Monday, May 28, 2007

Canadians Rather Buy Than Rent

Times are a-changing and there is no longer the big decision between renting and buying. More and more Canadians are choosing to purchase a house rather than rent. It is now easier to buy a house than it has ever been before.

"Low interest rates and attractive financing options mean Canadians are increasingly choosing to buy instead of rent, even though home prices are rising more rapidly than rents, a new study suggests.

According to a Statistics Canada report issued Friday, many Canadian households have moved from renting to home ownership during the past two decades. Lower interest rates, more attractive financing options and relatively strong economic conditions have encouraged more households to buy homes, in turn driving up house prices, the report said."
Read Article

What does this mean if you are investing in real estate?

More potential buyers for your property. As it is Canada has the fasting growing population in any industrialized nation on the planet, coupled with more people buying means a increase in demand and rising housing prices.

How does this affect Alberta?

Alberta's incredible economy and booming job market is behind the nation's fastest growing population; a 10.6% increase over the last 5 years. So more people are moving to the province for work and they need a house to live in. They will either rent yours and once they save their downpayment - they will buy one of yours. WIN-WIN