Buying or Selling? Outlining the 2015 Canadian Real Estate Trends
Buying or selling? Looking to buy your first home? Investing in the condo market? Regardless of your real estate goals for 2015, you need to stay on top of the latest trends in Canadian real estate.
Each new year signals a change in the Canadian real estate market. We all want to know – should we have confidence in the market? Is the market going to crash like it has been predicted for years? Is it safe to invest or should I hold off for another year?
What’s the trend for 2015?
According to a new report by consultancy PricewaterhouseCoopers and the non-profit Urban Land Institute, the big trend is downtown living. The report revealed that more Canadians are deciding to stay in urban areas or are planning on moving back.
According to Statistics Canada, the most recent numbers available show that the population of urban centers grew 7.1 per cent between 2006 and 2011.
READ: 6 Questions To Ask Before Buying A Condo
Why is this happening?
There are a number of emerging factors that are impacting people’s decision to remain in urban areas and the downtown core rather than move out to the suburbs as previous generations did, including:
- The changing demographics of people waiting longer to get married, and more young professionals
- The condo market is more affordable than the suburban housing market
- There is an increasing number of young families that prefer the urban lifestyle
- People are enjoying the convenience and advantages of downtown living
- People are more seriously considering quality of living and the cost in time and money of lengthy commutes.
As stated in Gone downtown: 2015 real estate trend, “This continuing urbanization trend has fuelled the condo boom in Toronto and other cities, but some question what will happen as the lifestyles of today’s young urban singles and couples change. Will they move out of the city core in search of larger homes, schools and services, or will they — like their counterparts in other parts of the world — simply adapt to smaller living spaces?” the report asks.
READ: Experts Cautiously Optimistic About Canadian Real Estate Market In 2015
Interest Rates May Be on the Rise in 2015
Many industry experts predict a rise in interest rates from their historically low levels. It’s expected to happen toward the end of 2015, but few think it will hurt the strong Canadian market. A stronger US economy is the main reason for the possible increase, but it’s not something that should worry homeowners or investors in the coming year.
Do you keep up with real estate trends? How much of a role do these trends play in your decision to invest in real estate?