Rent crunch to worsen

YOKO

Sun, November 4, 2007

8 V9 b  r! H$ H9 L1 v3 uRent crunch to worsen
Vacancy rate forecasted to dip to under 1%

& R& a! R* O8 K: P9 ZBy KEVIN CRUSH, SUN MEDIA
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  M$ U  S: r. G- F+ j$ iThink the rental market is tight now? Just wait until next year.

7 X+ K) u: ]" u8 R) A& g7 eThat'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.

"It's just getting retarded," said Jasmine, who asked her last name not be printed.

$ T$ }8 O, I( l+ D% V; ASIX MONTHS LOOKING

, J- N9 J& B9 EJasmine 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.

  
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5 @& Y, h9 i7 n3 Q5 i9 [  N& E( eFor now, the couple has been living with her brother and mother in a three-bedroom government-subsidized housing unit.

1 S! @8 Y" x% T  CThey have been scouring the city for anything - but have found nothing in their price range, around $1,100.
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"I graduated from college, but I'm still working two to three jobs just to supplement the rent payments," she said.
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According to new numbers from the Canada Mortgage and Housing Corporation (CMHC), the apartment vacancy rate for Edmonton is a minuscule 1%.

/ g9 Q' u2 L& d$ z4 z9 U) EThe rent crunch isn't expected to get any better with the agency pegging the rate next October at just 0.8%.

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.

Rates are staying high with the average rent for two-bedroom apartments at $950 a month, up from $877 a month in October 2006.

"With the rental rates being so high, you can only do so much," said Jasmine.

Making it worse, she has pets, and few places accept animals.
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Meanwhile, house sellers are facing a crunch of their own.

With 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.

% f, ^( Q2 D: `5 x( B. B"It's been slow," said Alana Schulte, whose Goldbar home has been up for sale since June.

"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."

& Y& w, b4 J4 q  w; F4 m8 _" ZOriginally listed at $450,000, in late August, she dropped her price to $400,000 to entice buyers. So far, there have been only lookers.
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Schulte bought the house for $165,000 less than five years ago.
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7 D1 `8 W! ?4 r2 mHome prices skyrocketed because of investors buying up properties, said realtor Abe Hering.
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INVESTORS A HUGE FACTOR
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6 r) ~7 s+ k, P: m+ L9 J"The investors were causing the market to spiral."
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# d7 f( n8 j% q/ P6 |6 N; M' P8 oThose investors have left the market, leaving mostly people looking for a home to live in.
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Hering said there's just not enough of them to cause a real frenzy and they're often nervous about the high prices.

6 O; K- \8 d7 t/ X) a2 z2 KThe 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.
* t5 u" a+ K3 q6 m. B& f' ^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
现在是大家的日子都不好过:
' G4 y/ V% q6 ]1 Q' P$ B1 _有房的, 房子在贬值.
3 N( j3 h% N4 `* g$ R没房的, 房租在上涨.

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( X" z0 i9 y! k! x3 K4 b+ V$ Z/ e/ J待不住了，还有一个字“走”。

YOKO

Don't be sad!