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jx6, 5, How's the market??? | Flynn Real Estate

How’s the market???

As we all know the Southern Ontario real estate market has been insanely active from 2016 to 2017.  The government intervened in April 2017 with their fair housing plan to cool the market.  While this plan isn’t perfect by any means it did seem to trigger the tipping point for home prices.

Since then in Niagara the market has gone from insane to normal or balanced.  We’ve been paying close attention and for every 2 homes listed there’s approximately 1 sale, making it a truly balanced market.  We believe the speculation has cooled and now all the buyers and sellers who were hesitant to upsize or downsize can now take a big breath and make that transition in a more orderly and less frantic way.

What are our predictions for 2018?  Some professionals believe the market will rise again just like it did in Vancouver.  We don’t believe that’s the case.  We believe the real estate market will have a gradual decline in prices, following a historical market cycle trend.  Current income levels do not support the current house prices so a correction is due.  We’ve already seen the beginning of this trend, the question is how far and how long will this trend last.

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