Well, this is an alarming situation keeping in mind that most of the investors are triggers by the high prices but with this information gaining more light, it is becoming increasingly difficult for them to judge the future of the real estate market.
This uncertainty is supposed to negatively impact the market, but contrary to beliefs, this is not the case but rather the boom keeps on going over the top and only time will tell whether this is a bubble that would burst or just an illusion created by the market conditions.
The Methodologies of the Research that Took Place:
These findings are based on many research methodologies including The Real Estate Investment Network’s Economic Turmoil Formula and Real Estate Cycle Scorecard. Both resources highlight rapidly evolving changes of the underpinning economic fundamentals affecting real estate markets, such as GDP, employment, and population. The report indicates the continued impact of COVID-19 on these driving indicators has moved most markets further into the slump phase.
The Real Estate Investment Network’s COVID-19 Special Edition: Real Estate Cycle Update produced real estate cycles for three provinces:
British Columbia – Beginning of slump
Alberta – Beginning to middle of a slump
Ontario – Beginning of slump
As well as five major cities:
Vancouver – Beginning of slump
Calgary – Beginning to middle of a slump
Edmonton – Beginning to middle of a slump
Toronto – Beginning of slump
Ottawa – Beginning of slump
While others suggest hot markets in major Canadian cities, The Real Estate Investment Network research shows these may all turn out to be just hype.
“At first glance, it might look like the data is pointing towards a market boom because, in many key cities, real estate values have been, and continue to, increase. But this is all smoke and no fire. This is is a common misconception since characteristics of the boom and slump phases of the real estate cycle sometimes overlap and can be confusing to many if not most people,”
explains Jennifer Hunt, Vice President Research,
The Real Estate Investment Network.
“When looking ahead, the signals indicate markets are further entrenched in the early phases of the slump, so homebuyers and investors are wise to proceed with caution.”
What is the Real Estate Investment Network
The Real Estate Investment Network is the sum of numerous parts. Founded in 1992, it has since been the most trusted, unbiased real estate investing resource for education, research, and investment strategies.
For over 28 years, The Real Estate Investment Network has been at the forefront to change the conversation about real estate investing. A vigorous combination of meticulous research and analysis, brass tack economic fundamentals, strategic investing systems, exceptional market specialists, and solid industry leaders all contribute to world-class, relevant education and development, access to all real estate investors.
Conclusion:
I am not sure how are you going to take this research but one thing is for sure that there is some merit to it. Knowing full well the current state of the market and making decisions that might not be traditionally accepted in the current market situations.
But everything kept apart is something that is going to set a new trend in markets where things are not keeping up with tradition and are more determined by the prices of commodities.
TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.
The S&P/TSX composite index closed up 93.51 points at 23,568.65.
In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.
The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.
The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.
The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.
This report by The Canadian Press was first published Sept. 13, 2024.
OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.
The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.
The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.
The personal and household goods subsector fell 2.5 per cent to $12.1 billion.
In volume terms, overall wholesale sales rose 0.5 per cent in July.
Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.
This report by The Canadian Press was first published Sept. 13, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 172.18 points at 23,383.35.
In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.
The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.
The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.
The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.
This report by The Canadian Press was first published Sept. 12, 2024.
