China News Service, February 13th According to Canada’s “World Journal” report, the news that the Canadian Federal Immigration Department will cancel investment immigration has caused repercussions in the local Chinese real estate industry. The Chinese real estate agents interviewed believe that this decision is correct. The housing market in Greater Toronto has a significant impact, which will inevitably lead to a decline in house prices, especially in high-priced luxury homes.
Broker Li Wei said that in recent years, wealthy people in China have come to buy real estate, and the housing prices in the Greater Toronto Area have been too high, especially in some so-called prestigious campuses. Outrageous. Local people, especially those who are new to the market, simply can’t afford a house. It is a good thing that the Immigration Department now intends to close the door to those who have money in their hands and have no real contribution to their country.
Li Wei said that when such a particularly wealthy person cannot come to Canada, it will definitely have an impact on the local real estate market, and house prices will fall and eventually fall back to normal levels. He believes that the overall real estate market will be cooled, but the price of some areas that Chinese people are keen on will fall more significantly. He stressed that in the current market, the rise in housing prices in the Chinese-speaking regions is generally higher than in areas where Chinese are not interested.
As for whether house prices will fall significantly in the short term, and how much the decline will be, Li Wei said that it is difficult to predict. However, he believes that while those overseas rich people withdraw from the local real estate market, local buyers will gradually enter the market because house prices are no longer high and scary, so the market will gradually move toward normal.
In the 21st century, Fu Bao real estate agent Zhu Baolin believes that Canada will no longer absorb investment immigrants. The local high-priced housing market will experience a slight decrease in turnover and house prices, but it will not impact the market too much.
Zhu Baolin said that he took a guest to see the house the day before yesterday. He had placed an order at the evening, but after hearing the news of canceling the investment immigration at night, he offered to suspend the order and wait and see if the house price would be Down. So this is the market reaction. Because everyone feels that if investment immigrants can no longer enter Canada, the real estate market will certainly not be able to avoid the impact, and house prices will fall.
However, Zhu Baolin feels that the impact of changes in investment immigration policy should be mainly high-priced housing. The medium and low-priced housing is mainly purchased by local people, so it will not be greatly affected. Even because many first-time buyers will enter the market due to falling house prices.
Zhu Baolin also said that house prices are subject to market demand, interest rates, employment rates, Canadian dollar exchange rates, economic growth rates, etc., as some buyers’ exits will not have an excessive impact on the market. As Canada’s economic growth rate and employment rate are still optimistic, and interest rates are still at a low level, and the recent weakening of the Canadian dollar against the US dollar, these will prompt investors to join the Canadian real estate market. Furthermore, although the federal government has cancelled investment immigration, investment immigration projects in various provinces still provide opportunities for prospective applicants. In addition, more and more international students come to Canada to study. Most of the parents behind them have the idea of buying a home for their children. Together with their economic strength, these factors can bring buyers to the real estate market in the Greater Toronto Area. In short, house prices will fall slightly, but the impact on the overall market will not be too great.
Responsible Editor: Liu Yang