The Latest in Real Estate, Mortgages, and Market Trends
- Jose Gustavo Salcedo
- Feb 27, 2024
- 2 min read
In this edition of Jose Gustavo Salcedo News, we bring you the most important points from the ever-evolving world of real estate, mortgages, and market trends.
1. BC Government Unveils House-Flipping Tax Details:
The British Columbia government reveals details of a proposed home-flipping tax.
Legislation planned for spring, effective January 1, 2025.
20% tax on profits for homes sold within the first year, gradually decreasing to zero over the second year.
Exemptions for unavoidable life changes, such as death, divorce, and job relocation.
2. Desjardins Alters Mortgage Policies in Flood Zones:
Desjardins Group updates underwriting guidelines, discontinuing mortgages for certain flood-prone areas.
Exception for buyers of properties with existing Desjardins mortgages if flood protection measures are in place.
3. Quebec Homebuying Intentions Remain Resilient:
Léger survey reveals high homebuying intentions in Quebec despite economic challenges.
22% of Quebecers plan to purchase a property within the next five years.
Younger households (18-34) show increased interest, with 49% expecting to buy in the next five years.
4. Mortgage Arrears Remain Stable in November:
Canada's national arrears rate holds steady at 0.17% in November.
Significant drop from pandemic highs in June 2020.
Regional variations, with Saskatchewan (0.57%) and Alberta (0.33%) having higher rates.
5. Real Estate Professionals Face Revenue Decline:
Statistics Canada reports a 22.8% decline in operating revenues for real estate agents and brokers in 2022.
Higher borrowing costs due to Bank of Canada rate hikes contributed to the decline.
Alberta is the only province to see revenue rise, up 5% from 2021 to 2022.
Additional Measures in BC Budget 2024:
Expansion of the First Time Homebuyers' Program.
Newly built home exemption increased to $1.1 million.
Rental home construction exemption until 2030 for eligible purpose-built rental buildings.
Quebec Market Insights:
Despite rising property prices, 72% of Quebecers feel they can meet financial obligations in 2023.
Single-family homes (81%) remain the preferred choice, while condo intentions remain stable at 14%.
Jose Gustavo Salcedo News keeps you abreast of the latest developments in the real estate and mortgage landscape, providing valuable insights into market trends and policy changes. Stay tuned for more updates on the ever-dynamic real estate industry!
Source From: Wealth Professional
Adapted by Jose Gustavo
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