Friday August 6, 2010
Best Home Buyers Market In A Decade
1700 homes for sale in Chilliwack gives choices
has joined the list of countless BC communities that registered a
significant drop in home sales last month, creating a buyer’s market of a
magnitude not seen in more than a decade. Fears over increased housing costs
with the July 1st implementation of the implementation of the Harmonized
Sales Tax (HST) is likely the culprit, but those fears are unfounded,
according to the President of the Chilliwack and District Real Estate Board
(CADREB), Kyle Hislop.
“HST doesn’t even apply to resale homes, the same way that the former GST did not,” explained Mr. Hislop. The new tax does apply to new construction homes, but on a sliding scale.”
For new homes valued under $350,000, maximum federal and provincial rebates apply. For homes between $350,000 - $450,000 the maximum provincial rebate applies and the federal rebate is calculated on a sliding scale. On homes over $450,000, the maximum provincial rebate applies.
Chilliwack and area posted only 144 home sales last month, compared to 255 in July of 2009. The number represents the lowest number of July sales in 10 years. Of those sales, the highest number (22) were homes in the $300,000 - $349,999 range, followed by 20 sales in the $400,000 - $499,999 range.
“It’s definitely a buyers’ market, and as you can imagine, there are some great deals out there,” said Mr. Hislop. “With over 1,700 homes currently listed, buyers have a wide array of choice and price points. Typically, activity increases as fall approaches, so if you are in the market for a new or move-up home, it’s a perfect time to jump in before there is upward pressure on prices.”
The CADREB President added that there are strong indications that interest rates will rise over the next 18 months, so getting pre-approved for financing and locking in current rates while looking for a home is advisable. Also recommended in the case of purchasing a newly built home is talking to an accountant, notary or lawyer to be clear on the amount of HST that needs to be figured in.
If you are selling, more than ever it is imperative that your home shows in the best possible light – fix minor repairs, keep it spotless and look at its “curbside appeal” with a critical eye.
Whether you are a first-time buyer, a move-up or investment buyer, the deals at this time are too good to pass up! Talk to any of the experienced REALTORS® registered with CADREB to see how your they can assist you with your real estate needs.
For more information visit the CADREB website: www.cadreb.com
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