(PRWEB) December 06, 2012
The recent changes in Canada mortgage rules, though aimed at cooling the housing industry, have also contributed to a lower economic growth overall. These changes have made houses unaffordable leading to a fall in their demand by potential buyers. Though these changes were implemented on July 9th, 2012, their actual consequences will not be seen before the year 2013.
An increasing number of individuals have been losing their jobs which has only added to their misery. The uncertainty and fluctuations in the economy played a vital role in influencing the decision of potential buyers to purchase homes. Many of them have now put a hold on major purchase decisions involving a great deal of finance and are waiting for the market and economy to become stable.
It is speculated that, in 2013, both buyers will take more time to buy and sellers will have to wait for a longer time to sell. However, the home sellers will not be at loss as they will be paid with the full amount. On the contrary, home buyers will experience an increase in the amount they have to pay to acquire a house, thus increasing the home market price to income level ratio.
According to Perez Torres, the Senior Market Analyst at CMHC, the employment rates are expected to increase by a minimum of 0.6% in 2013. This eventually will stabilize the market slowly and gradually. Moreover, it is also expected that 2013 will experience stabilized condo sales.
Abdul K. Kargbo, Senior Market Analyst at CMHC, also mentioned that the developers will focus more on the first time home buyers and allow them a better bargain to attract and retain higher demand.
Marcus Arkan, a mortgage expert and CTO of Syndicate Mortgages elaborated, “The affects of the changes in Canada mortgage rules will not be seen anytime before 2013. However, it is speculated that the housing market of Ottawa will remain stable in 2013 with, though lesser number of sales, but with positive market prices. Moreover, the expected increase in employment will enable the first-time home buyers to purchase homes which would stimulate the housing market as these buyers form the base of the pyramid of housing market”.
To know more about the current mortgages being offered, visit the Syndicate Mortgages website.
About Syndicate Mortgages Inc.
Syndicate Mortgages Inc. is one of the leading Canadian mortgage brokerage firms. Founded in 2008 in Ontario, the company specializes in residential, commercial and construction financing across Canada. With years of experience and expertise in the mortgage industry, and access to an array of lending institutions across Canada, Syndicate is known for finding the best mortgage rates for their customers. Syndicate has branch locations across Canada. For contact, please use the following details.
Syndicate Mortgages Inc.
Toll Free: (888) 646-1062