Home > Market News > Real Estate Qualicum Beach Parksville & Area to Nanoose Bay Newsletter September 2012
Real Estate in Qualicum Beach Parksville & Area to Nanoose Bay
- By Tom Whitfield
- Parksville Qualicum Beach REALTOR®
- Published: Sep 23rd, 2012 at 12:30 pm
REAL ESTATE NEWSLETTER SEPTEMBER 2012
QUALICUM BEACH PARKSVILLE & AREA to NANOOSE BAY
As of August, single family home prices in the Qualicum Beach Parksville area are down 8% over this time last year. Interest rates are at all time lows. After a prolonged period of focus on Euro-zone debt, global confidence in the economy is cautiously maintained. This could be a very good time to buy.
Media reporting often highlights the Vancouver and Toronto real estate markets and their skyrocketing home prices. At some point, there may be a price correction in those markets. It is important to keep in mind our own local market conditions. Here, it is a great time to be a buyer. Sales of real estate in the Qualicum Beach Parksville area have been slower this year meaning there's quite a bit on the market to choose from. Sharp overall pricing and motivated sellers means buyers are getting some very good deals. A trend in this post-recession period (it's been four years now) is for people see their home much more as an investment than they did in the past, much like mutual funds and stocks. It is important to remember that your home is, after all, a place to live and fulfill whatever personal needs you have. Another trend is the move towards less, being more. Buyers have been wanting smaller homes than in the past. Suites for aging parents are likely to become more important for aging boomers.
Bank of Canada Interest Rate Decision - September 5, 2012
No surprises from the Bank of Canada this morning. The Bank left its overnight rate at 1 per cent, where it has been since September 2010. The statement released this morning in support of the interest rate decision noted that while global economic headwinds continue to restrain economic activity, the Canadian economy is growing roughly in line with its production potential. On inflation, the Bank sees core inflation returning to its 2 per cent target over the next 12 months.
The Bank once again made clear that a gradual withdrawal of monetary stimulus may become appropriate as excess supply in the Canadian economy is absorbed, but that such withdrawals would need to be weighed against domestic and global economic developments. Given ongoing uncertainty in the Euro-zone and the unresolved "fiscal cliff" in the United States, that caveat means that the Bank will likely hold off on raising rates until early 2013. We expect monetary tightening to proceed very cautiously, with perhaps a 25 to 50 basis points increase over 2013, bringing the Bank’s overnight rate to between 1.25 and 1.5 per cent by the end of next year.
For those who are thinking about buying property, don't stay on the sidelines too long!
Feel free to browse through my website. If you don’t see the listing you want, let me know and I will find it for you. And a hearty THANK YOU to all my past clients. Remember, I am never too busy for the referral of your friends and family.