Common denominator in Canadian and UK housing bubbles?
Canada’s housing bubble is never far from our thoughts but in the UK there is also growing concern of a bubble that could be set to burst, although the Canadian Governor of the Bank of England seems to be blaming construction rather than monetary policy for the problem. Mark Carney
says that while Canada has half the population of the UK, it builds twice as many homes and that if the UK is to come to grips with rising prices (up around 8% in a year) there needs to be more homes built. Some though are questioning what seems to be the Governor passing the buck, having ruled out interest rate rises. If the low rate of construction was the only factor, wouldn’t Canada be far from a bubble? Read the full story.
Real life investing mirroring monopoly as hotels become desirable
One thing that connects most people is that when playing the property-focused board game of Monopoly, a hotel or two on the high value Chatham-Kent would seem to be a great strategy. It seems that in real world investing, hotels are also hot right now. Last year, according to figures from Colliers International Hotels, investment in hotel real estate was double the average over the previous five years, with transactions of just over $2 billion. The West is a particularly strong market with Calgary leading the way. Read the full story
Marijuana Grow Ops – Time to Weed Out The Dangers to Homebuyers
With recent changes in the law, with some previously legal medical marijuana grow ops now being illegal, there is growing pressure on provincial governments to ensure that home buyers are made aware if their intended purchase has been used for growing the plant. The main worry is that the homes may become ‘sick’ especially from mould and although under common law, Realtors should disclose that a property has been used in this way (assuming they are aware) there is a call for more to be done. The other concern is that mortgages may be withheld on properties if they are the site of a former grow op. Read the full story.
Uncertainty for Alberta Flood Defences
Diverting floodwater from the Highwood River around High River during flood events could be scaled back or even shelved following analysis by the Alberta Watershed Management Symposium in Calgary. Residents, including the Mayor of High River say that it is essential that plans go ahead to avoid another disastrous flood, like that of 1995, but officials say the cost of large-scale projects and the likely environmental opposition could mean that the cost-benefit analysis will suggest another option. Read the full story.
Is it time to put your money into hotels? Why marijuana could be a big issue for homebuyers and the Canadian and UK bubbles are compared.