August 25, 2020 by Ontario Construction News Staff Writer
Experts’ thoughts are divided whether real estate will continue to boom or not for the next season after Canada’s housing market shattered records in July despite the economic uncertainty surrounding the COVID-19 pandemic.
The pandemic left people wishing for more space and amenities when they were still under the “stay at home” orders which made the housing demand rise up, according to Rachel Gagnon, an Ottawa-based real estate broker at Ian Charlebois & Associates Real Estate & Mortgages.
“Unless a major, and I mean very major, shift was to happen, which would create an influx of properties on the market, things will continue to move as they have over the last few months,” she said.
“As we move forward through August and September, people work through the new school rules, I think we’ll see a fairly large uptick in activity. Unless a second wave shifts things dramatically, I think we’re going to have a very busy fall market that won’t slow down until the Christmas season.”
First-time homebuyers are now trying to get into the market while they can afford a mortgage even if it maxes out their borrowing power.
“I find it worrying that housing prices are continuing to rise. The reason being that we don’t know what’s going to happen once the mortgage payment deferral ends, and the consequences actually could be dramatic across the board. And it could be highly inequitable as well,” said Birch, who studies economic geography.
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