In the first half of 2011 were increases in the prices of real estate in Toronto, according to a monthly review published by the Association of Realtors Toronto. The question of whether this trend will continue employs research companies and banks advertise periodic reviews. A study published by consulting company “Capital Economist” domiciled in the City of London in Canada talking about a drop in the prices of real estate in Canada at up to 25% in three years when most of the decline will be in the cities of Toronto and Vancouver. The findings are reminiscent of the last ten years was a continuous increase in prices of houses and apartments, until there was a significant gap between spending and income holding houses salaries.
The fixed costs include maintenance of municipal taxes, mortgage and variable expenses include: electricity, gas for heating homes and water, renovation or replacement of electrical products. Over the years, it was fixed and variable expenses.
This compared with income or wage was not increased at the same rate as house maintenance expenses increased. Therefore, part of a larger percentage of disposable income in current payments intended for the maintenance of the houses. Review published by the Bank for trading in Canada where senior economist Benjamin Tal expects a drop in real estate as well as an overview of NTDTV bank also expects a 12% drop in real estate prices over the next year.
It should be recalled that in recent months and low mortgage interest rates is expected to rise. If the interest rate will increase Lmscntaot- would mean an increase in the maintenance of houses.
Another factor to consider it in the US economy goes down towards a deep recession. Shweikah the credit limit between Congress president has not dropped a decision or progress has been made as of this writing, it seems likely that at the end of the day, the two sides come to an agreement for lack of choice. However, this did not prevent the decline in the credit rating of the United States as a result interest rates will rise and mortgage lending. Also it will not solve the fundamental problems of the economy in the United States such as high unemployment and job creation in the short term. So surfing the United States into a deep recession will impact on the global economy including Canada. Presumably Sshsfah Canada will be moderate about the impact on other countries as it was in 2008. In other countries the economy in Canada is the largest among the seven countries that make up the G-7 group but that does not preclude corrections on real estate market meant a drop in house prices.
Therefore, a decline in real estate prices will allow investors to implement income-producing real estate assets in the hope to come back and buy more Atrktibbiim prices. As potential buyers sitting on the fence waiting for a drop in prices will return to the market in order to buy homes that recently were out of reach of their hands. In conclusion we can say that the light at the end of the tunnel it’s not just a train coming the opposite way, but the light of new opportunities