Happy New Year! And happy Chinese New Year! This year is Rabbit, a symbol of prosperity, abundance and fertility in Chinese. The rabbit is traditionally a symbol of hope and peace. I wish you all the best in 2023
Currently there are so many great deals for home buyers and investors. Best time to invest in real estate is when everyone selling. Some of my clients complained the interest rate is too high. Yes, we are having this fancy description of “Inflation”, that means when you are renting, your rent will go up too (Not good for tenants, but good for investors and landlords). Consider to use fix rate instead of variable rate will help you to budget the monthly mortgage payment. I also heard from mortgage brokers that rate should be drop down within 2-3 years, therefore lock in for 2 years would be smart decision.
Real Estate is long term investment. When I first investing in real estate in early 2000, the mortgage rate was around 4.5%, and yet, that same condo I bought in Richmond BC in 2004 has tripled in value in only 20 years.
For people still renting, in 2005, three bedroom homes were renting $750 per month rent, now that same home can be renting for $2100 per month or more on average.
Investing in real estate is one of the best strategies to hedge against inflation.
One of the articles I read while browsing headlines was titled
“Alberta is calling”. Good economy, cheaper cost of living especially housing causing people to move here. Nearly 60,000 July to September according to StatsCan. That would explain why I see so many BC license plates driving around. Pretty sure they are not moving here for the weather. And on another note, have a guess which Alberta City was named one of the best places in Canada to live? Go on, have a guess.
House prices down 21% in Toronto, down 19% in Vancouver, while Edmonton has only dipped by 10%. Much more stable and making an affordable product even more affordable.
Toronto has vacant property tax now to encourage more owners to make them available for rent. Vancouver did this earlier and about half the owners ended up rented them out to avoid the tax. If you are buying a home (that is vacant) you will be responsible to pay the vacant tax if the seller hasn’t. Alberta doesn’t have vacant tax, or even property transfer tax, so it is much easier and safer to buy a home here in Edmonton.
This very special house has two legal suites, so when you include the main floor, it is a total of three suites. Like a Triplex. For investors, that is very attractive as you have three incomes but even as a home owner, it is still attractive as the rental income from the two legal suites can help you qualify for a mortgage as well as help to pay off the mortgage. That’s fantastic but it gets better as it has been renovated from top to bottom and everything in between so maintenance costs will be extremely low. With well over $100,000 worth in renovations and big ticket items taken care of, this adds up to a smart investment. I will be listing this on the MLS shortly but if you would like to check out more details before it hits the market then you can use this link. https://re-alta.ca/view/11422-Tower-Rd/q.php?q=HD-photo
Trudeau declines to sell our natural gas to both Germany and Japan. What I feel is ironic about this story is Trudeau was trying to lecture the German chancellor on being environmentally green when it is clear they have stricter policies than Canada. Sure, he is trying to sell Alberta’s new hydrogen industry as it is clean, but Germany needed natural gas right now to heat homes and cook meals, not in 5 years time so they ended up buying it from another country. Well done.
A recent survey found:
51% have $5000 or less savings.
50% have less than $30k in RRSP.
47% have less than $2000 for emergencies.
50% have over $6500 in credit card debt.
50% have a Net Worth of only $100,000
That is scary to think given inflation is still high and some big companies have been doing major layoffs. It is so important to invest in your future so you can ride out market swings.
I’m sure you heard “Never go back once you use a Mac”
I been so resistant to switch to Mac for many years. In the last 15 years, I tried twice but ended up going back to PC because the learning curve was too steep, not enough time to learn, and most importantly (irritatingly) back then, Realtors could only use Microsoft internet explorer to access MLS. For 2023 – my new year resolutions – learn new things – so again here we are, I bought Mac Pro – this time I had more time and I learned by different way. I asked help from my hubby Andy to teach me how to use Mac. I figure out the difference between Mac and PC, and there is still learning curve but not too steep so I actually enjoying the learning process. Instead of telling myself it is hard, I ask myself, what is one thing I can learn / improve today. After 1 week practice, I can say I love Mac , and no intention to go back! Learning is fun! And a great way to start 2023, I wish you will challenge yourself on the things you have been putting off… and make it fun or new year resolution to learn!
This article contains the opinions of Andrew Barrett and Selena Cheung. Licensed Realtors® with COLDWELL BANKER Venture Realty.
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