Trending This Week: Cold Market, Real Estate Board Predictions, Vacant-Home Tax Talk

Toronto

Only thing colder than Toronto right now is its housing market (Financial Post)

The only thing that might be colder than Toronto in January is the city’s housing market.

While the bleak mid-winter is never the best time to sell a home in Canada, a string of open houses in the country’s largest city were chillingly empty on a recent Saturday afternoon. Tougher mortgage rules went into effect on Jan. 1 just as higher interest rates began to bite, and the market’s on edge, waiting to see if a downturn that began last year will accelerate under the added pressure.

Real estate board predicts flat prices and sales this year (The Toronto Star)

The Toronto Real Estate Board (TREB) has declared the rollicking real estate ride of the last two years to be officially at an end. Its annual outlook predicts only a slight increase, at best, this year over last year’s average home price of $822,681.

Prices are expected to end the year in the range of $800,000 and $850,000 on average across all home types.

Toronto Real Estate Board Finds 2% Of City’s Homeowners Have Vacant Homes (Better Dwelling)

A new industry survey finds that many people aren’t ashamed to admit they have a vacant home available. Commissioned by the Toronto Real Estate Board (TREB), and conducted by Ipsos, the annual survey is meant to give some insights to the industry.

One of those insights is on the state of vacant homes, which increasingly became a hot button issue, since we pointed these out almost a year ago. It appears the city would see quite a bit of inventory flow if a vacancy tax was implemented.

Canada

Vancouver Tenants Union Expands Citywide To Fight ‘Out Of Control’ Crisis (Huffpost Canada)

VANCOUVER — Rising rental costs, evictions and a scarcity of units in Vancouver’s densely populated West End were among the reasons for Gail Harmer’s decision to join a group that is taking a new approach to advocating for the rights and protection of tenants.

The Vancouver Tenants Union formed last spring in response to a growing number of renters who say they fear eviction or being priced out of their homes and neighbourhoods. The group’s membership has grown to nearly 1,000 people across the city.

Canadian real estate prices see biggest drop worldwide  (Macleans)

Canadian real estate prices were the fastest rising in the world, just a few months ago. Now we’re claiming the opposite title, as the market explores where prices should be. Newly released Federal Reserve Bank of Dallas (the Dallas Fed) numbers, show a decline in home prices for the third quarter of 2017. This is the first time in over five years that Canadian real estate prices have declined for a quarter. Despite the quarterly drop, prices still remain significantly higher than the year before.

Calgary’s housing market to stay the same in 2018, real estate board predicts (CBC News)

The housing market in Calgary this year will likely look much like it did in 2017, according to a forecast released Wednesday by the Calgary Real Estate Board.

CREB’s 2018 forecast says stricter lending criteria introduced this year by Ottawa, coupled with slightly higher interest rates, should put downward pressure on prices.

USA

From crisis to Cristal: How the Manhattan resi market has performed since 2008 (The Real Deal)

What a difference 10 years makes. Home prices in Manhattan were lethargic in 2017 when compared with the previous year, but downright feisty if you look a little farther back.

Today, the average price of Manhattan condos and co-ops stands at $2 million, which is flat compared to 2016, but up 29 percent from 2008 — the peak year before the financial crisis and recession — and up 47 percent from the low point of $1.4 million in 2010, according to a market report from Douglas Elliman.

International

Juwai Partners To Sell US And Canadian Real Estate To Ultra Rich Asian Investors (Better Dwelling)

US and Canadian real estate is getting an even larger pool of foreign buyers. Juwai, Asia’s largest overseas real estate portal, is partnering with an Asian investment group. The deal, which occured last week, will make it even easier for some of Asia’s wealthiest families to scoop up overseas real estate.

Juwai is creating a partnership with the Association of Family Offices in Asia (AFO). The AFO is a group that represents the private management of high net-worth (HNW), and ultra-high net-worth (UHNW) individuals. A HNW is someone that has more than a million in liquid assets, and an UHNW is someone with more than $30 million. Basically, they partnered with a group that represents investment offices of Asia’s ultra rich families.

Annual UK house price growth increased unexpectedly in January (Property Wire)

There was an unexpected pick up in annual house price growth in the UK in January with the latest index showing a rise of 3.2% compared to 2.6% at the end of 2016.

The data from lender the Nationwide also show prices increased by 0.6% month on month, taking the average price of a home to £211,756

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