Toronto, Canada, April 15, 2016 – Canadalend.com, the leading low-cost, private mortgage solution provider in the country, is addressing February’s solid home sales data. Canadalend.com is also explaining that current low mortgage rates will help carry momentum throughout the busy spring home buying season.
According to the most recent data, sales of existing homes in Canada climbed 0.8% month-over-month in February; this represents two uninterrupted months of increases and the highest level of sales activity since June 2007. The non-seasonally adjusted average price for a home sold in February was up 16.4% at $503,057. If Canada’s two strongest markets (the Greater Toronto Area and Greater Vancouver Area) are removed from the data, the average price gain is just 8.7% at $355,235. (Source: “Canadian home sales push higher in February,” Canadian Real Estate Association web site, March 15, 2016; http://www.crea.ca/news/canadian-home-sales-push-higher-in-february/.)
“The national average price for an existing home in Canada exceeded $500,000 for the first time in February. But again, this is a result of strong sales and price activity in Vancouver and Toronto. If these two centres are excluded from the data, the average Canadian home sells for a more modest $355,235,” says Bob Aggarwal, President of Canadalend.com. “However, real estate is local. People don’t buy the Canadian or provincial market, but rather look at one property in a specific area. With that in mind, the Canadian real estate market is actually well balanced.”
Nationally, the real estate market is expected to remain healthy throughout the traditionally strong spring home buying season. In addition to strong demand and ample supply driving growth, the continued low-interest-rate environment will also help fuel sales.
“While the Canadian economy continues to improve, the Bank of Canada has held its key lending rate at 0.5% and is expected to hold it steady until at least later this year or into 2017,” Aggarwal concludes. “This means first-time home buyers can look forward to near-record-low mortgage rates for the foreseeable future.”
Canadalend.com is one of the largest, most trusted private mortgage brokers in Canada, with skilled independent, licensed professionals helping Canadians coast-to-coast. Canadalend.com provides its clients with residential and commercial mortgages, home equity credit, debt consolidation, and addressing financing concerns.