Real Estate sales activity from the two largest real estate boards was reported last week and they reflected signs of stability. Here in Vancouver, sales have been lower than the historical average but listings and sales have moved toward a better balance. Toronto continues to see modest price increases despite lower sales volumes. In Calgary the tight inventory levels have pushed prices up by 9%.
Last week we also saw the Bank of England and the European Central Bank keep interest rates on hold, while the Bank of Japan promised to win the battle against deflation. Record low mortgage rates may fuel an increase in demand for real estate despite the tighter mortgage lending rules and as the spring market gets underway prices may rise again.