Montreal Real Estate Blog » economy

Housing performance expected to accelerate in 2010

Deya Bautista — Fri, 04 Dec 2009 12:30:58 +0000

The year isn’t over yet, but you can definitely expect new Market forecast coming this month, telling us how the year did so far and what to expect for 2010. This is the first we’re publishing here. The report was done by RE/MAX. More reports coming soon.

As economic stability returns to Canadian markets, housing performance expected to accelerate in 2010.
The RE/MAX Housing Market Outlook for 2010 examined residential real estate trends in 23 markets. The report found that sales are forecast to recover in almost all major centres by year-end 2009

“Canadians continue to demonstrate their commitment to homeownership – regardless of the economic climate,” says Sylvain Dansereau, Executive Vice President, RE/MAX Quebec.
“No where in Canada is that more evident than in Quebec. The province, with one of highest percentage of renters in the country, is well-poised for an escalation in homeownership levels as renters enter the market en masse to take advantage of ideal market conditions. Prices remain well under the national average, making ownership more attainable and leaving more room for appreciation that’s been long overdue.”

L’économie se rapprocherait de la reprise- La Presse

Deya Bautista — Mon, 09 Mar 2009 16:48:32 +0000

This was an article published at La Presse today.

L’économie mondiale se rapproche «du moment de la reprise» a affirmé lundi le porte-parole des dix grandes banques centrales mondiales (G10) Jean-Claude Trichet lors d’une conférence de presse à Bâle.

«Il y a un très fort engagement des autorités, des gouvernements à ne pas laisser sombrer des institutions d’importance systémique», ce qui représente «un très fort engagement qui n’a pas été totalement pris en compte par les marchés», selon M. Trichet.
«La plupart des observateurs s’attendent à une croissance négative pour les pays industrialisés» cette année, a précisé M. Trichet, à l’issue de la réunion bimestrielle du G10 au siège de la Banque des règlements internationaux (BRI).La croissance mondiale devrait être proche de zéro en 2009, avec une «reprise» en 2010, a précisé M. Trichet, par ailleurs président de la Banque centrale européenne.

Les élements «positifs» – les mesures prises par les différents gouvernements pour contrer la crise économique et la baisse du prix du pétrole – «n’ont pas totalement été pris en compte» pour l’heure, a-t-il poursuivi.

At this point it looks like the glass is half empty. Let’s see what changes they come up with once the government measures against the economic crisis are considered into the equation.

Interest rates news headlines

Deya Bautista — Mon, 03 Mar 2008 15:16:38 +0000

Scotiabank Forum Predicts Another Healthy Year Ahead For Canadian Real Estate Markets (Exchange Morning Post)
TORONTO – Canadian real estate markets remain remarkably buoyant, especially in light of the deepening housing downturn in the United States and the generally softening conditions in most other advanced economies globally, according to experts who presented today at Scotiabank’s Canadian Real Estate Outlook and Trends Forum 2008.
>>> Read complete article
Bank of Canada sets interest rate, Tuesday. (Globe and Mail)
Bank of Canada makes its interest rate announcement. Economists expect the target for the key overnight rate to be set at 3.75 per cent, down from 4 per cent.
>>> Read complete article
Interest-rate cut expected, question is how much. (Financial Post)
OTTAWA — It’s no longer a question of to cut or not to cut for the Bank of Canada, but of how low will it go. Canadians will find out Tuesday.
>>> Read complete article

Subprime mortgage news update

Deya Bautista — Tue, 26 Feb 2008 15:30:03 +0000

Canada economy to slow, risks to downside – IMF (Reuters)
Canadian economic growth will slow to 1.8 percent this year and there is a risk of an even sharper downturn as weakness in the U.S. economy spreads beyond the housing sector, the International Monetary Fund said in a report on Monday.
After growing about 2.5 percent in 2007, Canada’s healthy economy and fiscal standing will help it withstand the global turbulence but external risks will pose a challenge. >> read more
…….
Canadian institutions expected to make writedowns (Exec Canada)
Some of Canada’s five biggest banks are expected to report headline-catching writedowns when they announce first-quarter earnings. The banks have so far escaped with remarkably little damage from the credit market turmoil. >> read more
…….
Storm clouds threaten to rain on bank profits (Globe and Mail)
Canadian Imperial Bank of Commerce said in January that it will take $2.46-billion (U.S.) in pretax writedowns for the two months ended Dec. 31 because of its exposure to the U.S. subprime mortgage market. >> read more

…….
UPDATE IMF lowers growth projections for Canada on back of US economic downturn (Forbes)
Canada’s growth will likely decelerate further in 2008 and 2009 as a result of the sharp downturn in the US economy, the International Monetary Fund (IMF) reported. >> read more