Friday, September 14, 2007

Slow Growth, Cool Market

Front page of today's TC had articles regarding Victoria's economic growth and real estate market. HouseHuntVictoria has insight on the related article in The Globe and Mail.

Victoria's economic growth to slow - rather significantly as well. 2006 had growth pegged at 3.7%. 2007 is forecasted at 2.8%.

Real estate market expected to cool over the long term - Victoria's current market is 10% above trend, according to Scotia Economics' Adrienne Warren. Quote from Cameron Muir "... it is reasonable to expect that when this current cycle is over that home prices will moderate for a while in order to give household incomes a chance to catch up with the pricing regime."

Does this mean that I may not be priced out forever?! Is today maybe not the best time to buy? Perhaps the future is better than the present for getting into the market. I'm surprised by Mr. Muir's statement. He may be starting to see the light.