Rent crunch to worsen

YOKO

Sun, November 4, 2007

6 W) M7 J3 }* }Rent crunch to worsen
6 k+ _  @; ]; J5 f4 j9 d3 lVacancy rate forecasted to dip to under 1%
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By KEVIN CRUSH, SUN MEDIA

Think the rental market is tight now? Just wait until next year.
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% s/ \* s4 x, N0 e7 tThat'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.
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: J2 D  h, I7 V$ I"It's just getting retarded," said Jasmine, who asked her last name not be printed.
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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.
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For now, the couple has been living with her brother and mother in a three-bedroom government-subsidized housing unit.
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They have been scouring the city for anything - but have found nothing in their price range, around $1,100.

"I graduated from college, but I'm still working two to three jobs just to supplement the rent payments," she said.

4 o$ Z# }" Q5 E* A3 P! B1 lAccording to new numbers from the Canada Mortgage and Housing Corporation (CMHC), the apartment vacancy rate for Edmonton is a minuscule 1%.

) |$ H" N3 k1 I& S+ xThe rent crunch isn't expected to get any better with the agency pegging the rate next October at just 0.8%.
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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.

: r( D6 w) @( L0 hRates 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.
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5 {+ Y  m, }: \( IMaking it worse, she has pets, and few places accept animals.

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

% O0 s6 @6 `4 g1 k2 J4 ^( ^Originally listed at $450,000, in late August, she dropped her price to $400,000 to entice buyers. So far, there have been only lookers.

: X) q  q! x4 h; Y. PSchulte bought the house for $165,000 less than five years ago.
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Home prices skyrocketed because of investors buying up properties, said realtor Abe Hering.

( w3 o. h+ T' T0 xINVESTORS A HUGE FACTOR
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* s! L: n# [4 h' I% b7 v"The investors were causing the market to spiral."
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6 |# G# Z6 S+ eThose investors have left the market, leaving mostly people looking for a home to live in.

" c; t/ Z" V+ K8 _6 n' A) E, |Hering said there's just not enough of them to cause a real frenzy and they're often nervous about the high prices.

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:
1 P2 C( B0 t- c$ ~" o: X有房的, 房子在贬值.
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
& g2 j5 v1 k, @. F9 y. v现在是大家的日子都不好过:
+ i+ Y9 l) |8 e有房的, 房子在贬值.
没房的, 房租在上涨.

待不住了，还有一个字“走”。

YOKO

Don't be sad!