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BCREA ECONOMICS NOW Canadian Monthly GDP (January'18) - March 29, 2018 The Canadian economy contracted on a monthly basis in January with real GDP edging down 0.1 per cent. The decline was the result of lower output in the energy extraction sector as well as lower real estate activity due to the implementation of new mortgage qualification rules. The output of real estate agents and brokers fell 12.8 per cent in January, the largest monthly decline since November 2008. Given today's release, growth in the Canadian economy is tracking at about 1 per cent for the first quarter, a further slowdown from the already somewhat sluggish fourth quarter of 2017. Despite rising inflation, sharply slower economic growth should give the Bank of Canada pause about further increases in its overnight rate. For inquiries regarding statistical and economics-related news releases, please contact:
Cameron Muir: Chief Economist 604.742.2780 cmuir@bcrea.bc.ca Brendon Ogmundson: Economist 604.742.2796 bogmundson@bcrea.bc.ca The Housing Market Update video podcast is produced monthly by the British Columbia Real Estate Association. Real estate boards, real estate associations and REALTORS® may reprint this content, provided that credit is given to BCREA by including the following statement: "Copyright British Columbia Real Estate Association. Reprinted with permission." BCREA makes no guarantees as to the accuracy or completeness of this information. Copyright© British Columbia Real Estate Association 1420 – 701 Georgia Street West, PO Box 10123, Pacific Centre Vancouver, BC V7Y 1C6 Phone 604.683.7702 Fax 604.683.8601 www.bcrea.bc.ca bcrea@bcrea.bc.ca To subscribe to receive other BCREA publications such as this one, to unsubscribe, or to update your email address or current subscription list, click here. Vancouver, BC – March 27, 2018. The British Columbia Real Estate Association (BCREA) was pleased to see more details of the proposed speculation tax. Refinement of the areas of the province where the tax applies and the introduction of different rates for different owners indicate a more strategic approach, and provide greater certainty. We look forward to more answers as the speculation tax takes shape, and more opportunities to minimize its negative impact in all affected areas for all homeowners who pay income tax in Canada. For example, homeowners in the City of Vancouver could potentially be charged twice for leaving their homes vacant: once by the city and once by the province. Communities could face economic problems, due to fewer visitors, less consumer spending and lower housing prices. Also, development properties are often bought years before they are developed, and the proposed tax would add costs that would be passed on to consumers, regardless of where they pay tax. Finally, perhaps consideration should be given to offering incentives for homeowners to rent their properties, rather than a tax penalty. BCREA urges the BC Government to undertake a formal, public consultation on the proposed speculation tax, to ensure the best input and insights are available, and to assure those affected that this measure is being carefully considered from all angles. - 30 - BCREA is the professional association for about 23,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province’s 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.
To demonstrate the profession’s commitment to improving Quality of Life in BC communities, BCREA supports policies that help ensure economic vitality, provide housing opportunities, preserve the environment, protect property owners and build better communities with good schools and safe neighbourhoods. For more information, please contact: Jake Humber, Communications Coordinator Direct: 604.742.2784 Email: jhumber@bcrea.bc.caTo subscribe to receive other BCREA publications such as this one, to unsubscribe, or to update your email address or current subscription list, click here.  Vancouver, BC – March 14, 2018. The British Columbia Real Estate Association (BCREA) reports that a total of 6,206 residential unit sales were recorded by the Multiple Listing Service® (MLS®) across the province in February, a 5.7 per cent decrease from the same period last year. The average MLS® residential price in BC was $748,327, up 8.8 per cent from the previous year. Total sales dollar volume was $4.64 billion, a 2.6 per cent increase from February 2017. “More stringent mortgage qualification rules for conventional borrowers are dampening housing demand in the province,” said Cameron Muir, BCREA Chief Economist. “Since the new rules came into effect, BC home sales have fallen more than 26 per cent, on a seasonally adjusted basis.” Previous mortgage policy tightening has negatively impacted housing demand for a period of four to seven months, with the largest impact occurring in the third month after implementation. Year-to-date, BC residential sales dollar volume was up 15.9 per cent to $8.47 billion, compared with the same period in 2017. Residential unit sales increased 4.1 per cent to 11,516 units, while the average MLS® residential price was up 11.3 per cent to $735,755. To view the full BCREA Housing Forecast, click here.
For more information, please contact: Cameron Muir Chief Economist Direct: 604.742.2780 Mobile: 778.229.1884 Email: cmuir@bcrea.bc.caBCREA is the professional association for more than 20,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province’s 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients. To demonstrate the profession's commitment to improving Quality of Life in BC communities, BCREA supports policies that help ensure economic vitality, provide housing opportunities, preserve the environment, protect property owners and build better communities with good schools and safe neighbourhoods. To subscribe to receive other BCREA publications such as this one, to unsubscribe, or to update your email address or current subscription list, click here. The March issue of Mortgage Rate Forecast is now available on BCREA Online. Highlights:
 Send questions and comments about Mortgage Rate Forecastto: Cameron Muir, Chief Economist, cmuir@bcrea.bc.ca; Brendon Ogmundson, Economist, bogmundson@bcrea.bc.ca.
Additional economics information is available on BCREA's website at: www.bcrea.bc.ca. To sign up for BCREA news releases by email visit click here. Mortgage Rate Forecast is published quarterly by the British Columbia Real Estate Association. Real estate boards, real estate associations and REALTORS® may reprint this content, provided that credit is given to BCREA by including the following statement: "Copyright British Columbia Real Estate Association. Reprinted with permission." BCREA makes no guarantees as to the accuracy or completeness of this information. Copyright© British Columbia Real Estate Association 1420 - 701 Georgia Street West PO Box 10123, Pacific Centre Vancouver, BC V7Y 1C6 Phone 604.683.7702 Fax 604.683.8601 www.bcrea.bc.ca bcrea@bcrea.bc.ca To subscribe to receive BCREA distributions such as this one, or to update your email address or current subscriptions, click here. |