There’s Hope on the Horizon

First Line Mortgages released information this week, presented by their Chief Economist, Benjamin Tal. In it, Mr. Tal suggests that although GDP is moving in the right direction again, that Canada’s recovery will continue to be sluggish, as many Canadians do not have employment. He suggests that unemployment will creep towards 9%, and that this higher rate will be an anchor on our recovery.

As a result, Mr. Tal suggests that this sluggish economy will allow the Bank of Canada to keep mortgage rates low throughout the next year. This should have a large impact on the Western Canadian economy as we have declined so significantly here. If it remains enticing for new buyers to purchase, this will help stimulate the Real Estate market in Alberta.

Whether you are an investor, seller or purchaser, this is good news as pent up demand and low rates will help drive us through these market doldrums.

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