Rent crunch to worsen

YOKO

Sun, November 4, 2007
: K1 D9 w) V% {3 @4 z4 U
Rent crunch to worsen
7 |6 U4 D( a7 VVacancy rate forecasted to dip to under 1%

By KEVIN CRUSH, SUN MEDIA
/ g# H9 K( @$ q( J9 a
Think the rental market is tight now? Just wait until next year.
/ S3 H1 U, [6 Z/ k$ J$ }; p
That's when the apartment vacancy rate in Edmonton is forecasted to dip below the current 1% - making it that much harder for already frustrated renters to find a place to live.
* ^0 a2 p6 r7 V+ S/ g1 r
6 d1 S/ ^! }3 D4 u"It's just getting retarded," said Jasmine, who asked her last name not be printed.
$ }1 O0 e% F4 U( w8 r
SIX MONTHS LOOKING

Jasmine said she's already spent more than six months trying to find a decent place for her and her fiance to rent with no luck.

  
$ w- Z( Q3 p- l' [# [2 s
) x2 ^# q, Y1 Z. zFor now, the couple has been living with her brother and mother in a three-bedroom government-subsidized housing unit.

' v; L5 f1 I2 ?& X7 mThey have been scouring the city for anything - but have found nothing in their price range, around $1,100.

9 X9 D0 [' g- g" I"I graduated from college, but I'm still working two to three jobs just to supplement the rent payments," she said.
) H0 z7 h) J7 d
According to new numbers from the Canada Mortgage and Housing Corporation (CMHC), the apartment vacancy rate for Edmonton is a minuscule 1%.

The rent crunch isn't expected to get any better with the agency pegging the rate next October at just 0.8%.
! S( N) t2 j) J$ M5 D
A limited supply of new rental buildings is keeping the market tight, according to the CMHC's outlook for Edmonton, released this week. Apartments being converted into condos is further keeping a stranglehold on renters.
  u6 f" j+ m, |" w
Rates are staying high with the average rent for two-bedroom apartments at $950 a month, up from $877 a month in October 2006.

9 w- b  d8 D5 z. k; T! z8 ^. Z"With the rental rates being so high, you can only do so much," said Jasmine.

% ^! P! W& }2 |7 V4 w, h0 BMaking it worse, she has pets, and few places accept animals.

Meanwhile, house sellers are facing a crunch of their own.

1 G* s, X1 ~3 F8 a' @2 d- ?; [# nWith a growing inventory, high prices, and wary buyers, houses can be on the market for months. The CMHC predicts listing periods will get even longer in the new year.

+ v( n+ _' k2 J3 C. \- U"It's been slow," said Alana Schulte, whose Goldbar home has been up for sale since June.

5 F$ N$ |  o% i3 d, E( e"Shoppers are shopping around a lot more now. They're taking their time. I have had one couple who have come in four times now, but they're not in any rush to make an offer."
. e, `0 g4 P" ?6 N5 e; [5 j
2 m" E; I% n# TOriginally listed at $450,000, in late August, she dropped her price to $400,000 to entice buyers. So far, there have been only lookers.

Schulte bought the house for $165,000 less than five years ago.
2 Q  c! h2 H2 t  `
Home prices skyrocketed because of investors buying up properties, said realtor Abe Hering.
. t0 j; e- ^7 j2 x- }. W
INVESTORS A HUGE FACTOR

"The investors were causing the market to spiral."
" v: y/ X& k: z9 {3 s4 Q' z1 L' J
+ B$ n. ?0 o/ A# I- E2 sThose investors have left the market, leaving mostly people looking for a home to live in.
; S0 Q' p( z4 v, C- h- j  x: T- S4 C
8 P6 d: w0 |0 j/ r& [3 J- z+ QHering said there's just not enough of them to cause a real frenzy and they're often nervous about the high prices.
+ D  O4 W( V& D0 c5 t2 c4 R
The Edmonton Real Estate Board recently reported the average single-family home in Edmonton sold for $399,555 in September, down 1% from the previous month.

水管工

现在是大家的日子都不好过:
有房的, 房子在贬值.
/ s+ }$ L% W9 r8 V8 r% @4 Y没房的, 房租在上涨.

YOKO

I wondered that how much the rental would be going up for just two bedroom apartment next year???

人生几何

原帖由 水管工 于 2007-11-5 09:42 发表
( M2 I( n2 ~( H( z) A现在是大家的日子都不好过:
有房的, 房子在贬值.
没房的, 房租在上涨.

7 z$ B8 r* L$ C7 P
待不住了，还有一个字“走”。

YOKO

Don't be sad!