January is crystal ball month where everyone makes predictions for the year to come whether it comes to politics, sports or entertainment.
The real estate market is no different.
The Canadian Real Estate Association (CREA), a nation-wide organization working on behalf of 130,000 realtors, expects that, outside of the prairie provinces and Newfoundland, market indicators are suggesting housing prices will rise in 2020.
Economic fundamentals underpinning housing activity remain strong outside of the Prairies together with Newfoundland and Labrador.
The national resale housing market outlook continues to be supported by population and employment growth while consumer confidence is benefiting from low unemployment rates outside oil-producing provinces. Additionally, the Bank of Canada is widely expected to not raise interest rates in 2020.
Here in the Kawatha Lakes, entering 2020, average sale prices in both waterfront (up 4.6% November 2019 vs November 2018) and non-waterfront (up 1.3% November 2019 vs November 2018) are slowly approaching levels once seen in 2017.
The pace may not be as frantic as 2017--we'll discuss Days On Market stats in February.
Keeping in mind seasonality of the local market, (winter is slower), we support the CREA prediction and expect local average prices to continue to rise.