What is 2021 going to have in store for the housing market?
I have a quick story that I often tell my clients… A major bank’s Senior Financial Advisor came to speak with a group of two thousand mortgage brokers at a national conference with the Canadian Mortgage Professionals, of which I am a member. This was about 15 years ago, just a few years into my being a mortgage broker. This fellow stood on the dais and completely inspired me with his ability to tell us the future of the markets and the rates they would be in the short and long term in Canada. I was so impressed that someone could tell us what is going to happen going forward.
One year later, the same person got up at a similar conference and said, if any of you were here last year, “Forget everything I told you then!”
An article was recently published where a number of banks weighed in as to what will happen to the market this coming year and beyond. There was some discussion about lower price growth in 2021 followed by light increases in the values of homes and continuing further into 2023. I always take this information with my Senior Financial Advisor’s story in mind. And by the way, these ‘guesstimates’ are usually predicated on the imminent success of or delays to our current vaccine rollout. Good luck to us all!
One quick other item, if you or your partner are contemplating retirement in the next 5 years or so, then there is a must-do strategy for you whether you have a mortgage or not. Contact me and we can discuss this.