I’m not an economist, if that is even the right term. I have taken a few economic classes in college, but I’m not sure if I fell asleep for all of those classes. I would probably find them a bit more interest today.
Our dollar seems to be tanking in the last month or so, and I actually think it is a good thing right now for Real Estate. Here’s my line of thinking, and the truth is no economist knows what will happen, its all a guess. I think that due to all of the foreign Real Estate investment in Canada, the lower dollar will further attract more investment in the market. The stability and lower dollar will actually attract a new investor or will lure current investors to put more money in.
My analogy of the day is that if you are already investing a million each year in the market, and now you can get double your investment for the same million, wouldn’t you want to do that. Ok maybe its not 1 to 1, but you get the idea.
I also thing that the lower dollar will help boost manufacturing with the U.S. and other countries, but it will be bad for cross board shopping and travel. Sorry travellers.
I am sure that the lower dollar hurts our potential somewhere along the line, but for my industry I think it is a good thing. The reason why is the market is saturated with Condos, and new developments going up. It has to plateau somewhere, I don’t think we’re at that spot yet, but this little dip might help push that farther down the road, and give the market a little bubble which is always great!