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Old Posted Sep 29, 2020, 1:12 PM
cornholio cornholio is offline
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Join Date: Jun 2006
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Similiar trends globally. Or atleast mostly globally. Here in Europe the summer set records for new mortgages much like everywhere else. Interest rates fell rapidly and governments made other moves to prop realestate markets up (in the country I am in interest rates fell to as low as 1.54% from 2.29% at best at the start of the year and the government scrapped a 4% of value sales tax on realestate).

However now things are also beginning to slow down and projections are that the short summer surge will fade away and the economic disaster unfolding will begin to have a larger impact on the market.

It will be interesting to see how it unfolds and what I seem happening in Canada so far seems to be mirroring what is happening on the orher side of the Atlantic. Rates can't go lower. There isn't too much else that can be done to prop up the market. And the economic damage is real and will only truly be felt next year once companies and countries and people will need to fix their books. Also business travel, tourism and the desire for people to live in cities has changed and will never be the same again. And it changed for the worse regarding realestate. We have people seeing cheap rates and once tices jumping in because they still have their jobs and nothing changed beyond rates going down. Then you have a lot of people trying to get out because they can't rent their places or they want out of the city or they see trouble ahead.
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