Imminent Housing Crash

[Sugarphreak]

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[FraserB]

End of the year, 10-15%. Followed by recovery in late 2016/early 2017

[Sugarphreak]

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[Tik-Tok]

Thanks Obama. :rolleyes:


To the question though. 15%. Though I hope it drops 50%.

[Xtrema]

Since $30 oil didn't pen out. NDP to the rescue! :rofl:

[redblack]

I can't wait to buy a house for $1

[Unknown303]

I can't wait to be a slumlord

[Sugarphreak]

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[Xtrema]

Originally posted by Sugarphreak


I don't think it will go that low, haha


I think he meant assuming mortgage for $1 like back in the 80s and NEP days.

[rage2]

Originally posted by Tik-Tok
To the question though. 15%. Though I hope it drops 50%.
Alberta will be a scary place to live/work if prices manage to drop 50%. :rofl:

[Jlude]

Obviously it won't be great if this does happen, especially 50%... but a part of me hopes it does so I can swoop in like a vulture.

[Sugarphreak]

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[rage2]

Originally posted by Jlude
Obviously it won't be great if this does happen, especially 50%... but a part of me hopes it does so I can swoop in like a vulture.
Yea, but you have to look at the big picture to see what would be happening to cause pricing to drop that much. Obviously, it won't be a huge jump in new inventory bumping up supply, but from demand dropping significantly. An oil crash as well as a subsequent 50k job loss in the province didn't move demand enough to tank housing prices. It would take an economic crash, where we have a significant negative net migration, to spark such a huge drop.

Less jobs, less people, less money, less taxes collected means someone's going to pay for the more promised spending. It's a snowball effect of tax insanity where you won't be able to afford that house at 50% off lol.


Originally posted by Sugarphreak
Anybody considering a move as a result of the NDP?

Moving up / second property if prices drop?
downsizing to mitigate equity loss?
Moving out of Calgary/Alberta?

(This should really be a poll)
I don't think we're really worried about people moving directly because NDP is in power. I'm giving them a chance (really no choice right?) but if they fail, then people will have to move not by choice but by necessity.

As for plans, looking at dumping rentals if things do look bad. I'm pretty lucky that my work isn't based on O&G, Alberta, or Canada at all, so even with a 5 figure increase in income tax alone, I'm in pretty good shape.

[msommers]

If things drop 50% and don't recover, what's the point.

Our province's success is completely dependent on oil prices no matter who is in power. If the market was $100/bbl, no one would be nervous about what's going to happen.

Would the PCs in power have stopped any sort of pricing decline? No, but $45 oil would and did initiate it.

[Jlude]

Originally posted by rage2

Yea, but you have to look at the big picture to see what would be happening to cause pricing to drop that much. Obviously, it won't be a huge jump in new inventory bumping up supply, but from demand dropping significantly. An oil crash as well as a subsequent 50k job loss in the province didn't move demand enough to tank housing prices. It would take an economic crash, where we have a significant negative net migration, to spark such a huge drop.

Less jobs, less people, less money, less taxes collected means someone's going to pay for the more promised spending. It's a snowball effect of tax insanity where you won't be able to afford that house at 50% off lol.
.

Of course, if prices drop by 50%, the problems will run long and deep. It's extreme speculation to say that prices would drop 50%, I would bet against that happening.

Fortunately, I've been diversifying our client base for the past couple of years, so we haven't really felt the slower times in Alberta. Some of our clients haven't been as busy as they were even 1-2 years ago.

[Sugarphreak]

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[Feruk]

I care less and less about the % drop from last year. Since real estate was on a tear January until August 2014, obviously every month will look like a "worse drop" as long as prices stay flat in 2015. But month over month, prices aren't changing much at all. In December they will call a "rebound" because prices were so low last December that the year over year % is negligible. Just stupid.

[Tik-Tok]

Originally posted by Sugarphreak


I don't think it matters anymore though. The NDP has made it pretty clear time and time again they want a big chunk of oil.

They will probably implement a progressive royalty structure that limits profits of O&G companies as a result. Even if oil is 70$, or 100$, or even 150$... oil companies will be making about the same profit; just over break even.



Lol, that's what you truly in your heart believe? Dude, you've gone full retard. They want to stay in power, they aren't going to completely cripple O&G.

And the USA fucked BC's lumber industry, not the NDP (though they didn't help it either)

[Sugarphreak]

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[Jlude]

Originally posted by Tik-Tok



Lol, that's what you truly in your heart believe? Dude, you've gone full retard. They want to stay in power, they aren't going to completely cripple O&G.

And the USA fucked BC's lumber industry, not the NDP (though they didn't help it either)

Did Zen Ops hack his account? :rofl:

[benyl]

^ It's the usual doom and gloom coming from Sugarphreak.


When all these kids who voted NDP and convinced their parents to vote NDP, move back into their parent's houses because they have no job, you can be sure the NDP will be kicked out in 4 years.

The NDP has to move to the center to survive in this province.

[Cos]

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[rage2]

Originally posted by Sugarphreak
NDP is going to totally screw oil companies with heavy royalties... just wait and see.
To be fair, their platform was a review. Completely open ended. For all we know, they could lower royalties!

[liquid1010]

There will not be a housing crash, although I do expect a small "adjustment" of a few percent.

The NDP won't be as aggressive in this province as they have been historically imho due to a multitude of factors:

1. Their MLA's have no credibility or experience whatsoever.
2. A strong/experienced opposition should be able to keep them in line to a small extent.
3. They view this as an opportunity to build their brand Nationally, and collapsing the economy here would be political suicide.

[InRich]

Originally posted by Tik-Tok



Lol, that's what you truly in your heart believe? Dude, you've gone full retard. They want to stay in power, they aren't going to completely cripple O&G.

And the USA fucked BC's lumber industry, not the NDP (though they didn't help it either)


check this out. lol
http://www.bnn.ca/Video/player.aspx?vid=608442

[Cos]

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[roopi]

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[max_boost]

Imminent? Holy chill! lol

Well I downsized and bought a condo. Step 2: Sell my house. I hope I don't sell it for what I paid 10 years ago. :eek: :rofl:

[Tik-Tok]

Originally posted by InRich



check this out. lol
http://www.bnn.ca/Video/player.aspx?vid=608442

So O'Leary isn't going to invest a dime in any company based in Alberta for the next 4 years?

Rrrrrriiiiiiiggggghhhhhht.

[HiTempguy1]

Originally posted by Feruk
I care less and less about the % drop from last year. Since real estate was on a tear January until August 2014, obviously every month will look like a "worse drop" as long as prices stay flat in 2015. But month over month, prices aren't changing much at all. In December they will call a "rebound" because prices were so low last December that the year over year % is negligible. Just stupid.

I don't agree with you often, but you are on a tear lately :thumbsup:

If housing prices corrected to lets say, 2011 levels... how much of a drop is that? Does that mean the end of the world as we know it? Probably not.

[Sugarphreak]

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[Chandler_Racing]

I'm still on the side of minor fluctuations meaning 5 - 10%. A 50% decrease is simply not happening.

No plans to move, the sky is not falling but certainly some fiscal restraint is in order given the NDP's rise and low oil prices.

With that said, I would welcome a 50% decline as I've been eyeing a 'lake front' property in Mahogany. Come to Daddy :love:

[Canucks3322]

It boggles my mind that people like you think the NDP is going to "suck companies dry" with royalty raises.... How much do you run think theyre raising them by? 10000 percent? Geez calm down..

[Twin_Cam_Turbo]

If housing prices dropped 20~25% id be back where I started with the price of my place. I don't think it will get that bad.

[Sugarphreak]

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[max_boost]

Don't scare me Phreak. Let me sell my house first before shit hits the fan. :eek:

[BavarianBeast]

Originally posted by rage2

To be fair, their platform was a review. Completely open ended. For all we know, they could lower royalties!

TBH I don't think they will touch them.

I'm not an NDP supporter what so ever but I think they damn well know better than to fuck with the royalties right now.

Just my $0.02. Time will tell..

[Cdog]

Market is actually doing pretty good lately. more high-end housing market is starting moving probably starts mid/end of March. On avg the price is about at end of 2013 or early 2014 level. When compared to 2007/08 prices, we are still about 10% higher right now. However I don't think it is overvalued considered it has been 7 years.

[Manhattan]

Everytime something happens you see $30/barrel oil and 50% housing crash threads on beyond...:rolleyes:

[G]

Originally posted by max_boost
Don't scare me Phreak. Let me sell my house first before shit hits the fan. :eek:

Why are you letting an unemployed guy fear monger you? He's like a BigMass but with a house.

[max_boost]

I'm not serious.

I quite enjoy reading Sugarphreak/bigmass/toma/broken_legs analysis on here. A round table discussion with them would be great.

[Cos]

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[benyl]

Originally posted by G


Why are you letting an unemployed guy fear monger you? He's like a BigMass but with a house.

haha

[G]

I find it really difficult to talk to people who analyze the shit out of everything. I have learned that if you manage to stay in the "average" you will ride out almost any down....but on the other side of the coin you might miss out some ups but that just fine with me. People who want to profit from ups and downs are some special breed.

It's not always about the money people....I enjoy my house so at the end of the day if I over paid a bit or if its not worth what I paid for it so be it...who knows what will happen tomorrow let alone 10-20 from now.

[SkiBum5.0]

Originally posted by Canucks3322
It boggles my mind that people like you think the NDP is going to "suck companies dry" with royalty raises.... How much do you run think theyre raising them by? 10000 percent? Geez calm down..

Companies don't view an investment (Alberta in this case) like a person would. It's very black and white (or red). If the NDP raises royalties by 2%, that's money that could be invested somewhere else. Money is mobile, they will take it elseware.

I"m not saying we shouldn't get a bigger piece of the pie, but we already have extremely high labour costs, combined with geography that doesn't help us. You add in higher royalties and we become less competitive.

[Cos]

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[Xtrema]

Originally posted by G


Why are you letting an unemployed guy fear monger you? He's like a BigMass but with a house.

:D

[Sugarphreak]

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[BigMass]

Housing is the fabric that holds our economy together. The government will destroy the currency before it destroys house prices. This isn't 1980 anymore. Housing and housing related parts of our economy like banks, financial institutions, investment firms, pension funds, construction companies, labor, etc make up a huge percentage of our GDP and would devastate the entire system if it crashed. Before a the government lets housing crash, they will lower rates to zero or negative like parts of Europe, they will pump cash in the form of QE into banks, they will print like they've never prunt before :p If you're seriously worried about a crash, the biggest thing you should be worried about is holding cash, not owning a house. Remember, this isn't the 80s or the 90s. The economic system is so intertwined now we no longer have the ability to isolate markets and isolate contagion. A crash in Alberta would effect the entire country and even investors outside of Canada. Back in the 80s a nuke could drop on Calgary and people out east would feel like it's another planet. Everything is too systemic now. A completely different ball game. Someone in Calgary farting could cause an economic panic in China. Central banks will not let a crash happen. %10-%15 sure. That's nothing. That just brings prices to where they were a couple years ago, who cares.

[BigMass]

Originally posted by Sugarphreak
Dammit, I need to get a token job so you guys stop calling me unemployed :rofl:

I don't think calling for a 12~16% reduction in house prices over the next year is really the end of the world either, it seems very realistic to me.

what's %15 for someone who purchased a place for $500k 4 years ago and is asking $800,000 for it today? Nothing. Meaningless.

[Xtrema]

Originally posted by BigMass


what's %15 for someone who purchased a place for $500k 4 years ago and is asking $800,000 for it today? Nothing. Meaningless.

$500K house is worth at best $600K today if wear and tear is not excessive.

Just saying.

[Tik-Tok]

Originally posted by Sugarphreak
Dammit, I need to get a token job so you guys stop calling me unemployed :rofl:


I've heard InRich really looks out for his employee's.

[ercchry]

Originally posted by Sugarphreak
Dammit, I need to get a token job so you guys stop calling me unemployed :rofl:

I don't think calling for a 12~16% reduction in house prices over the next year is really the end of the world either, it seems very realistic to me. Most people gained more than that over the past 3 years too.

alright chicken little... how many years have you been predicting this for now?

[Cos]

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[Feruk]

I love how so many people here quoted a % drop. Without stating from what time, the % is MEANINGLESS. "Oh the housing will probably only drop 10%." From where?? Congrats, you have said nothing that's understandable.


Originally posted by BigMass
Housing is the fabric that holds our economy together. The government will destroy the currency before it destroys house prices. This isn't 1980 anymore. Housing and housing related parts of our economy like banks, financial institutions, investment firms, pension funds, construction companies, labor, etc make up a huge percentage of our GDP and would devastate the entire system if it crashed. Before a the government lets housing crash, they will lower rates to zero or negative like parts of Europe, they will pump cash in the form of QE into banks, they will print like they've never prunt before :p If you're seriously worried about a crash, the biggest thing you should be worried about is holding cash, not owning a house. Remember, this isn't the 80s or the 90s. The economic system is so intertwined now we no longer have the ability to isolate markets and isolate contagion. A crash in Alberta would effect the entire country and even investors outside of Canada. Back in the 80s a nuke could drop on Calgary and people out east would feel like it's another planet. Everything is too systemic now. A completely different ball game. Someone in Calgary farting could cause an economic panic in China. Central banks will not let a crash happen. %10-%15 sure. That's nothing. That just brings prices to where they were a couple years ago, who cares.

Real estate is area limited, so none of that applies. A 25% crash in Calgary (from today) will have little impact on Canadian monetary policy.

[Kloubek]

I don't buy into this doomsday business.

I'm not saying the NDP is going to do an amazing job or anything. Nor am I going to say that they aren't going to make mistakes that hurt our economy. However, at *worst*, they mess us up and we revert to a non-NDP government next time around.

At best, they actually manage to grow a strong economy for Alberta once oil prices recover.

Either way, I don't see the panic. There might be a reduction in the short term, but we'll all be just fine once everything works itself out.

[Sugarphreak]

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[googe]

Yeah, isn't that adorable, he thinks he's Nostradamus.

Here's hoping for a giant royalty, a provincial oil company, and a sovereign wealth fund :)

No jobs lost, the crown can recruit their personnel to take the oil if the fat cats want to take their ball and go home.

[7thgenvic]

Prices in Calgary are already stupidly over-priced.

Again. I'm waiting on the fence. I put a offer in a house last week, and it was rejected. Now the idiot just lowered his price and called my realtor back.

SORRRYYYYY.

Again. Time to wait for another 7 months to buy again.

[Tik-Tok]

Originally posted by 7thgenvic
Prices in Calgary are already stupidly over-priced.

Again. I'm waiting on the fence. I put a offer in a house last week, and it was rejected. Now the idiot just lowered his price and called my realtor back.

SORRRYYYYY.

Again. Time to wait for another 7 months to buy again.

:werd: If you don't currently own, I would wait until winter, months after all the seasonal O&G workers don't get re-hired after the summer lull, and start getting desperate.

[Sugarphreak]

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[Swank]

I hardly heard a peep the first 3 months my place was listed, then when I re-listed it was showing a few times a day and sold within a week. It's a really odd market right now :nut:

[birdman86]

Originally posted by Tik-Tok


:werd: If you don't currently own, I would wait until winter, months after all the seasonal O&G workers don't get re-hired after the summer lull, and start getting desperate.

:thumbsup:

We were just talking about this the other day. Lots of debt covenants etc. are based on trailing 12 month data so all else constant we haven't seen the worst yet.

I don't get the market though, I used to see new listings getting posted all day every day. Now I get one or two alerts a week, if that. Searching condo's in downtown area.

[71/454]

Pretty sure housing was on its way down due to the oil market anyway, just look at kijiji the last few months its been a fire sale of the toys. Blaming the NDP for it is, well, something the Conservatives would do.


Originally posted by Cos




So my speculation (leaving politics out of it).

- May - June 2015 - Stagnant housing an employment while everyone wait's and sees what happens. During that time oil will touch $70 a barrel but settle around $67-$68. NDP will announce royalty review.

- July 2015 - During stampede or directly after some small sales and signs of hope will happen, either service companies will cut rates more or oil companies will open their pockets. Can't tell.

- August - September 2015 - Province will have settled into a rythm and things will be about the same as the were the day before the election. Muted. NDP panel will release findings of royalty review. Will include a modest increase from the 8% to somewhere in the 12-14% range which puts us still below most US plays. This is also only impacted by drilling or extraction on crown land, so oil company stocks that are impacted by it (MEG, etc) will tank while private company stocks will skyrocket (Free Hold Energy Corp). A new thread on beyond about people moving out of the province will ensue

- October 2015, oil will be steadily above $70 but below $80 a barrel. Housing is stagnant going into winter.

- Spring 2016 - Back to the Alberta way of huge growth in the housing market and growth. I have no idea what oil prices will do.

I agree with you on everything except the royalty review. The federal NDP wants to run on the momentum of the big change in Alberta so there will not be any big changes before the Federal election. I tend to believe the NDP want to stay in power as long as possible so you will see a more conservative NDP than ever in Alberta.

[Cos]

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[benyl]

I think we will be lucky if oil stays in the $60s by the end of the year. Cos, $80 is very optimistic. If Iran starts exporting oil will drop $10-15 per barrel.

[Unknown303]

Originally posted by Cos


I WANT to agree with you because that is what I would do, but on the doorsteps we heard from a ton of people that they think the oil companies are stealing our resources. Even a symbolic increase will matter. The reason I say that is because if Prentice had increased corp tax 0.5% or something, which frankly is symbolic, he would probably still be the premier right now.

http://i.imgur.com/CHagS4n.png

[gwill]

i thought i would read a bit about the real estate market not the NDP. This is in the wrong section....

[Sugarphreak]

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[Xtrema]

Originally posted by gwill
i thought i would read a bit about the real estate market not the NDP. This is in the wrong section....

Orange wave bro. You feel it?

:rofl:

Talked to someone a colleague today and he is putting upgrading on hold and may even downgrade to wait this out.

But I think $20K bill from CRA is influencing his judgement more than NDP coming into power.

[gwill]

Originally posted by Sugarphreak

It is hard not to tie them into speculation on what will happen, they are a major factor

IN addition to influencing the economy, the NDP are also making changes to mortgage regulations and fees, along with trying to promote affordable housing.

I actually think that low cost housing and lower end condos along with entry level homes might experience an increase in sales, even modest market growth.

The NDP removing any extra closing costs from the budget won't sway buyers into the low end market. Just like an extra $1500 on a home on closing wouldn't effect 99.9% of buyers in case the odd fee stays.

Those who will buy will buy regardless of the NDP or the Budget the PC's put through.

One only needs to look at the changes to the mortgage terms from 35-30yrs then to 25. Every change people cried and hollered.. sort of like you and your NDP obssession but the world didn't end and people kept buying. In fact sales didn't slow down at all when these terms changed.

[Sugarphreak]

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[A790]

I sure hope there isn't a crash since we just bought a new place that we take possession of late-June. Suppose it's too late now lol

[Ekliptix]

I'm lucking out moving home to Calgary from Houston in 2 months after selling my Houston house for +25% since buying it 4yrs. And the 20% exchange rate dif right now combined with and a declining housing market in Calgary is like winning the lottery. I plan to rent for 1 year and see how housing prices drop before hopefully buying an acreage with a big ass shop. I'm hoping for at least a 10% drop in 1 year from now. Man, the mortgage debt to income ratio in Calgary is nuts but I suppose it motivates a person to earn a paycheck.

[kaput]

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[01RedDX]

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[A790]

Originally posted by 01RedDX
Did you buy it to live in or to flip? If you plan on living in it for years then you shouldn't worry about anything except making the mtg payments.

:) We're good on that. We're planning on holding on to it for at least 7 years.

[16hypen3sp]

Originally posted by Sugarphreak
Anybody considering a move as a result of the NDP?

Moving up / second property if prices drop?
downsizing to mitigate equity loss?
Moving out of Calgary/Alberta?

(This should really be a poll)


There have been a few families in the town I'm in that have just packed up and left. House is sitting empty and for sale. Quite surprised to see it while driving around. Even my gf has noticed it and she doesn't really notice those things.

Don't exactly know where they went. But I'd venture a guess that they went back "home."

[phreezee]

I think it will be a combination of royalty increase and a carbon tax they will implement. As for realty moves, I think it would be prudent to wait 2 years before making any plans.

[topsecret]

Originally posted by 7thgenvic
Prices in Calgary are already stupidly over-priced.

Again. I'm waiting on the fence. I put a offer in a house last week, and it was rejected. Now the idiot just lowered his price and called my realtor back.

SORRRYYYYY.

Again. Time to wait for another 7 months to buy again.


How many times have you said this and waited for the prices to drop? I never understand this mentality, if I had said this every time I went to buy a house I wouldn't own I would still be renting, I understand right now there is doubt...however I sold my house after a week on the market and I bought my new one after it was on the market for two days, my old house went up 30% in value (desirable area in the SW and did some reno's) The new house I got is in the NW now and I still think I got a good deal...even if it drops 10% I won't be looking to sell any time soon! Right now is a buyers market, if you are ready to buy and you're approved go around and shoot out some low balls, maybe you can take advantage of someone desperate to sell and you can make mortgage payments instead of renting.

[Feruk]

Originally posted by topsecret
you can make mortgage payments instead of renting.
You mean mostly interest, aka "money rental", payments? For the first 5 years, you're not really building that much equity.


Originally posted by benyl
If Iran starts exporting oil will drop $10-15 per barrel.
I was under the impression that Iran already exports to China. It'll be some time before their oil has a big impact on world markets.

[JudasJimmy]

It would be nice if the housing market went down. Of course you know the interest rates will go up at that point. That will be the time I'll buy a rental property. Gota love people that are always waiting for the housing prices to go down, then they will wait for the interest rates to go down. Keeps the rental market going :thumbsup: I'm such a hypocrite, I too am waiting for the market to crash (Crash is too stong of a word, market correction is better), and interest rates to go up.... haha

[topsecret]

Originally posted by Feruk

You mean mostly interest, aka "money rental", payments? For the first 5 years, you're not really building that much equity.





I was only in my house for 3 years and came out of it very well, I'm not saying every deal is like that however if you are already paying rent and have a down payment for the house why not just take the plunge?! waiting 6 months turns into 1 year turns into 2 years and so on, I have seen it happen so many times from friends who keep waiting for a "market correction" if the NDP really ruin the province as bad as the fear mongers are making it seem they will walking away from a mortgage will be the least of our worries haha :dunno:

[benyl]

Originally posted by Feruk

I was under the impression that Iran already exports to China. It'll be some time before their oil has a big impact on world markets.

Even talks of Iran resuming oil exports to the west are causing the prices to drop. If sanctions are lifted, it's a whole new ball game.

http://www.marketwatch.com/story/crude-oil-slips-on-jitters-over-supply-us-jobs-data-2015-05-07


Oil futures settled back under $60 a barrel on Thursday, with traders increasingly worried about how much oil Iran can add to the global market should sanctions be lifted as part of a deal with world powers over its nuclear program.

[phreezee]

Now that I think of it, Manitoba's housing market is hugely inflated and near a bubble under the NDP. I think property values here will remain within 10% plus/minus and continue to follow the crude price.

[Sugarphreak]

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[Jlude]

Originally posted by phreezee
Now that I think of it, Manitoba's housing market is hugely inflated and near a bubble under the NDP. I think property values here will remain within 10% plus/minus and continue to follow the crude price.

Very inflated. It's so gross.

[A790]

Originally posted by Sugarphreak


I would say you are fine

...and I am Mr. doom and gloom, haha
You know, for as much shit as you take from people about being Mr. Doom and Gloom, I have to say that I find value in seeing other perspectives. I tend to base my risk assessment on the "worst probable outcome".

Now, I just hope your predictions are wrong ;)

[Cos]

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[Sugarphreak]

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[Cos]

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[Sugarphreak]

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[BavarianBeast]

All my equipment is running strong and we are only going to get busier in the next couple of months..

[you&me]

Originally posted by Sugarphreak


That makes it a glass half full /half empty argument then...

You are saying 50% is staying, but that also means half our our previously working equipment is leaving the province, lol

Another story:

http://globalnews.ca/news/1969073/edmonton-auction-expected-to-be-largest-in-canadian-history/


It seems like to me, this is not a good thing... spin it however you like, but every piece of equipment probably represents some ones lost job, and the lost support jobs tied to it.



50% is being re-sold in Alberta, but that doesn't mean that the equipment is staying in Alberta. Buying at auction and then reselling for export is very common. I would estimate that at least another half of the sales to Alberta-based purchasers are then being flipped out of the province.

[sabad66]

Originally posted by Feruk

You mean mostly interest, aka "money rental", payments? For the first 5 years, you're not really building that much equity.


Not really true with these interest rates. 5 yr fixed at 2.44% is pretty easy to get. Should be around 60% going to principal and 40% to interest on a 5%/25 yr mortgage

[Cos]

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[Sugarphreak]

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[andyg16]

Originally posted by Cos
So not sure if it is a one-off but guy on my street listed his house probably a month ago. Ended up in a bidding war this weekend and I saw it went sold last night. Went 1% over asking. So not crazy but the market isn't dead.

There was a house my friend was keeping an eye on in Coventry and it also went for over asking price :dunno:

[ExtraSlow]

The best properties will still have strong demand if they are listed at a reasonable price.

[BigMass]

Originally posted by Sugarphreak

Depends on what is selling:

Meanwhile the condo market for year over year, was down -5.70% last month, yet has taken off and is a staggering 9.92% up this month. Either high end condo's are selling, or low end condo's have totally dried up.

Attached homes are more or less the same as last year with little change

The trend seems to be people downsizing from larger homes into condos.... like Mr. Boost.


I think due to the ultra tight market for the past 4 years there Is a lot of pent up demand. The difference being that now, someone that might have been in the market for a 400k condo, might be a bit more gun-shy and conservative and settle for a 250k condo. The supply of quality condos in the lower range is very low, especially in downtown and surrounding areas. I'm sure those are still being gobbled up as people don't see as much of a risk on the low end as in the high end.