Is The Market Unstable?
Is The Market Unstable?
A few weeks ago the stock market saw its biggest weekly plunge since 2016 with the Dow Jones index falling almost 1,200 points. When stocks and bonds falter it’s only natural to wonder – how does this affect my investments? In a business report for CBC, correspondent Don Pittis took a look at how these changes are expected to affect the housing market, and by extension, you!
So how WILL it affect the housing market? As Pittis points out, home value is remarkably tough to predict, as area trends and other external factors can influence prices. He explains that a better predictor can be the presale market – homes that are bought before being built. Many buyers in this market have seen a severe drop in prices of new homes after they paid a premium. In addition, rising interest rates and the new mortgage stress-test may put off some buyers from taking the plunge.
However, even though the situation might look dire, there are other economic factors that predict a brighter future. Unemployment is low, wages are rising, and Canada is seeing lots of immigration, meaning that even despite the rising interest rates there are likely to be many new buyers and properties entering the market.
No matter what happens, don’t panic! Whether you’re buying or selling, there are ways to make the market trends work for you. A realtor can help you assess the situation and make the most out of whatever the conditions look like, whether that’s taking advantage of a still-favourable market, or knowing when to buy to get the most out of your investment. If you’re feeling the economic uncertainty, make sure to give me a call and together we’ll go over all your options!
As temperatures drop and the snow makes its way into the hills, the opposite seems to be happening for the Kelowna real estate market. Despite our low housing inventory, prices continue to rise! “Home prices in B.C. rose 19% year-on-year in October, but...
The last couple years have been both unpredictable and surprising for all of us, including the Okanagan real estate market. At a time when the world came to a halt, Canadians took this forced pause as an opportunity to re-evaluate their lifestyles and...
Kelowna’s housing market continues to exceed all expectations moving into the fall. Inventories are at an all time low and outside interest has never been higher; a combined effect that continues to drive prices up, as well as new construction and...