Cedar Ridge townhomes targeting a variety of homebuyers, from young families to downsizers

Michael Bernard
The Province

Cedar Ridge

What: 28 three- and four-bedroom townhomes

Where: 70 Seaview Drive, Port Moody

Residence size and prices: 1,304 sq. ft. — 1,602 sq. ft.; low $900,000s — $1.2 million

Developer: Allaire Living and Headwater Living

Sales centre: 1a – 555 Clarke Dr., Coquitlam

Hours: noon — 5 p.m., Sat — Wed

Telephone: 604-720-5357

Finding a niche in today’s highly competitive real estate market is no mean feat for today’s smaller developer, but it’s a bonus when that developer finds that his housing product is fulfilling the needs of not one but two generations of homebuyers.

That’s the market sweet spot Marc Allaire has targeted in building Cedar Ridge, 28 three-storey three- and four- bedroom townhomes in an area of Port Moody largely devoted previously to single-family homes.

“We are building for young families looking to upgrade from a condo who have built up some equity in the last three or four years,” said Allaire, who has worked 35 years in the industry, including the last 11 years with his own company, Allaire Living. “We are also looking at downsizers who want to sell their single-family home but remain in the area but aren’t necessarily ready for condo living and still want their own garage.”

He adds to that mix, executive couples who want their own home but don’t want a single-family house.

While there are lots of condominiums out there, there are relatively few three- or four- bedroom townhomes, he said.

Cedar Ridge is rendered in a West Coast contemporary style by the Vancouver firm of Integra Architecture Inc. whose principal, Duane Siegrist, makes liberal use of light and mid-brown natural colours to complement the timber and rock details emblematic of that genre.

 “The main design inspiration came from the large natural forest, and public park located just 300 metres east of our site,” he said, adding the look was successful.

Notes Allaire: “One thing we have seen is that the outdoor lifestyle is a big concern for people living in this area.”

Cedar Ridge is well located for this lifestyle, offering good access to transit (the West Coast Express and walking distance to the new Evergreen line) and a new nearby grocery store, and good schools and parks while being within a few minutes of the regional shopping centre at Lougheed Mall.

Inside, the developer has focused on an open-concept design with a choice of two colour schemes: white raised-panel painted Shaker cabinets or wood-grain laminate flat-panel cabinets. All homes have nine-foot ceilings on the main level with seven-foot doors throughout.

There is wide plank laminate wood flooring throughout the main living areas including the kitchen and powder room, tile flooring in the bathrooms, and carpet on stairs, bedroom floors and upstairs hallways.

Quartz countertops are used in the kitchen with contemporary under-mount stainless steel sinks.

Ensuite and bathroom cabinetry and vanities are matched with the kitchen materials. The shower-tub surrounds are tiled in the main bathroom while the ensuites have shower units and heated floors.

The homes have spacious exterior decks or patios and feature a natural gas barbecue outlet.

© 2019 Postmedia Network Inc.

BCREA blames the mortgage stress testing for lower sales

Josh Sherman
other

BC home sales were in a freefall last year, with the number of residential properties changing hands down 24.5 percent compared to 2017 — and the main reason for this was mortgage stress testing.

At least that’s how the British Columbia Real Estate Association (BCREA) sees it.

“The sharp decline in affordability caused by the B20 mortgage stress test is largely to blame for [the] decline in consumer demand last year,” writes Cameron Muir, chief economist at BCREA who reports sales totalled 78,345 units last year.

The B20 guidelines, which were created by banking-system watchdog the Office of the Superintendent of Financial Institutions, were introduced by the federal government at start of 2018.

The guidelines expanded mortgage stress testing, which meant that moving forward borrowers needed to qualify at a higher rate than they were signing on for, even if they were able to cobble together a 20-percent downpayment for an uninsured loan.

Some buyers rushed to get approved before the new rules kicked in, and it’s easy to see why. A July 2018 report from Mortgage Professionals Canada, an industry association, suggested 18 percent of potential homebuyers — who could otherwise afford their preferred purchase — would fail the stress test.

“We estimate that to this point (July 2018), about 100,000 Canadians have actually been prevented from buying a home as a result of stress testing now required by the federal government (even though they could have afforded to buy based on their actual circumstances),” writes economist Will Dunning, who penned the report.

© 2019 BuzzBuzzHome Corp.

A report stated that senior living real estate a good investment

Neil Sharma
Canadian Real Estate Wealth

With seniors slated to comprise nearly a quarter of Canada’s population by 2030, real estate that caters to their needs is being touted as one of the most investment-friendly sectors this year.

That’s in spite of a somewhat volatile interest rate environment that’s expected to carry through 2019, says Montreal-based Fred Blondeau, an analyst with Echelon Wealth Partners.

“The sector should be able to generate significant growth no matter how interest rates evolve, so we’re putting more emphasis on senior living at this point,” he said, referring to a report Echelon released last month.

The report, The Ultimate All-Weather Investment: Canadian Senior Living Real Estate, differentiates between long-term care, which is the purview of governmental agencies, and senior housing, which requires private funds.

“The appetite from investors for senior living spaces remain strong,” said Blondeau. “The sector will be subject to strong inflows from investors wanting to put their money in the space.”

Echelon Wealth Partners reckons that times are turbulent and, in particular, it is worried about the global macroeconomic outlook. However, according to Blondeau, irrespective of whether the economic environment improves, remains stable or becomes more unstable, senior living spaces will be unaffected.

“Especially in Canada’s strongest markets, like Toronto and B.C.,” he said. “We also feel like the market will continue to see strong activity and development of products. The sector will be subject to major capital investments, too, so it will remain a very vibrant sector no matter what happens with both the global and Canadian economies.”

David Stroller, vice president of marketing at Mysense.ai, an analytics platform that monitors health and behavioural patterns in individuals, expects substantial investment in the senior living sector over the coming decade. For proof, he points to hospitals.

“As population ages, we run into capacity issues within hospitals, so there will be a huge priority in keeping older adults living at home longer,” said Stroller. “There is greater need for residences designed to support and help older adults remain independent longer.”

That need is already manifesting in through-the-roof demand for monitoring devices for fall detection and wandering.

“Scarcity will be a major issue in the senior living sector,” said Stroller. “When you can find an industry that’s growing, you want to attach yourself to it, and this is one of those industries because we see an increase in consumer demand, an increase on the business side with suppliers and technology, and that should be met with an increase in supply.”

Copyright © 2019 Key Media Pty Ltd

OC and ORTIS agreed to blend the two MLS systems

REM

Two regional real estate MLS systems in Ontario have joined forces to provide services to 22 boards and associations and more than 13,000 Realtors.

The Ontario Collective (OC) and Ontario Regional Technology & Information Systems (ORTIS), have signed a Transition Agreement to blend their two separate systems into one common shared regional MLS system.

Steve Dickie, chair of the OC, says: “For going on decades now, progressive Realtors and associations have been working to break down the artificial walls that have separated them. This initiative will significantly enhance the opportunities and services for our Realtor members as well as their clients.”

“From the beginning, this has been a member-centric process where we have put the needs of the Realtor first and foremost,” says Brad Johnstone, ORTIS chair. “Realtors and their clients all have the same wants, needs and expectations, regardless of the size and location of the association they belong to.”

Johnstone says, “The systems our two groups developed independently of one another are powered by the same stable, secure, proven and reliable technology, and both were developed by Realtors for Realtors.

Both groups are using CoreLogic’s Matrix system to power their MLS services. Matrix is used by more than 700,000 Realtors in North America and 32,000 in Canada, the company says.

Combining the two systems into a seamless one will result in a “best-of-breed” solution by taking the lessons both groups learned in their individual regional projects and bringing them together, say the groups. “Central to this project from the beginning is the recognition that members are equal. No matter what part of the province a Realtor practices in they have the same need for high standards and dependable technology,” say the groups in a news release.

“We’re going to take the best of both systems and combine them together to make something even better,” says Kati Strickland, project manager of the OC. “We’re working with CoreLogic now to align the needed resources and flesh out our project plan with the objective of having members online with it in the fall of 2019.”

The OC is comprised of boards and associations in Bancroft, Kawartha Lakes, London and St. Thomas, North Bay, Northumberland Hills, Peterborough and The Kawarthas, Quinte, Grey Bruce Owen Sound, Southern Georgian Bay, The Lakelands, Tillsonburg and Woodstock-Ingersoll.

ORTIS includes boards and associations from Barrie, Brantford, Cambridge, Guelph, Huron- Perth, Kitchener-Waterloo, Mississauga, Niagara, Oakville, Milton and Simcoe.

© 2017 REM Real Estate Magazine

U.S. based online real estate brokerage coming to Canada

Mario Toneguzzi
REM

Another big U.S.-based online real estate brokerage is launching in Canada, selling itself as a more affordable way for consumers to buy and sell homes throughout the country.

Redfin, which is based in Seattle, will open in Toronto and Vancouver by March and it plans to expand to other major Canadian markets once it has established itself north of the border.

Glenn Kelman, CEO of Redfin, said the technology powered brokerage will have its own agents working in the offices with a mission of delivering the best customer service possible.

“It’s such a different model,” said Kelman. “In the next few months we expect to be live. So many consumers start their search online. Being a technology-first brokerage just helps us meet customers at a lower cost and then I think consumers really want someone who is on their side. That’s having agents who are employees of the company, who can work together as a team, taking technology, which means we can deliver better service.

“It’s an on-demand world,” says Kelman. “People want to touch a button and have their groceries delivered or a taxi pick them up. Now they have the same expectation of Realtors, which means organizing to work as a team and using technology to get people into homes at a moment’s notice, to answer their questions whether it’s a weekend or weekday night.” He says it’s a challenge for the industry, but it’s “what Redfin was organized to do.”

Redfin was launched in the United States in February 2006 and today has a presence in more than 85 markets south of the border.

Redfin’s website and mobile apps will show all homes for sale through the local MLS in Toronto and Vancouver. It will also show sold prices in those markets.

Asked about the company’s bigger plans for the Canadian market, Kelman replied: “We don’t know yet. Our biggest plan is to make our first customer very happy and after that we plan to make our second customer very happy. We can’t get ahead of ourselves here . . . We do hope to be able to offer services in other major Canadian cities. That will take time . . .  It took us 10 years to cover most American cities and still we don’t cover them all. We’re going to focus on the major cities just because it helps us to have some density – some density of customers, some density of agents.”

Salespeople working for Redfin will be employees of the company – not independent contractors – and will be paid bonuses based in part on customer satisfaction. The number of agents in individual Canadian offices would depend on how busy those offices become.

“I think one difference between Redfin and other brokerages is that we just don’t measure our success in terms of the number of agents we have. We don’t recruit agents as a way to recruit customers. Our goal is to make the agent as efficient as possible. It’s not a recruiting operation primarily. It’s a customer service operation,” says Kelman.

Redfin says it will charge home sellers a one per cent listing fee. Agents will provide complete home-selling services such as pricing and staging advice, free professional photography, a 3D walkthrough of the home, open houses, yard signs and beautifully designed marketing materials. The company said its listings will receive premier placement on Redfin.ca and will be displayed on Realtor.ca and other Canadian real estate websites via the Multiple Listing Services.

“By working with a local Redfin agent, a seller in Toronto will save $11,250 on a $750,000 home sale when compared to paying a listing commission of 2.5 per cent. The one per cent listing fee does not include a buyer’s agent commission, which is typically paid by the seller,” said Redfin.

Kelman said the company’s technology makes it more efficient, which gives it the ability to implement its cost structure. He says that’s important because there is an affordability crisis in both Canada and the United States.

“It’s harder to get a loan. Foreign investment has driven prices up and now there’s just a bunch of people who need every dollar they can to go to the house,” he says. “So, paying real estate agents a living wage where really we want best-paid professionals to work for us but still investing in efficiency – let’s just have our cake and eat it too, if the consumer can get low fees and the agent can still have a good life.”

Blair Anderson, a Toronto native with more than a decade of experience in real estate, will lead Redfin’s operations in the Greater Toronto Area.

“Canadian consumers are discerning and tech-savvy and I believe they will be blown away by Redfin’s unmatched combination of agent service, technology and value,” says Anderson in a news release. “Not only will we provide full real estate services for a lower fee, the Redfin model rewards customer service, so our agents are accountable to deliver the best outcome for their clients.”

The company said its customers, whether they buy a home or not, are asked to review the service they received from their Redfin agent. The reviews are published on the agent’s online profile and agent bonuses are based in part on these reviews.

© 2017 REM Real Estate Magazine

Vancouver is in ‘full-blown correction mode,’ RBC economist says, with more price depreciations expected

Greg Quinn
The Vancouver Sun

Vancouver’s housing market is looking more fragile than Toronto a year after policy makers tightened mortgage lending to slow a boom. Watch Video

While the country’s two most expensive real estate markets have both been hit hard by higher interest rates and tougher mortgage regulations, the data suggest Toronto is faring better and showing signs of stabilizing, while Vancouver continues its slide.

Sales in the west coast city plunged 32 per cent last year, driving benchmark prices down 6.5 per cent over the past six months, according to Canadian Real Estate Association data released Tuesday. Toronto also saw sales fall sharply, but by half as much as Vancouver and with prices in Canada’s biggest city little changed in recent months.

“I’m not worried about Toronto, I’m worried more about Vancouver at this stage,” said Sebastien Lavoie, chief economist at Laurentian Bank Securities in Montreal. “The biggest worry I have for Vancouver really is the expectations that could turn a lot more downbeat because of the downward trend we are seeing now.”

The relative performance reflects in part a bigger surge in prices during the boom in Vancouver, where they gained 68 per cent over the last five years. That’s ahead of Toronto’s 58 per cent increase.

“Vancouver is in full-blown correction mode,” Royal Bank of Canada economist Robert Hogue said in a research note Tuesday. “Prices are poised to depreciate more — potentially a lot more considering the degree to which they are still unaffordable to average buyers.”

© 2019 Financial Post

Mastering the ins and outs of financing is crucial to success

Canadian Real Estate Wealth

Brokers Dalia Barsoum and Enza Venuto explain the pros and cons of using vendor take backs.

Whether you are starter or veteran investor, mastering the ins and outs of financing and getting the right advice is crucial to your continued success.

We have seen a tightening in the lending guidelines and they are expected to continue tightening, especially of the economic situation changes.  We have seen amortizations drop from 40 years to (25) years in most cases, tighter rules for buying as a self-employed especially if you don’t show much income on your tax returns as well the increase in down payment requirements over the years for rental properties.

The good news is that despite the tightening in guidelines, you can still buy and benefit from investing in real estate. It just means that you may now have to broaden the pool of lenders and financing strategies you deal with. It may also mean that there would be some increase to the cost of doing business.

In this issue, we discuss one of the key financing strategies that investors can tap into for lowering their out of pocket financing expenses and to save time: Vendor Take Back Mortgages.

What is a Vendor Take Back? A VTB or Vendor Take Back is when the seller (vendor) of a property provides you with a some or all the mortgage financing for purchasing his/her property. This type of financing is more common on commercial properties (including multi residential) however you can tap into this strategy on residential purchases. A VTB can also entail the seller covering one or more of your closing costs such as land transfer tax, appraisal, survey or application fees.

Why Consider a Vendor Take Back There are many reasons as to why seller-arranged financing may be attractive to you as a buyer: 1.    Buying a distressed property. If you are a flipper or looking to buy distressed properties with the mindset of improving/renovating those to increase value then a VTB may come in handy, simply because some lenders may shy away from lending against such a property or may lend at whopping interest rates. When dealing with distressed properties, it is often beneficial that you finance your purchase through a combination of a VTB, Line of credit, your own cash and then approach a lender once you have brought the property to a certain standard.

2.  You are unable to obtain Financing through the standard lending sources.  Qualifying for a VTB is a matter of negotiating one with the seller while getting a mortgage requires you to qualify with the lender.  If your financing application got declined and you have exhausted your sources, you may be able to finance your purchase through the seller.  Your ability to negotiate a VTB would depend on how motivated the seller is and his willingness to continue to tie his capital onto the property.
3.  Increase Your Return on Investment.  Assume you have $50,000 in down payment funds to buy your next investment property. In today’s world, this is a 20% down payment for a $250,000 purchase.  

If you were able to arrange first mortgage financing on this property for 80% of the value, so your first mortgage would be $200,000. If you are able to arrange with the seller a VTB for 10% of the purchase – which is $25,000 – , then you have effectively lowered your down payment for this property to $25,000 and as a result have boosted your return on investment due to the lower cash outlay.

4.  Buy a Larger Property with the same amount of funds or less.  As per the above example, you can buy a $250,000 property with $50,000 in down payment funds. With the same amount funds, you can buy a $500,000 property if you were able to arrange a VTB first mortgage for 90% of the value.
5.  Save on the costs and time associated with traditional financing.  There are various costs associated with financing a property. Those costs are typically much higher in Commercial properties and include but not limited to the following: appraisal, survey, lender fees, environmental analysis fees and mortgage insurer fees. In addition to the costs, the process of getting approved for a loan may be lengthy – depending on the complexity of the deal – and often require providing the lender with one or more support documents such as: income and employment verification, details about your existing property holdings, credit, bank statements and tax statement. A vendor take back saves you the time and costs associated with getting approved as you are dealing directly with the seller. It is also worth noting that with a VTB, generally there isn’t a penalty for pre paying the mortgage before the end of the term, while with traditional lenders such as banks for example, you will incur a penalty for prepaying the mortgage prior to the end of the term.
6.  You can afford to pay more for the property.   By negotiating a VTB with favorable interest and terms, you may be able to offer the seller a higher price for their property making your offer more attractive.

What is the Maximum Vendor Take Back that you can get from the seller? If you are negotiating a VTB as a first mortgage, then the loan to value (the ratio of how much the seller is loaning you to the purchase price) is a function of what you negotiate with the seller.  We have seen buyers able to arrange a VTB First Mortgage as a high as 90% of the price at which they are buying the property. If you are arranging a VTB in a second position; meaning that you are going to an institution for your first mortgage; then the max you can use in a VTB is 10% of the purchase price.

Do Lenders Allow Vendor Take Backs? Not all lenders allow a VTB. Your lending advisor would be able to assist you in placing your deal with the right lenders that support this strategy. If you are planning on using a VTB for a particular deal, it is important to disclose this information to your lending advisor.

<subheader>What are the Rate and Terms of a Vendor Take Back? The rate and terms on the VTB are negotiable. In most cases however, the seller will charge you an interest rate higher than what you would typically get through your bank. This is reflective of the higher risks that the lender is willing to accept. The terms on a VTB can vary from interest only payments with one balloon payment at the end of the term or interest and principal payments.

Why Would the Seller Agree to Such Arrangement? The advantages of a VTB are many to the seller, including: 1.    Monthly Cash Flow.  A VTB provides the seller with monthly cash flow after the property sells. Some sellers are likely to charge higher than market interest rates on their loans , enhancing their overall returns and ongoing cash flow 2.    Obtaining a higher price for their property.  A seller who is providing a VTB at attractive terms, can demand a higher price for their property 3.    Deferring taxes.  Instead of getting taxed on the full capital gains from selling his/her investment property, the seller can defer the taxes payable on some of those capital gains over a period of 5 years by arranging a VTB mortgage.   4.    Avoiding pre-payment penalties on existing locked-in loans.  If the property has a locked-in loan, the seller can sell without having to negotiate with the lender for a higher loan amount or permission to assign or repay the loan; saving the seller time and money 5.    Selling in a slow market. Offering a VTB in a stagnant market offers an extra incentive to buyers. It also helps the seller successfully market a hard to sell property

What are the risks of a VTB? Despite its advantages, a VTB mortgage should be entered into with caution. It is complicate and you should always consult with a real estate lawyer to review all documentation and for due diligence.  From a seller’s point of view, he/she is dealing with the risk of default.  From a buyer’s point of view, he may find himself having to pay off the VTB mortgage in a lump sum if the seller dies, goes bankrupt or needs to liquidate his estate.

Copyright © 2019 Key Media Pty Ltd

Canadian home prices slipped back in the second half of 2018

Steve Randall
REP

Canadian home prices slipped back in the second half of 2018 according to a leading measure of pricing trends.

The Teranet-National Bank National Composite House Price Index was down 0.3% in December compared to the previous month, continuing a trend of most metropolitan markets in recent months.

For Calgary, December marked a sixth straight month without an index rise, and a cumulative decline of 2.0%; for Vancouver a fifth straight month and a cumulative loss of 2.9%; for Edmonton a fourth straight month and a cumulative loss of 2.7%.

In the fourth quarter, only Montreal and Ottawa-Gatineau posted price gains.

The summary of the latest index data highlights the impact of higher mortgage rates and tougher qualification criteria; and calls for a soft landing for Canada’s resale market.

December by market Across the metro areas surveyed, there was widespread price decline in December with 7 of the 11 negative.

Edmonton (−1.4%), Vancouver (−1.2%), Winnipeg (−0.9%), Calgary (−0.6%), Victoria (−0.4%), Hamilton (−0.4%) and Quebec City (−0.4%). Indexes were up for Ottawa-Gatineau (1.0%), Montreal (0.4%), Toronto (0.2%) and Halifax (0.1%) all saw lower price indexes compared to the previous month.

Looking at the 6-month picture, there was year-over-year decline for Calgary (−2.6%), Edmonton (−0.9%), Winnipeg (−0.5%), and Quebec City (−0.1%); Halifax was flat; and there were gains for Victoria (6.0%), Ottawa-Gatineau (5.9%) Montreal (4.4%), Hamilton (4.4%), Toronto (3.7%) and Vancouver (1.4%).

The 12-month advance of the composite index, at 2.5%, was the smallest since 2009.

The index is calculated from a base value of 100 in June 2005.

Copyright © 2019 Key Media Pty Ltd

BCREA Reports a Decline in Home Sales

BCREA

The British Columbia Real Estate Association (BCREA) reports that a total of 78,345 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in 2018, a decline of 24.5 per cent from the 103,758 units sold in 2017. The annual average MLS® residential price in BC was $712,508, an increase of 0.4 per cent from $709,601 recorded the previous year. Total sales dollar volume was $55.8 billion, a 24.2 per cent decline from 2017.

“BC home sales fell below the 10-year average of 84,800 units in 2018,” said Cameron Muir, BCREA Chief Economist. “The sharp decline in affordability caused by the B20 mortgage stress test is largely to blame for decline in consumer demand last year.”

A total of 3,497 MLS® residential unit sales were recorded across the province in December, down 39.1 per cent from December 2017. The average MLS® residential price in BC was $695,647, a decline of 5.2 per cent from December 2017. Total sales dollar volume was $2.4 billion, a 42.3 per cent decline during the same period.

Total active residential listings were up 33.3 per cent to 27,615 units in December, the highest December inventory since 2014 when 33,995 active residential listings were recorded.

Copyright ©2019 BCREA

Canada’s housing market has stagnated

Josh Sherman
other

It may have been tough to imagine even just 12 months ago, but Canada’s housing market is stagnating — and don’t expect a return to previous highs any time soon.

So suggests BMO Chief Economist Douglas Porter in a response to the newest statistics from the Canadian Real Estate Association (CREA), published today.

“It’s probably not a stretch to think that the Canadian housing market has entered into a prolonged period of relative stagnation, where sales are roughly flat and prices no longer outrun inflation,” writes Porter.

Porter notes that sales activity declined 11.1 percent in 2018, while the average price of a home dropped 4.1 percent, representing the largest downturn since 1995. It’s also the first time prices have fallen since 2008, when the market was roiled by the Great Recession.

According to CREA, the average price of a Canadian home was $472,000 in December, off by 4.9 percent from the same time a year ago.

“What a difference a year makes,” says Barb Sakkau, CREA’s president, in a statement.

Both Sakkau and BMO’s Porter note that December 2017 home sales were higher than usual as some homebuyers rushed to purchase property before new mortgage stress test rules were implemented.

“Since then, the stress-test has weighed on sales to varying degrees in all Canadian housing markets and it will continue to do so this year,” Sakkau predicts.

However, Porter suggests that fundamentals, including a stronger labour market, will lift home prices in Canada’s biggest market despite stress testing. “Realistically, prices should keep pace with inflation (or a bit better) as the cycle runs its course,” he writes.

That was certainly the case in December. The benchmark price of a Greater Toronto home was $764,200, an increase of about 3 percent on a year-over-year basis.

As with Toronto, Porter anticipates “stability” in Vancouver as a result of fundamentals. While Vancouver’s benchmark home price remains above the $1-million mark, it has declined about 2.7 percent from a year ago.

“Clearly this market has had even more to swallow (provincial measures in addition to federal moves) than most, and some of those headwinds should ease this year,” says Porter.

Not only did BC expand the Metro Vancouver foreign-buyer tax to the area’s environs, it increased it to 20 percent, up from 15 percent.

The province also announced a speculation tax, which follows the introduction of the City of Vancouver’s empty-home tax, which was implemented in 2016 and has raised tens of millions of dollars for the municipality.

While homebuyers in the Prairies don’t face the same hurdles, the region’s biggest housing markets have been struggling as the energy sector, a major employer, has been hit with lower oil prices.

“The Prairies—we’ll lump Calgary, Edmonton and Regina into this group—are in full-fledged stagnation mode already, to varying degrees,” Porter comments.

Benchmark prices were down annually in all three markets as of December.

“In fact, these boom-bust markets are undergoing more of a slow and agonizing melt at the moment, and there’s little reason to believe conditions will dramatically change this year,” Porter adds.

© 2019 BuzzBuzzHome Corp.