Daniels MPV price list.What are the prospects for the Canadian real estate market? For most people, investing in Canadian real estate and owning a home of their own is still the biggest investment.Please Visit: Daniels MPV price list to Get Your VVIP Registration Today!
Therefore, when the economy may have problems as a result of the epidemic, and then spread to the Canadian real estate market, many people’s sensitive nerves will be touched. Recently, the market has become increasingly pessimistic about the Canadian real estate market, but for most people, real estate is still the best and safest investment.
The Canadian Mortgage and Housing Corporation (CMHC) recently warned that the COVID-19 epidemic and the corresponding blockade measures have led to massive unemployment and uncertainty, and many home buyers have gone into a wait-and-see state, which could drive the average home price in Canada to fall by 9% to 18%. In addition, the federal housing agency does not expect the real estate market to return to pre-epidemic levels until the end of 2022.
The reason why CMHC is so pessimistic is that it is largely worried that the economies of oil-producing areas will be badly hit by the collapse in crude oil prices. Real estate analysts also point out that the real estate market in big cities is more vulnerable, especially in the previously fast-growing apartment markets in Vancouver and Toronto.
This could be bad news for property speculators, or for buyers who have just bought a house in oil-producing areas and plan to sell it within three years. However, for long-term homeowners with sufficient sources of income, Canadian real estate is still the best and safest investment.
The average value of Canadian real estate has grown by more than 5 per cent a year over the past 25 years, according to CMHC. During this period, Canadian real estate experienced the global financial crisis in 2008, and the theory of the collapse of the real estate market never became a reality.
Many people who bought houses before the outbreak have already enjoyed the benefits of rising house prices, and for new buyers, once the Canadian real estate market gets back on track, the losses caused by the fall in house prices over the next three years can easily be made up for.
For potential home buyers, the next three years may provide a very rare purchase time window for the residential real estate market. Before the outbreak of COVID-19, one of the biggest risks in the Canadian real estate market was the threat of rising mortgage interest rates. but large-scale government spending and weak economic growth in the post-epidemic era mean that borrowing rates are likely to remain low for a long time.
Real estate should not be the only investment in our retirement portfolio, but compared with other investments, a major feature of real estate investment is low risk. A short-term fall in housing prices is not the same thing as a fall in stock prices or similar bitcoin prices. In most cases, real estate transactions are much less frequent, reducing the risk that falling house prices will become an actual loss to investors and providing time for prices to recover.
However, the biggest feature of real estate is its intrinsic value. Housing belongs to real estate, which means that such assets are real and visible, and important basic values do not disappear out of thin air. Other equity investments also have intrinsic value, but prices are often out of line with intrinsic value. In addition, there is no physical support behind Bitcoin, so there is no intrinsic value. The only value of Bitcoin and many other stocks traded on public exchanges is the investor belief that these assets have intrinsic value and are reflected through the trading price.
