The economy of British Columbia is predicted to grow at a good rate in the last half of the year 2013. Construction of homes and activity of investors and buyers will slow down at the beginning of the year as a result of moderate activity in the Vancouver BC real estate market. Although the economy of BC is expected to grow slowly for the second year in a row, there are various reasons for potential buyers to remain optimistic. The growth of the economy of the U.S is expected to grow from the end of 2013 into 2014 by approximately 3%; the fact that U.S is one of the major export markets of BC is a good reason for buyers to keep smiling.
After many years of low activity in the American Vancouver BC real estate market, the construction of properties and cost of residential homes is slowly gaining foot. The rebound of the housing industry in the U.S has played a great role in the rise of activities in the BC housing industry; a come-back is also expected in the forestry industry. The growth of the construction industry in America is as good as that of its households; the export of products made of wood to U.S rose by 25% in 2012 and a similar or even better trend is expected this year.
The growth of the global economy is also anticipated to rise by 2014 and this in turn will benefit the Vancouver BC property market as well as its global export market. There is improvement in the region’s labor market as indicated by the drop in the rate of unemployment for the last 4 years; full time jobs are expected to reach peak numbers in 2013. As a result, 2.6% growth is forecasted for 2014 in terms of the growth of the economy and spending by buyers and investors in the housing sector. The construction of new housing units is expected to increase towards the end of 2013 unlike the 7.5% drop experienced in 2012. However, the development of households is expected to reduce as a result of the decrease in population in the previous year.
Many housing units that were not sold in 2012 are expected to sell off this year, especially during the last half and into 2014. New constructions are expected to take off in 2014 with a rise of up to 4%. With constant rates of mortgages, the future of Vancouver BC real estate looks green and quite optimistic.
