festival condos phase 3.The Canadian real estate bubble has been exaggerated. Nearly half of the growth in US CPI in June came from soaring energy costs, but excluding volatile food and gasoline prices, core inflation remains a concern.Please Visit: festival condos phase 3 to Get Your VVIP Registration Today!
Core inflation in housing, vehicles and health care continued to “steadily climb” after rising 0.6 per cent in May, rising 0.7 per cent in June. The Bank of America report also points out that potential price pressures on core goods and services are much greater than expected.
Hatzus, chief economist at Goldman Sachs, said that the scope of core inflation has further expanded, and inflation in US housing rents has climbed to a 36-year high, bringing upward risks to the interest rate path in the second half of this year. Because housing is one of the largest and most persistent inflation categories.
Catherine Jackie, an economist at CIBC capital markets, also believes that the rise in housing prices will continue to be transmitted to the annual core inflation rate in the United States.
When most people think about buying a house, when they see rising house prices, they think that they may continue to rise. So they should buy it now, lest house prices go up too high. And what is the reality? After a period of rapid growth, house prices finally experienced a period of decline.
At this time, buyers may be better off renting and waiting for prices to fall before buying. The Economist recently reported that house prices in Canada are not symmetrical with their rents and may be overvalued by 89%. This means that renting may be a better choice.
But older Canadians tend to sell their homes in cash to support retirement. Knowing that they will sell the house, it is not a wise choice for the middle-aged and elderly to wait for house prices to continue to rise. Because maybe in the near future, they may have to sell their houses at below-market prices for health or economic reasons.