Came across this interesting article in the Vancouver Sun by Dave Watt, shedding some light onto the differences between the local market and the larger scale US market collapse.
The article closes with the following excerpt...
"While the current rate of foreclosures in the U.S. is nearly five per cent, only 0.28 per cent of mortgages in Canada are in arrears, a proportion that is not only low but steady, according to the Canadian Association of Accredited Mortgage Professionals (CAAMP).
Low prices are not the concern as much as the view that prices are falling. Buyers are waiting to see of the real estate market has hit bottom.
Identifying the "bottom" of a market is difficult, given that certain variables must remain constant to attain real savings.
For example, interest rates must remain low and that perfect house must remain available at an acceptable price.
Most of us sell a home and buy a home within the same market; while we may be selling at a lower price, we're also buying within that lower-priced market.
Deciding to buy or sell a home should be a milestone moment based on your financial and personal circumstances, and the market conditions within your neighbourhood of choice. For those whose finances allow it, there are excellent opportunities in today's housing market. This is a good market for long-term investors.
The Real Estate Board of Greater Vancouver has existed for nearly 90 years and witnessed numerous market cycles. Sales increase and decrease. Prices go up and down. Historically, the values at the peak of the next cycle inevitably surpass the ones before."
Read the full article here.