High Interest rates make for a balanced market.
The high interest rates are having an impact, and the housing market is feeling it. From the latest REBGV monthly stats: “The month-over-month price gains seen earlier this year abated in the Metro Vancouver housing market in September due to a seasonal decline in sales and a modest increase in inventory levels across the region.”
Locally, home prices have remained quite resilient but as long as rates remain high, there will be downward pressure on prices. These interest rate pressures were very apparent in two Canadian Cities last month. Sales in Toronto were down very significantly but compared to Calgary their sales were at record highs. Vancouver has avoided a downturn and there are now indications that interest rates may have reached their peak – can you imagine what happens to housing values when rates start easing! There’s a saying I like: ‘buy when everyone is selling and sell when everyone is buying’.
Banks have also felt the impact of higher rates. Mortgage volumes are down significantly and many of the banks are already beginning to explore ways to make up for the falling revenue. I’m not sure if there has ever been a more challenging time to borrow money from a bank.
We can help and here are some NEW solutions:
Common sense approvals with lenders that think outside the box and can get you prime rates.
A ‘No monthly payment’ options.
You can access your home equity of up to 85% of appraised value.
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Improved rates and fees.
Did You Know?
In BC: About 3,000 eligible homeowners will be offered forgivable loans of up to $40,000 to help pay for construction costs for basement suites, garden suites or laneway homes on their property. We have plenty of lenders that can help you finance this type of project.
Want to learn more? Contact Tony today.