VANCOUVER (NEWS1130) – There’s been a huge surge in home sales across the province over the last year. The rise in interest rates and a recovering economy are two of the main reasons we’re seeing more people become homeowners.
According to a new BMO survey British Columbians are the most confident across the nation to have bought a home because they felt prices would keep rising.
Joanne Gassman with the Bank says the sense of urgency to get into the market is due to the upcoming HST. “I think the biggest thing is really just understanding your financial situation. Sitting down and really stress-testing your budget, use a mortgage payment based on a higher interest rate.”
She explains the spike in interest rates and a rebounding economy are the two key reasons people are deciding to sign on the dotted line. “We’re actually seeing house prices go up as well. In Vancouver, actually house prices are up about 31 per cent compared to what we’ve seen as a national average which is around 18 per cent over last year.”
Gassman adds housing prices have risen 89 per cent since 2002.