Kim little

Down to Earth Real Estate Advice

 
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People ask me if i think prices will settle in Vancouver. The West side is still getting multiple offers and high end real estate is still selling briskly, even in this usually quiet time of year. There is one interesting  graph that crossed my desk. I think the answer lies in the fortunes of another country. It shows the direct correlation of China's  Forex reserves and Vancouvers Housing prices. Coincedence? or is the money coming full circle?

The Canadain economy is doing well, despite the train wreck in USA and Europe. We are not an Island however and personally I am actively paying down the mortgage. These rates wont stay this low forever. Too many people are using their line of credit as a second income. Borrowing against tommorrow for today. I figure I have a good 2 Years to work very hard. If I can cut my mortgage in half then if rates double it wont kill me.

I cant even begin to guess what a dollar will be worth then. I never thought id see the day when a loaf of bread was $5 and here we are. So,  keep your mind open and balance your life. Dont mortgage against your future self. As Julia Child said " everything in moderation, including moderation"