In the past few days I was reading articles that are attempting to predict Canadian Real Estate for 2014. The truth is that nobody knows the future. However, I couldn’t help myself to create my own list of top 3 Real Estate predictions for 2014.
1. The real estate market won’t crash. Contrary to many opinions from “industry experts,” there will not be a crash in Real Estate in B.C.
2. New mortgage rules. Expect more rule tightening in 2014 designed to reduce mortgage
risk for lenders, and make the home purchase less affordable or:
3. Interest rates will go up or they won’t. Hybrid mortgages will grow more popular. Economists and government officials have been warning us of higher rates for four years. So far they’ve been wrong, and now many consumers aren’t sure what to believe. More Canadians will hedge their rate bets with hybrid mortgages (part fixed and part variable).
I hope you can read between the lines and sense bit of humor in these predictions. My opinion is that 2014 will not be much different then 2013 was. I am anticipating balanced market conditions with slight price fluctuations based on seasonal tendencies.
Happy New Year!