HIGH END HOUSES SELLING
The Million Dollar plus market is soaring right now right across the country, but does that mean we can sit back and enjoy a full market "recovery"? Not so fast.
High End Houses Selling Blog Transcription
Hey there, Rob Reynar here checking in. Lots of talk in the last couple of days about a news report after a study by RE/MAX that the high end market is really driving part of the real estate market right now and everyone's pointing to recovery because there have been a record number of high end homes sold in Canada year to year, so meaning the million dollar plus. I don't know, I'm not trying to be a negative nelly here but I'm not sure that the high end market is what signals recovery. Last year it was the four to four fifty market and even, it was really the four hundred market that carried the ball for the real estate market and kept things moving along. I think the high end market just signals value. I don't think it signals full recovery because if you look at all the little micro-economies that are out there right now, we have a huge good of listings say in the Cochrane market between four to quarter and four-sixty, four-seventy. There's tons of product in that market place, very competitive and prices probably are gonna come down in some cases because of the amount of listings that are in that price point. So to me, there isn't a full recovery just because million dollar homes are selling again. It means the people who are in that market are identifying value because of the drop in overall prices. Let's face it, if there a fifteen percent drop in homes prices, that's bigger at three million than it is at four hundred thousand. So again is it overall recovery? I don't think so. The other key indicator for me is the Condo market. To me the condo market is the bell weather for the overall real estate market because it's generally the first to start to collapse when the market goes down and the last to go up when the market recovers. Condo has not recovered, not even close. So I think we're a ways away from calling this recovery but there is overall market health. So in that I don't think we can ask much more than that. So not a recovery yet, watch the condo market. Love to hear your comments on this, Rob@RobReynar.com, R-E-Y-N-A-R, Rob@RobReynar.com talk to soon, Buh Bye!
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