Exciting news — we are encouraged to share the first glimmer of hope in the Real Estate Market as home sales increase, inflation relaxes and increased global diplomacy takes effect. We are not out of the woods yet; however, we are seeing some light peering through the trees.
The Canadian Real Estate Association (CREA) show national home sales finally crept upward in October 2022 in their recently released Statistics.
Home sales recorded over Canadian MLS® Systems grew by 1.3% through the month of October. This may not seem like much, but it is actually the first month showing growth since February 2022 – which we are cautiously celebrating.
Sales were up in about three-fifths of all local markets, with Greater Vancouver taking the lead at 6% growth. Montreal saw the least amount as that region still registered a loss of 2.4%.
The actual (not seasonally adjusted) number of transactions in October 2022 is still low, coming in at 36% below that same month last year – and still 15% under pre-COVID stats.
“In October, sales across the country increased for the first time since before interest rates started to rise last winter,” said Jill Oudil, Chair of CREA. “Of course, we’ve known the demand was there, so it’s just been a matter of some playing the waiting game as borrowing costs and prices have adjusted. Moving into 2023, sellers and buyers will likely continue coming off the sidelines, but it’s a very different market compared to just one year ago. As always, for information and guidance about how to navigate the current marketplace, your best bet is to contact your local REALTOR®,” continued Oudil.
Simple steps to help keep your finances up to date
As we get used to new routines, the continued strain of inflation and the changing of the seasons, personal financial organization must not fall by the wayside. With the slowing down of the market decline, it’s a great time to revisit and reset your financial plans. Here are some quick steps to help you stay organized and stay on track this season.
Adjust your bank’s electronic alerts
Your bank is required to send you electronic alerts when you’re checking, or savings account falls below $100 or if you are within $100 of your limit on your credit card.
You can adjust this amount by contacting your bank to set a limit that suits your needs so that you can avoid missing a payment or paying certain fees.
Reset your wants and needs
A common tip for budgeting is to sort your expenses into wants and needs. That said, a want can become a need as your situation evolves, so it pays to revisit your plan. For example, you may need a car if you can only get to your new job by driving.
By using a tool, like the online budget planner from the Financial Consumer Agency of Canada, you can create a snapshot of your situation and find suggestions for your budget that are tailored to your circumstances.
Revisit your emergency fund
Savings accounts are hit hard when the cost of living rises. Maybe your summer vacation cost more than expected. Perhaps a car repair, plumbing problem or extreme weather meant an unforeseen expense. Consider whether it’s time to replenish your emergency fund. Ideally, it would cover 3 to 6 months of your regular expenses or of your income. But even saving a very small amount on a regular basis makes a big difference in the long run.
Find more financial tips and resources at Canada.ca/money.
HAVE MORTGAGE QUESTIONS? WE’RE HERE TO HELP
As the market begins to shift, you may wonder where that leaves you should you decide to sell or purchase property. Please feel free to contact our team with any questions you may have. It would be a pleasure to assist you or any one of your friends or family members!
