RE/MAX Housing Market Outlook for 2010

In the midst of one of the most tumultuous economic periods in recent history, residential real estate has proven to be a safe harbour, with sales and average price expected to post gains in most major Canadian cities in 2009, according to a report released today by RE/MAX. The RE/MAX Housing Market Outlook for 2010 examined residential real estate trends in 23 markets. The report found that sales are forecast to recover in almost all major centres by year-end 2009, led by an anticipated 45 per cent increase in Greater Vancouver. Eighty-three per cent of markets (19/23) are expecting sales to increase over 2009 levels while housing values are forecast to escalate in 91 per cent (21/23) of Canadian centres in 2010. The remaining markets will match 2009 levels. "2009 was without question the year of the house," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "Real estate not only defied industry and analysts' predictions in 2009 -- it's performance went well beyond the realm of expectation by boosting consumer confidence levels and ultimately kick starting the national economic engine. While low interest rates were a principle factor driving home buying activity, no one can discount the value that Canadians place in owning a home."

Homes Sales for November still improving!

Last month, 584 homes exchanged hands in the jurisdiction of the London and St. Thomas Association of REALTORS®(LSTAR), a 51.3-per-cent increase over November 2008. However, November 2008 had an unusually low sales volume of 386, compared to 654 in 2007, 616 in 2006, 645 in 2005, etc. This anomaly explains the large percentage increase for November 2009. Year to date, sales are down 5.5 per cent overall compared to 2008. The average price for homes in LSTAR’s jurisdiction was $214,385, up slightly over last month. With the weather still holding out and the snow keeping away, sales here in the Grand Bend area have been brisk as well.

U.S. Housing Market up

According to the National Association of Realtors report released last week sales activity is at its highest since February 2007. Existing home sales in the U.S. showed another big gain in October as first-time buyers rushed to take advantage of a national tax credit. Existing home sales, including single-family, townhouses and condos, surged 10.1% to a seasonally adjusted annual rate of 6.1 million units in Oct. This was reported in the London Free Press

Solvang is the place for Wine

While we were in California for the NAR Convention, Jeannette and myself took a few days to see the wine area around Solvang, north of Los Angeles and Santa Barbara. Although we didn't see any movie stars the town is like being in Denmark with the windmills and post and beam construction of the buildings. There is a lot of history in the area and great drive through the canyons, that Jeannette didn't like! Should of had the Mini that day but we had rented a Vibe...it was still fun.

California is the place to be for NAR

Jeannette and I went to San Diego for the National Association of Realtors Convention in Nov. with my Real Estate Board, (LSTAR). Flew from London to Calgary then on to San Diego California, on the 12th of November and made it back on the
21st. Great Speakers and entertainment at the convention and well worth the time flying there! San Diego is a great place with the Pacific Fleet, perfect weather and the San Diego zoo, to name a few attractions. We were very busy for the 5 days at the convention.

London St. Thomas Real Estate Board gives back to the Community

On Monday, November 9, at its Strathroy president’s breakfast, LSTAR president Joe Hough presented a $5,000 cheque to the Women’s Rural Resource Centre (WRRC) on behalf of the REALTORS Care Foundation. Ellen Frood, Senior Development Officer of the WRRC, was on hand to accept the cheque and offer her thanks for the Foundation’s support of the centre. The money will help fund their residential shelter program.

The Women’s Rural Resource Centre offers residential and non-residential support, and also provides counseling services in outreach sites for abused women and their children.

“LSTAR was very proud to support the WRRC in its application for a REALTORS Care Foundation grant and I am so pleased to see the money helping such a worthwhile cause in our community,” said LSTAR president Joe Hough. “Giving back helps the WRRC provide an essential service and it helps us to achieve our Quality of Life principles.”

Housing Starts Advance in Canada

Tavia Grant from the Globe and Mail, reported that housing starts advanced 5.4 per cent last month as builders broke ground on more condos and apartments, more evidence that the Canadian residential construction is on the mend. Starts rose to 157,300 units in October, in line with economists' expectations, Canada Mortgage and Housing Corp. reported today. Record low interest rates will continue to spur home buying in the coming months and underpin residential construction activity, said Stewart Hall, economist at HSBC Securities (Canada) Inc. The hub of activity though is really in the existing home sales market where levels of activity in many resale segments have exceeded the peaks recorded before the start of the recession. CMHC predicted last week that housing activity and prices will pick up next year as demand grows and interest rates stay low.