2017 is going to be all about working towards market stability, something that has been shaky for the last two years. However, market stability will not reach all sectors of the housing market. CREB notes, “both detached and attached prices remain unchanged over 2016 levels, while apartment is forecasted to contract by another two per cent.” The stabilization of the housing market is going to be slow.
CREB chief economist Ann-Marie Lurie writes, “The transition in the housing market will be a slow process. We are entering the year with high unemployment rates and the possibility that job growth will not occur until the latter portion of 2017. These conditions will continue to weigh on housing demand, but supply is adjusting to weaker sales activity, which will eventually translate into price stability.”
Is is predicted that around 18,335 units will be sold in 2017. This is a three per cent gain from 2016, but modestly below long-term averages. However, even this small gain will have a significant affect on the market. It will help ease inventory levels which will prevent downward price pressure.
CREB’s new President for 2017, David P. Brown encourages people to be very strategic when buying or selling a property. Blanket strategies will no longer suffice. One must carefully consider the market at the specific time they are seeking to enter it in order to leverage the conditions in their favour.
The one warning CREB gives is that all of this is dependant on some economic growth and stability in the energy sector. With new policies being introduced by the government regarding these areas, this growth could get derailed. CREB advises people to stay educated on what is happening in the market and hold tight.
2017 may be a stressful year for the housing market, but Team Ken Richter is here to help you in any way we can. Give us a call and let’s set up a meeting to discuss your needs for 2017!
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