Canadian home buyers continue to catch their breath

According to the Royal LePage House Price Survey¹ and Market Survey Forecast released today, year-over-year home prices made modest gains in many regions across Canada in the third quarter of 2018. The national trend was largely influenced by price appreciation in Greater Vancouver, while property in the Greater Toronto Area experienced continued year-over-year price declines, with modest gains in value when compared to the previous quarter. Meanwhile, the Greater Montreal Area saw the highest year-over-year home price appreciation rate of the three largest Canadian metropolitan areas studied.

The Royal LePage National House Price Composite, compiled from proprietary property data in 63 of the nation’s largest real estate markets, showed that the price of a home in Canada increased 2.2 per cent year-over-year to $625,499 in the third quarter of 2018. When broken out by housing type, the median price of a two-storey home rose 1.4 per cent year-over-year to $736,337, while the median price of a bungalow climbed 1.5 per cent to $519,886. Condominiums continued to see the highest rate of appreciation nationally when compared to the detached segment, rising 6.7 per cent year-over-year to $441,240.

Looking ahead, Royal LePage is projecting a further uptick in home price appreciation in the fourth quarter, forecasting a 1.5 per cent increase in the aggregate price of a home in Canada over the next three months.

“Positive economic fundamentals, supported by a new agreement on trade, should bolster consumer confidence across Canada and stoke demand in the nation’s real estate market,” said Phil Soper, president and CEO, Royal LePage. “Dangerously overheated regions have cooled considerably this year, while home prices have remained remarkably resilient. This is the soft landing that policy makers were hoping for.”

After more than a year of intense negotiations, the federal government reached an agreement with the U.S. and Mexico on regional trade. Widely seen as a good outcome for the Canadian economy, the USMCA is expected to be signed into law before year end.

“More confident that their jobs are secure, the new USMCA agreement has removed a widespread veil of uncertainty that was acting as a drag on large purchase decisions,” said Soper. “On the other hand, the trade deal paves the way for the Bank of Canada to raise interest rates. Overall, this is a positive development for housing industries on both sides of the border.”

To view the chart with aggregated regions and markets visit royallepage.ca/houseprices

For more information see royallepage.ca/mediaroom

¹ Aggregate prices are calculated using a weighted average of the median values of all housing types collected. Data is provided by RPS Real Property Solutions.

During the winter months, it may be hard to ready your home for an open house, but these tips can help buyers see past the snow and dream big.

1. Access to your front door must be easy. Clear all snow and ice from the driveway, front walk, porch and any paths around the house and backyard.

2. Decide how to manage coats and boots so as not to distract from your entryway’s first impression. Put out a freshly washed or new rug and keep a spare tucked away, as a backup.

3. Fill your home with bright and warm light, creating a cozy contrast to the cold outside.

4. Find the perfect temperature. Keep in mind the door is going to open and close throughout the day.

5. Showcase summer photos. If you have a photo of your backyard in full bloom, blow up a copy and display it by the backdoor.

6. Create a welcoming and relaxing first impression with light aromas. Brew coffee, warm a pie in the oven or light a mild-scented candle. The rule is to keep fragrances very light to not overwhelm scent-sensitive buyers.

7. Resist the holidays. Holiday decorations act as clutter hiding your home’s potential, and nothing can make a room look smaller than a Christmas tree and gift-wrapped boxes. If you cannot resist, a small ornament on the hearth or another small nod to the holiday your family celebrates can add charm without taking over.

Winter boots, coats, hats and mittens can create chaos when you first walk through the door, but with the right design plan, this area can be clutter-free. Not only will the space look tidy, you will save time and reduce stress when everything is dry and at your fingertips.

Less water inside starts outside: Leave a rough mat outside to brush off snow and another mat inside where boots can dry.

Air circulation: While it’s tempting to create storage with doors to hide bulky coats, you need air flow to dry garments and boots. Hooks are much more effective than cramming coats into a closet.

Well-designed and sturdy hardware: Heavy coats that stay up the first time require a good hook. Since hooks are relatively inexpensive, don’t worry about saving a few dollars.

A place for everything: No matter the size of your space, everything should fit neatly. If you have children in your family, assign each person a space. Extra winter gear can be passed along or donated.

Protect your floors: It’s inevitable that even the best mat will leak or overflow. If you are putting in new flooring, you might want to consider waterproof materials such as tiles. Another option is to use a large rug that covers most of the space and fits nicely under the mat.

Looking to add some fresh air indoors this winter? Visit your local gardening centre to add one of these detoxification powerhouses to your home.

Lady Palm  Naturally resistant to insects and durable, this plant can grow 14 feet if given room. Highly adaptable to most indoor environments, this plant is a good choice for a beginner.

Bamboo Palm  Scoring high in its ability to remove formaldehyde and benzene, two commonly found toxins in the home, bamboo palms are a perfect choice for a room that is bright and sunny.

Areca Palm  This plant can grow over 10 feet tall and emits water vapour, a bonus for dry homes.

Rubber Plant  If a room in your house gets a little cold, this may be the best plant for you. Tolerating temperatures as low as 5 degrees, rubber plants can also be placed in areas with low sunlight. Be sure to wear gloves when you are pruning, as the sap can irritate your skin.

The Royal LePage Shelter Foundation, celebrating its 20th anniversary in 2018, brings Royal LePage professionals together to benefit an important cause: women’s shelters and helping put an end to domestic violence.

Why is this a focus at Royal LePage? It’s because we know that a house is only a home if the people who live there feel safe, respected and loved. Sadly, that’s not the

case for thousands of Canadian women and children who experience domestic violence. In fact, on any given night in Canada, 6,500 women and children sleep in a shelter because it’s not safe for them at home and as many as 300 are turned away because shelters are at full capacity.

The Royal LePage Shelter Foundation provides an avenue for Royal LePage professionals to make a difference for these brave women and children. By organizing fundraising events, donating a portion of their commissions, volunteering at local shelters and taking part in our national fundraising campaigns, Royal LePage agents, brokers and employees have helped to raise more than $27 million since the foundation was founded in 1998.

Our culture of giving is evident at both the office level and at all Royal LePage conferences and regional meetings, where fundraising for the Shelter Foundation takes centre stage. At the 2018 Royal LePage National Sales Conference, those in attendance helped to raise a record-setting $150,000 in just five days. But it’s more than just raising funds that keeps Royal LePage Shelter Foundation supporters motivated. It’s the opportunity for our agents to form strong friendships and professional networks with other like-minded individuals across the country.

For example, the Royal LePage Shelter Foundation invited Royal LePage professionals to take part in unique travel experiences to Machu Picchu in 2015 and Iceland in 2017, challenging them to raise significant funds for women’s shelters and violence prevention programs. But the challenge didn’t stop at fundraising. On both adventures, trekkers hiked across gruelling terrain and climbed and descended steep hills. In Peru, trekkers fought through altitude sickness, while in Iceland they endured the crossing of icy rivers with water up to their thighs. They camped in tents, did without daily showers, and disconnected from home by turning off their cell phones.

Throughout both treks, participants pushed themselves to the limits. They demonstrated courage, perseverance in the face of pain and exhaustion, and great kindness to one another. They carried each other’s gear, cheered for those who thought they couldn’t walk another step and helped one another through dehydration and injury. Cumulatively, these treks raised over $1.1 million in support of our shared cause. Currently, trekkers are preparing for their next adventure — a 100 km hike across the Sahara Desert in Morocco!

A strong culture built around shared values including giving back to the community is unique to Royal LePage and it’s why we are the only national real estate company with our own charitable foundation. With the company covering all the Royal LePage Shelter Foundation’s administrative costs, 100% of funds raised go to where they are needed most. Together, we’re helping women and children safely rebuild their lives after violence.

For more information on the Royal LePage Shelter Foundation, please visit royallepage.ca/shelter.