in 18 months
• Average Edmonton -SFD lost $78,719, or 18.5% in 21 months
• Average Toronto -SFD lost $55,055, or 13.8% in 9 months
• Average Ottawa -Residence lost $25,664, or 8.6% in 6 months
• Median Montreal -SFD lost $6,000, down 2.6% in 6 months
• http://www.chpc.biz/

Extracted from an email by April Morin

No comments:

Post a Comment

Mortgage Alliance Oac Mortgages

As a registered franchise of the Mortgage Alliance Network, we have a number of mortgage professionals who can bring you the choice, convenience, and counsel you need to get the RightMortgage®. Working with over 40 lenders (some offered exclusively through brokers) we'll provide unbiased guidance in your mortgage decision.

We are legislated by the Ministry of Finance FSCO and our brokerage license is 10928.

We are dedicated to educating our clients about their mortgage! We want you to be well informed and comfortable with the mortgage you have and the options available to you. This blog is intended to offer information, updates, current mortgage products and current rates.

Please provide your feedback and let us know if there is anything else we can provide to help you in your mortgage process.