Canadians are now optomistic about purchasing a home
According to The Royal Bank of Canada; almost two thirds of Canadians think now is the right time to buy a home despite the ongoing global recession.
65 per cent of people in Canada term the current housing sector a 'buyers market.' More than a quarter of Canadians said they would look to buy a new condo or house within the next two years.
Karen Legget, head of RBC's Home Equity Financing centre said 'the current economic environment does not appear to have dampened Canadians' overall confidence in the housing market."
"Canadians continue to have an overwhelming belief in the long-term value of a home and we're seeing this in the buying intentions of many first time homebuyers this year," she said.
Indeed, the current interest in purchasing a new home was four percentage points higher than the 23 per cent for the same time in 2008 and is at its highest level since 2007.
Falling home prices
One reason for the relatively positive outlook among Canadian homeowners and potential purchasers was the belief that slumping home values will drop even further in 2009.
More than half - 54 per cent - of Canadians said they think housing prices will be lower this year than they were at the end of 2008.
Cheaper prices combined with falling interest rates - down 50 basis points after March's rate cut by the Bank of Canada -indicate that people believe they will be able to pay less for a relatively valuable asset that will begin rise in net worth as the economy recovers.
This highest number of Canadians who think it is a great time to buy are people living in British Columbia where 78 per cent believe it is a buyers market and 26 per cent will buy a new home in the next two years.
For more information on the Vancouver housing market contact:
Peter Raab
Vancouver real estate agent
Specializing in buying and selling houses and condos in Kitsilano, downtown Vancouver, Fairview, Vancouver's westside
Labels: Vancouver market update, housing bubble vancouver, Real Estate update Vancouver
