http://www.vancouversun.com/business/lock+Pondering+merits+rate+financing/6025780/story.html
In 1991, my very first clients secured an excellent rate of 13.5%. Over the years, I've heard economists, consumers and financial experts say "it can't get any lower" when rates dropped past 7%, 6%, 5% and even the 4% in the not to distant past.
There are some who believe that high inventory, low rates and uncertain global economy will translate to plummeting prices but Victoria market fundamentals have always proven those to be incorrect assumptions.
I'll never forget a gentleman I met about 10 years ago: he wanted to sell his house because he felt Victoria prices would drop 50% in the next 6 months. Another agent sold his house and he ended up in the rental market only to watch prices DOUBLE in the 5 year span of 2002-2007. He effectively removed himself from an upward moving market and had to repurchase at a drastically higher price. I would call that a massive error- the economists and opinons he believed in betrayed him!
Last night I had a chat with Ken Strattford, www.businessvictoria.net who mentioned an article last week written by an economist in Florida who was quoted saying Victoria Real Estate prices will drop 60-70% in the next 12 months. What????? I'm not sure where he's getting this idea: we have the lowest vacancy rate in Canada, strong annual net migration of 3500 or so persons, and have a diverse economy including Government, Tourism, Military, Universities, Lifestyle (weather) and a growing Technology sector.
I need to find this Floridian economist and invite him to a game of blackjack. I may be totally unskilled at gambling but with a guestimate like his I'd stand to make some money!
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