Welcome to April

Many of you have invested with Drake Financial Ltd. in one of our investments. Four out of five of our approved investment products are based in real estate while the fifth product is GICs. So, you can appreciate our extreme interest in the health and direction of the real estate market – especially in BC and Alberta.

In a nutshell the experts are saying a variation of the following - after an extremely low level of activity in 2023 the market will have a sharp rebound and increase in sales volume, although still at lower levels than the ten-year average. Interest rates should drop about 1% in the second half of 2024 resulting in an average price increase of 2.3% across Canada according to the Canadian Real Estate Association.

These are general forecasts and if we focus on our two main markets of BC and Alberta, we find that BC is predicted to have increased sales of over 7% but flat values due to affordability and government regulation restricting use and adding costs to real estate. For Alberta, experts predict an 11% increase in sales and over 6% increase in prices. Currently Calgary is the only seller’s market in Canada.

What does this mean for Drake investments? Clear sailing!