Daily Market Update

by REP26 Nov 2014
New construction boom ahead?
Office construction has been a boon to the Canadian market, offering up new opportunities to realtors, and according to a new report from Colliers International, the Canadian office construction sector continues to outperform its U.S. counterparts. Colliers International notes that while the Canadian office market is doing well, U.S. development continues to rise. Read the full story.

Revised immigration numbers
A new report from the CIBC reads that immigration number in Canada have been underestimated by around 100,000 as new Canadians continue to play a greater role in supporting the housing market. This is good news for realtors looking for additional clients as immigrants continue to play a key role in demand for new housing in places such as Toronto, Calgary and Vancouver. New immigrants make up 70% of the increase in Canada’s population and as half are aged 25-44, they represent the country’s economic engine with the highest employment levels and the most likelihood of starting families, the report says.  Read the full story.

Canada goes big in U.S. real estate
Canada Real Estate Brokerage Avison Young Inc. has expanded its U.S. reach in a deal with a Miami-based commercial real estate brokerage and property management firm Abood Wood-Fay Real Estate Group LCC. The deal will yield 20 million sq.ft of Florida real estate. The move adds to Avison Young’s profile of properties in the Sunshine State. The acquisition marks the continuation of Canadian investment in Florida, which shows no signs of slowing down. Read the full story.

Affordability improves for some Canadians
The latest Housing Trends and Affordability report from RBC suggests that home ownership became more affordable across Canada in the third quarter of 2014. Thanks to rising household incomes, low and steady interest rates and cheaper utility costs led to the results we’re seeing in Q3, according to RBC Economics research. What’s more, the report notes that resales across Canada increased for the eighth time in the past nine months and sit at the highest levels since early 2010. "A trend that jumped out in the latest data was a further broad improvement in affordability of condos where a strong majority of markets across Canada saw the measure for the segment fall," said Wright. "Condos no doubt continue to be the more affordable ownership option in every market."  Read the full story.

Eastern Canada regains sales momentum
Atlantic Canada has emerged from a 10-year low in Q3 with home resales increasing by 9.2 per cent – the strongest quarterly advance since the first quarter of 2007. Hefty gains were registered in several key markets, including Moncton, Saint John, Fredericton and Halifax. RBC says that affordability measures for the region stand below long-term averages for all housing categories. “RBC's measure for bungalows eased further by 0.3 percentage points to 30.0 per cent; measures for two-storey homes and condo apartments edged slightly higher by 0.1 percentage points to 34.9 per cent and 0.2 percentage points to 24.9 per cent, respectively.” Read the full story


  • by Belinda Lelli bel.lelli@rogers.com, Royal LePage 11/26/2014 1:19:02 PM

    Thank-you for the accurate revision regarding immigration numbers. This is positive news for both realtors and the Canadian economy in general. With the upcoming PANAM games in Toronto, immigration and tourism is bound to increase. We have a vibrant, inclusive, multicultural and dynamic city worthy of continued real estate growth.

  • by Steve 11/26/2014 1:52:23 PM

    The Pan Am games will do nothing for real estate values and sales in Toronto and area. The populace will be frustrated more than ever with the proposed grid lock, highway lane takeover by games officials, street shutdowns, and hotel overbooking for this second rate games show. If you thought there was upset during the G20, watch the security shutdown within the Toronto area when this storm hits. Head out of the sand please

  • by David 11/27/2014 12:35:32 PM

    Real estate values and sales may not be parallel in terms of positive growth. Though sales may increase, the values may go down. If there is too much inventory, and right now it appears to be a market bubble, then all it will take is an interest hike, to correct the market.

    The hard part is recognizing these factors beforehand, such as interest rates, percentage of inventory to buyers, and adjusting the prices accordingly in time.

    Even with a large amount of overpriced inventory, investors will be interested in income producing units. The income or cash flow has to make sense, for them to invest. The price will have to be adjusted accordingly, but even in a soft market, investors are always looking to put their money somewhere.


Is a Toronto foreign sales tax a good idea?