8 elm.House prices will rise in hot spots. Doug Ford, leader of the Progressive Conservative Party in Ontario, Canada, said he would abolish the overseas buyer tax on the Ontario real estate market if elected.Please Visit: 8 elm to Get Your VVIP Registration Today!
In this regard, some Chinese real estate agents said that this move will lead to a rise in house prices in the Greater Toronto area, and prices in Chinese hot areas will rise sharply.
Mr. Ji Qiu of Chinese real estate believes that although the proportion of overseas buyers in the Greater Toronto area is only 3.4%, their purchasing areas are relatively concentrated, such as Wanjin City, Richmond Mountain and other places, if the relevant taxes are abolished, housing prices in these areas will rise sharply. On the contrary, some multi-ethnic areas are less affected by overseas buyers, and house prices will not rise significantly.
In addition, data released by the Canadian Real Estate Association show that in February 2018, sales in the Canadian housing market fell by nearly 17%, and house prices fell by 5%, which is the second consecutive month of decline and is at the lowest point in nearly five years.
“an important reason for the continuous decline in home sales since 2018 is that many property buyers have advanced their purchase decisions to the end of 2017 in order to avoid the new bank loan stress tests carried out on January 1, 2018, so there was a small peak in December 2017,” said economist Gregory Klump.
As for the February housing market data, Mr. Qiu said: “at present, transactions in the real estate market in the Greater Toronto area are deserted, and bank mortgage stress tests are very damaging, especially for those middle-and low-income home buyers who are unable to enter the market. This situation will continue for some time. ”
“for property buyers with strong financial strength, the impact of the policy is not great, because these buyers can borrow loans through the mortgage of their assets in the bank, seize the current weak opportunities in house prices and actively enter the market.” Mr. Qiu said.