Dave Dry

September newsletter and Stats.

What do these statistics tell us?

    The stats for August are just another indication that our market, after a few years of uncertainty, is returning to a more stable and predictable trend.

 Historically the market builds to its peak in July, and prices decline to the end of the year. We can see this same trend in 2011 with a high average price for the year in July. The price drop off in August was significant but still in line with previous years. Sales numbers are up in August also in line with previous years, as both buyers and sellers see the end of their budgeted available time to complete their respective transactions drawing closer.

 With the U.S. and Europe still trying to get the financial houses in order, there was a real concern that the Canadian consumer would constrain their spending and, slow economic growth. We have kept our heads and not reacted as some had feared, as such we continue to lead the 1^st world countries out of the economic crisis.

 The other piece of interesting news is that in light of the of how badly the U.S. financial situation is, the Bank of Canada Governor, Mark Carney, is not going to raise interest rates in the foreseeable future, also adding a calming and stabilizing factor to the market.

 Many Canadians are thinking of purchasing Real Estate south of the border, there are some great deals to be had. I have spoken to a number of people who are considering, or have, purchased property in Arizona, Florida, and California etc. Please be aware that the tax laws that apply can be very different from those in Canada. Your tax obligations may not be limited to the value of the property owned there. Before purchasing property in the U.S., please be aware of ALL the tax implications.