Canadian house prices fall for first time since April 2009

Nov. 24, 2010 - PRLog -- | Calgary | www.WorldWealthBuilders.com |  

The Teranet-National Bank Composite House Price Index last fell in April 2009, with price tags on homes falling in all six major metropolitan markets in Canada  for the first time since last February.

"The Canadian Real Estate market needs to adjust with Global economy as well as local economy" said Navtaj Chandhoke, founder, Professional Real Estate Investors Group (PREIG) Canada. " We all can live with this type of change since it so not dramatic as US market. We have healthy economy as well as consumer’s confidence. Lower  Canadian interest rates are definitely helpful keeping Canadian Real Estate market going."

The biggest drop was recorded in Halifax where prices dipped 2.4%, followed by Calgary at 2.2% and Toronto at 1.6%. According to Teranet-National Bank preliminary data, Calgary became a full-fledged buyers’ market in October, 2010.

“Moderation in the residential real-estate market is a good thing, that’s why we tightened up some of the rules this year on high-ratio mortgages,” Finance Minister Jim Flaherty said. “It’s a healthy thing to have moderation.”

Real Estate market in Canada is slowing after the Canadian government made mortgage rules stricter.  The Bank of Canada, which raised its benchmark lending rate three times to 1 percent this year, predicted in October housing will cut 0.2 percentage point to growth in 2011, after adding 0.6 percentage point this year.

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Navtaj Chandhoke is a Canadian-based real estate investor, speaker, author, educator and the founder of World Wealth Builders, leading RE investors education,mentoring, support and network of over 4545+ Canadian investors.
www.WorldWealthBuilders.com