Hola Everyone with real estate investments in Hamilton, Ontario!!
I’m writing to you from a surfing vacation in Jaco, Costa Rica. It’s quite beautiful here. The people are super nice, the beach is OK, but the waves are great for surfing, I’m told. The cost of living is quite low, and I could definitely see myself spending some extended winter vacations here. A plate of rice and beans, fried plantain, and meat is about $7.50 CAD. Our surf instructor friend rents a small apartment for $450 USD only 70 meters from the beach.
As always when I’m away from home, I think how grateful I am to be Canadian. Our landlord here in Jaco has visited 35 countries over some 15 years looking for a place to settle down and invest. The Philippines and Thailand were finalists, but something about Thailand having an unstable government turned Jayson off. Who could blame him? The Trudeau assault is really a nothing issue compared to a military coup, which is how Thailand’s current executive leader got the job.
Anyway, if you haven’t gotten away in a while, I recommend that you do. I’m here with my friend David who is a surfing entrepreneur from Toronto. He is an expert at direct marketing so we’ve been masterminding this whole trip and checking out real estate.
NEW – Hamilton Market Outlook
Highlights from the CMHC Report
- Total housing starts will lie within the 2,550 to 2,900 unit range in 2016.
- Existing home sales will continue their upward trend reaching the 16,200 to 17,000 unit range in 2016.
- Rental apartment vacancy rate will edge lower from 3.4 per cent in 2015, to 3.2 per cent in 2016.
- Employment will increase by one per cent in 2016 compared to 0.4 per cent in 2015.
Full Report here: http://www.cmhc-schl.gc.ca/odpub/esub/64303/64303_2016_B01.pdf
My own summary and notes:
- Bank of Canada’s view of the economy is to return to full capacity by the end of 2017 and in turn, CMHC predicts interest rate increases to rise 0.3% in 2017
- Property sales to range from 16,200 to 17,000 in 2016 which is well above the 14,291 and 15,862 sale in 2014 and 2015 respectively. A prediction of more sales in an already low inventory/sellers’ market.
- Increase of buyers from the Greater Toronto Area, especially the 25-44 age group who are price sensitive
- Sales to reduce slightly to 15,800 to 16,600 in 2017 due to increasing mortgage rates
- Neighbourhoods within the Old City of Hamilton will continue to record higher sales as they are the most affordable within the Hamilton CMA
Thanks for reading and happy Hamilton real estate investing everyone!
Erwin Szeto | MrHamilton.ca
Rock Star Real Estate Inc., Brokerage
PS: If you are just starting out investing, start by spending more time with like minded people and take guided tour of Hamilton by joining us for the next Mr. Hamilton Inner Circle by clicking here!!!