Having a minimum downpayment to buy a home is necessary. But, would it benefit Alberta residents in their real estate transactions to have as much saved as possible when purchasing property? More importantly, should people postpone buying until they have as much saved as possible? There are financial considerations for buying sooner and for buying later and much has to do with saving for eventual retirement.
When an individual sells a property, there are some tax breaks of which he or she can take advantage. When it comes to real estate transactions in Alberta, residents can claim a principal residence exemption (PRE) on the sale of their properties. But there are some things they should know before doing so such as being aware of any changes to the Canada Revenue Agency's requirements.
It's been more than half a year since the country legalized cannabis. Making cannabis legal has had a positive effect on real estate transactions in Canada -- both agriculturally and commercially. It has also had an effect on real estate prices in general, according to a recent study. Smaller communities are benefiting from the increased demand for agricultural lands.
The real estate sales slump continues in Wild Rose Country -- particularly in the capital area. Real estate transactions across Alberta, as in most of the rest of the country, have been slower than usual. However, the Canadian Mortgage and Housing Corporation (CMHC) has hope that people's disposable incomes will help the market slump and lessen the gap between the now buyer's market and seller's market.
It seems conditional on sale of property (SOP) offers are becoming passé. More homeowners in Canada are waiting to sell their listed properties before making an offer on another. Much of this can be pinned on a slow-moving market across the country in which fewer real estate transactions are taking place. Sales across larger urban centres in Canada have continued to plummet -- down nearly 2% from last year.
For those looking to make solid investments, real estate may be a great option. If Alberta residents make wise real estate transactions, it could bode well for them regarding their long-term financial goals. Building wealth is important for the future, especially when families include children. Many solid financial plans include the procurement of real estate.
Commercial real estate investments are burning up the market in Cow Town. As far as real estate transactions go in Alberta, Calgary's commercial sector has been leading the pack, according to many analysts. The city has had the highest number of completed commercial deals in six years. The industrial sector is also outperforming past years.
It looks as though house prices in Canada could drop even further according to the International Money Fund (IMF). Real estate transactions in Canada -- especially in larger, urban centres -- have been thwarted by a number of things such as a volatile economy and the country's mortgage stress test -- making it more difficult for players to get into the game. Calgary is among those major cities poised for an even further correction in market pricing.
PHI Hotel Group has recently expanded its portfolio. The company has increased its holdings by snatching up properties in Alberta since it says it believes in what the province has to offer. PHI's latest real estate transactions in the Wild Rose province include the opening of new hotels in Edmonton West, bringing its total to 12 in the province overall with plans to expand its footprint further.
Property prices are continuing to decline. In fact, they're dropping so much in Canada that February's real estate transactions set a record for the heftiest decline in years in a non-recessionary time. The price index used by the National Bank of Canada indicated that prices fell by 0.4 per cent in February over the same time in 2018.