VANCOUVER, May 25, 2020 (GLOBE NEWSWIRE) -- As housing markets across the nation fall into the slump phase of the real estate cycle, one city is holding on. According to the Real Estate Investment Network’s (REIN) COVID-19 Special Edition: Real Estate Cycle Update report, all major real estate markets in British Columbia, Alberta, and Ontario are on a steady decline due to the economic impact of the pandemic shutdown and restriction measures—except for one: Ottawa.
These findings are based on many REIN research methodologies including REIN’s Long-Term Real Estate Success Formula and REIN’s Real Estate Cycle Scorecard, both of which look at rapidly-evolving changes of economic fundamentals affecting the real estate market, such as GDP, jobs, and population. The report suggests the impacts of COVID-19 on these driving indicators will move most markets further into the slump phase in the coming months despite provinces gradually re-opening their economies.
For the first time ever, REIN produced real estate cycles for three provinces:
REIN also looked at major real estate markets, concluding the following:
While the slump is generally characterized as market slowdown, the report suggests it can also be an excellent time for uniquely positioned investors to take advantage of the opportunities that are bound to hit the market sooner or later.
“Ottawa emerges as an outlier in the current pandemic landscape partly because as the seat of Canada’s federal government it’s insulated to some extent from the massive pandemic-related joblessness impacting the country,” says Jennifer Hunt, Vice President Research for REIN.
The real estate cycle functions as a predictive tool to determine which phase a specific market is currently in based on driving indicators and market influencers. The report shows where specific markets are in the real estate cycle including what to do and what to avoid doing.
“We may not be able to direct these market forces, but we can control how we respond – employing exactly the kind of ‘pandemic pivot’ we need to protect our property during these turbulent times. The key will be in watching for indications of recovery, such as economic activity, employment, immigration, and new rental demand,” Hunt concludes.
About the Real Estate Investment Network
REIN was founded in 1992. It is Canada’s most trusted source of real estate investment education, analysis, research, and strategic leadership. It offers a platform and environment of high-level education and information for its clients, resulting in over 40,000 combined properties purchased, which represents more than $5.3 billion of real estate holdings.
REIN delivers balanced and impartial research and economic insights integrated with relevant analysis. It brings critical information, opinions of industry thought leaders, and proven strategies of success together to help homebuyers and investors make wise and well-thought-out decisions on where, when, and why to invest in real estate.
REIN sees a bright future for the Canadian real estate marketplace. Its clients, armed with current and insightful research and provided with strategic guidance and help from an exceptional like-minded community, are set to continue to thrive and achieve their personal investment goals.
For more information:
Jennifer Hunt, Vice President Research Real Estate Investment Network Ltd. 604-449-6034 email@example.com