All About Selling Real Estate Investments in Barrie, Orillia
By Mark Vosylius, Toronto, Ontario
(Mana Investments )
When to sell a real estate investment property. The recent report by the Bank of Montreal ( Financial Post Financial, March 3) stating that perhaps we are at the top of our cycle only confirms what we discussed here only a few weeks ago. The affordability index in Canada is too high. The report suggests that the compensating factor is rising wages. That is, if income rises to match increasing home prices then we will avoid a decline in investment property values. This is the second of such report in weeks. There is reason to take these reports seriously. The tipping point as to when the affordability index reaches the top ( ie prices thereafter will then fall) is 45%. Historically, the past 2 declines ( 1989, 2007)in housing prices was when the affordability index hit 45%. ( NOTE: This ...
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