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CMHC’s forecast a stretch on higher January starts

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Real Estate Professional | 09 Feb 2015, 10:16 AM Agree 0
It could take a little while before the Canada Mortgage and Housing Corp.’s recent predictions of a calmer housing market come to fruition, as the latest starts data shows a slight rise in seasonally adjusted starts.
  • Gurnam Panesar - ReMax | 09 Feb 2015, 12:19 PM Agree 0
    I don't see any effect on prices. My client made an offer on a house in Mississauga near square one. 4 offers. SOLD $25,000 more than the asking price, last week.
  • | 09 Feb 2015, 12:45 PM Agree 0
    Oil price will affect housing prices ONLY in Alberta and possible the prairies and Newfoundland. Ontario, BC and Quebec couldn't care less. I wish people would stop associating housing and oil. In fact, lower oil prices are really beneficial for those living in provinces that are not oil dependent. We now have money to spend on something that useful, not just on gas.
  • Peter B. | 09 Feb 2015, 01:11 PM Agree 0
    The issue with oil, although a large one for federal tax revenues, is moderate for just about every other province, at least in regards to economic stability. Yes, Alberta is showing the loss and the Alberta taxpayers may have to pay a bit more out of their pay stub but for the rest of the country, mostly positive. My annual gas (auto) bill nears $3000 at the $1.30 price point so if it stays at $1.00, I save about $1000. That goes back into the economy as most of us simply have more bills than ability to save.
    The main issue is the differences in economy between Alberta (and NFLND) and the rest of the country, except perhaps for the northern territories and Provinces, Canada ongoing weekness has been in the lagging manufacturing areas.
    Jobs are farmed out to other countries (Wrigleys moving from Toronto to U.S., etc.) means less manfucturing and office work and more part-time and commission work. Hence, no benefits to speak of and no guaranties of income.
    This over-supply of workers is leading to a downward pressure on wages and as the banks have shown, by announcing they are cutting back (although still very profitable) BUT will be rehiring (likely at lower wages), the corporations that run and ruin this nation are more than willing to take advantage of the situation. The only reason there is a positive outlook is because most of the world's cheaper jurisdictions just do not have oil as a backup commodity so as oil prices stabilize, the related work environment will as well. If cheap synthetic oil is ever invented, you can pretty well guarantee that THAT work will also make it's way to cheaper jurisdictions and that's when the S*** will really hit the work fan. How many greeters does Wal-Mart need? It's not just about oil.
    As always, please ignore spelling errors.
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