Jennifer Syer's Blog

Hey there! Interested in navigating the real estate maze? Here are the top ten benefits of working with a realtor. It's kind of their superpower to make the buying or selling process a breeze.

1. Market Knowledge: Realtors have the 411 on all things real estate. Price trends, neighbourhood vibes, you name it! This knowledge can score you the right home at the right price. (Who says you can't have it all?)

2. Negotiation Skills: Buying or selling, a realtor is your go-to negotiator. They can help you make a deal that suits your budget or selling goals. Don't you love a good bargain?

3. Access to Listings: Ready to house hunt? Or on the flip side, eager to sell? Realtors tap into the Multiple Listing Service (MLS) to get a comprehensive list of properties for sale. Quite the handy shortcut, isn't it?

4. Paperwork and Legal Knowledge: All that paperwork can be a pain, right? Realtors are pros at handling the red tape. They ensure that all i's are dotted and t's are crossed, so you don't have to worry about legal issues down the line.

5. Professional Network: Need a home inspector or a mortgage lender? Realtors have a network of trusted professionals that can help you out. Handy, don't you think?

6. Time Savings: Realtors are like your real estate concierge. They can handle property searches, schedule showings, and even manage open houses. Pretty neat way to save time, huh?

7. Market Exposure: Selling a property? Realtors can boost your property's visibility with their marketing tactics, including online advertising and open houses. The more the merrier, right?

8. Emotional Buffer: Buying or selling a home can be pretty emotional. Having a realtor to serve as a buffer can keep things smooth and stop personal feelings from getting in the way of the deal. Isn't it nice to have someone in your corner?

9. Guidance Through Closing: Closing a deal can be a tricky period, filled with inspections, appraisals, and all sorts of considerations. Your realtor is there to guide you through it all, ensuring a successful and stress-free closing.

10. Reassurance: Last but not least, just having a knowledgeable and experienced realtor by your side can be hugely reassuring. Remember, they’re not just selling properties, they’re selling peace of mind.

So, ready to find your realtor and start your real estate journey? We bet you are!

National aggregate home price forecast to increase 5.5% year over year in Q4 of 2024

Following several years of unprecedented ups and downs, Canada’s housing market could return to more normal levels of activity and price trends next year. The Bank of Canada is expected to lower its overnight lending rate in the second half of 2024, which will lead to an increase in demand from sidelined buyers as they adjust to today’s lending realities. New household formation and newcomers to Canada will put additional upward pressure on prices. 

“Looking ahead, we see 2024 as an important tipping point for the national economy as the majority of Canadians acknowledge that the ultra-low interest rate era is dead and gone,” said Phil Soper, President and CEO, Royal LePage. “We believe that the ‘great adjustment’ to tolerable, mid-single-digit borrowing costs will have a firm grip on our collective consciousness after only modest rate cuts by the Bank of Canada.”  

According to the Royal LePage 2024 Market Survey Forecast, the aggregate1 price of a home in Canada is set to increase 5.5% year over year to $843,684 in the fourth quarter of 2024, with the median price of a single-family detached property and condominium projected to increase 6.0% and 5.0% to $879,164 and $616,140, respectively.2 

Royal LePage’s forecast is based on the prediction that the Bank of Canada has concluded its interest rate hike campaign and that the key lending rate will hold steady at five per cent through the first half of 2024. The central bank is expected to start making modest cuts in late summer or fall of next year. Meanwhile, several major financial institutions have already begun offering discounts on fixed-rate mortgages.

“Canada’s real estate market has been on a roller coaster ride for the last four years. A global pandemic briefly brought market activity to a grinding halt in early 2020, followed by a rapid, widespread spike in demand and price appreciation as Canadians sought safety and greater living space in their homes among a world of uncertainty. By the spring of 2022, home prices had reached unprecedented highs, but when interest rates started rising quickly and steeply to combat inflation, the extended market correction began,” said Soper. “Markets take time to adjust. We see a move toward typical home sale transaction levels in 2024, and as the year progresses, appreciating house prices.”

Nationally, home prices are forecast to see modest quarterly gains in the first two quarters of 2024, with more considerable increases expected in the second half of the year, following the anticipated start of interest rate cuts by the Bank of Canada. 

As most are aware, the Bank of Canada announced a rise in its target for the overnight rate to 4½%, accompanied by the Bank Rate at 4¾% and the deposit rate at 4½%. The Bank is also continuing its policy of quantitative tightening.

On a global scale, inflation remains elevated and widespread, with decreasing rates in several nations, primarily due to reduced energy costs and improvements in global supply chains. Economies in the United States and Europe have shown resilience, despite earlier expectations of a more significant slowdown outlined in the October Monetary Policy Report (MPR). The sudden removal of COVID-19 restrictions in China has resulted in an upward revision to their growth forecast, potentially affecting commodity prices positively. However, the ongoing Russia-Ukraine conflict introduces significant uncertainty. While financial conditions have eased since October, they remain restrictive, and the Canadian dollar has remained relatively stable against the US dollar.

The Bank's estimation for global economic growth in 2022 is around 3½%, projected to slow to approximately 2% in 2023 and 2½% in 2024, slightly higher than the October projection.

Within Canada, recent economic growth surpassed expectations, with the economy continuing to experience excess demand. Tight labour markets persist, reflected in historically low unemployment rates and challenges in hiring for businesses. Nonetheless, there are signs that the restrictive monetary policy is beginning to dampen activity, particularly in household spending, with a slowdown in consumption growth and a substantial decline in housing market activity. As interest rate effects ripple through the economy, spending on consumer services and business investment is expected to decelerate, and weakened foreign demand may impact exports. This overall slowdown is expected to help align supply with demand.

The Bank estimates that Canada's economy grew by 3.6% in 2022, slightly stronger than the October projection, with growth expected to plateau in mid-2023 before picking up later in the year. The Bank expects GDP growth of approximately 1% in 2023 and around 2% in 2024 is anticipated, aligning closely with the October outlook.

Inflation has shown a decline from 8.1% in June to 6.3% in December, attributed to lower gasoline prices and a moderation in durable goods costs. However, Canadians continue to experience the impact of high inflation in essential household expenses, particularly food and shelter. Short-term inflation expectations remain elevated, but measures of core inflation have begun to recede, indicating a potential peak in core inflation.

The Bank projects a significant decrease in inflation throughout the year, anticipating CPI inflation to reach around 3% in the middle of this year and return to the 2% target in 2024. With persistent excess demand driving upward pressure on many prices, the Governing Council has decided to increase the policy interest rate by an additional 25 basis points. This aligns with the Bank's ongoing program of quantitative tightening to complement the restrictive stance of the policy rate. The Governing Council intends to maintain the current policy rate level while assessing the cumulative impact of interest rate increases, with a readiness to further increase if necessary to bring inflation back to the 2% target, demonstrating its commitment to restoring price stability for Canadians

If you wish to get more insights in to the real estate market, your neighbourhood or property, please call Jennifer direct @289-885-4663